McLaren Life banner

1 - 20 of 38 Posts

·
Registered
Joined
·
4,955 Posts
Discussion Starter #1
This was published in the Telegraph


AUTOMOTIVE
McLaren drives to loss as supercar burns up cash
By Christian Sylt and Caroline Reid

400 MP4-12C models were sold in 2011 but costs rose 177pc (AFP)

MCLAREN made a post-tax loss of £53.9m in 2011 as the British supercar manufacturer invested heavily to produce and roll out its new MP4-12C car.
Accounts for the year to December 2011 show that the company’s costs rose by 177pc in the period.
The supercar is produced at the new £50m McLaren production centre in Surrey, which was opened in November 2011 by David Cameron, the Prime Minister.
The first cars rolled off the production line at the end of July 2011 and by the end of the year daily production targets were being met.
A total of 400 MP4-12C coupes were sold in 2011, pushing sales to £68.9m from £6.4m the previous year. The costs of developing the car were covered by the issue of shares to new investors, which generated £150m.
In August 2011, Singaporean billionaire Peter Lim bought a significant stake in the company. Existing shareholders include Bahraini sovereign wealth fund Mumtalakat, Saudi businessman Mansour Ojjeh and chairman Ron Dennis.
The shareholders also provided an additional £10m in loan financing, which brought the amount owed to them up to £211.5m.
During 2011, accounts just filed at Companies House show that £66.6m was invested in new road car projects, with staff numbers almost doubling to 792, from 473 in the prior year.
The increase in headcount related to the March 2012 launch of the 12C Spider, a convertible version of the MP4-12C. In September last year, a new sports car, the McLaren P1, was announced at the Paris Motor Show. Although no technical specifications have yet been released, the car is expected to be McLaren’s flagship model, selling at in excess of £700,000 with production limited to just 500 vehicles. In 2011 McLaren also focused on building up its dealership network and appointed 36 dealers globally, 27 of which were trading before the year end.
Another 13 retail partners were appointed in 2012 as the company pushed into new markets, with dealerships launched in key areas such as the United States, Japan, Singapore and the Middle East.
Despite the losses, McLaren’s board said it planned to move closer to breaking even in 2012 and expected to make a profit in the near future as its range of cars and its global dealership network expanded.
The P1, which is expected to go on sale in late 2013, is a crucial part of McLaren’s push to profitability.
 

·
Registered
Joined
·
4,955 Posts
Discussion Starter #2
If this result is to plan then it is a good result. At 4000 units they make a ton of money.

One thing that always strikes me is the headcount at the MPC.......a lot of staff . Any body been to Fezza, is that similar in numbers?
 

·
Registered
Joined
·
61 Posts
Interesting.

I don't see them really making any significant return until they launch their higher volume £100k car. It's very nice to see that they are on target, I guess the P1 will help, but will they really sell 500?

I'm very tempted!
 

·
Registered
Joined
·
1,459 Posts
Interesting.

I don't see them really making any significant return until they launch their higher volume £100k car. It's very nice to see that they are on target, I guess the P1 will help, but will they really sell 500?

I'm very tempted!
Supercar market starting to dry up with global financial slump.......5yrs out will be telling.;)
 

·
Registered
Joined
·
6,894 Posts
Why are we reading about 2011 results? That was a partial, start-up FY. 2012 results should be much more important, no?

Edit: forgot about Her Majesty's funny tax year. Is that the reason? 2012 results not finalized until April 2013, perhaps?
 

·
Registered
Joined
·
6,894 Posts
If this result is to plan then it is a good result. At 4000 units they make a ton of money.

One thing that always strikes me is the headcount at the MPC.......a lot of staff . Any body been to Fezza, is that similar in numbers?
Mr. Sheriff indicated that they were on plan when we met at my dealer function a few months back. Can't remember the exact number of units, but sounded in line with previous estimates.

Re:staff, actually he was saying the opposite. They have a relatively small head count for the scope of the entire operation and in fact do not plan to add many more people from where they are right now.
 

·
Registered
Joined
·
4,955 Posts
Discussion Starter #7
2012 ARE submitted around Oct 2013 I believe. The tax year has little to do with submission.

6th, we are not forcing you to read the 2011 results!:D:D:D
 

·
Registered
Joined
·
6,894 Posts
2012 ARE submitted around Oct 2013 I believe. The tax year has little to do with submission.

6th, we are not forcing you to read the 2011 results!:D:D:D
Understood RIC, just trying to understand the currency of the data!

Another misconception that some people have is that McLaren targets 4000 12C units p/a, when in fact I believe it is 4000 across the whole range by 2015. Approx half the volume of Ferrari is the long term target.
 

·
Registered
Joined
·
4,955 Posts
Discussion Starter #9
Yes, pulling your leg!

My understanding was 3000 mini Macs, 1500 Mp12's and the odd production run of Mega Mac or that sort of mix. Here in the UK if the Mini Mac was £120k with some special dynamics it would sell big time.......I do believe Porsche is now seen as a safe comfortable choice, great cars, but verging on the Bland. Mclaren is the drivers choice.......well I hope so!
 

·
Registered
Joined
·
6,894 Posts
Yes, pulling your leg!

My understanding was 3000 mini Macs, 1500 Mp12's and the odd production run of Mega Mac or that sort of mix. Here in the UK if the Mini Mac was £120k with some special dynamics it would sell big time.......I do believe Porsche is now seen as a safe comfortable choice, great cars, but verging on the Bland. Mclaren is the drivers choice.......well I hope so!
Agree that P13 is the kicker in the plan. Antony and Ron must have known that their low case projections were conservative as taking x percentage of Ferrari sales is inevitable, since some customers will view the two brands as interchangeable, plus the pent up demand for a McLaren offering.

Porsche is the tougher nut to crack. Much tougher, in my opinion. Over here I think many Porsche owners do not follow Fo1 at all and many also have a healthy scorn for Ferrari, so risk of Mac being painted with the same brush? It will be interesting to see how many P13 buyers are actually displaced 911 sales.
 

·
Registered
Joined
·
1,459 Posts
Yes, pulling your leg!

My understanding was 3000 mini Macs, 1500 Mp12's and the odd production run of Mega Mac or that sort of mix. Here in the UK if the Mini Mac was £120k with some special dynamics it would sell big time.......I do believe Porsche is now seen as a safe comfortable choice, great cars, but verging on the Bland. Mclaren is the drivers choice.......well I hope so!
Companies have targeted Porsche to no avail. they are a solid act. We will see. The Baby Mac better be light/shrink wrapped and go like stink with useability if it hopes to have any chance;):rolleyes:......if McLarens price point is the NEW 991 Turbo, I'd bet on the Porsche. The new Turbo WILL BE 12C quick!
 

·
Registered
Joined
·
6,894 Posts
......if McLarens price point is the NEW 991 Turbo, I'd bet on the Porsche. The new Turbo WILL BE 12C quick!
Widow, I asked Antony the same question. (i.e. how will they make sure the 12C is faster than 991T/P13). He simply smiled and asked me back, "is your 12C faster than it was one year ago?". Touché ;).
 

·
Registered
Joined
·
1,330 Posts
6th

A company of McLaren's size needs around four months after close to deliver their annual financials, assuming that there's no complex one-offs etc to deal with.So, whenever their yearly close is, patience is needed for the accounts. If they follow general good industry practice, they've front loaded the losses and will show a really good result in FY 12
 

·
Registered
Joined
·
4,955 Posts
Discussion Starter #17
I seem to remember the car will be updated throughout it's model life (5years), to keep it current ,unless it is a mechanical change at no charge.
 

·
Registered
Joined
·
4,955 Posts
Discussion Starter #18
Back to the 911 as a target for mini mac. Porsche knock out 20,000 plus per year and are growing, add the R8 volumes et al, and the Mclaren 3000 units seems sensible. Certainly, if the product is good, price will not defend against loss of share.
 
1 - 20 of 38 Posts
Top