Titan International Returns to Growth as Long-Awaited Recovery Arrives
By Travis Hoium – May 4, 2017 at 4:29PM
NYSE: TWI
Titan International
Market Cap
$580M
Today's Change
(-1.21%) $0.11
Current Price
$8.96
Price as of August 28, 2025 at 8:00 PM ET
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It's only one quarter, but the signs of growth on both the top and bottom lines were strong for the tire manufacturer.
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After 18 quarters of declining revenue, Titan International Inc. (TWI 0.01%) is finally growing again. Management has been saying a recovery was coming for nearly a year, and in the first quarter of 2017 that prediction came true.
It wasn't all smooth sailing for Titan International, as some headwinds hit the company's operations. Here's a look at the highlights and what we learned in the first quarter.
Image source: Getty Images.
| Metric | Q1 2017 | Q1 2016 | Year-Over-Year Change |
|---|---|---|---|
| Revenue | $357.5 million | $321.8 million | 11.1% |
| Net income | ($10.5 million) | ($18.0 million) | N/A |
| EPS | ($0.18) | ($0.33) | N/A |
Data source: Titan International Q1 2017 earnings report. EPS = earnings per share.
Management has been saying that demand for big tires was at a bottom since last summer and now there's solid evidence that the market is turning around. And the details behind the earnings increase bear that out:
Management was fairly bullish on the increase in revenue, but was a little cautious after fits and starts in financial performance the last few quarters. Investors will want to see a few more quarters of growth to know this is a trend and not a blip, but the facts that growth was broad-based and margins are expanding are good signs for Titan International long-term.
It wasn't fully evident this quarter, but the work management has done to lower costs is starting to have a positive effect on the business. And if revenue grows in the rest of 2017, it looks like Titan International will be highly profitable once again. With end markets picking up and margins expanding, this is a company with a financial turnaround and a lot of upside ahead.
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