Snowmobile maker BRP's Q2 revenue beats on higher ORV shipments
DOOO•Analyst coverage
- The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"
- The average consensus recommendation for the recreational products peer group is "buy"
- Wall Street's median 12-month price target for BRP Inc. is C$99.50, about 13.6% above its September 2 closing price of C$87.60
- The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 19 three months ago
FY27 outlook raised
- BRP raises FY27 normalized diluted EPS guidance to C$4.00-C$4.50
- Company expects Q3 FY27 normalized diluted EPS to fall 50%-60% year over year
- Company sees FY27 revenue at C$9.225 bln to C$9.475 bln
Result drivers and key details
- ORV SHIPMENTS AND SSV MIX - Co said revenue growth was driven by higher ORV shipments and favorable SSV mix from new model launches
- TARIFFS AND SUPPLIER RESTRUCTURING - Co said gross profit and margin declined due to U.S. tariffs and supplier financial restructuring
- SEASONAL PRODUCT SHIPMENTS - Co said lower seasonal product sales reflected PWC units shipped earlier in the first quarter
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Revenue |
