The 10-second takeaway
For the quarter ended Jan. 31 (Q4), Titan Machinery beat expectations on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue increased significantly. GAAP earnings per share contracted.
Margins shrank across the board.
Titan Machinery booked revenue of $784.5 million. The eight analysts polled by S&P Capital IQ expected to see sales of $703.2 million on the same basis. GAAP reported sales were 29% higher than the prior-year quarter's $607.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.73. The nine earnings estimates compiled by S&P Capital IQ predicted $0.92 per share. GAAP EPS of $0.73 for Q4 were 12% lower than the prior-year quarter's $0.83 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 13.3%, 200 basis points worse than the prior-year quarter. Operating margin was 4.1%, 130 basis points worse than the prior-year quarter. Net margin was 2.0%, 90 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $480.5 million. On the bottom line, the average EPS estimate is $0.22.
Next year's average estimate for revenue is $2.39 billion. The average EPS estimate is $2.14.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Titan Machinery is outperform, with an average price target of $32.98.
If you're interested in companies like Titan Machinery, you might want to check out the jaw-dropping technology that's about to put 100 million Chinese factory workers out on the street – and the 3 companies that control it. We'll tell you all about them in "The Future is Made in America." Click here for instant access to this free report.
- Add Titan Machinery to My Watchlist.