The Goodyear Tire & Rubber Company announced a third-quarter 2024 net loss of $34 million, or $0.12 per share, with adjusted net income reaching $105 million, or $0.37 per share. Sales for the quarter were $4.8 billion, accompanied by tire unit volumes totaling 42.5 million. The company achieved a segment operating income of $347 million, resulting in a segment operating income margin of 7.2%, marking its fourth consecutive quarter of margin expansion.
Goodyear is increasing its target for gross run-rate gains from the Goodyear Forward transformation plan to $1.5 billion by the end of 2025, an increase of $200 million from the original target. This program is expected to deliver $450 million in year-over-year gross benefits in 2024 and an additional $750 million in 2025. The company reaffirmed its commitment to achieving a 10% segment operating income margin and net leverage between 2.0x and 2.5x by the fourth quarter of 2025.
The segment operating income increase of $11 million from a year ago reflects $123 million in benefits from the Goodyear Forward plan and $17 million from insurance proceeds. These gains partially offset headwinds from lower tire volume of $74 million and inflation of $53 million. The company's portfolio optimization efforts, including the signed definitive agreement for the Off-The-Road (OTR) business sale, are in progress and targeting over $2 billion in gross proceeds.
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