Goodyear Reports Higher 1Q Profit, Record Sales

May 4, 2006 2:30 PM, EDT

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oodyear Tire & Rubber Co. reported net first-quarter earnings of $74 million or 37 cents a share, up from $68 million or 35 cents last year.

Sales rose 1.9% to a record $4.9 billion, the company said in a statement Thursday.

Goodyear had taken a $51 million 29 cents per-share loss in the fourth quarter. (Click here for previous coverage.)

North American tire unit sales dipped by volume to 23.7 million from 25.4 million but rose by dollars to $2.24 billion from $2.14 billion.

Sales reached dollar records in its North America, Latin America and Asia-Pacific regions, the company said.

“Sales increases were driven by strong revenue per-tire growth of 7% as we focus our efforts on the high-performance, profitable segments of the tire market,” Robert Keegan, Goodyear’s chairman and chief executive officer, said in a statement.

The No. 1 U.S. tire maker said in September it would close some plants around the world to cut costs over the next three years. (Click here for previous coverage.)