Titan Machinery (TITN) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 saw disciplined execution and aggressive inventory reduction, with over $200 million reduced—surpassing targets and strengthening operational foundations.

• Full-year revenue was $2.4 billion, down from $2.7 billion, reflecting softer demand and industry headwinds.

• Net loss for fiscal 2026 was $54.2 million ($2.38 per share), including a $17.8 million non-cash tax valuation allowance; adjusted net loss was $50.6 million ($2.22 per share).

• Adjusted EBITDA improved to $13.9 million in fiscal 2026 from $12.8 million in fiscal 2025.

• Parts and service now generate over half of gross profit, providing stability amid equipment cycle lows.

Financial highlights

• Q4 revenue was $641.8 million, down from $759.9 million year-over-year, with a 14.6% same-store sales decrease.

• Q4 gross profit margin improved to 13.5% from 6.7% last year, nearly double due to lapsing inventory impairments.

• Q4 net loss was $36.2 million ($1.59 per share), including a $0.78 non-cash tax valuation allowance.

• Adjusted Q4 net loss was $32.5 million ($1.43 per share), improved from $44.9 million ($1.98 per share) last year.

• Full-year gross profit margin rose to 15.8% from 14.6% in FY2025.

Outlook and guidance

• Fiscal 2027 adjusted loss expected between $1.25–$1.75 per share, improved from $2.22 loss in fiscal 2026.

• Adjusted EBITDA guidance for fiscal 2027 is $17–$29 million, up from $13.9 million in fiscal 2026.

• Domestic ag revenue expected to decline 15–20%; construction flat to up 5%; Europe down 20–25%; Australia up 10–15%.

• Equipment margin expected to improve to 8.4% from 7.3% last year.

• Operating expenses and floor plan interest expense projected to decline year-over-year.