Press Release
ContiTech
ContiTech Stays on Course for Growth
 Sales increase to €3.9 billion in 2014 and with Veyance to around €5.4 billion
 Return on sales stays in double figures at 11.0%
 Good start to fiscal 2015
Hanover, April, 2015. The industrial and automotive supplier ContiTech, part of the Continental
Corporation, increased its sales by around €50 million to €3.9 billion in 2014. This equates to
growth of 1.3%. The operating result (EBIT) reached €433 million (previous year: €462 million), the
return on sales 11.0% (previous year: 11.9%). "We are thoroughly satisfied with this result and the
continued double-digit return on sales. Particularly in light of the negative developments in certain
sectors of relevance for ContiTech," said Heinz-Gerhard Wente, head of the ContiTech division
and member of the Executive Board of Continental AG, at a press conference at the Hannover
Messe 2015, adding: "In evaluating this result, the fact that costs for the preparation of the
integration of Veyance business have already been posted in 2014 must not be forgotten."
"Continuing low commodity prices resulted, in particular, in a significant decline in investment in the
mining industry in 2014 and had a negative impact in the Conveyor Belt Group. Here, we had to
absorb a decline of €66 million alone," said Wente. "However, we were able to offset this with
increased sales in other business units. Benecke-Kaliko and the Power Transmission Group, in
particular, with sales increases of €77 million and €36 million respectively, made above-average
contributions toward this. The trend is indicative of ContiTech's stability as a corporation. Our
objective remains to grow faster than the markets in which we operate." Together with American
company Veyance Technologies Inc., which was acquired at the beginning of the year, ContiTech
generated pro forma sales of around €5.4 billion in 2014. The share of sales outside original
automotive equipment was around 54%.
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Your contact:
Antje Lewe, phone: +49 511 938-1304
-2Growth also had a positive effect on the number of employees: At the end of 2014, ContiTech
employed 32,775 people, around 3,000 more than in the year before, half of which are based in
Europe. An additional approximately 8,000 new Veyance employees joined the company on
February 1 of this year. With this, around 41,000 employees now work for ContiTech worldwide,
making the division the second-largest employer in the Continental Corporation after the Tire
division.
EBIT adjusted for changes in the scope of consolidation and special effects was €439 million at the
end of 2014 (previous year: €468 million). The adjusted EBIT margin was therefore 11.3%
(previous year: 12.1%). "The lower EBIT is primarily due to increased pressure on margins in the
automotive industry and the decline in conveyor belt business. However, this EBIT keeps
ContiTech at a very good level," explained Wente.
Investment increased by €25 million
In the past year, ContiTech has invested €191 million (previous year: €166 million) in new plants
and locations worldwide, in research and development, and in the training of its employees. "We
reinforced our presence in Asia because we want to be where our customers are," explained
Wente. "In China, we have opened a hose line plant in Hanghzou and a production facility for
industrial belts in Sanmen. We have expanded production of air springs in South Korea."We have
also made investments in Germany (gas power plant in Northeim), Slovakia (production and
research for vibration elements), Russia (hose line production in Kaluga), and Peru (sales office for
conveyor belts in Lima).
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Antje Lewe, phone: +49 511 938-1304
-3Positive start to fiscal year 2015
According to Wente, the first quarter of 2015 got off to a positive start, even though conveyor belt
business in the global mining sector remains under pressure. "The integration of Veyance is high
on our agenda this year," said Wente, who will retire at the end of April after more than 40 years at
ContiTech and who introduced his successor, Hans-Jürgen Duensing, at the press conference.
"We want to show our customers that they will receive even better products and product solutions
as well as an even better service worldwide with the stronger ContiTech. This makes us the right
partner for development," said Duensing.
"With the acquisition of Veyance, we have reinforced our global presence and have now improved
our international positioning."
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Antje Lewe, phone: +49 511 938-1304
-4Continental develops intelligent technologies for transporting people and their goods. As a reliable partner,
the international automotive supplier, tire manufacturer, and industrial partner offers sustainable, safe,
comfortable, customized, and affordable solutions. In 2014, the corporation generated preliminary sales of
approximately €34.5 billion with its five divisions, Chassis & Safety, Interior, Powertrain, Tire, and ContiTech.
Continental currently employs approximately 200,000 people in 53 countries.
The ContiTech division is one of the world's leading suppliers of technical elastomer products and is a
specialist in plastics technology. It develops and produces functional parts, components, and systems for
machine and plant engineering, mining, the automotive industry, and other important industries. Together
with U.S. company Veyance Technologies Inc., which was acquired at the beginning of 2015, ContiTech
generated sales of approximately €5.4 billion (pro forma basis) in 2014 and currently employs approximately
41,000 people in 34 countries worldwide.
Contact for journalists
Antje Lewe
Spokeswoman
Head of Media & Public Relations
ContiTech AG
Phone: +49 511 938-1304
Cell phone: +49 160 4767260
E-mail: antje.lewe@contitech.de
www.contitech.de
This press release is available in the following languages: German, English
Links
Press releases and photos are available for download at www.contitech.de/press
Your contact:
Antje Lewe, phone: +49 511 938-1304