
Shane Thomas
Founder of Upstream Ag Insights, a globally read agribusiness newsletter, and agribusiness analyst based in Calgary, Alberta.
1
APPEARANCES
1
PODCASTS
012
DEC 30
JAN 6
JAN 13
JAN 20
JAN 27
FEB 3
FEB 10
FEB 17
FEB 24
MAR 3
MAR 10
MAR 17
MAR 24
MAR 31
APR 7
APR 14
APR 21
APR 28
MAY 5
MAY 12
MAY 19
MAY 26
JUN 2
JUN 9
JUN 16
JUN 23
JUN 30
JUL 7
JUL 14
JUL 21
JUL 28
AUG 4
AUG 11
AUG 18
AUG 25
SEP 1
SEP 8
SEP 15
SEP 22
SEP 29
OCT 6
OCT 13
OCT 20
OCT 27
NOV 3
NOV 10
NOV 17
NOV 24
DEC 1
DEC 8
DEC 15
DEC 22
DEC 29
JAN 5
JAN 12
JAN 19
JAN 26
FEB 2
FEB 9
FEB 16
FEB 23
MAR 2
MAR 9
MAR 16
MAR 23
MAR 30
APR 6
APR 13
APR 20
APR 27
MAY 4
MAY 11
MAY 18
MAY 25
JUN 1
JUN 8
JUN 15
JUN 22
JUN 29
JUL 6
JUL 13
JUL 20
JUL 27
AUG 3
AUG 10
AUG 17
AUG 24
AUG 31
SEP 7
SEP 14
SEP 21
SEP 28
Sep 16, 2026
Business model breakdowns: ag equipment dealer Titan Machinery, with Shane Thomas
6:08
6:16
6:22
6:27
6:59
19:15

Shane ThomasGUEST
So on the equipment side of things, that's obviously if you sell a $500,000 tractor, really big total revenue, but really thin margin.

Shane ThomasGUEST
And the margin structure specific to Titan is going to vary depending on where you're at in the equipment cycle.

Shane ThomasGUEST
So the commodity cycle and just how profitable farmers are for lack of a better term.

Shane ThomasGUEST
And when things are really good for a company like Titan, you'll see 13, 14% gross margins on that where we're at today in the cycle you're more in that five six seven percent so pretty low pretty thin margins by most measures and then you get into the higher margin segments and this is really the parts where they're making about 30 gross margin on the part side of the business and then if you get into the service you're even higher than that you're at about 60 ish percent 65 gross margins on that and the rental side of things, you know, the 25%.

Shane ThomasGUEST
But what's interesting is when you kind of bring all this together, you have about something like, I don't know, 75% or so of the revenue coming from the actual equipment itself.
12 MINS LATER

Sarah NoletteHOST
And I don't know if they're like rebates yet, but they're levers that the OEM is pulling to sort of control the behavior of the dealer.