BRP Suspends Financial Forecast Following $500M US Tariff Impact
Key Facts
BRP Inc., the manufacturer of Ski-Doo, has clarified that its suspension of financial guidance specifically applies to the fiscal year 2027 outlook amid shifting U.S. trade policies. The company faces a projected $500 million impact due to Section 232 tariff amendments, which impose a 25% levy on the total value of finished off-road vehicles and snowmobiles. Despite the initial market shock, the company's stock showed signs of recovery on Friday, rising 5.80% to close at $58.09. BRP's CEO expressed confidence in the firm's resilience and its ability to navigate the current protectionist landscape. This strategic update follows a significant shift in tariff application from raw materials to the full value of finished goods, impacting the manufacturer's long-term cost structures.