Titan International, Inc. reported net sales of $383.6 million for the fourth quarter ended December 31, 2024, a decrease from $390.2 million in the comparable quarter of 2023. This reduction was primarily driven by declines in the agricultural and earthmoving/construction segments, partially offset by net sales from the Carlstar acquisition.
For the full fiscal year 2024, total revenues were $1.85 billion, an increase of 1.3% from FY 2023. Adjusted EBITDA for the full year was $128 million, and the company generated strong free cash flow of $76 million. Net debt stood at $369.5 million at December 31, 2024, compared to $205.8 million at December 31, 2023.
In Q4 2024, gross profit was $41.2 million, or 10.7% of net sales, down from $58.3 million, or 14.9% of net sales, in Q4 2023, due to reduced fixed cost leverage and inflationary impacts. The company reported a loss from operations of $(17.0 million) for the quarter, compared to a profit of $20.7 million in Q4 2023.
Segment performance in Q4 saw agricultural sales decrease by 18.4% to $157.1 million, and earthmoving/construction sales decline by 26.9% to $116.3 million, both due to lower global demand. The consumer segment's net sales increased by 185.8% to $110.1 million, driven by the Carlstar acquisition, though its profit margin decreased to 18.1% from 21.3% in Q4 2023.
For the first quarter of 2025, Titan provided guidance expecting sales between $450 million and $500 million, and Adjusted EBITDA between $25 million and $35 million. Management noted an expectation for a higher proportion of revenue to be generated in the second half of 2025, as larger OEMs complete their destocking.
Paul Reitz, President and CEO, expressed optimism for a return to growth in 2025, citing improved net farm income and positive market activity in Brazil. He also stated that tariffs are expected to be a net positive for Titan in the long run due to its strong domestic manufacturing and distribution footprint, and highlighted efforts to expand LSW technology and re-establish the company as a supplier for the US military.
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