* Q3 EPS $0.11 vs. est. $0.03
* Q3 sales up 57%
* Says bond repurchase to hurt Q4
* Shares up about 14%, touch year high
Titan International Inc (TWI.N) sees strong income from operations in the fourth quarter on improving demand for its agricultural products, which helped it post a third-quarter profit above market estimates, sending its shares up as much as 14 %.
The company, whose customers include Deere & Co (DE), Caterpillar Inc (CAT) and AGCO Corp (AGCO), is seeing increased demand both in its agricultural and earth moving segments, with the commodity and construction markets picking up.
Quincy, Illinois-based Titan was hurt last year as recession forced many of its major customers to go for extended shutdowns.
"Overall, everything is looking towards a very good year in 2011," Chief Executive Maurice Taylor said in a statement.
However, the company, which supplies tires and assemblies for off-highway vehicles, expects to take a hit in the fourth quarter from the premium it paid to repurchase bonds on Oct. 1.
Q3 Tops Street
For the July-September quarter, the company reported earnings of $4 million, or 11 cents a share, compared with a net loss of $11.1 million, or 32 cents a share, a year ago.
Sales rose 57 % to $222.8 million. Agricultural segment sales rose 62 % to $170.7 million.
Analysts on average were expecting earnings of 3 cents a share, on revenue of $$172.5 million, according to Thomson Reuters I/B/E/S.
Shares of Titan, which have risen 23 % since the company reported second-quarter results in July, were trading up 9 % at $15.41 Thursday afternoon on the New York Stock Exchange. They had touched a year high of $16.05 earlier in the day.
(Reporting by Bijoy Koyitty and Fareha Khan in Bangalore; Editing by Unnikrishnan Nair and Maju Samuel)