Polaris reports sales down 12 percent

Reporting its Q2 2024 financial results, Polaris announced its sales were $1,961 million, down 12 percent compared to last year. Second quarter market share was flat in off-road vehicles (ORV) and pontoons. Powersports retail sales for the quarter were down 8 percent versus last year driven by a decline in motorcycles and marine; second quarter ORV retail was down 4 percent.

“The second quarter proved challenging as our industry continued to contend with elevated interest rates, inflation, and an increasingly cautious dealer and consumer,” said Mike Speetzen, CEO of Polaris, Inc. “As we position our business to navigate this economic cycle, our team is focused on making progress against key priorities, including manufacturing efficiency improvements and our pipeline of industry-leading innovation. Reducing dealer inventory is a central priority, both through intentional retail- driving efforts and adjusting our production forecasts to further cut back on dealer shipments. We have lowered our full-year guidance to reflect the decision to cut shipments and our expectations that current industry challenges remain in place for the remainder of the year.”

The company’s sales decline happened internationally. North America sales of $1,677 million represented 86 percent of total company sales and decreased 11 percent from $1,883 million in 2023. International sales of $284 million represented 14 percent of total sales and decreased 15 percent versus the second quarter of 2023. 

By Segment

Off Road segment sales were driven by lower volume and net pricing driven by higher promotional spend, partially offset by increased Parts, Garments and Accessories (PG&A) sales, which increased 10 percent.

For motorcycle dealers, Polaris’ on road segment sales results were driven by lower volumes, and PG&A sales decreased 10 percent. North America unit retail sales for Indian Motorcycle were down low twenties percent. Estimated North America unit retail sales for the comparable motorcycle industry were down mid-single digits percent.

The Company updated its 2024 sales outlook to be down 17 to 20 percent versus its previous outlook of down five to seven percent versus 2023.