BRP Raises Price Target to C$113 After 29.5% Q1 Revenue Gain and 77% EPS Beat
DOO•BRP delivered Q1 FY2027 revenue of $2.40 billion, a 29.5% increase year-over-year, and topped profit estimates with $1.33 per share versus $0.75 expected. While net income dipped 20.9% to $127.3 million, normalized EPS rose to $1.83 and EBITDA grew 66.5% to $334.4 million.
1. Q1 FY2027 Results
BRP reported Q1 revenues of $2.40 billion, a 29.5% year-over-year increase driven by higher Off-Road Vehicles and Personal Watercraft shipments. Strong top-line growth reflected persistent market demand for the company’s powersports and marine products.
2. Profit and Operational Metrics
Quarterly earnings per share reached $1.33, surpassing estimates by 77%, while net income declined 20.9% to $127.3 million. Excluding one-time items, normalized EPS rose to $1.83 and EBITDA climbed 66.5% to $334.4 million, underscoring solid core profitability.
3. Analyst Rating and Price Target
RBC Capital reaffirmed its Outperform rating on BRP and increased the price target from C$107.00 to C$113.00, signaling confidence in the company’s earnings trajectory and growth prospects.
4. Updated Full-Year Guidance
BRP adjusted its full-year outlook to account for new tariff costs, forecasting revenues between $9.10 billion and $9.40 billion and normalized EPS of $3.00 to $3.50, reflecting prudent financial management of potential headwinds.
