UTVs Help Drive Strong Earnings At Polaris

Posted on April 24, 2012 by Marc Cesare

Polaris reported strong first quarter earnings for 2012 with record sales of $673.8 million. ??Key sales drivers were Ranger and RZR UTVs and Victory motorcycles across global markets. ??Some key takeaways from the earnings call:

First quarter net income increased 27% to $60.1 million
Earnings per share increased 27% from the prior year period to $0.85
??32% improvement on operating profit
Management expects sales and earnings for 2012 to surpass previous guidance with??full year sales guidance to up 13% over 2011 and??full year earnings per share are now projected to be $3.85 to $4.00 per share, an increase of 20% to 25% over 2011.
Off-road Vehicle business revenue grew 30% in the first quarter. ??This includes side-by-sides and ATVs.
Polaris gained market share in both ATVs and side-by-sides.
Side-by-side retail sales grew at over 30% in North America for Polaris compared to low teens for the overall market with strong performance across all segments
Bobcat has reported dealer retail sales increases of upper single-digits in the first quarter
Expect a new Bobcat product ??in the coming months for both Polaris and Bobcat channels. “This should be a significant capability change from products we???ve offered traditionally.”
Management believes they can leverage their strengths in distribution, product cost and product innovation to drive growth in their??GEM and Goupil acquisitions. They see the global small electric vehicle market as a growth area and note “… certainly we think we???re not done building out that portfolio.”
In Europe under tough conditions Polaris outpaced the overall market with??particular??strength in France. ??Northern Europe is more of a work vehicle/Ranger market while Southern Europe sees more??recreational vehicle/RZR sales.

For earnings call transcript: ??Seekingalpha.com

Kawasaki Teryx4 Developed in the US

Posted on April 23, 2012 by Marc Cesare

Kawasaki Teryx4: First vehicle designed and developed primarily in Lincoln, NE

Kawasaki’s Teryx4 which hit dealer showrooms earlier this year was the first vehicle to be designed and developed primarily??at the Lincoln, NE manufacturing facility. ??The Lincoln R&D team developed the vehicle from the ground up concentrating on the vehicle’s frame and chassis while their counterparts in Japan worked on the engine and styling. ??It was a two to three year process. ??The Lincoln facility currently produces nearly the full range of Kawasaki’s consumer products with most of production destined for the US market. ??Management reports that more full product re-designs are in the future for the Lincoln R&D team. ??Learn more: ??Journalstar.com

Polaris Drives Side-by-Side Market Momentum in Q1

Posted on April 12, 2012 by Marc Cesare

According to preliminary results from a dealer survey conducted by Powersports Business and RBC Capital Markets, powersports dealers are reporting positive results across most categories in Q1 with side-by-sides leading the way. ??In the latter category Polaris is “outperforming” expectations with nearly half of ??dealers surveyed reporting double-digit sales increases in side-by-sides. ??Polaris competitors such as Arctic Cat and Can Am are not impacting the market leader’s performance as significantly as expected to date. ??Larger dealers are more likely to be selling above plan than smaller dealers. ??Learn more: ??Powersportsbusiness.com

Club Car Recalls Limited Number of Utility & Transport Vehicles

Posted on April 12, 2012 by Marc Cesare

Club Car, in cooperation with the Consumer Product Safety Commission, is recalling approximately 100 utility and transport vehicles. ??The brake pedal mounting blocks can crack and separate, resulting in a loss of braking ability. ??To date no incidents of cracking or resulting injuries have been reported. ??The vehicles were sold during April and May of 2011 and include a range of models and serial numbers. ??Club Car is contacting customers directly to provide a free replacement of the mounting blocks. ??For more information and specific models and serial numbers affected see CPSC.gov

Polaris Monterrey, Mexico Plant Praised by Analysts

Posted on April 4, 2012 by Marc Cesare

Polaris management recently gave analysts that cover the company a tour of their Monterrey, Mexico facility that opened a little over a year ago. ??Analyst came away with a positive review of the plant and its impact on the company’s performance. ??The plant currently produces about 200 side-by-sides per day on two production lines with a third line likely to be added in the future. ??Analysts report the plant has the lowest warranty costs in the company.

The plant was opened to more quickly supply southern US markets as well as international markets such as Brazil, India and China. ??The plant has also helped Polaris execute on their objectives of shortening ordering times and reducing dealer inventory. ??They have been ahead of their competition in these areas. ??Learn more: ??Powersportsbusiness.com

GPS Intelligence Offers Weather-Proof Vehicle Tracker

Posted on March 30, 2012 by Marc Cesare

GPS Intelligence recently launched their??ToughTrack PRO product to provide GPS tracking for a wide variety of vehicles including UTVs. ??The small device is dust-proof and water resistant and can be installed anywhere in the vehicle. ??The product features backup power and a variety of anti-theft features including:

Real-time monitoring
Remotely triggered tamper-prevention and anti-theft measures including lights, horn, door lock and starter disable
Alert notification based on user defined events such as primary power cut, trailer disconnect, open trunk and ignition on
Alert notification based on unauthorized movement or moving out of a pre-defined geographic perimeter

Learn more: ??Azosensors.com

Solar Power For Emergency Vehicles

Posted on March 30, 2012 by Marc Cesare

Streamlight, Inc. is partnering with PowerFilm to provide flexible solar panels as an auxiliary power option for emergency responder vehicles. ??The PowerFilm panels would be used to power??lights, computers, radios and other electrical components. ??Streamlight plans to begin selling the products next month. ??While their primary market appears to be full-size police vehicles, they also see potential in the utility and industrial ??vehicle markets as well. ??PowerFilm already supplies E-Z-GO with solar panels for their electric vehicles. Learn more: ??Desmoinesregister.com

BRP To Offer Electric Can Am Commander

Posted on March 29, 2012 by Marc Cesare

An electric Can Am Commander will be available in limited markets starting this July according to BRP management. ??The electric side-by-side will have top speed of about 25 mpg (40 km/hr) and a range of 25 to 100 miles depending on terrain, driving behavior and other factors. ??The vehicle will be produced at a new assembly plant located in Sherbrooke, Quebec, which will be used for gas vehicles as well. ??Select dealers will be used to launch the vehicle in??Quebec, Ontario, Alberta, California, Florida, Illinois, New York, Texas and Virginia. ??Electric technology for the vehicle was developed at??Centre de technologies avancees BRP-University de Sherbrooke (CTA). ??Learn more: ??Powersportsbusiness.com

Kubota RTV400Ci Update

Posted on March 22, 2012 by Marc Cesare

Kubota's new RTV400Ci utility vehicle

I previously posted about Kubota’s addition of an RTV400 to their utility vehicle line. ??The official model designation is the RTV400Ci. ??In addition to what I noted before, the vehicle will be able to fit??the bed of a full-size, long-bed pickup truck and has a top speed of 25 mph. It is available in??Orange and Realtree?? Hardwoods Camouflage. ??The compact RTV400Ci is pitched as being ideal for transport to worksites, for ranch use or hunting. ??Learn more: ??Marketwatch.com

Kawasaki Recalls UTVs

Posted on March 15, 2012 by Marc Cesare

In voluntary cooperation with the Consumer Products Safety Commission (CPSC) Kawasaki is recalling approximately 3,900 Mules because a??”…fuel tube can scrape against the air cleaner housing and develop holes, posing a fire hazard.” ??The recall covers the following 2012 Mule models:

MULE 600	KAF400BCF	Green
MULE 610 4×4	KAF400ACF	Red or Green
MULE 610 4×4 XC	KAF400DCF or KAF400ECF	Black or Camouflage

There have been no injuries or incidents reported regarding the issue but owners should stop using the vehicles and contact their local Kawasaki dealer for a free inspection and repair. ??Learn more: ??CPSC.gov

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