Titan International (TWI) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue increased 5.2% year-over-year to $484.8 million, with adjusted EBITDA of $34.2 million and gross margin improving to 15.5%, driven by strong Consumer segment growth and favorable foreign currency translation.

• Each of the three business segments contributed 30%-40% of revenues, highlighting a diversified model and resilience amid challenging agricultural markets.

• Net income for Q2 was $6.3 million (EPS $0.09), reversing a prior-year loss, though H1 recorded a net loss of $17.9 million due to $26.0 million in restructuring and impairment charges.

• AI and transformation initiatives are underway to drive operational efficiency and target $15 million in improvements over three years.

Financial highlights

• Q2 net sales: $484.8 million (+5.2% YoY); gross profit: $74.9 million; gross margin: 15.5% (vs. 15.0% prior year); adjusted EBITDA: $34.2 million.

• Consumer segment sales up 27%; EMC segment up 1.4%; Ag segment down 5%.

• Free cash flow was $26 million; operating cash flow for H1 was -$7.4 million due to working capital needs.

• Net debt at quarter-end was $413.5 million, down from $441 million sequentially but up from $383 million at year-end 2025.

• Cash and equivalents at June 30, 2026: $179.8 million.

Outlook and guidance

• Q3 2026 guidance: revenue $440–$460 million, adjusted EBITDA $27–$33 million.

• FY 2026 guidance unchanged: revenue $1.85–$1.95 billion, adjusted EBITDA $105–$115 million.

• Full-year sales expected to trend toward the lower half of guidance due to ag market uncertainty.

• Full-year CapEx expected at $50–$55 million; $7–$9 million in tariff refunds expected in 2H 2026.