Shares of Goodyear Tire & Rubber (GT) are up 45 cents, or 3%, at $14.50 and were higher than that a little while ago after the company reported Q1 revenue ahead of estimates but also produced a bigger-than-expected loss.
Q1 revenue was up 21%, year over year, at $4.27 billion, beating the consensus $3.99 billion, yielding a net loss of 19 cents per share, shy of the 2-cent average estimate. It was the first quarter under new CEO Richard Kramer, who just took over this month.
The net loss per share included several one-time items not backed out, including a 41-cent-per-share charge from Venezuela’s currency devaluation, asset write-offs, and other charges.
North American tire demand rose 9%, while Europe, the Middle East and Africa saw a 14% jump, Latin America a 21%, and Asia Pacific saw a 27% rise in volume. The company said prices and the mix of products sold was “strong.”
Kramer predicted the strong volumes would help the company weather raw materials cost increases.
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