The company recorded revenue growth of 29.4% Y/Y to $642.57 million, beating the consensus of $602.41 million.

The agricultural and construction equipment stores company registered an EPS of $1.38, beating the consensus of $1.17.

Segment Results: Agriculture Segment revenues totaled $469.1 million (+34.4% Y/Y), Construction totaled nearly $82.9 million (+18.3% Y/Y), and Europe (formerly International) totaled $90.6 million (+16.9% Y/Y).

Equipment sales increased to $480.1 million (from $375.2 million a year ago), and Parts sales rose to $108.5 million (from $77.7 million a year ago).

The gross profit margin increased to 20.8%, up 10 basis points Y/Y on to a slight mix shift to higher margin parts sales compared to equipment sales. 

The company exited the quarter with cash worth $52.8 million. 

Inventories increased to $979.4 million as of July 31, 2023, compared to $703.9 million as of January 31, 2023.

Operating cash flow was negative $(122.7) million versus $(21.0) million a year ago.

The company expects construction segment revenue to grow at around 5%-10% (previous range of flat-up 5%) and sees Europe segment sales to increase 5%-10% vs. the prior range of 8%-13%.

Price Action: TITN shares are up 12.2% at $32.64 on the last check Thursday.