Titan Sales Hit Record, Loss Still Posted
Titan International’s 2007 sales were up 23 per cent compared to the year prior, but the company yielded a net loss of US$7.2 million for the year. Sales for 2007 reached a record $837 million, up 23 per cent compared to 2006’s sales of $679.5 million. Those results were buoyed by record fourth quarter sales of $204.9 million, said Titan. The profit drop compared to a net positive profit of $5.1 million in 2006.
Titan said the sales boost was primarily due to expanded agricultural and OTR tyre offerings, including the addition of General branded OTR tyres to its portfolio. Titan’s year-end cash balance was $58.3 million, up some $25 million from $33.4 million at year-end 2006, and Titan’s long-term debt balance sat at $200 million at the end of 2007, down $91.3 million from the year prior.
“Titan’s year in 2007 can be described best as one of constant evolution,” said Titan Chairman and CEO Morry Taylor. “We saw the agricultural market begin its upswing and had a strong year in the OTR market. We’ve laid much groundwork for the future, as well. Our giant 57- and 63-inch radial tyre project has moved forward at record speed.
“With the added capacity in Bryan, Ohio, Titan expects to provide a supply of OTR tyres to the mining industry that can meet demand. A continuation of strong OTR demand along with an increase in the agricultural market in 2008 will provide even more opportunities for Titan. As I’ve said before, there’s no greater challenge than proving nay-sayers wrong.” (Tire Review/Akron)