Goodyear Tire & Rubber Co. on Monday announced the immediate departure of CEO Mark Stewart, with board member Roger Wood taking over as interim president and chief executive. Stewart was hired in January 2024 to lead a turnaround plan. The company has faced disappointing results, including an adjusted net loss in the third quarter and failure to meet a key operating margin target.
Goodyear reported last week that net sales in the third quarter fell 2.3% from a year earlier, alongside an adjusted net loss of $31 million. The company also missed a central goal of its turnaround: a 10% operating margin by the end of 2025.
Goodyear said it formed a special committee of the board earlier this year to conduct a “strategic review of the company's businesses and operations.” In its announcement, Goodyear said it will continue that work by evaluating initiatives to optimise its business mix and footprint, improve efficiency, and invest in new products to support long-term growth.
In a press release, Chair Joe Hinrichs said: "Goodyear has made meaningful progress in becoming a more efficient and focused company, and the board believes this is the right moment to transition leadership to accelerate that progress and capture additional opportunity." The company cited headwinds from tariffs, higher raw material costs and increased competition from China.
Wood, who has served on the board since July 2023, previously co-led Tenneco and was CEO of Dana Holding Corporation. Goodyear will begin a search for a permanent replacement as part of the strategic review.
Shares of Goodyear were down about 4% in early trading Monday.
Analysis
Why This Matters
- Goodyear's leadership change signals ongoing challenges in the company's turnaround, raising questions about its ability to compete in a market with rising raw material costs and Chinese competition.
- The outcome of the board's strategic review could lead to asset sales, job cuts or changes in business mix, affecting suppliers, dealers and employees.
- For investors, the CEO departure and disappointing results may signal further volatility in the tire sector and broader automotive supply chain.
Background
Goodyear Tire & Rubber Co., founded in 1898, is one of the world's largest tire manufacturers. In 2024, the company brought in Mark Stewart as CEO to lead a multi-year transformation plan aimed at improving efficiency and profitability. However, the company has faced headwinds from tariffs, higher raw material costs and increasing competition from Chinese manufacturers, and has struggled to meet its operating margin targets. The board launched a strategic review earlier in 2026 to identify opportunities to strengthen performance and drive shareholder value.
What to Watch
- Goodyear's fourth-quarter and full-year 2026 financial results, due early 2027, will show whether the cost pressures have eased or worsened.
- The appointment of a permanent CEO will be a key signal of the board's strategic direction.
- Any announcements from the strategic review regarding plant closures, divestitures or partnerships.
Checked
12 claims in this story checked against 1 source: 12 supported.
Show each claim
- SupportedGoodyear Chair Joe Hinrichs said the board believed it was the right moment to transition leadership and accelerate progress.US Top News and Analysis: “"Goodyear has made meaningful progress in becoming a more efficient and focused company, and the board believes this is the right moment to transition leadership to accelerate that progress and capture additional opportunity," Goodyear Chair Joe Hinrichs said in a press release.”
- SupportedGoodyear announced Monday that CEO Mark Stewart was stepping down effective immediately.US Top News and Analysis: “Goodyear Tire & Rubber Co. announced Monday that CEO Mark Stewart would be stepping down from his role effective immediately.”
- SupportedBoard member Roger Wood took over as interim CEO and president.US Top News and Analysis: “Board member Roger Wood is taking over as interim CEO and president, Goodyear said.”
- SupportedStewart was hired in January 2024 to lead the turnaround.US Top News and Analysis: “Stewart was hired in January 2024 to lead the company, with the goal of revitalizing the legacy American business to make it more efficient and profitable.”
- SupportedGoodyear reported third-quarter net sales down 2.3% year over year.US Top News and Analysis: “reporting last week third-quarter results that saw net sales down 2.3% year over year”
- SupportedGoodyear reported an adjusted net loss of $31 million in the third quarter.US Top News and Analysis: “an adjusted net loss of $31 million”
- SupportedGoodyear failed to reach its 10% operating-margin goal by the end of 2025.US Top News and Analysis: “Goodyear failed to reach a 10% operating margin by the end of last year, which was a major goal of the turnaround plan.”
- SupportedGoodyear said it had formed a special board committee earlier this year to conduct a strategic review of the company's businesses and operations.US Top News and Analysis: “Goodyear said it formed a special committee of the board earlier this year to conduct a "strategic review of the company's businesses and operations focused on identifying opportunities to strengthen performance and drive shareholder value."”
- SupportedGoodyear said it would continue the review by evaluating initiatives involving its business mix and footprint, efficiency, and investment in new products to support long-term growth.US Top News and Analysis: “It said Monday it will continue that work by evaluating strategic and operational initiatives that include further optimizing the company's business mix and footprint, improving efficiency and investing in new products and capabilities that support long-term growth.”
- SupportedGoodyear would begin a search for a permanent replacement as part of its strategic review.US Top News and Analysis: “The company will start a search for a permanent replacement as part of its strategic review.”
- SupportedGoodyear cited tariffs, higher raw material costs, and increased competition from China as headwinds.US Top News and Analysis: “The company has faced headwinds from tariffs, higher raw material costs and increased competition from China.”
- SupportedGoodyear shares were down about 4% in early trading Monday.US Top News and Analysis: “Shares of Goodyear were down roughly 4% in early trading Monday.”
