Titan International Reports Positive First Quarter
Results
QUINCY, Ill., April 24 Titan
International, Inc. has announced net sales of $136.0 million for
the first quarter ended March 31, 2001, compared to $164.3 million for the
first quarter of 2000. Net income for the first quarter was $0.2 million,
compared to $1.1 million for the first quarter of 2000. Diluted earnings per
share for the first quarter of 2001 were $.01 versus $.05 for the same quarter
of the previous year.
Pro forma net sales for the quarter ended March 31, 2000, would have been
$140.5 million if adjusted for the April 2000 sale of certain assets. Pro
forma net losses would have been ($1.0) million for the first quarter of
2000 if adjusted for the sale of assets mentioned above.
"Market conditions created a difficult quarter for Titan, but cost cutting
measures undertaken last year resulted in a positive outcome. In addition,
net income increased when compared to the pro forma net loss for last year,
demonstrating that Titan is continuing to move forward even though the
market remained depressed," stated Maurice Taylor Jr., Titan president and
CEO. "Sales of the LSW assemblies continue to increase with potential for
future growth. Titan has a strong competitive position in our markets and we
will continue to expand by being the lowest cost producer with the largest
range of products. The customers for agricultural and construction machinery
are looking for quality specialty wheels and tires for their equipment and
these markets will be Titan's focus for LSW assemblies. With our emphasis on
wheels and tires for agriculture and construction, it is imperative that a
worldwide distribution network be developed to ensure rapid delivery. We
expect to have these plans completed and largely implemented this year."
Titan International, Inc.
Consolidated Statements of Operations (Unaudited)
For the three months ended March 31, 2001 and 2000
Three Months Ended
March 31,
2001 2000
Net sales $136,047 $164,327
Cost of sales 120,599 143,431
Gross profit 15,448 20,896
Selling, general & administrative 10,822 11,286
Research & development 801 1,550
Income from operations 3,825 8,060
Interest expense 5,639 6,563
Gain on sale of assets (1,619) 0
Other income (633) (216)
Income before taxes 438 1,713
Provision for income taxes 210 651
Net income $228 $1,062
Earnings per common share:
Basic $.01 $.05
Diluted .01 .05
Average common shares and equivalents
outstanding:
Basic 20,625 20,666
Diluted 20,625 20,666
Amounts in thousands except earnings per share data.
Segment Information
Revenues from external customers (Unaudited)
Amounts in thousands
Three Months Ended
March 31,
2001 2000
Agricultural $76,828 $72,140
Earthmoving/Construction 42,999 41,206
Consumer 16,220 50,981
Total $136,047 $164,327
Other Financial Data (Unaudited)
Amounts in thousands
March 31, March 31,
2001 2000
Working capital $223,528 $218,814
Current assets 318,974 320,979
Total assets 610,276 677,090
Long-term debt 254,293 303,305
Stockholders' equity 225,478 227,839
Depreciation & amortization 9,486 10,126
Capital expenditures, net 5,217 8,274
