Goodyear has posted second-quarter net income down 65% to US$54m down from $157m a year ago.
“Our US consumer replacement and commercial businesses continued to perform well in a challenging environment, aided by recent product launches,” said Goodyear chairman, CEO and president, Richard Kramer.
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“We have continued our focus on strengthening our business by investing in premium supply and enhancing our OE pipeline and cost competitiveness. I am encouraged several of the external factors that have impacted our business in recent quarters are beginning to moderate, positioning us to deliver stronger results.”
Goodyear’s second quarter sales were US$3.6bn, down 5% from a year ago, driven by unfavourable currency translation, lower volume, and reduced sales from other tyre-related businesses. These effects were partially offset by improvements in price/mix.
Year-to-Date Results:
Goodyear’s sales for the first six months of 2019 were US$7.2bn, a 6% decline.
Tyre unit volumes totalled 75.4m, down 3% from 2018. Replacement tyre shipments decreased less than 1% from the prior year’s period. Original equipment volume declined 9%, driven by weaker consumer OE industry demand, reflecting lower global vehicle production, and strategic fitment choices.
Goodyear’s net loss was US$7m for the first six months of 2019, compared to net income of $232m in the prior year period.
