Goodyear Tire & Rubber Co. announced Monday that CEO Mark Stewart would step down from his position effective immediately. Board member Roger Wood has assumed the role of interim CEO and president, the company stated.
Stewart had been appointed to lead the organization in January 2024 with a mandate to revitalize the established American manufacturer and enhance operational efficiency and profitability. However, the company has experienced underwhelming performance during his tenure. Recent third-quarter financial results released the prior week showed net sales declining 2.3% compared to the same period in the previous year, alongside an adjusted net loss of $31 million. Additionally, Goodyear did not achieve a 10% operating margin target by the end of the prior year, a key objective within the transformation strategy.
The leadership transition occurs as Goodyear continues executing a multiyear transformation initiative. Earlier this year, the company established a special board committee to conduct a comprehensive strategic evaluation of its businesses and operations, seeking to identify ways to strengthen performance and generate shareholder value.
Goodyear stated it will continue this evaluation process by assessing strategic and operational initiatives. These efforts include further refinement of the company’s business portfolio and physical footprint, efficiency improvements, and investment in innovative products and capabilities designed to support long-term expansion. Chair Joe Hinrichs remarked that while the organization has achieved notable progress in becoming more streamlined and focused, the board determined this represented an opportune moment to change leadership to accelerate momentum and realize additional possibilities.
Wood brings relevant executive experience, having served as co-CEO of Tenneco and previously as CEO of Dana Holding Corporation. He joined Goodyear’s board of directors in July 2023. The company indicated it will commence a search for a permanent chief executive as part of its ongoing strategic review. The organization continues to navigate challenges including tariffs, elevated raw material expenses, and intensifying competition from Chinese manufacturers. Stock shares declined approximately 4% in early trading Monday.
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