cat sales disappointing

 
Sales of Arctic Cat snowmobiles totaled $34.8 million in the 2004 first quarter versus $47.0 million in the comparable period last year. The lower sales comparison is primarily due to a change in the timing of shipments to dealers, in order to align snowmobile shipments with retail sales during Arctic Cat's second and third fiscal quarters.

For the current fiscal year ending March 31, 2004, the company anticipates that its snowmobile revenues will decline approximately 2 percent to 3 percent versus last year, as a result of conservative ordering by Midwest dealers following several consecutive seasons of poor snow conditions.

"This is particularly disappointing given the extensive changes in our exciting 2004 snowmobile line-up," Chief Executive Officer Chris Twomey said.
Parts, garments and accessories sales rose 3 percent to $10.9 million, up from $10.6 million in the prior-year period.

During the first quarter, the company repurchased 232,500 shares of its common stock under its current share repurchase authorization. The company has approximately 750,000 shares remaining under this authorization.

Arctic Cat anticipates 2004 second-quarter net sales for the period ending September 30, 2003, in the range of $216 million to $220 million, compared to $211.2 million for the same period last year.