QUARTERLY REVIEW

FIRST QUARTER ENDED APRIL 30, 2022

Forward-Looking Statements

Caution concerning forward-looking statements

Certain statements included in this presentation, including, but not limited to those relating to our Fiscal Year 2023 financial guidance (including revenues, Normalized EBITDA, Effective Tax Rate, Normalized earnings per share, net income, depreciation expense, net financing costs adjusted, weighted average of the number of shares diluted and capital expenditures), additional production capacity through the expansion of its production facilities or the reorganisation of existing facilities, the management of the supply chain to limit possible future disruption on the operations, future retail purchase of our products, the Company's ability to convert new entrants into life-long customers, its intention to launch a new products, as well other statements about our current and future plans, expectations, anticipations, intentions, results, levels of activity, performance, objectives, targets, goals, achievements, priorities and strategies, financial position, market positions, capabilities, competitive strengths, research and product development activities, including projected design, characteristics, capacity or performance of future products and their expected scheduled entry to market or any other future events or developments and other statements that are not historical facts constitute forward-looking statements within the meaning of applicable securities laws.

The words "may", "will", "would", "should", "could", "expects", "forecasts", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "outlook", "predicts", "projects", "likely" or "potential" or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements.

Forward-looking statements are presented for the purpose of assisting investors and others in understanding certain key elements of our current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of our business and anticipated operating environment. Investors and others are cautioned that such information may not be appropriate for other purposes. Investors and others should not place undue reliance on forward- looking statements made in this presentation. Forward-looking statements, by their very nature, involve inherent risks and uncertainties and are based on a number of assumptions, both general and specific, as further described below.

Many factors could cause the Company's actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the factors discussed in section "Risk Factors" of the Company's management's discussion and analysis (MD&A) for the quarter ended on April 30, 2022 and in the Company's other continuous disclosure filings (available on SEDAR at www.sedar.com and on EDGAR at www.sec.gov).

The forward-looking statements contained in this presentation are made as of the date of this presentation and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities regulations. In the event that the Company does update any forward-looking statement, no inference should be made that the Company will make additional updates with respect to that statement, related matters or any other forward-looking statement.

Key assumptions

The Company made a number of economic, market and operational assumptions in preparing and making certain forward-looking statements contained in this presentation, including the following: reasonable long-term industry growth ranging from slightly down to up high-single digits, that is based on the assumption that the supply chain disruptions do not worsen; market share that will remain constant or moderately increase; stable global and North American economic conditions and a limited impact from the military hostilities in Ukraine and the ongoing global health crisis; main currencies in which the Company operates will remain at near current levels; inflation is expected to remain elevated from strong demand, supply shortages and high energy prices, and is expected to gradually decline as central banks gradually increase interest rates; there will be no significant changes in tax laws or free trade arrangements or treaties applicable to the Company; the Company's current margins will remain around current levels; the supply base will remain able to support product development and planned production rates on commercially acceptable terms in a timely manner; no new trade barriers will be imposed amongst jurisdictions in which the Company carries operations; the absence of unusually adverse weather conditions, especially in peak seasons. BRP cautions that its assumptions may not materialize and that current economic conditions may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty.

All amounts in this presentation are expressed in Canadian dollars, unless otherwise indicated.

QUARTERLY REVIEW

2

First Quarter Ended April 30, 2022

JOSÉ BOISJOLI

PRESIDENT AND CHIEF EXECUTIVE OFFICER

QUARTERLY REVIEW

FIRST QUARTER ENDED APRIL 30, 2022

FY23 Q1 Financial Highlights

Revenues

Diluted Earnings per Share

Normalized Diluted Earnings per Share[1]

CA$ millions

CA$

CA$

Stable

48%

34%

$1,809

$1,809

FY22 Q1

FY23 Q1

Highlights vs. Last Year

$2.79

$1.46

FY22 Q1

FY23 Q1

$2.53

$1.66

FY22 Q1

FY23 Q1

  • Revenues flat vs last year, benefitting from a higher volume of SSV sold and favourable pricing, offset by lower volume of PWC and 3WV sold, for which more units are planned to be delivered in the second quarter
  • Normalized EBITDA[1] was down 28% to $272M and normalized diluted earnings per share[1] declined 34% to $1.66
  • Net income was down 51% to $121M and diluted earnings per share declined 48% to $1.46
  • Product availability limited North American BRP Powersports retail sales which were down 9%, outpacing the industry which was down low-twenty %

[1]For a reconciliation of net income to Normalized Net Income, Normalized EBITDA and Normalized Earnings per Share - Diluted, see the reconciliation table in appendix

Delivered results slightly ahead of expectations despite on-going supply chain disruptions

QUARTERLY REVIEW

4

First Quarter Ended April 30, 2022

FY23 Q1 Powersports Retail Update

North American Powersports Retail Growth by Product Line

FY23 Q1 retail sales in units compared to FY22 Q1

INDUSTRY

BRP VS.

INDUSTRY

TOTAL POWERSPORTS

9%

LOW

20%

SIDE-BY-SIDE

LOW-

LOW

VEHICLES

TEEN %

20%

ALL-TERRAIN

LOW-

HIGH

VEHICLES

TEEN %

20%

THREE-WHEELED

MID

MID

VEHICLES

50%

40%

PERSONAL

ABOUT

ABOUT

WATERCRAFT

40%

30%

SNOWMOBILES

MID

HIGH

90%

50%

Powersports Retail Growth by Region[1]

FY23 Q1 retail sales in units compared to FY22 Q1

INDUSTRY

BRP VS.

INDUSTRY

9%

TWENTY %

NORTH AMERICA

LOW-

EMEA[2]

14%

MID-SINGLE

DIGIT %

LATIN AMERICA

8%

NOT

NOT

AVAILABLE

AVAILABLE

ASIA-PACIFIC

13%

HIGH-SINGLE

DIGIT %

[1]Industry outside of North America includes On-Highway Heavyweight Motorcycles instead of Three-Wheeled Vehicles [2]Industry retail growth is based on the three-month period from January to March

Outperformed the North American Powersports industry

QUARTERLY REVIEW

5

First Quarter Ended April 30, 2022

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BRP Inc. published this content on 03 June 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 June 2022 10:21:02 UTC.