BRP Inc. (DOOO) surged 7.9% in intraday trading Thursday, driven by a trifecta of positive developments: better-than-expected fiscal third-quarter results, upgraded full-year guidance, and regulatory approval for a significant share repurchase program.
The Canadian powersports vehicle manufacturer reported Q3 normalized earnings of CA$1.59 per share, surpassing the FactSet consensus of CA$1.26. Revenue rose 14% year-over-year to CA$2.25 billion, also beating estimates. CEO Jose Boisjoli attributed the performance to market share gains in off-road vehicles and improved inventory management.
BRP raised its fiscal 2026 revenue guidance to CA$8.3 billion (top end of prior range) and normalized EPS outlook to CA$5.00 (above previous CA$4.25-CA$4.75 range). Separately, the Toronto Stock Exchange approved the company's plan to buy back up to 10% of its outstanding shares, worth approximately CA$308.9 million at current prices. TD Cowen analysts noted the results "should prompt upward revisions to fiscal 2027 consensus forecasts."
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