By Adriano Marchese
Canadian manufacturer of powersports vehicles and marine products BRP is set to report its third-quarter earnings Thursday morning. Here's what you need to know.
REVENUE: Analysts polled on FactSet expect revenue to rise to 2.08 billion Canadian dollars ($1.49 billion), up from C$1.96 billion a year earlier.
EARNINGS PER SHARE: Analysts forecast earnings per share of C$1.19, up from C$0.37 a year earlier.
ADJUSTED EARNINGS PER SHARE: On an adjusted basis, analysts project per-share earnings of C$1.26.
Shares were recently trading at C$98.15.
WHAT TO WATCH
-- Investors will be keen to know about any indications about the key fourth quarter for the maker of Ski-Doos and Sea-Doos. TD Cowen analyst Brian Morrison said the fourth quarter will be an inflection point for improved performance thanks to a step-up in revenue growth due to more off-road vehicle product deliveries and improved seasonal segment performance.
-- Looking further ahead, Morrison said investors will keep an eye for any high-level updates for its 2027 outlook. "We forecast a notable improvement in 2027, due to the narrowing of the wholesale-retail gap expected to add C$500 million in revenue alone," he said. Moreover, he expects the off-road vehicle segment to gain more share, as well as improved pricing.
-- Tariffs and trade remain a key risk, according to National Bank of Canada analyst Cameron Doerksen. BRP is currently compliant to the U.S.-Mexico-Canada Agreement requirements, and for this reason, the tariff situation is manageable for now. However, Doerksen said the USMCA agreement faces a review in 2026 which could change the trade landscape. "We are concerned that the U.S. administration will demand substantive changes to the agreement that could impact BRP's manufacturing competitiveness," he said.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
December 03, 2025 11:35 ET (16:35 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
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