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Powersports Business • February 2026 • 9 the 2026 season, particularly for entry- level Bennington pontoons and the redesigned Bennington QX lineup.

Snowmobile retail started strong due to early snowfall in flatland regions but moderated later in the season amid lighter mountain snowfall. Polaris said it will keep snowmobile production conservative heading into the 2026 – 27 season.

TARIFFS, COST CONTROL AND CASH FLOW Tariffs weighed heavily on results, pressuring gross margin by $ 37 million in the fourth quarter alone. Still, Polaris delivered more than $ 60 million in operational savings in 2025 through manufacturing transformation initiatives and reduced warranty expense by $ 25 million due to quality improvements.

“ If you adjusted out the tariff impact, we would have exceeded the guidance we set at the beginning of the year,” Speetzen notes.

North American retail sales rose 9 % in the fourth quarter, excluding youth products, a metric Polaris emphasized as a clearer indicator of business health and profitability.( Photo: Polaris Inc./ Q4-FY25 presentation)

Chief financial officer Bob Mack highlighted Polaris’ progress in cash generation and balance sheet strength.

The company generated $ 605 million in free cash flow in 2025 and paid down approximately $ 530 million in debt.

“ That’ s a testament to strong execution and controlling what we can control in an extremely dynamic environment,” Mack adds.

Polaris also continues to reduce its exposure to Chinabased sourcing, ending 2025 with approximately 14 % of the material cost of goods sold tied to China, down from 18 % in 2024. The company’ s goal is to reduce that figure below 5 % by year- end 2027.

DEALER OUTLOOK For 2026, Polaris forecasts sales growth of 1 % to 3 % and adjusted earnings per share of $ 1.50 to $ 1.60, assuming no material changes to current tariff policies. Excluding Indian Motorcycle, the company said the outlook equates to 7 % to 9 % organic growth.

“ We’ re entering 2026 from a position of strength,” Speetzen concludes.“ As Polaris succeeds, our dealers succeed, and our customers continue to enjoy the best products in the industry.”

Protective Life Corp., a vehicle protection solutions provider, has completed the acquisition of Portfolio Holding and its subsidiaries from Abry Partners, expanding Protective’ s reach across automotive, RV, powersports, and marine sectors.

term wealth through reinsurance structures, enabling them to retain underwriting profits and investment income. With approximately 450 employees and a national, multichannel distribution network, Portfolio serves millions of in- force customers through vehicle service contracts, GAP coverage, and a range of ancillary products. The company is also an 18− time recipient of the Dealers’ Choice Awards

“ Joining with Protective opens an exciting new chapter for our team as we seek to scale our impact across the dealer community,” says Jeremy Lux, CEO of Portfolio.

Protective Asset Protection supports more than 10,000 dealerships across multiple sectors with a comprehensive suite of vehicle protection plans, dealer participation programs, training, and technology. As of early 2025, the division had more than 10.9 million in- force vehicle protection plans and had paid $ 7.2 billion in claims.

Maynard Nexsen PC served as legal counsel to Protective, and TD Securities served as its financial adviser. Kirkland & Ellis LLP acted as legal counsel to Portfolio, and Jefferies LLC acted as its financial adviser.

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