BRP reports fourth-quarter loss of $6.3 million, sales up from year ago

VALCOURT, Que. – BRP Inc. (TSX:DOO) says it lost $6.3 million in its latest quarter as weaker Canadian dollar helped boost revenue.

The maker of snowmobiles, jet-skis and all-terrain vehicles said Friday the loss amounted to five cents per diluted share compared with a profit of $35.8 million, or 35 cents per diluted share, a year ago.

However, excluding one-time items, the company said it earned a normalized profit of $48.3 million or 41 cents per diluted share for the quarter, compared with $36.5 million or 35 cents per diluted share a year ago.

Revenue for the quarter ended Jan. 31 totalled $902.9 million, up from $791.5 million.

BRP said the strengthening of the U.S. dollar and the euro against the Canadian dollar helped add $53 million for the quarter.

For the full financial year, BRP said it earned $59.7 million or 53 cents per diluted share on $3.18 billion in revenue. That compared with a profit of $119.2 million or $1.16 per diluted share on $2.9 billion in sales the previous year.

BRP said its normalized earnings for the full year were $168.3 million or $1.49 per diluted share, up from $146.7 million or $1.43 per share.

In its outlook, the company said it expects revenues and normalized net income to grow between nine per cent and 13 per cent and between 10 per cent and 17 per cent, respectively.

President and chief executive Jose Boisjoli said dealer inventories in North America are at an all-time low.

“This situation has caused shortages of snowmobiles at certain dealers but it certainly bodes very well for the next wholesale season in the second half of the year,” Boisjoli said in a statement.

“The coldest winter in over 30 years in North America and the geopolitical uncertainty in Russia will have some impact on product deliveries early in the year, however I am confident we can continue to grow revenues and earnings with a strong product portfolio, a large geographic diversification and some exciting upcoming product news.”