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    1. Distributor

    Titan Machinery Posts 14.2-Percent Fiscal Q1 Revenue Hike

    May 31, 2019
    Titan Machinery posted $278.3 million in the first quarter of fiscal 2020, compared to $243.7 million in the first quarter of fiscal 2019, a 14.2-percent increase.

    Titan Machinery posted $278.3 million in the first quarter of fiscal 2020, compared to $243.7 million in the first quarter of fiscal 2019, a 14.2-percent increase. Equipment sales were $194 million compared to $167.8 million a year ago, a 15.6-percent jump. Revenue from “rental and other”, which is primarily rental, was $9.6 million for the quarter compared to $9 million a year ago, a 6.7-percent hike.

    “We generated solid top and bottom line results during the fiscal first quarter by achieving healthy growth across all segments of our business despite challenging industry conditions that continue to persist,” said David Meyer, Titan Machinery chairman and CEO. “We are particularly pleased with strong increases in our higher margin parts and service businesses, in which sales grew double digits in the quarter. The solid performance in this area, combined with higher equipment sales, drove increased profitability across all segments versus the prior year period.”

    Parts sales were $51.9 million for the first quarter of fiscal 2020, compared to $46.9 million in last year’s first, a 10.7-percent increase. Service revenue was $22.8 millioj for the first quarter of fiscal 2020, compared to $20 million in the year-ago frame, a 14-percent climb.

    First quarter revenue for Titan Machinery’s Construction segment was $70.7 million, compared to $61 million a year ago, a 15.9-percent hike.

    Titan’s International segment did well, with fiscal first quarter revenue of $53.8 million, compared to $40.7 million a year ago, a 32.2-percent leap. The primary contribution to the hike was revenue contributed by the company’s AGRAM business following its acquisition in the third quarter of fiscal 2019 and a same-store sales increase in its other international markets.

    Titan expects its Agriculture segment to be flat during fiscal 2020, but it expects its Construction segment to rise 5 to 10 percent and its International segment to jump 10 to 15 percent.

    Titan Machinery is a West Fargo, N.D.,-based equipment dealership with locations in North America and Europe. Titan is No. 53 on the RER 100.

    About the Author

    Michael Roth | Editor

    Michael Roth has covered the equipment rental industry full time for RER since 1989 and has served as the magazine’s editor in chief since 1994. He has nearly 30 years experience as a professional journalist. Roth has visited hundreds of rental centers and industry manufacturers, written hundreds of feature stories for RER and thousands of news stories for the magazine and its electronic newsletter RER Reports. Roth has interviewed leading executives for most of the industry’s largest rental companies and manufacturers as well as hundreds of smaller independent companies. He has visited with and reported on rental companies and manufacturers in Europe, Central America and Asia as well as Mexico, Canada and the United States. Roth was co-founder of RER Reports, the industry’s first weekly newsletter, which began as a fax newsletter in 1996, and later became an online newsletter. Roth has spoken at conventions sponsored by the American Rental Association, Associated Equipment Distributors, California Rental Association and other industry events and has spoken before industry groups in several countries. He lives and works in Los Angeles when he’s not traveling to cover industry events.