The Canadian manufacturer now anticipates annual revenue between C$9.23 billion and C$9.48 billion, surpassing previous projections. Normalized earnings per share are similarly revised upward to a range of C$4.00 to C$4.50. This optimism follows a quarter where revenue climbed 18.5% to C$2.24 billion, handily beating market expectations and offsetting the 1% rise in North American retail sales driven by side-by-side vehicle shipments.

Despite these gains, the bottom line suffered under the weight of Section 232 tariffs on steel, aluminum, and copper, alongside a C$74.8 million charge related to a supplier’s financial collapse. These factors compressed gross profit margins to 11.7%, down from 21.1% a year ago. Looking ahead, BRP warns that U.S. duties will continue to pressure performance, with normalized earnings in the third quarter expected to slide 50% to 60% compared to the prior-year period.