Goodyear has unveiled first quarter net income down 18% to US$184m and sales down US$0.4bn to US$3.7bn, largely due to unfavourable foreign currency translation of US$141m and the deconsolidation of the company’s subsidiary in Venezuela.

Nonetheless, the manufacturer reported record first quarter segment operating income of US$419m, up from US$388m a year ago, driven by favourable price/mix net of raw materials and the impact of higher volume.

These improvements were partially offset by the deconsolidation of the Venezuelan subsidiary and higher selling, administrative and general expenses. Core segment operating income, which excludes Venezuela, was US$366m in the year-ago quarter.

“We are very pleased with our strong first quarter performance,” said Goodyear chairman, CEO and president, Richard Kramer.

“Demand for our premium-branded, high-value-added products is robust and our product mix continues to grow richer, driving margin expansion.

“We will continue to focus on profitable growth in market segments where our innovation, brand and operational excellence capabilities provide a competitive advantage.”

Tyre unit volumes totalled 41.5m, up 2% from 2015, driven by growth in the Asia Pacific region, primarily in Japan and China.

Replacement tyre shipments were up 2% and original equipment unit volume rose 2%. Excluding the impact of the deconsolidation of Venezuela, unit volumes increased 3%.