Financial Data and Key Metrics Changes - Revenues for Q1 were reported at $491 million, with adjusted EBITDA of $31 million, marking a sequential improvement from the previous quarter [22] - Gross margin increased to 14% in Q1 from 10.7% in Q4, indicating positive leverage from increased sales [22] - SG&A expenses for Q1 were $49.9 million, representing 10% of sales, compared to $39 million or 8% of sales in the prior year [23] Business Line Data and Key Metrics Changes - Agricultural segment gross margins were 12.4%, EMC at 10.4%, and consumer segment at 19.6%, with the consumer segment continuing to be the most profitable due to a higher proportion of aftermarket sales [22][23] - Overall agriculture orders remained muted, but there was positive OEM activity in the U.S. despite a key customer experiencing a drop in orders [10][11] Market Data and Key Metrics Changes - In Brazil, business has strengthened since Q4, with farmers benefiting from the U.S. trade standoff by increasing exports to China [12] - European operations are currently impacted by the situation in Ukraine, but investments in Turkey are expected to improve capacity and lower costs [13] Company Strategy and Development Direction - The company is focusing on internal growth initiatives, including new product development and revenue synergies across segments [17] - Expansion of Goodyear licensing rights into new product segments is expected to enhance market presence and sales [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating current market volatility and emphasized the importance of a diversified global business model [5][6] - The company anticipates that the tariffs will ultimately benefit them in the long term, despite short-term uncertainties [6][21] Other Important Information - The company plans to curtail capital investments in 2025 while focusing on key investments that drive growth [25] - Net debt at the end of the quarter was $411 million, representing 3.8 times trailing twelve-month adjusted EBITDA [25] Q&A Session Summary Question: How does Titan source rubber and manage costs? - Titan sources rubber primarily from West Africa and has solid contracts in place, minimizing the impact of tariffs [30][31] Question: What is the outlook for the global agricultural market? - Titan is seeing strength in Brazil, with increased demand for grains, while the U.S. market is currently facing challenges [34][36] Question: How does Titan plan to handle visibility and demand fluctuations? - Management noted that visibility is improving but is not yet at pre-2024 levels, and they are prepared to adapt to market conditions [48][50] Question: What is the sentiment among farmers regarding the current market? - Farmer sentiment is cautious but not in crisis, with expectations of government support for income stability [82][84] Question: What are Titan's future verticals or industries to explore? - The company is exploring military options and focusing on high-complexity, non-regulated markets, while continuing product development in existing verticals [88][90]

Financial Performance - Titan International reported Q1 2025 revenues of $491 million and Adjusted EBITDA of $31 million, both at the higher end of guidance[2]. - Net sales increased by 1.0% from $482.2 million in Q1 2024 to $490.7 million in Q1 2025, driven by increased sales volumes and positive price/mix effects[4]. - Adjusted net income applicable to common shareholders for Q1 2025 was $0.7 million, compared to $19.0 million in Q1 2024, reflecting a significant decline[18]. - Net income attributable to Titan was a loss of $0.6 million in Q1 2025, a significant decline from a profit of $9.2 million in Q1 2024[30]. - Adjusted net income attributable to Titan for Q1 2025 was $736,000, down from $19,048,000 in Q1 2024, reflecting a decline of approximately 96.1%[41]. - EBITDA for the three months ended March 31, 2025, was $29,438,000, compared to $39,858,000 in Q1 2024, representing a decrease of about 26.1%[42]. - Adjusted EBITDA for Q1 2025 was $30,823,000, down from $49,705,000 in Q1 2024, indicating a decline of approximately 38.1%[42]. Segment Performance - The agricultural segment experienced a 17.5% decrease in net sales, from $239.7 million in Q1 2024 to $197.7 million in Q1 2025, primarily due to reduced global demand[10]. - The earthmoving/construction segment saw a 13.3% decline in net sales, from $165.2 million in Q1 2024 to $143.3 million in Q1 2025, attributed to lower sales volume and negative currency translation[12]. - The consumer segment achieved a 93.6% increase in net sales, from $77.3 million in Q1 2024 to $149.7 million in Q1 2025, largely due to the Titan Specialty acquisition[15]. - The United States market saw a 7.0% increase in sales to $266,504,000, while Europe/CIS experienced a decline of 14.8% to $109,053,000[43]. Cash Flow and Debt - The company ended Q1 2025 with total cash and cash equivalents of $174.4 million, down from $196.0 million at the end of 2024[19]. - Long-term debt increased to $571.6 million at March 31, 2025, compared to $553.0 million at December 31, 2024[19]. - The company reported a net cash used for operating activities of $38.6 million in Q1 2025, contrasting with a net cash provided of $2.0 million in Q1 2024[34]. - Free cash flow for Q1 2025 was negative at $(53,618,000), compared to $(14,602,000) in Q1 2024, indicating a worsening cash flow situation[43]. - Net debt as of March 31, 2025, was $410,973,000, an increase from $369,471,000 as of March 31, 2024[43]. Expenses and Profitability - Gross profit decreased to $68.6 million in Q1 2025, down 11.1% from $77.4 million in Q1 2024, resulting in a gross margin of 14.0%[30][39]. - Research and development expenses rose to $4.5 million in Q1 2025, compared to $3.7 million in Q1 2024, indicating a focus on innovation[30]. - Interest expense increased to $9.5 million in Q1 2025, compared to $8.4 million in Q1 2024, reflecting higher borrowing costs[30]. - The company experienced a foreign exchange loss of $1.4 million in Q1 2025, compared to a loss of $0.3 million in Q1 2024[30]. - The company incurred foreign exchange losses of $1,385,000 in Q1 2025, compared to $275,000 in Q1 2024, highlighting increased currency volatility impacts[42]. Future Outlook - The company expects Q2 2025 sales to be between $450 million and $500 million, with Adjusted EBITDA between $25 million and $35 million[3]. - Total assets increased to $1.72 billion as of March 31, 2025, up from $1.58 billion at the end of 2024[32]. - Total liabilities rose to $1.18 billion as of March 31, 2025, compared to $1.09 billion at the end of 2024[32]. - Average common shares outstanding decreased slightly, with basic shares at 63,283,000 in Q1 2025 compared to 64,928,000 in Q1 2024[41]. - Titan announced an expanded licensing agreement with Goodyear, aimed at complementing growth initiatives and enhancing product offerings[2].

Financial Performance - Net sales for Q1 2025 increased to $490,708, up 1% from $482,209 in Q1 2024[8] - Gross profit decreased to $68,644, down 11% from $77,370 in the same period last year[8] - Net income attributable to Titan was a loss of $649, compared to a profit of $9,201 in Q1 2024[8] - Comprehensive income attributable to Titan was $38,707, compared to a loss of $4,681 in Q1 2024[9] - For the three months ended March 31, 2025, Titan International reported a net income of $22,000, a significant decrease from $9,974,000 in the same period of 2024[14] - Operating cash flows showed a net cash used of $38,591,000 compared to a net cash provided of $2,005,000 in the prior year, indicating a decline in operational efficiency[14] - The company reported a loss before income taxes of $15.7 million for Q1 2025, compared to a loss of $18.2 million in Q1 2024, showing an improvement of 8.5%[86][88] - Net income for the three months ended March 31, 2025, was $0.0 million, a significant decrease from $10.0 million in the same period of 2024, resulting in basic and diluted loss per share of $(0.01) compared to earnings of $0.14[130] Assets and Liabilities - Total assets increased to $1,722,012, up 9% from $1,584,953 at the end of 2024[12] - Cash and cash equivalents decreased to $174,430, down from $195,974 at the end of 2024[12] - Total liabilities increased to $1,182,556, up 8% from $1,091,297 at the end of 2024[12] - Accounts receivable increased significantly by $97,101,000 in Q1 2025, compared to an increase of $43,140,000 in Q1 2024, indicating potential liquidity concerns[14] - Long-term debt as of March 31, 2025, totaled $574.2 million, with a weighted-average interest rate of approximately 2.6%[49] - The fair value of Titan's senior secured notes due 2028 was approximately $390,800,000 as of March 31, 2025, reflecting a slight decrease from $390,000,000 at the end of 2024[17] Expenses - Research and development expenses rose to $4,544, an increase of 24% from $3,654 in Q1 2024[8] - Selling, general and administrative expenses increased to $49.9 million, or 10.2% of net sales, compared to $39.4 million, or 8.2% in the prior year, largely due to recurring expenses from Titan Specialty operations[117] - Interest expense for the three months ended March 31, 2025, was $9.5 million, compared to $8.4 million in the same period of 2024, indicating an increase of 13.2%[86][88] - Total depreciation and amortization expense for Q1 2025 was $15.9 million, up from $12.0 million in Q1 2024, reflecting a 32.5% increase[88] Acquisition and Growth - The company acquired The Carlstar Group for a total purchase consideration of $312,336,000, enhancing its product offerings in wheels and tires[29] - Titan Specialty, the product line from the Carlstar acquisition, generated revenue of $51,788,000 and income before taxes of $1,254,000 from the acquisition date to March 31, 2024[33] - The acquisition of Carlstar Group (now Titan Specialty) was completed on February 29, 2024, with related costs of $6.2 million recognized in Q1 2024[93] - Consumer segment net sales increased by 93.6% to $149.7 million for the three months ended March 31, 2025, compared to $77.3 million in 2024, driven by the Titan Specialty acquisition[141] Market Conditions - The agricultural market is experiencing a slowdown in North America and Europe, while South America shows early signs of recovery, influenced by global tariffs and commodity prices[110] - The earthmoving/construction segment is currently facing a slowdown in OEM demand but is expected to stabilize over the mid to long term due to mining capital budgets and GDP growth forecasts[111] - The consumer market is seeing varied growth, with some segments slowing down, particularly in the Americas, influenced by macroeconomic factors such as inflation and consumer spending[112] Cash Flow and Financing - Cash flows used for operating activities amounted to $38.6 million for the three months ended March 31, 2025, a decline of $40.6 million compared to the same period in 2024, primarily due to lower net income and increased working capital[150] - Cash provided by financing activities in Q1 2025 was $18.6 million, primarily from $26.6 million in borrowings, offset by $8.0 million in debt repayments[154] - Titan's total amount available for borrowing under its $225 million credit facility was $56.6 million as of March 31, 2025, after accounting for outstanding letters of credit and borrowings[166] Tax and Compliance - The Company recorded income tax expense of $4.2 million for the three months ended March 31, 2025, with an effective income tax rate of 99.5%[75] - The company's effective income tax rate rose to 99.5% for the three months ended March 31, 2025, compared to 49.4% in 2024, due to a decrease in pre-tax income[128] - The report includes certifications from the Principal Executive Officer and Principal Financial Officer as required by the Sarbanes-Oxley Act of 2002[187] Strategic Outlook - The company anticipates continued focus on cost control and quality maintenance in its operations moving forward[97] - Forward-looking statements indicate potential impacts from the Titan Specialty acquisition on future financial results, depending on actual performance versus expectations[97] - The company expects full-year capital expenditures to be between $55 million and $65 million, focused on enhancing existing facilities and productivity gains[167] - Titan faces substantial uncertainties from newly imposed tariffs, which may lead to increased costs and supply chain disruptions, potentially affecting financial performance[180]

Core Insights - Titan International, Inc. reported Q1 2025 revenues of $491 million and Adjusted EBITDA of $31 million, both at the higher end of guidance [1][2] - The company is strategically positioned to benefit from current trade policies due to its domestic production capabilities, which reduce exposure to tariffs compared to competitors reliant on overseas production [2][3] Financial Performance - Net sales for Q1 2025 were $490.7 million, up from $482.2 million in Q1 2024, primarily driven by increased sales volumes from the Titan Specialty acquisition and positive price/mix effects [4] - Gross profit for Q1 2025 was $68.6 million, representing 14.0% of net sales, down from $77.4 million or 16.0% in Q1 2024, attributed to lower sales volume impacting fixed cost leverage [5][6] - Selling, general and administrative expenses (SG&A) increased to $49.9 million, or 10.2% of net sales, compared to $39.4 million, or 8.2% in the prior year, due to recurring costs from Titan Specialty operations [7] Segment Performance - Agricultural segment net sales decreased by 17.5% to $197.7 million, with gross profit down 39.7% to $24.5 million, driven by reduced global demand for agricultural equipment [10][11] - Earthmoving/construction segment net sales fell by 13.3% to $143.3 million, with gross profit down 35.2% to $14.9 million, impacted by lower sales volume and inflationary costs [12][13] - Consumer segment net sales surged by 93.6% to $149.7 million, with gross profit increasing by 112.5% to $29.3 million, largely due to the Titan Specialty acquisition [14][15] Outlook - The company expects Q2 2025 sales between $450 million and $500 million, with Adjusted EBITDA between $25 million and $35 million, similar to Q1 results [3] - Less than 10% of total revenues are expected to have a net negative exposure to current retaliatory China tariffs, indicating minimal impact from tariffs on upcoming results [3] Financial Condition - As of March 31, 2025, total cash and cash equivalents were $174.4 million, down from $196.0 million at the end of 2024, while long-term debt increased to $571.6 million [18] - The company reported a net cash used for operating activities of $38.6 million in Q1 2025, primarily due to increased working capital [19][20] Non-GAAP Financial Measures - Adjusted EBITDA for Q1 2025 was $30.8 million, down from $49.7 million in Q1 2024, reflecting the company's operating performance [16] - Adjusted net income applicable to common shareholders was $0.7 million, or $0.01 per share, compared to $19.0 million, or $0.29 per share, in the prior year [17]

Core Insights - Titan International, Inc. has expanded its production rights for the Goodyear brand across various segments, including light construction, ATV, lawn and garden, and golf tires, while renewing its licensing rights for Goodyear Farm Tires, showcasing its commitment to the agricultural sector [1][2][3] Group 1: Expansion and Strategic Initiatives - The expansion into new segments positions Titan to better serve customers and capitalize on emerging market opportunities, with ongoing research and development for innovative tire designs in the lawn and garden segment [2] - The renewal of the Goodyear brand licensing agreement aligns with Titan's growth strategy, reinforcing its commitment to enhancing product offerings and supporting end-users, customers, and distributors across multiple regions [3] Group 2: Product Portfolio and Market Position - Titan International's product portfolio includes a wide range of offerings for sectors such as forestry, powersports, outdoor power equipment, agriculture, earthmoving, and light construction, emphasizing innovation, quality, and performance [2] - The company's strategic initiatives aim to strengthen its position as a leader in the tire industry, enhancing its comprehensive "one-stop shop" solution for tire and wheel needs [3]

Core Viewpoint - Titan International, Inc. is set to release its first quarter 2025 financial results on April 30, 2025, followed by a teleconference and webcast on May 1, 2025 [1] Company Information - Titan International, Inc. (NYSE: TWI) is a prominent global manufacturer specializing in off-highway wheels, tires, assemblies, and undercarriage products [3] - The company is headquartered in West Chicago, Illinois, and produces a wide range of products for original equipment manufacturers (OEMs) and aftermarket customers across agricultural, earthmoving/construction, and consumer markets [3]

Core Insights - Titan International, Inc. emphasizes its extensive domestic manufacturing capabilities and skilled workforce as a significant advantage in adapting to new tariff policies [1][2] - The company has a strong position in the market, being the only domestic producer with such extensive production capabilities, which allows it to better serve customers amid global economic uncertainties [2] Company Overview - Titan International, Inc. is a leading global manufacturer of off-highway wheels, tires, assemblies, and undercarriage products, headquartered in West Chicago, Illinois [5] - The company produces a wide range of products for original equipment manufacturers (OEMs) and aftermarket customers in agricultural, construction, and consumer markets [5]

WEST CHICAGO, Ill., March 14, 2025 /PRNewswire/ -- Titan International, Inc. (NYSE: TWI) ("Titan" or the "Company"), a leading global manufacturer of off-highway wheels, tires, assemblies, and undercarriage products, today announced that management will participate in the upcoming Sidoti Small Cap Virtual Conference. Paul Reitz, CEO, will participate in a fireside chat and 1 on 1 investor meetings. The live presentation of the fireside chat will take place at 4:00 PM ET on Wednesday, March 19, 2025 and can ...

Financial Performance - Titan International (TWI) experienced a significant decline in share price, closing down 9.3% on February 27th following the announcement of its financial results [1] Investment Focus - Crude Value Insights emphasizes an investment service and community centered on oil and natural gas, focusing on cash flow and companies that generate it, which leads to value and growth prospects with real potential [1]

INVESTOR PRESENTATION – FEBRUARY 2025 NYSE: TWI Forward-Looking Statements & Non-GAAP Metrics Forward-Looking Statements The accompanying material includes forward-looking comments and information concerning the company's expectations and objectives for the future. Readers of this material should understand that these forward-looking statements are based on the Company's expectations and subject to a number of risks and uncertainties, certain of which are beyond the Company's control. Actual results may dif ...