88830RAB7

• Gross profit margin expanded 150 basis points year-over-year to 18.6%.
• Net loss was $9.2 million, or $0.40 per diluted share, compared to a net loss of $6.0 million, or $0.26 per diluted share, in the prior-year quarter.
• Adjusted EBITDA was $4.6 million, down from $5.6 million in the prior-year quarter.
• The company reaffirmed its fiscal 2027 profitability guidance and updated segment revenue assumptions, including lowering Europe segment revenue outlook.

2.02 Results of Operations and Financial Condition

• Net loss improved to $12.6 million ($0.55 loss per diluted share) from a net loss of $13.2 million ($0.58 loss per diluted share) a year earlier.
• Gross profit margin rose to 17.1% from 15.3%, driven by stronger equipment margins and a higher mix of parts and service revenue.
• Adjusted EBITDA was $1.0 million in the quarter, compared to $2.6 million in the same period last year.
• The company reaffirmed its fiscal 2027 modeling assumptions, including adjusted EBITDA of $17.0–$29.0 million and adjusted diluted loss per share of ($1.25)–($1.75).

2.02 Results of Operations and Financial Condition

• Christianson received 19,601,171 votes for and 862,080 withheld; Hamilton received 17,045,392 for and 3,417,859 withheld; Knutson received 20,180,084 for and 283,167 withheld.
• A non-binding resolution approving Named Executive Officer compensation passed with 19,510,725 votes for, 944,273 against, and 8,253 abstentions.
• Shareholders ratified Deloitte & Touche LLP as independent auditor for fiscal year ending January 31, 2027, with 21,553,008 votes for, 12,950 against, and 2,032 abstentions.
• The report was filed under Item 5.07 to disclose the results of the shareholder votes.

5.07 Submission of Matters to a Vote of Security Holders

• Q4 net loss was $36.2 million, or $1.59 per diluted share, including a $17.8 million non-cash tax valuation allowance.
• Full-year FY2026 revenue was $2.4 billion, down from $2.7 billion in FY2025; net loss was $54.2 million.
• Total inventory reduced by $206 million in FY2026, exceeding the $150 million target.
• FY2027 guidance: adjusted EBITDA of $17-$29 million, adjusted net loss of $28-$40 million.
• Q4 adjusted EBITDA was negative $5.0 million, an improvement from negative $46.0 million a year ago.

2.02 Results of Operations and Financial Condition

• Erickson was a Class II director and served as Lead Independent Director.
• His retirement was consistent with the waiver of the Board's age-based retirement policy granted in September 2025.
• Jody Horner was elected by the Board to succeed Erickson as Lead Independent Director.

5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements

• Net income was $1.2 million, or $0.05 per diluted share, compared to $1.7 million, or $0.07 per diluted share, a year ago.
• Gross profit margin improved to 17.2% from 16.3% in the prior-year quarter, with gross profit of $111.0 million.
• The company achieved a cumulative inventory reduction of $98 million in the first nine months of fiscal 2026 and increased its full-year reduction target to $150 million from $100+ million.
• Fiscal 2026 adjusted diluted loss per share guidance remains at ($1.50) to ($2.00), including a non-cash valuation allowance impact of ($0.35) to ($0.45) per share expected in Q4.
• Europe segment revenue surged to $117.0 million from $62.4 million, driven by EU stimulus programs in Romania, while Australia segment revenue fell 39.1% on a currency-neutral basis.

2.02 Results of Operations and Financial Condition

• Net loss was $6.0 million, or $0.26 per diluted share, compared to a net loss of $4.3 million ($0.19 per share) a year ago.
• Gross profit margin fell to 17.1% from 17.7%, driven by lower equipment margins and inventory management pricing concessions.
• The company reiterated its $100 million inventory reduction target for fiscal 2026 and expects to exceed it.
• Fiscal 2026 adjusted diluted loss per share guidance was narrowed to ($1.50)-($2.00), with segment revenue assumptions updated for Agriculture, Construction, and Europe.

2.02 Results of Operations and Financial Condition

• At the June 2, 2025 annual meeting, shareholders elected Frank Anglin, Richard Lewis, and David Meyer as Class III directors for three-year terms.
• A non-binding resolution approving Named Executive Officer compensation passed with 18,171,586 votes for, 1,669,170 against, and 16,615 abstentions.
• Shareholders ratified Deloitte & Touche LLP as independent auditor for fiscal year ending January 31, 2026, with 21,413,999 votes for and 45,123 against.
• The report was filed under Item 5.07 to disclose the results of the shareholder votes held at the annual meeting.

5.07 Submission of Matters to a Vote of Security Holders