During fiscal year 2013, 45 percent of sales were in the ATV/SSV segment, up from 39 percent the previous year. Arctic Cat said it anticipates launching multiple new ATV/SSV products every quarter through the fiscal 2014 year end.
Snowmobile sales in the quarter rose 26 percent to $22.6 million, up from $18 million in the prior-year quarter.
For the 2014 model year, Arctic Cat launched 10 snowmobiles, including the all-new ZR 6000 El Tigre high-performance sled, and new snowmobile engine options from Arctic Cat and Yamaha through an engine supply agreement.
Arctic Cat’s first designed and built snowmobile engine – the 6000 C-TEC2 – is a powerful, lightweight and fuel-efficient 2-stroke that enables the company to enter the large 600cc snowmobile market segment that now accounts for 18 percent of the snowmobile industry, the company forecasted.
“We’ve received enthusiastic dealer response to our 2014 model year snowmobile lineup, with its exciting array of new engine and chassis options, and our expanded relationship with Yamaha is proceeding smoothly,” Jordan said. “We are excited to offer snowmobiling enthusiasts industry-leading chassis and engine options that will give our customers the most well-rounded choices for technology, reliability and horsepower.”
PG&A sales in the quarter increased 7 percent to $21.9 million, against $20.4 million in the prior-year quarter. The growth stemmed primarily from sales of garments, parts and oil.
Arctic Cat reported net earnings rose 172 percent to $5.5 million, or 40 cents per share, for the fiscal first quarter ended June 30, 2013, compared to net earnings of $2 million, or 14 cents per share, in the prior-year quarter.
Arctic Cat ended the 2014 first quarter with cash and short-term investments totaling $48.9 million, up from $17.4 million a year ago. During the quarter, the company repurchased about 31,000 shares of the company’s stock at a cost of about $1.4 million.
For the fiscal year ending March 31, 2014, Arctic Cat is increasing its earnings guidance and now expects earnings to be in the range of $3.27 to $3.37 per share, an increase of 13 percent to 17 percent over prior-year earnings of $2.89 per share. The company continues to anticipate sales in the range of $754 million to $768 million, an increase of about 12 percent to 14 percent versus fiscal 2013.
Posted by Holly Wagner