Workflow
TITN Misses Earnings Estimates in Q4, Anticipates Loss in Fiscal 2026 (Revised)
TITNTitan Machinery(TITN) ZACKS·2025-03-21 09:15

Core Insights - Titan Machinery Inc. reported an adjusted loss per share of 1.98forQ4fiscal2025,missingtheconsensusestimateofalossof1.98 for Q4 fiscal 2025, missing the consensus estimate of a loss of 0.87 per share, compared to earnings of 1.05inthesamequarterlastyear[1][10]−Totalrevenuesforfiscal2025were1.05 in the same quarter last year [1][10] - Total revenues for fiscal 2025 were 2.7 billion, a 2% decline year over year, but exceeded the consensus estimate of 2.69billion[11]−Thecompanyanticipatesfurtherlossesinfiscal2026,projectingalosspersharebetween2.69 billion [11] - The company anticipates further losses in fiscal 2026, projecting a loss per share between 1.25 and 2.00duetoweakdemandacrosssegments[12]FinancialPerformance−InQ4fiscal2025,TitanMachinery′stotalrevenueswereapproximately2.00 due to weak demand across segments [12] Financial Performance - In Q4 fiscal 2025, Titan Machinery's total revenues were approximately 760 million, down 11% from 852millionintheprioryear,althoughitsurpassedtheconsensusestimateof852 million in the prior year, although it surpassed the consensus estimate of 748 million [3] - Equipment revenues fell 13% year over year to 622million,whilepartsrevenuesdecreasedby1.6622 million, while parts revenues decreased by 1.6% to 89 million; service revenues increased by 4.3% to 36.6million[3]−Grossprofitplummeted6436.6 million [3] - Gross profit plummeted 64% year over year to 51 million, with a gross margin of 6.7%, reflecting a 990-basis point contraction from the previous year [4] Segment Analysis - Agriculture segment revenues declined 14% to 535million,withsame−storesalesdown15.5535 million, with same-store sales down 15.5%, leading to a loss before taxes of 55.3 million [6] - Construction segment revenues were 95million,down5.595 million, down 5.5%, with a loss before taxes of 1.1 million [7] - The Europe segment's revenues increased to 65millionfrom65 million from 62 million, but it reported a loss before taxes of 1.8million[8]CashFlowandDebt−Cashflowfromoperatingactivitieswas1.8 million [8] Cash Flow and Debt - Cash flow from operating activities was 70.3 million in fiscal 2025, compared to an outflow of 32.3millioninthepreviousfiscalyear[9]−Thecompanyendedfiscal2025withacashbalanceofapproximately32.3 million in the previous fiscal year [9] - The company ended fiscal 2025 with a cash balance of approximately 36 million, down from 38millionattheendoffiscal2024,whilelong−termdebtroseto38 million at the end of fiscal 2024, while long-term debt rose to 158 million from $106 million [9] Stock Performance - Over the past year, Titan Machinery's shares have decreased by 33.6%, contrasting with a 1.8% decline in the industry [13]