DGAP-News: Continental AG / Key word(s): Quarterly / Interim Statement/Quarter Results 
First Quarter: Continental Achieves Good Result, Confirming its Course for the Future 
2021-05-06 / 08:30 
The issuer is solely responsible for the content of this announcement. 
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- Consolidated sales of EUR10.3 billion (Q1 2020: EUR9.9 billion, +3.5 percent); organic growth of 8.6 percent 
- Adjusted EBIT of EUR834 million (Q1 2020: EUR433 million, +92.5 percent) 
- Adjusted EBIT margin of 8.1 percent (Q1 2020: 4.4 percent) 
- Net income of EUR448 million, (Q1 2020: EUR292 million, up EUR156 million year-on-year) 
- Free cash flow before acquisitions, divestments and carve-out effects: 
EUR670 million (Q1 2020: -EUR148 million, up EUR818 million) 
- Realignment of the Automotive Technologies group sector 
- Spin-off of Vitesco Technologies planned for September 2021 
- Order volume for high-performance computers rises to around EUR5 billion 
- CEO Nikolai Setzer: "We are making noticeable progress and tackling the tasks at hand systematically. From an 
operational perspective, we have made a good start to the fiscal year." 
- Outlook for fiscal 2021 without Vitesco Technologies: consolidated sales of around EUR32.5 billion to EUR34.5 billion; 
adjusted EBIT margin of around 6 to 7 percent 
Hanover, May 6, 2021. Continental achieved a good result in the first quarter of 2021 in a persistently challenging 
market environment. At the same time, the mobility supplier pushed ahead with the implementation of its realigned 
strategy by making a number of key decisions. "We are making noticeable progress and tackling the tasks at hand 
systematically. With the latest resolutions, the spin-off of Vitesco Technologies this year draws nearer as planned, 
and from January 1, 2022, we will manage the two areas of "Autonomous Mobility" and "Safety" as independent business 
areas. This will give us clarity while providing more freedom to define the separate and diverse strategies. We are 
focusing systematically on growth and pioneering future technologies when it comes to assisted, automated and 
autonomous driving. And we are focusing on value when it comes to safety," said Nikolai Setzer, Continental CEO, when 
presenting the company's quarterly results on Thursday in Hanover. 
In view of the adverse effects of the coronavirus pandemic and the resulting tight global supply situation for 
semiconductors, Setzer was satisfied with the quarterly result: "From an operational perspective, we have made a good 
start to the fiscal year." The development of the business in China was particularly positive compared with the same 
quarter of the previous year, which was severely affected by the coronavirus pandemic. The tire business and the 
ContiTech business area stood out in particular. 
Overall, consolidated sales in the first three months of the year amounted to EUR10.3 billion (Q1 2020: EUR9.9 billion, 
+3.5 percent). Before changes in the scope of consolidation and exchange rate effects, sales rose by 8.6 percent. 
Adjusted EBIT increased year-on-year to EUR834 million (Q1 2020: EUR433 million, +92.5 percent), resulting in an adjusted 
EBIT margin of 8.1 percent (Q1 2020: 4.4 percent). Net income totaled EUR448 million (Q1 2020: EUR292 million). In the 
first quarter, free cash flow before acquisitions, divestments and carve-out effects was EUR670 million (Q1 2020: -EUR148 
million). The improvement in free cash flow was due in particular to the low level of capital expenditure before 
financial investments, which accounted for 2.8 percent of sales in the first quarter. 
With regard to further business development, Setzer underlined the difficult market environment: "The coming months 
will remain very challenging. The global economy is only gradually getting back on track, not least due to the supply 
shortages of electronic components. Other factors include high market volatility due to the coronavirus pandemic and 
the increase in the prices of raw materials. In particular, the European car market, which is very important for us, is 
still well below its record level of 2017. Furthermore, the market has not yet returned to its pre-coronavirus level 
of 2019." 
Strong regional differences in growth 
In the first three months of the year, the development of automotive markets varied substantially throughout the world. 
The market development of passenger cars and light commercial vehicles in China was very strong (5.7 million units, 
+78.2 percent year-on-year). North America had a relatively weak start to the year compared to 2020 (3.6 million units, 
-4.5 percent year-on-year). In Europe, production of passenger cars and light commercial vehicles was on par with the 
low level of the previous year (4.6 million units, -0.3 percent year-on-year; 1.0 million units of which were in 
Germany, -9.0 percent year-on-year). According to preliminary figures, global production of passenger cars and light 
commercial vehicles grew by 14.0 percent year-on-year in the first quarter to a total of 20.3 million units (Q1 2020: 
17.8 million units). Production in the first quarter was thus substantially lower than in the first quarter of 2019, 
when 22.9 million vehicles were produced. 
Market outlook and forecast for fiscal 2021 
For the current fiscal year, Continental continues to expect production of passenger cars and light commercial vehicles 
to increase by 9 to 12 percent year-on-year. 
Continental is adjusting its outlook for the current fiscal year mainly due to the anticipated spin-off of Vitesco 
Technologies. For the continuing operations, and thus excluding Vitesco Technologies, the company expects sales of 
EUR32.5 billion to EUR34.5 billion and an adjusted EBIT margin of 6 to 7 percent for 2021. 
For the continuing operations of Automotive Technologies, Continental expects sales of around EUR16 billion to EUR17 
billion for the year as a whole. An adjusted EBIT margin in the range of around 1 to 2 percent is anticipated. This 
still includes higher supply chain costs as well as the additional expenses for research and development announced on 
March 9, 2021, in the Autonomous Mobility and Safety business area. 
Sales in the Rubber Technologies group sector are still forecast to total about EUR16.5 billion to EUR17.5 billion, with an 
adjusted EBIT margin of around 11.5 to 12.5 percent. This includes the impact expected from higher raw material costs. 
Taking into account the effects of the anticipated spin-off of Vitesco Technologies, Continental expects free cash flow 
before acquisitions, divestments and carve-out effects of around EUR1.1 billion to EUR1.5 billion from continuing 
operations. The increase is due in particular to the postponement of cash utilizations from restructuring provisions. 
For fiscal 2021, Continental continues to expect a capital expenditure ratio before financial investments 
of around 7 percent of sales for the continuing operations. 
Spin-off of Vitesco Technologies scheduled for September 2021 
Despite the challenging macroeconomic environment, Continental is systematically pursuing its strategic realignment. An 
important step in this direction is the full spin-off including stock market listing of its powertrain business. "Now 
that we have the approval of the Annual Shareholders' Meeting, we will proceed with the planned spin-off in September 
2021," explained Wolfgang Schäfer, Continental's CFO. 
Key figures for the Continental Group (continuing operations and discontinued operations) 
                                                                          January 1 to March 31 
EUR million                                                                   2021     2020   ? in % 
Sales                                                                   10,258.9  9,912.7      3.5 
EBITDA                                                                   1,403.0  1,160.4     20.9 
in % of sales                                                               13.7     11.7 
EBIT                                                                       719.9    436.3     65.0 
in % of sales                                                                7.0      4.4 
 
Research and development expenses (net)                                    819.3    913.0    -10.3 
in % of sales                                                                8.0      9.2 
Capital expenditure^1                                                      291.5    475.0    -38.6 
in % of sales                                                                2.8      4.8 
 
Net income attributable to the shareholders of the parent                  447.6    292.3     53.1 
Basic earnings per share in EUR                                               2.24     1.46     53.1 
Diluted earnings per share in EUR                                             2.24     1.46     53.1 
 
Adjusted sales^2                                                        10,258.8  9,840.3      4.3 
Adjusted operating result (adjusted EBIT)^3                                833.8    433.2     92.5 
in % of adjusted sales                                                       8.1      4.4 
 
Free cash flow                                                             637.6     10.4  6,030.8 
 
Net indebtedness as at March 31                                          3,561.7  3,995.6    -10.9 
Gearing ratio in %                                                          25.6     25.8 
 
Number of employees as at March 31^4                                     234,999  239,649     -1.9 
 

The figures for the comparative period have been adjusted due to the change in the accounting policy for revenue recognition for subsidiaries in China. This change was announced in the second quarter of 2020.

1 Capital expenditure on property, plant and equipment, and software.

2 Before changes in the scope of consolidation.

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