Polaris Industries Earnings: Here’s Why Investors Like These Results

Polaris Industries, Inc. (NYSE:PII) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 2.44%.

Polaris Industries, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 15.31% to $1.13 in the quarter versus EPS of $0.98 in the year-earlier quarter.

Revenue: Rose 11.83% to $844.8 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Polaris Industries, Inc. reported adjusted EPS income of $1.13 per share. By that measure, the company beat the mean analyst estimate of $1.11. It beat the average revenue estimate of $838.75 million.

Quoting Management: Scott Wine, Polaris’ Chairman and Chief Executive Officer, stated, “We are pleased with the strength of our brands and the performance of our team, as they overcame unusually wet weather conditions across North America and sluggish international consumer demand to once again deliver record results. Retail sales to consumers in North America rose 11 percent in the second quarter, accelerating from softer first quarter results and sequentially reducing dealer inventory ahead of perhaps the most eagerly anticipated new product launch in the Company’s history. We also gained market share in our Off-Road Vehicle business, despite increasing competitive pressure. In addition, we expanded gross margin by 120 basis points, driven in large part by increased selling prices and continued product cost reduction efforts.”

Key Stats (on next page)…

Revenue increased 13.26% from $745.91 million in the previous quarter. EPS increased 5.61% from $1.07 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $1.55 to a profit $1.57. For the current year, the average estimate has moved up from a profit of $5.22 to a profit of $5.23 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)