BRP (DOO) Posts A Quarterly Loss And Raises Its Outlook Anyway

BRP Inc. (DOO) reported a second quarter loss of $0.18 per share on Wednesday despite a 18.5% year-over-year revenue increase to $2.24 billion. The company raised full-year guidance, citing strong performance in off-road vehicles, where Can-Am captured nearly a third of North American sales. However, tariffs and rising commodity costs hurt the bottom line.

BRP expects $200 million in net tariff exposure for the year and a 50% to 60% decline in normalized EPS. The company's growth potential depends on stabilizing tariff costs and stabilizing personal watercraft demand. Hedge fund ownership decreased, suggesting institutional investors are cautious amid the tariff uncertainty.