1101 GMT - BRP is navigating tumultuous tariff waters better than feared, TD Cowen analyst Brian Morrison says, noting that management reduced its F2027 net tariff exposure to around C$200 million from its prior guidance of C$300 million to C$350 million. Part of this is because BRP is launching a new side-by-side vehicle engineered to fit into lower-tax trade categories, bypassing higher import duties. "This should be complemented by reduced tariff rates on ATVs in June, partially offset by the commencement of S338 tariffs upon Spyder 3WVs," Morrison says. What's more, the company expects FY2028 tariff exposure to be C$225 million, "which we view as well below what we estimate is in consensus ($350mm-$375mm)."
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