Goodyear Announces Fourth Quarter and Full-Year 2025 Financial Results

Rhea-AI Summary

Goodyear (NASDAQ:GT) reported fourth-quarter 2025 net sales of $4.9 billion and full-year net sales of $18.3 billion. Q4 net income was $105 million (adjusted $113 million); FY2025 net loss was $1.7 billion driven by non-cash valuation and impairment charges.

Q4 segment operating income was $416 million, with Goodyear Forward delivering $192 million in the quarter and $1.25 billion cumulative benefits; divestiture proceeds were $2.3 billion.

Positive

• Q4 segment operating income of $416 million, up 9% year-over-year
• Goodyear Forward delivered $192 million in Q4 and $1.25 billion cumulative benefits
• Divestitures and asset sales generated $2.3 billion of proceeds in 2025

Negative

• Full-year 2025 net loss of $1.7 billion (driven by a $1.5 billion deferred tax asset valuation allowance and $674 million goodwill impairment)
• Adjusted net income fell to $136 million from $278 million year-over-year

News Market Reaction – GT

-13.50% 2.2x vol

39 alerts

-13.50% Session close to close

-13.1% Trough in 19 hr 43 min

$3.01B Market Cap

2.2x Rel. Volume

In the Feb 10 session, GT declined 13.50%, reflecting a significant negative market reaction. Argus tracked a trough of -13.1% from its starting point during tracking. Our momentum scanner triggered 39 alerts that day, indicating elevated trading interest and price volatility. Trading volume was elevated at 2.2x the daily average, suggesting increased selling activity.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The stock dropped -13.5% in the session following this news. A negative reaction despite healthy Q4 ...

Analysis

The stock dropped -13.5% in the session following this news. A negative reaction despite healthy Q4 metrics would fit past patterns where investors focused on underlying earnings quality and industry softness. Full-year 2025 showed a $1.7B net loss driven by non-cash charges, and adjusted net income fell to $136M. Even with Q4 segment margins at 8.5% and sizable Goodyear Forward benefits, concerns about volume pressure, tariffs and inflation have previously weighed on post-earnings trading.

Key Figures

Q4 2025 net sales: $4.9 billion Q4 2025 net income: $105 million ($0.36/share) Q4 adj. EPS: $0.39 +5 more

8 metrics

Q4 2025 net sales $4.9 billion Fourth quarter 2025 net sales, flat year-on-year, up 4% organically

Q4 2025 net income $105 million ($0.36/share) Compared to $73 million ($0.25/share) in prior-year quarter

Q4 adj. EPS $0.39 Adjusted EPS vs $0.38 in prior-year quarter; excludes significant items

Q4 segment operating income $416 million Up 9% reported, 18% organically; 8.5% margin, highest in 7+ years

2025 net sales $18.3 billion Full-year 2025 net sales with tire volumes of 158.7 million units

2025 net loss $1.7 billion (-$5.99/share) Includes $1.5B tax valuation allowance and $674M goodwill impairment

2025 adjusted net income $136 million ($0.47/share) Down from $278 million ($0.97/share) in prior year

Divestiture proceeds 2025 $2.3 billion Proceeds from Chemical, OTR and Dunlop sales, primarily used to reduce debt

Previous Earnings Reports

5 past events · Latest: Nov 03 (Neutral)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Nov 03	Q3 2025 earnings	Neutral	+0.0%	Large GAAP loss from tax allowance and goodwill, but solid adjusted income.
Aug 07	Q2 2025 earnings	Negative	-18.5%	Adjusted loss and weaker segment income despite gains from Dunlop sale.
May 07	Q1 2025 earnings	Negative	-0.6%	Adjusted loss and lower segment income alongside OTR and Dunlop divestitures.
Feb 13	Q4 2024 results	Positive	+17.3%	Stronger Q4 and full-year profits with higher segment operating income and cash flow.
Nov 04	Q3 2024 earnings	Positive	+13.7%	Adjusted profitability and ongoing margin expansion under Goodyear Forward plan.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Earnings headlines have consistently driven price moves whose direction matches the news tone, with both strong rallies and sharp selloffs.

Recent Company History

Over the past five reported periods, GT’s earnings have featured sizable one-time items, transformation benefits and divestitures. Q3 and Q2 2025 showed large GAAP losses tied to a $1.4B deferred tax valuation allowance and $674M goodwill impairment, while adjusted results stayed positive or near breakeven. Earlier, Q4 2024 and Q3 2024 highlighted margin expansion and rising segment operating income under Goodyear Forward. Today’s full-year 2025 release extends that narrative with higher Q4 segment margins but a GAAP loss from non‑cash charges.

Key Terms

segment operating income, segment operating margin, basis points, rationalization charges, +4 more

8 terms

segment operating income financial

"Segment operating income of $416 million – well ahead of expectations"

Segment operating income is the profit a company earns from one specific part of its business after subtracting the costs of running that part but before interest, taxes and corporate-level items. For investors, it shows which divisions are actually generating operating profit and lets you compare the health and efficiency of different business “slices,” much like checking the cash a single store in a chain makes before company-wide overhead is applied.

segment operating margin financial

"Segment operating margin of 8.5%, up 80 basis points"

Segment operating margin measures how much profit a specific part of a company keeps from its sales after paying the costs to run that part, expressed as a percentage. Investors use it like a slice-size indicator to compare which divisions are more efficient at turning revenue into operating profit, helping spot strengths, weaknesses, and where management might focus resources or improvements.

basis points financial

"Segment operating margin of 8.5%, up 80 basis points"

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

rationalization charges financial

"offset by pension settlement charges of $129 million, rationalization charges, asset write-offs"

Rationalization charges are one-time costs a company records when it restructures or simplifies operations—such as closing factories, laying off workers, consolidating offices or writing down excess inventory—to become leaner and more efficient. For investors these charges matter because they temporarily reduce reported profits but can signal future cost savings and improved competitiveness; think of paying for a home renovation now to lower monthly bills later.

goodwill impairment charge financial

"a non-cash goodwill impairment charge of $674 million"

Goodwill impairment charge is an accounting write-down taken when the extra value a company recorded from buying another business — things like reputation, customer relationships or brand name — is later judged to be worth less than originally paid. For investors it matters because the charge reduces reported profits and shareholder equity, often signaling that an acquisition didn’t deliver expected benefits and prompting closer scrutiny of future cash flow and management decisions.

deferred tax asset valuation allowance financial

"a non-cash deferred tax asset valuation allowance of $1.5 billion"

A deferred tax asset valuation allowance is a reserve a company sets aside to account for the possibility that some of its future tax savings might not actually happen. It’s like saving money in case a promised discount or refund doesn’t materialize, ensuring the company’s financial picture stays accurate and honest.

original equipment technical

"Consumer original equipment tire unit volume decreased 2.6%"

Original equipment are the parts, components or systems that are installed in a product by the manufacturer during initial assembly, rather than added later by third parties. For investors, knowing whether sales come from original equipment or aftermarket can signal a company's strength in winning factory contracts, recurring replacement demand, and pricing power—much like being the preferred supplier for a car maker versus selling parts at a garage.

non-GAAP financial measures financial

"See "Non-GAAP Financial Measures" and "Financial Tables" for further explanation"

Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Fourth Quarter Highlights

Net sales of $4.9 billion, flat from 2024 and up 4% organically  

Goodyear net income of $105 million, or $113 million as adjusted

Segment operating income of $416 million – well ahead of expectations, up 9% from 2024, up 18% organically

Segment operating margin of 8.5%, up 80 basis points, cash flows from operating activities of $1.5 billion

Goodyear Forward delivered $192 million of benefits

AKRON, Ohio, Feb. 9, 2026 /PRNewswire/ -- The Goodyear Tire & Rubber Company (NASDAQ:GT) reported fourth quarter and full-year 2025 results today and the company will host an investor call tomorrow morning, Tuesday, Feb. 10, at 8:30 a.m. Eastern time led by Mark Stewart, Goodyear's chief executive officer and president, and Christina Zamarro, the company's executive vice president and chief financial officer.

"We delivered another strong quarter, driven by execution of our Goodyear Forward plan," said Mark Stewart, chief executive officer and president. "Our fourth quarter results mark the highest segment operating income and margin the company has achieved in more than seven years. 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."

Financial Results

Goodyear's fourth quarter 2025 net sales were $4.9 billion, with tire unit volumes totaling 42.3 million. After adjusting for the impact of the sales of its Off-the-Road (OTR) tire and Chemical businesses of $227 million, organic net sales increased 4%. Fourth quarter 2025 Goodyear net income was $105 million, or $0.36 per share, compared to Goodyear net income one year ago of $73 million, or $0.25 per share. The fourth quarter of 2025 included several significant items, including, on a pre-tax basis, gains on asset sales of $116 million, and an insurance recovery of $56 million, offset by pension settlement charges of $129 million, rationalization charges, asset write-offs, and accelerated depreciation and leases of $50 million and discrete tax items of $6 million.

Fourth quarter 2025 adjusted net income was $113 million, compared to adjusted net income of $111 million in the prior year's quarter. Adjusted earnings per share was $0.39, which includes several items, notably an adjustment for an insurance recovery of $56 million, or $0.19 per share, in the fourth quarter, compared to $0.38 in the prior year's quarter. Per share amounts are diluted.

Segment Results

The company reported total segment operating income of $416 million in the fourth quarter of 2025, compared to $382 million from a year ago. After adjusting for the impact of the sales of its Off-the-Road (OTR) tire and Chemical businesses of $30 million, organic segment operating income increased $64 million, or 18%. The increase in segment operating income reflects benefits from Goodyear Forward of $192 million and favorable price/mix versus raw material costs of $197 million, offset by inflation, tariffs, and other costs of $227 million, and the impact of lower volume of $92 million. 

Goodyear Forward

Goodyear Forward delivered $192 million of benefits in the fourth quarter of 2025. Since inception, the program has generated $1.25 billion of cumulative segment operating income benefits, exceeding its original commitment by approximately $150 million. At the end of 2025, the company had reached a $1.5 billion run-rate over the two-year program.

Additionally, in 2025, Goodyear generated $2.3 billion of proceeds from divestitures and other asset sales, including the sales of its Chemical and OTR businesses and the Dunlop brand, which were primarily used to reduce debt. This exceeded the Company's asset sale proceeds target by approximately $300 million.

Full-Year Results

Goodyear's 2025 net sales were $18.3 billion, with tire unit volumes totaling 158.7 million. Goodyear net loss was $1.7 billion, or ($5.99) per share, compared to Goodyear net income of $46 million, or $0.16 per share, a year ago. Full-year 2025 included several significant items, including, on a pre-tax basis, gains on asset sales of $816 million and an insurance recovery of $56 million, offset by a non-cash deferred tax asset valuation allowance of $1.5 billion, a non-cash goodwill impairment charge of $674 million, rationalization charges, asset write-offs, and accelerated depreciation and leases of $354 million, pension settlement charges of $201 million, and Goodyear Forward costs of $15 million.

Full-year 2025 adjusted net income was $136 million, compared to adjusted net income of $278 million in the prior year. Adjusted earnings per share was $0.47, compared to $0.97 in the prior year.

The company reported total segment operating income of $1.1 billion in 2025, compared to $1.3 billion in the prior year. After adjusting for the impact of the sales of its OTR tire and Chemical businesses of $75 million, segment operating income declined $170 million, reflecting lower volumes amid continued headwinds in the commercial industry, as well as tariff-related market dynamics. Segment operating income reflects benefits from Goodyear Forward of $772 million and net price/mix versus raw material costs of $22 million, offset by inflation, tariffs, and other costs of $543 million, lower volume of $285 million, and non-recurrence of insurance recoveries, net of expenses, of $62 million.

Additional earnings materials can be found on Goodyear's investor relations website at http://investor.goodyear.com. 

Reconciliation of Non-GAAP Financial Measures

See "Non-GAAP Financial Measures" and "Financial Tables" for further explanation and reconciliation tables for historical Total Segment Operating Income and Margin; Adjusted Net Income (Loss); and Adjusted Diluted Earnings per Share, reflecting the impact of certain significant items on the 2025 and 2024 periods. Organic earnings measures exclude the impact of divestitures; see "Non-GAAP Financial Measures" for additional details.

Business Segment Results

AMERICAS 

	Fourth Quarter		Year Ended
(In millions)	2025	2024	2025	2024
Tire Units	21.1	22.0	78.2	81.6
Net Sales	$2,867	$2,890	$10,768	$11,033
Segment Operating Income	$233	$262	$735	$933
Segment Operating Margin	8.1 %	9.1 %	6.8 %	8.5 %

Americas' fourth quarter 2025 net sales of $2.9 billion were 0.8% lower than the previous year, driven by a decline in volume, partially offset by price/mix benefits. Tire unit volume decreased 3.9%. Replacement tire unit volume decreased 3.7%, primarily due to reduced sales as a result of high channel inventories of imported products in the U.S. Consumer original equipment tire unit volume decreased 2.6%, driven by lower OEM production. Similar to prior quarters, the Commercial business experienced a sharp contraction in industry demand.

Segment operating income of $233 million decreased $29 million from last year. The decrease was driven by the non-recurrence of 2024 net insurance recoveries of $52 million and the impact of the sale of the Chemical business of $7 million.

EMEA

	Fourth Quarter		Year Ended
(In millions)	2025	2024	2025	2024
Tire Units	12.3	12.6	47.9	48.9
Net Sales	$1,522	$1,451	$5,550	$5,425
Segment Operating Income	$114	$38	$114	$92
Segment Operating Margin	7.5 %	2.6 %	2.1 %	2.3 %

EMEA's fourth quarter 2025 net sales of $1.5 billion increased 4.9% from fourth quarter 2024, driven by benefits in price/mix and currency, partly offset by lower tire volume. Tire unit volume decreased 2.3%. Replacement unit volume decreased 8.2%, driven by industry weakness. Original equipment tire unit volume increased 14.3%, reflecting significant consumer market share gains.

Fourth quarter segment operating income of $114 million increased $76 million from the previous year. EMEA's results include an insurance recovery of $56 million, which is excluded from total company adjusted net income and adjusted earnings per share.

ASIA PACIFIC

	Fourth Quarter		Year Ended
(In millions)	2025	2024	2025	2024
Tire Units	8.9	9.0	32.6	36.1
Net Sales	$528	$606	$1,962	$2,420
Segment Operating Income	$69	$82	$208	$277
Segment Operating Margin	13.1 %	13.5 %	10.6 %	11.4 %

Asia Pacific's fourth quarter 2025 net sales of $528 million were 12.9% lower than the previous year, driven by the sale of the OTR tire business. Tire unit volume decreased 1.6%, driven by lower consumer OE sales in China.

Fourth quarter 2025 segment operating income of $69 million was $13 million lower than the prior year, which was driven by the sale of the OTR tire business. Excluding the impacts related to the sale of the OTR tire business of $29 million, Asia Pacific segment operating income increased 30% and segment operating margin grew 330 basis points.

Conference Call

The company will host an investor call on Tuesday, Feb. 10, 2026, at 8:30 a.m. Eastern time. Please visit Goodyear's investor relations website: http://investor.goodyear.com, for additional earnings materials.

Participating in the conference call will be Mark Stewart, chief executive officer and president, and Christina Zamarro, executive vice president and chief financial officer.

The investor call can be accessed on the website or via telephone by calling either (800) 343-4849 or (203) 518-9848 before 8:25 a.m. Eastern time and providing the conference ID "Goodyear." A replay will be available by calling (800) 925-9899 or (402) 220-5392. The replay will also be available on Goodyear's investor relations website.

About Goodyear

Goodyear is one of the world's largest tire companies. It employs about 63,000 people and manufactures its products in 49 facilities in 19 countries around the world. Its two Innovation Centers in Akron, Ohio, and Colmar-Berg, Luxembourg, strive to develop state-of-the-art products and services that set the technology and performance standard for the industry. For more information about Goodyear and its products, go to www.goodyear.com/corporate. 

Forward-Looking Statements

Certain information contained in this news release constitutes forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. There are a variety of factors, many of which are beyond our control, that affect our operations, performance, business strategy and results and could cause our actual results and experience to differ materially from the assumptions, expectations and objectives expressed in any forward-looking statements. These factors include, but are not limited to: our ability to implement successfully our strategic initiatives; actions and initiatives taken by both current and potential competitors; increases in the prices paid for raw materials and energy; inflationary cost pressures; changes in tariffs, trade agreements or trade restrictions; delays or disruptions in our supply chain or the provision of services to us; a prolonged economic downturn or period of economic uncertainty; deteriorating economic conditions or an inability to access capital markets; a labor strike, work stoppage, labor shortage or other similar event; financial difficulties, work stoppages, labor shortages or supply disruptions at our suppliers or customers; the adequacy of our capital expenditures; foreign currency translation and transaction risks; our failure to comply with a material covenant in our debt obligations; potential adverse consequences of litigation involving the company; as well as the effects of more general factors such as changes in general market, economic or political conditions or in legislation, regulation or public policy. Additional factors are discussed in our filings with the Securities and Exchange Commission, including our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. In addition, any forward-looking statements represent our estimates only as of today and should not be relied upon as representing our estimates as of any subsequent date. While we may elect to update forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if our estimates change.

Revision of Previously Issued Financial Statements

This news release reflects revised prior period financial information to correct an accounting error related to the historic computation of currency remeasurement for our foreign operations in Turkey. We evaluated the errors and determined that the related impacts were not material in any previously issued annual or interim financial statements. See Notes 1 and 16 of the Notes to Consolidated Financial Statements included in our Form 10-Q for the quarterly period ended June 30, 2025, filed on August 8, 2025, for revised financial information reflecting the corrections to prior periods.

Non-GAAP Financial Measures (unaudited)

This news release presents non-GAAP financial measures, including Total Segment Operating Income and Margin, Adjusted Net Income (Loss), Adjusted Diluted Earnings Per Share (EPS), and organic earnings measures, which are important financial measures for the company but are not financial measures defined by U.S. GAAP, and should not be construed as alternatives to corresponding financial measures presented in accordance with U.S. GAAP.

Total Segment Operating Income is the sum of the individual strategic business units' (SBUs') Segment Operating Income as determined in accordance with U.S. GAAP. Total Segment Operating Margin is Total Segment Operating Income divided by Net Sales as determined in accordance with U.S. GAAP. Management believes that Total Segment Operating Income and Margin are useful because they represent the aggregate value of income created by the company's SBUs and exclude items not directly related to the SBUs for performance evaluation purposes. The most directly comparable U.S. GAAP financial measures to Total Segment Operating Income and Margin are Goodyear Net Income (Loss) and Return on Net Sales (which is calculated by dividing Goodyear Net Income (Loss) by Net Sales).

Adjusted Net Income (Loss) is Goodyear Net Income (Loss) as determined in accordance with U.S. GAAP adjusted for certain significant items. Adjusted Diluted Earnings Per Share (EPS) is the company's Adjusted Net Income (Loss) divided by Weighted Average Shares Outstanding-Diluted as determined in accordance with U.S. GAAP. Management believes that Adjusted Net Income (Loss) and Adjusted Diluted Earnings Per Share (EPS) are useful because they represent how management reviews the operating results of the company excluding the impacts of rationalizations, asset write-offs, accelerated depreciation, discrete tax items, impairments, asset sales and certain other significant items.

Organic earnings measures, including organic Net Sales growth, organic Segment Operating Income and organic Segment Operating Income growth, are non-GAAP financial measures that exclude the direct impacts of the divestitures of our OTR and Chemical businesses from year-over-year comparisons. We believe these measures provide investors with a supplemental understanding of underlying earnings trends by providing comparisons on a constant basis. We completed the sale of our OTR and Chemical businesses in February 2025 and October 2025, respectively.

It should be noted that other companies may calculate similarly-titled non-GAAP financial measures differently and, as a result, the measures presented herein may not be comparable to such similarly-titled measures reported by other companies. See the following tables for reconciliations of historical Total Segment Operating Income and Margin, Adjusted Net Income (Loss), and Adjusted Diluted Earnings Per Share to the most directly comparable U.S. GAAP financial measures.

The Goodyear Tire & Rubber Company and Subsidiaries
Financial Tables (Unaudited) Table 1: Consolidated Statements of Operations
	Three Months Ended				Year Ended
	December 31,				December 31,
(In millions, except per share amounts)	2025		2024		2025		2024
Net Sales	$  4,917		$  4,947		$  18,280		$  18,878
Cost of Goods Sold	3,890		3,961		14,909		15,192
Selling, Administrative and General Expense	701		692		2,719		2,782
Goodwill and Intangible Asset Impairment	—		—		674		125
Rationalizations	33		34		194		86
Interest Expense	104		131		445		522
Other Expense	141		39		288		134
Net (Gain) Loss on Asset Sales	(116)		2		(816)		(93)
Income (Loss) before Income Taxes	164		88		(133)		130
United States and Foreign Tax Expense	66		20		1,567		95
Net Income (Loss)	98		68		(1,700)		35
Less: Minority Shareholders' Net Income (Loss)	(7)		(5)		21		(11)
Goodyear Net Income (Loss)	$     105		$       73		$  (1,721)		$       46
Goodyear Net Income (Loss) — Per Share of Common Stock
Basic	$    0.36		$    0.25		$    (5.99)		$    0.16
Weighted Average Shares Outstanding	288		287		288		287
Diluted	$    0.36		$    0.25		$    (5.99)		$    0.16
Weighted Average Shares Outstanding	290		288		288		288

 

Table 2: Consolidated Balance Sheets
	December 31,		December 31,
(In millions, except share data)	2025		2024
Assets:
Current Assets:
Cash and Cash Equivalents	$                     801		$                     810
Accounts Receivable, less Allowance — $89 ($84 in 2024)	2,341		2,482
Inventories:
Raw Materials	616		728
Work in Process	195		207
Finished Products	2,761		2,619
	3,572		3,554
Assets Held for Sale	58		466
Prepaid Expenses and Other Current Assets	446		277
Total Current Assets	7,218		7,589
Goodwill	42		756
Intangible Assets	663		805
Deferred Income Taxes	348		1,686
Other Assets	1,096		1,052
Operating Lease Right-of-Use Assets	998		951
Property, Plant and Equipment, less Accumulated Depreciation — $12,390 ($12,212 in 2024)	7,843		8,082
Total Assets	$                18,208		$                 20,921
Liabilities:
Current Liabilities:
Accounts Payable — Trade	$                   3,879		$                   4,092
Compensation and Benefits	578		606
Other Current Liabilities	1,259		1,089
Notes Payable and Overdrafts	506		558
Operating Lease Liabilities due Within One Year	196		200
Long Term Debt and Finance Leases due Within One Year	364		832
Total Current Liabilities	6,782		7,377
Operating Lease Liabilities	862		804
Long Term Debt and Finance Leases	5,328		6,392
Compensation and Benefits	787		789
Deferred Income Taxes	105		108
Other Long-Term Liabilities	941		628
Total Liabilities	14,805		16,098
Commitments and Contingent Liabilities
Shareholders' Equity:
Goodyear Shareholders' Equity:
Common Stock, no par value:
Authorized, 450 million shares, Outstanding shares — 286 million in 2025 (285 million in 2024)	286		285
Capital Surplus	3,175		3,159
Retained Earnings	3,360		5,081
Accumulated Other Comprehensive Loss	(3,588)		(3,844)
Goodyear Shareholders' Equity	3,233		4,681
Minority Shareholders' Equity — Nonredeemable	170		142
Total Shareholders' Equity	3,403		4,823
Total Liabilities and Shareholders' Equity	$                18,208		$                 20,921

 

Table 3: Consolidated Statements of Cash Flows
	Year Ended
	December 31,
(In millions)	2025		2024
Cash Flows from Operating Activities:
Net Income (Loss)	$                 (1,700)		$                      35
Adjustments to Reconcile Net Income (Loss) to Cash Flows from Operating Activities:
Depreciation and Amortization	1,045		1,049
Amortization and Write-Off of Debt Issuance Costs	19		14
Goodwill and Intangible Asset Impairment	674		125
Provision for Deferred Income Taxes	1,357		(65)
Net Pension Curtailments and Settlements	201		(3)
Net Rationalization Charges	194		86
Rationalization Payments	(431)		(198)
Net (Gain) Loss on Asset Sales	(816)		(93)
Loss (Gain) on Insurance Recoveries for Damaged Property, Plant and Equipment	—		(75)
Operating Lease Expense	318		326
Operating Lease Payments	(287)		(277)
Pension Contributions and Direct Payments	(83)		(69)
Changes in Operating Assets and Liabilities, Net of Asset Acquisitions and Dispositions:
Accounts Receivable	215		127
Inventories	12		(106)
Accounts Payable — Trade	(248)		(78)
Compensation and Benefits	28		24
Other Current Liabilities	247		(151)
Other Assets and Liabilities	51		27
Total Cash Flows from Operating Activities	796		698
Cash Flows from Investing Activities:
Capital Expenditures	(826)		(1,188)
Insurance Recoveries for Damaged Property, Plant and Equipment	—		62
Cash Proceeds from Sale and Leaseback Transactions	—		16
Asset Dispositions	1,802		115
Short Term Securities Redeemed	—		2
Long Term Securities Redeemed	4		4
Notes Receivable	14		(23)
Other Transactions	3		7
Total Cash Flows from Investing Activities	997		(1,005)
Cash Flows from Financing Activities:
Short Term Debt and Overdrafts Incurred	966		1,326
Short Term Debt and Overdrafts Paid	(1,033)		(1,095)
Long Term Debt Incurred	16,071		14,420
Long Term Debt Paid	(17,763)		(14,387)
Common Stock Issued	(6)		(3)
Transactions with Minority Interests in Subsidiaries	(4)		(8)
Debt Related Costs and Other Transactions	(1)		(28)
Total Cash Flows from Financing Activities	(1,770)		225
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash	23		(39)
Net Change in Cash, Cash Equivalents and Restricted Cash	46		(121)
Cash, Cash Equivalents and Restricted Cash at Beginning of the Period	864		985
Cash, Cash Equivalents and Restricted Cash at End of the Period	$                    910		$                    864

 

Table 4: Reconciliation of Segment Operating Income & Margin
	Three Months Ended				Year Ended
	December 31,				December 31,
(In millions)	2025		2024		2025		2024
Total Segment Operating Income	$      416		$      382		$   1,057		$   1,302
Less:
Goodwill and Intangible Asset Impairment	—		—		674		125
Rationalizations	33		34		194		86
Interest Expense	104		131		445		522
Other Expense	141		39		288		134
Net (Gain) Loss on Asset Sales	(116)		2		(816)		(93)
Asset Write-Offs, Accelerated Depreciation, and Accelerated Lease Costs, net	18		27		160		146
Corporate Incentive Compensation Plans	25		12		69		62
Retained Expenses of Divested Operations	5		4		13		15
Other	42		45		163		175
Income (Loss) before Income Taxes	$      164		$        88		$     (133)		$      130
United States and Foreign Tax Expense	66		20		1,567		95
Less: Minority Shareholders' Net Income (Loss)	(7)		(5)		21		(11)
Goodyear Net Income (Loss)	$      105		$        73		$  (1,721)		$        46
Net Sales	$   4,917		$   4,947		$ 18,280		$ 18,878
Return on Net Sales	2.1 %		1.5 %		(9.4) %		0.2 %
Total Segment Operating Margin	8.5 %		7.7 %		5.8 %		6.9 %

 

Table 5: Reconciliation of Adjusted Net Income (Loss) and Adjusted Diluted Earnings Per Share
Fourth Quarter 2025
(In millions, except per share amounts)	As Reported		Pension Settlement Charges		Rationalizations, Asset Write- offs, Accelerated Depreciation and Leases		Indirect Tax Settlements and Discrete Tax Items		Goodyear Forward and Other Transaction Costs		Debica Fire Insurance Recoveries		Asset and Other Sales		As Adjusted
Net Sales	$        4,917		$            —		$              —		$                       —		$              —		$           —		$              —		$              4,917
Cost of Goods Sold	3,890		—		(12)		—		—		56		—		3,934
Gross Margin	1,027		—		12		—		—		(56)		—		983
SAG	701		—		(5)		—		(6)		—		—		690
Rationalizations	33		—		(33)		—		—		—		—		-
Interest Expense	104		—		—		—		—		—		—		104
Other (Income) Expense	141		(129)		—		—		8		—		—		20
Net (Gain) Loss on Asset Sales	(116)		—		—		—		—		—		116		-
Pre-tax Income (Loss)	164		129		50		—		(2)		(56)		(116)		169
Taxes	66		—		—		(6)		(1)		—		2		61
Minority Interest	(7)		—		—		2		—		—		—		(5)
Goodyear Net Income (Loss)	$          105		$           129		$              50		$                         4		$              (1)		$          (56)		$           (118)		$                113
EPS	$         0.36		$          0.44		$            0.19		$                     0.01		$          (0.01)		$       (0.19)		$          (0.41)		$               0.39

 

Fourth Quarter 2024
(In millions, except per share amounts)	As Reported		Rationalizations, Asset Write-offs, Accelerated Depreciation and Leases		Goodyear Forward Costs		Asset and Other Sales		Pension Settlement Charges (Credits)		Indirect Tax Settlements and Discrete Tax Items		Americas Storm Insurance Recoveries		As Adjusted
Net Sales	$    4,947		$                    —		$               —		$         —		$             —		$             —		$           —		$      4,947
Cost of Goods Sold	3,961		(21)		—		—		—		—		52		3,992
Gross Margin	986		21		—		—		—		—		(52)		955
SAG	692		(7)		(25)		—		—		—		—		660
Rationalizations	34		(34)		—		—		—		—		—		—
Interest Expense	131		—		—		—		—		—		—		131
Other (Income) Expense	39		—		(6)		—		(2)		—		—		31
Net (Gain) Loss on Asset Sales	2		—		—		(2)		—		—		—		—
Pre-tax Income (Loss)	88		62		31		2		2		—		(52)		133
Taxes	20		2		7		—		—		8		(12)		25
Minority Interest	(5)		2		—		—		—		—		—		(3)
Goodyear Net Income (Loss)	$           73		$                   58		$              24		$           2		$              2		$             (8)		$         (40)		$         111
EPS	$        0.25		$                 0.20		$            0.08		$      0.01		$          0.01		$         (0.03)		$      (0.14)		$        0.38

 

Full Year 2025
(In millions, except per share amounts)	As Reported		Indirect Tax Settlements and Discrete Tax Items		Goodwill Impairment		Rationalizations, Asset Write-offs, Accelerated Depreciation and Leases		Pension Settlement Charges		Goodyear Forward Costs and Other Transaction Costs		Debica Fire Insurance Recoveries		Asset and Other Sales		As Adjusted
Net Sales	$      18,280		$               —		$             —		$                        —		$           —		$           —		$      —		$          —		$      18,280
Cost of Goods Sold	14,909		—		—		(148)		—		—		56		—		14,817
Gross Margin	3,371		—		—		148		—		—		(56)		—		3,463
SAG	2,719		—		—		(12)		—		(15)		—		—		2,692
Goodwill Impairment	674		—		(674)		—		—		—		—		—		—
Rationalizations	194		—		—		(194)		—		—		—		—		—
Interest Expense	445		—		—		—		—		—		—		—		445
Other (Income) Expense	288		—		—		—		(201)		—		—		—		87
Net (Gain) Loss on Asset Sales	(816)		—		—		—		—		—		—		816		—
Pre-tax Income (Loss)	(133)		—		674		354		201		15		(56)		(816)		239
Taxes	1,567		(1,453)		—		32		1		—		—		(44)		103
Minority Interest	21		3		—		1		—		—		—		(25)		—
Goodyear Net Income (Loss)	$      (1,721)		$           1,450		$           674		$                       321		$          200		$           15		$     (56)		$       (747)		$          136
EPS	$        (5.99)		$             5.03		$           2.33		$                      1.13		$         0.69		$         0.05		$  (0.19)		$      (2.58)		$         0.47

 

Full Year 2024
(In millions, except per share amounts)	As Reported		Rationalizations, Asset Write-offs, Accelerated Depreciation and Leases		Intangible Asset Impairment		Goodyear Forward Costs		South Africa Flood Impact		Pension Settlement Charges (Credits)		Indirect Tax Settlements and Discrete Tax Items		Debica Fire Impact and Insurance Recoveries		Asset and Other Sales		Americas Storm Insurance Recoveries		As Adjusted
Net Sales	$      18,878		$                          —		$                  —		$             —		$             —		$                —		$                 —		$                 —		$                 —		$         —		$   18,878
Cost of Goods Sold	15,192		(116)		—		—		(3)		—		8		26		—		92		15,199
Gross Margin	3,686		116		—		—		3		—		(8)		(26)		—		(92)		3,679
SAG	2,782		(30)		—		(105)		—		—		—		—		—		—		2,647
Intangible Asset Impairment	125		—		(125)		—		—		—		—		—		—		—		—
Rationalizations	86		(86)		—		—		—		—		—		—		—		—		—
Interest Expense	522		—		—		—		—		—		—		—		—		—		522
Other (Income) Expense	134		—		—		(19)		—		3		2		—		(8)		—		112
Net (Gain) Loss on Asset Sales	(93)		—		—		—		—		—		—		—		93		—		—
Pre-tax Income (Loss)	130		232		125		124		3		(3)		(10)		(26)		(85)		(92)		398
Taxes	95		18		31		30		—		(1)		(1)		(6)		(25)		(23)		118
Minority Interest	(11)		16		—		—		—		—		—		(3)		—		—		2
Goodyear Net Income (Loss)	$             46		$                        198		$                  94		$             94		$               3		$                (2)		$                 (9)		$               (17)		$               (60)		$       (69)		$        278
EPS	$          0.16		$                       0.69		$               0.33		$          0.33		$          0.01		$           (0.01)		$            (0.03)		$            (0.06)		$            (0.21)		$    (0.24)		$       0.97

 

MEDIA CONTACT: DOUG GRASSIAN 330.796.3855 DOUG_GRASSIAN@GOODYEAR.COM

ANALYST CONTACT:  RYAN REED 330.796.0368 RYAN_REED@GOODYEAR.COM

 

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SOURCE The Goodyear Tire & Rubber Company

FAQ

What were Goodyear's fourth-quarter 2025 earnings (GT) and adjusted EPS?

Goodyear reported Q4 2025 net income of $105 million and adjusted net income of $113 million. According to the company, adjusted diluted EPS was $0.39, reflecting insurance recovery adjustments and other discrete items.

How did the Goodyear Forward program impact GT's Q4 2025 results?

Goodyear Forward contributed $192 million to Q4 segment operating income. According to the company, the program has produced $1.25 billion cumulative benefits and reached a $1.5 billion run-rate by year-end 2025.

Why did Goodyear report a $1.7 billion net loss for full-year 2025 (GT)?

The full-year net loss reflects large non-cash charges, including a $1.5 billion deferred tax asset valuation allowance and a $674 million goodwill impairment. According to the company, those items materially drove the FY2025 loss.

What were Goodyear's segment operating trends across regions in Q4 2025 (GT)?

Total Q4 segment operating income was $416 million, with Americas at $233 million, EMEA $114 million, and Asia Pacific $69 million. According to the company, EMEA benefited from price/mix and an insurance recovery.

How much cash did Goodyear raise from asset sales in 2025 and how was it used (GT)?

Goodyear generated $2.3 billion of proceeds from divestitures and asset sales in 2025. According to the company, those proceeds were used primarily to reduce debt and exceeded the asset-sale target by about $300 million.

What is Goodyear's outlook and near-term investor event after the Feb. 9, 2026 release (GT)?

The company scheduled an investor call for Feb. 10, 2026 at 8:30 a.m. ET to discuss results and outlook. According to the company, management will address first-quarter industry headwinds and execution of Goodyear Forward.