Continental updates full-year forecast

Hanover, Germany – Continental AG has provided an outlook for fiscal 2020, less than two months to the end of the year.

The German group, which had withdrawn an earlier outlook in March due to Covid uncertainties, said its executive board now sees itself in a position to provide an outlook for the remainder of the year.

In its new estimate, published 11 Nov, the German technology and automotive supplier said it expected consolidated sales to be around €37.5 billion, down from €44.5 billion reported in 2019. 

Group adjusted EBIT margin is set to fall to 3%, compared to 9.3% reported last year.

Sales within Conti’s rubber business – which includes tires and ContiTech divisions – are expected to come in at around €15.5 billion, down from €18 billion reported last year.

The segment’s adjusted EBIT margin is anticipated to be around 10.5%, compared to 12.5% in 2019.

Continental did not provide an estimate for 2020 earnings.
 
The new outlook, Conti noted, is conditional on the assumption that exchange rates in the fourth quarter of 2020 do not materially differ to those as of 30 Sept and that there would be no new unexpected impacts from the ongoing Covid-19 pandemic.