ERJ staff report (LMH)
Hanover, Germany – ContiTech AG says it remains “on course for success” after achieving sales of €3.7 billion in 2012, a 3.6 percent increase year-on-year.
Earnings (EBIT) were up from €417 million in 2011 to €442 million, an 11.9 percent return on sales. EBIT adjusted for special effects remained almost unchanged at €444 million, a 12.1 percent return on sales, ContiTech said.
“Our strategy of penetrating growth market early on, such as Asia, but also Brazil and Eastern Europe, has now made us less susceptible to the economic turbulence in Europe,” commented Heinz-Gerhard Wente, head of Continental’s ContiTech division. in an April news release. He added that North America has also developed positively for the company, which comprises the non-tire and rubber products business of Continental.
Though Western Europe remains ContiTech’s main sales market with 56 percent of its worldwide sales, America makes up 17 percent of sales, up from 13 percent, and Asia accounts for 16 percent of overall sales, up from 13 percent.
ContiTech said the good business results also had a positive effect on employee headcount. ContiTech had 28 210 on its payroll at the end of the year, 960 more than the previous year.
Assessing the prospects for the current year, Wente said he is confident that ContiTech will be able to achieve a rate of sales growth in 2013 comparable to that of 2013 due to unexpected upturn in the latter half of the year, particularly in the European market.
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News Release from ContiTech