Machine financing in East & West South Central area sees 11% growth in 1Q 2019; state-by-state breakdown of-top financed models, equipment types, brands

Marcia Doyle
Updated Jun 10, 2019
The Cat 140M3 motor grader was the top new financed model in terms of units sold purchased by Arkansas buyers during the first quarter of 2019.The Cat 140M3 motor grader was the top new financed model in terms of units sold purchased by Arkansas buyers during the first quarter of 2019.

Due in part to the inclusion of the behemoth Texas market, the number of new machines financed in the East and West South Central division states grew by 11 percent in 1Q 2019 compared with the same period last year, according to an analysis of UCC-1 filings as reported by EDA.

Among the included states, just Louisiana saw a decline from 1Q 2018 to 1Q 2019 – and that decline was only 1 percent. Arkansas and Mississippi lead the way in year-over-year gains, seeing increases of 40 percent and 31 percent, respectively, during this period. Other double-digit gainers included Alabama (14 percent); Kentucky (12 percent) and Texas (10 percent).

States in the U.S. Census Bureau’s East and West South Central divisions are Alabama, Arkansas, Kentucky, Louisiana, Mississippi, Oklahoma, Tennessee and Texas.

Pie chart of construction equipment type salesAs with other regions, compact track loaders (CTLs) dominated the number of machines financed in these two U.S. Census Bureau divisions, making up 38 percent of the 1Q 6,000-machine total. Compact excavators up to 8 metric tons (20.1 percent of the total) came in second, with excavators (13.4 percent) third on the list. (We compiled the data on May 24th; while EDA updates this data on a continual basis, this represents the majority of machines financed during this quarter.)

Chart displaying equipment brands with percent of machines financedCat claimed 27.4 percent of the machines financed in the eight states, followed by Kubota (17.4 percent) and Deere (16.7 percent). At 297 units, the Kubota SVL95-2s CTL was the top model financed, followed closely by the Kubota SVL75-2 CTL (269 units). The top 10 financed model list only included one machine that was not a CTL: the Kubota KX040-4 compact excavator. The remaining top financed models were the Cat 259D, 289D and 299D; Bobcat T595 and T650, and the Deere 333G and 325G CTLs.

Machines in this report include backhoes, dozers, articulated haulers, excavators (mid- and full-size), compact excavators, skid steers, compact track loaders, wheel loaders and toolcarriers, asphalt and concrete pavers, scrapers, graders and single and double-drum rollers.

Here’s a state-by-state breakdown of equipment financed during 1Q 2019.  (Percentages are rounded.)


Alabama

Total number of machines financed in the first quarter: 504 (14 percent increase over 1Q 2018)

Top models: Kubota SVL75-2 (25 machines); Kubota SVL95-2s (21 machines); Cat 259D (17 machines); Bobcat T595 (16 machines); Deere 325G (14 machines), all CTLs.

Top machine types: CTL (193 machines); compact excavator (115 machines); excavator (44 machines); wheel loader (32 machines)

Top financed brands: Cat (127 machines, 25 percent of total); Kubota (105/21 percent); Deere (86/17 percent); Bobcat (58/12 percent)


Arkansas

Total number of machines financed in the first quarter: 347 (40 percent increase over 1Q 2018)

Top models: Cat 140M3 motor grader (21 machines); Kubota SVL75-2 CTL (12 machines); Kubota SVL95-2s CTL (11 machines)

Top machine types: CTL (134 machines); compact excavator (95 machines); excavator (34 machines)

Top financed brands: Cat (86 machines/25 percent of total); Deere (70/20 percent); Kubota (59/17 percent); Bobcat (51/15 percent)


Kentucky

Total number of machines financed in the first quarter: 308 (12 percent increase over 1Q 2018)

Top models: Cat 259D CTL (20 machines); Kubota SVL75-2 CTL (17 machines); Kubota SVL95-2s CTL (17 machines)

Top machine types: CTL (155 machines); compact excavator (67 machines); excavator (19 machines)

Top financed brands: Cat (91 machines, 30 percent of total); Bobcat (51 machines/17 percent); Kubota (47/15 percent); Deere (35/11 percent)


Louisiana

Total number of machines financed in the first quarter: 377 machines (1 percent decrease from 1Q 2018)

Top models: Kubota SVL95-2s CTL (11 machines); Cat 420F2 IT backhoe (9 machines); Deere 33G CTL (9 machines); Kubota KX040-4 compact excavator (9 machines);

Top machine types: Compact excavator (102 machines); CTL (82 machines); excavator (78 machines); wheel loader (29 machines); LPG dozer (24 machines)

Top financed brands: Cat (95 machines, 25 percent of total); Deere (91/24 percent); Kubota (58/15 percent); Komatsu (40/11 percent)


Mississippi

Total number of machines financed in the first quarter: 290 (31 percent increase over 1Q 2018)

Top models: Kubota SVL95-2s CTL (15 machines); Kubota KX040-4 compact excavator (12 machines); Komatsu PC210LC-11 excavator (8 machines)

Top machine types: CTL (85 machines); compact excavator (68 machines); excavator (45 machines); LGP dozer (28 machines)

Top financed brands: Cat (90 machines, 31 percent of total); Kubota (51/18 percent); Bobcat (46/16 percent); Komatsu (37/13 percent); Deere (37/13 percent)


Oklahoma

Total number of machines financed in the first quarter: 469 (3 percent increase over 1Q 2018)

Top models: Kubota SVL95-2s CTL (34 machines); Deere 333G CTL (29 machines); Kubota SVL75-2 CTL (24 machines); Cat 259D CTL (22 machines)

Top machine types: CTL (236 machines); compact excavator (70 machines); excavator (68 machines)

Top financed brands: Deere (115 machines, 25 percent of total); Cat 106/23 percent); Kubota (81/17 percent); Bobcat (65/14 percent)


Tennessee

Total number of machines financed in the first quarter: 643 (8 percent increase over 1Q 2018)

Top models: Kubota SVL75-2 CTL (57 machines); Kubota SVL95-2s CTL (37 machines); Cat 259D CTL (35 machines)

Top machine types: CTL (305 machines); compact excavator (173 machines); excavator (40 machines)

Top financed brands: Cat (212 machines, 33 percent of total); Kubota (164/26 percent); Bobcat (90/14 percent); Deere (60/9 percent)


Texas

Total number of machines financed in the first quarter: 3,062 (10 percent increase over 1Q 2018)

Top models: Kubota SVL95-2s CTL (151 machines); Kubota SVL75-2 CTL (122 machines); Cat 259D CTL (94 machines); Komatsu PC360LC-11 excavator (65 machines)

Top machine types: CTL (1,100 machines); compact excavator (514 machines); excavator (475 machines)

Top financed brands: Cat (839 machines, 27 percent of the total); Deere (505/17 percent); Kubota (478/16 percent); Bobcat (412/14 percent); Komatsu (249/8 percent)


About the source

EDA, a division of Equipment World’s parent firm Randall-Reilly, tracks UCC-1 filings used by lenders when a machine is financed.

Depending on the type of machine, financed machines can represent 40 to 75 percent of the total number of machines of that type sold in the United States. While machines can also be bought by cash or letter of credit, which are not tracked by EDA, buyers of higher priced equipment (for example, a large excavator) tend to use financing. EDA continually updates its data.