As expected, Titan Machinery, a network of full-service construction and agricultural equipment stores, posted $490.7 million in revenue in its fiscal fourth quarter ended Jan. 31, compared to $708.6 million, a 30.8-percent decline that the company primarily attributed to “ongoing headwinds in the agriculture industry.” The decline in “rental and other” revenue, which is primarily rental, was 7.9 percent, from $22.8 million in the fiscal fourth quarter of 2014 compared to $21 million in fiscal Q415.
For the full year, “rental and other” increased from $78.9 million a year ago to $84.4 million, a 7-percent gain. Total revenue for the year was $1.9 bill, compared to $2.226 billion a year ago, a 14.7-percent slide.
“Throughout the year we focused on managing the controllable aspects of our business and reduced equipment inventory by $168 million, which enabled us to significantly improve our adjusted cash flow from operations,” said David Meyer, Titan Machinery’s chairman and CEO. “As we begin fiscal 2016, we are confident we are taking the right steps to manage through the current climate and to improve the position of the business. We remain committed to further inventory level reductions throughout fiscal 2016, and we have implemented a realignment plan that meaningfully reduces our operating costs and better aligns our cost structure with our markets. We believe that this, combined with recently implemented initiatives for our International segment, position our business for improved operational and long-term financial performance.”
Based in West Fargo, N.D., Titan Machinery is No. 31 on the RER 100.