Polaris Inc.

Good day and welcome to the Polaris Quarter 2, 2026 Earnings Call and Webcast. All participants will be in listen only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on a touch tone phone. To withdraw your question, please press star then 2. Please note this event is being recorded. I would now like to turn the conference over to JC Weigelt, Vice President of Investor Relations. Please go ahead.

Thank you, Bailey, and good morning or afternoon, everyone. I'm JC Weigelt, Vice President of Investor Relations. Thank you for joining us for our 2026 second quarter earnings call. We will reference the slide presentation today, which is accessible on our website at ir.polaris.com. Joining me on the call today are Mike Speetzen, our Chief Executive Officer, and Bob Mack, our Chief Financial Officer. Both have prepared remarks summarizing our 2026 second quarter results, as well as our expectations for the remainder of 2026. Then we'll take your questions. During the call, we will be discussing various topics which should be considered forward-looking for the purpose of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projections in the forward-looking statements. You can refer to our 2025 10-K and our other filings with the SEC for additional details regarding risks and uncertainties. All references to 2026 second quarter actual results and future period guidance are for our continuing operations and I reported on an adjusted non-GAAP basis unless otherwise noted. Please refer to our Reg G reconciliation schedules at the end of the presentation and at the end of our earnings deck for the GAAP to non-GAAP adjustments. Now, I will turn the call over to Mike Speetzen.

Go ahead, Mike. Thanks, JC. Good morning, everyone, and thank you for joining us. Strong second quarter results reflect the momentum building across our business. We exceeded expectations across all key metrics, gained share in our ORB business for the fifth consecutive quarter, and continued proving that the strategic actions taken over the last several years are making Polaris a stronger, more focused, and more profitable company. Second quarter reported sales increased 9%. Excluding Indian Motorcycle, sales grew 17%. Sales were driven by double-digit growth in our power sports segment, led by ORV with their Utility Ranger line and our fast-growing commercial business, where growth is driven by investments in infrastructure and data center projects. We also saw strong contributions from Marine, which grew 16% in a quarter. Across our portfolio, North American retail increased 4% with ORV up 5%. Both measures exclude used vehicles. We finished the quarter with solid share gains in ORV, reinforcing our belief that our combination of innovative products and strong dealer relationships continue to differentiate Polaris in the marketplace. From a profitability standpoint, our results include a 74 million benefit related to IEPA refund claims. We have removed these refunds from some of our adjusted financial metrics today to provide the underlying operational performance of our business in the quarter. We refer to these as our operational adjusted results, which exclude the 74 million in tariff refunds, but include ongoing tariff expense. Operational margins expanded at both the gross profit and EBITDA levels, even after excluding the tariff refunds. Higher shipments, favorable mix, and positive net pricing more than offset higher commodity costs and the $32 million of ongoing tariff headwind we experienced during the quarter. Importantly, we continue to realize improved operating leverage from the portfolio optimization and manufacturing efficiency work we've executed over the past several years. We delivered adjusted earnings per share of $1.97, which included the pre-tax $74 million in tariff refunds. Excluding these tariff refunds, operational adjusted EPS was $1.01, well above our target range of $0.70 to $0.80. We also saw operational gross profit margin expand by 82 basis points, excluding the tariff refunds and against a second quarter 2025 margin that had little ongoing tariff impact. These results reflect the strength of our execution, the competitiveness of our product portfolio, and the discipline we've maintained across the organization. As a result of our performance and with the strong momentum we've built through the first half of the year, coupled with tariff refunds, we are raising our full year 2026 guidance. While there remains uncertainty, we believe Polaris is operating from a position of strength, controlling what we can while navigating a dynamic environment. We have a clear strategy, the best team in power sports, and a portfolio that continues to resonate with customers around the world. We're continuing to build positive momentum, we're gaining share in our core segment through focused innovation, dealer relationships are strong, and dealer inventory remains healthy, and we're beginning to see meaningful benefits from the work we've done to refine our portfolio, simplify our organization, and strengthen our operational execution. Our team is aligned around a common strategy and a goal of strengthening and extending Polaris' leadership position within the power sports industry. Moving on to our retail performance, ORV North American Retail was up 5%, outperforming the industry and gaining share for the fifth consecutive quarter. Trends within ORV remain consistent with recent quarters, and despite a cautious consumer environment, we're continuing to take share through the strength and breadth of our portfolio and category defining vehicles. Our utility products make up over 70% of our power sports segment and remain a clear source of momentum in this environment with retail up more than 10% and Ranger continuing to outperform the market. We believe that performance reflects both the strength of our product lineup and the value customers see in the Polaris brand. One highlight of the quarter is that the recent industry data shows the Ranger 500 was the fastest growing off-road vehicle in the industry. In addition, our recently launched Ranger cab units, the Ranger 1000 and the Ranger XP 1000, drove multiple points of market share gains in the utility side-by-side market, which is the largest subsector of the ORV market. Not only that, the second quarter marked our highest share in the subsector since 2021. We continue to believe there is a long-term trend in the industry with retail demand shifting to cab units given their capability refinement features. The second quarter marked the first time when over half of our ORV retail was in cabbed units. That's proof we deliver innovation customers want and that we are winning in the largest and most important part of the market. On the recreational ORV side of the business, we continue to see a cautious consumer due to macroeconomic factors such as inflation, higher borrowing costs, and negative headlines. These negative factors have been consistent over a couple of years, and our retail outlook for the recreational ORV industry remains pressured. During the Marine, our second quarter pontoon retail was down high single digits according to the May SSI data. Through May, the data reflects the pontoon industry is down approximately 9%. Our pontoon brands continue to perform well at the premium end with the Bennington QX and Godfrey Sandpan. Here, consumers are not as sensitive to macro trends and interest rates, while retail at the mid and lower tier pontoons continue to be soft given a more interest rate sensitive customer. I think it's worth repeating what I said last quarter. What truly differentiates Polaris is the strength of our entire portfolio at the dealership. We are the global leader in power sports and we operate like it. Look for us to strengthen this leadership position with new product launches at our upcoming dealer events in August of this year and in early 2027. We continue to see healthy dealer inventory levels across our portfolio. During the second quarter, we strategically increased inventory and utility, given the robust growth we are experiencing in this category. At the same time, we have right-sized inventory positions in areas of the business such as ORV Recreation, Seasonal, and Marine, given weaker demand. In aggregate, dealer inventory was down 8% in the quarter versus last year, and dealers' DSOs are slightly over 100 days, which remains well below historic levels. We remain committed to matching shipments to retail and through the first half of this year we have successfully executed this strategy. Improving our mix at the dealership remains a real opportunity for us and it's an area we continue to invest in and measure progress against. Rather than a one size fits all approach, we are tailoring our actions with each dealer to ensure a healthier channel and putting our dealers in the best position for success such that every dealer carries the right mix and the right number of units for their market. We have already seen positive results with an 18% improvement in sales velocity in the first half of the year, helping our dealers navigate a choppy market. A program like this is a win-win for our dealers and Polaris and reflects our relentless focus on dealer health and stronger operational management. I'm now going to turn it over to Bob to provide you with more details of the financials and the increase to our full year guidance. Bob?