8-K

UNITED STATESSECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549


FORM 8-K

CURRENT REPORTPursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 25, 2012


POLARIS INDUSTRIES INC.
(Exact name of Registrant as specified in its charter)

Minnesota	1-11411	41-1790959
(State of Incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

2100 Highway 55
Medina, Minnesota 55340
(Address of principal executive offices)
(Zip Code)

(763) 542-0500
(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

⃞ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

⃞ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

⃞ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

⃞ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02       Results of Operations and Financial Condition.

On January 25, 2012, Polaris Industries Inc. (the “Company”) issued a press release announcing the Company’s fourth quarter and full year 2011 financial results for the reporting period ended December 31, 2011.  On January 25, 2012, the Company also hosted its quarterly earnings conference call, which was accessible to the public.  A recording of the conference call will be available through the end of the business day on February 1, 2012 by dialing 855-859-2056 in the U.S. and Canada or 404-537-3406 for international calls and entering passcode 75877934, and on the Company’s website, www.polarisindustries.com/irhome.

A copy of the Company’s press release is furnished as Exhibit 99.1 attached hereto and a copy of the presentation materials discussed during the conference call is being furnished as Exhibit 99.2 to this Current Report on Form 8-K.  

Item 7.01       Regulation FD Disclosure.

The disclosures set forth in Item 2.02 above are hereby incorporated by reference into this Item 7.01.

Item 9.01       Financial Statements and Exhibits.

(d) Exhibits.

99.1	Press Release dated January 25, 2012 of Polaris Industries Inc.
99.2	Presentation materials dated January 25, 2012 of Polaris Industries Inc.

The information contained in this Current Report is furnished and not deemed to be filed for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section.  The information in this Current Report shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing or document.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date:	January 25, 2012
		POLARIS INDUSTRIES INC.
		/s/ Michael W. Malone
		Michael W. Malone
		Vice President – Finance and
		Chief Financial Officer of Polaris Industries Inc.

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release dated January 25, 2012 of Polaris Industries Inc.
99.2	Presentation materials dated January 25, 2012 of Polaris Industries Inc.

EX-99.1

Exhibit 99.1

CONTACT:
Polaris Industries Inc.
Richard Edwards, 763-542-0500

Polaris Reports Record 2011 Fourth Quarter and Full Year Results

Fourth Quarter and Full Year Highlights:

• Fourth quarter 2011 earnings per diluted share increased 15% to a record $0.90 with sales increasing 26% from the year earlier period to a record $782.0 million.
• All product lines experienced increased sales and market share for the full year 2011.
• International sales increased 43% in the fourth quarter 2011 and 39% for full year 2011 despite a volatile European economic environment.
• Full year 2011 earnings per diluted share increased 50% to a record $3.20 with record sales of $2,656.9 million, an increase of 33% from the 2010 full year.
• Full year 2011 gross profit margins improved 130 basis points over 2010.

MINNEAPOLIS--(BUSINESS WIRE)--January 25, 2012--Polaris Industries Inc. (NYSE:PII) today reported record net income of $0.90 per diluted share for the fourth quarter of 2011, up 15 percent over the 2010 fourth quarter. Net income for the fourth quarter 2011 was a record $63.9 million, an increase of 17 percent over the same period in 2010. Record sales of $782.0 million for the fourth quarter 2011 increased 26 percent over 2010 fourth quarter sales of $618.4 million.

Full Year Results

For the full year ended December 31, 2011, Polaris reported record net income of $227.6 million, or a record $3.20 per diluted share, compared to $147.1 million, or $2.14 per diluted share for the year ended December 31, 2010. This represents a 50 percent increase on a diluted share basis and a 55 percent increase in net income. Sales for the full year 2011 totaled a record $2,656.9 million, an increase of 33 percent compared to sales of $1,991.1 million for the full year 2010.

“Our record fourth quarter results were a fitting ending to a year in which we generated record annual sales and earnings and significantly exceeded our initial expectations. Our top and bottom-line expansion, and the momentum we are sustaining throughout our business, directly results from our focus on driving innovation, enhancing our product offering, reducing costs, and growth through new global markets and adjacencies,” stated Scott Wine, Polaris' Chief Executive Officer. “Specifically, during the year we furthered our leading market share position in off-road vehicles while continuing to gain market share in motorcycles and snowmobiles. Moreover, we introduced over 20 new vehicles, including award-winning products like the RANGER RZR 570 value recreational off-road vehicle, the 800 Pro-RMK snowmobile, and the Victory Cross Country Tour motorcycle. Our operations team managed to meet the increased demand for these vehicles while bringing our new Monterrey manufacturing facility online on time and on budget, driving initial 2011 savings on plan with future projections in line with stated expectations. Building on our surging core businesses, our military and Bobcat adjacencies continue to gain momentum, and we have made considerable progress in expanding our international presence with increased sales in Europe, China, and India. Lastly, we added to our small electric vehicle portfolio with the acquisition of Global Electric Motorcars (GEM) and Goupil Industrie SA, which expands our ability to compete in this fragmented, fast-growing $4 billion market.”

2012 Business Outlook

Wine continued, “The implementation of our strategic initiatives and continued focus on innovation positions us well to realize continued success in 2012. We anticipate further growth and market share gains in our core businesses, while maintaining our focus on expanding our gross and net margins while expanding our investments for future growth and profitability. This motivated and disciplined Polaris team is committed to executing on our strategy in an effort to deliver what we expect to be another excellent year for our shareholders.”

Full year 2012 earnings are expected to be in the range of $3.65 to $3.80 per diluted share, which represents an increase of 14 to 19 percent when compared to full year 2011 earnings. Net income for full year 2012 is also expected to increase in the range of 14 to 19 percent over full year 2011. Sales for full year 2012 are expected to increase five to eight percent over full year 2011 sales, with sales increases projected in each product line and geographic region with the exception of snowmobiles.

Fourth Quarter and Full Year Performance Summary (in thousands except per share data)
	Three Months ended December 31,								Twelve Months ended December 31,
Product line Sales	2011			2010			Change		2011			2010			Change
Off-Road Vehicles	$	465,768		$	394,550		18	%	$	1,822,334		$	1,376,373		32	%
Snowmobiles		169,181			104,073		63	%		280,046			188,877		48	%
On-Road/Victory Motorcycles		34,879			20,640		69	%		146,328			81,624		79	%
Parts, Garments & Accessories		112,141			99,179		13	%		408,241			344,265		19	%
Total Sales	$	781,969		$	618,442		26	%	$	2,656,949		$	1,991,139		33	%
Gross profit	$	204,308		$	171,516		19	%	$	740,583		$	530,213		40	%
Gross profit as a % of sales		26.1	%		27.7	%	-160 bpts			27.9	%		26.6	%	+130 bpts
Operating expenses	$	118,131		$	97,589		21	%	$	414,751		$	326,348		27	%
Operating expenses as a % of sales		15.1	%		15.8	%	-70 bpts			15.6	%		16.4	%	-80 bpts
Operating Income	$	93,130		$	78,146		19	%	$	349,924		$	220,721		59	%
Operating Income as a % of sales		11.9	%		12.6	%	-70 bpts			13.2	%		11.1	%	+210 bpts
Net income	$	63,899		$	54,522		17	%	$	227,575		$	147,138		55	%
Net income as a % of sales		8.2	%		8.8	%	-60 bpts			8.6	%		7.4	%	+120 bpts
Diluted net income per share	$	0.90		$	0.78		15	%	$	3.20		$	2.14		50	%

Summary of Operations

Off-road Vehicles (“ORV’) sales increased 18 percent during the fourth quarter 2011 from the fourth quarter 2010. This increase reflects continued market share gains for both ATVs and side-by-side vehicles driven by industry leading product offerings and the continued success of the MVP retail go-to-market process. Polaris’ North American ORV unit retail sales to consumers increased mid-teens percent for the 2011 fourth quarter compared to the 2010 fourth quarter, with ATV unit retail sales growing upper single digits percent and side-by-side vehicle unit retail sales increasing about 20 percent over the prior year. North American dealer inventories of ATVs continued to decline, decreasing eight percent from the 2010 fourth quarter and sequentially decreasing six percent from the third quarter of 2011. Side-by-side North American dealer inventories for both the 2011 fourth quarter and sequentially from the 2011 third quarter were up to accommodate the continued strong retail demand. ORV sales outside of North America increased 42 percent in the fourth quarter of 2011 compared to a year ago. The Company continued to be an innovation leader in 2011 with several new ATV and side-by-side vehicles introduced during the year, including the most recent introduction in January 2012 of the high performance RANGER RZR XP4 900 to Polaris’ family of recreational vehicles. The RANGER RZR XP4 900 has all the features of the two seated version of the RZR XP 900 including an 88 horsepower electronic fuel injected twin cylinder engine and 3-link trailing arm independent rear suspension with 12.5 inches of travel, but with the ability to deliver razor-sharp performance and agility for 4 passengers. For the full year 2011, Polaris ORV sales increased 32 percent compared to the prior year.

Snowmobile sales increased 63 percent during the 2011 fourth quarter compared to the prior year’s fourth quarter. The fourth quarter 2011 increase in sales reflects significantly reduced snowmobile dealer inventory levels entering the 2011 - 2012 selling season compared to the prior year resulting in increased orders from dealers, as well as the impact of a shift in shipments of snowmobiles later in the year as the Company chose to ship its snowmobiles closer to expected consumer demand compared to last year. Polaris’ North American snowmobile retail sales to consumers in the 2011 season-to-date period were up high single digits percent over the 2010 season-to-date period despite the lack of snowfall in many parts of the snowbelt regions of the United States. North American dealer inventories of snowmobiles at December 2011 were seven percent higher than the very low levels a year ago. Sales of snowmobiles outside of North America, principally the Scandinavian region, increased 52 percent in the fourth quarter of 2011 compared to a year ago. For the full year 2011, sales of Polaris snowmobiles increased 48 percent compared to the prior year.

Sales of On-Road Vehicles increased 69 percent during the fourth quarter of 2011 when compared to the same period in 2010. On-Road Vehicle sales are comprised of Victory and Indian brand motorcycles, as well as the Company’s small electric vehicles sales of GEM and Goupil. Victory motorcycle North American unit retail sales to consumers increased about 20 percent during the 2011 fourth quarter when compared to a strong 2010 fourth quarter, resulting in continued market share gains. North American dealer inventory of Victory motorcycles increased five percent at December 2011 compared to last year levels as the Company added Victory dealers in 2011. Sales of On-Road Vehicles to customers outside of North America increased 111 percent compared to the prior year’s fourth quarter. The increase in On-Road Vehicle sales outside North America is primarily due to increased sales from Victory motorcycles and the addition of sales from the acquisition of Goupil in the 2011 fourth quarter. For the full year 2011, Polaris On-Road Vehicle sales increased 79 percent compared to the prior year.

Parts, Garments, and Accessories (“PG&A”) sales increased 13 percent during the fourth quarter 2011 compared to the same period last year primarily due to increased ORV, Victory motorcycle and international related PG&A sales. For the full year 2011, Polaris PG&A sales increased 19 percent compared to the prior year.

Gross profit dollars increased 19 percent to $204.3 million for the fourth quarter 2011 compared to $171.5 million for the fourth quarter of 2010 primarily due to higher volume. Gross profit as a percentage of sales was 26.1 percent for the fourth quarter of 2011, a decrease of 160 basis points from 27.7 percent for the fourth quarter of 2010. The decrease in gross profit margin percentage for the 2011 fourth quarter was primarily due to higher commodity prices, as anticipated, unfavorable product mix and negative currency impacts, partially offset by manufacturing realignment savings and continued product cost reduction efforts during the quarter. For the 2011 full year, gross profit as a percentage of sales increased 130 basis points to 27.9 percent.

Operating expenses for the fourth quarter 2011 increased 21 percent to $118.1 million compared to $97.6 million for the fourth quarter of 2010. As a percent of sales, operating expenses decreased 70 basis points to 15.1 percent compared to 15.8 percent for the same period last year. Operating expenses in absolute dollars for the fourth quarter 2011 increased primarily due to incremental investments made in global market expansion and new product development initiatives along with the added operating expenses of the acquisitions made in 2011. Operating expenses, as a percent of sales, decreased due to leverage achieved from the increased sales volume during the quarter. For the 2011 full year, operating expenses, as a percent of sales, decreased 80 basis points to 15.6 percent.

Income from financial services increased 65 percent to $7.0 million during fourth quarter 2011 from $4.2 million in the fourth quarter of 2010 primarily due to increased profitability generated from the retail credit portfolios with Sheffield, GE and HSBC. For the 2011 full year, income from financial services was $24.1 million, a 43 percent increase compared to $16.9 million for the full year 2010.

Interest expense increased to $1.2 million for the fourth quarter 2011 from $0.5 million for the fourth quarter 2010 due to higher interest rates on the long-term senior notes issued in May 2011. For the 2011 full year, interest expense was $4.0 million compared to $2.7 million for the full year 2010.

Non-operating other income was $4.6 million in the fourth quarter of 2011 as compared to $0.7 million in the fourth quarter of 2010. The increase in other income is the result of foreign currency exchange rate movements and the resulting effects on foreign currency transactions and balance sheet positions related to the Company’s foreign subsidiaries. For the 2011 full year, non-operating other income (expense) was $0.7 million income compared to $0.3 million expense for the full year 2010.

The Income tax provision for the fourth quarter 2011 was recorded at a rate of 33.8 percent of pretax income compared to 30.4 percent of pretax income for the fourth quarter 2010. The higher income tax provision rate in the 2011 fourth quarter is primarily due to last year’s fourth quarter rate reflecting the cumulative benefit to adjust for the extension of the research and development credit by the U.S. Congress late in the fourth quarter of 2010. For the 2011 full year, the income tax provision was recorded at a rate of 34.3 percent of pretax income compared to 32.7 percent for the full year 2010.

Financial Position and Cash Flow

Net cash provided by operating activities was $302.5 million for the year ended December 31, 2011 compared to $297.6 million for the full year 2010. The increase in net income was mostly offset by an increased investment in working capital, particularly increased accounts receivables related to the Company’s continued international expansion, a short-term income tax receivable and higher factory inventory levels supporting business growth. Total long-term debt at December 31, 2011 was unchanged from a year ago at $100.0 million. The Company’s debt-to-total capital ratio was 17 percent at December 31, 2011, compared to 35 percent for the same period in 2010. Cash and cash equivalents were $325.3 million at December 31, 2011 compared to $393.9 million for the same period in 2010. During 2011 Polaris used cash for investment activities totaling $141.1 million primarily for capital investments to remain competitive and to acquire several businesses. The Company used $227.5 million of cash for financing activities including debt reduction, the repurchase of Polaris stock and the payment of dividends to shareholders.

Polaris’ Board of Directors moves dividend pay date

Due to the scheduling timetable of the Company’s 2012 Board of Directors’ meetings, each of the quarterly dividend declarations by the Board of Directors in 2012 are anticipated to be approximately two weeks later than historically declared. As a result, the anticipated quarterly dividend pay dates will be approximately one month later in 2012 than in prior years. Polaris has increased dividends for 16 consecutive years through 2011 and management will recommend to the Board of Directors to once again increase the dividend for 2012. The Board of Directors expects to declare the first quarter 2012 dividend amount sometime in the first week of February 2012.

Conference Call and Webcast Presentation

Today at 9:00 AM (CT) Polaris Industries Inc. will host a conference call and webcast to discuss Polaris’ 2011 fourth quarter and full year earnings results released this morning. The call will be hosted by Scott Wine, CEO, Bennett Morgan, President and COO, and Mike Malone, Vice President Finance and CFO. A slide presentation and link to the audio webcast will be posted on the Investor Relations page of the Polaris web site at www.polarisindustries.com/irhome.

To listen to the conference call by phone, dial 800-374-6475 in the U.S. and Canada, or 973-200-3967 Internationally. The Conference ID is #75877934.

A replay of the conference call will be available approximately two hours after the call for a one-week period by accessing the same link on our website, or by dialing 855-859-2056 in the U.S. and Canada, or 404-537-3406 Internationally.

About Polaris

Polaris is a recognized leader in the powersports industry with annual 2011 sales of $2.7 billion. Polaris designs, engineers, manufactures and markets innovative, high quality off-road vehicles (ORVs), including all-terrain vehicles (ATVs) and the Polaris RANGER® side-by-side vehicles, snowmobiles, motorcycles and on-road electric/hybrid powered vehicles.

Polaris is among the global sales leaders for both snowmobiles and off-road vehicles and has established a presence in the heavyweight cruiser and touring motorcycle market with the Victory and Indian motorcycle brands. Additionally, Polaris continues to invest in the global on-road small electric/hybrid vehicle industry with Global Electric Motorcars (GEM) and Goupil Industrie SA, and internally developed vehicles. Polaris enhances the riding experience with a complete line of Pure Polaris apparel, accessories and parts, available at Polaris dealerships.

Polaris Industries Inc. trades on the New York Stock Exchange under the symbol “PII”, and the Company is included in the S&P Mid-Cap 400 stock price index.

Information about the complete line of Polaris products, apparel and vehicles accessories are available from authorized Polaris dealers or anytime at www.polarisindustries.com.

Except for historical information contained herein, the matters set forth in this news release, including management’s expectations regarding 2012 sales, shipments, net income, net income per share, manufacturing realignment transition costs and savings in logistical and production costs, are forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those forward-looking statements. Potential risks and uncertainties include such factors as the Company’s ability to successfully implement its manufacturing operations realignment initiatives, product offerings, promotional activities and pricing strategies by competitors; warranty expenses; impact of changes in Polaris stock price on incentive compensation plan costs; foreign currency exchange rate fluctuations; environmental and product safety regulatory activity; effects of weather; commodity costs; uninsured product liability claims; uncertainty in the retail and wholesale credit markets; changes in tax policy and overall economic conditions, including inflation, consumer confidence and spending and relationships with dealers and suppliers. Investors are also directed to consider other risks and uncertainties discussed in documents filed by the Company with the Securities and Exchange Commission. The Company does not undertake any duty to any person to provide updates to its forward-looking statements.

(summarized financial data follows)

POLARIS INDUSTRIES INC.
CONSOLIDATED STATEMENTS OF INCOME
(In Thousands, Except Per Share Data)
(Unaudited)
	For Three Months Ended December 31,						For the Year Ended December 31,
	2011			2010			2011			2010
Sales	$	781,969		$	618,442		$	2,656,949		$	1,991,139
Cost of Sales		577,661			446,926			1,916,366			1,460,926
Gross profit		204,308			171,516			740,583			530,213
Operating expenses
Selling and marketing		48,985			39,973			178,725			142,353
Research and development		31,383			25,433			105,631			84,940
General and administrative		37,763			32,183			130,395			99,055
Total operating expenses		118,131			97,589			414,751			326,348
Income from financial services		6,953			4,219			24,092			16,856
Operating Income		93,130			78,146			349,924			220,721
Non-operating expense (Income):
Interest expense		1,221			531			3,987			2,680
Gain on securities held for sale, net		-			-			-			(825	)
Other expense (income), net		(4,610	)		(691	)		(689	)		325
Income before income taxes		96,519			78,306			346,626			218,541
Provision for Income Taxes		32,620			23,784			119,051			71,403
Net Income	$	63,899		$	54,522		$	227,575		$	147,138
Basic Net Income per share	$	0.93		$	0.80		$	3.31		$	2.20
Diluted Net Income per share	$	0.90		$	0.78		$	3.20		$	2.14
Weighted average shares outstanding:
Basic		68,885			68,140			68,792			66,900
Diluted		71,062			70,309			71,057			68,765
Note: Shares outstanding and per share data have been adjusted to give effect to the two-for-one stock split declared on July 20, 2011 and paid on September 12, 2011 to shareholders of record on September 2, 2011.

POLARIS INDUSTRIES INC.
CONSOLIDATED BALANCE SHEETS
Subject to Reclassification
(In Thousands)	December 31, 2011		December 31, 2010
	(Unaudited)
Assets
Current Assets:
Cash and cash equivalents	$	325,336	$	393,927
Trade receivables, net		115,302		89,294
Inventories, net		298,042		235,927
Prepaid expenses and other		37,608		21,628
Income taxes receivable		24,723		-
Deferred tax assets		77,665		67,369
Total current assets		878,676		808,145
Property and equipment, net		213,778		184,011
Investments in finance affiliate		42,251		37,169
Investments in other affiliates		5,000		1,009
Deferred tax assets		10,601		-
Goodwill and Intangible assets, net		77,718		31,313
Total Assets	$	1,228,024	$	1,061,647
Liabilities and Shareholders’ Equity
Current Liabilities:
Borrowings under credit agreement		-	$	100,000
Current portion of capitalized lease debt	$	2,653		-
Accounts payable		146,743		113,248
Accrued expenses:
Compensation		187,671		126,781
Warranties		44,355		32,651
Sales promotions and incentives		81,228		75,494
Dealer holdback		76,512		79,688
Other		74,180		52,194
Income taxes payable		639		2,604
Current liabilities of discontinued operations		1,550		1,550
Total current liabilities		615,531		584,210
Long term income taxes payable		7,837		5,509
Deferred income taxes		-		937
Capitalized lease debt		4,600		-
Long-term debt		100,000		100,000
Total liabilities	$	727,968	$	690,656
Shareholders’ Equity:
Total shareholders' equity	$	500,056	$	370,991
Total Liabilities and Shareholders' Equity	$	1,228,024	$	1,061,647

POLARIS INDUSTRIES INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands)
(Unaudited)
Subject to Reclassification	For the Years Ended December 31,
	2011		2010
Operating Activities:
Net income	$227,575		$	147,138
Adjustments to reconcile net income to net cash provided by operating activities:
(Gain) loss on securities held for sale	-			(825	)
Depreciation and amortization	66,390			66,519
Noncash compensation	20,548			18,050
Noncash income from financial services	(4,444	)		(4,574	)
Noncash expense from manufacturing affiliates	133			1,376
Deferred income taxes	(16,946	)		(16,888	)
Changes in current operating items:
Trade receivables	(23,115	)		1,111
Inventories	(49,973	)		(56,612	)
Accounts payable	27,232			37,580
Accrued expenses	80,668			107,663
Income taxes payable/receivable	(24,463	)		(3,577	)
Prepaid expenses and others, net	(1,075	)		958
Net cash provided by continuing operations	302,530			297,919
Net cash flow used for discontinued operations	-			(300	)
Net cash provided by operating activities	302,530			297,619
Investing Activities:
Purchase of property and equipment	(84,484	)		(55,718	)
Investments in finance affiliate, net	(638	)		8,737
Investment in other affiliates, net	(4,124	)		9,601
Acquisition of businesses, net of cash acquired	(51,899	)		(4,738	)
Net cash used for investing activities	(141,145	)		(42,118	)
Financing Activities:
Borrowings under senior notes	100,000			-
Repayments under credit agreement	(202,333	)		-
Repurchase and retirement of common shares	(132,372	)		(27,486	)
Cash dividends to shareholders	(61,585	)		(53,043	)
Tax effect of proceeds from stock based compensation exercises	23,120			10,610
Proceeds from stock issuances under employee plans	45,654			68,105
Net cash used for financing activities	(227,516	)		(1,814	)
Impact of currency exchange rates on cash balances	(2,460	)		-
Net (decrease) increase in cash and cash equivalents	(68,591	)		253,687
Cash and cash equivalents at beginning of period	393,927			140,240
Cash and cash equivalents at end of period	$325,336		$	393,927

EX-99.2

Exhibit 99.2

Fourth Quarter & Full Year 2011 Earnings Results January 25, 2012   Safe Harbor Safe Harbor Except for historical information contained herein, the matters set forth in this document, including but not limited to management’s expectations regarding 2012 sales, shipments, net income, cash flow, and manufacturing realignment transition costs and savings, are forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those forward-looking statements. Potential risks and uncertainties include such factors as product offerings, promotional activities and pricing strategies by competitors; manufacturing realignment transition costs; acquisition integration costs; warranty expenses; impact of changes in Polaris stock prices on incentive compensation; foreign currency exchange rate fluctuations; environmental and product safety regulatory activity; effects of weather; commodity costs; uninsured product liability claims; uncertainty in the retail and wholesale credit markets; changes in tax policy and overall economic conditions, including inflation, consumer confidence and spending and relationships with dealers and suppliers. Investors are also directed to consider other risks and uncertainties discussed in our 2010 annual report and Form 10-K filed by the Company with the Securities and Exchange Commission. The Company does not undertake any duty to any person to provide updates to its forward-looking statements. The data source for retail sales figures included in this presentation is registration information provided by Polaris dealers in North America and compiled by the Company or Company estimates. The Company must rely on information that its dealers supply concerning retail sales, and other retail sales data sources and this information is subject to revision. Note: Shares and per share information have been adjusted to give effect to the two-for-one stock split declared on July 20, 2011, payable on September 12, 2011 to shareholders of record on September 2, 2011. January 2012   Scott Wine CEO Fourth Quarter & Full Year 2011 Earnings Results January 25, 2012   4 Q4 Net Income ($ in millions) Q4 Sales ($ in millions) $54.5 Up 17% $63.9 Q4 2011 Q4 2010 Q4 2011 Q4 2010 Record 4th Quarter Sales and Net Income Execution improved to offset tougher comparables ORV Sales remained strong +18%; On-Road & Snow up >60% Earnings per Share up 15% to record $0.90 Gross Profit dollars increased 19% to $204M, despite 160 bps margin decrease January 2012 Record Fourth Quarter Sales, Net Income and EPS Up 26% $782.0 $618.4 Focused, Experienced Team Delivers Strong Performance Full Year 2011 Sales and Net Income Full Year 2011 Sales and Net Income FY Net Income ($ in millions) FY Sales ($ in millions) $147.1 Up 55% $227.6 $1,991 Up 33% $2,657 January 2012 FY 2011 FY 2010 FY 2011 FY 2010 Record Sales, Net Income & EPS Revenue increases across all product lines and geographic regions EPS of $3.20, up 50% over 2010 North American retail sales up 14% on strong market share gains Strong Balance Sheet & increasing cash flow: well-positioned for 2012 6 Sales Gross Profit % Operating Income Operating Income % Net Income Net Income % Operating Cash Flow Shareholder Return $2,657 27.9% $349.9 13.2% $227.6 8.6% $302.5 46% METRIC 2011 Actual (millions) January 2012 Variance to ‘10 +33% +130 bps +59% +210 bps +55% +120 bps +2% (up 82% in 2010) Strong Results Across the P&L Strategic Progress Continues… Grow Sales $5 Billion by 2018 Expand Net Income Margins 10% of sales by 2018 Strategy Producing Excellent Results Full Year 2011 Progress 3-5 Year Strategic Initiatives Best in Powersports PLUS 5-8% organic growth Growth Through Adjacencies $200 - 500M growth Global Market Leadership >25% of Polaris revenue Operational Excellence >200 bps operating margin improvement Strong Financial Performance Sustainable, profitable growth Net income margin >8% Extended #1 market share in ORV Victory growth profitably accelerates Snowmobiles clear #2 in market share Military & Bobcat sales up significantly Small Vehicles: Traction & Opportunity Indian work continues; excitement grows January 2012 7 Gross profit margins up 130 bps Productivity >7%; factory inventory off plan Monterrey: >22k vehicles; > 19k engines Sales up 33% Net Income +55% / EPS +50% Net income margin up 120 bps to 8.6% International sales up 39%; EMEA +37% Strengthened EMEA & AP/LA teams China leading BICs; profitable in 2nd year $1.6 Billion $5.0 Billion >$3.0 Billion 2009 2014 2018 2009 2014 2018 6.5% 10.0% >9.5% >8.0% Total Company Sales (in millions) Diluted EPS Full Year 2012 Guidance Full Year 2012 Guidance $2,657 Up 5% to 8% $2,800 to $2,875 2011 Actual 2012 Guidance $3.20 Up 14% to 19% $3.65 to $3.80 Staying on Offense Retail sales growth and market share gains continue to outpace industry Growth investment continues; will be adapted to market conditions Commodity pressures should moderate; manageable throughout the year Net Income projected up 14% to 19% Ongoing margin improvement expected from Monterrey & LEAN journey Diluted EPS planned to be up 14% to 19% to $3.65 - $3.80 January 2012 8 2011 Actual 2012 Guidance   Bennett Morgan President & COO Bennett Morgan President & COO Fourth Quarter & Full Year 2011 Earnings Results January 25, 2012 North American Polaris Dealer Inventory Levels 10 N.A. Dealer Inventory & Retail Sales N.A. Dealer Inventory & Retail Sales Q4 N.A. retail sales up 11%, FY 2011 up 14% – demand remains strong N.A. dealer inventory up 4% from 2010 ATV dealer inventory down 8% from 2010 Side-by-side inventory up due to continued strong retail demand Snowmobile inventory up 7% Some Polaris product availability remains tight N.A. Powersports industry grew slightly in 2011 – 1st time in several years N.A. Retail Sales Strong; Dealer Inventory Near Optimum Levels 10 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Units 2006 Actual 2007 Actual 2008 Actual 2009 Actual 2010 Actual 2011 Actual January 2012 Off-Road Vehicle Division Off-Road Vehicle Division New! RANGER RZR XP4 900 Polaris Sales (millions) SXS SXS ATV ATV SXS SXS ATV ATV FY 2012 Guidance FY 2011 Q4 2011 Q4 2010 $394.5 +32% $1,822.3 +18% $465.8 Up mid- single digits January 2012 Q4 and Full Year 2011 #1 in ORV - Gained significant share in SxS and ATVs Polaris ATV retail sales grew in 2011; 1st time since ‘04 Polaris SxS retail sales grew about 20% in Q4 Dealer inventory at healthy levels New RZR XP4 900 shipments began in January 2012 2012 Objectives Grow market share again Remain industry leader in speed to market / new product innovation Grow Bobcat and Military, again 2012 Projection 2011 Estimate Down Slightly About Flat Continued Strong Market Share Gains in Q4 Polaris Sales (millions) N.A. ORV Industry Bobcat retail sales strong in 2011 New co-developed work vehicle in final stages of development Adjacencies Adjacencies Bobcat Strategic Alliance Military January 2012 Q4 2011 sales up over 30%, 2011 sales up over 100% Strong order backlog for 2012 Infrastructure in place to support growth Foundation in Place for Meaningful Growth FY 2010 FY 2011 FY 2012 FY 2010 FY 2011 FY 2012 Expectation Expectation Polaris Sales Polaris Sales Special Operations Forces RZR Snowmobile Division Snowmobile Division $104.1 +63% $169.2 FY 2012 guidance +48% $280.0 Down single digits % FY 2011 Q4 2011 Q4 2010 Polaris Sales (millions) January 2012 Q4 and Full Year 2011 MY ‘12 sleds well received N.A. Q4 Industry retail sales grew low single digits Season-to-date Industry retail sales up mid-single digits Polaris retail sales up high-single digits season-to-date Dealer inventories up single digits Poor snow conditions impacting in-season retail 2012 Objectives Quality remains #1 focus area Build on clear #2 market share position Profitability improvement from new products of improved quality Grow Market Share Again 600 Switchback Adventure Momentum Continues Polaris Total On-Road Sales (millions) On-Road Division On-Road Division $20.6 +69% $34.9 +79% $146.3 Up 30% to 40% FY 2012 guidance FY 2011 Q4 2011 Q4 2010 January 2012 Motorcycles - Q4 and Full Year 2011 Victory retail sales up about 20% for Q4 & FY 2011 Victory gained share in both cruisers & touring, #2 in market share Dealer network up 15% vs. 2010 New Victory Judge & Hard-Ball begin shipping Q1 2012 Indian integration and launch preparation on track MY ’12 Indians shipping out of Spirit Lake Motorcycles - 2012 Objectives Accelerate Victory growth and profitability Grow Victory market share again Build distribution and brand for Indian MY ’14 launch New MY ’13 Victory Judge Up mid- single digits FY 2011 Up low- single digits FY 2012 Expectations MY ’12 Victory HARD-BALL N.A. Motorcycle Industry 1400cc+ Market leader in the N.A. electric people mover segment Successfully moved production to Iowa Completed headquarters transition to Minneapolis Added 35 new dealers in 2H 2011 Expect to be slightly accretive in 2012 15 Market leader in fast growing European commercial electric vehicles segment Integration plan in place Expect to be neutral to slightly accretive in 2012 On-Road Division– Small Vehicles On-Road Division– Small Vehicles GOUPIL GEM January 2012 Integration on Track Polaris Sales Polaris Sales GEM e6 2011 2012 2011 2012 Goupil G3 Expectations Expectations PG&A PG&A 2011 PG&A Revenue by Product Category Maintain High Quality and Productivity Polaris Sales (millions) 2011 PG&A Revenue by Business Unit Other 7% Snow 16% Off-Road Vehicles 70% Parts 47% Accessories 49% Apparel 4% On-Road Vehicles 7% $99.2 +13% $112.1 FY 2012 guidance FY 2011 Q4 2011 Q4 2010 +19% $408.2 January 2012 Q4 and Full Year 2011 200+ new accessory products introduced SxS growth up 41% from 2010 All product lines increased sales in Q4 & Full Year 2012 Objectives Grow our most profitable margin business Continue to innovate with new accessory solutions Drive LEAN processes in distribution facility Grow slightly faster than overall company International Investment & Expansion Continuing International International $91.9 +43% $131.1 +39% $424.4 Polaris Sales (millions) 2011 Revenue by Geography 2011 Revenue by Business FY 2012 guidance FY 2011 Q4 2011 Q4 2010 ME / Africa 10% Latin America 7% Asia 3% Aus/NZ 13% Europe 67% Off-Road Vehicles 70% On-Road Vehicles 7% PG&A 7% Snow 16% January 2012 Q4 and Full Year 2011 ORVs, On-Road & Snowmobiles grew >40% in Q4 EMEA grew >35% in Q4 Asia / Pacific Latin America grew 30% in Q4 Full Year sales up 39% #1 in ORV in EMEA Victory growing 2012 Objectives Grow EMEA region in SxS / On-Road Manage through European economy Grow China, India and Brazil rapidly Low double digits %   Operational Excellence – Q4 & Full Year 2011 Margins Operational Excellence – Q4 & Full Year 2011 Margins Net Income as a Percent of Sales Gross Margins Q4 2010 Q4 2011 +1.3%+0.8%0.0%-0.9% Gross Margin Operating Expense Other Non- Operating Expense Income Taxes/ Other FY 2010 FY 2011 27.7% 26.1% 7.4% 8.6% -160 bps Full year 2011 gross margins remain strong driven by: Increased Volume; Continued value engineering investment; Higher selling prices from strong innovation Q4 2011 gross margins down due to higher commodity costs and negative currency impacts Commodity pressures including rare earth metals and diesel expected to moderate in 2nd half 2012. Net income margin at record high – 8.6% for 2011 Productivity continues to improve; Monterrey plant savings accelerating Factory inventory up in 2011 due to higher demand – expect to decline in 2012 Full Year Gross and Net Income Margin Expansion FY 2010 FY 2011 26.6% 27.9% +130 bps January 2012 Mike Malone V.P. Finance & CFO Fourth Quarter 2011 Earnings Results January 25, 2012   2012 Full Year Guidance Product Line Sales - Off-Road Vehicles - Snowmobiles - On-Road Vehicles - PG&A - International Total Company Sales Gross Margins Operating expenses Income Taxes Net Income EPS, Diluted Share Count Up mid-single digits % Down single digits % Up 30% - 40% Slightly higher than overall company Up low double digits % Up 5% to 8% Expand up to 100 bps Down as a percent of sales 34.0% to 34.5% of pretax income Up 14% to 19% $3.65 - $3.80 (+14% to +19%) Approximately flat to 2011 METRIC GUIDANCE Expect Another Record Year 20 January 2012   Actual Q4 2011 Actual Full Year 2011 Full Year Guidance 2012 Prior Period 27.7% 26.6% 27.9% Production volume adjustments Product cost reduction efforts Commodity costs Currency rates Higher selling prices Product mix Manufacturing realignment, net Warranty costs Tooling amortization Sales promotional costs Current period 26.1% 27.9% Up to 28.9% Change -160 bps +130 bps Up to 100 bps Gross Profit Margin Percentage Trends Gross Profit Margin Percentage Trends Improvement to gross profit margin % Impairment to gross profit margin % Neutral to gross profit margin % January 2012   Manufacturing Realignment Production and shipments began in Q2 2011 - Shipped over 22,000 SxS units to date Costs and savings projections largely unchanged Began realizing savings second half 2011 – realized savings accelerating as planned Manufacturing Realignment Remains on Plan Cost Charged to P&L (in millions) Savings (in millions) Anticipated annualized savings upon completion 2011 realized savings in 2nd half $30+ FY 2012 anticipated savings Guidance January 2012 Capital Expenditures (in millions) $2 $32 Estimated Total Capital to Completion FY 2011 Actual FY 2012 Guidance Project To-Date Q4 2011 Actual $3 $26 Estimated Total Project Costs FY 2011 Actual FY 2012 Guidance Project To-Date Q4 2011 Actual 22 $21 $27 - $28 $15 $12 - $15 $3- $4 $2 $1- $2 $35- $36 Balance Sheet and Liquidity Profile Balance Sheet and Liquidity Profile $ In millions (except per share and interest rate data) Full Year 2011 Fav (Unfav) 2010 2012 Full Year Guidance Cash $325.3 ($68.6) Increase from 2011 Long Term Debt $100.0 $100.0 Unchanged Credit Facility $350.0 ($100.0) Renewed to 2016 Factory Inventory $298.0 ($62.1) Decrease from 2011 by year-end Capital Expenditures $84.5 ($28.8) Similar to 2011 Depreciation & Amortization $66.4 $0.1 Similar to 2011 Operating cash flow $302.5 $4.9 Increase over 2011 Dividend $0.90 per share $0.10 per share Increase over 2011 Polaris Acceptance Receivables $568.4 ($70.5) Increase slightly due to product mix Retail Credit – Approval Rate – Penetration Rate 61% 34% +3% pts +1% pts Stabilized October 2011 Continued Strong Financial Position   Scott Wine CEO Fourth Quarter & Full Year 2011 Earnings Results January 25, 2012   Summary Policy and debt concerns drive continued uncertainty EMEA business will overcome weakness to grow modestly Asia Pacific/Latin America positioned to accelerate growth Currency and commodity markets expected to remain volatile M&A remains active; opportunities tempered by discipline Anticipate increased competitive activity; Polaris to stay on offense Forecasting another year of share gains in all businesses Ramping up LEAN activity to reduce costs, improve quality Monterrey delivers expected $12 to $15 million cost savings in 2012 Net Income margins approaching long-term strategic target of 10% 25 Profitable Growth & Margin Expansion Remain Primary Focus January 2012 26 Thank you. Q & A