Conti sees slight decline in full-year sales

Hanover, Germany – Continental AG expects to report marginal revenue declines across its Tires and ContiTech business areas for the full year 2025, according to its preliminary results issued 21 Jan.

In the Tires group sector, the German manufacturer expects sales of around €3.6 billion in the fourth quarter and around €13.8 billion for fiscal 2025.

While within its guidance of €13.5 billion to €14.5 billion, the figure falls marginally below the €13.9 billion reported in 2024.

The adjusted EBIT margin is expected to come in at 14.3% in the fourth quarter, up from 13.9% in the final quarter of 2024, helped by positive mix effects and cost-optimisation efforts.

For the full-year, the adjusted EBIT margin is expected to stand at 13.6%, against guidance of around 12.5% to 14.0% and slightly below the 13.7% reported in 2024.

In the ContiTech group sector, Continental said it expects sales of around €1.4 billion in the fourth quarter, down from €1.5 billion reported for the same period the year before.

The division's full-year revenue is expected to come in around €6.0 billion, at the lower end of its guidance and down 6% year-on-year.

Before the application of IFRS 5, adjusted EBIT margin is expected to come in at 2.0% for the fourth quarter, a sharp decrease from 7.8% reported in the final quarter of 2024.

Full-year adjusted margin is estimated to stand at 4.9%, well below the guidance of 6.0% to 7.0% and the 6.2% reported in 2024.

Continental linked ContiTech's 'lower-than-expected earnings' to "a lack of market recovery in the past quarter, transformation expenses, currency and valuation effects, and the deferral of certain earnings-safeguarding measures to subsequent quarters."

At a group level, consolidated sales is expected to come in at €5.0 billion in the fourth quarter and €19.7 billion for fiscal 2025, within the guidance range of €19.5 billion to €21.0 billion.

The group expects to report an adjusted EBIT margin of 10.9% in the fourth quarter and 10.2% for fiscal 2025, in line with guidance of around 10.0% to 11.0%.