on Continental AG (ETR:CON)
Continental AG Aims for Higher Earnings and Realignment Completion by 2026
Continental AG has announced its financial projections for 2026, anticipating improved earnings despite market volatility. The company forecasts consolidated sales between €17.3 billion and €18.9 billion, with an adjusted EBIT margin of 11.0 to 12.5 percent. The projected growth stems from strong performances in premium tires, anticipated reductions in raw material costs, and an expected industrial market recovery in the latter half of the year.
In 2025, Continental achieved consolidated sales of €19.7 billion with an adjusted EBIT of €2.0 billion, marking an EBIT margin of 10.3 percent. They propose a dividend of €2.70 per share, reflecting confidence in their fiscal stability and cash flow. The company also plans substantial bonuses for employees worldwide.
CEO Christian Kötz highlighted key milestones in their strategic realignment, including the spin-off of Aumovio and the sale of OESL. The focus now shifts to completing the ContiTech sale, positioning Continental’s core strength in the tire sector. The tire segment exhibited robust performance, with an adjusted EBIT margin of 13.6 percent for 2025, grounded in high demand for 18-inch-plus tires.
R. P.
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