Enjoying robust profits for 2010, Polaris Industries has continued with its profit-sharing program – with $13.6 million getting divvied up between the company’s 2250 non-salaried employees.
Polaris Industries and its on-road division, Victory Motorcycles, enjoyed a banner year in 2010. Contrary to the usual industry headlines, Polaris sales figures were record-breaking last year. And so were the profits, with the Minnesota-based company sharing the wealth with its employees. A claimed 2250 hourly and non-salaried Polaris employees divvied up more than $13.6 million in the company’s profit-sharing program.
“We delivered strong performance and posted record results in 2010, and it feels good to reward the hard work and dedication of our employees,” said Chief Executive Officer Scott Wine in a brief company press announcement: “It is fundamental to our culture that all employees share in the success they worked so diligently to create.”
The profit-sharing program has been in effect for 29 years, with this year’s haul for each eligible employee a cash payment of roughly 19% of their annual pay. An additional $8.1 million in Polaris stock headed into employee retirement plans.
Polaris just missed two billion in sales for 2010, thanks to robust sales of its Polaris Ranger side-by-side model – with the company citing ORV as more than two thirds of company sales. The $1.99 billion in total sales represented a 27% increase from 2009. Victory Motorcycles recorded even better sales data, with 55% growth in 2010 sales at $81.6 million total.
Not all reports for Polaris last year are glowing, however. In May 2010, Polaris announced structural realignments that will see the opening of a facility in Monterrey, Mexico. The move will necessitate the eventual “sale or closure” of the production facility is Osceola, Wisconsin. Polaris turned its tidy 2010 profits and expects an increase of 14-20% in spite of costs associated with the realignment.