Polaris 2005 Annual Report Download - page 4

SNOWMOBILES Polaris pioneered
snowmobiles more than 50 years ago, and we
are a recognized leader in the industry. We
remain competitive in the snowmobile business
by continually offering product and program
innovations, and competitively priced models
covering all market segments: trail sport, 2-up
touring, trail luxury, performance, deep snow
and youth. For model year 2006, we introduced
15 new sleds and five new engines with several
new innovations, including the industry’s first
truly adjustable steering, Rider Select.
™We are
committed to uncompromising ride, performance
and handling.
PARTS, GARMENTS AND ACCESSORIES
(PG&A) Pure Polaris®PG&A complete the
riding experience. We have designed and
engineered PG&A to enhance the performance
of Polaris products ever since we introduced
the first snowmobile in 1954. Pure Polaris offers
approximately 50,000 items consisting of
service parts, a diverse array of accessories and
Polaris-designed clothing products tailored to
meet the needs of the Polaris rider. Pure Polaris
also offers retail credit, extended service
contracts and insurance products to facilitate
the consumer’s buying experience.
ALL-TERRAIN VEHICLES (ATVs)
Polaris introduced the first American-made ATV
in 1985 and pioneered such market-transforming
improvements as automatic transmissions,
long travel/independent rear suspensions (IRS),
full floorboards, single-lever hydraulic braking,
on-demand AWD (true 4-wheel-drive) and the
industry’s first electronic fuel injected 4x4.
Today, we hold a dominant position in both the
youth segment and the large 4-wheel-drive
segment with our Sportsman™product line.
Our
RANGER
™off-road utility vehicle line has
redefined the market with its industry-leading
power and ride quality, and our Outlaw™
sport quad takes handling to another level
with the industry’s first IRS on a sport ATV.
VICTORY MOTORCYCLES For the 2006
model year, three completely new models were
introduced, including the Vegas Jackpot™and
two new custom cruisers from Arlen and Cory
Ness based on the Jackpot platform. Additionally,
several of our current models were fitted with
the 100-cubic-inch engine and the new 6-speed
transmission that was introduced in our Hammer™
cruiser model last year. The Custom Order
Program continued for model year 2006,
allowing customers to go online and configure
a bike from thousands of combinations.
SALES
(dollars in millions)
Year ended December 31
WORLDWIDE ATV
AND UTILITY VEHICLE
INDUSTRY
(units in thousands)
SALES
(dollars in millions)
Year ended December 31
U.S. INDUSTRY
(units in thousands)
Cruisers and Touring
SALES
(dollars in millions)
Year ended December 31
$1,160
$1,240
03 05
$1,043
04
1,324
1,383
03 05
1,202
04
$74
$99
03
$57
04 05
443
4
66
03
419
04 05
$288
$257
03 05
$229
04
181
165
03 05
186
04
WORLDWIDE INDUSTRY
(units in thousands)
Season ended March 31
$251
$274
03 05
$223
04
SALES
(dollars in millions)
Year ended December 31
PG&A PRODUCT MIX
BY BUSINESS LINE
62% ATV
5% Victory
25% Snowmobile
6% General Merchandise
62%
25%
6%
5%
2% PWC
2%
POLARIS AT A GLANCE Forward-looking statements made herein involve certain important factors that could change and cause
actual results to differ materially from those anticipated. See Management’s Discussion and Analysis of Financial Condition and Results of Operation
beginning on page 14 of the Form 10-K included with this report.
PRIMARY
COMPETITORS
•Arctic Cat
•Bombardier
•Yamaha
PRIMARY
COMPETITORS
•Parts Unlimited
(aftermarket
distributor)
•Powersports
OEMs
•Tucker Rocky
(aftermarket
distributor)
PRIMARY
COMPETITORS
•Arctic Cat
•Bombardier
•Honda
•John Deere
•Kawasaki
•Kymco
•Suzuki
•Yamaha
PRIMARY
COMPETITORS
•Harley-Davidson
•Honda
•Kawasaki
•Suzuki
•Yamaha
ATVS
VICTORY
PG&A
SNOWMOBILES