BERLIN (Reuters) -Continental’s automotive division, set to go public in September under the name Aumovio, hopes to boost sales by 22% in the long term as it sharpens its focus on technologies that add value to the carved-out company, it said on Tuesday. Continental said Aumovio is targeting a long-term increase in sales to over […]
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Continental’s Aumovio aims for higher sales in long term after IPO
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BERLIN (Reuters) -Continental’s automotive division, set to go public in September under the name Aumovio, hopes to boost sales by 22% in the long term as it sharpens its focus on technologies that add value to the carved-out company, it said on Tuesday.
Continental said Aumovio is targeting a long-term increase in sales to over 24 billion euros ($28 billion) compared with 19.6 billion euros last year, and an adjusted EBIT margin in the range of 6-8%.
“We have a clear strategy for increasing value and are well equipped to take on the market challenges that lie ahead,” Aumovio CEO Philipp von Hirschheydt said, giving a strategy update at the group’s capital markets day.
On the auto business’s exposure to U.S. President Donald Trump’s tariffs, which have panicked German carmakers and their suppliers, von Hirschheydt told reporters 92% of its products are produced in the United States or Mexico, meaning they are exempt.
“For many years, we have tried to produce very closely to where our buyers and customers are located,” he added.
($1 = 0.8621 euros)
(Reporting by Rachel More, editing by Thomas Seythal)