Titan Machinery (TITN) 27th Annual ICR Conference 2025 summary

Business overview and recent developments

• Operates four segments: North America Ag (70% of revenue), North America Construction, Australia, and Europe (each ~10%).

• Recently added Australia, leveraging similarities with the U.S. for operational synergies.

• Achieved $2.8 billion in revenue, focusing on efficiency, scale, and M&A opportunities.

• Consolidation and operational improvements have been ongoing since the late 1970s.

Industry cycle and inventory management

• Recent ag cycle saw record farm income but supply chain constraints limited equipment production.

• Inventory peaked at $1.3 billion; targeting a $400 million reduction over six quarters.

• Aggressive inventory reduction underway, with $100 million decrease after Q3.

• OEMs are underproducing to retail demand through H1 2025 to stabilize the market.

• Inventory profile is healthier than prior cycles due to centralized control and improved processes.

Operational strategies and technology

• All U.S. locations unified on a single ERP system, with CRM implementation planned for this year.

• High inventory visibility and communication enable efficient sales and inventory movement.

• Dense regional footprint in the Midwest enhances operational efficiency and customer service.