Dealer News Update

Stubbendick Implement, a New Holland dealership in Syracuse, NE is now part of the KanEquip dealership group of Wamego, KN, according to the company’s website.

Reportedly, Stubbendick had carried both New Holland and AGCO brand equipment, but the AGCO line will be dropped. The KanEquip dealership group, in business since 1967, has nine locations across Kansas and Nebraska. The company’s main office is located in Wamego, KN, with store locations in Wamego, Herington, Marysville, Dodge City, Topeka, Clay Center and Ellsworth, and now in Syracuse.

KanEquip also handles New Holland construction equipment, Case IH farm machinery, Kubota equipment and the Trimble line of precision farming products.

Neff Farm Equipment, Belleville, IL, has decided to liquidate, selling off nearly 50 years of accumulated items. Stanley Neff, died last year at the age of 80 in an automobile accident, leaving his son & daughter in charge. After keeping the business afloat for six months, the two decided to sell the business.

AGRO and Cervus Equipment Corp. broke ground Dec. 3, on its new 66,000-square-foot dealership. The dealership, to be located directly east of CrossIron Mills mall in the Balzac (Alberta, Canada) area, will replace the company’s existing 28,000-square-foot facility located on 84th Street NE and 24th Avenue NE in Calgary.

The company is expecting construction of the dealership, to be started within the next few weeks and completed in November 2013.

According to an AGRO press release, the site for the facility, which will sell John Deere farm equipment, was chosen to better meet the growing demands of Alberta’s agricultural and turf industries. The new facility will reportedly have a number of benefits including combining the company’s agriculture and turf divisions, now in separate buildings, into one.

Titan Machinery Inc. has reported revenue increased 37.6% to $582.1 million from revenue of $423.0 million in the third quarter last year. All four of the company’s revenue sources-equipment, parts, service, and rental and other-contributed to this period-over-period revenue growth. Equipment sales were $456.2 million for the third quarter of fiscal 2013, compared to $312.3 million in the third quarter last year. Parts sales were $72.1 million for the third quarter of fiscal 2013, compared to $64.5 million in the third quarter last year. Revenue generated from service was $33.4 million for the third quarter of fiscal 2013, compared to $29.8 million in the third quarter last year. Revenue from rental and other increased to $20.5 million from $16.3 million in the third quarter last year.

Gross profit for the third quarter of fiscal 2013 was $94.1 million, compared to $74.0 million in the third quarter last year. The Company’s gross profit margin was 16.2% in the third quarter of fiscal 2013, compared to 17.5% in the third quarter last year. The decrease in gross profit margin was primarily due to the change in sales mix, in which the higher margin parts and service businesses generated a smaller percentage of sales compared to the same quarter last year.

Floorplan interest expense increased to $3.7 million for the third quarter of 2013 compared to $2.6 million for the same period last year due to increased levels of interest-bearing equipment inventory.

David Meyer, Titan Machinery’s Chairman and Chief Executive Officer, said, “Our Agriculture segment continued to maintain strong sales activity, despite the impact of drought conditions on customer sentiment, and we also successfully managed our margins, leveraged expenses and improved our Agriculture pre-tax income by 30% compared to the prior year quarter.”

US Tractor & Harvest has been in the construction and expansion stage of consolidating Delta Implements, which was formerly located on East Main Street, into its new space north 4766 N. Townsend Ave. in Montrose, CO. An open house for the new location was held Saturday.