BRP shares Q2 FY26 results

BRP, parent company of Sea-Doo, has reported its financial results for the three- and six-month periods ended July 31, 2025. All financial information is in Canadian dollars unless otherwise noted.

“We are pleased with our second-quarter results, which, in the macroeconomic context, were better than
expected,” said José Boisjoli, president and CEO of BRP. “We are coming off a successful dealer event, during which we unveiled a significant number of industry-leading products and witnessed a strong upswing in dealer sentiment. The timing of these new introductions could not be better given our healthier inventory levels.”

BRP reported revenues of $1,888.2 million, an increase of 4.3% compared to last year, and a net income of $57.1 million, an increase of 36.0% compared to last year. North American retail sales decreased by 11% compared to last year.

Second quarter results

The Company’s three-month period ended July 31, 2025, was marked by a slight increase in revenues compared to the three-month period ended July 31, 2024. The volume of shipments was comparable to last year, as ORV deliveries were higher than in the same quarter last year, when the company reduced network inventory levels, partially offset by lower Sea-Doo PWC shipments.

Gross profit and gross profit margin were also comparable to last year, driven by favorable impacts of pricing and production efficiencies, which were offset by unfavourable impacts of global tariffs mainly on PA&A.

The Company’s North American retail sales were down 11% for the three-month period ended July 31, 2025. The decrease stems from PWC market share loss in a softer industry and SSV market share loss due to lower non-current unit availability.

Revenues

Revenues increased by $77.1 million, or 4.3%, to $1,888.2 million for the three months ended July
31, 2025, compared to $1,811.1 million for the corresponding period ended July 31, 2024. The increase
in revenues was primarily due to a higher volume of ORV and PA&A sold, as well as favorable pricing
across all product lines. The increase was offset by a lower volume of PWCs sold. The increase includes a
favourable foreign exchange rate variation of $15 million.

Revenues from seasonal products decreased by $72.1 million, or 13.3%, to $469.7 million for the three months ended July 31, 2025, compared to $541.8 million year-over-year. The decrease in revenues from seasonal products was primarily attributable to a lower volume of units sold in the PWC segment and higher sales programs in the snowmobile segment. The decrease was partially offset by a favorable product mix in PWC and favorable pricing across all product lines.

Six-month period results

Revenues decreased by $76.0 million, or 2%, to $3,735.1 million for the six months ended July
31, 2025, compared to $3,811.1 million year-over-year. The decrease in revenues was primarily due to a lower volume of units sold and higher sales programs across most product lines.

The company issued a full year-end guidance of revenues between $8.1 and $8.3 billion