Polaris today reported sales of $185 million for boat segment sales for its first quarter, with gross profits of $36 million, or 19.6 percent of sales. The revenues consist of last summer’s Boat Holdings acquisition, which includes the Bennington, Godfrey, Hurricane and Rinker brands. The sales do not include the Larson Boat Group, which Polaris announced that it planned to acquire in late January.
Companywide, Polaris had sales of $1.49 billion, up 15 percent compared to the same quarter a year ago. Net income fell by 9 percent to $66.9 million.
“We delivered sound results and finished the quarter with strong momentum,” chairman and CEO Scott Wine said in a statement. “Retail sales results were somewhat mixed, with greater than 20 percent snowmobile growth helping to offset modest weather-related declines in ORV, motorcycles and boats, although all three of these segments came on strong at the end of March.”
Wine said that its boat brands “fared well” during recent boat shows and that “dealer inventory levels are well-positioned to support the peak spring retail selling season.”
Polaris said that its North American retail sales were down 3 percent for the quarter, with sales declines in off-road vehicles and motorcycles. Motorcycle sales were down mid-single digits. International sales were off by 4 percent for the quarter.
Polaris increased its full-year 2019 earnings guidance. It expects earnings to range from $6.05 to $6.30 per diluted share, which includes the absorption of $80 million to $90 million of additional tariff costs anticipated in 2019. Full-year 2019 adjusted sales growth guidance remains unchanged, up 11 percent to 13 percent over the prior year.