Although the USA is “heading fast toward recession” and inflation “continues to be a problem,” Titan International chairman Morry Taylor expects that some companies “will not be affected by the Big R in a big way.” Demand for large equipment continues to outstrip supply and Taylor anticipates farmers turning a profit. Against this backdrop, Titan expects Q3 2022 revenue of approximately US$540 million.
Commenting on the “best ever” second quarter that Titan International, Inc. (TWI) reported this year, Morry Taylor has congratulated company president and chief executive officer Paul Reitz and his team on an “outstanding job.” He credits the team with results so good that “the Board of Directors expected that TWI stock would rise, instead of the 16 per cent drop that happened.” TWI has declined in value from US$16.29 per share on 25 August to $12.64 yesterday.
Taking stock of recent business at Titan International, Inc. (Titan or TWI), chairman of the board Morry Taylor opined that the company’s future is “the best it’s ever been.” He credits this happy situation to a number of global trends.
On 14 December, Tyrepress.com shared information from sources who anticipate a Yokohama Rubber bid to acquire Trelleborg Wheel Systems. While the parties involved have neither confirmed nor denied such a transaction, the chairman of Titan International Inc. (TWI) has commented on a deal he apparently views as problematic.
Titan International, Inc. has appointed Laura K. Thompson to its Board of Directors, effective 1 April. Ms Thompson has also been appointed to serve on the Board’s Audit, Nomination, and Compensation Committees.
Titan International, Inc. has reduced its shareholding in steel wheel manufacturer Wheels India Limited. It sold, via a wholly-owned subsidiary, a 10.4 per cent stake in Wheels India on 3 October, thereby dropping its share in the company from 34.2 to 23.8 per cent. Titan International intends to use the net proceeds of approximately US$19 million received from the transaction to pay down outstanding indebtedness.
At a meeting on 5 December, the Board of Directors at Titan International, Inc. agreed to increase in size from seven to eight directors in accordance with company by-laws, and appointed Paul G. Reitz its eighth member. Titan International states that the company president and chief executive officer was appointed to the board “due in large part to his vision and leadership along with his background and knowledge of the business.”
Titan International has commented on the final results of the US Department of Commerce’s (DOC) review of imported OTR tyres from China in 2014 and 2015, which show the Chinese government increased the level of subsidies it gave tyre makers, enabling their products to continue selling in the US market at what the tyre maker calls a less than fair value.
Titan International reports that its board recently became a Full Board Member of the National Association of Corporate Directors (NACD), a non-profit membership organisation for corporate board members,
Titan International’s final injury hearing before the US International Trade Commission (ITC) took place on 4 January, and today the company will file a post hearing brief. The off-road tyre specialist says it “remains optimistic” that the ITC will issue a final affirmative determination in these cases.
Paul Reitz has been promoted to chief executive officer of Titan International, Inc. The company president will assume this additional role on 1 January 2017.
The Board of Directors of Titan International, Inc. has approved the transition of James M. Froisland from his position as interim chief financial officer to that of chief financial officer, effective 5 December 2016. Froisland was appointed to the role on an interim basis in May 2016.
Titan International’s Low SideWall, or LSW tyres have been sold to the UK construction sector for the past year, however they are also gaining acceptance amongst agricultural users over in the USA and are prized by many for their reduced soil compaction characteristics, as well as the reduction in road lope and power hop they bring. The Titan LSW agricultural tyres are sold under the Goodyear brand name.
The decline in the market for high horsepower tractors and combines in North America continues, and this ongoing trend has left a sizable dent in Titan International’s second quarter revenues. Sales for the three months to 30 June 2016 amounted to US$330.2 million, 12.2 per cent below sales for the previous year’s corresponding quarter and 44.3 per cent less than sales in the second quarter of 2013, prior to the start of the downturn. Gross profit for the quarter amounted to $45.1 million, 13.7 per cent of net sales, an 11.7 per cent year-on-year reduction and 48.0 per cent below the second quarter 2013 gross profit. The net loss applicable to common shareholders was -$3.8 million, compared with a net income of $9.4 million a year ago and net income of $23.2 million in the corresponding quarter of 2013.
The message to shareholders from Titan International chief executive and chairman Maurice Taylor is not one gladly heard: A 20.0 per cent year-on-year fall in sales during the first quarter of this year has been matched by an 11 per cent decline in sales volumes, a decrease in gross sales and an adjusted net loss of US$9.2 million.
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