HANOVER, Germany—Continental A.G. expects sales in 2013 to grow about 5 percent to $44 billion as business picks up in the second half to offset anticipated first quarter sales decline of 1 to 3 percent, according to CEO Elmar Degenhart.
Conti also expects to report adjusted earnings before interest and taxes ratio of better than 10 percent, on par with fiscal 2012.
The company is basing its forecast on 2-percent growth in global production of consumer and light commercial vehicles to about 82.5 million units, as well as 2-percent growth in the key replacement tire markets where Conti competes.
Degenhart tempered the firm's forecast by saying "risks could arise from a slowdown in global economic growth. This particularly applies to the possibility of a further decline in economic activity within the eurozone."
On the plus side, Degenhart said a "more positive development of the global economy may generate added opportunities."