The Goodyear Tire & Rubber Company · NASDAQ:GT
The Goodyear Tire & Rubber — Q1 2026 Earnings Presentation
28 slides from The Goodyear Tire & Rubber's earnings presentation, May 7, 2026
Slide 1: Earnings Presentation Q1 2026
EARNINGS PRESENTATION Q1 2026 May 7, 2026
Slide 2: Q1 2026 Highlights
Q1 2026 HIGHLIGHTS SEGMENT OPERATING INCOME of $95 million, including an IEEPA tariff adjustment of $46 million ASIA PACIFIC SEGMENT OPERATING MARGIN of 12.5%, reflecting strong growth of 300 basis points EMEA SEGMENT OPERATING MARGIN improvement of 50 basis points GOODYEAR FORWARD BENEFITS of $107
Slide 3: Q1 2026 Key Metrics
Q1 2026 KEY METRICS TIRE UNITS NET SALES SEGMENT OPERATING INCOME 34.0 $3,881 $95 -11.6% YoY - 8.7% YoY - $100 YoY - $63 YoY Excluding Chemical & Dunlop brand sales 1(a) SOI MARGIN FREE CASH FLOW ADJUSTED EPS 2.4% ($893) ($0.39) - 2.2 pts YoY -$96 YoY -$0.35 YoY - 1.5 pts YoY Excluding Chemical & Du
Slide 4: Q1 2026 SBU Metrics
Q1 2026 SBU METRICS NET SALES SEGMENT OPERATING INCOME SOI MARGIN AMERICAS $2,063 $37 1.8% - 17.5% YoY - $118 YoY - 4.4pts YoY $1,363 $1 0.1% EMEA + 6.7% YoY + $6 YoY + 0.5pts YoY $455 $57 12.5% APAC - 4.0% YoY + $12 YoY + 3.0pts YoY TERMS: $ IN MILLIONS P.4 Highlights Financial Results SBU Results
Slide 5: Financial Results
FINANCIAL RESULTS
Slide 6: Income Statement
INCOME STATEMENT THREE MONTHS ENDED Three Months Ended March 31, 2026 2025 Change Tire Units 34.0 38.5 -11.6% Net Sales $ 3,881 $ 4,253 -8.7% Gross Margin 17.9% 17.4% 0.5 pts SAG 668 650 2.8% SAG % to Sales 17.2% 15.3% 1.9 pts Segment Operating Income $ 95 $ 195 ($100) Segment Operating Margin 2.4%
Slide 7: Segment Operating Results
SEGMENT OPERATING RESULTS FIRST QUARTER 2026 VERSUS 2025 $107 ($50) $195 ($37) $158 ($87) ($67) 1(a) 1(d) Asset Sales Calculated Inflation (CPI) $88 Q1 2025 $3 $95 1(c) SOI Goodyear Q1 2025 Other Costs 1(e) ($72) Forward Other SOI Excl. & Tariffs Asset Volume Sales Q1 2026 SOI $15 Includes $46M IEEP
Slide 8: Balance Sheet & Cash Flow
BALANCE SHEET & CASH FLOW CASH FLOW FROM TOTAL DEBT OPERATING ACTIVITIES (GAAP) $6,985 $8,038 ($718) ($538) As of As of Three Months Ended Three Months Ended March 31, 2026 March 31, 2025 March 31, 2026 March 31, 2025 - $1,053 YoY - $180 YoY FREE CASH FLOW NET DEBT (NON-GAAP) $6,262 $7,136 ($893) ($
Slide 9: SBU Results
SBU RESULTS
Slide 10: Americas
AMERICAS Q1 2026 SBU RESULTS Tire Units Net Sales Segment Operating Income Margin 15.3 $2,063 $37 1.8% - 17.0% YoY - 17.5% YoY - $118 YoY - 4.4 pts YoY - $87 YoY - 3.4pts YoY Excluding Chemical asset sale 1(a) • Consumer replacement U.S. sell-in industry down 8%, driven by channel destocking and wea
Slide 11: EMEA
EMEA Q1 2026 SBU RESULTS Tire Units Net Sales Segment Operating Income Margin 11.2 $1,363 $1 0.1% - 8.5% YoY + 6.7% YoY + $6 YoY + 0.5 pts YoY + $13 YoY + 1.1pts YoY Excluding Dunlop brand sale 1(a) • Consumer replacement sell-in industry down 4%; Goodyear volume driven by industry and planned ratio
Slide 12: Asia Pacific
ASIA PACIFIC Q1 2026 SBU RESULTS Tire Units Net Sales Segment Operating Income Margin 7.5 $455 $57 12.5% - 3.8% YoY - 4.0% YoY + $12 YoY + 3.0 pts YoY • Earnings and margin growth driven by premium power line growth of 30% in consumer replacement • Consumer OE weaker, driven by industry weakness in
Slide 13: Outlook
OUTLOOK
Slide 14: 2026 SOI Assumptions
2026 SOI ASSUMPTIONS 2(a) Q2 global unit volumes lower YoY improving from Q1 with new assortment VOLUME wins and normalization of sell-in versus sell-out Q2 unabsorbed overhead ~$90 million headwind given Q1 volume PRICE/MIX Q2 ~$50 million benefit RAW MATERIALS 2(b) Q2 ~$100 million benefit; 2H ~$2
Slide 15: Other Financial Assumptions
OTHER FINANCIAL ASSUMPTIONS 2(a) FULL YEAR 2026 CORPORATE OTHER NORMAL OPERATING ~$150 million INTEREST EXPENSE ~$425 million Interest income: ~$30 million OTHER (INCOME)/EXPENSE Financing fees: ~$60 million Global pension related: ~$100 million 2(c) RATIONALIZATION PAYMENTS ~$225 million CASH TAXES
Slide 16: Important Disclosures
IMPORTANT DISCLOSURES
Slide 17: Important Disclosures
IMPORTANT DISCLOSURES FORWARD-LOOKING STATEMENTS Certain information contained in this presentation 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
Slide 18: Important Disclosures (Cont)
IMPORTANT DISCLOSURES (CONT) USE OF NON-GAAP FINANCIAL MEASURES (UNAUDITED) This presentation presents non-GAAP financial measures, including Total Segment Operating Income and Margin, Free Cash Flow, Adjusted Net Income (Loss), Adjusted Diluted Earnings Per Share (EPS) and organic earnings measures
Slide 19: Appendix
APPENDIX
Slide 20: Significant Maturities
SIGNIFICANT MATURITIES AS OF MARCH 31, 2026 (3b) $1,713 (3c) $172 (3a) $518 $820 $1,013 $850 $1,030 $1,773 2026 2027 2028 2029 2030 ≥ 2031 Undrawn Credit Lines Funded Debt TERMS: $ IN MILLIONS P.20 Highlights Financial Results SBU Results Outlook Important Disclosures Appendix
Slide 21: Segment Operating Income Reconciliation
SEGMENT OPERATING INCOME RECONCILIATION Three Months Ended March 31, 2026 2025 Total Segment Operating Income $ 95 $ 195 Less: Rationalizations 104 81 Interest Expense 95 115 Other Expense 9 25 Net (Gain) Loss on Asset Sales (3) (262) Asset Write-Offs, Accelerated Depreciation, and Accelerated Lease
Slide 22: Reconciliation of Total Debt and Net Debt
RECONCILIATION OF TOTAL DEBT AND NET DEBT March 31, December 31, March 31, 2026 2025 2025 Accounts Receivable 2,602 2,341 2,942 Inventories 3,863 3,572 3,905 Accounts Payable — Trade (3,754) (3,879) (4,182) 4(a) Working Capital $ 2,711 $ 2,034 $ 2,665 Notes Payable and Overdrafts 483 506 436 Long Te
Slide 23: Reconciliation of Free Cash Flow
RECONCILIATION OF FREE CASH FLOW Three Months Ended March 31, 2026 2025 Net Income $ (246) $ 118 Depreciation and Amortization 239 270 Change in Working Capital (650) (750) Pension Expense 24 26 Pension Contributions and Direct Payments (10) (41) Provision for Deferred Income Taxes (2) (31) Rational
Slide 24: Reconciliation of Adjusted Net Income and Adjusted Diluted EPS (Q1 2026)
RECONCILIATION OF ADJUSTED NET INCOME (LOSS) AND ADJUSTED DILUTED EARNINGS PER SHARE FIRST QUARTER 2026 Indirect Tax Rationalizations, Asset Asset and As Settlements and As Write-offs, Accelerated Other Reported Discrete Tax Adjusted Depreciation and Leases Sales Items Net Sales $ 3,881 - - - $ 3,88
Slide 25: Reconciliation of Adjusted Net Income and Adjusted Diluted EPS (Q1 2025)
RECONCILIATION OF ADJUSTED NET INCOME (LOSS) AND ADJUSTED DILUTED EARNINGS PER SHARE FIRST QUARTER 2025 Rationalizations, Asset Pension As Goodyear Asset and As Write-offs, Accelerated Settlement Reported Forward Costs Other Sales Adjusted Depreciation and Leases Charges (Credits) Net Sales $ 4,253
Slide 26: Historical Key Metrics
HISTORICAL KEY METRICS INCOME STATEMENT 2024 2025 2026 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 GOODYEAR TIRE UNITS AMERICAS 19.0 19.6 21.0 22.0 81.6 18.4 19.1 19.6 21.1 78.2 15.3 EMEA 12.5 11.6 12.2 12.6 48.9 12.3 11.3 12.0 12.3 47.9 11.2 ASIA PACIFIC 8.9 8.9 9.3 9.0 36.1 7.8 7.5 8.4 8.9 32.6 7.5 TOTAL COM
Slide 27: Historical Key Metrics
HISTORICAL KEY METRICS BALANCE SHEET AND CASH FLOW 2024 2025 2026 Three Three Three Three Twelve Three Three Three Three Twelve Three Months Months Months Months Months Months Months Months Months Months Months Ended Ended Ended Ended Ended Ended Ended Ended Ended Ended Ended Mar. 31, Jun. 30, Sept.
Slide 28: End Notes
END NOTES 1 Segment Operating Income (SOI) results first quarter 2026 versus 2025: (a) Chemical and Dunlop brand sales impact includes stranded cost and the impact of new third-party raw material sourcing and impacts from the Dunlop off-take agreement; (b) Raw materials variance excludes raw materia
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