Titan Machinery Inc.

Additional Management Commentary

Mr. Knutson concluded, "We are introducing modeling assumptions for fiscal 2027 that are consistent with industry forecasts that are calling for a further decline in North American large agriculture equipment volumes. Despite this challenging environment, our proactive actions have significantly improved our position as we approach the bottom of the cycle. Our outlook reflects continued margin pressure, particularly in the first half as we work through remaining aged inventory in select slower-moving categories. We are also working hard to deliver year-over-year reductions in operating expenses and expect continued year-over-year favorability with regard to floorplan interest expense. We believe it is prudent to set expectations appropriately in this environment and remain confident that as industry conditions stabilize, the aggressive actions we have taken will allow us to achieve more normalized levels of profitability at an accelerated pace."