Latest news with #BombardierRecreationalProducts


Globe and Mail
6 days ago
- Business
- Globe and Mail
Why BRP Stock Rocketed Nearly 13% Higher Today
Crushing beats on both the top and bottom lines by Bombardier Recreational Products (NASDAQ: DOOO), or BRP, clearly impressed the stock market on Thursday. Buoyed by highly encouraging results from the first quarter of fiscal 2026, the shares enjoyed a gain of nearly 13% across the day's trading session. That percentage was also well higher than the 0.3% gain recorded by the S&P 500 index. Far outpacing analyst estimates BRP, a Canada-based company that specializes in vehicles such as snowmobiles and personal sea craft, published those quarterly figures before market open. These revealed that the company booked revenue of just under 1.85 billion Canadian dollars ($1.34 billion), which was down by almost 8% on a year-over-year basis. However, it easily topped the CA$1.23 billion ($893 million) analyst consensus. Non- IFRS net income also declined, falling to just under CA$35 million ($25 million) from the year-ago profit of almost CA$121 million ($88 million). On a per-share basis, the former shook out to CA$0.47 ($0.34) per share. Again, though, this was significantly better than pundits had been expecting, as their collective estimate was merely CA$0.29 ($0.21) per share. In its earnings release, BRP gave itself a pat on the back for its better-than-anticipated performance in light of recent macroeconomic uncertainty. It attributed this largely to brisk end-of-season sales in the snowmobile segment. Guarded about guidance That macroeconomic uncertainty, however, is keeping management from providing guidance for future periods. That said, CEO Jose Boisjoli commented in a press release that "although demand remains soft due to a challenging macro environment, our strong product portfolio and leaner inventory levels position us favorably for a rebound." Should you invest $1,000 in Brp right now? Before you buy stock in Brp, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Brp wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $651,761!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $826,263!* Now, it's worth noting Stock Advisor 's total average return is978% — a market-crushing outperformance compared to170%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 19, 2025


CTV News
7 days ago
- Business
- CTV News
BRP says Q1 profit up as company reveals CEO José Boisjoli to retire soon
Signage is seen on the offices of Bombardier Recreational Products Inc. (BRP) in Montreal, Monday, March 24, 2025. THE CANADIAN PRESS/Christinne Muschi VALCOURT — BRP Inc. says its latest quarter delivered a soaring profit but revenue ticked lower over the same period. The Ski-Doo and Sea-Doo maker says its first-quarter profit amounted to $161 million or $2.19 per diluted share for the quarter ended April 30. The result compared with a profit of $42.5 million or 56 cents per diluted share a year earlier. Revenue for the quarter totalled $1.8 billion compared with just shy of $2 billion a year prior. On a normalized basis, BRP says it earned 47 cents per diluted share in its latest quarter compared with a normalized profit of $1.58 per diluted share a year ago. The results were released the same day as BRP revealed president and CEO José Boisjoli will retire at the end of the fiscal year. He spent 22 years in the top job of the Valcourt, Que.-based company, which is searching for his successor. This report by The Canadian Press was first published May 29, 2025.
Yahoo
01-04-2025
- Business
- Yahoo
Ski-Doo maker BRP expects $40M impact from tariffs
This story was originally published on Manufacturing Dive. To receive daily news and insights, subscribe to our free daily Manufacturing Dive newsletter. The maker of Ski-Doo snowmobiles is bracing for the impact of tariffs on its operations, as it navigates higher costs for the steel and aluminum needed to make its powersport vehicles. Bombardier Recreational Products CFO Sébastien Martel told investors in a March 26 earnings call to expect a $40 million impact on the business, assuming the current tariffs in effect were unchanged throughout the upcoming fiscal year. However, Martel said, the situation is 'very fluid and we are continuously refining our assessment of the potential cost of these tariffs on our business' and as they relate to BRP's tier 2 and tier 3 suppliers. BRP provided no official outlook guidance in its earnings report for the fiscal year that ends Jan. 31, 2026, citing trade policy uncertainty among the world's leading economies. The Canada-based company operates 14 manufacturing sites around the world, including locations in Lansing, Michigan; St. Peter, Minnesota; Spruce Pine, North Carolina and Sturtevant, Wisconsin, according to an investor filing. The U.S. facilities primarily make pontoon and aluminum fishing boats, as well as aircraft systems and components for Rotax combustion engine products. So far all of BRP's vehicles produced in Canada and Mexico are compliant with the United States–Mexico–Canada Agreement and exempt from President Donald Trump's additional 25% tariffs on imported goods from the countries, Martel said in a recent earnings call. 'We currently have operations in a supply chain across all three countries and consequently the ongoing tariff disputes are impacting our business, our suppliers and our customers,' Martel said regarding the company's North American operations. Sea-Doo watercraft and offroad vehicles, such as ATVs and side-by-sides, are mostly made in Mexico, while Ski-Doo snowmobiles are made in Finland or Canada, according to the investor filing. Currently, BRP has limited exposure to tariffs on imports from China into the U.S. and imports from the U.S. into Canada, Martel said. The company is also affected by the 25% tariffs on aluminum and steel imported into the U.S., mostly in its parts and accessories business, he added. To mitigate tariff effects, BRP began front-loading U.S. shipments and renting warehouses for additional capacity last year, CEO José Boisjoli said on the call, which has created about a month-long supply buffer for the company. 'Even if it's too early to ship them to the dealers, we cross the borders and our warehouses that we have in the U.S. are always full,' Boisjoli said. BRP reported revenue of 2.1 billion Canadian dollars ($1.5 billion) in the fourth quarter, a 20% decline from the same period a year ago, driven by lower shipments and higher sales programs. The company also posted a net loss of CA 44.5 million ($31.1 million) for the three months that ended Jan. 31, about a 115% decline from a year ago. While BRP provided no official outlook, Martel said the company is starting to see the effects of trade volatility on customer demand, with earnings per share for the quarter ending April 30 expected to be down 70% over last year. 'We are seeing the uncertainty created by the situation starting to impact the economy and the consumer confidence which makes it very difficult for us to properly forecast our industries and the demand for our products with the level of confidence we require,' Martel said. Recommended Reading McCormick weighs price hikes to tackle tariff impacts