Minneapolis, Minn. - In contrast to last year's unseasonably warm spring this year's snowy spring has created a boom for Polaris' snowmobile sales. Polaris has reported a 217% increase in first quarter sled sales compared to the prior year.
Overall the firm’s first quarter income was up 26% to $75.5 million from $60.1 million in 2012’s first quarter, and sales increased 11% to $745.9 million from $673.8 million. The first quarter ended March 31.
Snowmobile sales increased to $14.7 million from last year's $4.6 million first quarter sales. The North American snowmobile industry finished with retail sales up more than 20% in the first quarter (and mid-single digits for the season) due to more normal snowfall levels and later snow cover than the previous year. Sales to customers outside North America increased more than 100% in the first quarter.
Polaris reported sales growth in all of its other divisions except On-Road Vehicles.
Off-Road Vehicles sales rose 7% to $541.3 million from $504.6 million in the previous year's first quarter. The ATV and side-by-side divisions both gained market share in North America. However, North American ATV retail sales were down by single digits due to the unseasonably warm weather in 2012 and a late spring in 2013.
On-Road Vehicle sales dipped 3% during the first quarter to $62.9 million. This was attributed to higher sales during the warmer weather last year. This year marks the company’s 15th anniversary of producing Victory motorcycles.
Parts, Garments and Accessories sales increased 27% during the quarter to $127.1 million from $99.9 million in 2012. The double digit increase was in all divisions. Snowmobile related PG&A high demand was attributed to more snowfall and later snow cover.
For the full 2013 fiscal year, the company expects income to increase 15% to 18% while sales are expected to grow 12% to 15%.
By American Snowmobiler Magazine