Titan Reports 4th Qtr. Results
Titan Machinery Inc., West Fargo, ND, reported financial results for the fourth quarter and full year ended January 31, 2011 showing revenue increasing 45.9% to $368.1 million from revenue of $252.3 million in the fourth quarter last year.
All three of the company’s main revenue sources, equipment, parts and service, contributed to this period-over-period revenue growth. Equipment sales were $310.9 million for the fourth quarter of fiscal 2011, compared to $203.8 million in the fourth quarter last year. Parts sales were $29.9 million for the fourth quarter of fiscal 2011, compared to $27.7 million in the fourth quarter last year. Revenue generated from service was $19.6 million for the fourth quarter of fiscal 2011, compared to $14.9 million in the fourth quarter last year.
Gross profit for the fourth quarter of fiscal 2011 was $56.1 million, compared to $37.0 million in the fourth quarter of last year. The company’s gross profit margin was 15.2% in the fiscal fourth quarter of 2011, compared to 14.7% in the fourth quarter last year. Gross profit from parts and service revenue for the fourth quarter of fiscal 2011 increased to $20.6 million from $17.4 million in the fourth quarter of last year.
Pre-tax income for the fourth quarter of fiscal 2011 was $17.2 million, compared to $6.0 million in the fourth quarter last year. Pre-tax margin was 4.7% for the fourth quarter of fiscal 2011, compared to 2.4% in the fourth quarter last year. Pre-tax Agriculture segment income was $18.6 million for the fourth quarter of fiscal 2011, compared to $8.2 million in the fourth quarter last year. Pre-tax Construction segment loss improved to $0.5 million for the fourth quarter of fiscal 2011, compared to a loss of $2.3 million in the fourth quarter last year.
The company also announced that it has entered into a definitive purchase agreement to acquire Carlson Tractor and Equipment. The acquisition consists of two construction locations in the Minneapolis suburbs of Rosemount and Rogers, MN. ◆