Recreational vehicle maker BRP Inc. shares hit an all-time high Thursday after it posted record results in the first quarter that prompted it to boost the outlook for the coming fiscal year.
The Quebec-based company’s shares hit $62.08 before falling slightly to close at $60.40, up $3.33 or 5.8 per cent in Thursday trading on the Toronto Stock Exchange.
The company that makes snow machines, Sea-Doos, Can-Am off-road vehicles and Spyder three-wheel motorcycles beat expectations as its net income grew on a 16 per cent growth in revenues.
BRP earned $13.3 million attributable to shareholders for the period ended April 30, reversing a $5.1 million loss a year earlier.
Excluding one-time items, it earned $53.5 million or 52 cents per diluted share. That compared with $42.8 million or 38 cents per share in the first quarter of fiscal 2018.
Revenues rose to $1.14 billion from $976.9 million.
Topped analyst expectations
BRP’s results also beat analyst calls for 29 cents per share in adjusted profits on $1.02 billion of revenues, according to analysts polled by Thomson Reuters Eikon.
The company says its adjusted earnings per share should surge this year by 24 to 30 per cent, compared to 20 to 25 per cent in its prior guidance. It now anticipates a six to 10 per cent increase in revenues, up from five to eight per cent in its prior forecast.
BRP was started by the founder of Bombardier Inc., which later spun the company off as a corporation largely owned by the founder’s family and private equity firm Bain Capital.