Polaris Industries has issued a new report showing sales in its motorcycle divisions, Indian, Victory and Slingshot have increased 74 percent in the first quarter of 2015 compared to the first quarter of 2014.
“I am pleased to report record sales and earnings for our 2015 first quarter, with sales up 16 percent, operating income up 19 percent and net income up nine percent, our 22nd consecutive quarter of record earnings performance,” commented Scott Wine, Polaris’ chairman and chief executive officer.
The company reported first quarter sales of $137.4 million across the three product lines. The company said consumer retail demand for Victory and Indian Motorcycles during the first quarter of 2015, increased nearly 40 percent over last year’s first quarter, driven primarily by strong Indian Motorcycle retail sales. The company’s motorcycle sales results were particularly strong compared to first quarter North American industry heavyweight cruiser and touring motorcycle retail sales, which were up in the low-single digits percent from 2014. Slingshot retail sales were ahead of expectations.
The overall increases came despite the news that sales of Polaris motorcycles outside of North America decreased 12 percent in the first quarter of 2015 as compared to a year ago due to the currency impact of a strengthening U.S. dollar. Quarterly results in the company’s snowmobile line also slowed somewhat, where sales totaled $14.5 million for the 2015 first quarter compared to $15.6 million for the first quarter of 2014. However, Polaris’ North American retail snowmobile sales were up high-single digits percent for the full 2014-2015 season.
All three of the company’s motorcycle brands added to their product portfolios during the quarter. Indian Motorcycle introduced the Indian Chief Dark Horse, which is built upon the Indian Chief platform; Victory introduced the new Magnum X-1, a new bagger with a 200-watt, 10 speaker audio system and custom factory paint; and Slingshot adding a limited edition model with Nuclear Sunset Orange paint, dual windscreens and an interior LED lighting package.
The company also reported off-road vehicle (“ORV”) sales increased eleven percent from the first quarter 2014 to $645.4 million. The company’s ORV brands, include the RANGER and RZR side-by-side products. Additional increased revenue results came in the Parts, Garments and Accessories (“PG”) product lines, where sales increased 12 percent during the first quarter 2015 to $170.6 million compared to the same period last year.
Overall, the company had record first quarter net income of $88.6 million for the quarter ended March 31, 2015, an increase of nine percent from the 2014 first quarter net income of $80.9 million. Sales for the first quarter 2015 totaled $1,033.3 million, which represents an increase of 16 percent from last year’s first quarter sales of $888.3 million.
The report came on the heels of the news that the company has just closed a deal to acquire interest in Timbersled Products, Inc. a privately held Sandpoint, Idaho-based company that is a market leader in the growing snow bike industry. The terms of the transaction were not disclosed. The Timbersled acquisition adds to a list of recent acquisitions the company has made that includes Brammo e-bikes, a major player in the electric motorcycle market and Hammerhead Off-Road, which produces light gas and electric utility vehicles and gasoline powered go-karts.