Conti sees 5% growth in 2016

DETROIT (Jan. 11, 2016) — Continental A.G. anticipates 5-percent growth in 2016 after posting a 14-percent rise in revenue in 2015, according to the company's preliminary financial report for the just-completed fiscal year.

Describing the year as “successful,” Continental said sales rose to $43.6 billion with an adjusted pre-tax operating (EBIT) margin of 11.7 percent.

“In 2015, we continued to generate profitable growth in a generally challenging environment,” Chairman Elmar Degenhart said prior to the start of the North America International Auto Show in Detroit.

Mr. Degenhart credited market growth in Europe and the U.S. for helping Conti to compensate for slower growth in China, major recessions in Russia and Brazil, and the decline in industrial business, particularly in the raw materials sector.

Sales in 2016 should rise to $45.6 billion, he said, with an adjusted EBIT margin of more than 10.5 percent. Conti is basing its projection on an expected output of 89 million passenger cars and light commercial vehicles produced globally, up slightly from 2015.

Continental will present its preliminary business figures on March 3, at another digital-only financial press conference.

No details on the performance of individual businesses and segments were given by the Germany-based company.