arctic cats firstquarter up 10 percent

 
For the fiscal 2001 quarter ended June 30, 2000, Arctic Cat Reported earnings rose 10 percent to $2,052,000, versus $1,861,000 for the first quarter of fiscal 2000. Net sales for the quarter were $85,961,000 compared to $86,928,000 for the same period last year, as the company continued to cycle out the discontinuation of its personal watercraft (PWC) line of business.

Cat's CEO Chris Twomey said, "We're pleased that our first-quarter net sales were nearly even with last year given the discontinued PWC business and a planned decrease in snowmobile shipments, as previously announced, due to moderately lower dealer orders. During the quarter, sales of our all-terrain vehicles (ATVs) grew by more than $24 million, more than making up for the decrease in snowmobile shipments. For the year, we anticipate that growth of ATV sales will offset an anticipated decline in snowmobile sales and, as a result, we continue to expect record-breaking revenues and increased earnings in this fiscal year."

Twomey added, "Our business mix is changing as part of our strategic growth plan. By year-end, we expect ATVs to account for 40 percent of our total revenues and more than 50 percent of units produced. The ATV market is rapidly growing and serves to insulate us from weather-related snowmobile demand.

"We are particularly optimistic following our 2001 model-year dealer show in June where we unveiled our new ATV models," Twomey added. "Following the show, orders for Arctic Cat's ATVs are coming in as planned and we expect our growth to outpace the ATV industry again this year."