Case IH dealership group Titan Machinery reported its first quarter earnings for fiscal year 2026 on April 22. Ag segment revenues for the quarter were down 14.1% to $384.4 million. 

The dealership notes that the revenue decrease resulted from a softening of demand for equipment, driven by the decline in net farm income and sustained high interest rates. Pre-tax loss for the first quarter of fiscal 2026 was $12.8 million, compared to $13.0 million of pre-tax income in the first quarter last year.

Cash at the end of the first quarter  was $21.5 million. Inventories were flat at $1.1 billion as of April 30, 2025 compared to January 31, 2025. Outstanding floorplan payables were $769.6 million on $1.5 billion total available floorplan and working capital lines of credit as of April 30, 2025, compared to $755.7 million outstanding floorplan payables as of January 31, 2025.

Baird analyst Mig Dobre noted that total equipment inventories were lowered by $12.5 million sequentially to $913.4 billion  — down 25.5% year-over-year.  New equipment inventory declined $900 thousand, while used equipment inventory declined by $11.5 million on a sequential basis. Dobre says, “Though the inventory decline was smaller than observed in 3Q and 4Q, we note that 1Q is typically a stocking quarter; the ability to destock vs. a normal seasonal inventory build is a positive in our view.”

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