Strong Demand Helps Ski-Doo Maker BRP Shrink Its Loses

BRP Inc's net loss halved in the second quarter as the company sold more of its flagship Ski-Doo snowmobiles and Sea-Doo watercrafts.

The Quebec-based company said strong demand for products such as the Sea-Doo Spark watercraft, Can-Am Spyder motorcycles and side-by-side off-roaders drove up seasonal product sales by 85 percent to C$259.8 million ($235 million) in the quarter ended July 31.

Revenue from products sold through the year rose 7 percent to C$297.4 million.

BRP expects continued revenue growth and a strong finish to the fourth quarter, driven by snowmobile sales and new product deliveries, Chief Executive José Boisjoli said.

The company reiterated its 2015 adjusted profit forecast of C$1.55-C$1.65 per share.

BRP, which takes its name from Bombardier Recreational Products, was spun off from Bombardier Inc in 2003. Its rivals include Arctic Cat Inc, Polaris Industries Inc and Yamaha Motor Co Ltd.

Second-quarter net loss shrank to C$3.6 million ($3.3 million), or 3 Canadian cents per share, from C$7.9 million, or 7 cents per share, a year earlier.

Revenue rose by a quarter to C$780 million.

Up to Thursday's close of C$25.85, the stock had risen 27 percent so far this year.

(1 US dollar = 1.1047 Canadian dollar)

(Reporting By Tanvi Mehta in Bangalore; Editing by Saumyadeb Chakrabarty)