Access comprehensive financial analyses and make smarter investments - get the Manual of Investments on Amazon!

GT

Goodyear Reports Strong Q4 Results

Goodyear, the multinational tire company, has reported its financial results for the fourth quarter and full year of 2025. The company's net sales for the fourth quarter remained flat at $4.9 billion, but organic growth increased by 4%. Goodyear's net income for the fourth quarter was $105 million, which improved from $73 million in the same period of the previous year.

The company's segment operating income for the fourth quarter of 2025 stood at $416 million, marking a 9% increase from the previous year and an 18% increase organically. The segment operating margin also increased by 80 basis points to 8.5%. Furthermore, the company's cash flows from operating activities were reported at $1.5 billion.

The Goodyear Forward initiative delivered $192 million of benefits in the fourth quarter of 2025 and has generated a cumulative segment operating income of $1.25 billion since its inception, exceeding its original commitment by approximately $150 million.

In terms of full-year results, Goodyear's net sales for 2025 amounted to $18.3 billion, with tire unit volumes totaling 158.7 million. The company reported a net loss of $1.7 billion for the full year, largely attributed to several significant items, including gains on asset sales and an insurance recovery, offset by charges and impairment costs.

In the Americas segment, net sales for the fourth quarter of 2025 were $2.9 billion, representing a 0.8% decrease from the previous year, driven by a decline in volume. The Americas segment operating income was $233 million, down $29 million from the previous year.

For the EMEA (Europe, Middle East, and Africa) segment, net sales for the fourth quarter of 2025 increased by 4.9% from the same period in 2024, reaching $1.5 billion. The segment operating income also saw a significant increase of $76 million from the previous year.

In the Asia Pacific segment, net sales for the fourth quarter of 2025 were $528 million, a 12.9% decrease from the previous year, primarily driven by the sale of the off-the-road (OTR) tire business. The segment operating income was $69 million, $13 million lower than the prior year, excluding the impacts related to the sale of the OTR tire business.

Following these announcements, the company's shares moved -2.47%, and are now trading at a price of $9.09. Check out the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

IN FOCUS