Titan Machinery’s Rental and Construction Revenue Increases in Q2 Amid Soft Agricultural Cycle
Equipment distributor Titan Machinery posted total revenue of $496.4 million in its fiscal 2026 second quarter ended July 31 compared to $546.4 million in the same period of 2025, a 9.2-percent dropoff. Equipment rental revenue was the only segment to increase, jumping from $12.1 million in the year-ago quarter to $14.8 percent this year, a 22.3-percent increase.
Equipment sales revenue dipped from $376.3 million to $328.4 million, a 12.7-percent decline. Parts revenue decrease slightly from $109.2 million to $106.6 million, a 2.4-percent drop, while service revenue declined from $48.8 million to $46.4 million, a 4.9-percent decrease.
In the Construction segment, revenue for the second quarter of fiscal 2027 was $78.6 million, compared to $72.0 million in the second quarter last year, a same-store sales increase of 9.2 percent, primarily because of higher equipment sales. However, the Agriculture segment didn’t fare so well, with revenue decreasing 8.4 percent from $345.8 million to $310.2 million, with softer demand for agricultural equipment.
"Our fiscal 2027 second quarter results reflect continued progress on improving inventory health, with equipment margins in our Agriculture segment coming in modestly ahead of our expectations for the quarter, which are helping drive a lift in consolidated gross margin in the face of a difficult revenue environment," said Bryan Knutson, Titan Machinery's president and CEO. "At the same time, overall demand across our North American Agriculture business played out largely as we anticipated and fundamentals are suggesting that calendar year 2026 could be the bottom of this cycle. Our team remains focused on the areas within our control and I'm confident that the actions we have taken over the past two years position Titan favorably as agricultural fundamentals eventually recover."
Titan’s European segment posted a big decrease from $98.1 million to $66.1 million, nearly a 50-percent decline, but $11.1 million of that decrease was caused by the company’s wind-down of its Germany operations.
First six months great for rental
Results for the first six months of the fiscal year were similar overall to Titan’s second quarter numbers. Total revenue declined from $1,140.8 million in the fiscal first half of 2025 to $1,018.8 million in the fiscal first half, a 12-percent decline. Equipment rental revenue rose from $20 million to $25 million, a 25-percent leap. Equipment sales dipped from $758.8 million to $636.7 million, a 19.2-percent decline.
Parts and service revenues were flat year over year for the six-month period.
Titan Machinery, based in West Fargo, N.D., owns a network of more than 100 full-service agricultural and construction equipment dealers, primarily in the United States, with branches in Europe and Australia. Case and New Holland are Titan’s primary brands but it also represents JLG, Bobcat, Atlas Copco and others.
Titan is No. 67 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.