Share “Goodyear 2Q profit rises 18 percent, to $213M”

Goodyear 2Q profit rises 18 percent, to $213M

Published on NewsOK Modified: July 30, 2014 at 10:39 am •  Published: July 30, 2014

AKRON, Ohio (AP) — Goodyear Tire's second-quarter earnings jumped 18 percent to $213 million, though revenue was softer than many had expected and volume slowed in Latin America.

Shares slid 6 percent Wednesday.

Overall tire sales rose 3 percent thanks to strong demand for replacement tires, the company said.

The Akron tire maker's profits added up to 76 cents per share in the three months that ended June 30. That was up from $181 million, or 67 cents per share, in the same quarter a year earlier.

Adjusted earnings of 80 cents per share matched Wall Street estimates, according to a poll by Zacks Investment Research.

"We delivered record second quarter results, driven by strong consumer replacement volumes in all of our regions where our new products are in demand," said Chairman and CEO Richard Kramer.

Yet revenue dropped 5 percent to $4.66 billion from $4.89 billion in the same quarter a year earlier, and missed Wall Street forecasts. Analysts expected $4.74 billion, according to Zacks.

Sales in North America fell 7 percent to $2 billion for the quarter despite a 2 percent jump in earnings, to $208 million.

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