Titan Machinery Inc. (NASDAQ: TITN) reported its fiscal fourth‑quarter and full‑year 2026 results on March 19, 2026. The company posted $641.8 million in revenue for the quarter, down 15.5% from $759.9 million a year earlier, and $2.7 billion in revenue for the full year, a decline of 14.6% from the $3.1 billion reported in fiscal 2025.
Inventory management was a key focus. Titan reduced total inventory by $206 million during 2026, exceeding its $150 million target and surpassing the $100 million goal set at the start of the year. The write‑down helped lift gross profit to $87.0 million and a 13.5% margin, compared with a 6.7% margin in the prior year’s fourth quarter.
Revenue decline was driven by a 22.8% drop in domestic agriculture revenue to $406.7 million and a 15% decline in construction revenue, while the Australia segment grew 16.7% to $71.5 million. Equipment revenue fell to $501.5 million from $621.8 million a year earlier, reflecting weaker demand in core markets.
Adjusted earnings per share were $-1.43, missing the consensus estimate of $-1.00 to $-1.02 by $0.41 to $0.43. The miss was largely attributed to higher operating costs and the lingering impact of inventory write‑downs, which compressed margins despite the inventory reduction. Management guided for a 2027 full‑year revenue decline of 15% to 20% in domestic agriculture, but projected equipment margins to improve to 8.4% from 7.3% in 2026.
CEO Bryan Knutson said, 'Our fiscal 2026 results represent a year of decisive execution on our inventory reduction initiative. For the full fiscal year, we reduced total inventory by $206 million, significantly exceeding our target of $150 million — and we did it while delivering stronger‑than‑anticipated equipment margins.' CFO Bo Larsen added, 'For the full fiscal year, we reduced total inventory by more than $200 million, surpassing our $100 million target that we announced at the beginning of our fiscal year and our updated $150 million target we revised last quarter.'
The market reacted with a 2.51% decline in premarket trading, largely driven by the EPS miss, which outweighed the revenue beat and inventory gains.
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