Ben Klieve's questions to Titan Machinery (TITN) leadership • Q2 2026
Question
Ben Klieve of Lake Street Capital Markets asked about the specific conditions required for Titan Machinery's domestic agriculture equipment margins to recover to the historical 8% to 12% range from their current sub-4% levels.
Answer
CFO Bo Larsen outlined several key building blocks for margin recovery, including optimizing the inventory mix by completing the $100 million reduction, restoring pricing discipline as industry inventory normalizes, achieving stability in used equipment values, and enhancing geographic inventory optimization. President and CEO Bryan Knutson added that the most significant driver remains net farm income, which is a function of crop yields, commodity prices, and government support programs.