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News

Goodyear posts opening quarter loss

Goodyear, despite posting record sales for the opening quarter of 2012, has recording an overall Q1 loss.

Comparing the same market period from 2011, Goodyear’s sales were US$5.5 billion, around 2% up from the 2011-quarter. However, total unit sales were 8% down to around 43 million units.

Goodyear states that this is indicative of a weak industry demand in many markets, and mirrors figures for 2010.

“I'm pleased with our results as our businesses posted solid operating income," said Richard J. Kramer, chairman and chief executive officer. "Our teams delivered these results in the face of a difficult volume environment and high raw material costs, with a strong focus on price/mix.

"Our first quarter results demonstrated a consistent focus on our global Strategy Roadmap," Kramer added. "We have positive momentum and I remain confident that we will reach our 2013 targets."

As a result of the continuing global economic weaknesses, Goodyear has reforecast its long-term growth, stating that it expects it to continue, but at ‘a slower pace than previously thought’. Goodyear state that its 2012 tire unit sales to be around 2% below that of 2011.

 


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