Goodyear profit falls, but beats estimates

Goodyear says it sold fewer tires but on average earned more for each one, as a better mix of expensive high-end tires offset increased costs for raw materials.

The Associated Press

11/3/2008

AKRON, Ohio — Goodyear Tire says its third-quarter earnings were off sharply from last year, when it got a $517 million one-time lift from the sale of a subsidiary. Its latest results still beat Wall Street expectations.

Akron-based Goodyear Tire & Rubber Co. said Monday it earned $31 million, or 13 cents per share, in the three months ending Sept. 30, down from $668 million, or $2.75 per share, a year ago.

The latest earnings work out to 43 cents before one-time items. That beats the 33 cents a share forecast by Wall Street analysts whose estimates typically exclude charges.

Goodyear says it sold fewer tires but on average earned more for each one, as a better mix of expensive high-end tires offset increased costs for raw materials.