By Denny Jacob

Polaris posted a steep decline in quarterly sales as consumers pulled back on purchasing ATVs and other products in its lineup despite a higher number of promotions.

The Medina, Minn.-based powersports-vehicle maker logged net income of $27.7 million, or 49 cents a share, for the third quarter ended Sept. 30, down from $151.7 million, or $2.62 a share, a year earlier. Adjusted earnings were 73 cents a share, below the 88 cents a share expected by analysts polled by FactSet.

Sales came in at $1.72 billion compared with $2.25 billion a year earlier. Analysts polled by FactSet expected $1.77 billion.

Polaris attributed the decline in sales to lower volume, product mix and pricing affected by an increase in promotions.

Polaris now expects sales in 2024 to be down about 20% from a year earlier. It previously forecast sales to be down in the range of 17% to 20%. The company also expects adjusted earnings per share to decline about 65% on year. It previously expected a decline in the range of 56% to 62%.

"As consumer confidence and retail demand remain challenging, we have maintained our focus on managing dealer inventory and delivering better operational efficiency," said Chief Executive Mike Speetzen. "We expect a challenging retail environment throughout the rest of 2024 and into next year."

Write to Denny Jacob at denny.jacob@wsj.com

(END) Dow Jones Newswires

October 22, 2024 06:24 ET (10:24 GMT)

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