logo
  

Continental AG: Impairments, Restructuring Expenses To Result In Negative Value For Q3 Reported EBIT

Continental AG (CTTAY.PK) reported preliminary consolidated sales of the Group for the third quarter of fiscal 2020 of EUR 10.295 billion, versus EUR 11.103 billion in the prior year quarter. Adjusted EBIT margin for the quarter was 8.1%.

Sales in Automotive Technologies declined to EUR 4.101 billion, whereas Sales in Rubber Technologies was down slightly to EUR 4.333 billion. Sales in Powertrain Technologies were EUR 1.909 billion.

Continental AG said its financial results in the quarter are above current average analyst expectations. However, the company expects impairments and restructuring expenses to result in a negative value for reported EBIT and also result in a negative value for net income attributable to shareholders.

The company expects to recognize goodwill impairments of EUR 649 million in the Vehicle Networking and Information business area. Additionally, restructuring expenses and asset impairments that are part of the expanded "Transformation 2019-2029" structural program resulted in expenses of EUR 687 million in the quarter.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
German banking major Deutsche Bank AG (DB) reported Wednesday a profit in its second quarter, compared to prior year's loss, with sharp drop in provision for credit losses. Net revenues were down slightly. Looking ahead for fiscal 2021, Deutsche Bank updated guidance, and now expects net revenues to be ahead of guidance provided at the Investor Deep Dive on December 9, 2020. Facebook Technologies LLC is recalling about 4 million removable foam facial interfaces for Oculus Quest 2 Virtual Reality or VR headsets citing skin irritation risk. The company said it has introduced a new silicone cover for all Quest 2 customers globally, and has paused global sales of Quest 2 to include the new silicone covers in all Quest 2 packages. General Electric Co. reported Tuesday narrower net loss in its second quarter with strong growth in revenues. The company also generated strong order growth. Looking ahead, the company reiterated its outlook for adjusted earnings per share, while increased its 2021 outlook for Industrial free cash flow range. In pre-market activity on NYSE, GE shares were gaining around 4 percent.
RELATED NEWS
Follow RTT