Aston Martin quarterly revenue beats, higher costs hit profit

Aston Martin quarterly revenue beats, higher costs hit profit

Luxury carmaker Aston Martin posted better-than-expected first-quarter revenue on Wednesday as it sold more vehicles in the Americas and China, but higher costs to push expansion led to a loss in the period.

The automaker, which floated on the London Stock Exchange last year, has been plagued by higher costs as it invests more in its manufacturing plants and expands vehicle offerings. It has also tacked on more expenses for contingencies put in place to tackle industry-wide Brexit uncertainties.

“We remain conscious of the challenging external environment in certain of our markets and we have taken this into account in our planning whilst ensuring we do not compromise on delivery,” Chief Executive Officer Andy Palmer said while affirming full-year prospects.

The company’s third ever report card showed wholesale vehicle sales in China surged 29% in the three months ended March 31, and the Americas jumped 20%, offsetting weakness in the UK and Europe.