Titan Machinery Inc.TITN

Titan Machinery Inc. Earnings Per Share Disclosure

10-KFiled Mar 31, 20262 min read
EARNINGS PER SHARE
Earnings Per Share ("EPS")
The Company uses the two-class method to calculate basic and diluted EPS. Unvested restricted stock awards are considered participating securities because they entitle holders to non-forfeitable rights to dividends during the vesting term. Under the two-class method, earnings of the Company are allocated between common stockholders and these participating securities based on the weighted-average number of shares of common stock and participating securities outstanding during the relevant period.
Basic EPS is computed by dividing net income attributable to Titan Machinery Inc. common stockholders by the weighted-average number of shares of common stock outstanding during the relevant period. Diluted EPS is computed by dividing net income attributable to Titan Machinery Inc. common stockholders by the weighted-average number of shares of common stock outstanding after adjusting for potential dilution related to the conversion of all dilutive securities into common stock. All potentially dilutive securities were included in the computation of diluted EPS for years with net income. All anti-dilutive securities were excluded from the computation of diluted EPS.
The following table sets forth the calculation of basic and diluted EPS:
Year Ended January 31,
202620252024
(in thousands, except per share data)
Numerator
Net (loss) income$(54,174)$(36,911)$112,441 
Allocation to participating securities— — (1,519)
Net (loss) income attributable to Titan Machinery Inc. common stockholders$(54,174)$(36,911)$110,922 
Denominator
Basic weighted-average common shares outstanding22,748 22,606 22,493 
Plus: incremental shares from assumed vesting of restricted stock units
— — 6 
Diluted weighted-average common shares outstanding22,748 22,606 22,499 
(Loss) Earnings per Share:
Basic$(2.38)$(1.63)$4.93 
Diluted$(2.38)$(1.63)$4.93 
Anti-dilutive shares excluded from diluted weighted-average common shares outstanding:
Stock options and restricted stock units15 12 —

Historical Timeline

Fiscal YearFiled
2026Mar 31, 2026Showing above
2025Apr 7, 2025
2024Apr 3, 2024
2023Mar 30, 2023
2022Apr 1, 2022
2021Mar 31, 2021
2020Apr 7, 2020

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.

Other Available Disclosures

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