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indeed, that is better than the ex-demo units sat for sale on the forecourts in the UK would have suggested.
Probably underlying the original statement that the UK is not the core market - and thank goodness (for AM) that it would appear that strategy may be working, also if sales stay at that level that would suggest that Wales is at almost capacity until phase 2 which was originally schedule for 2 years after plant opening:-
"The company is putting the finishing touches on its second production facility, in St Athan in the U.K. where it plans to build the SUV. The maximum production capacity for this new plant is estimated at around 5,000 vehicles per annum at first, but it is expected to be increased to 7,500 two years after its opening.
And it hopes to sell a lot of these high riders - the aim is to more than double its yearly sales target (which, as previously mentioned, won’t be met in 2019), increasing it to 14,000 vehicles.
Probably underlying the original statement that the UK is not the core market - and thank goodness (for AM) that it would appear that strategy may be working, also if sales stay at that level that would suggest that Wales is at almost capacity until phase 2 which was originally schedule for 2 years after plant opening:-
"The company is putting the finishing touches on its second production facility, in St Athan in the U.K. where it plans to build the SUV. The maximum production capacity for this new plant is estimated at around 5,000 vehicles per annum at first, but it is expected to be increased to 7,500 two years after its opening.
And it hopes to sell a lot of these high riders - the aim is to more than double its yearly sales target (which, as previously mentioned, won’t be met in 2019), increasing it to 14,000 vehicles.
Edited by oilit on Thursday 25th February 09:06
During the pandemic, sales figures are obviously not going to be indicative.
I have though spotted a comparison, which must be surprising to anyone not knowing the background.
The core sports car (lowest price Aston Martin) is always expected to be the best selling model.
However during 2020, if you add sales of the DB11 and DBS, that total is 60% more than the Vantage.
..................................
Financing costs
We knew about the high interest rates on the refinanced bond debt.
Paying off the previous bond debts early cost £21.4 million.
Annual financing costs now exceed £100 million.
Edited by Jon39 on Thursday 25th February 21:34
Jon39 said:
During the pandemic, sales figures are obviously not going to be indicative.
I have though spotted a comparison, which must be surprising to anyone not knowing the background.
The core sports car (lowest price Aston Martin) is always expected to be the best selling model.
However during 2020, if you add sales of the DB11 and DBS, that total is 60% more than the Vantage.
..................................
Financing costs
We knew about the high interest rates on the refinanced bond debt.
Paying off the previous bond debts early cost £21.4 million.
Annual financing costs now exceed £100 million.
Edited by Jon39 on Thursday 25th February 21:34
Best Regards
Minglar
Minglar said:
As others (including me) have mentioned in another thread, the engine/platform developments announced today are disappointing, but AM need to adapt to survive. It is likely that well established markets and models will become less relevant going forward. Unfortunately it’s a sign of the times and the challenges that face many motor manufacturers nowadays.
Best Regards
Minglar
A badge on a Benz is not surviving. That's Aston dead.Best Regards
Minglar
Do you ever look in the Aston Martin share forums?
Think the participants must be mostly short-term gamblers looking for a quick profit.
Can never really tell whether the posts are purposely over positive, hoping to encourage others to buy shares, which might then raise the share price.
On here we are worried about the future, if Aston Martin bodies are fitted on M-Bs, but the forum people seem to think we are wrong.
They see a very rosy future. Here is one example.
'£34.80 [share price] would put AM in the FTSE100 with a Market Value of £4 billion. I think that share price is possible by the 1st Quarter 2023, but could well be sooner if covid doesn’t cause another lockdown again and we manage to refinance debt. Once it hits the FTSE100, I think it will go from £4 billion to £7-8 billion in a year or two, so long as they manage to hit that 15,000 production target.'
(The main debt does not require refinancing in 2023.)
Would be funny if he turns out to be correct and we are wrong.
Strange, they have suddenly all gone quiet. Oh I see why, share price at present down 6% today.
I wonder if build to order is appropriate across the range?
I remember reading an article which suggested that the Cygnet lead time was a problem for sales.
How does the BTO lead time of a Vantage compare to its competitors?
At the DBX/DBS level customization is expected - at the vantage level you are dealing with ideally younger buyers who have the attitude of "i want it my way now" (aka SMS vs post and fax world)
look at Tesla - my understanding is the S & X model buyers can customize, whereas the 3 have a Henry Ford type menu of customization - maybe there is a reason to meet cost targets versus market values?
I remember reading an article which suggested that the Cygnet lead time was a problem for sales.
How does the BTO lead time of a Vantage compare to its competitors?
At the DBX/DBS level customization is expected - at the vantage level you are dealing with ideally younger buyers who have the attitude of "i want it my way now" (aka SMS vs post and fax world)
look at Tesla - my understanding is the S & X model buyers can customize, whereas the 3 have a Henry Ford type menu of customization - maybe there is a reason to meet cost targets versus market values?
Edited by oilit on Friday 26th February 19:13
must have been written by Bez himself. DickyC said:
You're overlooking the DB7 which saw Aston Martin thrive. If there was a market for an Aston that was largely Jaguar then there would be a market for an Aston that was largely Mercedes-AMG.
Anyone noticed how Astonesque the Mercedes-AMG GT Coupe and Roadster look? Just saying.
Have you noticed the Astonesqueness of the new VW Passat 4 door coupe?Anyone noticed how Astonesque the Mercedes-AMG GT Coupe and Roadster look? Just saying.
oilit said:
I wonder if build to order is appropriate across the range.
This seems to vary by region. I gather many US buyers like to buy showroom stock vehicles, whereas in the UK (prior to 2017 or 2018) it was fairly normal for the factory only to build cars which had been specified by customers or dealers. That is evidenced by the US dealers openly advertising new Aston Martins, whereas in the UK, dealers do not appear to be allowed to openly advertise individual unregistered new stock cars. Build to order is probably not a new LS idea at AML. Think it has been mentioned here, that Germany might also be a purchase from showroom nation.
The 'dealer stuffing' seems to have started in 2017/2018, when AP was keen to see (wholesale) sales growth. Perhaps he panicked somewhat, when realising new Vantage sales were not meeting targets. Initially the Vantage numbers looked good, because dealers around the world were taking demonstrators and showroom stock vehicles, in addition to orders from the early adopter customers, press and promotional cars.
DickyC said:
They do have form.
However they discovered the hard way, that you cannot fool tradesmen into paying extra for a Mercedes-Benz X-class made in a Nissan factory, when the Nissan original version is cheaper.
Chrysler Crossfire = M-B SLK
M-B X-class = Nissan Navaro
M-B Citan = Renault Kango
Jon39 said:
They do have form.
However they discovered the hard way, that you cannot fool tradesmen into paying extra for a Mercedes-Benz X-class made in a Nissan factory, when the Nissan original version is cheaper.
Chrysler Crossfire = M-B SLK
M-B X-class = Nissan Navaro
M-B Citan = Renault Kango
Jon39 said:
A jeans firm say they are thrilled to be associated with Aston Martin. They even suggest, that when Sebastian Vettel attends an evening event, he can now wear jeans. Perhaps they have not yet appreciated the Aston Martin standards. Try to imagine James Bond wearing a dinner jacket, crisp white shirt with double cuffs, bow tie and ....... jeans!
"We are thrilled to announce this partnership with Aston Martin Cognizant Formula One Team," said Matteo Sinigaglia, CEO of Fashion Box SpA. "To work with such an iconic car brand is a real privilege. As companies, we share many common attributes, such as craftsmanship, passion and innovation. These are the values that continuously inspire us in the denim world.
And Cognizant....would Sean Connery as 007 have been a brand ambassador for UNIVAC, Bull or Control Data?
SFO said:
...... plus they don't own AM yet, so cannot force AM to use MB platforms.
Yes, I agree with you about MBs ownership Sean (think about 10% at present), but did you see the CEOs reported comment?
That is what moved this discussion on to the subject of platforms. Not whether to use, but which.
'......boss Tobias Moers said that a final decision hasn't been taken on which Mercedes platforms and drive units the firm will use.
He did, however, add that "everything is a reasonable cost situation", suggesting that nothing is off-limits.'
)Jon39 said:
SFO said:
...... plus they don't own AM yet, so cannot force AM to use MB platforms.
Yes, I agree with you about MBs ownership Sean (think about 10% at present), but did you see the CEOs reported comment?
That is what moved this discussion on to the subject of platforms. Not whether to use, but which.
'......boss Tobias Moers said that a final decision hasn't been taken on which Mercedes platforms and drive units the firm will use.
He did, however, add that "everything is a reasonable cost situation", suggesting that nothing is off-limits.'
So best buy a real AM while you still can .. DBS for me please
Very true, it will be a while before we see the current range replaced with possibly AMG chassis cars - think DB12 etc.
So maybe the sweet spot will be to buy the revised/facelifted current range. Of course, by the time the DB12 is out, who knows, these plans could have changed, ICE might be illegal so its hard to say.
I think I left my crystal ball in the attic.
So maybe the sweet spot will be to buy the revised/facelifted current range. Of course, by the time the DB12 is out, who knows, these plans could have changed, ICE might be illegal so its hard to say.
I think I left my crystal ball in the attic.
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