BRP Inc. (DOOO): Business Model Canvas [Dec-2025 Updated]

You're looking to dissect the engine room of BRP Inc. after a tough cycle, and honestly, the late 2025 data shows a company that's leaning hard into its powersports dominance. With $7,829.7 million in FY2025 revenue, supported by a $1,500.0 million Revolving Credit Facility, their model is built on a global network of 2,400 independent dealers and 16,500 employees as of January 31, 2025. This canvas breaks down exactly how they balance seasonal and year-round products, manage R&D for the electric future, and generate revenue across their segments-it's a masterclass in managing cyclical risk, defintely. Dive in below to see the nine core components that keep this powersports giant moving, especially after that recent rebound in Q3 FY2026 showing $2.3 billion CAD.

BRP Inc. (DOOO) - Canvas Business Model: Key Partnerships

You're looking at how BRP Inc. builds out its market reach and product pipeline through its network of external relationships. Honestly, these partnerships are the backbone that lets BRP scale its premium products across the globe.

The physical presence relies heavily on a vast, engaged dealer network. As of January 31, 2025, BRP Inc. served customers across more than 130 countries. You saw strong execution on the dealer front in fiscal year 2025, where the company achieved its objective of 30 net dealer additions for the year, and the team is already working toward next year's goals.

For international market access beyond the direct dealer footprint, BRP leverages strategic relationships, which are crucial for moving product and supporting customers in diverse regulatory environments. While the exact number of distributors isn't immediately public, the global reach is evident in their sales figures across regions like Latin America, which saw retail up 13% in Q3 FY2026.

Propulsion systems are central to the BRP value proposition, and the Rotax brand is key here, manufacturing engines for karts and recreational aircraft, alongside Rotax marine propulsion systems. This internal manufacturing capability is a core resource, though specific external supply partners for the main product lines aren't detailed in recent public releases.

When it comes to getting customers into new vehicles, the financing ecosystem is robust, involving several key financial institutions to offer flexible terms. Here's a look at some of the primary financing relationships supporting dealer and customer sales:

BRP Inc. also uses high-profile sponsorships to drive brand engagement, especially for its Can-Am line. For instance, the Can-Am brand expanded its partnership with MeatEater in October 2025 to promote outdoor activities. Furthermore, for the 2026 Dakar Rally effort, the team welcomed wheel manufacturer TSY America Inc. as a sponsor.

The company's Q3 FY2026 results showed strong momentum, with Net income increasing 150.0% to $76.5 million year-over-year, and Normalized EBITDA up 21.3% to $325.6 million, which shows these operational and partnership strategies are supporting financial performance.

Finance: draft 13-week cash view by Friday.

BRP Inc. (DOOO) - Canvas Business Model: Key Activities

You're looking at the core engine driving BRP Inc.'s performance, the day-to-day work that turns designs into revenue. It's a complex operation, especially when you're managing inventory reduction while pushing new technology. Here's a breakdown of what BRP Inc. is actively doing, grounded in their recent numbers.

Design and Manufacturing of Powersports Vehicles

The fundamental activity is designing and building those machines, from Ski-Doo to Can-Am. This activity directly translates into the top line, though recent quarters show the impact of strategic inventory management. For the nine-month period ended October 31, 2025, total Revenues reached $7,902.8 million, which was a significant rebound from the prior year's nine-month period. Specifically, Year-Round Products revenue grew by 22% to $1.3 billion in the third quarter ended October 31, 2025, driven by higher Off-Road Vehicle (ORV) deliveries. Still, Seasonal Products revenue saw a slight dip of 1.6% to $606.2 million for the same quarter, partly due to lower Snowmobile unit volume.

The focus on high-end segments is clearly paying off in profitability from manufacturing. The Gross Profit Margin percentage for the third quarter of fiscal 2026 improved by 210 basis points to 24.1% compared to the same period last year. That margin improvement comes from better capacity utilization, cost improvements, and favorable pricing across the product lines.

Research and Development (R&D) Focused on Electric Models and Rotax Engines

BRP Inc. is heavily invested in future-proofing its portfolio, especially around electrification. They are leveraging their in-house Rotax E-Power platform to control costs and speed up innovation cycles. The commitment here is substantial; one report suggests a CA$1.2B R&D investment supporting a 2026 full-electrification roadmap. This positions BRP Inc. to target the $17.4B global EV off-road market growth. They are committed to developing electric models for each of their product lines.

Proactive Inventory Management to Protect Dealer Value Proposition

Managing the dealer network's health is a critical activity, especially after periods of high demand. BRP Inc. was proactive in adjusting shipments to manage this. As of the end of Fiscal 2025 (January 31, 2025), North American network inventory was down 13% compared to the prior year, or down 18% when snowmobiles are excluded. This disciplined approach continued; by the third quarter ended October 31, 2025, the overall network inventory was down 17% versus the prior year. This action, while causing short-term market share loss, was intended to protect the dealer network and brand value.

Global Supply Chain and Logistics Management Across 130+ Countries

Moving product globally is a massive undertaking. As of January 31, 2025, BRP Inc. sold its products in over 130 countries. The distribution backbone relies on a network of approximately 2,400 dealers across 22 countries, supplemented by about 140 distributors who serve an additional approximately 315 dealers. Managing this flow is key to hitting their financial targets; for instance, the nine-month period ended October 31, 2025, saw Consolidated net cash flows from operating activities total $784.3 million, partly due to favourable changes in working capital.

Marketing and Brand Building for a Diverse Portfolio of Iconic Brands

Keeping the brands top-of-mind and driving accessory sales supports the core vehicle business. The Parts, Accessories, and Apparel (PA&A) segment is a direct measure of this engagement. For the third quarter ended October 31, 2025, PA&A revenue grew by 18% to $379 million. This growth, alongside market share gains in segments like ORV side-by-side (SSV), shows the marketing and brand strength is resonating with consumers, even as North American Powersports retail sales overall decreased by 4% in that same quarter.

You can see the operational focus in the bottom line, too. For the third quarter ended October 31, 2025, Normalized EBITDA was CAD 326 million, a 21% increase year-over-year. Finance: draft the working capital impact analysis for the Q4 2025 earnings release by next Tuesday.

BRP Inc. (DOOO) - Canvas Business Model: Key Resources

The Key Resources underpinning BRP Inc.'s operations as of late 2025 are centered on its established brand equity, proprietary technology, physical infrastructure, human capital, and financial capacity.

The portfolio of strong, recognized brands includes Ski-Doo, Sea-Doo, Can-Am, and Rotax.

Intellectual property centers on engine and vehicle technology, notably the Rotax engines and the Rotax E-Power technology for electric propulsion, which was featured in the 2025 Can-Am Pulse and Can-Am Origin launches. This IP supports the development of electric models for existing product lines.

BRP Inc. maintains a global manufacturing and distribution footprint, serving customers in over 130 countries. The company's headquarters are in Valcourt, Quebec, Canada.

The dedicated workforce is a significant resource, comprising approximately 16,500 driven, resourceful people as of January 31, 2025.

Capital resources include a committed Revolving Credit Facility totaling $1,500.0 million. As at July 31, 2025, the total available borrowing under this facility, subject to a borrowing base calculation, was $1,316.0 million.

Here's a quick look at some scale metrics relevant to these resources:

The company's resource base supports specific product lines, which include:

• Snowmobiles: Ski-Doo and Lynx.
• Watercraft and Pontoons: Sea-Doo.
• On and Off-Road Vehicles: Can-Am.
• Propulsion Systems: Rotax marine propulsion systems and engines.

BRP Inc. (DOOO) - Canvas Business Model: Value Propositions

High-performance, innovative vehicles for recreational and professional use.

• Market share gains in the Side-by-Side (SSV) and All-Terrain Vehicle (ATV) categories in North America, driven by new product introductions like the Can-Am Defender HD 11.
• Maintained market share over 50% in the three-wheel vehicle business with the Spyder lineup.
• CEO stated the goal is to consistently wow consumers with innovative products.

Diverse product portfolio for all seasons (Year-Round and Seasonal Products).

For the full fiscal year ending January 31, 2025, Year-Round Products represented 54% of Q4-FY25 revenues, while Seasonal Products represented 32% of Q4-FY25 revenues.

Superior riding experience via integrated Parts, Accessories, and Apparel (PA&A).

• Parts, Accessories & Apparel and OEM Engines revenue for Q3 2025 reached C$378.5 million.
• This segment saw a rise of 17.8% in Q3 2025 compared to the prior year period.

Brand loyalty and community through a focus on adventure and emotion.

• Retail sales in Latin America increased by 13% in Q3 2025, led by Off-Road Vehicle performance in Mexico.
• North American retail sales decreased by 4% overall for the quarter ended October 31, 2025.

Commitment to future-proofing with development of electric models.

• Original 2021 plan involved investing $300 million over five years to electrify all product lines by the end of 2026.
• A target was set to have 50 per cent of units sold be electric models by 2035.
• The company is currently limiting its annual investment into electrification to $25 million per year.

BRP Inc. (DOOO) - Canvas Business Model: Customer Relationships

You're looking at how BRP Inc. maintains its connection with the people who buy and sell its powersports and marine products. It's a mix of direct support for the dealer network and broad community outreach, which is crucial when the market sees shifts, like the 13% reduction in North American network inventory BRP achieved by January 31, 2025, as part of its multi-year inventory reset.

Dedicated dealer support and inventory management to safeguard margins.

BRP Inc. focuses heavily on keeping dealer stock levels healthy to protect the brand value and dealer profitability. This focus on inventory management is a direct relationship tool. By the second quarter of fiscal 2026 (three months ended July 31, 2025), BRP had completed most of its multi-year inventory reduction, with overall inventory down 20% from the prior year. This disciplined approach meant that as of the end of the third quarter of fiscal 2026 (October 31, 2025), network inventory was down 17% versus the previous year. This leaner inventory position is reported to result in stronger dealer sentiment, making them more willing to invest in new models. The company supports this wholesale activity with various sales programs, which can include cash incentives like rebates or non-cash incentives such as free or extended coverage under dealer inventory financing programs.

Brand community engagement and loyalty programs.

The relationship extends beyond transactions into a passionate community, which BRP Inc. actively cultivates. This is evident in their corporate social responsibility efforts, which engage the entire BRP community. For instance, the fourth edition of their Yellow Day event, held on November 20, 2025, saw more than 6,000 BRP employees, dealers, ambassadors, and partners rally to show solidarity against bullying. This event resulted in BRP donating more than CAD $300,000 to anti-bullying organizations. Furthermore, BRP has invested over CA$10 million in charitable contributions through its Ride Out Intimidation program since 2022. The company, which employed approximately 16,500 people as of January 31, 2025, sells its products in over 130 countries.

Direct-to-consumer digital engagement and traditional marketing.

BRP Inc. uses a mix of traditional wholesale to its dealer network and direct digital engagement to drive retail sales. The company's retail performance reflects the success of its product lineup and marketing efforts. For the three-month period ended October 31, 2025 (Q3 FY26), North American Powersports retail sales decreased by 4% compared to the prior year, but this was only a 1% decrease when snowmobiles were excluded. The success of new product introductions, like the Can-Am Defender, drove market share gains in the Off-Road Vehicle (ORV) segment in North America during that quarter. In the 3-wheel vehicle category, the high-end Spyder lineup maintained a market share of over 50%.

Corporate social responsibility initiatives like the Yellow Day anti-bullying program.

The Yellow Day initiative is a concrete example of BRP Inc. embedding its values into customer-facing activities. The 6,000+ participants in the November 2025 event demonstrated broad community buy-in. The company's commitment is further shown by donating CA$27,000 each to five different charities through collaborations with its ambassadors for the event. This CSR focus is part of a broader commitment to making a positive social impact.

Aftermarket service and support through the PA&A segment.

The Parts, Accessories, and Apparel (PA&A) segment is a direct revenue stream tied to customer ownership and experience. For the three months ended October 31, 2025 (Q3 FY26), the combined revenue for Powersports PA&A and Apparel was reported at $379 million, marking an 18% increase year-over-year. This contrasts with earlier periods when the combined PA&A and OEM Engines segment saw revenues of $303.4 million for the three months ended October 31, 2024. The company completes its product lines with this dedicated portfolio to fully optimize the riding experience.

Here's a look at the financial scale related to these customer touchpoints:

BRP Inc. (DOOO) - Canvas Business Model: Channels

You're looking at how BRP Inc. gets its products-from Ski-Doo to Can-Am-into the hands of customers globally as of late 2025. It's a complex web of partners and physical locations, which is key when you see revenues like the CAD $7.8 billion reported for Fiscal Year 2025.

The backbone of BRP Inc.'s reach is its established network of partners, which is quite extensive, covering sales and service points across the globe.

Regional performance shows where the dealer network is gaining traction and where it's facing headwinds. For instance, Latin America showed solid momentum, but APAC was softer.

• Latin America retail sales momentum in Q3 2025: up 13%.
• EMEA retail sales in Q3 2025: down 4%.
• Asia-Pacific retail sales in Q3 2025: decreased 11%.
• The U.S. market accounted for 28.2% of BRP Inc.'s total sales in Fiscal 2025.

BRP Inc. uses direct-to-consumer digital platforms primarily for brand building and product information, supporting the dealer channel rather than replacing it, given the stated reliance on dealers and potential negative impact on those relationships if direct-to-consumer sales were pushed too hard.

The physical flow of goods relies on a global manufacturing footprint designed to feed this distribution network. You can see the scale of investment in keeping this pipeline full.

Also, BRP Inc. uses high-profile motorsports participation to showcase product capability, especially for its off-road lines. The results from the 2025 Dakar Rally are concrete proof points for the toughness of the Maverick R platform.

Here are the specific competitive channel achievements from the 2025 Dakar Rally:

• Can-Am Factory South Racing Team secured an overall second-place finish.
• The team achieved a total of ten stage victories in the 2025 Dakar Rally.
• Francisco "Chaleco" López won five stage wins in the T4 Side-by-Side Vehicle (SSV) Class.
• Sara Price recorded three stage wins during the event.

That rally performance definitely helps the dealer network sell the high-performance side-by-sides. Finance: draft 13-week cash view by Friday.

BRP Inc. (DOOO) - Canvas Business Model: Customer Segments

You're looking at the core customer base for BRP Inc. as of late 2025, grounded in the financial reality of the fiscal year ending January 31, 2025, and early performance indicators from Q3 FY2026.

The North American powersports enthusiasts form the largest geographic block, which the company segments for revenue attribution as follows: the United States accounts for 55% of FY2025 revenue, and Canada accounts for 12% of that same revenue base. Total revenues for the full fiscal year 2025 were $7,829.7 million (CAD). To give you a sense of the recent market, North American Powersports retail sales saw a 4% decrease in the three-month period ending October 31, 2025.

International recreational users, covering regions like EMEA and Latin America, represent 32% of the FY2025 revenue. Honestly, BRP Inc. has a massive footprint, selling products in over 130 countries.

The Off-road vehicle (ORV) users are a critical group spanning both utility and high-performance needs. In the fourth quarter of FY2025, BRP Inc. noted market share loss in ORV due to high non-current inventory from other OEMs, though this was followed by market share gains in both SSV and ATV categories in North America for the third quarter of fiscal year 2026.

Seasonal product consumers, those owning snowmobiles and personal watercraft (PWC), are a distinct segment. For the fourth quarter of FY2025, this group accounted for 32% of the company's revenues. This segment faced headwinds, as North American retail sales for Seasonal Products decreased on a percentage basis in the low-thirties range compared to Q4 2024.

Finally, BRP Inc. serves other manufacturers through its OEM engine business, specifically karting and recreational aircraft manufacturers using Rotax engines. This segment, grouped with Parts, Accessories & Apparel (PA&A), made up 14% of Q4-FY25 revenues.

Here's a quick look at the Q4 FY2025 revenue composition and recent retail performance:

You can see the distinct customer profiles BRP Inc. targets:

• North American powersports enthusiasts (US: 55%, Canada: 12% of FY2025 revenue)
• International recreational users (32% of FY2025 revenue)
• Off-road vehicle (ORV) users, covering utility and high-performance
• Seasonal product consumers (snowmobilers, personal watercraft owners)
• Karting and recreational aircraft manufacturers (Rotax OEM engine customers)

The company's focus on inventory management in FY2025 meant North American network inventory decreased by 13% compared to the prior year-end. That's a defintely important operational metric tied to dealer health.

BRP Inc. (DOOO) - Canvas Business Model: Cost Structure

The Cost Structure for BRP Inc. is heavily weighted toward production and maintaining its extensive global operational base. You'll see significant spending across materials, fixed overhead, and strategic investments like Research and Development.

Cost of goods sold (COGS), including raw materials and manufacturing labor.

The Cost of Sales, which is the closest proxy for COGS, was reported at CAD 1.49B for the three-month period ended July 31, 2025. A major component here is raw materials; approximately 75% of the Cost of Sales consists of material used in the manufacturing process. This exposes BRP Inc. directly to price fluctuations in key inputs like aluminum, steel, plastic, resins, stainless steel, copper, rubber, and certain rare earth metals. Manufacturing labor is embedded within this cost, along with overhead absorption.

High fixed costs due to production capacity and global footprint.

BRP Inc. operates a global footprint, designing, developing, and manufacturing products sold in over 130 countries through approximately 2,400 dealers and 140 distributors serving about 315 additional dealers. The company has manufacturing facilities in Juarez, Mexico. A key cost dynamic is the leverage of these fixed costs; reduced production volumes, often due to softer demand or inventory management, directly leads to a decreased leverage of fixed costs, which negatively impacts the gross profit margin.

Significant R&D investment for new product development and electric transition.

BRP Inc. is committed to developing electric models for its existing product lines. Research and development expenses for the twelve months ending July 31, 2025, were $0.281B (or $281 million). The annual figure for 2025 was $0.284B. These investments are subject to fluctuations based on subsidy recognition; for instance, R&D expenses were lower in certain prior periods due to the recognition of R&D subsidies from prior years.

Interest expense on a large debt load, carrying approximately $200 million CAD annually.

Financing costs are a substantial, recurring expense, incurred principally on long-term debt, pension liabilities, and the revolving credit facility. For the twelve-month period ended January 31, 2025, the total Financing Costs were CAD 198.2 million, which aligns with the expected annual run-rate. As of April 30, 2025, the long-term debt stood at CAD 2,797.9 million. The company uses interest rate cap contracts to limit exposure to interest rate increases on its Term Facility debt.

Sales programs and promotional intensity to manage dealer inventory.

Managing dealer inventory is a critical driver of cost, often manifesting as higher Sales Programs. The decrease in gross profit margin has frequently been attributed to higher sales programs due to increased promotional intensity. For example, in the three-month period ended October 31, 2024, higher sales programs were cited as a factor leading to a lower gross profit margin. Conversely, a lower volume of units sold, coupled with lower sales programs, contributed to a decrease in net loss for the six-month period ended July 31, 2025.

Here's a snapshot of key cost-related financial data for BRP Inc. based on recent reporting periods (all figures in millions of Canadian dollars unless noted):

The cost profile is clearly sensitive to volume, as evidenced by the impact of reduced production on fixed cost absorption.

• Raw material exposure covers about 75% of Cost of Sales.
• The company manages interest rate risk via interest rate cap contracts.
• R&D spending is influenced by the timing of R&D subsidy recognition.
• Promotional intensity directly pressures gross profit margins.

Finance: draft 13-week cash view by Friday.

BRP Inc. (DOOO) - Canvas Business Model: Revenue Streams

You're looking at the core ways BRP Inc. brings in cash, which is the heart of any business model. For the fiscal year ending January 31, 2025, the total top-line number was $7,829.7 million CAD. That total revenue came from a few distinct buckets, which is how BRP structures its sales focus.

Here's the quick math on how those FY2025 revenue streams broke down based on the percentages you have:

The Year-Round Products segment, which includes things like Side-by-Sides (SSV) and Sea-Doo personal watercraft, was the largest contributor to the $7,829.7 million CAD total for FY2025, accounting for approximately 53% of that figure. That's over four billion dollars flowing from those product lines.

Seasonal Products, which primarily means Snowmobiles, made up the next largest chunk at about 32% of the total FY2025 revenue. Still, you see the impact of seasonality here; a good snow season definitely helps the top line.

The remaining revenue comes from the aftermarket and supporting businesses. Parts, Accessories, and Apparel (PA&A) and OEM engine sales represented roughly 14% of the total FY2025 revenue. This stream is often stickier, as it supports the installed base of vehicles BRP Inc. has sold over the years.

Looking ahead into the next fiscal period, the company showed some solid momentum early on. Revenue from strong Q3 FY2026 was reported at $2.3 billion CAD, definitely a solid rebound compared to the previous year's performance in that quarter. This suggests a shift in market demand or successful inventory management coming through.

You can see the composition of the revenue streams clearly here:

• Sales of Year-Round Products: approx. 53% of FY2025 revenue.
• Sales of Seasonal Products: approx. 32% of FY2025 revenue.
• Parts, Accessories, and Apparel (PA&A) and OEM engine sales: approx. 14% of FY2025 revenue.

The total revenue for FY2025 was $7,829.7 million CAD.

Finance: draft 13-week cash view by Friday.