ASTON MARTIN BUSINESS

[Jon39]

For those of us who are interested in the business affairs of Aston Martin, I have just found that we can access greater detail.

The website has the prefix beta, but whether or not this public site has only recently become available, I do not know.

https://beta.companieshouse.gov.uk/company/0119925...

https://beta.companieshouse.gov.uk/company/0606717...

The latest accounts for Aston Martin Lagonda Limited were easy to find.
For Aston Martin Holdings (UK) Limited, I managed to find it by clicking on a director link, who is connected with both companies.

Apart from the basic numbers, perhaps the most interesting part are the reports of what is happening to, and within the Company.

Edited by Jon39 on Wednesday 21st December 14:27

[pschlute]

They make it seem effortless to build fantastic cars, but struggle woefully to make any money. Such a shame.

[RobDown]

There's reason to be cautiously optimistic though; the margins are good, there's some exceptionals in there, they benefit from dollar strength (gbp4m per 5% move) and, back of the envelope taking sales up to 5,500 should bring them close to break even (might be possible with db11 launch). Oh and the p&l dynamics f the DBX could be interesting

As they've suggested over the last 12 months, my guess is we see an IPO once the figures include a full year of DB11 with the money presumably used to help clear some of the morass of debt they have.

The only two concerns I have are that:

1. THey have a lot of capitalised IP In the balance sheet. Yes the brand is worth something, but I doubt whether the rest of the investment in tech and design has any real value

2. And that mass of IP reflects the fundamental issue wth the automotive industry; it costs a shedload to develop cars now and, yes you can hide behind the true cost by capitalising design expenditure, but ultimately can you make a good, consistent return on the capital invested, year in year out? I'm not sure

Would anyone here invest in the IPO? Might be fun to put some money in just to have some shares (£100) but not sure I would go higher than that unless it also brought some perks

[Jon39]

RobDown said:

Would anyone here invest in the IPO? Might be fun to put some money in just to have some shares (£100) but not sure I would go higher than that unless it also brought some perks

You use the word invest, Rob.
ie. To achieve a return on one's money, by way of capital increase and growing income.
What is the saying about flying pigs?

I think private company status is far more suitable for AMLs circumstances.
If they had been a plc in 2008, their share would have fallen to the floor, just inviting an opportunistic bid. There is of course also, continual media scrutiny of quoted companies, which may not be welcome. Sir RB found exactly the same situation when Virgin was a quoted company. The value tumbled, and it was taken back into private ownership, in fact at a very generous price for the shareholders.

My comments take into account the long-term well being of AML. The present investors are possibly just thinking about finding a way out.

To answer your question, Rob. Yes, only if I could have a framed share certificate for my garage wall, but that quaint tradition seems to be almost over.

[RobDown]

Yes agree, the "return" would almost certainly be simply the fun in being a part owner of the business. Doubt you would see any other return albeit going to the agm might be fun, chance to ask Andy some questions about future models etc