Goodyear Q3 adjusted EPS misses analyst expectations on weak replacement market demand
GT•Goodyear reported third-quarter sales of $4.5 billion, down 2.3% year over year and in line with analyst expectations. Adjusted EPS was a loss of $0.11, missing the $0 consensus, as weak replacement tire demand, inflation and higher costs weighed on results.
1. Quarterly results
Goodyear reported third-quarter net sales of $4.5 billion, down 2.3% year over year and meeting analyst expectations. Adjusted net loss was $31 million, compared with consensus for net income of $33.65 million; the company reported a net loss of $238 million and segment operating income of $174 million.
2. Demand and costs
The company said lower tire unit volume reflected weak replacement market demand. Inflation, higher tariffs and other costs reduced segment operating income, while price and mix benefits helped lift organic net sales 1.6%, partially offset by lower volume. Goodyear did not provide specific financial guidance for upcoming quarters or the full year.
