Slide 1: Quarterly Review: Third Quarter Ended October 31, 2016
QUARTERLY REVIEW THIRD QUARTER ENDED OCTOBER 31, 2016
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements in this presentation about the Company’s current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward-looking statements. The words “m
Slide 3: José Boisjoli, President & Chief Executive Officer
JOSÉ BOISJOLI PRESIDENT & CHIEF EXECUTIVE OFFICER QUARTERLY REVIEW THIRD QUARTER ENDED OCTOBER 31, 2016 BRP Inc. - FY17 Q3 3
Slide 4: FY17 Q3 Revenues and Normalized EPS
FY17 Q3 Revenues and Normalized EPS Revenues Normalized EPS - Diluted[1] CA$ millions CA$ 7% 50% $0,93 $1 080,2 $1 010,2 $0,62 FY16 Q3 FY17 Q3 FY16 Q3 FY17 Q3 Highlights vs. Year Ago Increase of 7% in revenues primarily driven by higher wholesale in Year-Round Products, partially offset by lower w
Slide 5: Smooth start of production for the Can-Am Maverick X3 and the new Ski-Doo platform
Smooth start of production for the Can-Am Maverick X3 and the new Ski-Doo platform Launched production and delivered the first units of two new platforms during the quarter BRP Inc. - FY17 Q3 5
Slide 6: Year-Round Products
Year-Round Products Revenues Business Dynamics CA$ millions Revenue increase of 48%: 48% Mainly driven by a higher volume and favourable product mix of SSV sold following the introduction of the Can-Am Defender and the Can-Am Maverick X3 $383,9 Off-Road Vehicles $260,1 Four months into the 2016
Slide 7: Seasonal Products
Seasonal Products Revenues Business Dynamics CA$ millions Revenue decrease of 12%: 12% Mainly driven by lower volume of snowmobile, partially offset by a higher volume and a favourable mix of PWC sold $476,0 PWC $417,1 North American PWC industry ended season 2016 up high-single digit % FY16 Q3
Slide 8: Propulsion Systems and Parts, Accessories and Clothing
Propulsion Systems and Parts, Accessories and Clothing Propulsion Systems Parts, Accessories and Clothing Revenues Revenues CA$ millions CA$ millions 4% 5% $175,6 $185,0 $98,5 $94,2 FY16 Q3 FY17 Q3 FY16 Q3 FY17 Q3 Business Dynamics Business Dynamics Revenue decrease of 4%: Revenue increase of 5%:
Slide 9: Sébastien Martel, Chief Financial Officer
SÉBASTIEN MARTEL CHIEF FINANCIAL OFFICER QUARTERLY REVIEW THIRD QUARTER ENDED OCTOBER 31, 2016 BRP Inc. - FY17 Q3 9
Slide 10: FY17 Q3 - Financial Highlights
FY17 Q3 - Financial Highlights Q3 comparison 9-month comparison CA$ millions FY17 FY16 Change FY17 FY16 Change Total Revenues $1,080.2 $1,010.2 $70.0 $2,866.2 $2,720.4 $145.8 Growth +6.9% +5.4% Gross Profit $307.2 $246.0 $61.2 $673.3 $628.3 $45.0 As a % of revenues 28.4% 24.4% 23.5% 23.1% Operating
Slide 11: FY17 Q3 - Revenues by Product Category and Geography
FY17 Q3 - Revenues by Product Category and Geography Revenues by Product Category Revenues by Geography CA$ millions CA$ millions 7% 7% $1 080,2 $1 080,2 $1 010,2 $1 010,2 $185,0 +5% PAC $175,6 $311,0 Flat International Propulsion $94,2 -4% $312,3 $98,5 Systems $218,1 -10% $417,1 -12% Canada $243,5
Slide 12: FY17 Q3 - Normalized Net Income Bridge
FY17 Q3 - Normalized Net Income Bridge CA$ millions 4 (12) 13 (21) 19 28 104 73 FY16 Q3 Volume Pricing and Production Costs Operating Net Financing Foreign Exchange FY17 Q3 and Mix Sales Programs and Others Expenses Costs and Rates Normalized Income Tax Expense Normalized Net Income up $31M primaril
Slide 13: BRP North American Powersports Dealer Inventory
BRP North American Powersports Dealer Inventory Dealer Inventory Level Units, Excluding Outboard Engines Dealer inventory[1] ended FY17 Q3 up 7% from FY16 Q3 level The increase in network inventory was primarily driven by the introduction of the Can-Am Defender and Maverick X3, and; Q1 Q2 Q3 Q4
Slide 14: FY17 Full-Year Guidance - as at December 9, 2016
FY17 Full-Year Guidance - as at December 9, 2016 Financial Metric FY17 Guidance vs FY16 Revenues Year-Round Products Up 11% to 13% (increased from up 8% to 12%) Seasonal Products Up 2% to 6% (increased from flat to up 4%) Propulsion Systems Up 5% to 10% PAC Flat to up 3% (lowered from up 3% to 8%) T
Slide 15: Closing Remarks
CLOSING REMARKS SKI-DOO © LYNX © SEA-DOO QUARTERLY REVIEW EVINRUDE © © THIRDD QUARTER ENDED OCTOBER 31, 2016 ROTAX © CAN-AM © BRP Inc. - FY17 Q3 © 2016 BRP all rights reserved. Ski-Doo, Lynx, Sea-Doo, Evinrude, Rotax, Can-Am and the BRP logo 15 are trademarks of Bombardier Recreational Products Inc.
Slide 16: Q&A Period
Q&A PERIOD SKI-DOO © LYNX © SEA-DOO QUARTERLY REVIEW EVINRUDE © © THIRD QUARTER ENDED OCTOBER 31, 2016 ROTAX © CAN-AM © BRP Inc. - FY17 Q3 © 2016 BRP all rights reserved. Ski-Doo, Lynx, Sea-Doo, Evinrude, Rotax, Can-Am and the BRP logo 16 are trademarks of Bombardier Recreational Products Inc. or it
Slide 17: Global Leader in Powersports Vehicles and Engines
Global Leader in Powersports Vehicles and Engines Year-Round Products All-Terrain Vehicles Side-by-Side Vehicles Roadsters Seasonal Products Ski-Doo Snowmobiles Lynx Snowmobiles Personal Watercraft Propulsion Systems Outboard OEM Engines Engines Diversified Product Portfolio AND Powerful Brands BRP
Slide 18: Appendix
APPENDIX SKI-DOO © LYNX © SEA-DOO QUARTERLY REVIEW EVINRUDE © © THIRD QUARTER ENDED OCTOBER 31, 2016 ROTAX © CAN-AM © BRP Inc. - FY17 Q3 © 2016 BRP all rights reserved. Ski-Doo, Lynx, Sea-Doo, Evinrude, Rotax, Can-Am and the BRP logo 18 are trademarks of Bombardier Recreational Products Inc. or its
Slide 19: Reconciliation Tables
Reconciliation Tables Three-month periods ended 9-month periods ended CA$ millions Oct. 31, 2016 Oct. 31, 2015 Oct. 31, 2016 Oct. 31, 2015 Net Income $78.7 $65.5 $120.6 $80.3 Normalized elements: Foreign exchange (gain) loss on long-term debt 24.5 2.8 (56.7) 28.4 Restructuring and related costs reve
Slide 20: BRP Inc. - FY17 Q3
Ski-Doo” Lynx" Sea-Doo® BRP Evinrude” Rotax’ Can-Am’ THE ULTIMATE POWERSPORTS EXPERIENCE 2015 BRP. All rights reserved. / ™ * and the BRP logo are trademarks of BRP or its affiliates.