Conti reports Q2 declines at tires, industrial rubber units

Hanover, Germany – Continental has reported second-quarter declines in sales and earnings at both its Tires and ContiTech group sectors amid strong headwinds from tariffs and exchange rates as well as a generally weak industrial market environment.

The Tires group sector recorded a 2.0% year-on-year decline in second quarter sales to €3.3 billion and an adjusted EBIT margin of 12.0% compared to 14.7% in the same three months of last year.

The declines were linked mainly to the impact of US tariff increases, exchange-rate effects and positive catch-up effects in the second quarter of last year.

Continental went on to cite a number of independent test results showing that it had a strong position in the market for UHP consumer tires – group sales of which have increased by around 15% between 2019 and 2024.

Over the same period, the share of sales of UHP tires for all Continental brands rose from 38% to 52%, and from 46% to 60% for the ‘core’ Continental brand, it further stated.

At rubber-products maker ContiTech, meanwhile, second quarter sales came in 5.2% lower at €1.6 billion, while adjusted EBIT margin fell to 5.8% versus 7.1% a year ago.

The group pointed that earnings had improved since the start of 2025, especially due to higher industrial demand for ContiTech products and stricter cost discipline.

It also highlighted ContiTech’s introduction of new products, such as premium cooling hoses for data centres: products said to ensure stable temperatures for servers and help save energy, prevent malfunctions and extend equipment life.

Nevertheless, ContiTech’s market environment “remains gloomy, although there are signs of improvement in Europe as well as North and South America. Exchange rates are also affecting earnings.”

Group-wide, Continental reported a “resilient” second quarter, helped by a year-on-year improvement in earnings at its Automotive group sector.

The Hanover group confirmed that it is on-track to take the Automotive group sector public as an independent company on 18 Sept.