BRP announces FY 2026 results, retirement of president
BRP shared its Q1 financial results for fiscal year 2026, reporting a revenue decrease of CAD$153 million, or 7.7%, to CAD$1.8 billion for the three-month period ended April 30.
“Looking ahead, given the uncertainty, we are still refraining from making financial projections at this time,” said José Boisjoli, president and CEO of BRP. “In the short term, although demand remains soft due to a challenging macro environment, our strong product portfolio and leaner inventory levels position us favourably for a rebound. Over the longer term, our decision to double down on our core Powersports activities, combined with our team’s ingenuity and our commitment to pushing technology and innovation, provide the foundations for sustained leadership.”
In April, BRP announced that it would sell all outstanding shares of Telwater to Yamaha Motor Australia, and Alumacraft assets to Bryton Marine Group.
Q1 results
The first quarter of Fiscal 2026 was marked by continued softer consumer demand and uncertainty surrounding changes to global tariff and trade regulations. As BRP continued to focus on reducing network inventory levels on Seasonal Products and managed industry slowdown on Year-Round Products, the volume of shipments and revenues decreased compared to the same period last year. The decrease in the volume of shipments, the higher sales programs due to the sustained promotional environment, and the decreased leverage of fixed costs have led to a decrease in the gross profit and gross profit margin compared to the same period last year. This decrease was partially offset by production efficiencies.
The company’s North American retail sales were flat for the three-month period ended April 30, 2025. BRP delivered strong Snowmobile retail sales at the end of the season. The increase in Seasonal Products retail sales were offset by a decrease in Year-Round Products retail sales, mainly due to the industry’s slowdown.
Gross profit decreased by CAD$126.9 million, or 24.3%, to CAD$394.8 million for the three-month period ended April 30, 2025.
Operating Expenses decreased by CAD$30.5 million, or 9.2%, to $300.9 million for the three-month period ended April 30, 2025. The decrease in operating expenses was mainly attributable to lower G&A expenses due to cost optimization, lower S&M expenses and lower restructuring and reorganization costs.
Net Income increased by CAD$118.5 million, or 278.8%, to CAD$161.0 million for the three-month period ended April 30, 2025. The increase in net income was primarily due to a favourable foreign exchange rate variation on the U.S.-denominated long-term debt and lower operating expenses. The increase was partially offset by lower operating income resulting from a lower gross profit and gross profit margin.
Net loss decreased by CAD$39 million, or 78.2%, to CAD$(10.9) million for the three-month period ended April 30, 2025. The decrease in net loss was primarily due to a higher volume of units sold, lower sales programs, and lower operating costs as a result of restructuring.
Boisjoli to retire
After 22 years as president and chief executive officer, José Boisjoli has informed the Board of Directors of his intention to retire by the end of the fiscal year, at which time he will also step down from his role as chair of the board.
During his tenure, Boisjoli spearheaded BRP’s remarkable growth from a Bombardier spin-off to a publicly traded, global leading Powersports OEM. As part of an ongoing succession plan, BRP’s Board is searching for the corporation’s next president and CEO. Boisjoli will continue to lead BRP until the appointment of his successor.
In 2003, Boisjoli, then president of the snowmobile and watercraft division of Bombardier, became president and CEO of BRP on the day it became a standalone company. He laid out his vision for the making of BRP as we know it today. Under his leadership, the corporation diversified its product portfolio, dealer and distributor network and manufacturing footprint, propelling its growth and more than tripling its revenue.
“Leading BRP has never been a job: it’s been a work of passion and a true honor,” said Boisjoli. “During my 36-year career at BRP, I have had the privilege to shape its DNA alongside brilliant minds and talented people who have relentlessly pushed the limits of innovation to offer the best experiences to our riding communities. Reflecting on my journey, I am proud that we have proven ourselves capable of changing the name of the game within the Powersports industry and built a strong organization that is well-positioned for the long term. I am grateful for everyone who contributed to BRP’s success.”
