Please standby. Good morning, ladies and gentlemen. Thank you for standing by. Welcome to today's Titan Machinery First Quarter Fiscal Year 2015 Earnings Conference Call. At this time all participants in a listen-only mode. Following the formal remarks we will conduct the question-and-answer session. Instructions will be provided at that time for you to queue up for questions. Hosting today's conference will be John Mills of ICR. As a reminder, today's conference is being recorded. And now, I would like to turn the conference over to Mr. John Mills. Please go ahead, sir.

Thank you. Good morning, ladies and gentlemen. And welcome to Titan Machinery's first quarter fiscal 2015 earnings conference call. On the call today from the company are David Meyer, Chairman and Chief Executive Officer; Peter Christianson, President; and Mark Kalvoda, Chief Financial Officer. By now everyone should have access to the earnings release for the first -- fiscal first quarter ended April 30, 2014, which went out this morning at approximately 6:45 a.m. Eastern Time. If you have not received the release, it is available on the Investor Relations portion of Titan's website at titanmachinery.com. This call is being webcast, and a replay will be available on the company's website as well. In addition, we are providing a slide presentation to accompany today's prepared remarks. We suggest you access the presentation now by going to Titan's website and clicking on the Investor Relations tab. The presentation is directly below the webcast information in the middle of the page. Before we begin, we'd like to remind everyone that the prepared remarks contain forward-looking statements, and management may make additional forward-looking statements in response to your questions. The statements do not guarantee future performance and therefore, undue reliance should not be placed upon them. These statements are based on current expectations of management and involve inherent risks and uncertainties, including those identified in the Risk Factors section of Titan's most recently filed annual report and Form 10-K. These risk factors containing more detailed discussion of the factors that could cause actual results to differ materially from those projected in any forward-looking statements. Titan assumes no obligation to update any forward-looking statement that may be made in today's release or call. Lastly, due to the number of participants on the call today, we ask that you keep your question period to one or two questions and then rejoin the queue. The call will last approximately 45 minutes. David Meyer will provide highlights of the company's first quarter results and a general update on the company's business. Then Peter Christianson will discuss the company's international overview and segment operating results. Mark Kalvoda will discuss the company’s financial results in more detail and in fiscal 2015 annual revenue, net income, earnings per share guidance and non-GAAP operating cash flow ranges, along with outlook modeling assumptions. Then we will open the call to take your questions. Now, I'd like to introduce the company's Chairman and CEO, Mr. David Meyer. Go ahead, David.

Thank you, John. Good morning, everyone. Welcome to our first quarter fiscal 2015 earnings conference call. As John mentioned, to help you follow today's prepared remarks, we've provided a slide presentation, which you can access on the Investor Relations portion of our website at titanmachinery.com. If you turn to slide two, you will see our first quarter financial results. Revenue was $465 million, reflecting an increase in sales in all four revenue streams, equipment, parts, service and rental. On a segment basis, higher sales for our Construction and International segments were partially offset by lower ag sales as we had anticipated. Adjusted pre-tax loss, excluding the store closing and realignment costs was $3.1 million and adjusted loss per share was $0.11. As we discussed on our last conference call, this year one of our key areas of focus is improving our adjusted operating cash flow. In the first quarter, we generated $10.7 million in adjusted operating cash flow. Based on our visibility for remainder of the year, we are reiterating our previously issued annual outlook for fiscal 2015, which Mark will review in more detail later in today's call. Now, I’d like to provide some more color in each of the agriculture and construction industries in which we operate. Peter will provide color on the industry within our international segment. On slide three is an overview of the agriculture industry. Initial crop progress has been delayed in our Northern footprint due to late start to spring. We have adequate moisture levels for majority of our footprint as we are in the beginning of the production cycle. As forecasted in the most recent WASDE Report, record corn production is projected for this year which is reflected in lower commodity prices. USDA projected net farm income to be down 27% in calendar…

Thanks David. On slide six, we have an overview of the industry in our international segment which includes stores in Bulgaria, Romania, Serbia and Ukraine. There are favorable crop conditions in our market areas with our anticipated early harvest of cereal gains and adequate moisture levels to support for row crops. The lower global commodity prices are impacting the net incomes of our international customers just like farmers in North America. We continue to see the possibilities that our customers in Bulgaria and Romania may receive an extra benefit during the second half of this year from the European Union Subvention Funds, which will provide subsidies for the purchase of equipment. Although we have not added this into our international projections, this could be a benefit for these two countries’ operating results. We expect our stores in Romania, Serbia and Bulgaria to achieve growth and improve operating results in fiscal 2015 as a result of the growing awareness of our increased focus on after sales product support and the availability of equipment in the countries we operate. In Ukraine, the current geopolitical and financial environment is negatively impacting our customers and our operations. Our customers are experiencing reduced credit availability for crop inputs including equipment purchases. Rising interest rates and the devaluation of the local currency are affecting all businesses throughout the country. Even considering these factors, our customers are proceeding with the crop production cycle. The May 25th Presidential Election was held successfully, which we anticipate will help stabilize geopolitical and financial environment. Although this event will not immediately return the country to fully normalize conditions, we do believe this is a positive step to resolve the current situation. The potential economic investment packages from the west to Ukraine could improve the financial climate during the back half of…

Thanks Peter. Turning to slide nine, our total revenues for the fiscal 2015 first quarter was $465.5 million, an increase of 5.4% compared to last year. Equipment sales increased 3.1% quarter-over-quarter, reflecting strength within our Construction segment as well as the expected headwinds within our ag segment, which David previously discussed. Our parts and service business performed well in the quarter, increasing 8.8% and 15.9% respectively, demonstrating the strength and stability of the recurring revenue from these areas of our business. In particular, these increases were driven by strength in our Construction segment and growth in our expanded International segment. Our rental and other revenue increased 23.7% in the first quarter. The increase was primarily due to an expanded rental fleet compared to the first quarter of last year. The dollar utilization rate on our rental fleet was relatively flat compared to the same period last year. On slide 10, our gross profit for the quarter was $75.9 million. Our gross profit margin was 16.3%, a decrease of 40 basis points compared to the same quarter last year. The decrease primarily reflects lower equipment margins, which declined to 8.3% compared to 9.2% in the prior year period. This was partially offset by stronger growth in our higher-margin recurring parts and service business. Our operating expenses as a percentage of net sales in the first quarter of fiscal 2015 was 15.3%, compared to 15.6% for the same quarter last year. This improvement was due to positive fixed expense leveraging in our Construction segment. This was slightly offset by additional expenses related to the expansion of our International segment. In the first quarter of fiscal 2015, we recognized realignment charges of $2.8 million. We expect that we will record an additional $600,000 charge in the second quarter and we believe this will…

Thank you. (Operator Instructions) We'll take our first question from Michael Cox with Piper Jaffray.

Good morning. This is Amanda Durow, on for Michael Cox at this morning. The question that we have is what are your thoughts and expectations on Section 179 the renewal for this year in 2014?

Well, I see this recently that it passed the House committee. And I think the recommendation is that the pass on the number of tax bills which include a continuation of what we saw in previous year. So I need to go to the senate -- and I’m hearing that we’re not going to see much action on that until after the November elections. But from all conversation, what our representatives in Congress, they’re putting as the high priorities, we anticipate something happening there. What’s out there, we still have the standard depreciation, which a lot of our customers utilize regardless of the solid depreciation.

Great. Thanks for that color.

We’ll take our next question from Peter Prattas with Cantor Fitzgerald.

Good morning, guys. You had strengths in construction sale this quarter and as despite the consolidation initiatives you had which may have served as a bit of a distraction. Can you perhaps highlight some of the areas that the strength was coming from? And I’m just wondering do some of those gains come at the expense of perhaps lower margins as you brought down your inventory?

No, we think that that whole segment across the board has been strong. Ukraine has been excellent that we’re seeing good real order sales, excavator sales. I mean, it’s across our footprint, its been pretty good. So we just think the whole settlement, the inventory levels will come more inline. I think, a lot of the operational improvements that we’ve been putting in place over the last 18 months have started now to pay dividends. As we discussed on the call, both energy and ag are contributing to it. We have stores, both, not only in the Bakken, in Wyoming, in Colorado, we are seeing the increase natural gas taking place right now. Housing starts are up. So we are just seeing a lot of positive across our whole sector and just taking awhile there, on a number of fronts and like I say, we, I think a lot of our operational improvements are starting to take hold also.

Great. And the second question is on inventory. You did see the usual seasonal lift in Q1? And as well, I noticed that the turns may have come down just a here. I'm wondering what are the key drivers that will help you achieve, we are still seeing like a bit of an aggressive target of getting your inventory down by year end? And I'm just wondering as well related to that, is that something that CNH is supporting you in anyway?

Well, I think, we are right in line with our plan. Why this has to do as far as what happens in the order of pipeline for Q3 and Q4. So basically what you are going to see is, you are going to see the liquidation of our current inventory Q3 and Q4 rather than the new shipments to the level we have seen in the past. So I think our inventory is in line to do that and we are on -- we are right on target with what our plan is.

That’s it from me. Thanks.

We will move on to our next question with Rick Nelson from Stephens.

Thanks. Good morning.

Good morning.

I’d like to ask you about the International segment, how that is performing relative to your initial guidance and the profitability that you are expecting there for the year? What the guidance assumes about international?

Yeah. Rick, this is Peter. On the International side, we saw a little slower start in the first quarter. Like I said in the comments on the call, the lower commodity prices impacting our customers, they were delaying on selling their crop and wanted to get the cash flow proceeds from that. And we did have some impact to our Ukrainian operations and so we look for the rest of the year. So our outlook that Mark talked about, we’ve built that into our numbers and we talked about the fact that we think we are experience growth in the Bakken countries in Romania, Bulgaria and Serbia.

Okay. And Ukraine more challenge?

Correct.

Yeah. Also ag payment, Peter, you have been in the business for many years. I am curious in down cycles, in the ag segment, do those stores remain profitable given the advantage of service and parts or do they impact the losses in trough type environment?

So our experience is to be profitable in these cycles. They have been historically. I’d say we are in a more of a normalized situation. I think we look at the level of farm income right now. It’s still at some of the highest levels it’s ever been at. So I’d call this more of a normalized situation we’re at right now.

Got you. Thanks a lot. And good luck.

Thanks.

We will take our next question from Steve Dyer with Craig-Hallum.

Good morning, gentlemen. As it relates to ag, it seems like we’re kind of in this period where we’re moving from sort of an every year trade-in and an every year flip of equipment for a lot of these larger guys to more -- back to a more normalized every three, four years. Is that what you’re seeing and sort of how do you think that plays out over the next year or two?

You are going to see some customer continue to want to trade their equipment every year and do annual roles. I think they are looking at their -- what's their way they can -- if they minimize our cost per hour and whatever way works the best. I know from our standpoint, we want to make sure that we can move the used. So maybe in the last couple of years, there are some late model used buyers that elected to go new. They may all of a sudden -- now it’s become used buyers again. So that makes another used piece that’s out there and instead create another used piece. So yes, I think we could manage some of these things, and personally people that trade every two, three years or even five years, it works really well. So you are going to see some people in each of those segments. And I’ve even noticed some of the marketplace out there moving from one year to two and three years at their customer request. So I think that’s good and healthy.

Okay. And the rental business, could you give a little bit more granularity on the quarter if you would maybe what you’re seeing in terms of utilization, and kind of how you expect that to trend throughout the year? And I know you gave kind of full year guidance, but maybe utilization and maybe if you are seeing an improvement in profitability there?

Sure. The utilization that we had for the quarter was about 23%, utilization, so this is again dollar utilization. And it’s down just a little from the prior year at about -- just about 24%. And as I kind of mentioned on the call, we did -- we do expect lower levels of dollar utilization in these winter months. As we get into Q2, it will be -- the expectation there would be that it would pick up and it would peak in Q3 and come back down some in Q4. We get away from some of that seasonality with our southern footprint, but overall we still kind of see that trend continuing.

Okay. Last one for me, I guess, what are you seeing on the acquisition front? Are you approaching at the same way you always have? It’s been quite for a little while. And I just wonder if you are more inwardly focused at the moment or if you’re just not seeing the opportunities that you have historically seen?

Well, we are focused on our operations, but there continues to be interest out there. We’re spending a lot of time talking with potential people in the marketplace. Time maybe a little bit on our side right now. There is definitely going to be acquisitions. There is still a lot of consolidation to be done on the ag side of the business and we are front and center right in the middle of that.

Okay. Thank you.

We will move along to our next question with Joe Mondillo with Sidoti & Company. Joe Mondillo - Sidoti & Company: Good morning, guys. My first question related to the ag segment. Couple of things. First off, the guidance of down 10% to 15% implies that the latter three quarters in the year going to be down a little bit more than what we saw in the first quarter. So wondering what you’re sort of thinking about that regarding that? Is it sort of parts and services coming down with the lower acreage? Or how do you sort of think about, especially with the comp supposedly getting easier in the back half of the year?

Yes. We do expect same store to -- that’s obviously in the first quarter here was down 1.2. We do expect worse down more in future quarters. We did have last couple of years -- not so much this last but year before that in our fourth quarter we had very strong fourth quarters. We don’t anticipate that to be as strong. And as far as the parts and service, we do believe that’s very reoccurring in nature. Even in down cycle, that parts and service is going to hang in there nicely. So the negative same-store numbers are really coming from the equipment side of the business. Joe Mondillo - Sidoti & Company: So even with -- because last fourth quarter was down pretty good, even with the easier comp, do you still anticipate a tough back half?

Yes. We would still anticipate it to be down in our fourth quarter in the current year. Joe Mondillo - Sidoti & Company: Okay. And in regard to the margin in that segment, first off, excluding the floorplan, can you talk, sort of give us an idea, what that looks like and regarding the floorplan, how do you anticipate that trend throughout the year, the interest?

Yeah. So, the interest expense, first of all, with the floorplan interest expense, though it’s higher at this point in the year we expect that, you can kind of track it with our inventory level, we said inventories are going to be up slightly again in Q2 and drop -- starting to drops off. So the floorplan interest expense will somewhat match that and we should see some flipping around third -- somewhat, quite a bit in the fourth quarter where it will start coming down. So, overall, for the year, trending very similar to where we ended up last year. In regard to margins, I am not sure, if you are talking about equipment margins or if you are talking about like pre-tax... Joe Mondillo - Sidoti & Company: Just the overall agriculture pre-tax margins that you give?

Yeah. I think, basically with the guidance we have provide with ag being down on a same-store basis and construction being up. You are seeing some flipping there as far as what’s driving the result for the year, so it will be down over last year’s pre-tax number. Joe Mondillo - Sidoti & Company: Okay. All right. Thank you.

(Operator Instructions) We'll move on to our next question Mig Dobre from Robert W. Baird.

Hi. Good morning. This is Brian Brophy on for Mig. I was hopping you could talk about how manufacturing incentives impacted the quarter and specifically versus last year?

Well, I think you are seeing some consistency in the business, fairly business as usual.

Got it. Okay. And then taking a look at SG&A, picked up a little bit in the quarter versus last year, what should we be expecting for the full year?

Yeah. What cause the increase over the quarter, if you look at this quarter versus last year quarter, it’s really two areas primarily, International. Now that we have got European operation center open and then we got into Ukraine, basically at the end of the first quarter last year and opened up an additional store. So, some of those additional expenses associated with the International that brought it up. And then also just with pick up in the seed business, additional commissions associated with that pick up that drove SG&A up approximately $2.5 million. As far as for the year, SG&A, we kind of talk about it in terms of percent of revenue and it well be up as a percent of revenue in that, our revenue is going to be down primarily on the ag side. So, last year, I think, we were at like a 13.1%. It would be up from that anticipating it somewhere around at 13% and 14%.

Got it. Thank you.

At this time we have no further -- we have no further questions. I would like to turn the call back over to David Meyer for any additional or closing remarks.

Okay. Thank you for your interest in Titan and we look forward to updating you on our progress on our next call. Have a good day.

That concludes today's conference. We appreciate your participation.