Continental third-quarter operating profit drops 20% on auto slowdown

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Continental third-quarter operating profit drops 20% on auto slowdown
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Continental said on Tuesday it expected production of cars and light trucks to d...

FILE PHOTO: Flags of German tyre company Continental are pictured before the annual news conference in Hanover, Germany,March 7, 2019. REUTERS/Fabian Bimmer

FRANKFURT - Continental said on Tuesday it expected production of cars and light trucks to drop by 6% this year as it posted a 20% drop in adjusted operating profit in the third quarter. After pre-releasing earnings in October, Continental on Tuesday reiterated that consolidated sales in the third quarter were about 11.1 billion euros and its adjusted EBIT margin was about 5.6%.

Sales in the Automotive Group were about 6.5 billion euros, with an adjusted EBIT margin of about 1.6%. In October, Continental said that slower automobile production growth over the next five years had forced the car parts maker to book a 2.5 billion euro impairment.

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