Ski-Doo snowmobile maker BRP reports surprise adjusted profit

Fri Sep 11, 2015 7:13am EDT
 
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(Reuters) - Canadian recreational vehicle maker BRP Inc DOO.TO reported a surprise adjusted profit for the second quarter, helped by higher sales of propulsions engines, accessories and clothing.

Revenue from the propulsion business, which makes Rotax engines, rose 13 percent to C$95.4 million while sales of parts, accessories and clothing rose 12 percent to C$154.9 million.

The company, which makes Ski-Doo snowmobiles and Sea-Doo watercraft, said total revenue rose 4 percent to C$812.1 ($613.5) million.

The company reported adjusted earnings of 3 Canadian cents per share, while analysts on average estimated a loss of 2 Canadian cents, according to Thomson Reuters I/B/E/S.

The company, which sells in more than 100 countries, raised its full-year adjusted earnings per share to C$1.55-C$1.70 per share from C$1.50-C$1.65 as it expects depreciation costs to decline.

Analysts were expecting an adjusted profit of C$1.60.

BRP's competitors include Polaris Industries Inc (PII.N: Quote), Arctic Cat Inc ACAT.O and Kawasaki Heavy Industries Ltd (7012.T: Quote).

The company's net loss widened to C$68.3 million, or 58 Canadian cents per share, in the quarter ended July 31 from C$3.6 million, or 3 Canadian cents per share, a year earlier.

(eporting by Anannya Pramanick in Bengaluru; Editing by Don Sebastian)