Polaris Inc. introduced more than 120 new products in 2020 as it met increased consumer interest in the outdoors, fueled by the pandemic, and doubled its earnings in the fourth quarter.
Interim CEO Mike Speetzen praised Polaris workers for their agility and resilience during the year and says he has confidence that the company can tackle challenges facing manufacturing in 2021 to produce strong results.
Fourth quarter earnings doubled to $198.8 million, or $3.15 a share, over the same period a year ago. Sales were up 24% to $2.1 billion. Adjusted earnings were $210.9 million, or $3.34 per share, up more than 80%.
“While 2020 brought many unforeseen challenges, we emerged from the abrupt shutdown of the global economy early in the year to leverage the surge in demand across the Powersports industry and outdoor recreation,” Speetzen said in a statement.
The Medina-based recreational vehicle maker also introduced over 900 new accessories during the year even after dealerships were shut down and the company faced temporary plant closures early in the year.
For the year, Polaris posted sales of $7 billion, up 4%. After losses earlier in the year, net income was $124.8 million, down 61% over last year.
Adjusted earnings for the year were $7.74 per share, up from $6.32 per share in 2019.
“While supply chain challenges remain front and center for Polaris and most of the industry as we enter 2021, the operational track record of our team gives me great confidence in our ability to navigate those constraints, rebuild dealer inventories and continue to bring to market the highest quality, most innovative products and services in the powersports industry,” Speetzen said.
With that confidence Speetzen announced guidance for 2021 saying that 2021 sales will be in the range of $7.95 billion to $8.15 billion, an increase of 13% to 16% over 2020. Adjusted net income is expected to be in the range of $8.45 to $8.75 per diluted share.
Patrick Kennedy • 612-673-7926