By Will Feuer
Polaris is expected to report fourth-quarter results before the market opens Tuesday, with analysts expecting a drop in quarterly sales. Here’s what you need to know.
NET INCOME: The company, which makes off-road and all-terrain vehicles, is expected to report a profit of $146.7, according to the consensus of 12 analysts surveyed by FactSet. That would be down from $195.5 million in the same period a year earlier.
ADJ. EARNINGS: Polaris is expected to report adjusted earnings of $2.57 a share, according to 15 analysts surveyed.
REVENUE: Medina, Minn.-based Polaris is expected to report fourth-quarter sales of $2.25 billion, according to 15 analysts surveyed by FactSet.
The stock price fell about 9% during the quarter and recently traded at $91.69 a share.
WHAT TO WATCH
— Polaris is expected to issue its 2024 outlook on Tuesday. Analysts at D.A. Davidson said they expect the company’s guidance to be weighted toward the back half of the year. The analysts said Polaris is in a similar position to that of the boat manufacturers, which are dealing with bloated inventories among dealerships, prompting the manufacturers to throttle production.
— In addition to reporting fourth-quarter results, Polaris executives will also likely offer some color on how sales are trending so far in January. The Davidson analysts say they believe off-road vehicle dealerships have seen their momentum slow in January from December. “January retail trends have been especially disappointing for dealers given PII is offering larger rebates compared to January 2023,” the analysts said in a note published last week.
Write to Will Feuer at Will.Feuer@wsj.com
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