QUINCY, Ill.—Titan International Inc. has set a revenue goal of between $2.4 billion and $2.7 billion for 2014, and it is currently considering the acquisition of as many as four companies in the new year.
Those are part of the firm's 2014 management goals, according to Maurice Taylor Jr., chairman and CEO of the tire maker.
Titan has moved from a North American farm wheel and tire manufacturer to a global producer of the products during the last few years, he said. "We have also become a big player in the construction of mining wheels, tires and tracks," and he believes the next few years are going to be strong for the farm and construction industries.
He said the company's EBITDA goal is between $240 million and $270 million next year. He noted that revenue and EBITDA figures "presume pricing and material costs remain flat in 2014."
While Taylor did not say which companies the company was considering purchasing, he said Titan was currently performing due diligence on the businesses and if it completes the acquisitions, the maximum additional revenue for Titan would be about $500 million.
Titan is counting on the Titan Tire Reclamation Corp. for added revenue. The venture, which will process scrap off-road tires using a licensed pyrolysis system, can generate $250 million or more a year in revenue from the sale of reclaimed oil, carbon black and steel, according to Titan.
Titan is launching Titan Tire Reclamation Corp. in western Canada, to service mining companies and contractors in the Canadian oil sands. The company is considering Chile and Australia—where there are large amounts of used 63-inch tires to be recycled—as the venture's second-phase openings.
Taylor is touting anticipated growth in demand for Titan's low sidewall OTR tires for his optimistic outlook.