Continental AG Raises 2016 Cash Flow Forecast 11% on Earnings

Continental AG, Europe’s second-biggest car-parts maker, raised its 2016 cash-flow forecast 11 percent after earnings jumped faster than revenue in the first quarter.

Free cash flow excluding acquisitions will amount to at least 2 billion euros ($2.3 billion), versus an earlier prediction of at least 1.8 billion euros, Hanover, Germany-based Continental said Wednesday in a statement. First-quarter sales rose 2.9 percent to 9.85 billion euros, and earnings before interest and taxes, adjusted for one-time gains or costs and takeover effects, increased 8.4 percent to 1.1 billion, it said, reiterating preliminary figures published on April 29.