GOODYEAR TIRE & RUBBER CO /OH/ (GT) Earnings History

GOODYEAR TIRE & RUBBER CO /OH/ - Q4 FY2025 EarningsBeat

Filed at: Feb 9, 2026, 4:30 PM EST|Read from source

EXECUTIVE SUMMARY

Goodyear reported a strong fourth quarter with improved segment operating income and margin, driven by the Goodyear Forward plan and favorable price/mix. However, full-year results showed a significant net loss due to impairments and other charges, with adjusted net income and EPS declining year-over-year.

POSITIVE HIGHLIGHTS

  • •

    Fourth quarter segment operating income of $416 million was up 9% from the prior year, reaching the highest level in over seven years.

    positive
  • •

    Fourth quarter segment operating margin was 8.5%, an increase of 80 basis points year-over-year.

    positive
  • •

    Goodyear Forward plan delivered $192 million in benefits in Q4 2025, exceeding its original commitment and reaching a $1.5 billion run-rate.

    positive
  • •

    Full-year 2025 proceeds from divestitures and asset sales of $2.3 billion exceeded the target by $300 million.

    positive

CONCERNS & RISKS

  • •

    Full-year 2025 net loss was $1.7 billion, a significant decline from a net income of $46 million in 2024, impacted by a $1.5 billion deferred tax asset valuation allowance and a $674 million goodwill impairment charge.

    negative
  • •

    Full-year 2025 adjusted net income was $136 million, down from $278 million in 2024, and adjusted EPS fell to $0.47 from $0.97.

    negative
  • •

    Full-year 2025 total segment operating income was $1.1 billion, down from $1.3 billion in 2024, reflecting lower volumes and headwinds in the commercial industry.

    negative
  • •

    Americas segment operating income decreased $29 million year-over-year due to the non-recurrence of insurance recoveries and the impact of the Chemical business sale.

    attention
  • •

    Asia Pacific segment net sales decreased 12.9% year-over-year, driven by the sale of the OTR tire business and lower consumer OE sales in China.

    attention
  • •

    Tire unit volume decreased in the Americas and EMEA segments year-over-year.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$4.92B
-0.6%
Prior year: $4.95B
Annual (YTD)
$18.28B
N/A
Prior year: $18.88B
Net Income
Quarterly
$105.00M
+43.8%
Prior year: $73.00M
Annual (YTD)
$-1.72B
N/A
Prior year: $46.00M
EPS (Diluted)
Quarterly
$0.36
+44.0%
Prior year: $0.25
Operating Income
Quarterly
$416.00M
+8.9%
Prior year: $382.00M
Annual (YTD)
$1.06B
N/A
Prior year: $1.30B
EPS (Basic)
Quarterly
$0.36
+44.0%
Prior year: $0.25

MARGIN ANALYSIS

Gross Margin
Current Quarter
20.9%
Prior Year
20.0%
YoY Change
+91 bps
Operating Margin
Current Quarter
8.5%
Prior Year
7.7%
YoY Change
+74 bps
Net Margin
Current Quarter
2.1%
Prior Year
1.5%
YoY Change
+67 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q4 FY2025 2025

VISUAL OVERVIEW

|
AMERICAS
0.0%
N/A
EMEA
0.0%
N/A
ASIA PACIFIC
0.0%
N/A

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% Total
AMERICAS
N/A———
EMEA
N/A———
ASIA PACIFIC
N/A———
Total Revenue$0.00M——100.0%

Segment performance shows business unit health and growth drivers.

SPECIAL ITEMS & ADJUSTMENTS

Q4 2025
Gains on asset sales
Pre-tax
+$116M
Q4 2025
Insurance recovery
Included in adjusted net income
+$56M
$0.19 per share
Q4 2025
Pension settlement charges
Pre-tax
+$129M
$0.44 per share
Q4 2025
Rationalization charges, asset write-offs, and accelerated depreciation and leases
Pre-tax
+$50M
$0.19 per share
Q4 2025
Discrete tax items
Pre-tax
+$6M
$0.01 per share
FY 2025
Gains on asset sales
Pre-tax
+$816M
FY 2025
Insurance recovery
Pre-tax
+$56M
FY 2025
Non-cash deferred tax asset valuation allowance
Pre-tax
+$1,500M
$5.03 per share
FY 2025
Non-cash goodwill impairment charge
Pre-tax
+$674M
$2.33 per share
FY 2025
Rationalization charges, asset write-offs, and accelerated depreciation and leases
Pre-tax
+$354M
$1.13 per share
FY 2025
Pension settlement charges
Pre-tax
+$201M
$0.69 per share
FY 2025
Goodyear Forward costs
Pre-tax
+$15M
$0.05 per share
Total Impact
+$3,973M$10.06 per share

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

Delivered another strong quarter, driven by execution of our Goodyear Forward plan.

— GOODYEAR TIRE & RUBBER CO /OH/, Q4 FY2025 2025 Earnings Call

Fourth quarter results mark the highest segment operating income and margin the company has achieved in more than seven years.

— GOODYEAR TIRE & RUBBER CO /OH/, Q4 FY2025 2025 Earnings Call

While we continue to face challenging industry conditions in the first quarter, we are operating with greater focus and discipline on the elements within our control – much as we did throughout 2025 – to navigate the current environment.

— GOODYEAR TIRE & RUBBER CO /OH/, Q4 FY2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Tire Units
42.3M
-5.2% YoY
Prior year: 44.6M
units

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.