WEST FARGO, N.D., March 29, 2018 — Titan Machinery Inc. (Nasdaq:TITN), a leading network of full service agricultural and construction equipment stores, today reported financial results for the fiscal fourth quarter and full year ended Jan. 31, 2018.
Consolidated revenue during the fourth quarter was up by 6.9% to $339.6 million vs. $317.6 for the same period a year ago. Equipment revenue rose by 11.3% to $252.6 million compared with $226.9 in the fourth quarter of 2017. Parts revenue declined 6.6% to $45.51 million compared to $48.7 million during the fiscal fourth quarter of 2017. Service revenue slipped 5.4% to $26.51 million from $28 million a year earlier.
Revenue by segment was agriculture up 2.1% to $205.31 million from $201.1 million in the fourth quarter of 2107; construction increased by 5% to $85.77 million from $81.7 million; and revenue from international sales grew by 39.4% to $48.53 million from $34.8 million a year ago.
David Meyer, Titan Machinery's chairman and chief executive officer, said, "We were well positioned to capture the anticipated fiscal fourth quarter acceleration in agriculture sales activity due to better than anticipated crop yields in our footprint and the resulting improvement in grower sentiment.
“As a result of our improved inventory position, we continue to experience increased equipment margins compared to the prior year. In addition, fiscal full year 2018 performance was highlighted by reduced operating expenses and a more efficient operating structure due to the completion of our restructuring efforts. We are pleased with the overall business improvements we achieved in fiscal 2018 and believe these enhancements set the foundation for stronger top and bottom line results in fiscal 2019."
Titan Machinery also offered their outlook for fiscal year 2019, which began on Feb. 1, 2017.
- Agriculture sales up 0 - 5%
- Construction sales up 3 - 8%
- International sales up 0 - 5%
- Equipment margins to improve 7.8 - 8.3%