The Goodyear Tire & Rubber Company (NYSE: GT) on Tuesday announced improved sales and earnings for both the fourth quarter of last year and the complete year in contrast with the year earlier.
Goodyear’s recent quarter sales were at $5.7 billion which was 12% higher from last year same quarter. Tire unit volumes were 43.2 million, which was lower 5% from a year ago period, echoing dropping replacement industry volumes in competitive markets together with business hurdles in Latin America and disaster in Thailand.
Fourth quarter sales indicate robust price/mix performance, which carried sales per tire 19% higher year-over-year, omitting the affect of foreign currency conversion rate. Poor unit volume and foreign currency conversion lowered sales by $174 million and $49 million, each.
On the lower side, Avon Products, Inc. (NYSE:AVP) reported on Tuesday that it jumped to a $400,000 decline in fourth quarter earnings and broke even on EPS in contrast to a profit of $230 million , or 53 cents per share, in the similar phase previous year.
For the recent quarter earnings were badly hurt by non-cash costs of $263 million, or 38 cents per share, to amend goodwill in association to the takeover of Silpada Designs, Inc. Revenue declined 4% to $3 billion in the quarter in contrast to $3.2 billion in the same quarter a year earlier.
Experts polled by FactSet predicted earnings to reside at 51 cents a share on sales of $3.1 billion. The New York-located firm reported that it intends to preserve its yearly dividend of 92 cents in 2012. “While 2012 is a year of transition and we are not planning for margin recovery, our priorities are to improve top-line performance, cost management, and cash generation,” said Andrea Jung, chief executive and chairman.