Press release
Titan Machinery Inc. Announces Results for Fiscal Third Quarter Ended October 31, 2019
- Income Before Tax Decreased 2.8% Compared to the Prior Year and Increased 12.4% on an Adjusted Basis - - Announces Domestic Acquisition of Northwood, ND
About this update from Titan Machinery Inc.
[{"type":"text","content":"- Income Before Tax Decreased 2.8% Compared to the Prior Year and Increased 12.4% on an Adjusted Basis -\n - Announces Domestic Acquisition of Northwood, ND Dealership - - Company Updates Fiscal 2020 Modeling Assumptions - WEST FARGO, N.D., Nov. 26, 2019 (GLOBE NEWSWIRE) -- Titan Machinery Inc. (Nasdaq: TITN), a leading network of full-service agricultural and construction equipment stores, today reported financial results for the fiscal third quarter ended October 31, 2019. David Meyer, Titan Machinery’s Chairman and Chief Executive Officer, stated, \"Our higher margin parts and service business experienced strong growth during the seasonally important third quarter and drove higher gross profits across all three of our segments. This strong parts and service activity helped generate solid performance in our Agriculture segment, which grew top and bottom line despite very difficult harvest conditions and persistent macroeconomic uncertainty. While we wait for the environment to stabilize, we remain focused on providing exceptional customer care and managing the controllable aspects of our business, which poises us well for growth and enhanced profitability once industry conditions improve.\" Fiscal 2020 Third Quarter Results Consolidated ResultsFor the third quarter of fiscal 2020, revenue was flat versus the prior year at $360.9 million. Equipment sales were $246.0 million for the third quarter of fiscal 2020, compared to $253.8 million in the third quarter last year. Parts sales were $70.8 million for the third quarter of fiscal 2020, compared to $64.6 million in the third quarter last year. Revenue generated from service was $27.6 million for the third quarter of fiscal 2020, compared to $24.8 million in the third quarter last year. Revenue from rental and other was $16.6 million for the third quarter of fiscal 2020, compared to $17.7 million in the third quarter last year. Gross profit for the third quarter of fiscal 2020 was $71.8 million, compared to $69.5 million in the third quarter last year. Gross profit margins increased 60 basis points to 19.9% versus the comparable period last year. The increase in gross profit and margin percentage is due to the strong performance of our parts and service business in the current quarter. Operating expenses increased by $4.9 million to $58.2 million, or 16.1% of revenue, for the th...