Goodyear replaces CEO Mark Stewart after missing its 10% margin goal

Goodyear Tire & Rubber said Monday that Chief Executive Mark Stewart is leaving the company effective immediately, less than two years after he was hired to revive the American tire maker, and named director Roger Wood interim chief executive.

The change puts a board member in charge in the middle of a multiyear overhaul that has not delivered. Goodyear missed its goal of a 10% operating margin by the end of last year, and last week it reported a 2.3% drop in third-quarter net sales and an adjusted net loss of $31 million, CNBC reported. Shares fell roughly 4% in early trading.

Stewart joined in January 2024 with a mandate to make the company more efficient and profitable. He also leaves the board. Goodyear said the board will hire a leading executive search firm to find a permanent chief executive.

Wood has served on Goodyear's board since 2023. He was previously co-chief executive of auto parts maker Tenneco and chief executive of Dana Holding.

Board Chair Joe Hinrichs said Goodyear had made meaningful progress in becoming a more efficient company and that “this is the right moment to transition leadership to accelerate that progress” while the board looks for a permanent chief.

The tire maker has struggled with tariffs, higher raw material costs and growing competition from China. A special committee of the board formed earlier this year is reviewing the company's businesses and operations, and Goodyear said that work will continue with a look at its business mix and footprint, efficiency and investment in new products. The company said it does not plan further updates until the board decides more disclosure is appropriate.