The Goodyear Tire & Rubber Company has reported third quarter 2024 sales of $4.824 billion, down 6.2 per cent year-on-year, resulting in a net loss of $34 million compared with a net loss of $89 million a year ago.
Goodyear has appointed Maximilian Weber to lead its truck tyre sales in Germany, Austria and Switzerland. As Sales General Manager Commercial DACH, Weber continues a career with Goodyear that began in 2008 and has seen him take on roles of increasing responsibility, most recently as Sales General Manager Consumer for Goodyear’s car tyre business in the Benelux region.
Goodyear’s fourth-quarter 2023 sales decreased 4.8 per cent compared to the previous year driven by “the impact of lower replacement volume and lower third-party chemical sales”. That and other factors resulted in a fourth-quarter 2023 net loss of $291 million compared to a net loss of $104 million – 180 per cent worse than the figure a year ago.
Repeated loss-making quarterly results paired with global cost-cutting and headcount-reduction efforts throughout 2023 mean Goodyear has, understandably, received more attention than usual. Most of this has come from our own research, in response to third-party action – such as Elliott’s now-infamous letter – and off the back of the aforementioned financial results. Since all of the above reasons for writing about Goodyear particularly impact Europe, in mid-October Tyres & Accessories visited the Goodyear EMEA headquarters in Brussels, Belgium, to hear more about exactly how executives are leading the business through its current tumultuous times. The group of executives Tyres & Accessories met with specifically included David Anckaert, Goodyear EMEA vice-president, consumer; and Troy Scully, vice president, communications and public affairs EMEA. Not only does such an opportunity give Goodyear the right-to-reply, it also provides additional insights into the company’s current “transformation” plans. Indeed, that is where our discussion began, with David Anckaert explaining what is meant by transformation in EMEA.
In mid-October Tyres & Accessories visited the Goodyear EMEA headquarters in Brussels, Belgium, to hear more about exactly how executives are leading the business through its recent tumultuous times. The group of executives Tyres & Accessories met with specifically included David Anckaert, Goodyear EMEA vice-president, consumer; and Troy Scully, vice president, communications and public affairs EMEA. The topics we covered included business transformation, manufacturing optimisation and brand reorganisation. The full article is published in the November edition of Tyres & Accessories, but here’s a brief preview of that detailed response.
This article is a preview of the full interview that will be published in the November edition of Tyres & Accessories magazine. Not a subscriber? No problem, click here to become one.
3-and-a-half years after joining Goodyear EMEA, the company’s President Consumer Europe, Hakan Bayman, has left the company.
Yesterday Goodyear shared initial details of how the firm plans to restructure its Europe Middle East and Africa (EMEA) business. Consultation is ongoing, but “around 1,200” jobs will be cut in the region.
Goodyear is significantly restructuring its Europe, Middle East and Africa (EMEA) operations in measures that will result in 1200 job cuts across the salaried workforce, the creation of 500 new positions and therefore a net job reduction of 15%. Tyres & Accessories understands that the “business transformation programme” centres on Goodyear EMEA’s salaried workforce. Furthermore, it does not impact the company’s manufacturing workforce, which has been addressed separately.
Goodyear lost $19 million in the EMEA region in the second quarter of 2023, with segment operating income down $71 million or 136.5 per cent compared with the $52 million operating income achieved at the same point in 2022.
Despite a first-quarter 2023 net loss of $101 million, down $197 million compared with $96 million of positive income 12 months ago, Goodyear executives tried to shine a positive light on the US-based tyremaker’s latest financial results. Volumes may have been 3.2 million units lower than the same period last year at 41.8 million units, but net sales grew 1 per cent compared with the first quarter of 2022 and 4 per cent excluding foreign currency effects. And Goodyear EMEA is back to breakeven, but that wasn’t enough to avoid talk of accelerated cost-cutting measures.
Goodyear reported that fourth-quarter 2022 tyre production levels were 3.5 million units below 2021 when executives published the firm’s full-year 2022 figures in February. That move was enacted in order to “control working capital given the weaker volume environment.” Now officials have confirmed that they decided to extend the pre-planned winter production shutdown into the first quarter of 2023 in the Europe Middle East and Africa (EMEA) region in order to rebalance inventories.
“Sustainability” is not new, but it has really stepped into the foreground in the last couple of years. Furthermore, while “sustainability” is often used synonymously with terms like “green” and “ecological”. It is increasingly used in a much more strategic and philosophical manner to refer to areas across the gamut of environmental as well as corporate and social responsibility domains. At the same time, others have accused businesses of using such language as a means of jumping on the bandwagon and even “greenwashing” their companies to make them appear more sustainable than they are. March’s Tyres & Accessories takes a look at all these points and asks how they relate to the tyre business, beginning with this preview of an interview with Xavier Fraipont, Goodyear VP product development EMEA that will be published in the March edition of Tyres & Accessories magazine.
Goodyear has appointed Hamzeh Afaneh as director of its commercial tyre business in the Middle East & Africa (MEA). Afaneh has spent almost sixteen years in the tyre business, occupying a series of sales and business development roles based in Jordan and the UAE with Bridgestone, Continental and most recently Goodyear as commercial regional manager in early 2021. He led Goodyear’s team for the Gulf Cooperations Council (GCC) and near East regions, growing commercial tyre sales and delivering tailored digital solutions to customers. He was the recipient of Goodyear’s Chairman’s Award in 2022. Announcing his appointment, the company notes his experience of brand marketing, sales and business development across the region.
The news that Goodyear lost $104 million in the fourth quarter of 2022 won’t be welcome in the company’s Europe Middle East and Africa (EMEA) region. The official figures also confirmed projections a fortnight earlier that EMEA’s own fourth-quarter 2022 loss of $80 million would make up the lion’s share of the red numbers. Back then, Goodyear’s Ohio-based global executives announced plans to cut 5 per cent of the firm’s global salaried workforce and official statements featured implicit references to the underperformance of the EMEA region, raising questions about how many jobs would be cut in Europe.
Goodyear reported net losses of $104 million (£85.81 million; 96.71 million euros) in its fourth-quarter 2022 results. By comparison, the same period of 2021 saw $553 million of income. Meanwhile, net sales grew six per cent to $5.374 billion in the period despite 3 per cent lower unit volumes compared with the same period in 2021.
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