NYSE$TWI

Titan International Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Net sales increased by 18 percent year-over-year, driven by growth in the agricultural and earthmoving/construction segments.

Titan International reported a strong first quarter in 2021, with net sales up 18% year-over-year to $403.5 million. The company's net income attributable to Titan was $13.6 million, or $0.22 per share, compared to a loss of $25.5 million in the same period last year. Adjusted EBITDA was $26.3 million, a $17 million improvement year-over-year.

  • Net sales reached $403.5 million, an 18.2% year-over-year increase.
  • Gross margin improved to 13.2%, up from 8.0% in Q1 of the prior year.
  • Net income attributable to Titan was $13.6 million, with EPS at $0.22.
  • Adjusted EBITDA increased to $26.3 million, compared to $9.3 million in Q1 of the prior year.

Headline financials

Total Revenue

$404M

Previous: $342M+18.2%
EPS (adj)

$0.07

Previous: -$0.18+138.9%
Adjusted EBITDA

$26.3M

No prior period
Capital Expenditures

-$8.86M

Previous: -$6.42M-38.0%
Free Cash Flow

$4.71M

Previous: -$31.9M+114.8%
Net Income

$13.6M

Previous: -$25.5M+153.3%
Operating Income

$14.2M

Previous: -$9.6M+248.2%
Gross Profit

$53.3M

Previous: $27.2M+95.5%
Cash & Equivalents

$96M

Previous: $60.4M+58.9%
Total Assets

$1.07B

Previous: $1.06B+1.1%
Stock-Based Comp

$570K

Previous: $490K+16.3%

Revenue & EPS history

Titan · Revenue · Quarterly

$404M

Q1 2021+18.2%vs Q1 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Titan · $402M total across 3 segments · Q3 2023

  • Agricultural
    $213M-26.4%
  • Earthmoving/Construction
    $155M-22.4%
  • Consumer
    $33.8M-18.7%

Forward guidance

Due to market volatility, the company is holding back on providing specific guidance for the remainder of the year, but expects continuing improvements in cash flow as we progress through the second half of the year.

Tailwinds

  • Higher crop prices
  • Low inventory levels for new and used equipment
  • Strong farmer income
  • Age of existing equipment
  • Market trends experienced in Q1 will continue, and in some cases even improve throughout 2021 into 2022

Headwinds

  • Many companies around the world are facing supply chain and logistics shortages
  • Rising costs of raw materials
  • Rising costs of labor
  • Rising costs of logistics
  • Volatility in the second quarter

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-1.7%

Avg return

Earnings day

-1.3%

Avg return

5 days after

+2.7%

Avg return

30 days after

42%

27 / 65 earnings

Positive

+22.9%

Q2 2016

Best reaction

-34.2%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.7%-7.4%
Q4 2025-5.8%-12.7%-35.3%
Q3 2025-4.1%-1.6%+1.6%
Q1 2025-13.6%-6.9%-1.5%
Q4 2024-9.3%-13.4%-1.7%
Q3 2024-11.4%-11.3%+0.7%
Q2 2024-0.5%-9.8%-2.1%
Q1 2024-5.2%-17.6%-25.0%
Q4 2023-10.9%-11.0%-11.9%
Q3 2023+3.1%+10.0%+18.8%
Q2 2023-11.2%-5.5%-0.2%
Q1 2023-1.1%+3.8%+7.6%
Q4 2022-17.5%-11.0%-30.6%
Q3 2022+1.2%+0.3%-5.5%
Q2 2022-15.5%-12.0%-16.3%
Q1 2022+16.5%+12.5%+29.8%
Q4 2021+6.8%+0.5%+32.5%
Q3 2021+10.3%+10.2%-6.8%
Q2 2021+11.1%+6.1%+8.6%
Q1 2021+1.6%-5.6%-13.9%
Q4 2020-2.1%-9.1%+4.6%
Q3 2020+15.3%+73.6%+105.6%
Q2 2020+9.4%+25.8%+69.8%
Q1 2020+6.3%+3.6%+67.6%
Q4 2019-12.4%-28.9%-33.0%
Q3 2019-4.2%+15.3%+1.7%
Q2 2019-20.6%-23.3%-31.2%
Q1 2019-16.1%-18.6%-38.1%
Q4 2018-28.3%-24.5%+6.3%
Q3 2018-3.5%-0.9%-15.7%
Q2 2018-30.5%-27.7%-26.1%
Q1 2018+16.1%+10.6%+9.9%
Q4 2017+17.2%+7.6%+5.5%
Q3 2017+14.5%+15.4%+22.7%
Q2 2017-10.3%-19.5%-31.8%
Q1 2017+10.8%+2.8%+7.9%
Q4 2016-11.3%-15.0%-26.9%
Q3 2016+5.2%+10.6%+19.3%
Q2 2016+22.9%+32.9%+34.5%
Q1 2016+0.6%
Q4 2015+21.0%
Q3 2015-34.2%
Q2 2015+5.2%
Q1 2015+15.7%
Q4 2014+6.2%
Q3 2014+3.8%
Q2 2014-8.5%
Q1 2014-7.5%
Q4 2013-0.8%
Q3 2013+2.0%
Q2 2013-5.6%
Q1 2013+7.6%
Q4 2012-18.0%
Q3 2012+13.0%
Q2 2012-5.2%
Q1 2011+13.4%
Q1 2012+2.7%
Q1 2010-5.8%
Q4 2009-5.8%
Q4 2011-5.8%
Q3 2010-4.0%
Q3 2011-4.0%
Q2 2011-6.0%
Q2 2010-6.0%
Q4 2010-6.0%

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