Source:

The Agricultural segment showed the largest sales decline at 19.6% with sales of $216.3 million compared to $269.1 million in the prior year period. The sales decline was primarily due to significantly reduced global demand for agricultural equipment, particularly in North America and Brazil. High interest rates continue to negatively affect large equipment purchases.

Source:

Paul Reitz, President and Chief Executive Officer commented, “Titan has significantly strengthened its financial position over the past two years and this quarter was no exception as we generated $40 million in free cash and have reduced our debt by $35 million this quarter.”

Agricultural Segment

During the quarter ended September 30, 2021, net sales increased 60 percent reflecting volume improvements due to demand in the market, reflective of improved farmer income, replacement of an aging large equipment fleet and replenishment of lower equipment inventory levels within the equipment dealer channels.  The increase in gross profit and margin is primarily attributable to the impact of increases in sales volume as described previously and cost reduction initiatives executed across global production facilities.

“The business climate is swimming with noise these days, but if you sift through it you will find that Agriculture is standing on solid ground.  We have continually stated that farmers are in a good financial position and the recent USDA reports illustrates that corn and soybean supply-demand will support good pricing into 2024, at a minimum,” Reitz added.  “Farmers look at crop prices as one of the key indicators for purchasing new equipment.  That combined with pent-up demand from supply chain and labor disruptions at OEM’s, along with continuing low levels of available used equipment, bodes well for 2023 large Ag demand. We believe that the bigger picture view is that large Ag remains in a solid position, and we expect the sector to work through current supply chain challenges with a bright future ahead.”

Source:

The company experienced sales growth of 31% from the second quarter last year and sales grew sequentially 3% from the first quarter to the second quarter.  This performance was buoyed by strong financial performance across all parts of the business as our Titan team keeps running hard like a good, long-distance marathoner.

Results of Operations – Net sales for the second quarter ended June 30, 2022, were $572.9 million, compared to $438.6 million in the comparable quarter of 2021, an increase of 30.6 percent.  The net sales increase was across all segments and driven by a variety of factors, most notably healthier market conditions, while there was an unfavorable impact from foreign currency translation of 2.7 percent or $11.9 million, primarily due to the weakening euro currency.

Gross profit for the second quarter ended June 30, 2022 was $109.7 million, compared to $61.5 million in the comparable prior year period.  Gross margin was 19.1 percent of net sales for the quarter, compared to 14.0 percent of net sales in the comparable prior year period.  The solid growth in gross profit and margin during the second quarter as compared to the prior year period was across all segments and was driven by the impact of increases in net sales, as described previously, and better overhead absorption in our production facilities.  In addition, cost reduction and productivity initiatives continue to be executed across global production facilities.

The agreement took effect June 1 and expires April 30, 2025, unless it is terminated before then.

The net sales increase was across all segments and driven by price/product mix and volume, with price having a greater impact due to rising raw material costs and other inflationary impacts in the markets, including freight.  The contributing factors to the increase in demand were increased commodity prices, improved farmer income, replacement of an aging large equipment fleet, and lower equipment inventory levels.  The increase in net sales was offset by unfavorable foreign currency translation of 4.4% or $17.7 million. 

Income from operations for the first quarter of 2022 was $44.7 million, or 8.0% of net sales, compared to an income of $14.2 million, or 3.5% of net sales, for the first quarter of 2021. 

Source: Titan Release 

– Net sales for the quarter were $487.7 million, a $160.8 million (49%) YOY increase, while net sales for the full-year were $1.78 billion, a $520.9 million (41%) YOY increase

– Income from operations for the quarter was $24.3 million, a $40.2 million YoY improvement, enabling EPS to grow to $0.44 versus a loss of $0.28 in the prior year

– Adjusted EBITDA for the quarter was $36.1 million, a YOY Q4 increase of $18.8 million or 109%, and adjusted EBITDA for the full-year was $135.0 million, a YOY full-year increase of $80.9 million or 150%

WEST CHICAGO, Ill., March 2, 2022 /PRNewswire/ — Titan International, Inc. (NYSE: ), a leading global manufacturer of off-highway wheels, tires, assemblies, and undercarriage products, today reported results for the fourth quarter and year ended December 31, 2021.

Results of Operations

Net sales for the fourth quarter ended December 31, 2021, were $487.7 million, compared to $326.9 million in the comparable quarter of 2020, an increase of 49.2 percent drive by sales increases across all segments.  Overall net sales was influenced heavily by both increased volume from increased demand across all segments of the business, most notably agriculture, along with pricing.  The contributing factors to the increase in demand were increased commodity prices, lower equipment inventory levels at the farm equipment retail levels, and pent up demand following the economic impacts which occurred in 2020.  Pricing increases have been implemented because of rising raw material costs and other inflationary impacts in the markets, including freight.

SOURCE Titan International, Inc.

The three approved contracts cover approximately 800 USW-represented workers.

Source: PRNewswire | Member since 1958 |

Net sales for the quarter increased by 18.2 percent. In agriculture, net sales increased by 20.7 percent and gross profit climbed by 112.4 percent.

President and CEO Paul Reitz said it was the strongest quarter the company has seen since the first half of 2018.

“The strong recovery we began to see in our global ag markets in the fourth quarter has now accelerated and includes additional demand within our earthmoving and construction (EMC) businesses beyond our initial expectation at this point in the year,” he said. “During the first quarter of 2021, Ag and EMC experienced volume increases over 15 percent and 19 percent respectively.”

Reitz said he expects upward trends in the agricultural sector to continue, “and in some cases even improve throughout 2021 into 2022.”

The report said OEM forecasts from the fall calling for 5 percent growth in the ag market were too modest.

“Today their forecasts are much higher and likely will go higher as their order books are full and beyond their production levels,” Titan officials said. With inventories low and demand on the rise, it could take as long as three years to catch up on certain equipment, the report said.

Source: PR Newswire | Member since 1958 |