Continental maintains tire outlook but warns of rising raw material costs in H2

German tiremaker Continental reaffirmed its full-year guidance for its core tires business, even as it warned of a substantial increase in raw-material costs expected in the second half of the year. The company's Q2 adjusted EBIT rose to €570 million from €422 million a year earlier, though sales fell 9.1% to €4.41 billion following divestitures. Continental is in the final phase of a strategic realignment to become a pure-play tire manufacturer.