Titan International, Inc. (NYSE:TWI) Q4 2023 Earnings Conference Call February 29, 2024 9:00 AM ET Company Participants Alan Snyder - VP, Financial Planning and Analysis Paul Reitz - President and CEO David Martin - SVP and CFO Conference Call Participants Larry De Maria - William Blair Steve Ferazani - Sidoti Tom Kerr - Zacks Investment Kirk Ludtke - Imperial Capital Operator Good morning ladies and gentlemen and welcome to the Titan International, Inc. Fourth Quarter 2023 Earnings Conference Call. At this ...

Ownership and Operations - The Company owns 64.3% of Voltyre-Prom, representing approximately 7% of consolidated assets as of December 31, 2023[90]. - Russian operations account for approximately 6% of consolidated global sales for the years ended December 31, 2023, and 2022[90]. - The military conflict between Russia and Ukraine has not significantly impacted global operations, but the Company continues to monitor potential effects[90]. Compliance and Regulatory Risks - The Company is subject to anti-corruption laws, including the U.S. Foreign Corrupt Practices Act, which could result in sanctions or liabilities if violated[93]. - The Company has implemented training programs to ensure compliance with sanctions and trade restrictions related to the Russia-Ukraine conflict[89]. - The Company is subject to foreign currency translation risk, which may adversely impact financial condition due to fluctuations in exchange rates[100]. - The Company may incur additional tax expenses or exposure due to changes in income distribution among jurisdictions and tax laws[103]. - The OECD's global corporate minimum tax rate of 15% is set to be effective as of January 2024, which the Company is assessing for potential impacts[104]. Environmental and Economic Risks - The Company faces risks associated with climate change regulations that may increase costs or disrupt operations[95]. - The Company is affected by global and regional economic conditions, with demand for products being cyclical and potentially reduced during economic downturns[105]. - The Company faces risks from natural disasters and sabotage, which could lead to uninsured losses and damage to operational capacity[106]. Strategic and Financial Considerations - Future acquisitions or divestitures may require significant resources and could result in substantial costs or liabilities, impacting managerial focus[107]. - International acquisitions may involve additional complexities and risks related to compliance with foreign laws and regulations[108]. - The Company may finance future acquisitions through cash from operations, additional indebtedness, or issuing equity securities, which could impair business operations[109]. - Increased indebtedness may reduce liquidity and access to financing markets, impacting cash flow requirements[110]. Technology and Operational Risks - The Company relies on information technology systems for various business processes, and disruptions could adversely affect operations and financial conditions[98].

Titan International, Inc. 1525 Kautz Road, Suite 600 West Chicago, IL 60185 Jeremy Hellman VP - The Equity Group jhellman@equityny.com Alan Snyder VP, Financial Planning & Investor Relations 630-251-0589 Alan.snyder@titan-intl.com FOR IMMEDIATE RELEASE Thursday, February 29, 2024 TITAN INTERNATIONAL, INC. REPORTS FOURTH QUARTER AND FISCAL YEAR 2023 FINANCIAL PERFORMANCE FY 2023 Results Highlighted by Buoyant Margins and Strong Free Cash Flow Transformative Acquisition of Carlstar Group LLC. ("Carlstar") Exp ...

Titan International, Inc. (NYSE:TWI) Q3 2023 Earnings Call Transcript November 2, 2023 9:00 AM ET Company Participants Alan Snyder - Vice President, Financial Planning and Analysis Paul Reitz - President and Chief Executive Officer David Martin - Senior Vice President and Chief Financial Officer Conference Call Participants Steve Ferazani - Sidoti & Company Kirk Ludtke - Imperial Capital Lawrence Maria - William Blair Operator Good morning, ladies and gentlemen, and welcome to the Titan International, Inc. ...

CTT HCAN. INVESTOR PRESENTATION NOVEMBER 2023 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 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended: September 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 1-12936 TITAN INTERNATIONAL, INC. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 1525 Kautz ...

Financial Data and Key Metrics Changes - In Q2 2023, the company reported net sales of $481 million, with net income of $32 million, GAAP EPS of $0.48, and adjusted EPS of $0.43, alongside adjusted EBITDA of $59 million [20][21] - Free cash flow for the quarter was $49 million, contributing to a cash balance of $196 million, marking the highest first-half free cash flow in over a decade [5][20] - The company reduced net debt from $433 million at the end of 2019 to $234 million as of Q2 2023, demonstrating significant balance sheet improvement [7][11] Business Line Data and Key Metrics Changes - Agricultural segment net sales decreased to $269 million from $319 million year-over-year, primarily due to lower sales volume and elevated inventory levels [21][22] - Earthmoving and Construction (EMC) segment net sales fell by 17% to $175 million, attributed to lower volume in the Americas, particularly Brazil, while sales in Europe remained steady [22] - Consumer segment net sales were $37 million, down 15% from the previous year, mainly due to reduced demand for light utility truck tires in Latin America [23] Market Data and Key Metrics Changes - Demand in the North American large Ag segment remains strong, supported by solid farmer income and low grain stocks, while small Ag volumes have decreased due to interest rates and consumer behavior [11][12] - The European Ag market has shown steady performance with volume growth, while short-term demand in Brazil has slipped due to political uncertainty and inventory destocking [12][15] - Construction demand is supported by solid infrastructure activity, although Brazil's construction sales have slowed, reflecting local market issues [12][15] Company Strategy and Development Direction - The company has executed a strategic plan focused on product development, divestiture of underperforming units, and improving profitability through operational efficiency [6][9] - A multi-year strategic plan is being developed to enhance future growth and plant improvements, leveraging the strengthened balance sheet [8][11] - Innovation remains a core strength, with ongoing investments in product development and market-leading products [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in a strong year for 2023, despite challenges related to inventory levels and production adjustments [11][18] - The macro environment for large Ag is positive, with expectations for demand to align with retail levels in 2024 as inventory issues are resolved [15][17] - The company anticipates revenue for 2023 to be between $1.85 billion and $1.9 billion, with adjusted EBITDA of $200 million to $210 million [17][30] Other Important Information - The company recorded $3 million in indirect tax credits during Q2, contributing to strong cash flow [20] - Capital expenditures for Q2 2023 were approximately $16 million, supporting ongoing capital programs [25] - The company plans to continue share repurchases opportunistically, believing the stock does not fully reflect its transformation [25] Q&A Session Summary Question: Clarification on destocking issues - Management clarified that the destocking issue is primarily related to the agricultural sector, with some impact on EMC, particularly in Brazil [32][35] Question: Expectations for EMC recovery - Management indicated that EMC trends are expected to follow similar patterns as Ag, with seasonality affecting performance [36][37] Question: Handling customer demand and inventory - Management noted that customers are eager to resolve inventory issues by the end of 2023, aiming to align production with retail demand [38][39] Question: Stock buyback evaluation criteria - Management stated that stock buybacks will be opportunistic, focusing on price weakness without fundamental reasons [40] Question: ERP implementation impact on working capital - Management expressed confidence that the ERP system will enhance working capital management and operational efficiency [43][45] Question: Competitive dynamics in the market - Management observed that the current market stability has led to rational behavior among competitors, avoiding drastic capacity expansions [47][48] Question: Sales and EBITDA cadence in the second half - Management indicated typical seasonality effects in Q3 and Q4, with destocking expected to be more prevalent in Q3 [49][50]

Financial Performance - Net sales for Q2 2023 were $481,176, a decrease of 16% from $572,895 in Q2 2022[8] - Gross profit for Q2 2023 was $85,895, down 22% from $109,653 in Q2 2022[8] - Net income for Q2 2023 was $31,895, a decline of 54% compared to $68,921 in Q2 2022[9] - Comprehensive income attributable to Titan for Q2 2023 was $32,503, compared to $49,112 in Q2 2022[9] - Net income for the six months ended June 30, 2023, was $65,325,000, compared to $93,499,000 for the same period in 2022, representing a decrease of approximately 30%[16] - Earnings per share (EPS) for the three months ended June 30, 2023, were $0.48, a decrease from $1.07 in the same period of 2022[70] - Net income for Q2 2023 was $31.9 million, a decrease of $37.0 million from $68.9 million in Q2 2022, with basic income per share dropping from $1.07 to $0.48[134] Expenses and Costs - Research and development expenses increased to $3,218 in Q2 2023, up 44% from $2,238 in Q2 2022[8] - Selling, general and administrative expenses for Q2 2023 were $34.9 million, or 7.2% of net sales, slightly up from $34.7 million, or 6.1% of net sales in Q2 2022[116] - Interest expense for Q2 2023 was $5.8 million, down from $7.7 million in Q2 2022, due to reduced borrowing under global credit facilities[124] - The effective income tax rate for Q2 2023 was 22.8%, compared to 21.6% in Q2 2022, influenced by a decrease in overall pre-tax income[131] Assets and Liabilities - Total assets as of June 30, 2023, were $1,305,151, compared to $1,284,630 as of June 30, 2022[12] - Titan's shareholders' equity increased to $450,098 as of June 30, 2023, up from $381,236 a year earlier[12] - Titan's total current liabilities decreased to $403,246 as of June 30, 2023, from $446,161 a year earlier[12] - Total liabilities of the variable interest entities were $3,023,000 as of June 30, 2023, compared to $3,139,000 at the end of 2022[54] - The company’s total current assets were reported at $101.8 million, while total current liabilities were $82.3 million as of June 30, 2023[172] Cash Flow and Investments - Cash flows from operating activities for the six months ended June 30, 2023, increased to $88,890,000 from $48,918,000 in 2022, indicating a significant improvement in operational cash generation[16] - The company had $196.5 million in cash as of June 30, 2023, an increase from $159.6 million at the end of 2022[162] - Net cash used for investing activities was $27.3 million in the first six months of 2023, compared to $9.9 million in the same period of 2022, reflecting increased capital expenditures[166] - The company expects full-year capital expenditures to be approximately $55 million to $60 million, primarily for enhancing existing facilities and new product development[175] Market and Segment Performance - Agricultural segment net sales for Q2 2023 were $269.1 million, a 15.5% decrease from $318.6 million in Q2 2022, primarily due to lower sales volume in North America and Latin America[139] - Earthmoving/construction segment net sales were $174.7 million for the three months ended June 30, 2023, a decrease of 17.0% compared to $210.4 million in the same period of 2022[146] - Consumer segment net sales were $37.3 million for the three months ended June 30, 2023, a decrease of 15.0% compared to $43.9 million in the same period of 2022[154] - The agricultural market outlook indicates continued healthy demand supported by high commodity prices and farmer income, despite concerns over OEM customer demand due to elevated inventory levels[106] - The earthmoving/construction segment is expected to recover over the mid to long term, driven by mining capital budgets and GDP growth, despite a slowdown in OEM demand in Q2 2023[107] Shareholder Actions - The company repurchased 603,068 shares of its common stock totaling $6.4 million during the six months ended June 30, 2023, with $43.6 million remaining available for future repurchases under the authorized program[23] - The company repurchased a total of 493,279 shares of its common stock during the three months ended June 30, 2023, with approximately $43.6 million remaining for future repurchases[186] Foreign Operations and Risks - The company’s Russian operations represented approximately 7% of consolidated global sales for the three months ended June 30, 2023, consistent with the previous year[21] - The company has stopped any additional investments into its joint project in Russia due to ongoing sanctions[87] - The impact of the military conflict between Russia and Ukraine has not significantly affected global operations[86] - The company continues to monitor potential impacts on business operations, including increased energy costs and supply chain disruptions[88]

Titan International, Inc. (NYSE:TWI) Q1 2023 Results Conference Call May 4, 2023 9:00 AM ET Company Participants Alan Snyder - Vice President, Financial Planning and Analysis Paul Reitz - President and Chief Executive Officer David Martin - Senior Vice President and Chief Financial Officer Conference Call Participants Steve Ferazani - Sidoti & Company Kirk Ludtke - Imperial Capital Larry De Maria - William Blair Operator Good morning, ladies and gentlemen, and welcome to the Titan International, Inc., First ...

Financial Performance - Net sales for Q1 2023 were $548,644, a decrease of 1% from $555,997 in Q1 2022[8] - Gross profit increased to $95,557, up 10% from $86,729 in the same period last year[8] - Net income attributable to Titan and applicable to common shareholders rose to $31,838, representing a 33% increase from $23,922 in Q1 2022[8] - Earnings per share (EPS) for Q1 2023 were $0.51 (basic) and $0.50 (diluted), compared to $0.37 for both in Q1 2022[8] - Operating income for Q1 2023 was $55,136, an increase of 23% from $44,708 in Q1 2022[8] - Comprehensive income attributable to Titan was $39,736, down from $43,226 in Q1 2022[10] - Net income for Q1 2023 was $33.4 million, an increase of $8.9 million from $24.6 million in Q1 2022, with basic income per share rising to $0.51 from $0.37[119] Assets and Liabilities - Total assets increased to $1,344,807, up from $1,284,630 year-over-year[14] - Cash and cash equivalents at the end of Q1 2023 were $164,116, compared to $98,144 at the end of Q1 2022[16] - Long-term debt totaled $417.8 million as of March 31, 2023, down from $419.4 million at December 31, 2022, indicating a reduction of 0.4%[36] - Titan's total current liabilities increased to $167.9 million as of March 31, 2023, from $151.9 million at December 31, 2022, representing a 10.5% increase[33] - Current liabilities totaled $116.3 million and long-term debt amounted to $395.6 million as of March 31, 2023[145] Cash Flow - The company reported a net cash provided by operating activities of $24,086, compared to a net cash used of $(18,517) in Q1 2022[16] - Cash flows from operating activities were $24.1 million in Q1 2023, a significant increase of $42.6 million compared to a cash outflow of $18.5 million in Q1 2022, primarily due to higher profitability[136] - Net cash used for investing activities was $11.4 million in Q1 2023, compared to net cash provided of $2.4 million in Q1 2022, with capital expenditures increasing to $11.7 million[139] - In the first three months of 2023, the company used $10.4 million in cash for financing activities, with $11.4 million in debt payments and $1.3 million in stock repurchases, partially offset by $2.4 million in borrowings[140] Expenses - Research and development expenses increased to $3,014, up from $2,920 in Q1 2022[8] - Selling, general and administrative expenses decreased to $34.5 million, or 6.3% of net sales, down from $36.2 million, or 6.5% of net sales in Q1 2022[105] - Income tax expense increased to $14.2 million for the three months ended March 31, 2023, from $8.7 million in 2022, with an effective tax rate of 29.8%[59] Segment Performance - Agricultural segment net sales were $305.858 million, slightly down from $309.600 million in Q1 2022, while gross profit increased to $49.250 million from $47.924 million[69] - Earthmoving/construction segment income from operations improved significantly to $23.538 million in Q1 2023, up from $15.840 million in Q1 2022[69] - Consumer segment net sales were $43.9 million in Q1 2023, a decrease of 2.8% from $45.1 million in Q1 2022, primarily due to lower sales volumes in Latin America and Russia[128] Market and Operational Insights - The agricultural market outlook remains positive due to high commodity prices and farmer income, despite concerns over inventory levels[96] - The earthmoving/construction segment is expected to remain stable, supported by low equipment inventory levels and increased mining capital budgets[97] - The company continues to monitor the impacts of the Russia-Ukraine conflict, particularly regarding increased energy costs in Europe[22] - The impact of the COVID-19 pandemic on operations was less severe in Q1 2023 compared to the same period in 2022, although supply chain constraints remain[76] Shareholder Actions - The company repurchased 109,789 shares of common stock for a total of $1.3 million under its Share Repurchase Program, with $48.7 million remaining available for future repurchases[26] - The company repurchased 109,789 shares of common stock at an average price of $11.75 during March 2023, with $48.7 million remaining available for future repurchases under the authorized program[160]