Goodyear Tire & Rubber Company

Goodyear Tire & Rubber delivered a deeply disappointing second quarter, posting an adjusted loss of $0.17 per share against a consensus estimate of $0.14, a miss of 219.72%, even as headline revenue of $4.46 billion landed essentially in line with expectations, down 2.3% year-over-year. The core culprit was a sharp deterioration in segment operating income, which collapsed to $159 million from $334 million a year ago, as a surge of low-cost tire imports disrupted key markets, raw material costs climbed faster than pricing actions, and unit volumes slipped to 37.9 million from 40.1 million. On a GAAP basis, net income appeared robust at $254 million, but that figure was heavily inflated by a $439 million net gain tied to asset sales, including the completed divestiture of the Dunlop brand to Sumitomo Rubber for $735 million in gross proceeds. The company is also contending with roughly 1,800 planned layoffs in 2025 as it works through its Goodyear Forward transformation. CEO Mark Stewart expressed confidence that conditions will stabilize and that the program will exceed its original savings and divestiture targets, with the pending sale of its Chemical business expected to close by late 2025.