Cover
Cover | 3 Months Ended |
Apr. 30, 2020 | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Period End Date | Apr. 30, 2020 |
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, $0.00001 par value per share |
Trading Symbol | TITN |
Security Exchange Name | NASDAQ |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Accelerated Filer |
Entity Shell Company | false |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Document Quarterly Report | true |
Document Transition Report | false |
Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Apr. 30, 2020 | May 29, 2020 | |
Document and Entity Information | ||
Entity Central Index Key | 0001409171 | |
Amendment Flag | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Current Fiscal Year End Date | --01-31 | |
Entity Common Stock, Shares Outstanding | 22,313,893 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Apr. 30, 2020 | Jan. 31, 2020 |
Current Assets | ||
Cash | $ 50,835,000 | $ 43,721,000 |
Receivables, net of allowance for expected credit losses | 76,430,000 | 72,776,000 |
Inventories | 583,435,000 | 597,394,000 |
Prepaid expenses and other | 10,626,000 | 13,655,000 |
Total current assets | 721,326,000 | 727,546,000 |
Noncurrent Assets | ||
Intangible assets, net of accumulated amortization | 8,318,000 | 8,367,000 |
Property and equipment, net of accumulated depreciation | 148,293,000 | 145,562,000 |
Operating Lease, Right-of-Use Asset | 84,577,000 | 88,281,000 |
Deferred Tax Assets, Net, Noncurrent | 3,783,000 | 2,147,000 |
Goodwill | 2,311,000 | 2,327,000 |
Other | 1,131,000 | 1,113,000 |
Total noncurrent assets | 248,413,000 | 247,797,000 |
Total Assets | 969,739,000 | 975,343,000 |
Current Liabilities | ||
Accounts payable | 23,119,000 | 16,976,000 |
Floorplan payable | 378,302,000 | 371,772,000 |
Current maturities of long-term debt | 3,787,000 | 13,779,000 |
Operating Lease, Liability, Current | 12,320,000 | 12,259,000 |
Deferred revenue | 29,163,000 | 40,968,000 |
Accrued expenses and other | 30,726,000 | 38,409,000 |
Total current liabilities | 477,417,000 | 494,163,000 |
Long-Term Liabilities | ||
Long-term debt, less current maturities | 49,522,000 | 37,789,000 |
Operating Lease, Liability | 84,499,000 | 88,387,000 |
Deferred income taxes | 3,808,000 | 2,055,000 |
Other long-term liabilities | 7,415,000 | 7,845,000 |
Total long-term liabilities | 145,244,000 | 136,076,000 |
Commitments and Contingencies | ||
Stockholders' Equity | ||
Common stock, par value $.00001 per share, 45,000 shares authorized; 22,314 shares issued and outstanding at April 30, 2020; 22,335 shares issued and outstanding at January 31, 2020 | 0 | 0 |
Additional paid-in-capital | 251,051,000 | 250,607,000 |
Retained earnings | 99,775,000 | 97,717,000 |
Accumulated other comprehensive loss | (3,748,000) | (3,220,000) |
Total Titan Machinery Inc. stockholders' equity | 347,078,000 | 345,104,000 |
Total Liabilities and Stockholders' Equity | $ 969,739,000 | $ 975,343,000 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Apr. 30, 2020 | Jan. 31, 2020 |
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 | 22,314,000 | 22,335,000 |
Common stock, shares outstanding | 22,314,000 | 22,335,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Revenue | ||
Equipment | $ 218,505 | $ 193,956 |
Parts | 56,614 | 51,938 |
Service | 25,600 | 22,831 |
Rental and Other | 9,489 | 9,567 |
Total Revenue | 310,208 | 278,292 |
Cost of Revenue | ||
Equipment | 197,046 | 173,154 |
Parts | 39,617 | 36,814 |
Service | 8,345 | 7,483 |
Rental and other | 6,790 | 6,941 |
Total Cost of Revenue | 251,798 | 224,392 |
Gross Profit | 58,410 | 53,900 |
Operating Expenses | 53,058 | 52,555 |
Other Asset Impairment Charges | 216 | 135 |
Income from Operations | 5,136 | 1,210 |
Other Income (Expense) | ||
Interest and other income | 130 | 794 |
Floorplan interest expense | (1,152) | (877) |
Other interest expense | (966) | (1,642) |
Income (Loss) Before Income Taxes | 3,148 | (515) |
Provision for (Benefit from) Income Taxes | 886 | (70) |
Net Income (Loss) | 2,262 | (445) |
Net Income Allocated to Participating Securities - Note 1 | (32) | 0 |
Net Income (Loss) Attributable to Titan Machinery Inc. Common Stockholders | $ 2,230 | $ (445) |
Earnings per Share: | ||
Earnings (Loss) per Share - Basic, in dollars per share | $ 0.10 | $ (0.02) |
Earnings (Loss) per Share - Diluted, in dollars per share | $ 0.10 | $ (0.02) |
Weighted Average Common Shares: | 22,012 | 21,872 |
Basic | 22,012 | 21,872 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Net Income (Loss) | $ 2,262 | $ (445) |
Other Comprehensive Income (Loss) | ||
Foreign currency translation adjustments | (528) | (771) |
Comprehensive Income (Loss) | $ 1,734 | $ (1,216) |
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 | 22,218 | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 248,423 | $ 89,228 | $ (2,340) | ||
Stockholders' Equity Attributable to Parent | $ 335,311 | ||||
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | (34) | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (492) | (492) | |||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 603 | 603 | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | (445) | (445) | |||
Other Comprehensive Income (Loss), Net of Tax | (771) | (771) | |||
Shares, Outstanding | 22,184 | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 248,534 | 83,319 | (3,111) | ||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | Adjustments for New Accounting Pronouncement [Member] | (5,464) | (5,464) | |||
Stockholders' Equity Attributable to Parent | 328,742 | ||||
Shares, Outstanding | 22,335 | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 250,607 | 97,717 | (3,220) | ||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | Adjustments for New Accounting Pronouncement [Member] | (204) | (204) | |||
Stockholders' Equity Attributable to Parent | 345,104 | ||||
Stock Issued During Period, Share of Restricted Stock Award Stock Options Exercised and Warrants and Tax Benefits of Equity Awards | (21) | ||||
Stock Issued During Period, Value of Restricted Stock Award Stock Options Exercised Warrants Exercised and Tax Benefits of Equity Awards | (201) | (201) | |||
APIC, Share-based Payment Arrangement, Increase for Cost Recognition | 645 | 645 | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 2,262 | 2,262 | |||
Other Comprehensive Income (Loss), Net of Tax | (528) | (528) | |||
Shares, Outstanding | 22,314 | ||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ 251,051 | $ 99,775 | $ (3,748) | ||
Stockholders' Equity Attributable to Parent | $ 347,078 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Operating Activities | ||
Net income (loss) | $ 2,262 | $ (445) |
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities | ||
Depreciation and amortization | 5,375 | 6,064 |
Impairment | 216 | 135 |
Deferred income taxes | 117 | (316) |
Stock-based compensation expense | 645 | 603 |
Noncash interest expense | 27 | 401 |
Operating Lease, Expense | 2,833 | 3,062 |
Other, net | (54) | 11 |
Changes in assets and liabilities | ||
Receivables, prepaid expenses and other assets | (1,125) | (5,593) |
Inventories | 11,941 | (78,254) |
Manufacturer floorplan payable | (10,669) | 89,599 |
Accounts payable, deferred revenue, accrued expenses and other and other long-term liabilities | (13,919) | (9,289) |
Operating Lease, Liability | (3,091) | (3,126) |
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | (5,442) | 2,852 |
Investing Activities | ||
Rental fleet purchases | (3,378) | (3,886) |
Property and equipment purchases (excluding rental fleet) | (2,036) | (1,604) |
Proceeds from sale of property and equipment | 313 | 416 |
Business Combination, Consideration Transferred | 0 | (2,972) |
Other, net | (21) | 8 |
Net Cash Used for Investing Activities | (5,122) | (8,038) |
Financing Activities | ||
Net change in non-manufacturer floorplan payable | 18,781 | 12,772 |
Proceeds from long-term debt borrowings | 1,112 | 373 |
Principal payments on long-term debt and finance leases | (1,309) | (878) |
Other, net | (200) | (492) |
Net Cash Provided by Financing Activities | 17,714 | 11,775 |
Effect of Exchange Rate Changes on Cash | (36) | (3) |
Net Change in Cash | 7,114 | 6,586 |
Cash at Beginning of Period | 43,721 | 56,745 |
Cash at End of Period | 50,835 | 63,331 |
Cash paid during the period | ||
Income taxes, net of refunds | 365 | 517 |
Interest | 2,262 | 1,712 |
Supplemental Disclosures of Noncash Investing and Financing Activities | ||
Net property and equipment financed with long-term debt, finance leases, accounts payable and accrued liabilities | 2,085 | 5,861 |
Net transfer of assets from (to) property and equipment to (from) inventories | $ (888) | $ (371) |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME AOCI (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Apr. 30, 2020 | Apr. 30, 2019 | Jan. 31, 2020 | Jan. 31, 2019 | |
Statement of Other Comprehensive Income [Abstract] | ||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $ (6,459) | $ (5,822) | $ (5,931) | $ (5,051) |
Derivatives used in Net Investment Hedge, Net of Tax | 2,711 | 2,711 | 2,711 | 2,711 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (3,748) | (3,111) | $ (3,220) | $ (2,340) |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss), before Reclassification and Tax | (528) | (771) | ||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | $ (528) | $ (771) |
BUSINESS ACTIVITY AND SIGNIFICA
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Apr. 30, 2020 | |
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 three-month period ended April 30, 2020 are not necessarily indicative of the results that may be expected for the fiscal year ending January 31, 2021. The information contained in the consolidated balance sheet as of January 31, 2020 was derived from the audited consolidated financial statements for the Company for the fiscal year then ended. These 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, 2020 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 Arizona, Colorado, Iowa, Minnesota, Montana, Nebraska, North Dakota, South Dakota, Wisconsin and Wyoming, and its European stores are located in Bulgaria, Germany, Romania, Serbia and Ukraine. Impact of the COVID-19 Pandemic In March 2020, the World Health Organization declared the outbreak of COVID-19 a pandemic, and the President of the United States declared the COVID-19 outbreak as a national emergency. The nature of COVID-19 led to worldwide shutdowns and halting of commercial and interpersonal activity as governments imposed regulations in efforts to control the spread of the pandemic, such as shelter-in-place orders and quarantines. The pandemic is a highly fluid and rapidly evolving situation, and we cannot anticipate with any certainty the length, scope, or severity of such restrictions in each of the markets that we operate. See Item 1A. Risk Factors for more information on possible impacts. Since the beginning of the COVID-19 pandemic, the safety of our employees and customers has been and continues to be our top concern. At the onset of the pandemic we organized a COVID Task Force to implement safety protocols and to quickly respond to matters, in the event of a positive case at one of our locations. Even though we are considered an essential business, in response to the COVID-19 pandemic, the company closed its U.S. stores to the public on March 23, 2020 but continued operations through social distancing means in all areas: equipment, parts, service and rental. Beginning May 4, 2020, we began fully reopening our stores to the public, following pandemic safety protocols applicable to the locations. Additionally, our International stores have also been following pandemic safety protocols applicable to each location. 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, 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 June 2016, the FASB issued a new standard, codified in ASC 326, that modifies how entities measure credit losses on most financial instruments. The new standard replaced the "incurred loss" model with an "expected credit loss" model that requires consideration of a broader range of information to estimate expected credit losses over the lifetime of the asset. The guidance impacts the Company on its accounts receivable portfolio but specifically excluded receivables from operating lease arrangements and, therefore, the Company’s receivables from rental contracts were not impacted. The guidance also requires new disclosures to allow the users of the financial statements to understand the credit risk inherent in a portfolio and how management monitors the credit quality of the portfolio, management’s estimate of expected credit losses, and changes in the estimate of expected credit losses that have taken place during the reporting period. The Company adopted the new guidance on February 1, 2020 using a modified retrospective approach and recognized an immaterial cumulative-effect adjustment to retained earnings as of the effective date. The Company identified and updated existing internal controls and procedures to ensure compliance with the new guidance, but such modifications were not deemed to be material to the Company's overall system of internal control. While the adoption of this ASU did not have a material impact on the Company's consolidated financial statements, it required changes to the Company's process of estimating expected credit losses on trade receivables. Following is a summary of allowance for credit losses on trade and unbilled accounts receivable: Balance at February 1, 2020 Current Expected Credit Loss Provision Write-offs Charged Against the Allowance Credit Loss Recoveries Collected F/X Impact Balance at April 30, 2020 (in thousands) Agriculture $ 181 $ 14 $ 5 $ 40 $ — $ 230 Construction 1,016 113 71 4 — 1,062 International 1,746 226 133 6 (29) 1,816 $ 2,943 $ 353 $ 209 $ 50 $ (29) $ 3,108 In February 2018, the FASB issued guidance on the accounting for implementation costs incurred in a cloud computing arrangement that is a service contract, codified in ASC 350-40. This guidance aligns the accounting for costs incurred to implement a cloud computing arrangement that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. This standard was adopted on February 1, 2020 and was applied using the prospective transition approach. The adoption of this ASU did not have a material impact on the Company's consolidated financial statements. Unadopted Accounting Guidance In March 2020, the FASB issued ASU No. 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU No. 2020-04”), which provides temporary optional expedients and exceptions to accounting guidance on contract modifications and hedge accounting to ease entities’ financial reporting burdens as the market transitions from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates. ASU 2020-04 is effective upon issuance and can be applied through December 31, 2022. The Company is currently evaluating its contracts and hedging relationships that reference LIBOR to determine if the Company will adopt the new guidance. |
EARNINGS PER SHARE (Notes)
EARNINGS PER SHARE (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | EARNINGS PER SHARE The following table sets forth the calculation of basic and diluted EPS: Three Months Ended April 30, 2020 2019 (in thousands, except per share data) Numerator: Net income (loss) $ 2,262 $ (445) Allocation to participating securities (32) — Net income (loss) attributable to Titan Machinery Inc. common stockholders $ 2,230 $ (445) Denominator: Basic weighted-average common shares outstanding 22,012 21,872 Plus: incremental shares from vesting of restricted stock units — — Diluted weighted-average common shares outstanding 22,012 21,872 Earnings Per Share: Basic $ 0.10 $ (0.02) Diluted $ 0.10 $ (0.02) Anti-dilutive shares excluded from diluted weighted-average common shares outstanding: Restricted stock units 9 8 Shares underlying senior convertible notes — 1,057 |
REVENUE (Notes)
REVENUE (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | REVENUE Revenues are 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 April 30, 2020 Agriculture Construction International Total (in thousands) Equipment $ 139,749 $ 34,253 $ 44,503 $ 218,505 Parts 35,079 11,460 10,075 56,614 Service 17,720 6,212 1,668 25,600 Other 733 518 104 1,355 Revenue from contracts with customers 193,281 52,443 56,350 302,074 Rental 346 7,671 117 8,134 Total revenues $ 193,627 $ 60,114 $ 56,467 $ 310,208 Three Months Ended April 30, 2019 Agriculture Construction International Total (in thousands) Equipment $ 107,864 $ 43,046 $ 43,046 $ 193,956 Parts 29,976 12,704 9,258 51,938 Service 14,985 6,521 1,325 22,831 Other 618 593 22 1,233 Revenue from contracts with customers 153,443 62,864 53,651 269,958 Rental 332 7,879 123 8,334 Total revenues $ 153,775 $ 70,743 $ 53,774 $ 278,292 Unbilled Receivables and Deferred Revenue Unbilled receivables amounted to $17.1 million and $13.9 million as of April 30, 2020 and January 31, 2020. The 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. Deferred revenue from contracts with customers amounted to $27.9 million and $39.5 million as of April 30, 2020 and January 31, 2020. Our deferred revenue most often increases in the fourth quarter of each fiscal year due to a higher level of customer down payments or prepayments and longer time periods between customer payment and delivery of the equipment asset, and the related recognition of equipment revenue, prior to its seasonal use. During the three months ended April 30, 2020 and 2019, the Company recognized $29.7 million and $30.5 million, respectively, of revenue that was included in the deferred revenue balance as of January 31, 2020 and January 31, 2019, respectively. No material amount of revenue was recognized during the three months ended April 30, 2020 and 2019 from performance obligations satisfied in previous periods. The Company has elected as a practical expedient to not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of service of one year or less and (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice for services performed. The contracts for which the practical expedient has been applied include (i) equipment revenue transactions, which do not have a stated contractual term, but are short-term in nature, and (ii) service revenue transactions, which also do not have a stated contractual term but are generally completed within 30 days and for such contracts we recognize revenue over time at the amount to which we have the right to invoice for services completed to date. |
RECEIVABLES (Notes)
RECEIVABLES (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Receivables [Abstract] | |
Receivable [Policy Text Block] | RECEIVABLES The Company provides an allowance for expected credit losses on its nonrental receivables in accordance with the guidance in ASU 2016-13. 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. Given that the credit terms for these receivables are short-term, changes in credit loss percentages due to future events may not occur on a frequent basis. 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 US and are specifically excluded from the guidance in ASU 2016-13 in determining an allowance for expected losses. The Company does provide an allowance for these receivables based on historical experience and using credit information obtained from continued monitoring of customer accounts. April 30, 2020 January 31, 2020 (in thousands) Trade and unbilled receivables from contracts with customers Trade receivables due from customers $ 32,962 $ 36,400 Trade receivables due from finance companies 17,388 12,352 Unbilled receivables 17,076 13,944 Trade and unbilled receivables from rental contracts Trade receivables 5,581 7,381 Unbilled receivables 741 861 Other receivables Due from manufacturers 6,565 5,763 Other 1,346 1,198 Total receivables 81,659 77,899 Less allowance for expected credit losses (5,229) (5,123) Receivables, net of allowance for expected credit losses $ 76,430 $ 72,776 The following table presents impairment losses on receivables arising from sales contracts with customers and receivables arising from rental contracts: Three Months Ended April 30, 2020 2019 (in thousands) Impairment losses on: Receivables from sales contracts $ 143 $ 328 Receivables from rental contracts 138 83 $ 281 $ 411 |
INVENTORIES
INVENTORIES | 3 Months Ended |
Apr. 30, 2020 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES April 30, 2020 January 31, 2020 (in thousands) New equipment $ 346,703 $ 358,339 Used equipment 154,538 157,535 Parts and attachments 80,294 79,813 Work in process 1,900 1,707 $ 583,435 $ 597,394 |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 3 Months Ended |
Apr. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | PROPERTY AND EQUIPMENT April 30, 2020 January 31, 2020 (in thousands) Rental fleet equipment $ 104,888 $ 104,133 Machinery and equipment 22,773 22,682 Vehicles 51,837 51,850 Furniture and fixtures 42,043 41,720 Land, buildings, and leasehold improvements 72,407 70,408 293,948 290,793 Less accumulated depreciation (145,655) (145,231) $ 148,293 $ 145,562 |
LINES OF CREDIT _ FLOORPLAN PAY
LINES OF CREDIT / FLOORPLAN PAYABLE | 3 Months Ended |
Apr. 30, 2020 | |
Line of Credit Facility [Abstract] | |
LINES OF CREDIT / FLOORPLAN PAYABLE | LINES OF CREDIT On April 3, 2020, the Company entered into a Third Amended and Restated Credit Agreement with a group of banks (the "Bank Syndicate"), that amended and restated the Company's prior $200.0 million credit facility, dated October 28, 2015. The Bank Syndicate provides for a secured credit facility in an amount up to $250.0 million, consisting of a $185.0 million floorplan facility (the "Floorplan Loan") and a $65.0 million operating line (the "Revolver Loan"), and changed the interest rates as compared to the prior credit facility, amongst other things. The amounts available under the Bank Syndicate are subject to base calculations and reduced by outstanding standby letters of credit and certain reserves. The Bank Syndicate has a variable interest rate on outstanding balances, has a 0.25% non-usage fee on the average monthly unused amount (replacing the previous non-usage fee of 0.25% to 0.375%), and requires monthly payments of accrued interest. The Company elects at the time of any advance to choose a Base Rate Loan or a LIBOR Rate Loan. The LIBOR Rate is based upon one month, two month, or three month LIBOR, as chosen by the Company, but in no event shall the LIBOR Rate be less than 0.50%. The Base Rate is the greater of (a) the prime rate of interest announced, from time to time, by Bank of America; (b) the Federal Funds Rate plus 0.5%, (c) one month LIBOR plus 1%, but in no event shall the Base Rate be less than zero. The applicable margin rate is determined based on excess availability under the Bank Syndicate and ranges from 0.5% to 1.0% for Base Rate Loans and 1.5% to 2.0% for LIBOR Rate Loans. The new applicable margins under the Bank Syndicate are up to 0.5% less than the existing margins under the prior credit facility. The Bank Syndicate does not obligate the Company to maintain financial covenants, except in the event that excess availability (each as defined in the Bank Syndicate) is less than 15% of the lower of the borrowing base or the size of the maximum credit line, at which point the Company is required to maintain a fixed charge coverage ratio (“FCCR”) of at least 1.10:1.00. The Bank Syndicate includes various restrictions on the Company and its subsidiaries’ activities, including, under certain conditions, limitations on the Company’s ability to make certain cash payments including cash dividends and stock repurchases, issuance of equity instruments, acquisitions and divestitures, and entering into new indebtedness transactions. The Bank Syndicate matures on April 3, 2025. The Floorplan Loan under the Bank Syndicate is used to finance equipment inventory purchases. Amounts outstanding are recorded as floorplan payable, within current liabilities on the consolidated balance sheets, as the Company intends to repay amounts borrowed within one year. The Revolver Loan under the Bank Syndicate is used to finance rental fleet equipment and for general working capital requirements of the Company. Amounts outstanding are recorded as long-term debt, within long-term liabilities on the consolidated balance sheets, as the Company does not have the intention or obligation to repay amounts borrowed within one year. As of April 30, 2020, the Company had floorplan lines of credit totaling $762.0 million, which is primarily comprised of three significant floorplan lines of credit: (i) a $450.0 million credit facility with CNH Industrial, (ii) a $185.0 million line of credit with the Bank Syndicate, and (iii) a $60.0 million credit facility with DLL Finance LLC. As of April 30, 2020 and January 31, 2020, the Company's outstanding balances of floorplan payables and lines of credit consisted of the following: April 30, 2020 January 31, 2020 (in thousands) CNH Industrial $ 179,602 $ 187,690 Bank Syndicate Floorplan Loan 102,900 — Wells Fargo Floorplan Payable Line — 82,700 DLL Finance 30,198 30,657 Other outstanding balances with manufacturers and non-manufacturers 65,602 70,725 $ 378,302 $ 371,772 |
DEFERRED REVENUE (Notes)
DEFERRED REVENUE (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue Disclosure [Text Block] | DEFERRED REVENUE April 30, 2020 January 31, 2020 (in thousands) Deferred revenue from contracts with customers $ 27,889 $ 39,512 Deferred revenue from rental and other contracts 1,274 1,456 $ 29,163 $ 40,968 |
SENIOR CONVERTIBLE NOTES
SENIOR CONVERTIBLE NOTES | 3 Months Ended |
Apr. 30, 2020 | |
SENIOR CONVERTIBLE NOTES | |
Debt Disclosure [Text Block] | SENIOR CONVERTIBLE NOTES The Company's senior convertible notes matured, and the outstanding principal balance of $45.6 million was repaid in full, on May 1, 2019. The Company recognized interest expense associated with its senior convertible notes as follows: Three Months Ended April 30, 2020 2019 (in thousands) Cash Interest Expense Coupon interest expense $ — $ 421 Noncash Interest Expense Amortization of debt discount — 350 Amortization of transaction costs — 45 $ — $ 816 The effective interest rate of the liability component was equal to 0.0% for the three months ended April 30, 2019. |
LONG TERM DEBT (Notes)
LONG TERM DEBT (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
Long-term Debt [Text Block] | LONG TERM DEBT The following is a summary of long-term debt as of April 30, 2020 and January 31, 2020: April 30, 2020 January 31, 2020 (in thousands) Sale-leaseback financing obligations, interest rates ranging from 3.4% to 10.3% with various maturity dates through December 2030 $ 17,469 $ 17,781 Bank Syndicate - Working Capital Line, interest accrues at a variable rate on outstanding balances, requires monthly payments of accrued interest, matures April 2025 10,000 10,000 Real estate mortgage bearing interest at 5.11%, payable in annual installments of $0.3 million, maturing on May 15, 2039, secured by real estate assets 6,827 6,827 Equipment financing loan, payable in monthly installments over a 72-month term for each funded tranche, bearing interest at 3.89%, secured by vehicle assets 7,350 7,468 Real estate mortgage bearing interest at 4.62%, payable in monthly installments of $0.04 million with a final payment at maturity of $3.4 million, maturing on June 10, 2024, secured by real estate assets 4,366 4,416 Real estate mortgage bearing interest at 4.4%, payable in monthly installments of $0.01 million with a final payment at maturity of $1.0 million, maturing on January 1, 2027, secured by real estate assets 1,474 1,489 Real estate mortgage bearing interest at 2.09%, payable in monthly installments, maturing on June 30, 2026, secured by real estate assets 2,396 2,520 Other long-term debt primarily bearing interest at three-month EURIBOR plus 2.6%, payable in quarterly installments, maturing on January 31, 2021 3,427 1,067 53,309 51,568 Less current maturities (3,787) (13,779) $ 49,522 $ 37,789 |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 3 Months Ended |
Apr. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS | DERIVATIVE INSTRUMENTS The Company holds derivative instruments for the purpose of minimizing exposure to fluctuations in foreign currency exchange rates to which the Company is exposed in the normal course of its operations. The Company uses foreign currency forward contracts to hedge the effects of fluctuations in exchange rates on outstanding intercompany loans. The Company does not formally designate and document such derivative instruments as hedging instruments; however, the instruments are an effective economic hedge of the underlying foreign currency exposure. Both the gain or loss on the derivative instrument and the offsetting gain or loss on the underlying intercompany loan are recognized in earnings immediately, thereby eliminating or reducing the impact of foreign currency exchange rate fluctuations on net income. The Company's foreign currency forward contracts generally have three-month maturities, maturing on the last day of each fiscal quarter. No foreign currency contracts were outstanding as of January 31, 2020. The notional value of outstanding foreign currency contracts as of April 30, 2020 was $13.0 million. As of April 30, 2020, the fair value of the Company's outstanding derivative instruments was not material. Derivative instruments recognized as assets are recorded in prepaid expenses and other in the consolidated balance sheets, and derivative instruments recognized as liabilities are recorded in accrued expenses and other in the consolidated balance sheets. The following table sets forth the gains and losses recognized in income from the Company’s derivative instruments for the three months ended April 30, 2020 and 2019. Gains and losses are recognized in interest income and other income (expense) in the consolidated statements of operations: Three Months Ended April 30, 2020 2019 (in thousands) Foreign currency contract gain (loss) $ (13) $ 202 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (Notes) - USD ($) $ in Thousands | 3 Months Ended | |||
Apr. 30, 2020 | Apr. 30, 2019 | Jan. 31, 2020 | Jan. 31, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss), before Reclassification and Tax | $ (528) | $ (771) | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (3,748) | (3,111) | $ (3,220) | $ (2,340) |
Other Comprehensive Income (Loss), before Reclassifications, before Tax | (528) | (771) | ||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $ (6,459) | $ (5,822) | $ (5,931) | $ (5,051) |
Comprehensive Income (Loss) Note [Text Block] | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following is a summary of the changes in accumulated other comprehensive income (loss), by component, for the periods ended April 30, 2020 and April 30, 2019: Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2020 $ (5,931) $ 2,711 $ (3,220) Other comprehensive loss (528) — (528) Balance, April 30, 2020 $ (6,459) $ 2,711 $ (3,748) Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2019 $ (5,051) $ 2,711 $ (2,340) Other comprehensive loss (771) — (771) Balance, April 30, 2019 $ (5,822) $ 2,711 $ (3,111) |
LEASES (Notes)
LEASES (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Leases [Abstract] | |
Lease Disclosure [Text Block] | LEASES As Lessee The Company, as lessee, leases certain of its dealership locations, office space, equipment and vehicles under operating and financing classified leasing arrangements. The Company has elected to not record leases with a lease term at commencement of 12 months or less on the consolidated balance sheet; such leases are expensed on a straight-line basis over the lease term. Many real estate lease agreements require the Company to pay the real estate taxes on the properties during the lease term and require that the Company maintain property insurance on each of the leased premises. Such payments are deemed to be variable lease payments as the amounts may change during the term of the lease. Certain leases include renewal options that can extend the lease term for periods of one to ten years. Most real estate leases grant the Company a right of first refusal or other options to purchase the real estate, generally at fair market value, either during the lease term or at its conclusion. In most cases, the Company has not included these renewal and purchase options within the measurement of the right-of-use asset and lease liability. Most often the Company cannot readily determine the interest rate implicit in the lease and thus applies its incremental borrowing rate to capitalize the right-of-use asset and lease liability. The Company estimates its incremental borrowing rate by incorporating considerations of lease term, asset class and lease currency and geographical market. The Company's lease agreements do not contain any material non-lease components, residual value guarantees or material restrictive covenants. The Company subleases a small number of real estate assets to third-parties, primarily dealership locations for which it has ceased operations. All sublease arrangements are classified as operating leases. The components of lease expense were as follows: Classification Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 (in thousands) Finance lease cost: Amortization of leased assets Operating expenses $ 392 $ 376 Interest on lease liabilities Other interest expense 126 139 Operating lease cost Operating expenses & rental and other cost of revenue 4,463 4,816 Short-term lease cost Operating expenses 80 80 Variable lease cost Operating expenses 635 620 Sublease income Interest income and other income (expense) (152) (168) $ 5,544 $ 5,863 Right-of-use lease assets and lease liabilities consist of the following: Classification April 30, 2020 January 31, 2020 (in thousands) Assets Operating lease assets Operating lease assets $ 84,577 $ 88,281 Finance lease assets (a) Property and equipment, net of accumulated depreciation 6,002 6,297 Total leased assets $ 90,579 $ 94,578 Liabilities Current Operating Current operating lease liabilities $ 12,320 $ 12,259 Finance Accrued expenses and other 1,714 1,708 Noncurrent Operating Operating lease liabilities 84,499 88,387 Finance Other long-term liabilities 3,747 4,103 Total lease liabilities $ 102,280 $ 106,457 (a) Finance lease assets are recorded net of accumulated amortization of $1.8 million as of April 30, 2020. Maturities of lease liabilities as of April 30, 2020 are as follows: Operating Finance Leases Leases Total Fiscal Year Ended January 31, (in thousands) 2021 (remainder) $ 13,393 $ 1,609 $ 15,002 2022 16,887 1,851 18,738 2023 15,748 1,206 16,954 2024 14,824 476 15,300 2025 13,691 393 14,084 2026 13,539 312 13,851 Thereafter 33,624 1,083 34,707 Total lease payments 121,706 6,930 128,636 Less: Interest 24,887 1,469 26,356 Present value of lease liabilities $ 96,819 $ 5,461 $ 102,280 The weighted-average lease term and discount rate as of April 30, 2020 are as follows: April 30, 2020 Weighted-average remaining lease term (years): Operating leases 7.7 Financing leases 5.3 Weighted-average discount rate: Operating leases 6.1 % Financing leases 9.8 % As Lessor The Company rents equipment to customers, primarily in the Construction segment, on a short-term basis. Our rental arrangements generally do not include minimum, noncancellable periods as the lessee is entitled to cancel the arrangement at any time. Most often, our rental arrangements extend for periods ranging from a few days to a few months. We maintain a fleet of dedicated rental assets within our Construction segment and, within all segments, may also provide short-term rentals of certain equipment inventory assets. Certain rental arrangements may include rent-to-purchase options whereby customers are given a period of time to exercise an option to purchase the related equipment at an established price with any rental payments paid applied to reduce the purchase price. All of the Company's leasing arrangements as lessor are classified as operating leases. Rental revenue is recognized on a straight-line basis over the rental period. Rental revenue includes amounts charged for loss and damage insurance on rented equipment. In most cases, our rental arrangements include non-lease components, including delivery and pick-up services. The Company accounts for these non-lease components separate from the rental arrangement and recognizes the revenue associated with these components when the service is performed. The Company has elected to exclude from rental revenue all sales, value added and other taxes collected from our customers concurrent with our rental activities. Rental billings most often occur on a monthly basis and may be billed in advance or in arrears, thus creating unbilled rental receivables or deferred rental revenue amounts. The Company manages the residual value risk of its rented assets by (i) monitoring the quality, aging and anticipated retail market value of our rental fleet assets to determine the optimal period to remove an asset from the rental fleet, (ii) maintaining the quality of our assets through on-site parts and service support and (iii) requiring physical damage insurance of our lessee customers. We primarily dispose of our rental assets through the sale of the asset by our retail sales force. Revenue generated from leasing activities is disclosed, by segment, in Note 3. The following is the balance of our dedicated rental fleet assets of our Construction segment as of April 30, 2020 and January 31, 2020: April 30, 2020 January 31, 2020 (in thousands) Rental fleet equipment $ 104,888 $ 104,133 Less accumulated depreciation 39,814 42,076 $ 65,074 $ 62,057 |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 3 Months Ended |
Apr. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE MEASUREMENTS As of April 30, 2020 and January 31, 2020, 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, an income approach, utilizing readily observable market data as inputs, which is classified as a Level 2 fair value measurement. The Company also valued certain long-lived assets at fair value on a non-recurring basis as of April 30, 2020 and January 31, 2020 as part of its long-lived asset impairment testing. The estimated fair value of such assets as of April 30, 2020 and January 31, 2020 was $0.4 million and $2.8 million, respectively. Fair value was estimated through an income approach incorporating both observable and unobservable inputs, and are deemed to be Level 3 fair value inputs. The most significant unobservable inputs include forecasted net cash generated from the use of the assets and the discount rate applied to such cash flows to arrive at a fair value estimate. In addition, in certain instances the Company estimated the fair value of long-lived assets to approximate zero as no future cash flows were assumed to be generated from the use of such assets and the expected value to be realized upon disposition was deemed to be nominal. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Apr. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Our effective tax rate was 28.1% for the three months ended April 30, 2020 compared to an effective tax rate of 13.6% for the three months ended April 30, 2019. Our effective tax rate differs from the domestic federal statutory tax rate due to the mix of domestic and foreign income or losses and the impact of the recognition of valuation allowances on our foreign deferred tax assets, including net operating losses. |
BUSINESS COMBINATIONS (Notes)
BUSINESS COMBINATIONS (Notes) | 12 Months Ended |
Jan. 31, 2020 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | BUSINESS COMBINATIONS On January 1, 2019, the Company, through its German subsidiary, acquired certain assets of ESB Agrartechnik GmbH ("ESB"). ESB is a full-service agriculture equipment dealership in Eastern Germany. Our acquisition of ESB further expanded our presence in the German market. The total consideration transferred for the acquired business was $3.0 million paid in cash. This acquisition was recognized in the fiscal year ended January 31, 2020 as the acquisition occurred within our International segment in which all entities maintain a calendar year reporting period. On October 1, 2019, the Company acquired certain assets of Uglem-Ness Co. The acquired business consists of one Case IH agriculture equipment store in Northwood, North Dakota. The service area is contiguous to the Company's existing locations in Grand Forks and Casselton, North Dakota and Ada, Minnesota. The total consideration transferred for the acquired business was $10.9 million paid in cash, including the acquired real estate, which was finalized in January 2020 for $2.1 million. In connection with the acquisition, the Company acquired from CNH Industrial and certain other manufacturers equipment and parts inventory previously owned by Uglem-Ness Co. Upon acquiring such inventories, the Company was offered floorplan financing by the manufacturer. In total, the Company acquired inventory and recognized a corresponding financing liability of $7.4 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 has 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 accounting for all business combinations was complete as of January 31, 2020. The following table presents the aggregate purchase price allocations for all acquisitions completed as of January 31, 2020: January 31, 2020 (in thousands) Assets acquired: Receivables $ 440 Inventories 6,466 Property and equipment 3,810 Intangible assets 1,973 Goodwill 1,198 13,887 Liabilities assumed: — — Net assets acquired $ 13,887 Goodwill recognized by segment: Agriculture $ 699 Construction — International 499 Goodwill expected to be deductible for tax purposes $ 1,198 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 occurring during the twelve months ended January 31, 2020, the Company recognized a customer relationship intangible asset of $0.2 million, a non-competition intangible asset of $0.1 million, and a distribution rights intangible asset of $1.6 million. The customer relationship and non-competition assets will be amortized over periods ranging from three to five years. 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, an income approach. Acquisition related costs were not material for fiscal year ended January 31, 2020, and have been expensed as incurred and recognized as operating expenses in the consolidated statements of operations. |
CONTINGENCIES (Notes)
CONTINGENCIES (Notes) | 3 Months Ended |
Apr. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 17 - CONTINGENCIES On October 11, 2017, the Romania Competition Council (“RCC”) initiated an administrative investigation of the Romanian Association of Manufacturers and Importers of Agricultural Machinery (“APIMAR”) and all its members, including Titan Machinery Romania. The RCC's investigation involves whether the APIMAR members engaged in anti-competitive practices in their sales of agricultural machinery not involving European Union ("EU") subvention funding programs, by referring to the published sales prices governing EU subvention funded transactions, which prices are mandatorily disclosed to and published by AFIR, a Romanian government agency that oversees the EU subvention funding programs in Romania. The investigation is in a preliminary stage and the Company is currently unable to predict its outcome or reasonably estimate any potential loss that may result from the investigation. The Company is also engaged in other 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 |
SEGMENT INFORMATION AND OPERATI
SEGMENT INFORMATION AND OPERATING RESULTS | 3 Months Ended |
Apr. 30, 2020 | |
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 April 30, 2020 2019 (in thousands) Revenue Agriculture $ 193,627 $ 153,775 Construction 60,114 70,743 International 56,467 53,774 Total $ 310,208 $ 278,292 Income (Loss) Before Income Taxes Agriculture $ 6,162 $ 1,876 Construction (2,873) (2,222) International (280) 216 Segment income (loss) before income taxes 3,009 (130) Shared Resources 139 (385) Total $ 3,148 $ (515) April 30, 2020 January 31, 2020 (in thousands) Total Assets Agriculture $ 436,040 $ 444,942 Construction 272,402 275,645 International 192,966 191,513 Segment assets 901,408 912,100 Shared Resources 68,331 63,243 Total $ 969,739 $ 975,343 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Apr. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS On January 31, 2020, the Company entered into a definitive purchase agreement to acquire HorizonWest Inc., which owns a three store CaseIH agriculture dealership complex in Scottsbluff and Sidney, Nebraska and Torrington, Wyoming. In its most recent fiscal year, HorizonWest generated revenue of approximately $26 million. The Company closed on the acquisition on May 4, 2020. The total purchase price was $6.9 million, which does not include the $2.7 million of associated inventory that the Company concurrently purchased from CNH Industrial under standard terms. Due to the limited time since the date of the acquisition, it is impracticable for the Company to make certain business combination disclosures at this time as the Company is still gathering information that is necessary for the required business combination disclosures. |
BUSINESS ACTIVITY AND SIGNIFI_2
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Apr. 30, 2020 | |
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 three-month period ended April 30, 2020 are not necessarily indicative of the results that may be expected for the fiscal year ending January 31, 2021. The information contained in the consolidated balance sheet as of January 31, 2020 was derived from the audited consolidated financial statements for the Company for the fiscal year then ended. These 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, 2020 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, 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. |
New Accounting Pronouncements | Recently Adopted Accounting Guidance In June 2016, the FASB issued a new standard, codified in ASC 326, that modifies how entities measure credit losses on most financial instruments. The new standard replaced the "incurred loss" model with an "expected credit loss" model that requires consideration of a broader range of information to estimate expected credit losses over the lifetime of the asset. The guidance impacts the Company on its accounts receivable portfolio but specifically excluded receivables from operating lease arrangements and, therefore, the Company’s receivables from rental contracts were not impacted. The guidance also requires new disclosures to allow the users of the financial statements to understand the credit risk inherent in a portfolio and how management monitors the credit quality of the portfolio, management’s estimate of expected credit losses, and changes in the estimate of expected credit losses that have taken place during the reporting period. The Company adopted the new guidance on February 1, 2020 using a modified retrospective approach and recognized an immaterial cumulative-effect adjustment to retained earnings as of the effective date. The Company identified and updated existing internal controls and procedures to ensure compliance with the new guidance, but such modifications were not deemed to be material to the Company's overall system of internal control. While the adoption of this ASU did not have a material impact on the Company's consolidated financial statements, it required changes to the Company's process of estimating expected credit losses on trade receivables. Following is a summary of allowance for credit losses on trade and unbilled accounts receivable: Balance at February 1, 2020 Current Expected Credit Loss Provision Write-offs Charged Against the Allowance Credit Loss Recoveries Collected F/X Impact Balance at April 30, 2020 (in thousands) Agriculture $ 181 $ 14 $ 5 $ 40 $ — $ 230 Construction 1,016 113 71 4 — 1,062 International 1,746 226 133 6 (29) 1,816 $ 2,943 $ 353 $ 209 $ 50 $ (29) $ 3,108 In February 2018, the FASB issued guidance on the accounting for implementation costs incurred in a cloud computing arrangement that is a service contract, codified in ASC 350-40. This guidance aligns the accounting for costs incurred to implement a cloud computing arrangement that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. This standard was adopted on February 1, 2020 and was applied using the prospective transition approach. The adoption of this ASU did not have a material impact on the Company's consolidated financial statements. |
Description of New Accounting Pronouncements Not yet Adopted | Unadopted Accounting Guidance In March 2020, the FASB issued ASU No. 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU No. 2020-04”), which provides temporary optional expedients and exceptions to accounting guidance on contract modifications and hedge accounting to ease entities’ financial reporting burdens as the market transitions from the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates to alternative reference rates. ASU 2020-04 is effective upon issuance and can be applied through December 31, 2022. The Company is currently evaluating its contracts and hedging relationships that reference LIBOR to determine if the Company will adopt the new guidance. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Following is a summary of allowance for credit losses on trade and unbilled accounts receivable: Balance at February 1, 2020 Current Expected Credit Loss Provision Write-offs Charged Against the Allowance Credit Loss Recoveries Collected F/X Impact Balance at April 30, 2020 (in thousands) Agriculture $ 181 $ 14 $ 5 $ 40 $ — $ 230 Construction 1,016 113 71 4 — 1,062 International 1,746 226 133 6 (29) 1,816 $ 2,943 $ 353 $ 209 $ 50 $ (29) $ 3,108 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table sets forth the calculation of basic and diluted EPS: Three Months Ended April 30, 2020 2019 (in thousands, except per share data) Numerator: Net income (loss) $ 2,262 $ (445) Allocation to participating securities (32) — Net income (loss) attributable to Titan Machinery Inc. common stockholders $ 2,230 $ (445) Denominator: Basic weighted-average common shares outstanding 22,012 21,872 Plus: incremental shares from vesting of restricted stock units — — Diluted weighted-average common shares outstanding 22,012 21,872 Earnings Per Share: Basic $ 0.10 $ (0.02) Diluted $ 0.10 $ (0.02) Anti-dilutive shares excluded from diluted weighted-average common shares outstanding: Restricted stock units 9 8 Shares underlying senior convertible notes — 1,057 |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
DISAGGREGATED REVENUE [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following tables present our revenue disaggregated by revenue source and segment: Three Months Ended April 30, 2020 Agriculture Construction International Total (in thousands) Equipment $ 139,749 $ 34,253 $ 44,503 $ 218,505 Parts 35,079 11,460 10,075 56,614 Service 17,720 6,212 1,668 25,600 Other 733 518 104 1,355 Revenue from contracts with customers 193,281 52,443 56,350 302,074 Rental 346 7,671 117 8,134 Total revenues $ 193,627 $ 60,114 $ 56,467 $ 310,208 Three Months Ended April 30, 2019 Agriculture Construction International Total (in thousands) Equipment $ 107,864 $ 43,046 $ 43,046 $ 193,956 Parts 29,976 12,704 9,258 51,938 Service 14,985 6,521 1,325 22,831 Other 618 593 22 1,233 Revenue from contracts with customers 153,443 62,864 53,651 269,958 Rental 332 7,879 123 8,334 Total revenues $ 153,775 $ 70,743 $ 53,774 $ 278,292 |
RECEIVABLES (Tables)
RECEIVABLES (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | April 30, 2020 January 31, 2020 (in thousands) Trade and unbilled receivables from contracts with customers Trade receivables due from customers $ 32,962 $ 36,400 Trade receivables due from finance companies 17,388 12,352 Unbilled receivables 17,076 13,944 Trade and unbilled receivables from rental contracts Trade receivables 5,581 7,381 Unbilled receivables 741 861 Other receivables Due from manufacturers 6,565 5,763 Other 1,346 1,198 Total receivables 81,659 77,899 Less allowance for expected credit losses (5,229) (5,123) Receivables, net of allowance for expected credit losses $ 76,430 $ 72,776 |
Impaired Financing Receivables [Table Text Block] | The following table presents impairment losses on receivables arising from sales contracts with customers and receivables arising from rental contracts: Three Months Ended April 30, 2020 2019 (in thousands) Impairment losses on: Receivables from sales contracts $ 143 $ 328 Receivables from rental contracts 138 83 $ 281 $ 411 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | April 30, 2020 January 31, 2020 (in thousands) New equipment $ 346,703 $ 358,339 Used equipment 154,538 157,535 Parts and attachments 80,294 79,813 Work in process 1,900 1,707 $ 583,435 $ 597,394 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | PROPERTY AND EQUIPMENT April 30, 2020 January 31, 2020 (in thousands) Rental fleet equipment $ 104,888 $ 104,133 Machinery and equipment 22,773 22,682 Vehicles 51,837 51,850 Furniture and fixtures 42,043 41,720 Land, buildings, and leasehold improvements 72,407 70,408 293,948 290,793 Less accumulated depreciation (145,655) (145,231) $ 148,293 $ 145,562 |
LINES OF CREDIT _ FLOORPLAN P_2
LINES OF CREDIT / FLOORPLAN PAYABLE Summary of Outstanding Amounts (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Line of Credit Facility [Line Items] | |
Schedule of Line of Credit Facilities [Table Text Block] | April 30, 2020 January 31, 2020 (in thousands) CNH Industrial $ 179,602 $ 187,690 Bank Syndicate Floorplan Loan 102,900 — Wells Fargo Floorplan Payable Line — 82,700 DLL Finance 30,198 30,657 Other outstanding balances with manufacturers and non-manufacturers 65,602 70,725 $ 378,302 $ 371,772 |
DEFERRED REVENUE (Tables)
DEFERRED REVENUE (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue, by Arrangement, Disclosure [Table Text Block] | April 30, 2020 January 31, 2020 (in thousands) Deferred revenue from contracts with customers $ 27,889 $ 39,512 Deferred revenue from rental and other contracts 1,274 1,456 $ 29,163 $ 40,968 |
SENIOR CONVERTIBLE NOTES (Table
SENIOR CONVERTIBLE NOTES (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Senior Convertible Notes | |
SENIOR CONVERTIBLE NOTES | |
Senior Convertible Notes Interest Expense | The Company recognized interest expense associated with its senior convertible notes as follows: Three Months Ended April 30, 2020 2019 (in thousands) Cash Interest Expense Coupon interest expense $ — $ 421 Noncash Interest Expense Amortization of debt discount — 350 Amortization of transaction costs — 45 $ — $ 816 |
LONG TERM DEBT (Tables)
LONG TERM DEBT (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Long Term Debt Excluding Senior Convertible Notes [Member] | |
Debt Instrument [Line Items] | |
Schedule of Long-term Debt Instruments [Table Text Block] | The following is a summary of long-term debt as of April 30, 2020 and January 31, 2020: April 30, 2020 January 31, 2020 (in thousands) Sale-leaseback financing obligations, interest rates ranging from 3.4% to 10.3% with various maturity dates through December 2030 $ 17,469 $ 17,781 Bank Syndicate - Working Capital Line, interest accrues at a variable rate on outstanding balances, requires monthly payments of accrued interest, matures April 2025 10,000 10,000 Real estate mortgage bearing interest at 5.11%, payable in annual installments of $0.3 million, maturing on May 15, 2039, secured by real estate assets 6,827 6,827 Equipment financing loan, payable in monthly installments over a 72-month term for each funded tranche, bearing interest at 3.89%, secured by vehicle assets 7,350 7,468 Real estate mortgage bearing interest at 4.62%, payable in monthly installments of $0.04 million with a final payment at maturity of $3.4 million, maturing on June 10, 2024, secured by real estate assets 4,366 4,416 Real estate mortgage bearing interest at 4.4%, payable in monthly installments of $0.01 million with a final payment at maturity of $1.0 million, maturing on January 1, 2027, secured by real estate assets 1,474 1,489 Real estate mortgage bearing interest at 2.09%, payable in monthly installments, maturing on June 30, 2026, secured by real estate assets 2,396 2,520 Other long-term debt primarily bearing interest at three-month EURIBOR plus 2.6%, payable in quarterly installments, maturing on January 31, 2021 3,427 1,067 53,309 51,568 Less current maturities (3,787) (13,779) $ 49,522 $ 37,789 |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of gains and losses recognized on derivative instruments | The following table sets forth the gains and losses recognized in income from the Company’s derivative instruments for the three months ended April 30, 2020 and 2019. Gains and losses are recognized in interest income and other income (expense) in the consolidated statements of operations: Three Months Ended April 30, 2020 2019 (in thousands) Foreign currency contract gain (loss) $ (13) $ 202 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME AOCI (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Other Income and Expenses [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following is a summary of the changes in accumulated other comprehensive income (loss), by component, for the periods ended April 30, 2020 and April 30, 2019: Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2020 $ (5,931) $ 2,711 $ (3,220) Other comprehensive loss (528) — (528) Balance, April 30, 2020 $ (6,459) $ 2,711 $ (3,748) Foreign Currency Translation Adjustment Net Investment Hedging Gain Total Accumulated Other Comprehensive Income (Loss) (in thousands) Balance, January 31, 2019 $ (5,051) $ 2,711 $ (2,340) Other comprehensive loss (771) — (771) Balance, April 30, 2019 $ (5,822) $ 2,711 $ (3,111) |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Lease Expense [Abstract] | |
Lease, Cost [Table Text Block] | The components of lease expense were as follows: Classification Three Months Ended April 30, 2020 Three Months Ended April 30, 2019 (in thousands) Finance lease cost: Amortization of leased assets Operating expenses $ 392 $ 376 Interest on lease liabilities Other interest expense 126 139 Operating lease cost Operating expenses & rental and other cost of revenue 4,463 4,816 Short-term lease cost Operating expenses 80 80 Variable lease cost Operating expenses 635 620 Sublease income Interest income and other income (expense) (152) (168) $ 5,544 $ 5,863 |
Summary of Lease Assets and Liabilities [Table Text Block] | Right-of-use lease assets and lease liabilities consist of the following: Classification April 30, 2020 January 31, 2020 (in thousands) Assets Operating lease assets Operating lease assets $ 84,577 $ 88,281 Finance lease assets (a) Property and equipment, net of accumulated depreciation 6,002 6,297 Total leased assets $ 90,579 $ 94,578 Liabilities Current Operating Current operating lease liabilities $ 12,320 $ 12,259 Finance Accrued expenses and other 1,714 1,708 Noncurrent Operating Operating lease liabilities 84,499 88,387 Finance Other long-term liabilities 3,747 4,103 Total lease liabilities $ 102,280 $ 106,457 |
Summary of Lease Maturities [Table Text Block] | Maturities of lease liabilities as of April 30, 2020 are as follows: Operating Finance Leases Leases Total Fiscal Year Ended January 31, (in thousands) 2021 (remainder) $ 13,393 $ 1,609 $ 15,002 2022 16,887 1,851 18,738 2023 15,748 1,206 16,954 2024 14,824 476 15,300 2025 13,691 393 14,084 2026 13,539 312 13,851 Thereafter 33,624 1,083 34,707 Total lease payments 121,706 6,930 128,636 Less: Interest 24,887 1,469 26,356 Present value of lease liabilities $ 96,819 $ 5,461 $ 102,280 |
Weighted-Average Lease Term and Discount Rate [Table Text Block] | The weighted-average lease term and discount rate as of April 30, 2020 are as follows: April 30, 2020 Weighted-average remaining lease term (years): Operating leases 7.7 Financing leases 5.3 Weighted-average discount rate: Operating leases 6.1 % Financing leases 9.8 % |
Operating Lease, Weighted Average Remaining Lease Term | 7 years 8 months 12 days |
Rental Fleet Assets [Table Text Block] | The following is the balance of our dedicated rental fleet assets of our Construction segment as of April 30, 2020 and January 31, 2020: April 30, 2020 January 31, 2020 (in thousands) Rental fleet equipment $ 104,888 $ 104,133 Less accumulated depreciation 39,814 42,076 $ 65,074 $ 62,057 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table presents the aggregate purchase price allocations for all acquisitions completed as of January 31, 2020: January 31, 2020 (in thousands) Assets acquired: Receivables $ 440 Inventories 6,466 Property and equipment 3,810 Intangible assets 1,973 Goodwill 1,198 13,887 Liabilities assumed: — — Net assets acquired $ 13,887 Goodwill recognized by segment: Agriculture $ 699 Construction — International 499 Goodwill expected to be deductible for tax purposes $ 1,198 |
SEGMENT INFORMATION AND OPERA_2
SEGMENT INFORMATION AND OPERATING RESULTS (Tables) | 3 Months Ended |
Apr. 30, 2020 | |
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 April 30, 2020 2019 (in thousands) Revenue Agriculture $ 193,627 $ 153,775 Construction 60,114 70,743 International 56,467 53,774 Total $ 310,208 $ 278,292 Income (Loss) Before Income Taxes Agriculture $ 6,162 $ 1,876 Construction (2,873) (2,222) International (280) 216 Segment income (loss) before income taxes 3,009 (130) Shared Resources 139 (385) Total $ 3,148 $ (515) April 30, 2020 January 31, 2020 (in thousands) Total Assets Agriculture $ 436,040 $ 444,942 Construction 272,402 275,645 International 192,966 191,513 Segment assets 901,408 912,100 Shared Resources 68,331 63,243 Total $ 969,739 $ 975,343 |
BUSINESS ACTIVITY AND SIGNIFI_3
BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES BUSINESS ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES (Details 2) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Apr. 30, 2020 | Feb. 01, 2020 | Jan. 31, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss | $ (5,229) | $ 2,943 | $ (5,123) |
Accounts Receivable, Credit Loss Expense (Reversal) | 353 | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 209 | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 50 | ||
Financing Receivable, Allowance for Credit Loss, Foreign Currency Translation | (29) | ||
Accounting Standards Update 2016-13 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss | 3,108 | ||
Agricultural Sector [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss | 230 | 181 | |
Accounts Receivable, Credit Loss Expense (Reversal) | 14 | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 5 | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 40 | ||
Construction | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss | 1,062 | 1,016 | |
Accounts Receivable, Credit Loss Expense (Reversal) | 113 | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 71 | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 4 | ||
International [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts Receivable, Allowance for Credit Loss | 1,816 | $ 1,746 | |
Accounts Receivable, Credit Loss Expense (Reversal) | 226 | ||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 133 | ||
Accounts Receivable, Allowance for Credit Loss, Recovery | 6 | ||
Financing Receivable, Allowance for Credit Loss, Foreign Currency Translation | $ (29) |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 2,262,000 | $ (445,000) |
Participating Securities, Distributed and Undistributed Earnings (Loss), Basic | 32,000 | 0 |
Net Income (Loss) Available to Common Stockholders, Basic | $ 2,230,000 | $ (445,000) |
Basic weighted-average common shares outstanding | 22,012,000 | 21,872,000 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 0 | |
Weighted Average Number of Shares Outstanding, Diluted | 22,012,000 | 21,872,000 |
Earnings Per Share, Basic | $ 0.10 | $ (0.02) |
Earnings Per Share, Diluted | $ 0.10 | $ (0.02) |
Restricted Stock or Unit Expense | $ 9,000 | $ 8,000 |
Convertible Debt Securities [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 1,057,000 |
REVENUE (Details)
REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 310,208 | $ 278,292 |
Recognition of Deferred Revenue | (29,700) | (30,500) |
Revenue from Contracts with Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 302,074 | 269,958 |
Other Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,355 | 1,233 |
Service Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 25,600 | 22,831 |
Parts Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 56,614 | 51,938 |
Rental Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 8,134 | 8,334 |
Equipment Revenue [member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 218,505 | 193,956 |
Operating Segments [Member] | Agricultural Sector [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 193,627 | 153,775 |
Operating Segments [Member] | Agricultural Sector [Member] | Revenue from Contracts with Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 193,281 | 153,443 |
Operating Segments [Member] | Agricultural Sector [Member] | Other Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 733 | 618 |
Operating Segments [Member] | Agricultural Sector [Member] | Service Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 17,720 | 14,985 |
Operating Segments [Member] | Agricultural Sector [Member] | Parts Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 35,079 | 29,976 |
Operating Segments [Member] | Agricultural Sector [Member] | Rental Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 346 | 332 |
Operating Segments [Member] | Agricultural Sector [Member] | Equipment Revenue [member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 139,749 | 107,864 |
Operating Segments [Member] | Construction [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 60,114 | 70,743 |
Operating Segments [Member] | Construction [Member] | Revenue from Contracts with Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 52,443 | 62,864 |
Operating Segments [Member] | Construction [Member] | Other Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 518 | 593 |
Operating Segments [Member] | Construction [Member] | Service Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,212 | 6,521 |
Operating Segments [Member] | Construction [Member] | Parts Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 11,460 | 12,704 |
Operating Segments [Member] | Construction [Member] | Rental Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 7,671 | 7,879 |
Operating Segments [Member] | Construction [Member] | Equipment Revenue [member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 34,253 | 43,046 |
Operating Segments [Member] | International [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 56,467 | 53,774 |
Operating Segments [Member] | International [Member] | Revenue from Contracts with Customers [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 56,350 | 53,651 |
Operating Segments [Member] | International [Member] | Other Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 104 | 22 |
Operating Segments [Member] | International [Member] | Service Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,668 | 1,325 |
Operating Segments [Member] | International [Member] | Parts Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 10,075 | 9,258 |
Operating Segments [Member] | International [Member] | Rental Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 117 | 123 |
Operating Segments [Member] | International [Member] | Equipment Revenue [member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 44,503 | $ 43,046 |
REVENUE Unbilled Receivables (D
REVENUE Unbilled Receivables (Details) - USD ($) $ in Thousands | Apr. 30, 2020 | Jan. 31, 2020 |
Unbilled Receivables [Abstract] | ||
Unbilled Receivables, Current | $ 17,076 | $ 13,944 |
Disaggregation of Revenue [Line Items] | ||
Unbilled Receivables, Current | $ 17,076 | $ 13,944 |
REVENUE Deferred Revenue (Detai
REVENUE Deferred Revenue (Details) - USD ($) $ in Thousands | Apr. 30, 2020 | Jan. 31, 2020 |
Deferred Revenue Arrangement [Line Items] | ||
Deferred Revenue | $ 29,163 | $ 40,968 |
Deferred Revenue from Operating Leases and Rental Contracts [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred Revenue | 1,274 | 1,456 |
Deferred Revenue from Contracts with Customers [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred Revenue | $ 27,889 | $ 39,512 |
RECEIVABLES (Details)
RECEIVABLES (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Apr. 30, 2020 | Apr. 30, 2019 | Feb. 01, 2020 | Jan. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Revenue from Contracts with Customers, Impairment Loss | $ 143 | $ 328 | ||
Accounts Receivable, before Allowance for Credit Loss, Current | 81,659 | $ 77,899 | ||
Rental Contract, Impairment Loss | 138 | 83 | ||
Accounts Receivable, Allowance for Credit Loss | (5,229) | $ 2,943 | (5,123) | |
Accounts Receivable, after Allowance for Credit Loss, Current | 76,430 | 72,776 | ||
Unbilled Receivables, Current | 17,076 | 13,944 | ||
Impaired Financing Receivables [Table Text Block] | 281 | $ 411 | ||
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 | 741 | 861 | ||
Trade Accounts Receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, before Allowance for Credit Loss, Current | 32,962 | 36,400 | ||
Accounts Receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, before Allowance for Credit Loss, Current | 5,581 | 7,381 | ||
Trade Receivables due from Finance Companies [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, before Allowance for Credit Loss, Current | 17,388 | 12,352 | ||
Receivables due from Manufacturers [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, before Allowance for Credit Loss, Current | 6,565 | 5,763 | ||
Accounts Receivable [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, before Allowance for Credit Loss, Current | $ 1,346 | $ 1,198 |
INVENTORIES (Details)
INVENTORIES (Details) - USD ($) $ in Thousands | Apr. 30, 2020 | Jan. 31, 2020 |
Inventory Disclosure [Abstract] | ||
New equipment | $ 346,703 | $ 358,339 |
Used equipment | 154,538 | 157,535 |
Parts and attachments | 80,294 | 79,813 |
Work in process | 1,900 | 1,707 |
Inventories | $ 583,435 | $ 597,394 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) | 3 Months Ended | ||
Apr. 30, 2020 | Apr. 30, 2019 | Jan. 31, 2020 | |
PROPERTY AND EQUIPMENT | |||
Other Asset Impairment Charges | $ 216,000 | $ 135,000 | |
Property and equipment, gross | 293,948,000 | $ 290,793,000 | |
Less accumulated depreciation | (145,655,000) | (145,231,000) | |
Property and equipment, net | 148,293,000 | 145,562,000 | |
Capitalized Computer Software, Net | 1,800,000 | ||
Impairment | 216,000 | $ 135,000 | |
Rental fleet equipment | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 104,888,000 | 104,133,000 | |
Machinery and equipment | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 22,773,000 | 22,682,000 | |
Vehicles | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 51,837,000 | 51,850,000 | |
Furniture and fixtures | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 42,043,000 | 41,720,000 | |
Land, buildings, and leasehold improvements | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 72,407,000 | 70,408,000 | |
Construction [Member] | |||
PROPERTY AND EQUIPMENT | |||
Impairment | 200,000 | ||
Construction [Member] | Rental fleet equipment | |||
PROPERTY AND EQUIPMENT | |||
Property and equipment, gross | 104,888,000 | 104,133,000 | |
Less accumulated depreciation | (39,814,000) | (42,076,000) | |
Property and equipment, net | $ 65,074,000 | $ 62,057,000 |
LINES OF CREDIT _ FLOORPLAN P_3
LINES OF CREDIT / FLOORPLAN PAYABLE (Details) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | |
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | $ 250,000 | $ 200,000 |
Floorplan Notes Payable | $ 378,302 | 371,772 |
Line of Credit Facility, Covenant Compliance, Minimum Fixed Charge Coverage Ratio | 1.10 | |
Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | $ 378,302 | $ 371,772 |
Floorplan Notes Payable [Member] | U.S. | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 2.52% | 4.05% |
Floorplan Notes Payable [Member] | Maximum [Member] | U.S. | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.12% | 4.81% |
Non-Interest Bearing Floorplan Line of Credit [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Floorplan Notes Payable | $ 201,900 | $ 205,200 |
Credit Facility | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | 65,000 | |
Line of Credit, Current | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | $ 762,000 | |
Line of Credit, Current | Non-US [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.98% | 0.86% |
Line of Credit, Current | Maximum [Member] | Non-US [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.33% | 7.66% |
Bank Syndicate [Domain] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | $ 185,000 | |
CNH Industrial Capital Credit Facility | Line of Credit, Current | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | 450,000 | |
DLL Finance LLC [Member] | Line of Credit, Current | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Maximum borrowing capacity | 60,000 | |
Other Affiliates [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 65,602 | $ 70,725 |
C N H Capital America L L C [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 179,602 | 187,690 |
DLL Finance LLC [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 30,198 | 30,657 |
Wells Fargo Credit Facility [Member] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | $ 82,700 | |
Bank Syndicate [Domain] | Floorplan Line of Credit | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Amount outstanding | 102,900 | |
Non-US [Member] | ||
LINES OF CREDIT / FLOORPLAN NOTES PAYABLE | ||
Compensating Balance, Amount | $ 5,000 |
SENIOR CONVERTIBLE NOTES (Detai
SENIOR CONVERTIBLE NOTES (Details) $ in Thousands | May 01, 2019USD ($) |
Convertible Notes | |
SENIOR CONVERTIBLE NOTES | |
Debt Instrument, Face Amount | $ 45,600 |
SENIOR CONVERTIBLE NOTES (Det_2
SENIOR CONVERTIBLE NOTES (Details 2) $ in Thousands | 3 Months Ended | ||
Apr. 30, 2020USD ($) | Apr. 30, 2019USD ($) | May 01, 2019USD ($) | |
Convertible notes | |||
Coupon interest expense | $ 966 | $ 1,642 | |
Convertible Notes | |||
Convertible notes | |||
Debt Instrument, Face Amount | $ 45,600 | ||
Conversion rate | 0.0231626 | ||
Amortization of debt discount | $ 0 | 350 | |
Amortization of transaction costs | 0 | 45 | |
Interest Expense | $ 0 | $ 816 | |
Effective interest rate (as a percent) | 0.00% | 7.30% | |
Coupon interest expense | $ 0 | $ 421 |
LONG TERM DEBT (Details)
LONG TERM DEBT (Details) - USD ($) | Apr. 30, 2020 | Jan. 31, 2020 |
Debt Instrument [Line Items] | ||
Notes and Loans, Noncurrent | $ 49,522,000 | $ 37,789,000 |
Current maturities of long-term debt | 3,787,000 | 13,779,000 |
Notes and Loans Payable | 53,309,000 | 51,568,000 |
Line of Credit, Current | 10,000,000 | 10,000,000 |
6500 Real Estate | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 1,474,000 | 1,489,000 |
International [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 2,396,000 | 2,520,000 |
Capital Lease Obligations [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 17,469,000 | 17,781,000 |
Real Estate Loan [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 6,827,000 | 6,827,000 |
Commercial Loan [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 7,350,000 | 7,468,000 |
Loans and Finance Receivables [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | 4,366,000 | 4,416,000 |
Notes Payable, Other Payables [Member] | ||
Debt Instrument [Line Items] | ||
Notes and Loans Payable | $ 3,427,000 | $ 1,067,000 |
DERIVATIVE INSTRUMENTS (Details
DERIVATIVE INSTRUMENTS (Details 1) $ in Millions | 3 Months Ended |
Apr. 30, 2020USD ($) | |
DERIVATIVE INSTRUMENTS | |
Derivative Instruments Not Designated as Hedging Instruments, Gain | $ 13 |
DERIVATIVE INSTRUMENTS DERIVATE
DERIVATIVE INSTRUMENTS DERIVATE INSTRUMENTS (Details 3) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Foreign currency contracts | Not designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) | ||
Amount of Gain (Loss) Recognized in Income | $ (13) | $ 202 |
LEASES Lease Expense (Details)
LEASES Lease Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Leases [Abstract] | ||
Finance Lease, Right-of-Use Asset, Amortization | $ 392 | $ 376 |
Finance Lease, Interest Expense | 126 | 139 |
Operating Lease, Cost | 4,463 | 4,816 |
Short-term Lease, Cost | 80 | 80 |
Variable Lease, Cost | 635 | 620 |
Sublease Income | (152) | (168) |
Lease, Cost | $ 5,544 | $ 5,863 |
LEASES ROU Assets and Lease Lia
LEASES ROU Assets and Lease Liabilities (Details) - USD ($) | Apr. 30, 2020 | Jan. 31, 2020 |
Leases [Abstract] | ||
Operating Lease, Right-of-Use Asset | $ 84,577,000 | $ 88,281,000 |
Finance Lease, Right-of-Use Asset | 6,002,000 | 6,297,000 |
Lessee, Right-Of-Use Asset | 90,579,000 | 94,578,000 |
Operating Lease, Liability, Current | 12,320,000 | 12,259,000 |
Finance Lease, Liability, Current | 1,714,000 | 1,708,000 |
Operating Lease, Liability, Noncurrent | 84,499,000 | 88,387,000 |
Finance Lease, Liability, Noncurrent | 3,747,000 | 4,103,000 |
Lessee, Lease Liability | $ 102,280,000 | $ 106,457,000 |
LEASES Maturities of Lease Liab
LEASES Maturities of Lease Liabilities (Details) $ in Thousands | Apr. 30, 2020USD ($) |
Leases [Abstract] | |
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year | $ 13,393 |
Finance Lease, Liability, Payments, Remainder of Fiscal Year | 1,609 |
Lessee, Liability, Payments, Remainder of Fiscal Year | 15,002 |
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 16,887 |
Finance Lease, Liability, Payments, Due Next Twelve Months | 1,851 |
Lessee, Liability, Payments, Due Next Twelve Months | 18,738 |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 15,748 |
Finance Lease, Liability, Payments, Due Year Two | 1,206 |
Lessee, Liability, Payments, Due Year Two | 16,954 |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 14,824 |
Finance Lease, Liability, Payments, Due Year Three | 476 |
Lessee, Liability, Payments, Due Year Three | 15,300 |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 13,691 |
Finance Lease, Liability, Payments, Due Year Four | 393 |
Lessee, Liability, Payments, Due Year Four | 14,084 |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 13,539 |
Finance Lease, Liability, Payments, Due Year Five | 312 |
Lessee, Liability, Payments, Due Year Five | 13,851 |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 33,624 |
Finance Lease, Liability, Payments, Due after Year Five | 1,083 |
Lessee, Liability, Payments, Due After Year Five | 34,707 |
Lessee, Operating Lease, Liability, Payments, Due | 121,706 |
Finance Lease, Liability, Payment, Due | 6,930 |
Lessee, Liability, Payments, Due | 128,636 |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 24,887 |
Finance Lease, Liability, Undiscounted Excess Amount | 1,469 |
Lessee, Liability, Undiscounted Excess Amount | 26,356 |
Operating Lease, Liability | 96,819 |
Finance Lease, Liability | 5,461 |
Present Value of Lease Liabilities | $ 102,280 |
LEASES Weighted Average Lease T
LEASES Weighted Average Lease Terms (Details) | Apr. 30, 2020 |
Leases [Abstract] | |
Operating Lease, Weighted Average Remaining Lease Term | 7 years 8 months 12 days |
Finance Lease, Weighted Average Remaining Lease Term | 5 years 3 months 18 days |
Operating Lease, Weighted Average Discount Rate, Percent | 6.10% |
Finance Lease, Weighted Average Discount Rate, Percent | 9.80% |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) | Apr. 30, 2020 | Jan. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-Lived Assets | $ 400,000 | $ 2,800,000 |
INCOME TAXES INCOME TAXES (Deta
INCOME TAXES INCOME TAXES (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Apr. 30, 2020 | Apr. 30, 2019 | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest [Abstract] | ||
Income (Loss) Before Income Taxes | $ 3,148 | $ (515) |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | ||
Effective Income Tax Rate Reconciliation, Percent | (28.10%) | (13.60%) |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) - USD ($) | 3 Months Ended | |
Apr. 30, 2020 | Jan. 31, 2020 | |
Business Acquisition [Line Items] | ||
Payments to Acquire Businesses, Gross | $ 10,900,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 1,973,000 | |
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 1,198,000 | |
Purchase Obligation | 2,100,000 | |
Business Combination, Acquired Receivable, Fair Value | 440,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | 6,466,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 3,810,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 13,887,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Financial Liabilities | 7,400,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net | 13,887,000 | |
Goodwill | 2,311,000 | 2,327,000 |
Agricultural Sector [Member] | ||
Business Acquisition [Line Items] | ||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 699,000 | |
International [Member] | ||
Business Acquisition [Line Items] | ||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 499,000 | |
International [Member] | ||
Business Acquisition [Line Items] | ||
Payments to Acquire Businesses, Gross | $ 3,000,000 | |
Customer Relationships [Member] | ||
Business Acquisition [Line Items] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 200,000 | |
Distribution Rights [Member] | ||
Business Acquisition [Line Items] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 1,600,000 | |
Noncompete Agreements [Member] | ||
Business Acquisition [Line Items] | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 100,000 |
SEGMENT INFORMATION AND OPERA_3
SEGMENT INFORMATION AND OPERATING RESULTS (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Apr. 30, 2020 | Apr. 30, 2019 | Jan. 31, 2020 | |
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Revenue | $ 310,208 | $ 278,292 | |
Income (Loss) Before Income Taxes | 3,148 | (515) | |
Total Assets | 969,739 | $ 975,343 | |
Shared Resources | |||
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Income (Loss) Before Income Taxes | 139 | (385) | |
Total Assets | 68,331 | 63,243 | |
Operating Segments | |||
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Income (Loss) Before Income Taxes | 3,009 | (130) | |
Total Assets | 901,408 | 912,100 | |
Operating Segments | Agricultural Sector [Member] | |||
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Revenue | 193,627 | 153,775 | |
Income (Loss) Before Income Taxes | 6,162 | 1,876 | |
Total Assets | 436,040 | 444,942 | |
Operating Segments | Construction | |||
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Revenue | 60,114 | 70,743 | |
Income (Loss) Before Income Taxes | (2,873) | (2,222) | |
Total Assets | 272,402 | 275,645 | |
Operating Segments | International [Member] | |||
SEGMENT INFORMATION AND OPERATING RESULTS | |||
Revenue | 56,467 | 53,774 | |
Income (Loss) Before Income Taxes | (280) | $ 216 | |
Total Assets | $ 192,966 | $ 191,513 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Thousands | May 04, 2020 | Apr. 30, 2020 | Apr. 30, 2019 | Jan. 31, 2020 |
Subsequent Event [Line Items] | ||||
Revenue | $ 310,208 | $ 278,292 | ||
Payments to Acquire Businesses, Gross | $ 10,900 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | $ 6,466 | |||
Series of Individually Immaterial Business Acquisitions [Member] | ||||
Subsequent Event [Line Items] | ||||
Revenue | $ 26,000 | |||
Payments to Acquire Businesses, Gross | 6,900 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Inventory | $ 2,700 |