Minneapolis - Despite the lack of snow in December, both Arctic Cat and Polaris Industries are reporting increased snowmobile sales and profits for their respective quarters.

Arctic Cat reports snowmobile sales rose 61% to $125.2 million in its fiscal third quarter, which ended Dec. 31, up from $77.8 million in the prior year's quarter. Cat attributes the jump to its revamped 2012 lineup that features 23 new sleds, or 75% of its offerings. Snowmobile sales for the first nine months of its fiscal year rose to $257.3 million, compared with $186.5 million the previous year.

For its third quarter, Cat's earnings increased to $17 million on sales of $207 million compared to last year's $9.3 million on sales of $152 million. For Cat's first nine months sales were $486.8 million, up 24% from $391.2 million a year earlier. Earnings were $36.1 million, up from $20.6 million a year earlier.

During Cat's third quarter, the company purchased 6.1 million shares of its own stock back from Suzuki at a cost of $76.3 million.

"We believe that this stock buyback provides immediate and long-term value to our remaining shareholders," said Claude Jordan, Arctic Cat's president and chief executive officer.

For the fiscal year ending March 31, Cat anticipates sales in the range of $568 million to $575 million. This would be an increase of 22% to 24% compared to 2011.

Arctic Cat's competitor and neighbor, Polaris reported fourth quarter snowmobile sales up 63% to $169.2 million from $104 million the previous year. For the year sled sales rose 48% to $280 million from $188.9 million in 2010. Polaris attributes this to shipping snowmobiles closer to consumer demand than in the previous year. Sales outside of North America, mostly the Scandinavian region, grew 52% in the final quarter.

"Our record fourth quarter results were a fitting ending to a year in which we generated record annual sales and earnings and significantly exceeded our initial expectations," said Scott Wine, Polaris' Chief Executive Officer.

Overall fourth quarter earnings were a record $63.9 million up 17% from 2010 on record sales of $782 million. Polaris' full year sales totaled $2.656 billion, up 33% from last year, with record earnings of $227.6 million.

Polaris' cash position was $302.5 million for the full year compared to $297.6 million in 2010.

By American Snowmobiler Magazine