(Reuters) -Continental reported a slightly lower-than-expected adjusted earnings margin in its preliminary second quarter results on Wednesday, citing negative currency exchange effects and high freight costs which weighed on its automotive segment.
Sales at the car parts maker hit 10.4 billion euros ($11.53 billion), meeting expectations of analysts polled by the company, but its adjusted EBIT margin was 4.8% rather than the expected 5.8%, it said.
The automotive segment saw a loss on its earnings margin of -0.6%, below the consensus of 1%, despite meeting expectations for sales at 5.1 billion euros.
Still, the company expected the segment to see gains in the third quarter from ongoing negotiations with customers, it said, without providing details.
As such, the full-year outlook across the group of a 5.5-6.5% margin on 42-45 billion euro sales, confirmed in May after strong first quarter results, remained unchanged.
Continental is due to report full second quarter results on Aug. 9.
($1 = 0.9016 euros)
(Reporting by Andrey Sychev, Victoria Waldersee, Editing by Rachel More)
