German automotive manufacturer Continental has posted a quarterly loss of €251m (£212.3m) as it described the current setbacks as a “hurricane.”
“The current headwind is rather like a hurricane and will not subside any time soon,” commented chief financial officer Katja Dürrfeld.
“Given this environment, we have performed well and become more resilient.
“We cannot be entirely satisfied with our current business results – even if they are as expected – but we are optimistic for the second half of the year.”
In the three months ended 30 June, the tyre maker reported an adjusted EBIT margin of €411m, almost 20 per cent down on last year’s levels, while margins went down 1.8 per cent.
The group blamed the results on the turbulent market environment, plagued by geopolitical uncertainties caused by the war in Ukraine, as well as by supply chain disruptions, increases in the price of raw material and the China lockdowns.
However, Continental expects things to improve in the second half of the year following a rise in automotive production.
It therefore maintained its outlook for the current year of an adjusted EBIT margin between 4.7 and 5.7 per cent.
Sales are forecast to increase to between €38.3bn and €40.1bn.
The post German tyre maker Continental posts €251m loss following ‘hurricane’ of setbacks appeared first on CityAM.
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