Titan International Inc. (NYSE:TWI) Q3 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 09:00 am ET


Titan International Inc. (NYSE:TWI) Q3 2019 Earnings Conference Call - Final Transcript


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Good morning, ladies and gentlemen, and welcome to the Titan International Incorporated Third Quarter 2019 Earnings Conference Call. [Operator Instructions]

It is now my pleasure to turn the floor over to Todd Shoot, Senior Vice President, Investor Relations and Treasurer for Titan. Mr. Shoot, the floor is yours.

Todd A. Shoot

Thank you, Ben. Good morning, and welcome everyone to our Third Quarter 2019 Earnings Call. On the call with me today I have Titan's President and CEO, Paul Reitz; and David Martin, Senior Vice President and CFO. I will begin with the reminder that the results we are about to review are presented in the earnings release issued this morning along with our Form 10-Q, which was also filed with the Securities and Exchange Commission this morning.

As a reminder, during this call, we will be discussing certain forward-looking information, including the company's plans and projections for the future that involve risks, uncertainties and assumptions that could cause our actual results to differ materially from those forward-looking information. Additional information concerning factors that either individually or in the aggregate could cause actual results to differ materially from these forward-looking statements can be found in the Safe Harbor statement included in today's earnings release, attached to the company's Form 8-K filed earlier today, as well as our latest Form 10-K and Forms 10-Q, all of which have been filed with the Securities and Exchange Commission.

In addition, today's remarks may refer to non-GAAP financial measures, which are intended to supplement, but not be a substitute for the most directly comparable GAAP measures. The earnings release, which accompanies today's call, contains financial and other quantitative information to be discussed today, as well as the reconciliation of the non-GAAP measures to the most comparable GAAP measures. Today's earnings call is available on the company's -- release is available on the company's website within the Investor Relations section under News & Events. Please note, today's call is being recorded. A copy of today's call transcript will be made available on our website.

I would now like to turn the call over to Paul.

Paul G. Reitz

Thanks, Todd. Good morning, everyone, and I appreciate you joining our call. We've already seen other companies in our industry report that they've experienced declines in agriculture and construction sales, really stemming from the continuing effects of the tariff battle, the poor U.S. Ag conditions, and then along with some concerns over the global GDP that are slowing investments. Many OEMs are producing below retail sales and a number of large OEM dealers have stated that they significantly reduced inventory in recent months. This combined to deliver a head to our sales this quarter.

This year has certainly been a wild ride. We started off with strong optimism about growth coming off a good 2018, and then it got turned in the opposite direction late in the first quarter. Our Q3 results have been significantly impacted by these softening market conditions, and we simply need to do better.

I'll get into that plan further