Goodyear’s Sales Rise Amid Strong Consumer Replacement Business

The Goodyear Tire & Rubber Company reported as part of its financial results that sales climbed to $3.5 billion in the first quarter of 2021, according to a Friday (April 30) announcement.

The tire company posted $102 million in first-quarter adjusted net income (43 cents per diluted share) in contrast to a $140 million adjusted net loss (60 cents per diluted share) in 2020. In addition, the firm posted $226 million in segment operating income in the first quarter of 2021, up from $273 million a year prior.

“We delivered impressive segment operating income, which was significantly above first-quarter 2020 results and also nearly 20 percent higher than first-quarter 2019 despite sales volumes not yet having fully recovered to pre-COVID levels,” Chairman, CEO and President Richard J. Kramer said in the announcement. Kramer also noted that the company’s consumer replacement operation provided “outstanding results.”

Goodyear reported $1.8 billion in Americas’ first-quarter 2021 sales, which were up 7 percent from 2020. They were fueled by increased volume and enhancements in mix/price, but were offset, in part, by unfavorable foreign currency translation.

The company also reported that Asia Pacific’s first-quarter 2021 sales climbed 27 percent to $493 million. Those sales were fueled by increased volume and favorable foreign currency translation.

Moreover, Goodyear reported that Europe, Middle East and Africa’s first-quarter 2021 sales climbed 24 percent from 2020 to $1.2 billion because of increased volume, enhancements in mix/price and favorable foreign currency translation.

Goodyear is among the biggest tire firms in the world. The company employs approximately 62,000 individuals and makes its products in 46 facilities in 21 nations throughout the globe.

In addition, Goodyear has innovation centers in Colmar-Berg, Luxembourg and Akron, Ohio that “strive to develop state-of-the-art products and services that set the technology and performance standard for the industry,” according to the announcement.

In separate automotive retail industry news, Advance Auto Parts said it expects comparable-store sales growth to range from 22 percent to 24 percent in the first quarter of 2021.