DOO

Interested in BRP Inc.? Here are five stocks we like better. BRP’s fiscal 2027 second-quarter revenue rose 18% to CAD 2.2 billion, driven by strong off-road vehicle demand and market-share gains, despite a normalized loss of CAD 0.18 per share and significant tariff costs. The company raised its full-year normalized EPS outlook to CAD 4.00–CAD 4.50 and expects more than CAD 800 million in free cash flow, supported by stronger ORV deliveries but partially offset by weaker personal watercraft volumes and inflation. BRP lowered its expected fiscal-year tariff exposure to CAD 200 million, though a new 50% tariff on certain Spyder imports is expected to create a CAD 60–CAD 65 million headwind next year; the company also plans to expand utility side-by-side capacity by roughly 33%. These 2 Powersports Stocks Can Rev Up Your Portfolio BRP (NASDAQ:DOOO) reported fiscal 2027 second-quarter results that exceeded its expectations, supported by continued off-road vehicle demand, market-share gains and a lower expected tariff burden. The company raised its full-year normalized earnings outlook while outlining plans to expand capacity for utility side-by-side vehicles. Revenue for the quarter rose 18% year over year to CAD 2.2 billion. BRP posted normalized EBITDA of CAD 139 million and a normalized loss per share of CAD 0.18. The results included an incremental net tariff impact of approximately CAD 145 million compared with the prior-year quarter, Chief Executive Officer Denis Le Vot said. → Boarding Call: EHang Secures First-Mover Altitude BRP generated CAD 193 million of free cash flow during the quarter and CAD 560 million year to date. Chief Financial Officer Sébastien Martel said the company ended the quarter with more than CAD 600 million of cash and a net leverage ratio of 1.6 times. Le Vot said BRP’s off-road vehicle, or ORV, business continued to show strong momentum, particularly in North American side-by-side and all-terrain vehicle categories. North American side-by-side retail increased by mid-single digits in the quarter, outpacing the industry, while utility-cab retail rose more than 30% on demand for the Can-Am Defender HD11. → Medtronic’s Stars Are Aligning for a Price Recovery For the season ending in June, BRP’s side-by-side retail grew by high single digits, compared with mid-single-digit industry growth. The company gained more than three percentage points of market share in current-model-year side-by-side units, with Can-Am accounting for nearly one-third of units sold, according to Le Vot. ATV retail rose by mid-single digits during the quarter while the industry declined by low single digits. BRP said retail of current-model-year ATV units increased nearly 20%, enabling Can-Am to finish the season as the top brand in the category. → Dutch Bros Sell-Off Creates a Growth Opportunity BRP plans to expand capacity within its existing manufacturing footprint to address demand for cab-equipped utility side-by-sides. Le Vot said the utility-cab segment has more than quadrupled over the past six years and now represents nearly half of the utility side-by-side industry. He said the company is increasing throughput for cab units by roughly 33%, primarily through changes to manufacturing-line organization and an extension of a building. Personal watercraft conditions were softer. BRP’s PWC retail declined by low single digits during the season’s key quarter, in line with the broader industry. The company said discounted carryover inventory from other manufacturers continued to pressure non-current units, although its current-model-year PWC share rose by more than six points to above 60%. BRP is reducing PWC shipments and increasing sales programs for the balance of the year to manage inventory and prepare for the next season. Three-wheel retail declined by mid-single digits, while retail in the company’s “twos” category fell nearly 30%, reflecting marine-industry softness. Snowmobile retail rose more than 20% on low off-season volume. Martel said BRP now expects Section 232 and Section 338 net tariff exposure of CAD 200 million for fiscal 2027, or about CAD 225 million on an annualized basis. The updated outlook reflects a reduction in the Section 232 tariff rate on ATVs to 15% from 25%, as well as demand shifting toward certain newly introduced utility models that are not subject to Section 232 tariffs. Those benefits are partly offset by a new Section 338 tariff affecting Spyder imports from Canada into the U.S. Martel said the tariff rate is 50% for the affected products. The impact is limited this year because most annual Spyder deliveries occurred in the first half, but he said it is expected to create a CAD 60 million to CAD 65 million headwind next year. Gross profit was CAD 263 million, representing an 11.7% margin. Martel said tariffs reduced gross margin by about 740 basis points, while a one-time supplier financial restructuring reduced it by about 330 basis points. The supplier support was intended to ensure continued parts supply, and Martel said the bulk of the related impact was recorded during the quarter. Excluding tariffs and the supplier restructuring, BRP’s gross margin would have increased by approximately 140 basis points year over year. The company continues to face inflation in commodities, freight and transportation, with higher costs for plastics, steel, copper and land transportation. Martel said the company now expects inflation to create a 100- to 125-basis-point headwind for the year, compared with its prior expectation of 70 to 75 basis points. BRP raised its fiscal 2027 normalized EPS guidance by CAD 1 to a range of CAD 4 to CAD 4.50 per share. It now expects: Revenue of CAD 9.225 billion to CAD 9.475 billion; Normalized EBITDA of CAD 1.025 billion to CAD 1.075 billion; Normalized EPS of CAD 4 to CAD 4.50; and More than CAD 800 million in free cash flow. Martel said the guidance incorporates stronger ORV deliveries, partially offset by reduced PWC volumes, higher inflationary costs, revised tax-rate assumptions and a lower share count following completion of BRP’s normal course issuer bid program. The company expects third-quarter normalized EPS to decline 50% to 60% year over year, largely due to tariff impacts, followed by a stronger fourth quarter. Management maintained its assumption that North American powersports industry retail will be broadly flat overall, though it expects low-single-digit growth in the North American ORV market during the second half and next year. At its Club BRP dealer event, the company introduced new Sea-Doo, Can-Am Ryker and ORV products, including a new Defender HD10 platform and the Defender XU utility offering. BRP also committed to introducing major off-road product news every six months for the next four years. The company launched BRP Financial Services, a U.S. retail financing program intended to provide customers with a more streamlined financing experience and give BRP closer relationships with consumers. Martel said 90% of the dealer network had signed up within two weeks of the announcement and that the company had begun originating loans. BRP also announced that Martel will retire after 22 years with the company. Effective Oct. 1, Minh Thanh Tran, currently executive vice president of global corporate and product strategy, will become CFO. Martel will remain as an executive adviser during the transition and is expected to officially retire in April 2027. BRP Inc, operating under the brand name Bombardier Recreational Products, is a leader in designing, manufacturing and distributing recreational vehicles and propulsion systems for winter, on-road, off-road and water lifestyles. The company's diversified portfolio includes snowmobiles, personal watercraft, all-terrain vehicles and roadsters, all powered by in-house Rotax engines. With a focus on innovation and performance, BRP has positioned itself at the forefront of the powersports industry. At the heart of BRP's product lineup are its flagship Ski-Doo snowmobiles and Sea-Doo personal watercraft, which serve both recreational and professional segments. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "BRP Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for September 2026.

This article first appeared on GuruFocus. Revenue: CAD2.2 billion, up 18% year-over-year, driven by higher ORV shipments, favorable SSV product mix, and positive pricing net of programs. Gross Profit: CAD263 million, with a gross margin of 11.7%. Normalized EBITDA: CAD139 million for the quarter. Normalized Loss Per Share: CAD0.18 loss per share. Free Cash Flow: CAD193 million generated in the quarter and CAD560 million year-to-date. Net Tariff Impact: Incremental net tariff impact of approximately CAD145 million compared with the second quarter of last year. Gross Margin Impact: Tariff headwinds impacted gross margin by approximately 740 basis points, and a one-time supplier financial restructuring impacted gross margin by approximately 330 basis points (excluded from normalized metrics). North America ORV Retail: Second quarter retail up mid-single digits, outpacing the industry; SSV retail grew high single digits for the full season, gaining more than three points of market share. North America ATV Retail: Retail increased mid-single digits during the quarter, significantly outperforming the declining industry. North America PWC Retail: Retail declined low single digits during the season's key quarter, in line with the industry. Three-Wheel Vehicle Retail: Retail declined mid-single digits in North America. Snowmobile Retail: Retail was up more than 20% on low off-season volume. International Retail: EMEA retail up low single digits; Latin America retail declined 4%; Asia Pacific retail increased 8%. Fiscal 2027 Guidance: Revenues expected between CAD9.225 billion and CAD9.475 billion; normalized EBITDA between CAD1.025 billion and CAD1.075 billion; normalized EPS between CAD4 and CAD4.50; free cash flow expected to exceed CAD800 million. Warning! GuruFocus has detected 4 Warning Signs with DOO. Is DOO fairly valued? Test your thesis with our free DCF calculator. Release Date: September 03, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. BRP Inc. (NASDAQ:DOO) delivered second-quarter results ahead of expectations, with revenues growing 18% to CAD2.2 billion. Sustained ORV retail momentum drove further market share gains, with Can-Am achieving an all-time high in SSV market share at nearly one-third of units sold. The company increased its full-year normalized EPS guidance by CAD1 to a range of CAD4 to CAD4.50, reflecting improved net tariff exposure and strong ORV demand. BRP Inc. (NASDAQ:DOO) generated strong free cash flow of CAD193 million in the quarter and CAD560 million year-to-date, strengthening its balance sheet with a net leverage ratio of 1.6 times. The launch of BRP Financial Services, a new U.S. retail financing program, aims to enhance dealer and consumer experiences, with 90% of dealers already signed up within two weeks. The company is expanding capacity for utility SSV cabs, a segment that has quadrupled over six years and now represents nearly half of the utility side-by-side industry. BRP Inc. (NASDAQ:DOO) faced an incremental net tariff impact of about CAD145 million in the second quarter compared to the prior year, pressuring profitability. Gross margin declined year-over-year due to tariff headwinds of approximately 740 basis points and a one-time impact from a supplier financial restructuring of about 330 basis points. The company experienced softer PWC industry conditions, leading to a proactive decision to further reduce shipments for the balance of the year. Inflationary pressures, including higher commodity and freight costs, are expected to impact gross margin by 100-125 basis points this year, up from prior expectations. Three-wheel vehicle retail declined mid-single digits, and two-wheel (marine) retail declined almost 30% due to softness in the marine industry. The company expects third-quarter normalized EPS to be down 50%-60% year-over-year, mainly due to incremental tariff impacts, implying a much stronger Q4. Q: Can you break down the puts and takes behind the increased full-year guidance, and what has changed regarding the tariff backdrop since the beginning of the year? A: Sebastien Martel (CFO): The guidance increase is driven by a few factors. Better ORV deliveries provide a small tailwind of about CAD0.10-CAD0.15, which is offset by reduced PWC volumes. Inflation is a CAD0.50 headwind due to higher commodity and freight costs. The primary driver is an improved net tariff exposure, which adds CAD1 to the guidance. Specifically, Section 232 tariffs on ATVs dropped from 25% to 15%, and new Section 338 tariffs on Spyder imports from Canada were introduced. However, the mix of new, non-tariffed utility models launched at Club BRP is shifting demand favorably, reducing the net annualized exposure to CAD225 million. Q: Regarding the CAD75 million supplier financial restructuring charge, can you shed light on the nature of the transaction and any downstream implications? A: Sebastien Martel (CFO): This was an exceptional circumstance where a key supplier faced financial difficulties. To ensure a continued supply of quality parts, we stepped in to provide financial support. The objective is to maintain the relationship, and while there may be slight price increases from the supplier in the future to maintain their profitability, the most material impact is the adjustment booked this quarter. The bulk of the charge is reflected in Q2 results. Q: Can you clarify the tariff cadence for the second half and the annualized impact for next year? A: Sebastien Martel (CFO): We expect higher tariff impacts in Q3 versus Q4, roughly CAD30 million-CAD35 million in Q3, as the transition to newly launched, non-tariffed products occurs mostly in Q4. For next year, the impact will be more skewed to the first half as we ship ORV units. Additionally, the new Section 338 tariffs on Spyder will represent a CAD60 million-CAD65 million headwind next year. Q: Is the Mission 28 EBITDA target of CAD1.45 billion still the right starting point for fiscal 2028, and is the CAD8 normalized EPS target still achievable? A: Sebastien Martel (CFO): The fundamentals of Mission 28 are in place, with dealer network expansion and ORV market share gains progressing well. The main variable is inflation, which is running 100-125 basis points higher than initially expected. However, we believe we can offset this with higher volume and continued lean initiatives. The Mission 28 objective of CAD8 for next year is still very much reachable, net of tariffs, assuming the macro environment stabilizes. Q: Can you provide more color on the inflationary pressures, specifically regarding freight and transportation? A: Sebastien Martel (CFO): The inflation headwind has increased from 70-75 basis points to 100-125 basis points. While the price of crude oil has come down, refined products and fuel prices remain high, impacting plastics and commodities. Steel and copper are also higher. The biggest challenge is on land freight, where the availability of trailers and drivers has tightened significantly over the last 12 months, continuing to put pressure on pricing. Q: Why do you think ORVs are outperforming other discretionary categories, and how sustainable are your market share gains given the competitive landscape? A: Denis Le Vot (CEO): The momentum is driven by a structural shift from recreational to utility segments. The utility cab segment has quadrupled in four years and now represents half of the utility side-by-side industry, with applications in farming, construction, and first response. Our Defender lineup, especially the cab models, is well-positioned. We are investing heavily in this area, expanding capacity, and introducing new models like the XU. We are confident in our ability to sustain growth and gain share. Q: What are the opportunities for incremental capital deployment given the strong free cash flow and the completion of the NCIB program? A: Sebastien Martel (CFO): We have strong free cash flow generation this year with no major variation in CapEx planned. A new NCIB window opens in early December, and we could easily deploy an additional CAD200 million of cash towards buybacks from now to the end of the year. We have the flexibility to execute on this if we decide to do so. Q: Can you discuss the decision to launch BRP Financial Services and its implications for the P&L? A: Sebastien Martel (CFO): This was a major announcement at Club BRP with excellent dealer reception. It is about elevating the dealer and consumer experience to match what car OEMs provide. It allows us to get closer to the customer, understand repurchase rates, and be more tactical with promotions. After just two weeks, 90% of our dealer network has signed up, and we are already originating loans. While it may have positive financial implications, the broader impact is about strengthening the BRP brand and building direct customer relationships. Q: Can you elaborate on the factory expansion for cab units and the associated capital requirements? A: Denis Le Vot (CEO): The expansion is not very capital-intensive. It involves extending the building and reorganizing the physical line to accommodate the additional manufacturing steps for cab units. This will increase throughput by roughly 33% for these models. Given the strong demand and low dealer inventory for cabs, we are confident the market will absorb the increased production. Q: Can you break down the revenue growth for the quarter in terms of volume, pricing, and mix? A: Sebastien Martel (CFO): Excluding the tariff impact of 740 basis points and the supplier restructuring of 330 basis points, gross profit margin improved by 140 basis points year-over-year. This improvement was driven by leverage on fixed costs (110 basis points), positive pricing (80 basis points), and manufacturing efficiencies (110 basis points). These were partially offset by inflation and other headwinds of about 160 basis points in the quarter. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Highlights Revenues of $2,236.8 million, an increase of 18.5% compared to last year, primarily driven by higher ORV shipments and favourable SSV mix; Net loss of $136.8 million, a decrease of $193.9 million compared to last year; Normalized EBITDA [1] of $138.8 million, a decrease of 34.9% compared to last year; Normalized diluted loss per share [1][2]of $0.18, a decrease of $1.10 per share, and diluted loss per share of $1.88, a decrease of $2.67 per share, compared to last year; North American Powersports retail sales increased by 1% compared to last year; Market share gains for ORV in North America; Increasing full year-end guidance for Normalized diluted earnings per share [1][2] at $4.00 to $4.50; The Company announces planned financial leadership transition. Recent events – Highlights from Club BRP 2027 Demonstrating its ambition to become North America's leading off-road brand, the Company committed to major product announcements every six months for the next four years. The Company continued to bolster its offering with several industry-firsts and innovative products, namely the all-new limited-edition Sea-Doo RXP-X Senna 350 equipped with the most powerful PWC engine from the factory, an upgraded Spark lineup delivering more horsepower and the addition of the new Spark X model with premium features, the second-generation Can-Am Defender HD10 as well as the most significant evolution of the Can-Am Ryker platform since its initial launch. The Company also launched BRP Financial Services, its new branded retail financing program in the United States. VALCOURT, QC, Sept. 3, 2026 /CNW/ -- BRP Inc. (TSX: DOO) (NASDAQ: DOO) today reported its financial results for the three- and six-month periods ended July 31, 2026. All financial information is in Canadian dollars unless otherwise noted. The complete financial results are available on SEDAR+ and EDGAR as well as in the section Quarterly Reports of BRP's website. "Our second-quarter financial results exceeded expectations, reflecting disciplined execution and increased ORV shipments to support sustained retail momentum. Given our strong performance in ORV leading to additional market share gains, and reduced net tariff costs, we are raising our full-year guidance," said Denis Le Vot, President and CEO of BRP. "Looking ahead, we remain focused on navigating through the volatile geopolitical and trade environment and advancing our long-term growth prospects. Our recent Club BRP dealer event allowed us to showcase innovative initiatives that strengthen our competitive position, including a commitment to releasing major off-road product news every six months for the next four years. This will be instrumental in achieving our goal of making Can-Am the number one ORV brand in North America and being the undeniable OEM of choice for dealers and riders," concluded Mr. Le Vot. FISCAL YEAR 2027 REVISED GUIDANCE & OUTLOOK The Company has increased its FY27 guidance as follows, which supersedes all prior financial guidance statements made by the Company: Other assumptions for FY27 Guidance FY27 Quarterly Outlook [6] The Company expects Q3 Fiscal 2027 Normalized diluted earnings per share [1] to be down approximately 50% to 60% versus the same three-month period in Fiscal 2026, mainly due to the increased tariff impact. SECOND QUARTER RESULTS The three-month period ended July 31, 2026 marked the second consecutive quarter of Fiscal 2027 with double-digit revenue growth compared to the same period last year. The increase in revenues was primarily driven by higher ORV shipments to support retail demand and a favourable SSV mix resulting from the introduction of new models. Revenue growth was partially offset by lower PWC deliveries, mostly reflecting units that were shipped earlier in the first quarter. Gross profit and gross profit margin decreased compared to last year, primarily due to the impacts of Section 232 tariffs on Steel, Aluminum and Copper imports into the United States, as well as the effect of a supplier financial restructuring. The supplier financial restructuring represented an unfavourable impact of $74.8 million or 330 bps on gross profit and gross profit margin respectively. These impacts were partially offset by the positive effects of higher volumes and lower sales programs mainly in ORV. The Company's North American retail sales were up 1% for the three-month period ended July 31, 2026 compared to the same period last year. The increase in retail sales was driven by positive industry trends in SSV and market share gains in ORV, which were partially offset by lower retail sales in Seasonal Products. RevenuesRevenues increased by $348.6 million, or 18.5%, to $2,236.8 million for the three-month period ended July 31, 2026, compared to $1,888.2 million for the corresponding period ended July 31, 2025. The increase in revenues was primarily due to a higher volume of units sold in ORV to support retail demand and a favourable SSV product mix resulting from the introduction of new models. The increase was partially offset by a lower volume of units sold in PWC, mostly reflecting units that were shipped earlier in the first quarter. The increase includes a favourable foreign exchange rate variation of $46 million. Year-Round Products (66% of Q2-FY27 revenues): Revenues from Year-Round Products increased by $371.3 million, or 33.3%, to $1,485.1 million for the three-month period ended July 31, 2026, compared to $1,113.8 million for the corresponding period ended July 31, 2025. The increase in revenues from Year-Round Products was primarily attributable to a higher volume of units sold in ORV to support retail demand and a favourable SSV product mix resulting from the introduction of new models. The increase was also attributable to lower sales programs across all product lines. The increase includes a favourable foreign exchange rate variation of $37 million. Seasonal Products (19% of Q2-FY27 revenues): Revenues from Seasonal Products decreased by $42.0 million, or 8.9%, to $427.7 million for the three-month period ended July 31, 2026, compared to $469.7 million for the corresponding period ended July 31, 2025. The decrease in revenues from Seasonal Products was primarily attributable to a lower volume of units sold in PWC, mostly reflecting units that were shipped earlier in the first quarter. The decrease was partially offset by lower sales programs in Snowmobile. The decrease includes a favourable foreign exchange rate variation of $5 million. PA&A, OEM Engines and Others (15% of Q2-FY27 revenues): Revenues from PA&A, OEM Engines and Others increased by $19.3 million, or 6.3%, to $324.0 million for the three-month period ended July 31, 2026, compared to $304.7 million for the corresponding period ended July 31, 2025. The increase in revenues from PA&A, OEM Engines and Others was primarily attributable to a higher volume of PA&A sold, coupled with favourable pricing. The increase was partially offset by unfavourable product mix in OEM Engines. The increase includes a favourable foreign exchange rate variation of $4 million. North American Retail Sales The Company's North American retail sales increased by 1% for the three-month period ended July 31, 2026 compared to the same period last year. The increase in retail sales was driven by positive industry trends in SSV and market share gains in ORV, which were partially offset by lower retail sales in Seasonal Products. North American Year-Round Products retail sales increased on a percentage basis in the low-single digits compared to the three-month period ended July 31, 2025. The Year-Round Products industry sales increased in the low-single digits over the same period. North American Seasonal Products retail sales decreased on a percentage basis in the low-single digits compared to the three-month period ended July 31, 2025. The Seasonal Products industry sales increased on a percentage basis in the low-single digits over the same period. Gross profitGross profit decreased by $135.2 million, or 34.0%, to $262.5 million for the three-month period ended July 31, 2026, compared to $397.7 million for the three-month period ended July 31, 2025. Gross profit margin percentage decreased by 940 basis points to 11.7% for the three-month period ended July 31, 2026, compared to 21.1% for the three-month period ended July 31, 2025. Gross profit and gross profit margin decreased compared to last year, primarily due to the impacts of Section 232 tariffs on Steel, Aluminum and Copper imports into the United States, as well as the effect of a supplier financial restructuring. These impacts were partially offset by the positive effects of higher volumes and lower sales programs mainly in ORV. The decrease in gross profit includes a favourable foreign exchange rate variation of $17 million. Operating ExpensesOperating expenses increased by $5.2 million, or 1.7%, to $312.5 million for the three-month period ended July 31, 2026, compared to $307.3 million for the three-month period ended July 31, 2025. The increase in operating expenses was mainly attributable to higher investments in R&D to support product development, partially offset by lower G&A expenses due to a special long-term incentive program and the costs associated with executive management transition during the three-month period ended July 31, 2025. The increase in operating expenses includes an unfavourable foreign exchange rate variation of $1 million. Normalized EBITDA [1] Normalized EBITDA [1] decreased by $74.4 million, or 34.9%, to $138.8 million for the three-month period ended July 31, 2026, compared to $213.2 million for the three-month period ended July 31, 2025. The decrease in Normalized EBITDA [1] was primarily due to lower gross profit combined with increased operating expenses. Net (Loss) IncomeNet income decreased by $193.9 million, or 339.6%, to $(136.8) million for the three-month period ended July 31, 2026, compared to $57.1 million for the three-month period ended July 31, 2025. The decrease in net income was primarily due to lower gross profit, an unfavourable foreign exchange rate variation on the U.S. denominated long-term debt and increased operating expenses. Normalized Net (Loss) Income [1] Normalized net income [1] decreased by $79.9 million, or 119.4%, to $(13.0) million for the three-month period ended July 31, 2026, compared to $66.9 million for the three-month period ended July 31, 2025. The decrease in Normalized net income [1] was due to lower gross profit combined with increased operating expenses. Net Income (Loss) from Discontinued OperationsNet income from discontinued operations increased by $36.3 million, or 108.0%, to $2.7 million for the three-month period ended July 31, 2026, compared to a net loss of $(33.6) million for the three-month period ended July 31, 2025. The increase in net income from discontinued operations was primarily due to the closing of the sales of Alumacraft's and Manitou's assets during the three-month periods ended July 31, 2025 and October 31, 2025 respectively. SIX-MONTH PERIOD ENDED JULY 31, 2026 RevenuesRevenues increased by $893.5 million, or 23.9%, to $4,628.6 million for the six-month period ended July 31, 2026, compared to $3,735.1 million for the corresponding period ended July 31, 2025. The increase in revenues was primarily due to a higher volume of units sold across most product lines and favourable product mix in ORV. The increase was also attributable to lower sales programs and favourable pricing across most product lines. The increase includes a favourable foreign exchange rate variation of $31 million. Normalized EBITDA [1] Normalized EBITDA [1] increased by $59.2 million, or 14.3%, to $473.2 million for the six-month period ended July 31, 2026, compared to $414.0 million for the six-month period ended July 31, 2025. The increase in Normalized EBITDA [1] was primarily due to higher gross profit, partially offset by increased operating expenses. Net (Loss) IncomeNet income decreased by $227.6 million, or 104.4%, to $(9.5) million for the six-month period ended July 31, 2026, compared to $218.1 million for the six-month period ended July 31, 2025. The decrease in net income was primarily due to an unfavourable foreign exchange rate variation on the U.S. denominated long-term debt and to a higher income tax expense. Normalized Net Income [1] Normalized net income [1] increased by $20.0 million, or 19.7%, to $121.5 million for the six-month period ended July 31, 2026, compared to $101.5 million for the six-month period ended July 31, 2025. The increase in Normalized net income [1] was primarily due to higher gross profit, partially offset by increased operating expenses. Net Income (Loss) from Discontinued OperationsNet income from discontinued operations increased by $48.8 million, or 109.7%, to $4.3 million for the six-month period ended July 31, 2026, compared to $(44.5) million for the six-month period ended July 31, 2025. The increase in net income from discontinued operations was primarily due to the closing of the sales of Alumacraft's and Manitou's assets during the three-month periods ended July 31, 2025 and October 31, 2025 respectively. LIQUIDITY AND CAPITAL RESOURCES Consolidated net cash flows generated from operating activities totaled $686.8 million for the six-month period ended July 31, 2026, compared to $373.1 million generated for the six-month period ended July 31, 2025. The increase was mainly due to favourable changes in working capital and lower income taxes paid, partially offset by lower profitability. The favourable changes in working capital were driven by higher provisions and a decrease in trade receivables, partially offset by an increase in inventories. The Company invested $126.2 million of its liquidity in capital expenditures for the introduction of new products and modernization of the Company's software infrastructure to support future growth. During the six-month period ended July 31, 2026, the Company also returned $231.7 million to its shareholders through quarterly dividend payouts and share repurchase programs. DividendOn September 2, 2026, the Company's Board of Directors declared a quarterly dividend of $0.25 per share for holders of its multiple voting shares and subordinate voting shares. The dividend will be paid on October 13, 2026 to shareholders of record at the close of business on September 29, 2026. CONFERENCE CALL AND WEBCAST PRESENTATION Today at 9 a.m. ET, BRP Inc. will host a conference call and webcast to discuss its FY27 second quarter results. The call will be hosted by Denis Le Vot, President and CEO, and Sébastien Martel, CFO. To listen to the conference call by phone (event number 36525), please dial 1 800 717-1738 (toll-free in North America). Click here for International numbers. The Company's second quarter FY27 webcast presentation is posted in the Quarterly Reports section of BRP's website. About BRPBRP Inc. is a global leader in the world of powersports products and powertrains, built on over 80 years of ingenuity, innovation, and intensive consumer focus. Through its portfolio of industry-leading and distinctive brands featuring Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats as well as Rotax engines for karts, recreational aircraft and jet boats, BRP unlocks exhilarating adventures and provides access to experiences across different playgrounds. The Company completes its product lines with a dedicated parts, accessories and apparel portfolio to fully optimize the riding experience. Headquartered in Quebec, Canada, BRP had annual sales of CA$8.4 billion from over 110 countries and employed close to 17,000 driven, resourceful people as of January 31, 2026. www.brp.comLinkedIn Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners. CAUTION CONCERNING FORWARD-LOOKING STATEMENTSCertain statements in this press release, including, but not limited to, statements relating to the Company's revised Fiscal Year 2027 Guidance and related assumptions (including without limitation Revenues, Normalized EBITDA, Normalized Earnings per Share – Diluted, Net Income, Depreciation Expenses Adjusted, Net Financing Costs Adjusted, Effective Tax Rates, Weighted Average Number of Shares – diluted, and Capital Expenditures), statements relating to the declaration and payment of dividends, statements relating to its prospects, expectations, anticipations, estimates and intentions, results, levels of activity, performance, objectives, targets, goals, achievements, priorities and strategies, financial position, market position, including its ambition to become North America's leading off-road brand and commitment to make major product announcements every six months for the next four years, capabilities, competitive strengths and beliefs, the prospects and trends of the industries in which the Company operates, the expected demand for products and services in the markets in which the Company competes, research and product development activities, including projected design, characteristics, capacity or performance of future products and their expected scheduled entry to market, expected financial requirements and the availability of capital resources and liquidity, the anticipated benefits and impacts associated with BRP Financial Services, its new branded retail financing program in the United States, the Company's ability to complete its process for the sale of Telwater as expected and to manage and mitigate the risks associated therewith, at expected cost levels and expected proceeds, the expected impact of the supplier financial restructuring, ongoing geopolitical instability in the Middle East, including the impact of ongoing volatility in global oil and energy prices, the expected impact of tariffs, duties and other trade restrictions, and the Company's ability to manage such tariff's exposure, including through incremental mitigation measures, potential supply chain disruptions, inflationary pressures, and broader macroeconomic conditions or any other future events or developments and other statements in this press release that are not historical facts constitute forward-looking statements within the meaning of applicable securities laws. The words "may", "will", "would", "should", "could", "expects", "forecasts", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "outlook", "predicts", "projects", "likely" or "potential" or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements. Forward-looking statements are presented for the purpose of assisting readers in understanding certain key elements of the Company's current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of the Company's business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements contained herein. Forward-looking statements, by their very nature, involve inherent risks and uncertainties and are based on a number of assumptions, both general and specific. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of the Company or the industry to be materially different from the outlook or any future results or performance implied by such statements. In addition, many factors could cause the Company's actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the following factors, which are discussed in greater detail under the heading "Risk Factors" of the Company's management's discussion and analysis for Fiscal 2026 (the "2026 MD&A") for the fiscal year ended on January 31, 2026 and in other continuous disclosure materials filed from time to time with Canadian securities regulatory authorities and the Securities and Exchange Commission: economic conditions that impact consumer spending; inability to attract, hire and retain the services of key employees, including members of its management team, or qualified employees, including employees who possess specialized market knowledge and technical skills; failure of the Company's information technology systems, difficulties in the continued implementation of its ERP system or a security breach or cyber-attack; international sales and operations subject it to additional risks; inability to successfully execute its strategic plan; any decline in the social acceptability of the Company or of the Company's products or any increased restrictions on the access or the use of the Company's products in certain locations; supply problems, termination or interruption of supply arrangements or increases in the cost of materials; indebtedness with no assurance that the Company will be able to pay its indebtedness as it becomes due; any unavailability of additional capital; fluctuations in foreign currency exchange rates; unfavourable weather conditions, and climate change, seasonal nature of the Company's business and some of its products; reliance on a network of independent dealers and distributors to manage the retail distribution of its products and failure to establish or maintain the appropriate level of dealers and distributors; inability of dealers and distributors to secure adequate access to capital; inability to comply with laws, rules and regulations regarding product safety, health, environmental, noise pollution, privacy matters and other issues; potential vulnerability of connected products to cyber-attacks; the Company's large fixed cost base; intense competition in all product lines and any failure to compete effectively against competitors or any failure to meet consumers' evolving expectations; any failure to maintain an effective system of internal control over financial reporting; reliance upon the continued strength of its reputation and brands; adverse determination in any significant product liability claim against the Company; significant product repair and/or replacement due to product warranty claims or product recalls; failure to carry adequate insurance coverage; failure to successfully manage inventory levels, both at the Company's and the dealers' and distributors' levels, inability to protect the Company's intellectual property; the Company's inability to successfully execute its manufacturing strategy or to adjust to fluctuating customer demand as a result of manufacturing capacity constraints; increased freight and shipping costs or disruptions in transportation and shipping infrastructure; covenants contained in agreements to which the Company is a party affecting and, in some cases, significantly limiting or prohibiting the manner in which the Company operates its businesses; impact of tax matters and changes in tax laws; impairment of the carrying value of goodwill and intangibles with indefinite useful life; deterioration in relationships with the Company's non-unionized and unionized employees; pension plan liability; natural disasters, unusually adverse weather, epidemic or pandemic outbreaks, boycotts and geo-political events; volatility in the market price for the Subordinate Voting Shares; dependence on the earnings of its subsidiaries and the distribution of those earnings to BRP Inc.; the significant influence of Beaudier Group and Bain Capital; and future sales of Subordinate Voting Shares by Beaudier Group, Bain Capital, directors, officers or senior management of the Company. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. Unless otherwise stated, the forward-looking statements contained in this press release are made as of the date of this press release and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities regulations. In the event that the Company does update any forward-looking statements contained in this press release, no inference should be made that the Company will make additional updates with respect to that statement, related matters or any other forward-looking statement. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. KEY ASSUMPTIONSThe Company made a number of economic, market and operational assumptions in preparing and making certain forward-looking statements contained in this Press Release, including without limitation the following assumptions: industries in both Seasonal and Year-Round Products consistent with current trends and continuously challenging macroeconomic and geopolitical environments; expected market share volatility; main currencies in which the Company operates will remain at near current levels; there will be no significant changes in tax laws or treaties applicable to the Company; the supply base will remain able to support product development and planned production rates on commercially acceptable terms in a timely manner; the absence of unusually adverse weather conditions, especially in peak seasons. BRP cautions that its assumptions may not materialize, and that the currently challenging macroeconomic and geopolitical environments in which it evolves, including specifically the uncertainty around the potential evolution of tariffs, duties and other trade restrictions (and any retaliatory measures), as well as the ongoing instability in the Middle East and its potential negative impact on the global economy, may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. These assumptions reflect certain U.S. tariffs currently in effect; however, they do not fully incorporate the potential expansion of U.S. tariffs, including tariffs on all imports from Canada and Mexico, and potential retaliatory tariffs. Given the fast-evolving situation and the high degree of uncertainty around the duration of a potential trade war, it is difficult to predict how the effects would flow through the economy. New and existing tariffs could significantly affect the outlooks for economic growth, consumer spending, inflation and the Canadian dollar. NON-IFRS MEASURESThis press release makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. The Company uses non-IFRS measures including the following: The Company believes non-IFRS measures are important supplemental measures of financial performance because they eliminate items that have less bearing on the Company's financial performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. Management also uses non-IFRS measures in order to facilitate financial performance comparisons from period to period, prepare annual operating budgets, assess the Company's ability to meet its future debt service, capital expenditure and working capital requirements and also as a component in the determination of the short-term incentive compensation for the Company's employees. Because other companies may calculate these non-IFRS measures differently than the Company does, these metrics are not comparable to similarly titled measures reported by other companies. The Company refers the reader to the tables below for the reconciliations of the non-IFRS measures presented by the Company to the most directly comparable IFRS measure. Reconciliation Tables [2]The following tables present the reconciliation of non-IFRS measures compared to their respective IFRS measures: The following table [2] presents the reconciliation of items as included in the Normalized net income [1] and Normalized EBITDA [1] compared to respective IFRS measures as well as the Normalized EPS – basic and diluted [1] calculation. The following table presents the reconciliation of consolidated net cash flows generated from operating activities to free cash flow [1]. View original content to download multimedia:https://www.prnewswire.com/news-releases/brp-presents-its-second-quarter-results-for-fiscal-year-2027-302868425.html

Strattec Security (STRT) came out with quarterly earnings of $2.06 per share, beating the Zacks Consensus Estimate of $1.36 per share. This compares to earnings of $2.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +51.47%. A quarter ago, it was expected that this maker of automotive locks and keys would post earnings of $1.14 per share when it actually produced earnings of $0.9, delivering a surprise of -21.05%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Strattec Security, which belongs to the Zacks Automotive - Original Equipment industry, posted revenues of $151.83 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 3.45%. This compares to year-ago revenues of $152.01 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Strattec Security shares have added about 2% since the beginning of the year versus the S&P 500's gain of 11.8%. While Strattec Security has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Strattec Security was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.31 on $150.21 million in revenues for the coming quarter and $4.85 on $568.87 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Original Equipment is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. BRP Inc. (DOO), another stock in the same industry, has yet to report results for the quarter ended July 2026. The results are expected to be released on September 3. This company is expected to post quarterly loss of $0.46 per share in its upcoming report, which represents a year-over-year change of -168.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. BRP Inc.'s revenues are expected to be $1.45 billion, up 6.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Strattec Security Corporation (STRT) : Free Stock Analysis Report BRP Inc. (DOO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

VALCOURT, QC, Aug. 13, 2026 /CNW/ -- BRP Inc. (TSX: DOO) (NASDAQ: DOO) will hold its second quarter FY27 financial results conference call on Thursday, September 3, 2026. Denis Le Vot, President and Chief Executive Officer, and Sébastien Martel, Chief Financial Officer, will present the results of the second quarter of FY27 and address questions from analysts on a conference call at 9 am (EDT). Second Quarter FY27 ResultsThe press release will be distributed on Canadian and American newswires on Thursday, September 3, at approximately 6 a.m. (EDT). For investors and analysts: Telephone: 1 800 717-1738 (toll-free in North America)Event code: 36525Click here for international dial-in numbers Webcast: Click here to access the webcast. Business media are allowed to join the call but will not be permitted to ask questions. This webcast will also be live on the Internet here and accessible to media and interested participants. An archived recording will be available here two hours after the event for 30 days following the original broadcast. About BRP BRP Inc. is a global leader in the world of powersports products and powertrains, built on over 80 years of ingenuity, innovation, and intensive consumer focus. Through its portfolio of industry-leading and distinctive brands featuring Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats as well as Rotax engines for karts, recreational aircraft and jet boats, BRP unlocks exhilarating adventures and provides access to experiences across different playgrounds. The Company completes its product lines with a dedicated parts, accessories and apparel portfolio to fully optimize the riding experience. Headquartered in Quebec, Canada, BRP had annual sales of CA$8.4 billion from over 110 countries and employed close to 17,000 driven, resourceful people as of January 31, 2026. www.brp.com LinkedIn Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners. View original content to download multimedia:https://www.prnewswire.com/news-releases/brp-will-present-its-second-quarter-fiscal-year-2027-results-302850029.html View original content to download multimedia: http://www.newswire.ca/en/releases/archive/August2026/13/c6257.html

This article first appeared on GuruFocus. Revenue: $2.4 billion, a 30% increase year-over-year. Normalized EBITDA: $334 million, a 67% increase. Normalized EPS: $1.83, nearly tripled from the previous year. Gross Profit: $562 million, with a margin of 23.5%, up 210 basis points. Free Cash Flow: Over $350 million, surpassing last year's level. Dealer Inventory: Down 3% compared to the same period last year. North American Retail Growth: Up 2%, excluding snowmobiles. EMEA Retail Growth: Increased by 10%. Latin America Sales Growth: Up 7%, with record performance in Brazil and Mexico. Net Leverage Ratio: 1.4 times at quarter end. Revised Fiscal '27 Revenue Guidance: Between $9.125 billion and $9.375 billion. Revised Fiscal '27 Normalized EBITDA Guidance: Between $925 million and $975 million. Revised Fiscal '27 Normalized EPS Guidance: Between $3 and $3.50. Expected Free Cash Flow for Fiscal '27: Over $600 million. Warning! GuruFocus has detected 4 Warning Signs with DOO. Is DOO fairly valued? Test your thesis with our free DCF calculator. Release Date: May 28, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. BRP Inc (NASDAQ:DOO) delivered financial results ahead of expectations with revenue of $2.4 billion, normalized EBITDA of $334 million, and normalized EPS of $1.83. The company experienced strong retail momentum, particularly in the Off-Road Vehicle (ORV) segment, with a 3-point market share gain in premium current units. BRP Inc (NASDAQ:DOO) generated strong free cash flow of more than $350 million, surpassing last year's level. The company reported a healthy dealer inventory, down 3% compared to the same period last year, indicating improved alignment between wholesale shipments and retail demand. BRP Inc (NASDAQ:DOO) saw growth in international markets, with a 10% retail increase in EMEA and a 7% sales growth in Latin America, driven by strong performance in Brazil and Mexico. The North American tariff landscape has created uncertainty, leading BRP Inc (NASDAQ:DOO) to suspend its fiscal '27 guidance. The company faces a significant incremental tariff impact of $500 million to $550 million for the year due to changes in Section 232 tariffs. Despite mitigation efforts, the net tariff headwind remains meaningful, especially in the near term. The Personal Watercraft (PWC) segment faced industry headwinds due to elevated levels of discounted carryover inventory from other OEMs. The Asia Pacific region saw a retail decline of 4%, partially due to a late season decline in PWC demand. Q: Can you provide specifics on the $200 million tariff mitigation plan, including overhead cuts, project reprioritization, and pricing adjustments? A: Sebastien Martel, CFO: The mitigation plan focuses on protecting long-term growth while leveraging overhead reductions, such as scaling back on travel and delaying exploratory projects. We are also accelerating lean initiatives and making targeted pricing adjustments based on currency movements without jeopardizing our competitive position. We aim to maintain retail momentum and protect future product investments. Q: How are the Section 232 tariffs impacting your business, and what are your expectations for USMCA negotiations? A: Denis Le Vot, CEO: We are actively engaging with governments to highlight the tariffs' impact on the industry. While we cannot predict the outcome, discussions are ongoing, and we expect clarity in the coming months. We are preparing for various scenarios to improve our situation once the regulations stabilize. Q: What is the outlook for demand given macroeconomic uncertainties and higher energy prices? A: Sebastien Martel, CFO: We haven't seen significant shifts in demand, particularly in North America, where our customer base consists of wealthier households. ORV trends remain strong, and snowmobile preorders are up 50% year-over-year, indicating robust demand despite broader economic concerns. Q: How are you addressing potential long-term tariff impacts, and what drastic measures could you take if tariffs persist? A: Sebastien Martel, CFO: We believe the current tariff landscape is temporary. If it becomes permanent, we have options like shifting production or opening new plants. However, we will not commit significant capital until the rules are clear. Our current mitigation measures are designed to manage the situation without harming long-term growth. Q: Can you elaborate on the international market performance and growth strategy? A: Denis Le Vot, CEO: We are experiencing strong growth in Europe and Latin America, with record performances in Brazil and Mexico. Although Asia Pacific is slightly down, we are preparing to launch the Ryker in Southeast Asia. Our international growth strategy remains on track, targeting $2.5 billion by fiscal '28. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Highlights Revenues of $2,391.8 million, an increase of 29.5% compared to last year, driven by higher ORV and PWC shipments, as well as favourable ORV product mix; Net income of $127.3 million, a decrease of 20.9% compared to last year; Normalized EBITDA [1] of $334.4 million, an increase of 66.5% compared to last year; Normalized diluted earnings per share [1][2] of $1.83, an increase of $1.36 per share, and diluted earnings per share [2] of $1.73, a decrease of $0.46 per share, compared to last year; North American Powersports retail sales decreased by 7% compared to last year, mainly due to a strong end-of-season in Snowmobile last year; Market share gains in North America for ORV; Issuing a revised full-year guidance, incorporating incremental tariff cost net of mitigation measures, with revenues between $9.1 and $9.4 billion, and Normalized diluted earnings per share [1][2] between $3.00 and $3.50. VALCOURT, QC, May 28, 2026 /CNW/ - BRP Inc. (TSX: DOO) (NASDAQ: DOO) today reported its financial results for the three-month period ended April 30, 2026. All financial information is in Canadian dollars unless otherwise noted. The complete financial results are available on SEDAR+ and EDGAR as well as in the section Quarterly Reports of BRP's website. "We delivered Q1 financial results above expectations, driven by higher volumes, disciplined cost management, strong overall execution and a more favourable promotional environment. We also sustained our solid retail momentum across key ORV segments, as new product introductions in the second half of last year contributed to additional market share gains," said Denis Le Vot, President and CEO of BRP. "As tariff policies shifted significantly during the quarter, our teams moved quickly to define mitigation measures to reduce their impact. Looking ahead, we are focused on navigating these headwinds while also protecting our long-term growth prospects. Although the geopolitical and trade environment remains volatile, we are issuing a revised full-year guidance that incorporates both positive trends in our business and net tariff costs. Thanks to our engaged dealer network, valued suppliers and leading-edge product lineups, we are confident in our ability to further strengthen our position in the future," concluded Mr. Le Vot. FISCAL YEAR 2027 REVISED GUIDANCE & OUTLOOK The Company issued a revised FY27 guidance as follows, incorporating incremental tariff cost net of mitigation measures, and superseding prior full-year financial guidance statements issued by the Company: FY27 Quarterly Outlook [5]The Company expects Q2 Fiscal 2027 Normalized diluted earnings per share [1] to be down approximately $1.60 to $1.65 versus the same three-month period in Fiscal 2026. The decline results from the net impact of tariffs, the timing of PWC shipments and higher tax incentives last year. FIRST QUARTER RESULTS The first quarter of Fiscal 2027 was marked by double-digit revenue growth compared to the same period last year. The increase in revenues was primarily driven by higher ORV shipments and favourable product mix resulting from the introduction of new models and features in this product category. Revenue growth was also attributable to higher PWC shipments compared to the same period last year, during which shipments occurred later in the season. Gross profit and gross profit margin increased compared to last year, reflecting the positive impacts of higher volumes, lower sales programs and favourable pricing, partially offset by the impacts of global tariffs. The Company's North American retail sales were down 7% for the three-month period ended April 30, 2026 compared to the same period last year. The decrease in retail sales was mainly due to lower Snowmobile industry volumes compared with a strong end-of-season last year, as well as to market share losses in PWC. The decrease was partially offset by market share gains in ORV. RevenuesRevenues increased by $544.9 million, or 29.5%, to $2,391.8 million for the three-month period ended April 30, 2026, compared to $1,846.9 million for the corresponding period ended April 30, 2025. The increase in revenues was primarily due to higher ORV and PWC shipments, as well as a favourable product mix in ORV resulting from the introduction of new models and features in this product category. The increase includes an unfavourable foreign exchange rate variation of $15 million. Year-Round Products (61% of Q1-FY27 revenues): Revenues from Year-Round Products increased by $342.9 million, or 31.0%, to $1,448.7 million for the three-month period ended April 30, 2026, compared to $1,105.8 million for the corresponding period ended April 30, 2025. The increase in revenues from Year-Round Products was primarily attributable to a higher volume of units sold across most product lines and to a favourable product mix in ORV resulting from the introduction of new models and features in this product category. The increase was also attributable to a favourable pricing net of sales programs across most product lines. The increase includes an unfavourable foreign exchange rate variation of $14 million. Seasonal Products (24% of Q1-FY27 revenues): Revenues from Seasonal Products increased by $149.2 million, or 35.6%, to $568.4 million for the three-month period ended April 30, 2026, compared to $419.2 million for the corresponding period ended April 30, 2025. The increase in revenues from Seasonal Products was primarily attributable to a higher volume of PWC sold compared to the same period last year, during which shipments occurred later in the season. The increase was also attributable to lower sales programs in Snowmobile. PA&A, OEM Engines and Others (15% of Q1-FY27 revenues): Revenues from PA&A, OEM Engines and Others increased by $52.8 million, or 16.4%, to $374.7 million for the three-month period ended April 30, 2026, compared to $321.9 million for the corresponding period ended April 30, 2025. The increase in revenues from PA&A, OEM Engines and Others was primarily attributable to a higher volume of PA&A sold, as well as to favourable pricing across most product lines. The increase was partially offset by higher sales programs and unfavourable product mix in PA&A. North American Retail Sales The Company's North American retail sales decreased by 7% for the three-month period ended April 30, 2026 compared to the same period last year. The decrease in retail sales was mainly due to lower Snowmobile industry volumes compared with a strong end-of-season last year, as well as to market share losses in PWC. The decrease was partially offset by market share gains in ORV. North American Year-Round Products retail sales increased on a percentage basis in the mid-single digits compared to the three-month period ended April 30, 2025. The Year-Round Products industry sales increased on a percentage basis in the low-single digits over the same period. North American Seasonal Products retail sales decreased on a percentage basis in the low thirties range compared to the three-month period ended April 30, 2025. The Seasonal Products industry sales decreased on a percentage basis in the mid-teens range over the same period. Gross profitGross profit increased by $166.8 million, or 42.2%, to $561.6 million for the three-month period ended April 30, 2026, compared to $394.8 million for the three-month period ended April 30, 2025. Gross profit margin percentage increased by 210 basis points to 23.5% for the three-month period ended April 30, 2026, compared to 21.4% for the three-month period ended April 30, 2025. Gross profit and gross profit margin increased compared to last year, reflecting the positive impacts of higher volumes, lower sales programs and favourable pricing, partially offset by the impacts of global tariffs. The increase in gross profit includes an unfavourable foreign exchange rate variation of $16 million. Operating ExpensesOperating expenses increased by $35.2 million, or 11.7%, to $336.1 million for the three-month period ended April 30, 2026, compared to $300.9 million for the three-month period ended April 30, 2025. The increase in operating expenses was mainly attributable to higher S&M expenses following the launch of campaigns to support revenue growth, as well as increased investments in R&D and G&A to reinforce product development and infrastructure, respectively. The increase was partially offset by a favourable foreign exchange variation on working capital, net of forward contracts. The increase in operating expenses includes a favourable foreign exchange rate variation of $10 million. Normalized EBITDA [1] Normalized EBITDA [1] increased by $133.6 million, or 66.5%, to $334.4 million for the three-month period ended April 30, 2026, compared to $200.8 million for the three-month period ended April 30, 2025. The increase in Normalized EBITDA [1] was primarily due to higher gross profit, partially offset by increased operating expenses. Net IncomeNet income decreased by $33.7 million, or 20.9%, to $127.3 million for the three-month period ended April 30, 2026, compared to $161.0 million for the three-month period ended April 30, 2025. The decrease in net income was primarily due to an unfavourable foreign exchange rate variation on the U.S. denominated long-term debt and to a higher income tax expense. The decrease was partially offset by a higher operating income. Normalized Net Income [1] Normalized net income [1] increased by $99.9 million, or 288.7%, to $134.5 million for the three-month period ended April 30, 2026, compared to $34.6 million for the three-month period ended April 30, 2025. The increase in Normalized net income [1] was primarily due to higher gross profit, partially offset by increased operating expenses. Net Income (Loss) from Discontinued OperationsNet income increased by $12.5 million, or 114.7%, to $1.6 million for the three-month period ended April 30, 2026, compared to a net loss of $(10.9) million for the three-month period ended April 30, 2025. The increase in net income was primarily due to the closing of the sales of Alumacraft's and Manitou's assets during the three-month periods ended July 31, 2025 and October 31, 2025 respectively. LIQUIDITY AND CAPITAL RESOURCES Consolidated net cash flows generated from operating activities totaled $425.5 million for the three-month period ended April 30, 2026, compared to $255.8 million generated for the three-month period ended April 30, 2025. The increase was mainly due to higher profitability, favourable changes in working capital and lower income taxes paid. The favourable changes in working capital were the result of increased provisions, partially offset by increases in inventories and income tax receivables. The Company invested $57.1 million of its liquidity in capital expenditures for the introduction of new products and modernization of the Company's software infrastructure to support future growth. During the three-month period ended April 30, 2026, the Company also returned $62.7 million to its shareholders through quarterly dividend payouts and share repurchase program. DividendOn May 27, 2026, the Company's Board of Directors declared a quarterly dividend of $0.25 per share for holders of its multiple voting shares and subordinate voting shares. The dividend will be paid on July 14, 2026 to shareholders of record at the close of business on June 30, 2026. CONFERENCE CALL AND WEBCAST PRESENTATION Today at 9 a.m. EDT, BRP Inc. will host a conference call and webcast to discuss its FY27 first quarter results. The call will be hosted by Denis Le Vot, President and CEO, and Sébastien Martel, CFO. To listen to the conference call by phone (event number 62629), please dial 1 800-717-1738 (toll-free in North America). Click here for International numbers. The Company's first quarter FY27 webcast presentation is posted in the Quarterly Reports section of BRP's website. About BRPBRP Inc. is a global leader in the world of powersports products and powertrains, built on over 80 years of ingenuity, innovation, and intensive consumer focus. Through its portfolio of industry-leading and distinctive brands featuring Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats as well as Rotax engines for karts, recreational aircraft and jet boats, BRP unlocks exhilarating adventures and provides access to experiences across different playgrounds. The Company completes its product lines with a dedicated parts, accessories and apparel portfolio to fully optimize the riding experience. Headquartered in Quebec, Canada, BRP had annual sales of CA$8.4 billion from over 110 countries and employed close to 17,000 driven, resourceful people as of January 31, 2026. www.brp.com LinkedIn Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners. CAUTION CONCERNING FORWARD-LOOKING STATEMENTSCertain statements in this press release, including, but not limited to, statements relating to the Company's revised Fiscal Year 2027 Guidance and related assumptions (including without limitation Revenues, Normalized EBITDA, Normalized Earnings per Share – Diluted, Net Income, Depreciation Expenses Adjusted, Net Financing Costs Adjusted, Effective Tax Rates, Weighted Average Number of Shares – diluted, and Capital Expenditures), statements relating to the declaration and payment of dividends, statements relating to its strategic plan referred to as "M28", prospects, expectations, anticipations, estimates and intentions, results, levels of activity, performance, objectives, targets, goals, achievements, including the Company's environmental, social and governance targets, goals and initiatives set forth under the Company's new sustainability plan, Beyond the Ride – Sustainability 2030, priorities and strategies, financial position, market position, capabilities, competitive strengths and beliefs, the prospects and trends of the industries in which the Company operates, the expected demand for products and services in the markets in which the Company competes, including softer industry demand trends and sustained promotional intensity and pricing actions, research and product development activities, including projected design, characteristics, capacity or performance of future products and their expected scheduled entry to market, expected financial requirements and the availability of capital resources and liquidity, the Company's ability to complete its process for the sale of Telwater as expected and to manage and mitigate the risks associated therewith, at expected cost levels and expected proceeds, the impact of the sale of the Marine businesses, ongoing geopolitical instability in the Middle East, including the impact of recent volatility in global oil and energy prices, potential supply chain disruptions, inflationary pressures, and broader macroeconomic conditions or any other future events or developments and other statements in this Press Release that are not historical facts constitute forward-looking statements within the meaning of applicable securities laws. The words "may", "will", "would", "should", "could", "expects", "forecasts", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "outlook", "predicts", "projects", "likely" or "potential" or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements. Forward-looking statements are presented for the purpose of assisting readers in understanding certain key elements of the Company's current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of the Company's business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements contained herein. Forward-looking statements, by their very nature, involve inherent risks and uncertainties and are based on a number of assumptions, both general and specific. The Company cautions that its assumptions may not materialize and that the currently challenging macroeconomic and geopolitical environments in which it evolves, including specifically the uncertainty around the potential evolution of tariffs, duties and other trade restrictions (and any retaliatory measures), as well as the ongoing geopolitical instability in the Middle East and its potential negative impact on the global economy, may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of the Company or the industry to be materially different from the outlook or any future results or performance implied by such statements. In addition, many factors could cause the Company's actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the following factors, which are discussed in greater detail under the heading "Risk Factors" of the Company's management's discussion and analysis for Fiscal 2026 (the "2026 MD&A") for the fiscal year ended on January 31, 2026 and in other continuous disclosure materials filed from time to time with Canadian securities regulatory authorities and the Securities and Exchange Commission: economic conditions that impact consumer spending; inability to attract, hire and retain the services of key employees, including members of its management team, or qualified employees, including employees who possess specialized market knowledge and technical skills; failure of the Company's information technology systems, difficulties in the continued implementation of its ERP system or a security breach or cyber-attack; international sales and operations subject it to additional risks; inability to successfully execute its strategic plan; any decline in the social acceptability of the Company or of the Company's products or any increased restrictions on the access or the use of the Company's products in certain locations; supply problems, termination or interruption of supply arrangements or increases in the cost of materials; indebtedness with no assurance that the Company will be able to pay its indebtedness as it becomes due; any unavailability of additional capital; fluctuations in foreign currency exchange rates; unfavourable weather conditions, and climate change, seasonal nature of the Company's business and some of its products; reliance on a network of independent dealers and distributors to manage the retail distribution of its products and failure to establish or maintain the appropriate level of dealers and distributors; inability of dealers and distributors to secure adequate access to capital; inability to comply with laws, rules and regulations regarding product safety, health, environmental, noise pollution, privacy matters and other issues; potential vulnerability of connected products to cyber-attacks; the Company's large fixed cost base; intense competition in all product lines and any failure to compete effectively against competitors or any failure to meet consumers' evolving expectations; any failure to maintain an effective system of internal control over financial reporting; reliance upon the continued strength of its reputation and brands; adverse determination in any significant product liability claim against the Company; significant product repair and/or replacement due to product warranty claims or product recalls; failure to carry adequate insurance coverage; failure to successfully manage inventory levels, both at the Company's and the dealers' and distributors' levels, inability to protect the Company's intellectual property; the Company's inability to successfully execute its manufacturing strategy or to adjust to fluctuating customer demand as a result of manufacturing capacity constraints; increased freight and shipping costs or disruptions in transportation and shipping infrastructure; covenants contained in agreements to which the Company is a party affecting and, in some cases, significantly limiting or prohibiting the manner in which the Company operates its businesses; impact of tax matters and changes in tax laws; impairment of the carrying value of goodwill and intangibles with indefinite useful life; deterioration in relationships with the Company's non-unionized and unionized employees; pension plan liability; natural disasters, unusually adverse weather, epidemic or pandemic outbreaks, boycotts and geo-political events; volatility in the market price for the Subordinate Voting Shares; dependence on the earnings of its subsidiaries and the distribution of those earnings to BRP Inc.; the significant influence of Beaudier Group and Bain Capital; and future sales of Subordinate Voting Shares by Beaudier Group, Bain Capital, directors, officers or senior management of the Company. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. Unless otherwise stated, the forward-looking statements contained in this press release are made as of the date of this press release and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities regulations. In the event that the Company does update any forward-looking statements contained in this press release, no inference should be made that the Company will make additional updates with respect to that statement, related matters or any other forward-looking statement. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. KEY ASSUMPTIONSThe Company made a number of economic, market and operational assumptions in preparing and making certain forward-looking statements contained in this Press Release, including without limitation the following assumptions: industries in both Seasonal and Year-Round Products consistent with current trends and a continuously challenging macroeconomic environment; expected market share volatility; main currencies in which the Company operates will remain at near current levels; levels of inflation, which are expected to continue to ease; there will be no significant changes in tax laws or treaties applicable to the Company; the Company's margins are expected to continue to be pressured by lower volumes; the supply base will remain able to support product development and planned production rates on commercially acceptable terms in a timely manner; the absence of unusually adverse weather conditions, especially in peak seasons. BRP cautions that its assumptions may not materialize, and that the currently challenging macroeconomic and geopolitical environment in which it evolves may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. Specifically, these assumptions reflect certain U.S. tariffs currently in effect; however, they do not fully incorporate the potential expansion of U.S. tariffs, including tariffs on all imports from Canada and Mexico, and potential retaliatory tariffs. Given the fast-evolving situation and the high degree of uncertainty around the duration of a potential trade war, it is difficult to predict how the effects would flow through the economy. New and existing tariffs could significantly affect the outlooks for economic growth, consumer spending, inflation and the Canadian dollar. NON-IFRS MEASURESThis press release makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. The Company uses non-IFRS measures including the following: The Company believes non-IFRS measures are important supplemental measures of financial performance because they eliminate items that have less bearing on the Company's financial performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. Management also uses non-IFRS measures in order to facilitate financial performance comparisons from period to period, prepare annual operating budgets, assess the Company's ability to meet its future debt service, capital expenditure and working capital requirements and also as a component in the determination of the short-term incentive compensation for the Company's employees. Because other companies may calculate these non-IFRS measures differently than the Company does, these metrics are not comparable to similarly titled measures reported by other companies. The Company refers the reader to the tables below for the reconciliations of the non-IFRS measures presented by the Company to the most directly comparable IFRS measure. Reconciliation Tables [2]The following tables present the reconciliation of non-IFRS measures compared to their respective IFRS measures: The following table [2] presents the reconciliation of items as included in the Normalized net income [1] and Normalized EBITDA [1] compared to respective IFRS measures as well as the Normalized EPS – basic and diluted [1] calculation. The following table presents the reconciliation of consolidated net cash flows generated from operating activities to free cash flow [1]. View original content to download multimedia:https://www.prnewswire.com/news-releases/brp-reports-fiscal-year-2027-first-quarter-results-302783768.html

BRP Inc. (DOO) came out with quarterly earnings of $1.33 per share, beating the Zacks Consensus Estimate of $0.75 per share. This compares to earnings of $0.33 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +77.33%. A quarter ago, it was expected that this company would post earnings of $1.49 per share when it actually produced earnings of $1.59, delivering a surprise of +6.71%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. BRP, which belongs to the Zacks Automotive - Original Equipment industry, posted revenues of $1.74 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 15.08%. This compares to year-ago revenues of $1.3 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. BRP shares have lost about 18% since the beginning of the year versus the S&P 500's gain of 9.9%. While BRP has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for BRP was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is breakeven on $1.5 billion in revenues for the coming quarter and $2.09 on $6.54 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Original Equipment is currently in the top 44% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, ChargePoint Holdings, Inc. (CHPT), has yet to report results for the quarter ended April 2026. The results are expected to be released on June 3. This company is expected to post quarterly loss of $1.11 per share in its upcoming report, which represents a year-over-year change of +7.5%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. ChargePoint Holdings, Inc.'s revenues are expected to be $94.86 million, down 2.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report BRP Inc. (DOO) : Free Stock Analysis Report ChargePoint Holdings, Inc. (CHPT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in BRP Inc.? Here are five stocks we like better. BRP beat Q1 expectations with revenue up 30% to CAD 2.4 billion and normalized EPS nearly tripling to CAD 1.83, helped by stronger retail demand, cost discipline and improved product mix. The company cut its full-year outlook because revised U.S. Section 232 tariffs are expected to add CAD 500 million to CAD 550 million in costs, though BRP plans to offset about CAD 200 million through pricing, efficiency and overhead actions. Off-road vehicles were the main growth engine, with BRP gaining share in side-by-sides and ATVs, while snowmobile pre-orders and spring demand for personal watercraft also showed improving trends. These 2 Powersports Stocks Can Rev Up Your Portfolio BRP (NASDAQ:DOOO) reported first-quarter fiscal 2027 results that exceeded management’s expectations, but the powersports manufacturer cut its full-year earnings outlook as it incorporated a sizable tariff headwind from changes to U.S. Section 232 duties. President and Chief Executive Officer Denis Le Vot said the company delivered “a solid performance” in the quarter, citing sustained retail momentum across key product categories, stronger volumes, cost discipline and a more favorable promotional environment. Revenue rose 30% to CAD 2.4 billion, while normalized EBITDA increased 67% to CAD 334 million. Normalized earnings per share nearly tripled to CAD 1.83. → Rocket Lab Keeps Making Headlines and Highs—Here's What's Driving the Latest Move BRP also generated free cash flow of CAD 367 million in the quarter and ended the period with close to CAD 700 million of cash on its balance sheet. Chief Financial Officer Sébastien Martel said the company’s net leverage ratio was 1.4 times at quarter-end, giving BRP flexibility as it navigates the tariff environment while continuing to invest in growth and return capital to shareholders. The central issue on the call was the impact of revised Section 232 tariffs. Martel said the amendment introduced a 25% tariff on the full value of imported snowmobiles and most off-road vehicle models, replacing a prior 50% tariff on metal content only. He said the change represents “a meaningful incremental cost” to BRP’s business. → Quantum Stocks Just Got a Lifeline—Who Benefits Most? The company had suspended its fiscal 2027 guidance earlier because of the uncertainty. It now expects the total incremental tariff impact for the year to be CAD 500 million to CAD 550 million. BRP has outlined mitigation actions expected to offset about CAD 200 million of that amount, including overhead discipline, project prioritization, targeted pricing actions and value-chain efficiencies. Martel said the company’s underlying business trends have improved relative to its initial outlook, with stronger off-road vehicle trends, snowmobile pre-orders above target, improved product mix and higher parts, accessories and apparel dealer orders. Together, those factors are expected to add about CAD 60 million of normalized EBITDA, or CAD 0.60 per share, versus the original outlook. → 5 Stocks Winning the AI Race While Everyone Watches NVIDIA Even so, the net tariff impact reduces the company’s revised normalized earnings-per-share guidance to CAD 3.00 to CAD 3.50. BRP now expects fiscal 2027 revenue of CAD 9.125 billion to CAD 9.375 billion and normalized EBITDA of CAD 925 million to CAD 975 million. The company continues to expect free cash flow of more than CAD 600 million. Martel said the outlook does not reflect the full earnings potential of the business, but rather “a deliberate decision in the near term” to protect BRP’s long-term competitive position while implementing targeted mitigation actions. He added that the company intends to resume share repurchases under its normal course issuer bid shortly. Le Vot said dealer inventory remains healthy, down 3% from the same period last year, reflecting better alignment between wholesale shipments and retail demand. He said the company has lower snowmobile inventory at the end of the season and better personal watercraft availability ahead of the peak retail period, adding that inventory is near optimal levels. In North America, excluding snowmobiles, Le Vot said the industry grew at a low-single-digit rate, while BRP retail rose 2%. Off-road vehicles remained the company’s primary growth driver, particularly in utility and premium categories. In Europe, the Middle East and Africa, BRP retail increased 10%, in line with the industry. Latin America retail grew 7%, with record first-quarter performance in Brazil and Mexico. In Asia Pacific, retail declined 4% for BRP, trailing a low-single-digit industry increase because of the company’s higher exposure to personal watercraft, where late-season demand softened. BRP highlighted continued momentum in side-by-side vehicles and all-terrain vehicles. Le Vot said the North American side-by-side industry grew at a mid-single-digit rate, supported by utility vehicles and continued adoption of cab units. Can-Am retail grew at a high-single-digit rate, including low-teens percentage growth in the utility segment. Management pointed to the new Defender HD11 as a key contributor. Le Vot said the vehicle’s new Rotax engine, with 95 horsepower, and its towing and cargo capacity helped drive demand. BRP gained more than three points of market share in premium current side-by-side units, according to the company. In ATVs, Le Vot said the broader industry declined at a low-single-digit rate during the quarter, while BRP retail rose at a low-single-digit rate. He said BRP reached the No. 1 position in the North American ATV industry in April for the first time, supported by the rollout of a new platform across its lineup. The 2026 snowmobile season ended in late March with industry retail up at a low-single-digit rate. Le Vot said industry results were driven by heavily discounted non-current inventory from other manufacturers. BRP trailed the industry slightly, but he said the company maintained pricing discipline, achieved more than 70% market share in current units and reduced snowmobile network inventory by 40%. Le Vot said the company’s spring snowmobile pre-order campaign was one of its most successful ever. During the question-and-answer portion, he said model year 2027 snowmobile pre-orders were up 50% from last year. Personal watercraft faced weather-related pressure in the quarter, and management said the category was also affected by discounted carryover inventory from other manufacturers. Martel said May trends for personal watercraft were “up quite sizably” versus last year, and Le Vot said retail activity improved in late April and continued into May. Analysts pressed management on how much of the tariff burden could be offset through pricing. Martel said pricing is not the largest component of the CAD 200 million mitigation plan, noting that overhead reductions and lean initiatives are bigger levers. Le Vot said investors should not expect “any brutal move” on pricing, adding that BRP intends to preserve its retail momentum and competitive positioning. Management also said BRP is not making major manufacturing footprint decisions until trade rules become clearer. Martel said the company is evaluating scenarios, including production shifts or plant investments, but does not want to commit “hundreds of millions of capital” before the tariff landscape stabilizes. BRP said it remains focused on its M28 strategic plan, including product innovation, dealer expansion and international growth. The company reiterated that it expects the North American powersports industry to be flat this year, with BRP-specific market share gains and product mix helping support its revised revenue outlook. BRP Inc, operating under the brand name Bombardier Recreational Products, is a leader in designing, manufacturing and distributing recreational vehicles and propulsion systems for winter, on-road, off-road and water lifestyles. The company's diversified portfolio includes snowmobiles, personal watercraft, all-terrain vehicles and roadsters, all powered by in-house Rotax engines. With a focus on innovation and performance, BRP has positioned itself at the forefront of the powersports industry. At the heart of BRP's product lineup are its flagship Ski-Doo snowmobiles and Sea-Doo personal watercraft, which serve both recreational and professional segments. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "BRP Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.