Consumers aren't buying big-ticket items right now.

Polaris is feeling the heat, as in its recent earnings report, the brand stated it saw its profits drop a whopping 82% compared to last year. That's, uh...bad. 

During the call, Polaris' CEO Mike Speetzen stated that one factor, high interest rates, was very much an issue causing distress within the company. Higher interest rates mean it's harder not to be underwater on a purchase, as well as making payments affordable. And that while the Federal Reserve marginally lowering interest rates helped, more would need to be done in order to get people financing these machines again. 

Another big issue that Polaris is facing, though not something that was brought up during the call, was that the entire snowmobile industry felt more pain than usual as last year's snowfall on the East Coast of the United States wasn't something to write home about. Indeed, the lack of snow for the vast majority of the East Coast caused many to not only push off buying a new machine, but even registrations of old machines were down. That's just another blow to the company's profits.

Speetzen did state that one issue Polaris is looking to address is outdated inventory that's now stockpiling on dealership lots. "A healthy dealer network is one of the critical components to our long-term success, which is why we have anchored our current production and shipment plans to our goal of lowering dealer inventory by 15 to 20 percent by the end of the year, and I am encouraged by the progress being made," said Speetzen in a press release ahead of the call. 

Polaris now expects to see about a 20% fall in profits compared to last year. As you'd expect, the company's stock price has tumbled slightly on that news. Likewise, Polaris stated that in order to have a better outlook going forward, the company will be doing certain restructuring plans, stating, "The Company is executing certain corporate restructuring activities across the organization to increase efficiency and focus its business, including the divestitures of the GEM, Taylor-Dunn and Transamerican Auto Parts businesses."

We'll have to wait to see where the chips fall with Polaris, as it figures out how to move forward in this new world. That said, the company does make excellent powersport equipment. But you can't bank just on good engineering. 

https://www.rideapart.com/news/738495/polaris-sales-plunge-snowmobile-utv-atv-third-quarter/

 

I am down to 2 boats, but if sold them now I would make money.  Broke even on the Sundance as well so that didn't suck.

1 hour ago, ZR6000RR said:

Paid mine off.  Can't sell it now. 200.00 a year insurance, and 12.00 license a year. 2021 model. Will just keep it forever.

you had to take out a loan... for a camper?

it will literally fall apart in a couple years... 

19 minutes ago, Crnr2Crnr said:

you had to take out a loan... for a camper?

it will literally fall apart in a couple years... 

I only buy quality. Literally looks like the day I picked it up. Brains over way to many letters. 

21 minutes ago, Crnr2Crnr said:

you had to take out a loan... for a camper?

it will literally fall apart in a couple years... 

25 k camper. Yes. I did a loan.

Just think.  For that you could have bought a real sled from Doo or Polaris instead of your junk.

I buy Cat because I like to ride. Buy a Poop? Stop ride. Buy a Doo? Shit ride. Anything else?

Yeah ok.  Doo are junk Polaris is junk.  Cats are the hottest and best thing on the snow and it hurts you to know that.

All the excitement is still on the catalyst, 3 years now?  Other brands still haven't eclipsed it in hype and excitement and for good reason.  Your stuff is outdated junk with recalls and blown motors and fire hazards.  This makes you mad and lash out at cat 

5 hours ago, J. Jackson said:

You ain't shitting. Can't give my 22 Solitude away.

It was a sigh of relief when we sold our Premier back in May.  I honestly thought we were gonna be sitting on it all season.  We were the last of our group to finally give up camping and sell, and I regret not pulling the trigger when the other buddies got out ... they sold their campers pretty easily.  Every time I see a truck pulling one down the road, I'm thankful it's not me any longer.

2 hours ago, Crnr2Crnr said:

you had to take out a loan... for a camper?

it will literally fall apart in a couple years... 

I don't think there is a single traditional camper that I would consider buying.

29 minutes ago, racinfarmer said:

I don't think there is a single traditional camper that I would consider buying.

I don’t know why anyone would want to buy a camper. Camp grounds are worse than marinas. For how much they cost I can stay in a lot of 5 star hotels cheaper 

7 hours ago, ZR6000RR said:

I buy Cat because I like to ride. Buy a Poop? Stop ride. Buy a Doo? Shit ride. Anything else?

Yeah right stop ride!!😂

8 hours ago, ZR6000RR said:

I only buy quality. Literally looks like the day I picked it up. Brains over way to many letters. 

There’s not a single quality built camper under $200k. They’re all 5-6 year throw aways now.

10 minutes ago, Palu49 said:

There’s not a single quality built camper under $200k. They’re all 5-6 year throw aways now.

That's not necessarily true. I haven't had one visit back to the dealer for any warranty work and to be honest the quality of materials in the living area and kitchen are probably nicer than many houses. 

9 hours ago, ZR6000RR said:

I only buy quality. Literally looks like the day I picked it up. Brains over way to many letters. 

trust me or not, they're all cheaply built high depreciation junk

9 hours ago, ZR6000RR said:

25 k camper. Yes. I did a loan.

7 hours ago, Bontz said:

It was a sigh of relief when we sold our Premier back in May.  I honestly thought we were gonna be sitting on it all season.  We were the last of our group to finally give up camping and sell, and I regret not pulling the trigger when the other buddies got out ... they sold their campers pretty easily.  Every time I see a truck pulling one down the road, I'm thankful it's not me any longer.

that covid fad seems to have waned.  do you have a regular trailer for your SXS or a toy hauler... which seems popular with that crowd up here.

7 hours ago, racinfarmer said:

I don't think there is a single traditional camper that I would consider buying.

buddy got into restoring and flipping vintage campers quite a while back and they're pretty cool... but nothing I would want to own.  he made a killing on a few of them from 2020-2022

6 hours ago, Not greg b said:

I don’t know why anyone would want to buy a camper. Camp grounds are worse than marinas. For how much they cost I can stay in a lot of 5 star hotels cheaper 

amen to that... barking dogs, crying kids, drunks, spouses arguing, fireworks... no thanks 

1 minute ago, Palu49 said:

There’s not a single quality built camper under $200k. They’re all 5-6 year throw aways now.

yup, kid from work bought a $80k goose for a temporary house for his wife to live in doing traveling nurse work and it was a nightmare of constant issues.  they finally unloaded it after all the warranty work was completed and took nearly a $30k hit.  they're living in NC now in a house and glad to be rid of it.

18 minutes ago, Crnr2Crnr said:

that covid fad seems to have waned.  do you have a regular trailer for your SXS or a toy hauler... which seems popular with that crowd up here.

 

We've had a camping group for the better part of 12-13 years, and it simply got to a point where kids were getting older & keeping parents too busy during the summer with other activities like club sports.  So we were definitely pre-COVID campers.  But to your point, yeah COVID brought people out of the woodwork buying campers (and financing them!) only to flood the market the past couple years because they didn't want to keep paying for their shit ... or found better things to do.

No toy hauler, just a nicer travel trailer is what we had (not a 5th wheel).  For my RZR, I've got an Aluma trailer to us as my snowmobile trailer (Triton clam) wouldn't work.

14 minutes ago, Bontz said:

We've had a camping group for the better part of 12-13 years, and it simply got to a point where kids were getting older & keeping parents too busy during the summer with other activities like club sports.  So we were definitely pre-COVID campers.  But to your point, yeah COVID brought people out of the woodwork buying campers (and financing them!) only to flood the market the past couple years because they didn't want to keep paying for their shit ... or found better things to do.

No toy hauler, just a nicer travel trailer is what we had (not a 5th wheel).  For my RZR, I've got an Aluma trailer to us as my snowmobile trailer (Triton clam) wouldn't work.

when the kids were little we still had a pop-up but as soon as they (daughter and her friends) got into travel sports that came to an end, plus we have a cottage to use and maintain so it was too much to deal with or use both with regularity.  the RV/Camper dealers lots from a couple years ago to today are drastically different, inventory galore... the fad ended because people started taking actual vacations again imo.  also the VRBO/ABNB surge went along with it.  buy/rent, tow and deal with a camper or rent a house... I'll take the house rental please.  being on the highway for work it's crazy to still see how many retired people (boomers) are dragging campers around all summer and a good portion of them have a SXS inside... which kinda makes sense to have dual use.  definitely not my cup of tea but it seems popular with that crowd.  

2 hours ago, J. Jackson said:

That's not necessarily true. I haven't had one visit back to the dealer for any warranty work and to be honest the quality of materials in the living area and kitchen are probably nicer than many houses. 

Guy I rent my shop from sells used powersports/boats/campers. Hell get a 25 year old prowler in that’s rock solid. Everything made in the last 10 years is a mess. He had a 2019 38 or 40’ titanium toy hauler last year that you couldn’t even walk in the garage or you’d end up in the parking lot. I’d assume that was well over $120k and it was worthless

2 hours ago, J. Jackson said:

That's not necessarily true. I haven't had one visit back to the dealer for any warranty work and to be honest the quality of materials in the living area and kitchen are probably nicer than many houses. 

What brand are you in?  I can't remember where it was that my buddy read it, but he said it was some sort of "Camper 101" article and I think it said something to the effect of the average camper will have 30'ish uses before the first real issues start to arise.  Routine maintenance certainly helps (like with anything) but overall they are extremely cheaply built units that will cause headaches, eventually.

been looking for 19' or shorter cheap so we can pull up to some obscure spots on north shore for wheeling and late season sledding!!

prices keep dropping!!

1 hour ago, Bontz said:

What brand are you in?  I can't remember where it was that my buddy read it, but he said it was some sort of "Camper 101" article and I think it said something to the effect of the average camper will have 30'ish uses before the first real issues start to arise.  Routine maintenance certainly helps (like with anything) but overall they are extremely cheaply built units that will cause headaches, eventually.

Grand Design Solitude

 

are we doing pontoon boats next? 

1 minute ago, J. Jackson said:

Grand Design Solitude

 

Nice camper!  My wife's cousin & husband just upgraded to one of those this year for their seasonal spot.  Major upgrade from the Cougar they had before that.  Only problem they had was their fridge went out in late July and they have yet to get it replaced.  I think they were supposed to get it towards the beginning of October but I haven't asked them.  They've been using the fridge from the outdoor kitchen and his garage fridge that he moved into their shed on their site.

Fridge replacement has to be a pita for sure. I went with a residential one and it hasn't failed yet!

3 hours ago, Crnr2Crnr said:

are we doing pontoon boats next? 

Shitoons. I can’t believe how much those contraptions are now. The Tritoons are on another level 

40 minutes ago, Not greg b said:

Shitoons. I can’t believe how much those contraptions are now. The Tritoons are on another level 

Price out a Bennington lately?   Yikes!