Goodyear has recorded third-quarter net income of $88m down from US$351m a year ago.
The decrease was driven by a US$287m net gain recorded during the third quarter of 2018 resulting from the company’s TireHub transaction.
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“In the Americas, we saw continued strength in our US consumer replacement business and solid growth in Brazil, giving us positive momentum in these important markets as we head into the final months of the year,” said CEO and president, Richard Kramer.
“Our Asia Pacific business improved in the quarter as we benefitted from the launch of several new OE fitments in China, which helped mitigate the impact of lower auto production. This is a testament to the strength of our technology and our success winning fitments on the right platforms.
“Industry conditions were softer than we anticipated in Europe and we continued to see an adverse impact from lack of alignment in our distribution channels. In response, we expect to accelerate our plans to rationalise distribution in the region.
“These actions, which will begin early next year, should improve the focus on our brands and ensure that we capture the full benefits of the investments we are making to increase the supply of premium, high margin tyres over the next few years.”
Goodyear’s third quarter 2019 sales were US$3.8bn down 3% from a year ago, driven by unfavourable foreign currency translation and lower third-party chemical sales.
