Titan Machinery Reports Drop in Construction Equipment Revenue in Q3

The world’s largest Case and New Holland dealer lowers its full-year construction revenue forecast to a decrease of 5%-10%.

Dec 5, 2025 - 10:55

Titan Machinery Reports Drop in Construction Equipment Revenue in Q3

Titan Machinery, the world’s largest Case and New Holland dealer, reported declining construction equipment sales and consolidated revenue in the third quarter of its 2026 fiscal year.

Total construction revenue in the quarter fell 10% year-over-year to $76.7 million, driven by lower equipment sales. Pre-tax loss in this segment came to $1.7 million in the third quarter versus a $900,000 loss the previous year.

For the first nine months of the fiscal year, construction revenue totaled $220.8 million, down 6.8% year-over-year. Construction pre-tax loss for the first nine months of the year came in at $7.1 million versus a loss of $5.6 million in the first nine months of the prior fiscal year.

Agricultural equipment revenue was down 12.7% in the quarter to $420.9 million, reflecting reduced equipment demand following lower commodity prices and higher interest rates.

Consolidated revenue in the quarter fell 5.2% to $644.5 million, and revenue from equipment sales specifically was down 7.1% to $459.9 million.

Third-quarter service revenue declined 4.3% year-over-year to $48.9 million. Titan Machinery’s "Parts" and "Rental & Other" segments showed the only revenue gains, up 1% to $122.3 million and up 6% to $13.3 million, respectively.

Gross profit in the quarter was up less than 1% to $111 million but fell 14.2% for the first nine months of the year to $295.6 million.

Titan Machinery also reported an 8.8% decline in net inventories from $1.11 billion as of January 31, 2025, to $1.01 billion as of October 31.

During the earnings call, Titan President and CEO Bryan Knutson said the company’s construction segment was facing “some softness reflecting the broader economic uncertainty,” but overall demand remains at a healthy level despite falling beneath the highs of recent years.

Titan Machinery lowered its full-year construction revenue forecast from down 3%-8% to down 5%-10%.