Polaris finds reason “to celebrate” Q2 sales decline of 6%
On July 29, Polaris released second quarter 2025 results. For the second quarter, the manufacturer reported worldwide sales of $1,853 million, down 6 percent versus the second quarter of 2024. Year to date, Polaris sales totaled $3,388.5 million, down about 9% from $3,697.6 for the first 6 months of 2024.
North America sales of $1,584 million represented 85 percent of total sales and decreased 6 percent from $1,677 million in 2024. International sales of $269 million represented 15 percent of Polaris sales and decreased 5 percent versus the second quarter of 2024. Total company sales in the second quarter of 2025 were negatively impacted by lower volumes due to planned shipment reductions, negative product mix and lower net pricing driven by higher promotional spend.
Overall, Polaris seemed pleased that it sales were “above high-end of guidance driven by favorable shipments, partially offset by higher promotions.” The company reported that North American retail sales are flat year-over-year. The Off-Road Vehicle Utility market, Polaris said, it up low-single digits percentage-wide, while the Recreation market is down mid-single digits.
Polaris claims its dealers are “more comfortable with their Polaris inventory levels,” adding that “dealer inventory [is] aligned with current demand across most categories; down 13% year-over-year and down 16% excluding Snow and Youth machines. Q2 2025 Polaris ORV dealer inventory was down 18% year over year.
Off Road segment, the largest of Polaris’ three product segments, declined by 8% year over year. Its sales for Q2 2025 totaled $1,408.4 million, compared to sales in Q2 2024 of $1,533.8 million. Polaris North America ORV unit retail sales were up 1 percent. Estimated North America industry ORV unit retail sales were down low-single digits percent.
CEO Statement
“Amid a global macroeconomic environment that remains dynamic, the Polaris team has maintained an unwavering focus on advancing our strategy and delivering for customers and dealers. Polaris’ second quarter performance is the result of our disciplined execution. There are many successes in the quarter to celebrate, such as revenue exceeding our expectations, gaining market share, achieving our highest second quarter operating cash flow in over 5 years, and surpassing pre-pandemic benchmarks in plant efficiency through our lean efforts. I truly believe today’s endeavors build tomorrow’s successes, and thus expect Polaris is well-positioned to emerge stronger and achieve our long-term plans for growth, industry-leading innovation, and greater earnings power,” said Mike Speetzen, Chief Executive Officer of Polaris Inc.
2025 Outlook
Polaris introduced third quarter 2025 sales guidance of $1.6 billion to $1.8 billion. In 2024, the company’s third quarter sales were $1,722 million, down 23 percent compared to the previous year. The company is continuing to withhold full year 2025 guidance due to trade and economic uncertainty. It added it expects retail demand “to be flattish in an elevated promotional environment.”
