Arctic Cat Posts 2Q Profit of $14.7 Million
Arctic Cat Inc. reported net income of $14.8 million for the second quarter ended Sept. 30, 2009, down from $16.9 million posted in the year-ago period.
MINNEAPOLIS — Arctic Cat Inc. reported net income of $14.8 million for the second quarter ended Sept. 30, 2009, down from $16.9 million posted in the year-ago period. For the six months ended Sept. 30, 2009, Arctic Cat’s net income was $8.8 million, down from earnings of $10 million reported in the prior year.
“We continued to face difficult selling conditions during the second quarter, given the global economic environment. Despite this, we are pleased with the company’s continued progress on our goals to reduce the company’s cost structure and strengthen the balance sheet,” said Christopher A. Twomey, Arctic Cat’s chairman and chief executive officer
The company’s revenue fell 19 percent to $166.3 million from $204.3 million, primarily due to lower sales of snowmobiles and ATVs. Year-to-date revenue was $235.7 million, down from $298.2 million in 2008.
Snowmobile sales totaled $85.7 million in the second quarter compared to $98.4 million in the prior-year quarter. Year-to-date, snowmobile sales were $103.7 million versus $119.8 million in the same period last year.
All-terrain vehicle (ATV) sales totaled $51.7 million in the second quarter versus $71.6 million in the prior-year quarter. Year-to-date ATV sales were $83.9 million compared to $125.4 million in the first six months of fiscal 2009.
Sales of parts, garments and accessories (PG&A) in the second quarter totaled $28.8 million versus $34.3 million in the prior-year quarter. Year-to-date, PG&A sales were $48.1 million compared to $52.9 million in the year-ago period.
Arctic Cat struck a multi-year floorplan financing agreement in October with GE Capital. The deal will replace Arctic Cat’s current agreement with Textron Financial Corporation, and will begin December 1.
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