The automotive supplier Continental expects a significant increase in profitability in the automotive sector for the third quarter, as the majority of the ongoing price negotiations are expected to be concluded. In a pre-close call with analysts on Tuesday, the DAX-listed company announced that "continuous progress" had been made in the three months ending in September. "The majority of the open issues are expected to be concluded in Q3," explained Continental.

The new CFO Olaf Schick already announced in August that price negotiations in the automotive segment are about 75 percent complete. The remaining 25 percent of discussions are to be concluded in the second half of the year. Despite an expected decline in revenue in the automotive sector, Continental forecasts higher profitability in the third quarter compared to the second quarter. The company continues to place its hopes on the final quarter, which is expected to make the main contribution to achieving the projected forecast range.

In contrast, the Contitech segment faces a likely lower EBIT margin in the third quarter. The very weak volumes continue to weigh on the results and are below the range set for the full year. This development reflects the ongoing challenges in the volume business, which influence the overall picture of the company's performance.

The publication of the financial results for the third quarter is planned for November 11. Analysts are eagerly watching to see if Continental can achieve its set targets and how the concluded price negotiations will impact the company's financial situation.