Polaris 2013 Annual Report Download - page 54

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Sales of the SV division in 2012, which included the 2011 acquisitions of GEM and Goupil, were
$44.4 million, which represented an increase of 268 percent compared to 2011. The increase in sales was due
to the inclusion of GEM and Goupil in our consolidated financial statements for the full 2012 year, compared
to inclusion in 2011 for the shortened periods since the acquisition of these companies in June and November
of 2011, respectively.
PG&A sales increased 33 percent to $611.3 million for 2013 compared to 2012. Sales of PG&A to customers
outside of North America increased 26 percent during 2013 compared to 2012. The sales increase in 2013 was
driven by double digit percent increases in all product lines and categories, which was primarily driven by the
addition of over 300 new model year 2014 accessories, including additions to the family of Lock and Ride↧
attachments that add comfort, style and utility to ORVs and motorcycles. PG&A sales also increased over the
prior year periods due to the inclusion of Klim in our consolidated financial statements since it was acquired
in December 2012, and Aixam related PG&A since it was acquired in April 2013.
PG&A sales increased 13 percent to $460.8 million for 2012 compared to 2011. Sales of PG&A to customers
outside of North America increased 16 percent during 2012 compared to 2011. The sales increase in 2012 was
driven by increased sales in all product lines and product categories driven by the addition of over 250 model
year 2013 accessories, and higher PG&A related sales to owners of the Company’s large installed base of
vehicles. The acquisition of Klim late in the 2012 fourth quarter did not have a significant impact on the 2012
PG&A sales results.
Sales by geographic region were as follows:
For the Years Ended December 31,
Percent of Percent of Percent Change Percent of Percent Change
($ in millions) 2013 Total Sales 2012 Total Sales 2013 vs. 2012 2011 Total Sales 2012 vs. 2011
United States ..... $2,721.3 72% $2,311.0 72% 18% $1,864.1 70% 24%
Canada ......... 463.3 12% 438.2 14% 6% 368.5 14% 19%
Other foreign
countries ...... 592.5 16% 460.6 14% 29% 424.3 16% 9%
Total sales .... $3,777.1 100% $3,209.8 100% 18% $2,656.9 100% 21%
Significant regional trends were as follows:
United States:
Sales in the United States for 2013 increased 18 percent compared to 2012, primarily resulting from higher
shipments in all product lines and related PG&A, improved pricing and more sales of higher priced side-by-
side vehicles. The United States represented 72 percent, 72 percent and 70 percent of total company sales in
2013, 2012 and 2011, respectively. Sales in the United States for 2012 increased 24 percent compared to 2011,
primarily resulting from higher shipments in all product lines due to market share gains driven by innovative
products.
Canada:
Canadian sales increased six percent in 2013 compared to 2012. Increased shipments of ORVs and
snowmobiles was the primary contributor for the increase in 2013, partially offset by currency rate movements
which had an unfavorable three percent impact on sales for 2013 compared to 2012. Sales in Canada
represented 12 percent, 14 percent and 14 percent of total company sales in 2013, 2012, and 2011,
respectively. Canadian sales increased 19 percent in 2012 compared to 2011 due to increased volume from
strong retail sales demand in Canada for our products, offset by an unfavorable one percent impact on sales
from fluctuation in the Canadian currency compared to the United States dollar.
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