Conti delivers ‘better-than-expected’ earnings as margin grows in tires, ContiTech 

Hanover, Germany – Continental AG has reported stronger-than-expected third-quarter results, driven by improved profitability in its Tires and ContiTech divisions.

Based on preliminary and unaudited figures, group sales reached around €5 billion, with an adjusted EBIT (earnings) margin of 11.4%, beating the market consensus of 9.5%.

The Tires unit posted sales of €3.5 billion, matching analyst expectations, while the adjusted earnings margin rose to 14.3% from a consensus of 13%, the group reported 16 Oct.

Continental said the price/mix effect in particular “developed very positively,” offsetting weaker volumes, exchange rate pressures and tariffs.

The group also cited a strong start to the winter tire season and lower fixed costs as key contributors to the margin gain.

The ContiTech business, which produces industrial and engineered rubber products, reported sales of €1.5 billion with an adjusted EBIT margin of 6.6%, outperforming the consensus estimate of 4.6%.

Continental attributed the result to one-time effects linked to restructuring and transformation measures introduced in response to continued weak industrial demand.

Adjusted free cash flow came in at €200 million, ahead of expectations of €113 million, supported by operational improvements and a one-off impact in the prior year’s comparison period.

Continental reaffirmed its full-year outlook for 2025, saying detailed results for the quarter will be released on 6 Nov.