Polaris’ 2025 sales dip despite 9.5% rise in Q4

Polaris ’ sales dipped for its full-year 2025, but fourth-quarter sales rose nearly 10% as the market continues to recover from yearslong supply chain issues. Adjusted Q4 sales landed at $1.9 billion, up 4.5% quarter over quarter and 9.5% year over year , according to the manufacturer’s earnings presentation today. Full-year sales totaled $7.1 billion, down 0.5% YoY. With dealer inventory healthy at just under 100 days and a strong current-to-noncurrent product mix, Polaris plans to let retail demand drive production and shipment plans following years of pandemic-related uncertainty, Director and Chief Executive Michael Speetzen said during today’s earnings call. “This is exactly where we want to be and a place we haven't consistently been since before the pandemic. It aligns with how we manage the business, and we believe is also best for dealers in this demand environment.” — Polaris Director and Chief Executive Michael Speetzen Increased shipments and a 9% YoY decline in dealer inventory helped drive an increase in sales, or revenue, that outpaced market expectations, Tristan Thomas-Martin , senior equity analyst at BMO Capital Markets covering U.S. leisure, said in a research note today. “Revenue was aided by higher shipments in the quarter, supported by improved dealer inventory levels, with a greater proportion of current units,” according to the note. “This helped wholesale align better with retail and was further boosted by a favorable ORV mix.” Retail sales by segment North America retail sales rose 9.6% YoY and 2.3% QoQ in Q4 to $1.6 billion, according to the earnings release. North American sales represented 84% of total sales, down 2 percentage points YoY. Total off-road sales rose to $1.6 billion in Q4, up 11% YoY, with North America ORV retail sales also up 11% YoY, according to the presentation. Full-year ORV sales landed at $5.7 billion, flat YoY, while North America retail sales also finished flat YoY. Retail sales of Polaris utility and recreational off-road vehicles rose 5% YoY in Q4, while snowmobile sales increased in the “high 40%” range, according to the presentation. Total on-road vehicle sales rose 4% YoY to $187 million in Q4, while North America sales were down 9% YoY, according to the presentation. Full-year on-road sales fell 6% YoY to $927 million, and North American sales declined 7% YoY. Indian Motorcycle lost North America market share during the quarter, with retail sales down in the “high single digits” percentage. Total marine sales rose 1% YoY to $138 million in Q4, in line with historical lows due to seasonality, according to the presentation. Full-year marine sales came in at $512 million, up 7% YoY. Marine dealer inventory shrank 12% YoY in Q4 in line with demand. Wider financial performance While the company’s sales grew, a $90 million incremental tariff impact contributed to a $464.8 million net loss in 2025 during a “uniquely challenging year,” Robert Mack , chief financial officer and executive vice president of finance and corporate development, said during the earnings call. “Excluding the impact of tariffs, we exceeded what we said we would do in 2025, including share gains and healthier dealer inventory,” he said. Income from financial services landed at $19.7 million in Q4, down 24.5% YoY, according to the earnings release. For full-year 2025, income from financial services totaled $84.3 million, down 13.6% YoY. Shares of Polaris Inc. [ Nasdaq: PII ] were trading down 4.24% or $2.93 to $66.18 at the end of the day on Jan. 27, following the company's earnings release. Polaris stocks fell again today, down 1.87% or $1.24, to $64.94 at market close. Polaris has a market capitalization of $3.7 billion. Auto Finance News will present multiple invaluable events for industry professionals in 2026, starting with Auto Finance Summit East and Auto Finance Capital Summit in May. To see event agendas and register, visit autofinance.live .

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Polaris’ 2025 sales dip despite 9.5% rise in Q4

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