CONTINENTAL AG 
Q1 2023 Results
Hanover - May 10, 2023
Ticker: CON
ADR-Ticker: CTTAY http://www.continental-ir.com
Katja Dürrfeld - CFO
Agenda
- Group Highlights
- Automotive
- Tires
- ContiTech
- Cash Flow
-
2023 Outlook
Back-up and Fact Sheets 2022 - Q1 2023
Q1 2023 Results | © Continental AG | Public | May 10, 2023 | 2 |
1 | Group Highlights
Most Important KPIs for Q1 2023
Q1 2022 | Q1 2023 | |||
Sales | €9.3 bn | €10.3 bn | ||
Adjusted EBIT1 | €428 mn | €578 mn | ||
Adjusted EBIT1 margin | 4.6% | 5.6% | ||
PPA2 | -€39 mn | -€31 mn | ||
Special effects | -€17 mn | -€20 mn | ||
Restructuring | €8 mn | -€0 mn | ||
Impairment | -€1 mn | -€0 mn | ||
Other effects | -€24 mn | -€19 mn | ||
NIAT3,4 | €240 mn | €382 mn | ||
Adjusted free cash flow5 | -€174 mn | -€949 mn | ||
Gearing ratio4 | 30.0% | 39.4% | ||
Equity ratio4 | 36.9% | 36.6% | ||
Trailing ROCE6 | 8.3% | 4.4% | ||
Net indebtedness | €4,117 mn | €5,539 mn | ||
Executive Summary
- Automotive price negotiations in progress; initiated improvement measures show first effects
- Continued strong order intake in Automotive totaling €6.6 bn lifetime sales
- Tires adjusted EBIT1 margin above guidance corridor, but market dynamics are challenging
- ContiTech actions to improve plant performance and a favorable mix in selective businesses are supporting margins
- High inventories and receivables remain a burden on free cash flow
- Continental and Aurora partner to realize commercially scalable autonomous trucking systems
- ContiTech increasing industry focus: acquisition closure of Trelleborg's printing technology business
- CEO Nikolai Setzer's contract extended, new board member for Automotive appointed
1 Before amortization of intangibles from PPA, changes in the scope of consolidation and special effects.
2 Amortization of intangibles from PPA.
3 Net income attributable to the shareholders of the parent.
4 The methodology used in the consolidated financial statements for the recognition of uncertain tax positions has been changed. The comparative period has been adjusted accordingly.
5 Free cash flow before acquisitions and divestments.
6 Calculated as reported EBIT for the last twelve months (LTM) divided by average operating assets for the LTM.
Q1 2023 Results | © Continental AG | Public | May 10, 2023 | 3 |
1 | Group Highlights
Autonomous Mobility: Exclusive Partnership with Aurora
Key Points
› First commercially scalable autonomous trucking solutions from 2027
› Combines Continental's systems expertise
with Aurora's industry-leading autonomous technology
› Continental will deliver the entire hardware set as well as a new fallback system
› Industry-firsthardware-as-a-service business model
› Total US addressable market ~700 billion
USD
Q1 2023 Results | © Continental AG | Public | May 10, 2023 | 4 |
1 | Group Highlights
Q1 2023 - Sales and Adjusted EBIT
Sales (€ mn)
Adjusted EBIT1 (€ mn)
Automotive | |
17.1% | |
4,246 | 5,015 |
Tires
4.9% | |
3,295 | 3,463 |
ContiTech Contract Manufacturing
7.8%
Automotive Tires ContiTech Contract Manufacturing
17.1% | ||
565 | 13.5% | |
469 | ||
6.4% |
1,570 | 1,731 |
-28.1%
210 154
0.8%
-4.1%
-17338
5.3% | |
83 | 109 |
6.2%
5.8%
12 10
Q1 | Q1 |
2022 | 2023 |
Q1 | Q1 |
2022 | 2023 |
Q1 Q1 Q1 Q1
2022 2023 2022 2023
Q1 | Q1 | Q1 | Q1 | Q1 | Q1 | Q1 | Q1 |
2022 | 2023 | 2022 | 2023 | 2022 2023 | 2022 2023 |
Organic growth2 | Adj. EBIT margin1
1 Before amortization of intangibles from PPA, changes in the scope of consolidation and special effects. 2 Before changes in the scope of consolidation and exchange-rate effects.
Q1 2023 Results | © Continental AG | Public | May 10, 2023 | 5 |
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Disclaimer
Continental AG published this content on 10 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 10 May 2023 06:46:02 UTC.
