Polaris Reports FY 2025 North American Indian Motorcycle Unit Sales Down High Single Digits
In releasing its fourth quarter and full year 2025 results in January, Polaris Inc. (NYSE: PII) reported worldwide sales of $1,922m, up nine percent versus the fourth quarter of 2024. North America sales of $1,623m represented 84% of total company sales and increased 10% from $1,481m in 2024.
International sales of $299m represented 16% of total Company sales and increased nine percent versus the fourth quarter of 2024. Total Company sales in the fourth quarter of 2025 were positively impacted by higher shipment volumes to meet demand.
Full year 2025 sales were $7,152m, approximately flat compared to 2024 (adjusted sales were $7,143m) with a full year 2025 reported diluted loss per share of $8.18 (adjusted diluted net loss per share was $0.01).
Primary factors affecting fourth quarter sales were cited as including higher shipments and higher mix within off-road vehicles (ORV) partially offset by lower net price.
Polaris gained market share in all segments for full-year 2025, gaining share in ORV (excluding Youth), Snow and Marine during Q4. Powersports retail sales for the quarter were up nine percent excluding Youth versus 2024.
CEO Mike Speetzen is reported as saying that "2025 may have brought headwinds outside our control, but the Polaris team met the year with resolve, a disciplined focus, and unwavering commitment to our dealers and riders.
"We delivered strong results for the year, gaining share across our segments, enhancing operations, achieving healthy dealer inventory levels, and advancing strategies that strengthen our foundation.
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| Polaris CEO Mike Speetzen is quoted as having said that "we delivered strong results for the year, gaining share across our segments, enhancing operations, achieving healthy dealer inventory levels." |
"Our long-term growth plan remains anchored in category-defining innovation, efficient operations, and a best-in-class dealer network. We believe these priorities position us to lead the industry, drive profitable growth and deliver strong returns for shareholders."
Off Road segment sales were driven by higher volume and favorable mix within ORV, partially offset by lower net price. PG&A sales increased 22%. Gross profit margin performance was driven by pressure from tariffs and higher promotions, mostly offset by volume and operational efficiencies.
Polaris North America ORV excluding Youth unit retail sales were up five percent. Estimated North America industry ORV excluding Youth unit retail sales were up low-single digits percent.
On Road segment sales were driven by higher mix of Aixam and Goupil; PG&A sales increased six percent. Gross profit margin performance was driven by favorable mix, partially offset by tariffs.
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| The well-received new 2026 Indian Sport Scout RT |
North America unit retail sales for Indian Motorcycle were down high-single digits percent. Estimated North America unit retail sales for the comparable motorcycle industry were up mid-single digits percent.
Marine segment sales were driven by higher volume on entry level pontoons. Gross profit margin performance was impacted by negative mix driven by success of entry level pontoons.
For 2026 the Company expects sales to be up one to three percent versus 2025. The Company expects adjusted diluted EPS attributed to Polaris Inc. common stockholders to be between $1.50 and $1.60, relative to ($0.01) in 2025.
Polaris Completes Separation of Indian Motorcycle
In what has been referenced as a "tangled unwind", Polaris announced that it had completed its sale of a majority (80%) stake in Indian Motorcycle to Los Angeles based investor Carolwood LP.
With former H-D and V&H man Mike Kennedy as the new Indian Motorcycle CEO (see interview elsewhere in this edition of AMD), the deal had been originally announced in September – although rumors that Polaris was looking to sell Indian Motorcycle had been swirling since late 2024.
"The successful completion of this transaction is a great outcome for all," said Polaris CEO Mike Speetzen. "Separating Indian Motorcycle enables Polaris to sharpen our strategic and operating focus on our core growth businesses, while driving immediate value creation for shareholders."
It is believed that under their ownership Polaris had grown production to around 23,000-26,000 units annually since it bought the brand. The transaction includes the main Indian Manufacturing facility at Spirit Lake, Iowa; the Monticello, Mn. operations and the industrial design/technology center in Burgdorf, Switzerland (formerly known as Swiss Auto).
Indian Motorcycle will not be using Polaris facilities in either Asia, Poland or Mexico and engine manufacturing will move to Spirit Lake - Polaris did not include the Osceola, Wi. Powertrain facility in the sale and has now been shuttered by Polaris.
Polaris acquired the Indian Motorcycle brand from Stellican (Kings Mountain, NC). Owned by Brit Stephen Julius, Stellican was best known at the time for its revival of Chris Craft and had itself acquired the Indian brand in 2003. Prior to that it had been owned and operated by Ray Sotelo, of Indian Motorcycle Company of America (aka California Motorcycle Company).
Sotello, a custom bike builder (South County Motorcycles) restarted Indian brand manufacturing at Gilroy, California in 1999 after it been out of production pretty much entirely since the Original Indian Motorcycle company went bankrupt in 1953 and their Springfield, Mass. factory closed down, triggering several rival and legally complex disputes over brand ownership until Sotello merged his CMC with IMCA in 1998.
The brand was started by George Hendee and Swedish-American engineer Oscar Hedstrom at Springfield in 1901. The new owners have already announced that they will be marking the brand's 125th anniversary with a series of events through this year.
