Continental Aims to Triple Returns With Tech-Focused CEO

  • Car-parts maker seeks 8%-11% Ebit margin in the medium term
  • German company to focus on software, autonomous driving
Photographer: Andrey Rudakov/Bloomberg
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Continental AG seeks to grow faster than its automotive peers and roughly triple profitability as Europe’s second-largest maker of vehicle parts pushes through a deep restructuring under new Chief Executive Officer Nikolai Setzer.

Continental is targeting an 8% to 11% adjusted earnings before interest and taxes margin in the medium term, the German manufacturer said Wednesday, up from its forecast for about 3% this year. It may buy companies, sell businesses and strike partnerships to achieve its goals.