Latest news with #LawrenceStroll
Yahoo
a day ago
- Automotive
- Yahoo
Aston Martin faces pressure from Fitch
Fitch Ratings has maintained Aston Martin Lagonda Global Holdings Plc's long-term issuer default rating at 'B-', with a Negative Outlook, citing increased liquidity risk and weaker-than-expected free cash flow in 2024. The credit update, published on 2 June, follows continued financial pressure on the luxury carmaker, despite a recent capital injection and relief from proposed US automotive tariffs. The rating action comes two months after Aston Martin's executive chairman Lawrence Stroll told Bloomberg News (1 April) that he does not rule out taking the company private. Stroll described the carmaker's market valuation — around £650 million — as a 'joke', noting it is now roughly equal to the amount his Yew Tree consortium has invested since 2020. After the latest £52.5 million capital raise, Yew Tree's stake will increase to around 33%. While Stroll insists the company is 'severely undervalued', Fitch's view underscores the difficulty of turning around the carmaker's financial performance. Fitch highlighted a larger-than-anticipated free cash flow deficit in 2024 and ongoing execution risks linked to Aston Martin's turnaround strategy. These concerns persist despite a £125 million capital boost announced at the end of March, comprising a share issue and the sale of the company's stake in its Formula 1 team, which temporarily eases liquidity pressures. Aston Martin, which has declared its goal to become EBIT-profitable in 2025, has consistently struggled to achieve sustainable performance. Car sales fell 9% year-on-year to around 6,000 in 2024, while the group reported a pre-tax loss of £290 million. Analysts have questioned the company's ability to deliver on revised profitability targets, particularly given ongoing supply chain constraints and past delays in model launches. The company's US exposure adds further complexity. The US accounted for 37% of group revenue in 2024, and earlier proposals from the Trump administration to impose 25% tariffs on UK car imports raised concerns. However, a new UK–US trade agreement, whose implementation date remains unclear, will reduce duties to 10% for the first 100,000 vehicles exported annually, roughly equivalent to the UK's 2024 export total, according to the Society of Motor Manufacturers and Traders (SMMT). While management has downplayed the impact, noting the tariff hike is 'not catastrophic,' Fitch notes that the pricing implications are uncertain. To mitigate near-term tariff effects, Aston Martin accelerated US-bound shipments in Q1 2025, providing inventory cover for the second quarter. Management has also indicated that passing on higher costs may be feasible for high-margin, limited-run models, but Fitch notes that long-term margin effects remain unclear. Tariff-related cost pressure adds to existing inflationary challenges, though the company continues to pursue cost-saving initiatives. Since its 2018 IPO at a £4.3 billion valuation, Aston Martin has undergone several strategic resets. The latest, under new CEO Adrian Hallmark, who joined from Bentley Motors Ltd, prioritises profit over volume, scrapping previous sales targets and focusing instead on customised, high-margin models and derivatives of existing platforms. Hallmark previously led Bentley to record profitability, increasing its operating margins to over 20% by 2023. Still, Fitch warns that Aston Martin's 'rating headroom remains constrained,' with profitability dependent on effective execution, shareholder support, and resilience to external risks including weaker demand, particularly in China, and potential delays to new launches. "Aston Martin faces pressure from Fitch" was originally created and published by Motor Finance Online, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
News.com.au
2 days ago
- Business
- News.com.au
Petulant F1 billionaire Lance Stroll injured in secret garage tirade
Lance Stroll was reportedly injured in a team garage tirade — forcing him to miss Sunday night's Spanish Grand Prix. The Canadian, whose father is billionaire Lawrence Stroll, missed the race, despite competing in qualifying at the Circuit de Barcelona-Catalunya. Just a few hours after Aussie Oscar Piastri took pole position, Aston Martin announced Stroll would not compete in Sunday's race. Stroll has finished the day in P14 after failing to progress to the third qualifying session. The team released a statement to announce medical staff had advised he needed to undergo an operation as a result of ongoing pain in his hand and wrist. However, the BBC on Sunday reported the 26-year-old launched into a tirade inside the team's garage after he was eliminated in Q2. Leading F1 reporter Andrew Benson wrote Stroll's tirade turned physical with suggestions from anonymous sources Stroll had injured himself during the incident. The BBC reports Stroll damaged equipment in the garage and swore at members of the team. A team spokesperson has denied Stroll's tirade turned physical and also denied he had sworn at staff members. However, the team has confirmed 'Lance was upset' following the session. Stroll had finished Saturday's qualifying session more than 0.5 seconds behind teammate Fernando Alonso. The team said in a statement: 'Over the course of the past six weeks Lance has been experiencing pain in his hand and wrist, which his medical consultant believes is in relation to the procedure he underwent in 2023. 'As a result his medical team have confirmed that he will not race tomorrow and he will undergo a procedure to rectify these issues before focusing on his recovery.' The team has not confirmed if Stroll will compete at his home race, the Canadian Grand Prix, beginning June 13. Because Stroll pulled out after qualifying, the team was unable to replace him, leaving Alonso as the only Aston Martin on the starting grid. Stroll has now been with the team for seven seasons with his father Lawrence remaining the team's major shareholder. He has three career podium finishes, but his last one came back in 2020. His contract with the team reportedly extends through to the end of the 2026 season. However, all bets could be off if his father is tempted to sell his share in the team. Bonkers rumours erupted in April with suggestions Stroll Snr. was preparing to walk away from the team. The team is rumoured to be the target of Saudi Arabian crown prince Mohammed bin Salman Al Saud, through his close ally Yasir Al-Rumayyan, who manages the Gulf nation's $940 billion Public Investment Fund (PIF). If the sale does eventuate, it has been reported the team would attempt to recruit Max Verstappen on a ridiculous $470 million ($USD300m) contract offer. That would leave Lance as the obvious weak link likely to be cut by the team, which has shown support for veteran legend Fernando Alonso. Stroll Snr — who has a net worth recently valued at $3.7 billion — paid $80 million to Williams to first get his son behind the wheel of Formula 1 car and then moved to Aston Martin on the back of his father buying a majority share of the Racing Point team.
CNA
3 days ago
- General
- CNA
Stroll to miss Spanish GP due to wrist injury
BARCELONA :Canadian Formula One driver Lance Stroll will miss Sunday's Spanish Grand Prix due to hand and wrist pain, his Aston Martin team said on Saturday. The team said Stroll, son of team owner Lawrence, had been experiencing pain for the past six weeks which his medical consultant believed stemmed from surgery following a cycling accident in 2023. "His medical team have confirmed that he will not race tomorrow and he will undergo a procedure to rectify these issues before focusing on his recovery," the team said. Stroll qualified 14th at the Circuit de Catalunya but was summoned by stewards after the session for failing to be weighed. Aston Martin will not be able to replace him for the race.
Reuters
3 days ago
- General
- Reuters
Stroll to miss Spanish GP due to wrist injury
BARCELONA, May 31 (Reuters) - Canadian Formula One driver Lance Stroll will miss Sunday's Spanish Grand Prix due to hand and wrist pain, his Aston Martin team said on Saturday. The team said Stroll, son of team owner Lawrence, had been experiencing pain for the past six weeks which his medical consultant believed stemmed from surgery following a cycling accident in 2023. "His medical team have confirmed that he will not race tomorrow and he will undergo a procedure to rectify these issues before focusing on his recovery," the team said. Stroll qualified 14th at the Circuit de Catalunya but was summoned by stewards after the session for failing to be weighed. Aston Martin will not be able to replace him for the race.
Top Gear
26-05-2025
- Automotive
- Top Gear
Opinion: is Adrian Newey the one person who can improve Aston Martin's F1 fortunes?
Opinion Many consider Adrian Newey the greatest engineer in F1. Now he's at Aston, will he be the one to make a difference? Skip 1 photos in the image carousel and continue reading Adrian Newey is not simply an engineer, he is the Michelangelo of car design. A sculptor shaping airflow into world championships. His designs have conquered the sport for decades, with Williams, McLaren and Red Bull all enjoying their golden eras under his guidance. His presence in a team is like having an ace up your sleeve. Aston Martin is an ambitious team with a billionaire's backing, a former world champion in Fernando Alonso and a hunger for glory. Has it just secured the one ingredient that could transform it from contender to champion? Advertisement - Page continues below I remember Miami 2024, when speculation was rife about where Adrian was going to go, having announced he would leave Red Bull after 19 years. Unlike many of the characters in the F1 paddock, Adrian shies away from media attention. His discomfort around the camera crews was palpable, but as we know F1 negotiations often play out in the public arena. I was having a quick one-on-one catch up with him when Lawrence Stroll swooped in, caught Adrian's eye, and with the hand gesture of an imaginary phone to his ear, mouthed 'call me'. A camera behind him caught it all. It spread like wildfire that Adrian was joining Aston Martin. Smart move from Mr Stroll. Within a few weeks he had secured the most hotly contested signature in the sport. You might like But can one man really make the difference? Well yes, if that man is Adrian Newey. The psychological boost for a team that slipped five places from its 2023 standing to its 2024 finish is immeasurable. Talented staff fill the ranks at Aston Martin, but his signing is surely the shot in the arm Aston needs to reignite its challenge. Stroll's deep pockets, Alonso's ageless brilliance and the state of the art factory are all handy, but what Aston has arguably lacked until now, is a true technical visionary. What makes Newey unique though isn't just his knowledge, it is his passion (regardless of the eye watering renumeration, rumoured to be £30 million a year). He is a racing romantic who still sketches car concepts by hand. He designs hypercars in his spare time and recently teamed up with my brother's architecture and construction startup, Shack, to design an affordable F1-inspired garage. How does the man find the time? Advertisement - Page continues below Aston Martin, as a brand, relies on its diehard fans, and Aston signing Adrian Newey is almost as strong a story for them as Ferrari bringing Lewis Hamilton into the fold. Will either partnership guarantee success? Nothing in Formula One ever does, but it signals that Aston isn't there to make up the numbers. Thank you for subscribing to our newsletter. Look out for your regular round-up of news, reviews and offers in your inbox. Get all the latest news, reviews and exclusives, direct to your inbox.
