Cover
Cover - shares | 6 Months Ended | |
Jul. 31, 2023 | Sep. 01, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jul. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-33866 | |
Entity Registrant Name | TITAN MACHINERY INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 45-0357838 | |
Entity Address, Address Line One | 644 East Beaton Drive | |
Entity Address, City or Town | West Fargo, | |
Entity Address, State or Province | ND | |
Entity Address, Postal Zip Code | 58078-2648 | |
City Area Code | (701) | |
Local Phone Number | 356-0130 | |
Title of 12(b) Security | Common Stock, $0.00001 par value per share | |
Trading Symbol | TITN | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Central Index Key | 0001409171 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --01-31 | |
Entity Common Stock, Shares Outstanding | 22,863,911 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Current Assets | ||
Cash | $ 52,765 | $ 43,913 |
Receivables, net of allowance for expected credit losses | 119,753 | 95,844 |
Inventories, net | 979,427 | 703,939 |
Prepaid expenses and other | 13,543 | 25,554 |
Total current assets | 1,165,488 | 869,250 |
Noncurrent Assets | ||
Property and equipment, net of accumulated depreciation | 252,187 | 217,782 |
Operating lease assets | 44,241 | 50,206 |
Deferred income taxes | 3,769 | 1,246 |
Goodwill | 31,157 | 30,622 |
Intangible assets, net of accumulated amortization | 18,354 | 18,411 |
Other | 1,820 | 1,178 |
Total noncurrent assets | 351,528 | 319,445 |
Total Assets | 1,517,016 | 1,188,695 |
Current Liabilities | ||
Accounts payable | 41,254 | 40,834 |
Floorplan payable | 595,728 | 258,372 |
Current maturities of long-term debt | 11,174 | 7,241 |
Current operating lease liabilities | 9,533 | 9,855 |
Deferred revenue | 63,083 | 119,845 |
Accrued expenses and other | 49,360 | 58,159 |
Income taxes payable | 7,871 | 3,845 |
Total current liabilities | 778,003 | 498,151 |
Long-Term Liabilities | ||
Long-term debt, less current maturities | 87,052 | 89,950 |
Operating lease liabilities | 42,168 | 48,513 |
Deferred Income Tax Liabilities, Net | 9,569 | 9,563 |
Other long-term liabilities | 3,543 | 6,212 |
Total long-term liabilities | 142,332 | 154,238 |
Commitments and Contingencies (Note 15) | ||
Stockholders' Equity | ||
Common stock, par value $.00001 per share, 45,000,000 shares authorized; 22,863,628 shares issued and outstanding at July 31, 2023; 22,697,761 shares issued and outstanding at January 31, 2023 | 0 | 0 |
Additional paid-in-capital | 256,984 | 256,541 |
Retained earnings | 343,070 | 284,784 |
Accumulated other comprehensive loss | (3,373) | (5,019) |
Total Titan Machinery Inc. stockholders' equity | 596,681 | 536,306 |
Total Liabilities and Stockholders' Equity | $ 1,517,016 | $ 1,188,695 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jul. 31, 2023 | Jan. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value, in dollars per share | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized | 45,000,000 | 45,000,000 |
Common stock, shares issued | 22,863,628 | 22,697,761 |
Common stock, shares outstanding | 22,863,628 | 22,697,761 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Total Revenue | $ 642,568 | $ 496,543 | $ 1,212,199 | $ 957,549 |
Total Cost of Revenue | 509,169 | 393,844 | 960,220 | 766,156 |
Gross Profit | 133,399 | 102,699 | 251,979 | 191,393 |
Operating Expenses | 88,751 | 68,828 | 170,066 | 132,980 |
Income from Operations | 44,648 | 33,871 | 81,913 | 58,413 |
Other Income (Expense) | ||||
Interest and other income | 641 | 873 | 1,362 | 1,365 |
Floorplan interest expense | 2,457 | 245 | 3,729 | 499 |
Other interest expense | (1,241) | (1,349) | (2,514) | (2,545) |
Income Before Income Taxes | 41,591 | 33,150 | 77,032 | 56,734 |
Provision for Income Taxes | 10,270 | 8,191 | 18,745 | 14,235 |
Net Income | $ 31,321 | $ 24,959 | $ 58,287 | $ 42,499 |
Earnings per Share: | ||||
Earnings (Loss) per Share - Basic, in dollars per share | $ 1.38 | $ 1.10 | $ 2.56 | $ 1.88 |
Earnings (Loss) per Share - Diluted, in dollars per share | $ 1.38 | $ 1.10 | $ 2.56 | $ 1.88 |
Weighted Average Common Shares: | ||||
Weighted Average Number of Shares Outstanding, Basic | 22,476 | 22,387 | 22,474 | 22,350 |
Weighted Average Number of Shares Outstanding, Diluted | 22,484 | 22,392 | 22,480 | 22,357 |
Equipment | ||||
Revenue | $ 480,122 | $ 375,216 | $ 909,498 | $ 731,582 |
Cost of Revenue | 414,800 | 323,988 | 783,062 | 634,222 |
Parts | ||||
Revenue | 108,510 | 77,693 | 205,116 | 146,255 |
Cost of Revenue | 73,086 | 52,706 | 138,190 | 100,015 |
Service | ||||
Revenue | 42,478 | 33,365 | 77,411 | 62,887 |
Cost of Revenue | 14,208 | 11,072 | 26,617 | 21,832 |
Rental and Other | ||||
Revenue | 11,458 | 10,269 | 20,174 | 16,825 |
Cost of Revenue | $ 7,075 | $ 6,078 | $ 12,351 | $ 10,087 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 31,321 | $ 24,959 | $ 58,287 | $ 42,499 |
Other Comprehensive Income (Loss) | ||||
Foreign currency translation adjustments | 550 | (2,963) | 1,646 | (4,153) |
Comprehensive Income | $ 31,871 | $ 21,996 | $ 59,933 | $ 38,346 |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY Statement - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] |
Shares, Outstanding | 22,588 | ||||
Stockholders' Equity Attributable to Parent | $ 435,199 | $ 254,455 | $ 182,916 | $ (2,172) | |
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | (19) | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (685) | (685) | |||
Stock-based compensation expense | 620 | 620 | |||
Net Income (Loss) Attributable to Parent | 17,540 | 17,540 | |||
Other Comprehensive Income (Loss), Net of Tax | (1,191) | (1,191) | |||
Net Income (Loss) Attributable to Parent | 42,499 | ||||
Shares, Outstanding | 22,569 | ||||
Stockholders' Equity Attributable to Parent | 451,483 | 254,390 | 200,456 | (3,363) | |
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | 126 | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (5) | (5) | |||
Stock-based compensation expense | 803 | 803 | |||
Net Income (Loss) Attributable to Parent | 24,959 | 24,959 | |||
Other Comprehensive Income (Loss), Net of Tax | (2,963) | (2,963) | |||
Shares, Outstanding | 22,695 | ||||
Stockholders' Equity Attributable to Parent | 474,277 | 255,188 | 225,415 | (6,326) | |
Shares, Outstanding | 22,698 | ||||
Stockholders' Equity Attributable to Parent | 536,306 | 256,541 | 284,784 | (5,019) | |
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | (29) | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (993) | (993) | |||
Stock-based compensation expense | 659 | 659 | |||
Net Income (Loss) Attributable to Parent | 26,965 | 26,965 | |||
Other Comprehensive Income (Loss), Net of Tax | 1,096 | 1,096 | |||
Net Income (Loss) Attributable to Parent | 58,287 | ||||
Shares, Outstanding | 22,669 | ||||
Stockholders' Equity Attributable to Parent | 564,033 | 256,207 | 311,749 | (3,923) | |
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | 195 | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (7) | (7) | |||
Stock-based compensation expense | 784 | 784 | |||
Net Income (Loss) Attributable to Parent | 31,321 | 31,321 | |||
Other Comprehensive Income (Loss), Net of Tax | 550 | 550 | |||
Shares, Outstanding | 22,864 | ||||
Stockholders' Equity Attributable to Parent | $ 596,681 | $ 256,984 | $ 343,070 | $ (3,373) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Operating Activities | ||
Net Income (Loss) Attributable to Parent | $ 58,287 | $ 42,499 |
Adjustments to reconcile net income to net cash provided by operating activities | ||
Depreciation and amortization | 14,637 | 10,987 |
Deferred income taxes | (2,495) | (1,005) |
Stock-based compensation expense | 1,443 | 1,423 |
Noncash interest expense | 129 | 121 |
Other, net | 3,250 | 4,583 |
Changes in assets and liabilities, net of effects of acquisitions | ||
Increase (Decrease) in Accounts Receivable | 20,623 | 2,913 |
Increase (Decrease) in Prepaid Expense and Other Assets | 7,540 | 8,357 |
Inventories | (263,121) | (137,708) |
Manufacturer floorplan payable | 150,906 | 105,415 |
Increase (Decrease) in Deferred Revenue | (58,482) | (43,530) |
Accounts payable, accrued expenses and other and other long-term liabilities | (14,166) | (9,182) |
Net Cash Used for Operating Activities | (122,695) | (20,953) |
Investing Activities | ||
Rental fleet purchases | (2,690) | (6,020) |
Property and equipment purchases (excluding rental fleet) | (25,347) | (8,487) |
Proceeds from sale of property and equipment | 6,029 | 1,628 |
Acquisition consideration, net of cash acquired | 27,935 | 7,675 |
Other, net | (795) | (182) |
Net Cash Used for Investing Activities | (50,738) | (20,736) |
Financing Activities | ||
Net change in non-manufacturer floorplan payable | 185,026 | 35,716 |
Proceeds from long-term debt borrowings | 6,503 | 8,415 |
Principal payments on long-term debt and finance leases | 8,701 | 3,879 |
Other, net | (1,009) | (689) |
Net Cash Provided by Financing Activities | 181,819 | 39,563 |
Effect of Exchange Rate Changes on Cash | 466 | (1,966) |
Net Change in Cash | 8,852 | (4,092) |
Cash at Beginning of Period | 43,913 | 146,149 |
Cash at End of Period | 52,765 | 142,057 |
Cash paid during the period | ||
Income taxes, net of refunds | 15,215 | 11,116 |
Interest | 5,377 | 2,851 |
Supplemental Disclosures of Noncash Investing and Financing Activities | ||
Net property and equipment financed with long-term debt, finance leases, accounts payable and accrued liabilities | 5,175 | 2,667 |
Net transfer of assets to property and equipment from inventories | $ (1,232) | $ (2,849) |
BUSINESS ACTIVITY AND SIGNIFICA
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jul. 31, 2023 | |
Accounting Policies [Abstract] | |
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES | BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The unaudited consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim reporting. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. In the opinion of management, all adjustments, consisting of normal recurring accruals, considered necessary for a fair presentation have been included. The quarterly operating results for Titan Machinery Inc. (the “Company”) are subject to fluctuation due to varying weather patterns, which may impact the timing and amount of equipment purchases, rentals, and after-sales parts and service purchases by the Company’s agriculture, construction and international customers. Therefore, operating results for the six-months ended July 31, 2023 are not necessarily indicative of the results that may be expected for the fiscal year ending January 31, 2024. The information contained in the consolidated balance sheet as of January 31, 2023 was derived from the audited consolidated financial statements of the Company for the fiscal year then ended. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2023 as filed with the SEC. Nature of Business The Company is engaged in the retail sale, service and rental of agricultural and construction machinery through its stores in the United States and Europe. The Company’s North American stores are located in Colorado, Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, North Dakota, South Dakota, Washington, Wisconsin, and Wyoming and its European stores are located in Bulgaria, Germany, Romania, and Ukraine. Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates, particularly related to realization of inventory, impairment of long-lived assets, goodwill, or indefinite lived intangible assets, collectability of receivables, and income taxes. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All material accounts, transactions and profits between the consolidated companies have been eliminated in consolidation. Recently Adopted Accounting Guidance In September 2022, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") No. 2022-04, Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. This new standard requires that the buyer in a supplier finance program discloses information about the key terms of the program, outstanding confirmed amounts as of the end of the period, a rollforward of such amounts during each annual period, and a description of where in the financial statements outstanding amounts are presented. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the disclosure of rollforward information, which is effective for fiscal years beginning after December 15, 2023. Early adoption of this ASU is permitted. Entities must apply the amendments of this ASU retrospectively to all periods in which a balance sheet is presented, with the exception of the amendment on disclosure of rollforward information, which entities only need to apply prospectively. On February 1st, 2023 we adopted ASU No. 2022-04 with no impact to our consolidated financial statements. The Company has agreements with financial institutions to facilitate the purchase of inventory from designated suppliers under certain terms and conditions. Under these agreements, the Company receives extended payment terms and agrees to pay the financial institution a stated amount of confirmed invoices from its designated suppliers. The Company may incur interest in accordance with the terms of the agreements. Additionally, the Company has no involvement in establishing the terms or conditions of the arrangements between its suppliers and the financial institution. |
EARNINGS PER SHARE (Notes)
EARNINGS PER SHARE (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the calculation of basic and diluted earnings per share (EPS): Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands, except per share data) Numerator: Net income $ 31,321 $ 24,959 $ 58,287 $ 42,499 Allocation to participating securities (400) (291) (689) (502) Net income attributable to Titan Machinery Inc. common stockholders $ 30,921 $ 24,668 $ 57,598 $ 41,997 Denominator: Basic weighted-average common shares outstanding 22,476 22,387 22,474 22,350 Plus: incremental shares from vesting of restricted stock units 8 5 6 7 Diluted weighted-average common shares outstanding 22,484 22,392 22,480 22,357 Earnings Per Share: Basic $ 1.38 $ 1.10 $ 2.56 $ 1.88 Diluted $ 1.38 $ 1.10 $ 2.56 $ 1.88 |
REVENUE (Notes)
REVENUE (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | REVENUE Revenue is recognized when control of the promised goods or services is transferred to the customer, in an amount that reflects the consideration we expect to collect in exchange for those goods or services. Sales, value added and other taxes collected from our customers concurrent with our revenue activities are excluded from revenue. The following tables present our revenue disaggregated by revenue source and segment: Three Months Ended July 31, 2023 Six Months Ended July 31, 2023 Agriculture Construction International Total Agriculture Construction International Total (in thousands) (in thousands) Equipment $ 352,533 $ 53,697 $ 73,892 $ 480,122 $ 678,193 $ 99,155 $ 132,150 $ 909,498 Parts 82,246 12,537 13,727 108,510 151,793 26,202 27,121 205,116 Service 32,526 7,347 2,605 42,478 58,793 13,683 4,935 77,411 Other 1,235 588 193 2,016 2,402 948 552 3,902 Revenue from contracts with customers 468,540 74,169 90,417 633,126 891,181 139,988 164,758 1,195,927 Rental 529 8,694 219 9,442 1,085 14,872 315 16,272 Total revenue $ 469,069 $ 82,863 $ 90,636 $ 642,568 $ 892,266 $ 154,860 $ 165,073 $ 1,212,199 Three Months Ended July 31, 2022 Six Months Ended July 31, 2022 Agriculture Construction International Total Agriculture Construction International Total (in thousands) (in thousands) Equipment $ 270,472 $ 43,184 $ 61,560 $ 375,216 $ 521,565 $ 87,002 $ 123,015 $ 731,582 Parts 52,548 11,816 13,329 77,693 97,054 23,879 25,322 146,255 Service 24,730 6,302 2,333 33,365 46,683 12,125 4,079 62,887 Other 880 500 246 1,626 1,679 803 451 2,933 Revenue from contracts with customers 348,630 61,802 77,468 487,900 666,981 123,809 152,867 943,657 Rental 326 8,220 97 8,643 522 13,177 193 13,892 Total revenue $ 348,956 $ 70,022 $ 77,565 $ 496,543 $ 667,503 $ 136,986 $ 153,060 $ 957,549 Unbilled Receivables and Deferred Revenue Unbilled receivables from contracts with customers amounted to $32.1 million and $19.8 million as of July 31, 2023 and January 31, 2023, respectively. This increase in unbilled receivables is primarily the result of a seasonal increase in the volume of our service transactions in which we recognize revenue as our work is performed and prior to customer invoicing. |
RECEIVABLES (Notes)
RECEIVABLES (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Receivables [Abstract] | |
RECEIVABLES | NOTE 4 - RECEIVABLES The Company provides an allowance for expected credit losses on its nonrental receivables. To measure the expected credit losses, receivables have been grouped based on shared credit risk characteristics as shown in the table below. Trade and unbilled receivables from contracts with customers have credit risk and the allowance is determined by applying expected credit loss percentages to aging categories based on historical experience that are updated each quarter. The rates may also be adjusted to the extent future events are expected to differ from historical results. In addition, the allowance is adjusted based on information obtained by continued monitoring of individual customer credit. Trade receivables from finance companies, other receivables due from manufacturers, and other receivables have not historically resulted in any credit losses to the Company. These receivables are short-term in nature and deemed to be of good credit quality and have no need for any allowance for expected credit losses. Management continually monitors these receivables and should information be obtained that identifies potential credit risk, an adjustment to the allowance would be made if deemed appropriate. Trade and unbilled receivables from rental contracts are primarily in the United States and are specifically excluded from the accounting guidance in determining an allowance for expected losses. The Company provides an allowance for these receivables based on historical experience and using credit information obtained from continued monitoring of customer accounts. July 31, 2023 January 31, 2023 (in thousands) Trade and unbilled receivables from contracts with customers Trade receivables due from customers $ 57,220 $ 47,298 Unbilled receivables 32,110 19,764 Less allowance for expected credit losses 3,251 3,080 86,079 63,982 Trade receivables due from finance companies 17,556 11,212 Trade and unbilled receivables from rental contracts Trade receivables 3,804 3,629 Unbilled receivables 1,076 776 Less allowance for expected credit losses 436 360 4,444 4,045 Other receivables Due from manufacturers 10,766 15,007 Other 908 1,598 11,674 16,605 Receivables, net of allowance for expected credit losses $ 119,753 $ 95,844 Following is a summary of allowance for credit losses on trade and unbilled accounts receivable by segment: Agriculture Construction International Total (in thousands) Balance at January 31, 2023 $ 367 $ 124 $ 2,589 $ 3,080 Current expected credit loss (benefit) provision (15) 123 244 352 Write-offs charged against allowance 143 56 53 252 Credit loss recoveries collected 13 1 42 56 Foreign exchange impact — — 15 15 Balance at July 31, 2023 $ 222 $ 192 $ 2,837 $ 3,251 Agriculture Construction International Total (in thousands) Balance at January 31, 2022 $ 244 $ 193 $ 1,542 $ 1,979 Current expected credit loss provision 79 35 846 960 Write-offs (recoveries) charged against allowance 30 97 61 188 Credit loss recoveries collected 16 4 — 20 Foreign exchange impact — — (49) (49) Balance at July 31, 2022 $ 309 $ 135 $ 2,278 $ 2,722 The following table presents impairment losses (recoveries) on receivables arising from sales contracts with customers and receivables arising from rental contracts reflected in Operating Expenses in the Condensed Consolidated Statements of Operations: Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands) Impairment losses on: Receivables from sales contracts $ 69 $ 186 $ 351 $ 999 Receivables from rental contracts 71 43 123 32 $ 140 $ 229 $ 474 $ 1,031 |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jul. 31, 2023 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES July 31, 2023 January 31, 2023 (in thousands) New equipment $ 598,926 $ 369,828 Used equipment 194,730 164,761 Parts and attachments 179,527 164,553 Work in process 6,244 4,797 $ 979,427 $ 703,939 |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 6 Months Ended |
Jul. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | PROPERTY AND EQUIPMENT July 31, 2023 January 31, 2023 (in thousands) Rental fleet equipment $ 77,848 $ 75,386 Machinery and equipment 31,241 27,220 Vehicles 87,816 80,122 Furniture and fixtures 56,069 53,937 Land, buildings, and leasehold improvements 169,601 140,773 422,575 377,438 Less accumulated depreciation 170,388 159,656 $ 252,187 $ 217,782 |
Intangible Assets, Goodwill and
Intangible Assets, Goodwill and Other | 6 Months Ended |
Jul. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | INTANGIBLE ASSETS AND GOODWILL Finite-Lived Intangible Assets The Company's finite-lived intangible assets consist of customer relationships and covenants not to compete. The following is a summary of intangible assets with finite lives as of July 31, 2023 and January 31, 2023. July 31, 2023 January 31, 2023 Cost Accumulated Amortization Net Cost Accumulated Amortization Net (in thousands) (in thousands) Customer relationships $ 538 $ (234) $ 304 $ 538 $ (180) $ 358 Covenants not to compete 1,133 (333) 800 1,025 (222) 803 $ 1,671 $ (567) $ 1,104 $ 1,563 $ (402) $ 1,161 Future amortization expense, as of July 31, 2023, is expected to be as follows: Fiscal Year Ended January 31, Amount (in thousands) 2024 (remainder) $ 173 2025 325 2026 282 2027 232 2028 92 Thereafter — $ 1,104 Indefinite-Lived Intangible Assets The Company's indefinite-lived intangible assets consist of distribution rights assets. The following is a summary of the changes in indefinite-lived intangible assets, by segment, for the six months ended July 31, 2023: Agriculture Construction Total (in thousands) January 31, 2023 $ 17,178 $ 72 $ 17,250 July 31, 2023 $ 17,178 $ 72 $ 17,250 Goodwill The following presents changes in the carrying amount of goodwill, by segment, for the six months ended July 31, 2023: Agriculture International Total (in thousands) January 31, 2023 $ 30,622 $ — $ 30,622 Arising from business combinations 69 471 540 Foreign currency translation — (5) (5) July 31, 2023 $ 30,691 $ 466 $ 31,157 |
LINES OF CREDIT _ FLOORPLAN PAY
LINES OF CREDIT / FLOORPLAN PAYABLE | 6 Months Ended |
Jul. 31, 2023 | |
Line of Credit Facility [Abstract] | |
LINES OF CREDIT / FLOORPLAN PAYABLE | FLOORPLAN PAYABLE/LINES OF CREDIT As of July 31, 2023, the Company had floorplan lines of credit totaling $781.0 million, which is primarily comprised of three floorplan lines of credit: (i) a $500.0 million credit facility with CNH Industrial, (ii) a $185.0 million line of credit under the Third Amended and Restated Credit Agreement (the "Bank Syndicate Agreement", and (iii) a $50.0 million credit facility with DLL Finance LLC. The Company's outstanding balances of floorplan lines of credit as of July 31, 2023 and January 31, 2023, consisted of the following: July 31, 2023 January 31, 2023 (in thousands) CNH Industrial $ 318,447 $ 177,337 Bank Syndicate Agreement Floorplan Loan 185,000 35,550 DLL Finance 37,739 9,914 Other outstanding balances with manufacturers and non-manufacturers 54,542 35,571 $ 595,728 $ 258,372 As of July 31, 2023, the interest-bearing U.S. floorplan payables carried a variable interest rate with a range of 6.72% to 11.00% compared to a range of 5.94% to 10.25% as of January 31, 2023. As of July 31, 2023, foreign floorplan payables carried a variable interest rate with a range of 5.36% to 6.17%, compared to a range of 4.16% to 4.96% as of January 31, 2023, on multiple lines of credit. The Company had non-interest-bearing floorplan payables of $360.4 million and $213.0 million, as of July 31, 2023 and January 31, 2023, respectively. |
LONG TERM DEBT (Notes)
LONG TERM DEBT (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | LONG TERM DEBT The following is a summary of long-term debt as of July 31, 2023 and January 31, 2023: Description Maturity Dates Interest Rates July 31, 2023 January 31, 2023 (in thousands) Mortgage loans, secured Various through May 2039 2.1% to 7.3% $ 69,682 $ 68,689 Sale-leaseback financing obligations Various through December 2030 3.4% to 10.3% 10,658 11,252 Vehicle loans, secured Various through May 2029 2.1% to 6.8% 13,295 12,659 Other Various through July 2039 3.6% 4,591 4,591 Total debt 98,226 97,191 Less: current maturities 11,174 7,241 Long-term debt, net $ 87,052 $ 89,950 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Accumulated Other Comprehensive Income [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following is a summary of the changes in accumulated other comprehensive income (loss), by component, for the six month periods ended July 31, 2023 and July 31, 2022: Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2023 $ (7,730) $ 2,711 $ (5,019) Other comprehensive income (loss) 1,096 — 1,096 Balance, April 30, 2023 (6,634) 2,711 (3,923) Other comprehensive income (loss) 550 550 Balance, July 31, 2023 $ (6,084) $ 2,711 $ (3,373) Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2022 $ (4,883) $ 2,711 $ (2,172) Other comprehensive income (loss) (1,191) — (1,191) Balance, April 30, 2022 (6,074) 2,711 (3,363) Other comprehensive income (loss) (2,963) — (2,963) Balance, July 31, 2022 $ (9,037) $ 2,711 $ (6,326) |
LEASES (Notes)
LEASES (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Leases [Abstract] | |
LEASES | LEASES As Lessor Revenue generated from leasing activities is disclosed, by segment, in Note 3. The following is the balance of our dedicated rental fleet assets, included in Property and equipment, net of accumulated depreciation in the condensed consolidated balance sheet, of our Construction segment as of July 31, 2023 and January 31, 2023: July 31, 2023 January 31, 2023 (in thousands) Rental fleet equipment $ 77,848 $ 75,386 Less accumulated depreciation 28,494 26,959 $ 49,354 $ 48,427 |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 6 Months Ended |
Jul. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE MEASUREMENTS As of July 31, 2023, the fair value of the Company's foreign currency contracts, which are either assets or liabilities measured at fair value on a recurring basis, was not material. These foreign currency contracts were valued using a discounted cash flow analysis, which is an income approach, utilizing readily observable market data as inputs, which is classified as a Level 2 fair value measurement. The Company also has financial instruments that are not recorded at fair value in the consolidated balance sheets, including cash, receivables, payables and long-term debt. The carrying amounts of these financial instruments approximated their fair values as of July 31, 2023 and January 31, 2023. The fair value of these financial instruments was estimated based on Level 2 fair value inputs. The estimated fair value of the Company's Level 2 long-term debt, which is provided for disclosure purposes only, is as follows: July 31, 2023 January 31, 2023 (in thousands) Carrying amount $ 82,977 $ 81,349 Fair value $ 72,939 $ 70,434 |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jul. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Our effective tax rate was 24.7% for each of the three months ended July 31, 2023 and 2022 and was 24.3% and 25.1% for the six months ended July 31, 2023 and 2022, respectively. The effective tax rate for the three and six months ended July 31, 2023 and 2022 were subject to various other factors such as the impact of certain discrete items, mainly the vesting of share-based compensation, the mix of domestic and foreign income |
BUSINESS COMBINATIONS (Notes)
BUSINESS COMBINATIONS (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS Fiscal 2024 On June 1, 2023, the Company acquired certain assets of Midwest Truck Parts Inc., ("Midwest Truck"). The acquired business consists of one location in Dawson, Minnesota. This location is included in the Company's Agriculture segment. The total consideration transferred for the acquired business was $4.0 million paid in cash, which includes the purchase of the real estate. On May 1, 2023, the Company, through its German subsidiary, Titan Machinery Deutschland GmbH, acquired certain assets of MAREP GmbH ("MAREP") related to its full-service agriculture dealership business located in Mühlengeez and Radelübbe, Germany. Our acquisition of these assets from MAREP further expands our presence in the German market. The total consideration transferred for the acquired business was $4.4 million paid in cash, which includes the real estate of the Mühlengeez location. These locations are included in the Company's international segment. On February 1, 2023, the Company acquired certain assets of Pioneer Farm Equipment Co., ("Pioneer Farm Equipment"). The acquired business consists of five agriculture equipment stores in American Falls, Blackfoot, Idaho Falls, Rexburg, and Rupert, Idaho. These locations are included in the Company's Agriculture segment. The total consideration transferred for the acquired business was $19.5 million paid in cash, which includes $9.4 million for the purchase of the real estate. In connection with the acquisition, the Company acquired from CNH Industrial and certain other manufacturers equipment and parts inventory previously owned by Pioneer Farm Equipment Co. Upon acquiring these inventories, the Company was offered floorplan financing by the manufacturer. In total, the Company acquired inventory and recognized a corresponding liability of $12.7 million. The recognition of these inventories and associated financing liabilities are not included as part of the accounting for the business combination. Fiscal 2023 On August 1, 2022, the Company acquired all outstanding equity interests of three entities, Heartland Agriculture, LLC, Heartland Solutions, LLC, and Heartland Leveraged Lender, LLC, (collectively referred to as "Heartland Companies") for $94.4 million in cash consideration. The Heartland Companies consist of 12 CaseIH commercial application agriculture locations in the states of Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, North Dakota, South Dakota, Washington, and Wisconsin. The Heartland Companies have been a successful CaseIH commercial application dealer group and our acquisition of these entities provides the Company the opportunity for synergies due to the overlap of our footprints, which will allow us to package deals that will include both commercial application equipment as well as other agricultural and construction equipment to commercial customers within our core footprint. These locations are included in the Company's Agriculture segment. In the most recently completed fiscal year prior to the acquisition, the Heartland Companies generated revenue of approximately $214 million. The Company incurred $1.1 million in acquisition-related expenses in connection with this acquisition, which are included in operating expenses in the condensed consolidated statement of operations. On April 1, 2022, the Company acquired certain assets of Mark's Machinery, Inc. The acquired business consisted of two agricultural equipment stores in Wagner and Yankton, South Dakota. These locations are included in the Company's Agriculture segment. The total cash consideration transferred for the acquired business was $7.7 million. In connection with the acquisition, the Company acquired from CNH Industrial and certain other manufacturers equipment and parts inventory previously owned by Mark's Machinery, Inc. Upon acquiring these inventories, the Company was offered floorplan financing by the respective manufacturers. In total, the Company acquired inventory and recognized a corresponding financing liability of $3.2 million. The recognition of these inventories and the associated financing liabilities are not included as part of the accounting for the business combination. Purchase Price Allocation Each of the above acquisitions have been accounted for under the acquisition method of accounting, which requires the Company to estimate the acquisition date fair value of the assets acquired and liabilities assumed. The purchase price allocation for all business combinations completed in the six months ended July 31, 2023 are preliminary as we finalize the valuation of our intangible assets acquired. The purchase price allocations for all business combinations completed in fiscal year 2023 are complete. The following table presents the purchase price allocations for all acquisitions completed during the fiscal year ended January 31, 2023 and the six months ended July 31, 2023: July 31, 2023 January 31, 2023 (in thousands) Assets acquired: Cash $ 4 $ 1,584 Receivables 885 9,485 Inventories 11,237 106,890 Prepaid expenses and other — 668 Property and equipment 16,659 24,292 Operating lease assets 148 3,928 Intangible assets — 8,017 Goodwill 540 21,670 Other $ 110 — 29,583 176,534 Liabilities assumed: Accounts payable — 18,547 Floorplan payable — 31,699 Current operating lease liabilities 58 541 Deferred revenue 1,499 7,039 Accrued expenses and other — 3,523 Long-term debt — 4,591 Operating lease liabilities 91 3,387 Other long-term liabilities — 5,152 1,648 74,479 Net assets acquired $ 27,935 $ 102,055 Goodwill recognized by segment: Agriculture $ 69 $ 21,670 International $ 471 $ — Goodwill expected to be deductible for tax purposes $ 540 $ 21,670 The recognition of goodwill in the above business combinations arose from the acquisition of an assembled workforce and anticipated synergies expected to be realized. For the business combinations completed during the six months ended July 31, 2023, the Company recognized a non-competition intangible asset of $0.1 million in its International segment, which will be amortized over a three year period. For the business combinations completed during the fiscal year ended January 31, 2023, the Company recognized a non-competition intangible asset of $0.8 million and a customer relationship intangible asset of $0.2 million. The distribution rights assets are indefinite-lived intangible assets not subject to amortization. The Company estimated the fair value of the intangible assets using a multi-period excess earnings model, which is an income approach. Acquisition related costs for the six month period ended July 31, 2023 amounted to $0.5 million, primarily related to the O'Connors, see Subsequent Event Note 18, acquisition. Acquisition related costs amounted to $1.1 million for the fiscal year ended January 31, 2023. All acquisition-related costs have been expensed as incurred and recognized as Operating Expenses in the condensed consolidated statements of operations. Pro Forma Information The following summarized unaudited pro forma condensed statement of operations information for the three months ended July 31, 2023 and 2022, assumes that the Heartland Companies acquisition occurred as of February 1, 2021. The Company prepared the following summarized unaudited pro forma financial results for comparative purposes only. The summarized unaudited pro forma information may not be indicative of the results that would have occurred had the Company completed the acquisition as of February 1, 2021 or that will be attained in the future. Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands) Total Revenues $ 642,568 $ 561,194 $ 1,212,199 $ 1,117,622 Net Income $ 31,321 $ 27,523 $ 58,287 $ 51,904 |
CONTINGENCIES (Notes)
CONTINGENCIES (Notes) | 6 Months Ended |
Jul. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | NOTE 16 - CONTINGENCIES The Company is engaged in legal proceedings incidental to the normal course of business. Due to their nature, such legal proceedings involve inherent uncertainties, including but not limited to, court rulings, negotiations between affected parties and governmental intervention. Based upon the information available to the Company and discussions with legal counsel, it is the Company's opinion that the outcome of these various legal actions and claims will not have a material impact on its financial position, results of operations or cash flows. These matters, however, are subject to many uncertainties, and the outcome of any matter is not predictable. |
SEGMENT INFORMATION AND OPERATI
SEGMENT INFORMATION AND OPERATING RESULTS | 6 Months Ended |
Jul. 31, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION AND OPERATING RESULTS | SEGMENT INFORMATION The Company has three reportable segments: Agriculture, Construction and International. Revenue between segments is immaterial. The Company retains various unallocated income/(expense) items and assets at the general corporate level, which the Company refers to as “Shared Resources” in the table below. Shared Resources assets primarily consist of cash and property and equipment. Certain financial information for each of the Company’s business segments is set forth below. Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands) (in thousands) Revenue Agriculture $ 469,069 $ 348,956 $ 892,266 $ 667,503 Construction 82,863 70,022 154,860 136,986 International 90,636 77,565 165,073 153,060 Total $ 642,568 $ 496,543 $ 1,212,199 $ 957,549 Income (Loss) Before Income Taxes Agriculture $ 33,029 $ 24,895 $ 57,181 $ 41,344 Construction 5,156 3,923 9,689 7,132 International 5,568 5,870 11,952 10,195 Segment income before income taxes 43,753 34,688 78,822 58,671 Shared Resources (2,162) (1,538) (1,790) (1,937) Total $ 41,591 $ 33,150 $ 77,032 $ 56,734 July 31, 2023 January 31, 2023 (in thousands) Total Assets Agriculture $ 985,419 $ 788,265 Construction 224,478 187,739 International 242,177 170,647 Segment assets 1,452,074 1,146,651 Shared Resources 64,942 42,044 Total $ 1,517,016 $ 1,188,695 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2023 | Apr. 30, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Pay vs Performance Disclosure | ||||||
Net Income (Loss) Attributable to Parent | $ 31,321 | $ 26,965 | $ 24,959 | $ 17,540 | $ 58,287 | $ 42,499 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jul. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
BUSINESS ACTIVITY AND SIGNIFI_2
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jul. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The unaudited consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim reporting. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. In the opinion of management, all adjustments, consisting of normal recurring accruals, considered necessary for a fair presentation have been included. The quarterly operating results for Titan Machinery Inc. (the “Company”) are subject to fluctuation due to varying weather patterns, which may impact the timing and amount of equipment purchases, rentals, and after-sales parts and service purchases by the Company’s agriculture, construction and international customers. Therefore, operating results for the six-months ended July 31, 2023 are not necessarily indicative of the results that may be expected for the fiscal year ending January 31, 2024. The information contained in the consolidated balance sheet as of January 31, 2023 was derived from the audited consolidated financial statements of the Company for the fiscal year then ended. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2023 as filed with the SEC. |
Estimates | Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates, particularly related to realization of inventory, impairment of long-lived assets, goodwill, or indefinite lived intangible assets, collectability of receivables, and income taxes. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All material accounts, transactions and profits between the consolidated companies have been eliminated in consolidation. Recently Adopted Accounting Guidance In September 2022, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") No. 2022-04, Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. This new standard requires that the buyer in a supplier finance program discloses information about the key terms of the program, outstanding confirmed amounts as of the end of the period, a rollforward of such amounts during each annual period, and a description of where in the financial statements outstanding amounts are presented. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the disclosure of rollforward information, which is effective for fiscal years beginning after December 15, 2023. Early adoption of this ASU is permitted. Entities must apply the amendments of this ASU retrospectively to all periods in which a balance sheet is presented, with the exception of the amendment on disclosure of rollforward information, which entities only need to apply prospectively. On February 1st, 2023 we adopted ASU No. 2022-04 with no impact to our consolidated financial statements. The Company has agreements with financial institutions to facilitate the purchase of inventory from designated suppliers under certain terms and conditions. Under these agreements, the Company receives extended payment terms and agrees to pay the financial institution a stated amount of confirmed invoices from its designated suppliers. The Company may incur interest in accordance with the terms of the agreements. Additionally, the Company has no involvement in establishing the terms or conditions of the arrangements between its suppliers and the financial institution. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the calculation of basic and diluted earnings per share (EPS): Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands, except per share data) Numerator: Net income $ 31,321 $ 24,959 $ 58,287 $ 42,499 Allocation to participating securities (400) (291) (689) (502) Net income attributable to Titan Machinery Inc. common stockholders $ 30,921 $ 24,668 $ 57,598 $ 41,997 Denominator: Basic weighted-average common shares outstanding 22,476 22,387 22,474 22,350 Plus: incremental shares from vesting of restricted stock units 8 5 6 7 Diluted weighted-average common shares outstanding 22,484 22,392 22,480 22,357 Earnings Per Share: Basic $ 1.38 $ 1.10 $ 2.56 $ 1.88 Diluted $ 1.38 $ 1.10 $ 2.56 $ 1.88 |
REVENUE (Tables)
REVENUE (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables present our revenue disaggregated by revenue source and segment: Three Months Ended July 31, 2023 Six Months Ended July 31, 2023 Agriculture Construction International Total Agriculture Construction International Total (in thousands) (in thousands) Equipment $ 352,533 $ 53,697 $ 73,892 $ 480,122 $ 678,193 $ 99,155 $ 132,150 $ 909,498 Parts 82,246 12,537 13,727 108,510 151,793 26,202 27,121 205,116 Service 32,526 7,347 2,605 42,478 58,793 13,683 4,935 77,411 Other 1,235 588 193 2,016 2,402 948 552 3,902 Revenue from contracts with customers 468,540 74,169 90,417 633,126 891,181 139,988 164,758 1,195,927 Rental 529 8,694 219 9,442 1,085 14,872 315 16,272 Total revenue $ 469,069 $ 82,863 $ 90,636 $ 642,568 $ 892,266 $ 154,860 $ 165,073 $ 1,212,199 Three Months Ended July 31, 2022 Six Months Ended July 31, 2022 Agriculture Construction International Total Agriculture Construction International Total (in thousands) (in thousands) Equipment $ 270,472 $ 43,184 $ 61,560 $ 375,216 $ 521,565 $ 87,002 $ 123,015 $ 731,582 Parts 52,548 11,816 13,329 77,693 97,054 23,879 25,322 146,255 Service 24,730 6,302 2,333 33,365 46,683 12,125 4,079 62,887 Other 880 500 246 1,626 1,679 803 451 2,933 Revenue from contracts with customers 348,630 61,802 77,468 487,900 666,981 123,809 152,867 943,657 Rental 326 8,220 97 8,643 522 13,177 193 13,892 Total revenue $ 348,956 $ 70,022 $ 77,565 $ 496,543 $ 667,503 $ 136,986 $ 153,060 $ 957,549 |
RECEIVABLES (Tables)
RECEIVABLES (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Receivables [Abstract] | |
Schedule of Receivables | July 31, 2023 January 31, 2023 (in thousands) Trade and unbilled receivables from contracts with customers Trade receivables due from customers $ 57,220 $ 47,298 Unbilled receivables 32,110 19,764 Less allowance for expected credit losses 3,251 3,080 86,079 63,982 Trade receivables due from finance companies 17,556 11,212 Trade and unbilled receivables from rental contracts Trade receivables 3,804 3,629 Unbilled receivables 1,076 776 Less allowance for expected credit losses 436 360 4,444 4,045 Other receivables Due from manufacturers 10,766 15,007 Other 908 1,598 11,674 16,605 Receivables, net of allowance for expected credit losses $ 119,753 $ 95,844 |
Accounts Receivable, Allowance for Credit Loss | Following is a summary of allowance for credit losses on trade and unbilled accounts receivable by segment: Agriculture Construction International Total (in thousands) Balance at January 31, 2023 $ 367 $ 124 $ 2,589 $ 3,080 Current expected credit loss (benefit) provision (15) 123 244 352 Write-offs charged against allowance 143 56 53 252 Credit loss recoveries collected 13 1 42 56 Foreign exchange impact — — 15 15 Balance at July 31, 2023 $ 222 $ 192 $ 2,837 $ 3,251 Agriculture Construction International Total (in thousands) Balance at January 31, 2022 $ 244 $ 193 $ 1,542 $ 1,979 Current expected credit loss provision 79 35 846 960 Write-offs (recoveries) charged against allowance 30 97 61 188 Credit loss recoveries collected 16 4 — 20 Foreign exchange impact — — (49) (49) Balance at July 31, 2022 $ 309 $ 135 $ 2,278 $ 2,722 |
Impaired Financing Receivables | The following table presents impairment losses (recoveries) on receivables arising from sales contracts with customers and receivables arising from rental contracts reflected in Operating Expenses in the Condensed Consolidated Statements of Operations: Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands) Impairment losses on: Receivables from sales contracts $ 69 $ 186 $ 351 $ 999 Receivables from rental contracts 71 43 123 32 $ 140 $ 229 $ 474 $ 1,031 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | July 31, 2023 January 31, 2023 (in thousands) New equipment $ 598,926 $ 369,828 Used equipment 194,730 164,761 Parts and attachments 179,527 164,553 Work in process 6,244 4,797 $ 979,427 $ 703,939 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | PROPERTY AND EQUIPMENT July 31, 2023 January 31, 2023 (in thousands) Rental fleet equipment $ 77,848 $ 75,386 Machinery and equipment 31,241 27,220 Vehicles 87,816 80,122 Furniture and fixtures 56,069 53,937 Land, buildings, and leasehold improvements 169,601 140,773 422,575 377,438 Less accumulated depreciation 170,388 159,656 $ 252,187 $ 217,782 |
Intangible Assets, Goodwill a_2
Intangible Assets, Goodwill and Other (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Indefinite-Lived Intangible Assets | The following is a summary of the changes in indefinite-lived intangible assets, by segment, for the six months ended July 31, 2023: Agriculture Construction Total (in thousands) January 31, 2023 $ 17,178 $ 72 $ 17,250 July 31, 2023 $ 17,178 $ 72 $ 17,250 |
Schedule of Intangible Assets and Goodwill [Table Text Block] | The following presents changes in the carrying amount of goodwill, by segment, for the six months ended July 31, 2023: Agriculture International Total (in thousands) January 31, 2023 $ 30,622 $ — $ 30,622 Arising from business combinations 69 471 540 Foreign currency translation — (5) (5) July 31, 2023 $ 30,691 $ 466 $ 31,157 |
LINES OF CREDIT _ FLOORPLAN P_2
LINES OF CREDIT / FLOORPLAN PAYABLE Summary of Outstanding Amounts (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Line of Credit Facility [Abstract] | |
Schedule of Line of Credit Facilities | July 31, 2023 January 31, 2023 (in thousands) CNH Industrial $ 318,447 $ 177,337 Bank Syndicate Agreement Floorplan Loan 185,000 35,550 DLL Finance 37,739 9,914 Other outstanding balances with manufacturers and non-manufacturers 54,542 35,571 $ 595,728 $ 258,372 |
LONG TERM DEBT (Tables)
LONG TERM DEBT (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Debt Instrument [Line Items] | |
Schedule of Long-term Debt | The following is a summary of long-term debt as of July 31, 2023 and January 31, 2023: Description Maturity Dates Interest Rates July 31, 2023 January 31, 2023 (in thousands) Mortgage loans, secured Various through May 2039 2.1% to 7.3% $ 69,682 $ 68,689 Sale-leaseback financing obligations Various through December 2030 3.4% to 10.3% 10,658 11,252 Vehicle loans, secured Various through May 2029 2.1% to 6.8% 13,295 12,659 Other Various through July 2039 3.6% 4,591 4,591 Total debt 98,226 97,191 Less: current maturities 11,174 7,241 Long-term debt, net $ 87,052 $ 89,950 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME AOCI (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Accumulated Other Comprehensive Income [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following is a summary of the changes in accumulated other comprehensive income (loss), by component, for the six month periods ended July 31, 2023 and July 31, 2022: Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2023 $ (7,730) $ 2,711 $ (5,019) Other comprehensive income (loss) 1,096 — 1,096 Balance, April 30, 2023 (6,634) 2,711 (3,923) Other comprehensive income (loss) 550 550 Balance, July 31, 2023 $ (6,084) $ 2,711 $ (3,373) Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2022 $ (4,883) $ 2,711 $ (2,172) Other comprehensive income (loss) (1,191) — (1,191) Balance, April 30, 2022 (6,074) 2,711 (3,363) Other comprehensive income (loss) (2,963) — (2,963) Balance, July 31, 2022 $ (9,037) $ 2,711 $ (6,326) |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Leases [Abstract] | |
Rental Fleet Assets | The following is the balance of our dedicated rental fleet assets, included in Property and equipment, net of accumulated depreciation in the condensed consolidated balance sheet, of our Construction segment as of July 31, 2023 and January 31, 2023: July 31, 2023 January 31, 2023 (in thousands) Rental fleet equipment $ 77,848 $ 75,386 Less accumulated depreciation 28,494 26,959 $ 49,354 $ 48,427 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosure of Asset and Liability Not Measured at Fair Value | The estimated fair value of the Company's Level 2 long-term debt, which is provided for disclosure purposes only, is as follows: July 31, 2023 January 31, 2023 (in thousands) Carrying amount $ 82,977 $ 81,349 Fair value $ 72,939 $ 70,434 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2023 | Jan. 31, 2023 | |
Business Acquisition [Line Items] | ||
Schedule of Business Acquisitions, by Acquisition | The following table presents the purchase price allocations for all acquisitions completed during the fiscal year ended January 31, 2023 and the six months ended July 31, 2023: July 31, 2023 January 31, 2023 (in thousands) Assets acquired: Cash $ 4 $ 1,584 Receivables 885 9,485 Inventories 11,237 106,890 Prepaid expenses and other — 668 Property and equipment 16,659 24,292 Operating lease assets 148 3,928 Intangible assets — 8,017 Goodwill 540 21,670 Other $ 110 — 29,583 176,534 Liabilities assumed: Accounts payable — 18,547 Floorplan payable — 31,699 Current operating lease liabilities 58 541 Deferred revenue 1,499 7,039 Accrued expenses and other — 3,523 Long-term debt — 4,591 Operating lease liabilities 91 3,387 Other long-term liabilities — 5,152 1,648 74,479 Net assets acquired $ 27,935 $ 102,055 Goodwill recognized by segment: Agriculture $ 69 $ 21,670 International $ 471 $ — Goodwill expected to be deductible for tax purposes $ 540 $ 21,670 | |
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Liability, Current | $ 58 | $ 541 |
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Liability, Noncurrent | 91 | 3,387 |
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Assets | 148 | 3,928 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | $ 1,648 | $ 74,479 |
SEGMENT INFORMATION AND OPERA_2
SEGMENT INFORMATION AND OPERATING RESULTS (Tables) | 6 Months Ended |
Jul. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of financial information of business segments | Certain financial information for each of the Company’s business segments is set forth below. Three Months Ended July 31, Six Months Ended July 31, 2023 2022 2023 2022 (in thousands) (in thousands) Revenue Agriculture $ 469,069 $ 348,956 $ 892,266 $ 667,503 Construction 82,863 70,022 154,860 136,986 International 90,636 77,565 165,073 153,060 Total $ 642,568 $ 496,543 $ 1,212,199 $ 957,549 Income (Loss) Before Income Taxes Agriculture $ 33,029 $ 24,895 $ 57,181 $ 41,344 Construction 5,156 3,923 9,689 7,132 International 5,568 5,870 11,952 10,195 Segment income before income taxes 43,753 34,688 78,822 58,671 Shared Resources (2,162) (1,538) (1,790) (1,937) Total $ 41,591 $ 33,150 $ 77,032 $ 56,734 July 31, 2023 January 31, 2023 (in thousands) Total Assets Agriculture $ 985,419 $ 788,265 Construction 224,478 187,739 International 242,177 170,647 Segment assets 1,452,074 1,146,651 Shared Resources 64,942 42,044 Total $ 1,517,016 $ 1,188,695 |
BUSINESS ACTIVITY AND SIGNIFI_3
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | Jul. 31, 2023 | Jan. 31, 2023 |
Accounting Policies [Abstract] | ||
Supplier Finance Program, Obligation | $ 42,100,000 | $ 13,000,000 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2023 | Apr. 30, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Earnings Per Share [Abstract] | ||||||
Net Income (Loss) Attributable to Parent | $ 31,321 | $ 26,965 | $ 24,959 | $ 17,540 | $ 58,287 | $ 42,499 |
Participating Securities, Distributed and Undistributed Earnings (Loss), Basic | 400 | 291 | 689 | 502 | ||
Net Income (Loss) Available to Common Stockholders, Basic | $ 30,921 | $ 24,668 | $ 57,598 | $ 41,997 | ||
Basic weighted-average common shares outstanding | 22,476 | 22,387 | 22,474 | 22,350 | ||
Weighted Average Number Diluted Shares Outstanding Adjustment | 8 | 5 | 6 | 7 | ||
Weighted Average Number of Shares Outstanding, Diluted | 22,484 | 22,392 | 22,480 | 22,357 | ||
Earnings Per Share, Basic | $ 1.38 | $ 1.10 | $ 2.56 | $ 1.88 | ||
Earnings Per Share, Diluted | $ 1.38 | $ 1.10 | $ 2.56 | $ 1.88 |
REVENUE (Details)
REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 642,568 | $ 496,543 | $ 1,212,199 | $ 957,549 |
Revenue from Contracts with Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 633,126 | 487,900 | 1,195,927 | 943,657 |
Other Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2,016 | 1,626 | 3,902 | 2,933 |
Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 42,478 | 33,365 | 77,411 | 62,887 |
Parts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 108,510 | 77,693 | 205,116 | 146,255 |
Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 480,122 | 375,216 | 909,498 | 731,582 |
Rental | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 9,442 | 8,643 | 16,272 | 13,892 |
Operating Segments [Member] | Agricultural Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 469,069 | 348,956 | 892,266 | 667,503 |
Operating Segments [Member] | Agricultural Segment [Member] | Revenue from Contracts with Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 468,540 | 348,630 | 891,181 | 666,981 |
Operating Segments [Member] | Agricultural Segment [Member] | Other Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,235 | 880 | 2,402 | 1,679 |
Operating Segments [Member] | Agricultural Segment [Member] | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 32,526 | 24,730 | 58,793 | 46,683 |
Operating Segments [Member] | Agricultural Segment [Member] | Parts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 82,246 | 52,548 | 151,793 | 97,054 |
Operating Segments [Member] | Agricultural Segment [Member] | Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 352,533 | 270,472 | 678,193 | 521,565 |
Operating Segments [Member] | Agricultural Segment [Member] | Rental | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 529 | 326 | 1,085 | 522 |
Operating Segments [Member] | International [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 90,636 | 77,565 | 165,073 | 153,060 |
Operating Segments [Member] | International [Member] | Revenue from Contracts with Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 90,417 | 77,468 | 164,758 | 152,867 |
Operating Segments [Member] | International [Member] | Other Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 193 | 246 | 552 | 451 |
Operating Segments [Member] | International [Member] | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2,605 | 2,333 | 4,935 | 4,079 |
Operating Segments [Member] | International [Member] | Parts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 13,727 | 13,329 | 27,121 | 25,322 |
Operating Segments [Member] | International [Member] | Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 73,892 | 61,560 | 132,150 | 123,015 |
Operating Segments [Member] | International [Member] | Rental | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 219 | 97 | 315 | 193 |
Operating Segments [Member] | Construction Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 82,863 | 70,022 | 154,860 | 136,986 |
Operating Segments [Member] | Construction Segment [Member] | Revenue from Contracts with Customers [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 74,169 | 61,802 | 139,988 | 123,809 |
Operating Segments [Member] | Construction Segment [Member] | Other Revenue [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 588 | 500 | 948 | 803 |
Operating Segments [Member] | Construction Segment [Member] | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 7,347 | 6,302 | 13,683 | 12,125 |
Operating Segments [Member] | Construction Segment [Member] | Parts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 12,537 | 11,816 | 26,202 | 23,879 |
Operating Segments [Member] | Construction Segment [Member] | Equipment | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 53,697 | 43,184 | 99,155 | 87,002 |
Operating Segments [Member] | Construction Segment [Member] | Rental | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 8,694 | $ 8,220 | $ 14,872 | $ 13,177 |
REVENUE Unbilled Receivables (D
REVENUE Unbilled Receivables (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Revenue from Contract with Customer [Abstract] | ||
Unbilled Receivables, Current | $ 32,100 | $ 19,800 |
REVENUE Deferred Revenue (Detai
REVENUE Deferred Revenue (Details) - USD ($) | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jan. 31, 2023 | |
Deferred Revenue Arrangement [Line Items] | |||
Deferred Revenue, Revenue Recognized | $ 107,700,000 | $ 105,100,000 | |
Deferred Revenue from Contracts with Customers [Member] | |||
Deferred Revenue Arrangement [Line Items] | |||
Deferred Revenue | $ 62,000,000 | $ 118,100,000 |
RECEIVABLES (Details)
RECEIVABLES (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Revenue from Contracts with Customers, Impairment Loss | $ 69 | $ 186 | $ 351 | $ 999 | ||
Rental Contract, Impairment Loss | 71 | 43 | 123 | 32 | ||
Accounts Receivable, Allowance for Credit Loss | $ (3,080) | $ (1,979) | ||||
Accounts Receivable, after Allowance for Credit Loss, Current | 119,753 | 119,753 | 95,844 | |||
Unbilled Receivables, Current | 32,100 | 32,100 | 19,800 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 252 | 188 | ||||
Accounts Receivable, Credit Loss Expense (Reversal) | 352 | 960 | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 56 | 20 | ||||
Financing Receivable, Allowance for Credit Loss, Foreign Currency Translation | 15 | (49) | ||||
Impaired Financing Receivables | 140 | 229 | 474 | 1,031 | ||
Accounting Standards Update 2016-13 | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, Allowance for Credit Loss | (3,251) | (2,722) | (3,251) | (2,722) | ||
Trade Accounts Receivable [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 57,220 | 57,220 | 47,298 | |||
Unbilled Receivables from Operating Leases and Rental Contracts [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 1,076 | 1,076 | 776 | |||
Accounts Receivable, Allowance for Credit Loss | (3,251) | (3,251) | (3,080) | |||
Accounts Receivable, after Allowance for Credit Loss, Current | 86,079 | 86,079 | 63,982 | |||
Unbilled Receivables, Current | 32,110 | 32,110 | 19,764 | |||
Trade Receivables due from Finance Companies [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 17,556 | 17,556 | 11,212 | |||
Accounts Receivable [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 3,804 | 3,804 | 3,629 | |||
Receivables due from Manufacturers [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 10,766 | 10,766 | 15,007 | |||
Other Receivable | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, before Allowance for Credit Loss, Current | 908 | 908 | 1,598 | |||
Accounts Receivable, after Allowance for Credit Loss, Current | 11,674 | 11,674 | 16,605 | |||
Trade And Unbilled Receivables From Rental Contracts | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, Allowance for Credit Loss | (436) | (436) | (360) | |||
Accounts Receivable, after Allowance for Credit Loss, Current | 4,444 | 4,444 | 4,045 | |||
Agricultural Segment [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, Allowance for Credit Loss | (222) | (309) | (222) | (309) | (367) | (244) |
Accounts Receivable, Allowance for Credit Loss, Writeoff | 143 | 30 | ||||
Accounts Receivable, Credit Loss Expense (Reversal) | (15) | 79 | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 13 | 16 | ||||
International [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, Allowance for Credit Loss | (2,837) | (2,278) | (2,837) | (2,278) | (2,589) | (1,542) |
Accounts Receivable, Allowance for Credit Loss, Writeoff | 53 | 61 | ||||
Accounts Receivable, Credit Loss Expense (Reversal) | 244 | 846 | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | 42 | 0 | ||||
Financing Receivable, Allowance for Credit Loss, Foreign Currency Translation | 15 | (49) | ||||
Construction Segment [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Accounts Receivable, Allowance for Credit Loss | $ (192) | $ (135) | (192) | (135) | $ (124) | $ (193) |
Accounts Receivable, Allowance for Credit Loss, Writeoff | 56 | 97 | ||||
Accounts Receivable, Credit Loss Expense (Reversal) | 123 | 35 | ||||
Accounts Receivable, Allowance for Credit Loss, Recovery | $ 1 | $ 4 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Inventory Disclosure [Abstract] | ||
New equipment | $ 598,926 | $ 369,828 |
Used equipment | 194,730 | 164,761 |
Parts and attachments | 179,527 | 164,553 |
Work in process | 6,244 | 4,797 |
Inventories | $ 979,427 | $ 703,939 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
PROPERTY AND EQUIPMENT | ||
Property, Plant, and Equipment and Finance Lease Right-of-Use Asset, before Accumulated Depreciation and Amortization | $ 422,575 | $ 377,438 |
Property, Plant, and Equipment and Finance Lease Right-of-Use Asset, Accumulated Depreciation and Amortization | 170,388 | 159,656 |
Property, Plant, and Equipment and Finance Lease Right-of-Use Asset, after Accumulated Depreciation and Amortization, Total | 252,187 | 217,782 |
Rental fleet equipment | ||
PROPERTY AND EQUIPMENT | ||
Property and equipment, gross | 77,848 | 75,386 |
Machinery and equipment | ||
PROPERTY AND EQUIPMENT | ||
Property and equipment, gross | 31,241 | 27,220 |
Vehicles | ||
PROPERTY AND EQUIPMENT | ||
Property and equipment, gross | 87,816 | 80,122 |
Furniture and fixtures | ||
PROPERTY AND EQUIPMENT | ||
Property and equipment, gross | 56,069 | 53,937 |
Land, Buildings and Improvements | ||
PROPERTY AND EQUIPMENT | ||
Property and equipment, gross | $ 169,601 | $ 140,773 |
PROPERTY AND EQUIPMENT Deprecia
PROPERTY AND EQUIPMENT Depreciation (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
PROPERTY AND EQUIPMENT | ||||
Cost, Depreciation | $ 2,200 | $ 2,000 | $ 3,900 | $ 3,500 |
Depreciation, Nonproduction | $ 5,200 | $ 3,600 | $ 10,000 | $ 7,100 |
Intangible Assets, Goodwill a_3
Intangible Assets, Goodwill and Other (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 31, 2023 | Jan. 31, 2023 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Other Indefinite-lived Intangible Assets | $ 17,250 | $ 17,250 |
Goodwill [Line Items] | ||
Goodwill | 31,157 | 30,622 |
Goodwill, Acquired During Period | 540 | |
Goodwill, Foreign Currency Translation Gain (Loss) | (5) | |
Agricultural Segment [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Other Indefinite-lived Intangible Assets | 17,178 | 17,178 |
Goodwill [Line Items] | ||
Goodwill | 30,691 | 30,622 |
Goodwill, Acquired During Period | 69 | |
Goodwill, Foreign Currency Translation Gain (Loss) | 0 | |
Construction Segment [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Other Indefinite-lived Intangible Assets | 72 | 72 |
International [Member] | ||
Goodwill [Line Items] | ||
Goodwill | 466 | $ 0 |
Goodwill, Acquired During Period | 471 | |
Goodwill, Foreign Currency Translation Gain (Loss) | $ (5) |
LINES OF CREDIT _ FLOORPLAN P_3
LINES OF CREDIT / FLOORPLAN PAYABLE (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Floorplan Notes Payable | $ 595,728 | $ 258,372 |
Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 595,728 | 258,372 |
Non-Interest Bearing Floorplan Line of Credit [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Floorplan Notes Payable | 360,400 | $ 213,000 |
Credit Facility | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | $ 781,000 | |
Credit Facility | Non-US [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.36% | 4.16% |
Credit Facility | U.S. | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.72% | 5.94% |
Credit Facility | Maximum [Member] | Non-US [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.17% | 4.96% |
Credit Facility | Maximum [Member] | U.S. | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 11% | 10.25% |
CNH Industrial Capital Credit Facility | Credit Facility | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | $ 500,000 | |
DLL Finance LLC [Member] | Credit Facility | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | 50,000 | |
Bank Syndicate [Domain] | Credit Facility | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | 185,000 | |
CNH Industrial Capital Credit Facility | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 318,447 | $ 177,337 |
Bank Syndicate [Domain] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 185,000 | 35,550 |
DLL Finance LLC [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 37,739 | 9,914 |
Other Affiliates [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | $ 54,542 | $ 35,571 |
LONG TERM DEBT (Details)
LONG TERM DEBT (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Debt Instrument [Line Items] | ||
Long-term Debt | $ 98,226 | $ 97,191 |
Current maturities of long-term debt | 11,174 | 7,241 |
Long-term debt, less current maturities | 87,052 | 89,950 |
Mortgages | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 69,682 | 68,689 |
Sale-leaseback Financing Obligation | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 10,658 | 11,252 |
Secured Debt | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 13,295 | 12,659 |
Loans Payable | ||
Debt Instrument [Line Items] | ||
Long-term Debt | 82,977 | 81,349 |
Notes and Loans Payable | $ 4,591 | $ 4,591 |
DERIVATIVE INSTRUMENTS (Details
DERIVATIVE INSTRUMENTS (Details 1) $ in Thousands | Jul. 31, 2023 USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative, Notional Amount | $ 5,100 |
DERIVATIVE INSTRUMENTS DERIVATE
DERIVATIVE INSTRUMENTS DERIVATE INSTRUMENTS (Details 3) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | |
Foreign currency contracts | Not designated as hedging instruments | ||||
Derivative Instruments, Gain (Loss) | ||||
Foreign currency contract gain (loss) | $ 21 | $ 0 | $ (39) | $ 0 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | |||||
Jul. 31, 2023 | Apr. 30, 2023 | Jul. 31, 2022 | Apr. 30, 2022 | Jan. 31, 2023 | Jan. 31, 2022 | |
Accumulated Other Comprehensive Income [Abstract] | ||||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $ (6,084) | $ (6,634) | $ (9,037) | $ (6,074) | $ (7,730) | $ (4,883) |
Derivatives used in Net Investment Hedge, Net of Tax | 2,711 | 2,711 | 2,711 | 2,711 | 2,711 | 2,711 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (3,373) | (3,923) | (6,326) | (3,363) | $ (5,019) | $ (2,172) |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss), before Reclassification and Tax | 550 | 1,096 | (2,963) | (1,191) | ||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | $ 550 | $ 1,096 | $ (2,963) | $ (1,191) |
LEASES (Details)
LEASES (Details) - Rental Fleet Equipment [Member] - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 77,848 | $ 75,386 |
Construction Segment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, net of accumulated depreciation | 49,354 | 48,427 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 28,494 | 26,959 |
Property and equipment, gross | $ 77,848 | $ 75,386 |
LEASES ROU Assets and Lease Lia
LEASES ROU Assets and Lease Liabilities (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Leases [Abstract] | ||
Operating lease assets | $ 44,241 | $ 50,206 |
Current operating lease liabilities | 9,533 | 9,855 |
Operating Lease, Liability, Noncurrent | $ 42,168 | $ 48,513 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Jan. 31, 2023 |
Fair Value Disclosures [Abstract] | ||
Long-term Debt, Fair Value | $ 72,939 | $ 70,434 |
Long-term Debt | 98,226 | 97,191 |
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items] | ||
Long-term Debt | 98,226 | 97,191 |
Loans Payable | ||
Fair Value Disclosures [Abstract] | ||
Long-term Debt | 82,977 | 81,349 |
Fair Value Disclosure, Asset and Liability, Not Measured at Fair Value [Line Items] | ||
Long-term Debt | $ 82,977 | $ 81,349 |
INCOME TAXES INCOME TAXES (Deta
INCOME TAXES INCOME TAXES (Details) | 3 Months Ended | 6 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | |
Income Tax Disclosure [Abstract] | |||
Effective Income Tax Rate Reconciliation, Percent | (24.70%) | (24.30%) | (25.10%) |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jul. 31, 2022 | Jul. 31, 2023 | Jul. 31, 2022 | Jan. 31, 2023 | Aug. 01, 2022 | Apr. 01, 2022 | |
Business Acquisition [Line Items] | ||||||
Cash Acquired from Acquisition | $ 4,000 | $ 1,584,000 | ||||
Business Combination, Acquired Receivable, Fair Value | 885,000 | 9,485,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 11,237,000 | 106,890,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Prepaid Expense and Other Assets | 0 | 668,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 16,659,000 | 24,292,000 | ||||
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Assets | 148,000 | 3,928,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 0 | 8,017,000 | ||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 540,000 | 21,670,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 29,583,000 | 176,534,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable | 0 | 18,547,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Financial Liabilities | 0 | 31,699,000 | ||||
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Liability, Current | 58,000 | 541,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Deferred Revenue | 1,499,000 | 7,039,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | 0 | 3,523,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Long-term Debt | 0 | 4,591,000 | ||||
Business Combination, Recognized Identifiable Asset Acquired And Liability Assumed, Operating Lease Liability, Noncurrent | 91,000 | 3,387,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | 0 | 5,152,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | 1,648,000 | 74,479,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | 27,935,000 | 102,055,000 | $ 94,400,000 | $ 7,700,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other | 110,000 | 0 | ||||
Business Acquisition, Pro Forma Revenue | $ 561,194,000 | 1,212,199,000 | $ 1,117,622,000 | |||
Business Acquisition, Pro Forma Net Income (Loss) | $ 27,523,000 | 58,287,000 | $ 51,904,000 | |||
Agricultural Segment [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 69,000 | 21,670,000 | ||||
International [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | $ 471,000 | $ 0 |
SEGMENT INFORMATION AND OPERA_3
SEGMENT INFORMATION AND OPERATING RESULTS (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | Jul. 31, 2023 USD ($) segment | Jul. 31, 2022 USD ($) | Jan. 31, 2023 USD ($) | |
Segment Reporting [Abstract] | |||||
Number of reportable segments | segment | 3 | ||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Revenue | $ 642,568 | $ 496,543 | $ 1,212,199 | $ 957,549 | |
Income (Loss) Before Income Taxes | 41,591 | 33,150 | 77,032 | 56,734 | |
Total Assets | 1,517,016 | 1,517,016 | $ 1,188,695 | ||
Shared Resources | |||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Income (Loss) Before Income Taxes | (2,162) | (1,538) | (1,790) | (1,937) | |
Total Assets | 64,942 | 64,942 | 42,044 | ||
Operating Segments | |||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Income (Loss) Before Income Taxes | 43,753 | 34,688 | 78,822 | 58,671 | |
Total Assets | 1,452,074 | 1,452,074 | 1,146,651 | ||
Operating Segments | Agricultural Segment [Member] | |||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Revenue | 469,069 | 348,956 | 892,266 | 667,503 | |
Income (Loss) Before Income Taxes | 33,029 | 24,895 | 57,181 | 41,344 | |
Total Assets | 985,419 | 985,419 | 788,265 | ||
Operating Segments | Construction Segment [Member] | |||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Revenue | 82,863 | 70,022 | 154,860 | 136,986 | |
Income (Loss) Before Income Taxes | 5,156 | 3,923 | 9,689 | 7,132 | |
Total Assets | 224,478 | 224,478 | 187,739 | ||
Operating Segments | International [Member] | |||||
SEGMENT INFORMATION AND OPERATING RESULTS | |||||
Revenue | 90,636 | 77,565 | 165,073 | 153,060 | |
Income (Loss) Before Income Taxes | 5,568 | $ 5,870 | 11,952 | $ 10,195 | |
Total Assets | $ 242,177 | $ 242,177 | $ 170,647 |