BRP reports Q3 profit and revenue up from year ago, raises guidance
The Canadian PressBusiness Operations Production Manufacturing
VALCOURT, Que. – BRP Inc. reported its third-quarter profit and revenue rose compared with a year ago and raised guidance for its full year.
“BRP delivered record fiscal 2023 third-quarter results, well ahead of expectations, driven by our team’s solid execution and our operational discipline,” BRP chief executive Jose Boisjoli said in a statement Wednesday.
“Looking ahead, we are in a strong position to sustain our growth thanks to our industry-leading brands, relentless innovation, proven performance and quality products.”
The Ski-Doo and Sea-Doo maker said it earned $141.6 million or $1.76 per diluted share for the quarter ended Oct. 31, up from $127.7 million or $1.53 per diluted share in the same quarter last year.
Revenue for the quarter totalled $2.71 billion, up from $1.59 billion a year earlier, boosted by higher wholesale volumes and the introduction of the Sea-Doo pontoon.
The company said revenues from year-round products rose 73.8 per cent to $1.28 billion compared with $736.3 million a year earlier, while seasonal product revenue more than doubled to $1.02 billion compared with $437.3 million in the same quarter last year.
Revenues from powersports parts, accessories and apparel and original equipment manufacturer engines rose to $298.0 million in the latest quarter compared with $283.9 million a year earlier. Marine segment revenue for the quarter was $118.8 million, down from $136.3 million.
On a normalized basis, BRP said it earned $3.64 per diluted share in its latest quarter, up from a normalized profit of $1.48 per diluted share in the same quarter last year.
In its outlook, BRP said it expected revenue for its full year to rise between 27 and 32 per cent compared with earlier guidance of 26 to 31 per cent.
Year-round product revenue is expected to rise 36 to 41 per cent compared with earlier guidance for 33 to 38 per cent, while seasonal product revenue is now expected to gain 26 to 29 per cent compared with earlier guidance for 24 to 29 per cent.
Guidance for powersports PA&A and OEM engines revenue growth was unchanged at 17 to 22 per cent, while marine revenue is now expected to be between flat and up five per cent compared with earlier expectations for 12 to 17 per cent growth.
Normalized earnings per share for the full year are now expected to be between $11.65 and $12, up from its previous forecast for between $11.30 and $11.65.