Continental: issues another profit warning
(CercleFinance.com) - German auto parts maker Continental issued another profit warning on Tuesday, citing a further decline in vehicle production.
The Hanover-based company said it now expects its adjusted EBIT margin to be around 7% to 7.5% in 2019, compared to around
8% to 9% in its previous estimates.
"The main reason is the continued decline in the global production of passenger cars and light vehicles," Conti said in a statement.
The auto supplier said it now expects global automobile production to decline by around 5% over the full year.
Despite these "weak" markets, Continental posted "solid" results for the second quarter: sales were around 11.2 billion euros,
compared to 11.4 billion euros a year ago, with an adjusted EBIT margin of around 7.8%.
Continental shares jumped 4.5% in morning trading, the sharpest riser on Germany's DAX 30 index.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The Hanover-based company said it now expects its adjusted EBIT margin to be around 7% to 7.5% in 2019, compared to around
8% to 9% in its previous estimates.
"The main reason is the continued decline in the global production of passenger cars and light vehicles," Conti said in a statement.
The auto supplier said it now expects global automobile production to decline by around 5% over the full year.
Despite these "weak" markets, Continental posted "solid" results for the second quarter: sales were around 11.2 billion euros,
compared to 11.4 billion euros a year ago, with an adjusted EBIT margin of around 7.8%.
Continental shares jumped 4.5% in morning trading, the sharpest riser on Germany's DAX 30 index.
Copyright (c) 2019 CercleFinance.com. All rights reserved.