Monday, March 30th18.9°C
25326
25546

Goodyear posts $58M 1st-qtr loss weighed down by charges related to Venezuela

AKRON, Ohio - Goodyear reported a $58 million loss for the first quarter largely due to Venezuelan currency charges.

The loss was compounded by the extreme winter weather across the U.S. that hurt tire sales, the company said.

The Akron, Ohio, tire maker's losses added up to 23 cents per share, in the three months ended March 31. It made $26 million, or 10 cents per share, in the same quarter a year ago.

After one-time charges, including $132 million in charges related to the situation in Venezuela, Goodyear earned 56 cents per share.

Its adjusted earnings still were below Wall Street estimates, and Goodyear shares fell 5 per cent, to $25.94 in early trading Tuesday.

Analysts surveyed by FactSet had expected 60 cents per share for the quarter.

Revenue dropped 8 per cent to $4.47 billion from $4.85 billion, just short of projections for revenue of $4.81 billion according to FactSet.

"We delivered solid performance in our developed markets, led by North America, which reported a 23 per cent increase in earnings. Growth in North America and Europe offset headwinds in emerging markets where we continue to navigate foreign currency and economic challenges," said Chairman and CEO Richard Kramer.

Revenue in North America fell 13 per cent to $1.9 billion for the quarter despite a 23 per cent jump in earnings, to $156 million.

The overall number of tires sold in North America edged lower to 14.6 million, from 14.8 million, because of the rough winter, the company said.

Kramer said the company remains confident in its full-year outlook despite labour and economic trouble in Venezuela.

The company expects 2 per cent to 3 per cent in volume growth for the year.

Shares of Goodyear Tire & Rubber Co. have been on a steady rise over the past year and hit a 52-week high of $28.48 last week amid declining raw material prices.

The Canadian Press


Read more Business News

25603


Recent Trending




Today's Market
S&P TSX14908.39+95.97
S&P CDNX680.33-1.10
DJIA17976.31+263.65
Nasdaq4947.44+56.22
S&P 5002086.24+25.22
CDN Dollar0.7883-0.0003
Gold1184.70-0.10
Oil48.00-0.68
Lumber280.60+1.30
Natural Gas2.62-0.05

 
Okanagan Companies
Pacific Safety0.115-0.010
Knighthawk0.010.00
QHR Technologies Inc1.50+0.00
Cantex0.03-0.01
Anavex Life Sciences0.215-0.004
Metalex Ventures0.04-0.01
Russel Metals24.40-0.10
Copper Mountain Mining1.18+0.05
Colorado Resources0.12-0.01
ReliaBrand Inc0.006-0.001
Sunrise Resources Ltd0.045+0.000
Mission Ready Services0.235-0.020
Decisive Dividend Corporation1.80+0.02

 





FEATURED Property
19272473075 Beverly Place
4 bedrooms 3 baths
$2,195,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Down payment

If you have less than 20% down payment, mortgage insurance is required through Canada Mortgage & Housing (CMHC), Genworth or Canada Guaranty. Homeowners no longer need the minimum 5% down payment ...


CRA Notice of Assessment

Many Canadians rush to file their taxes on time each year and don’t think about it until the next year. One of the most overlooked notices received from the CRA annually is the annual Notice of ...


Medical confidential?

If ICBC asks your doctor for your information you may wonder: Can ICBC ask my doctor for my medical information? Can ICBC request a medical report from my doctor without my consent? What is ICBC entit...

_





25482


Member of BC Press Council


25342