MINNEAPOLIS (AP) — Polaris Industries' net income surged 40 percent in the third quarter on higher prices, reduced product costs and strong sales of a variety of its vehicles.
The Minneapolis manufacturer's performance topped analysts' expectations, and it lifted its 2012 earnings and revenue outlooks Thursday.
CEO Scott Wine said in a statement that the company had strong demand for its Ranger and RZR side-by-side vehicles. Sales of off-road and on-road vehicles, as well as snowmobiles, all improved during the quarter.
Polaris' stock climbed $3.22, or 3.8 percent, to $88.50 in premarket trading.
Polaris Industries Inc. earned $94.3 million, or $1.33 per share, compared with $67.6 million, or 95 cents per share, a year earlier.
Analysts forecast earnings of $1.20 per share, according to a FactSet survey.
Revenue for the three months ended Sept. 30 increased 21 percent to $879.9 million from $729.9 million. Wall Street expected $830.5 million.
Sales of parts, garments and accessories also rose, helped in part by the addition of more than 250 new accessories for the 2013 model year. International sales climbed thanks to better sales in the Asia Pacific and Latin American regions as well as increased sales of Victory motorcycles.
Polaris now foresees full-year earnings between $4.32 and $4.37 per share. That's up from prior guidance between $4.05 and $4.15 per share. The company now expects revenue will increase 19 percent to 20 percent, up from its previous forecast for a rise of 14 percent to 17 percent. Based on the company's 2011 revenue of $2.66 billion, the new forecast implies 2012 revenue of $3.17 billion to $3.2 billion.
Analysts had expected earnings of $4.19 per share on revenue of $3.13 billion.
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