"Increasingly Cautious Consumer": Polaris Shares Crash As High Interest Rates Crush Demand For ATVs & Jetskis

"Increasingly Cautious Consumer": Polaris Shares Crash As High Interest Rates Crush Demand For ATVs & Jetskis
"Increasingly Cautious Consumer": Polaris Shares Crash As High Interest Rates Crush Demand For ATVs & Jetskis

原始链接: https://www.zerohedge.com/markets/increasingly-cautious-consumer-polaris-shares-crash-high-interest-rates-crush-demand-atvs

全地形车 (ATV)、多用途地形车 (UTV)、摩托艇和雪地摩托制造商北极星 (Polaris) 报告称，由于利率上升、通货膨胀加剧以及消费者在户外休闲产品上的支出减少，第二季度业绩疲软。尽管销售额为 $1.96B，低于预期的 $2.17B，但其各个细分市场的销售额均未达到预期，这表明先前繁荣的市场出现了低迷。毛利率、现金流、调整后每股收益等主要财务指标均出现下降或负增长。首席执行官 Mike Speetzen 表示，这些经济挑战将持续到 2022 年剩余时间。因此，Polaris 修改了年度展望，预计总销售额将下降 17%-20%，调整后每股收益将下降 56%-62% 较早的预测。股价在盘前交易中大幅下跌。其他从事类似市场业务的公司，如 MasterCraft Boat、MarineMax、Camping World、Brunswick 和 Malibu Boats 可能会遇到类似的影响，这表明在利率上升和通货膨胀的情况下消费者持续低迷。总体而言，这表明消费者对非必需户外休闲项目的信心正在减弱。

原文

A toxic trifecta of high interest rates, elevated inflation, and increasingly cautious dealers and consumers led Polaris to report dismal second-quarter results. The earnings miss and reduced full-year forecast for sales and profit indicate the once-thriving outdoor adventure market for ATVs, UTVs, jet skis, and snowmobiles is now in a deep freeze.

Polaris reported $1.96 billion in sales for the second quarter, missing the Bloomberg estimate of $2.17 billion. Sales for off-road, on-road, and marine all missed estimates, indicating that consumers are dialing back purchases of outdoor vehicles because of high interest rates.

Here's a snapshot of second-quarter earnings (courtesy of Bloomberg):

Sales $1.96 billion, -12% y/y, estimate $2.17 billion (Bloomberg Consensus)
Off Road sales $1.53 billion, -6% y/y, estimate $1.64 billion
On Road sales $293.3 million, -19% y/y, estimate $334.8 million
Marine sales $134.1 million, -40% y/y, estimate $203.9 million
Gross profit margin 21.6% vs. 22.8% y/y, estimate 23.1%
Cash and cash equivalents $322.7 million, -5.2% y/y, estimate $267.7 million
Adjusted EPS from continuing operations $1.38, estimate $2.23

"The second quarter proved challenging as our industry continued to contend with elevated interest rates, inflation, and an increasingly cautious dealer and consumer," Chief Executive Mike Speetzen wrote in a statement.

Polaris now expects full-year sales to decline 17% to 20%, compared with previous guidance of down 5% to 7%. It expects adjusted EPS to slide 56% to 62%, compared with prior guidance of down 10% to 15%.

Polaris now forecast full-year sales to decline by 17% to 20%, a significant drop from the previous guidance of a 5% to 7% decrease. The company also expects adjusted EPS to plummet by 56% to 62%, compared to the prior forecast of a 10% to 15% decline.

Speetzen said, "We have lowered our full-year guidance to reflect the decision to cut shipments and our expectations that current industry challenges remain in place for the remainder of the year."

In premarket trading, shares are down 14%, the largest intraday decline since early Coivd when government-enforced shutdowns closed the economy.

Also, watch MasterCraft Boat, MarineMax, Camping World, Brunswick, and Malibu Boats.

Polaris is a proxy of consumer health. Certainly, high interest rates and elevated inflation have crimped demand for ATVs, UTVs, and jet skis. The broad theme here is that a consumer slowdown continues to worsen.