upped its second-quarter earnings forecast on stronger international operations and cost cutting measures.
The tire and rubber company said it now expects to earn between 10 cents and 15 cents a share, up from 5 cents a share in the year ago quarter and ahead of the company's previous guidance of 5 cents to 10 cents a share. Wall Street had been expecting 8 cents, according to analysts polled by Thomson Financial/First Call.
Goodyear said in a press release that the higher net income projection was due to "ongoing cost-reduction initiatives and improved results from international operations."
The company also said that its North American consumer replacement tire shipments in May fell 4% from last year while European replacement shipments fell 6%, and tire shipments overall were down and below industry shipment levels for the month. Goodyear added that volumes are still not back to last year's levels, "resulting in a less-favorable brand and product mix for replacement tires."
Shares of Goodyear closed at $20 before the news Tuesday.