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): April 21, 2016

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 April 21, 2016, Polaris Industries Inc. (the “Company”) issued a press release announcing the Company’s first quarter 2016 financial results for the reporting period ended March 31, 2016.  On April 21, 2016, 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 May 5, 2016 by dialing 855-859-2056 in the U.S. and Canada, or 404-537-3406 for international calls and entering passcode 95414235, and on the Company’s website at http://ir.polaris.com.

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 April 21, 2016 of Polaris Industries Inc.
99.2	Presentation materials dated April 21, 2016 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:	April 21, 2016
		POLARIS INDUSTRIES INC.
		/s/ Michael T. Speetzen
		Michael T. Speetzen
		Executive Vice President – Finance and Chief Financial Officer of Polaris Industries Inc.

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release dated April 21, 2016 of Polaris Industries Inc.
99.2	Presentation materials dated April 21, 2016 of Polaris Industries Inc.

EX-99.1

Exhibit 99.1

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

Polaris Reports 2016 First Quarter Results

First Quarter 2016 Highlights:

North American retail sales increased 6% in the quarter with Indian motorcycles up over 50%.

Dealer inventory was down year-over-year.

Motorcycle sales increased 18% during the quarter.ORV/Snowmobiles and Global Adjacent Markets sales were down, in-line with expectations.

First quarter results included additional expenses totaling approximately $30 million related to certain product liability settlements, ORV related warranty accruals, severance costs and acquisition related costs.

Repurchased 1.0 million shares of Polaris common stock during the first quarter.

Maintaining guidance range for full year 2016 earnings of $6.20 to $6.80 per diluted share, on sales in the range of down 2% to up 3% for the full year 2016.

MINNEAPOLIS--(BUSINESS WIRE)--April 21, 2016--Polaris Industries Inc. (NYSE:PII) today reported first quarter net income of $46.9 million, or $0.71 per diluted share, for the quarter ended March 31, 2016 compared to $88.6 million, or $1.30 per diluted share reported in the first quarter of 2015, in-line with Company expectations. Sales for the first quarter 2016 totaled $983.0 million, down five percent compared to last year’s first quarter sales of $1,033.3 million.

“Our first quarter results were in line with our projections, in spite of increased expenses for warranty and product liability. Our Customer Excellence initiatives and new products drove a six percent increase in North American retail, and in conjunction with shipment reductions, better demand forecasting, and process control improvements, enabled us to continue reducing dealer inventory levels year-over-year. During the quarter, we improved shipment lead-times, met retail demand from our Spirit Lake motorcycle facility, and completing the acquisition of Taylor-Dunn. I still believe 2016 is likely to be another volatile year in powersports, but we are seeing pockets of strength. The North American ORV industry was up in the first quarter, with March experiencing the strongest improvement,” commented Scott Wine, Polaris’ Chairman and Chief Executive Officer.

“We remain focused on an all-out assault on costs and rededicating the business to drive growth, not only for this year but as part of a renewed commitment to achieving our 2020 objectives. The entire Polaris team is united, and determined, to grow sales and expand margins.”

2016 Business Outlook

While the powersports industry was slightly better than anticipated in the 2016 first quarter, the Company is keeping its guidance range unchanged for the full year 2016 with earnings expected to be in the range of $6.20 to $6.80 per diluted share with sales in the range of down two percent to up three percent over 2015 due to the persistent unpredictability around overall economic trends and more specifically powersports industry trends for the remainder of 2016.

First Quarter 2016 Performance Summary (in thousands, except per share data)

Reporting Segments*	Three Months ended March 31,
Sales	2016	2015	Change
Off-Road Vehicles/Snowmobiles	$ 720,642	$ 796,241	(9%)
Motorcycles	188,245	159,479	18%
Global Adjacent Markets	74,109	77,625	(5%)
Total Sales	$ 982,996	$ 1,033,345	(5%)
Gross Profit	$ 247,578	$ 293,731	(16%)
Gross profit as a % of sales	25.2%	28.4%	-324 bps
Operating Expenses	$ 189,930	$ 158,087	20%
Operating expenses as a % of sales	19.3%	15.3%	402 bps
Operating Income	$ 77,144	$ 150,286	(49%)
Operating Income as a % of sales	7.8%	14.5%	-669 bps
Net Income	$ 46,889	$ 88,563	(47%)
Net income as a % of sales	4.8%	8.6%	-380 bps
Diluted Net Income per share	$ 0.71	$ 1.30	(45%)

*Reporting Segment sales include their respective parts, garments and accessories (“PG&A”) related sales

Off-Road Vehicle (“ORV”) and Snowmobile segment sales, including their respective PG&A related sales, decreased nine percent from the first quarter of 2015 to $720.6 million. ORV vehicle sales decreased 12 percent, snowmobile vehicle sales were up two percent and ORV and snowmobile related PG&A sales, combined, increased two percent in the 2016 first quarter compared to the same period last year.

ORV wholegood sales decreased 12 percent reflecting ongoing softness in retail sales in North American oil markets and tough comparables in the first quarter of last year. Polaris North American ORV unit retail sales were flat with the 2015 first quarter, with consumer purchases of side-by-side vehicles down low single-digits percent and ATV retail sales up low-single digits percent over prior year. ORV dealer inventory was down ten percent in the 2016 first quarter compared to the same period last year. While the Company experienced modest ORV market share loss in the 2016 first quarter with ATV market share up slightly and side-by-side’s down, Polaris continues to be the clear #1 market share leader in ORV in North American.

Snowmobile wholegood sales increased two percent due to the acquisition of Timbersled in the second quarter of 2015. The Company gained market share the 2016 first quarter and for a third consecutive year for the season ending March 31, 2016.

Motorcycle segment sales, including their respective PG&A related sales, increased 18 percent in the 2016 first quarter to $188.2 million primarily due to continued strong retail sales for Indian^® motorcycles.

North American consumer retail demand for the Polaris motorcycle segment, including Victory^®, Indian Motorcycle^® and Slingshot^®, was up low-teens percent during the 2016 first quarter while the overall motorcycle industry retail sales, 900cc and above was about flat in the 2016 first quarter. During the 2016 first quarter, the Company began retailing two new additions to its Victory and Indian motorcycle line-up with the introduction of the Octane™, Victory motorcycles’ first mid-sized cruiser and the new Indian Springfield™, named after the birthplace of Indian Motorcycle. Slingshot also broadened its color options with its 2016 model introduction including the new Limited Edition White Pearl SL. Product availability for Victory, Indian Motorcycle^® and Slingshot^® improved considerably in the 2016 first quarter and dealer inventories are essentially at targeted stocking levels at quarter-end.

Global Adjacent Markets segment sales along with their respective PG&A related sales decreased five percent to $74.1 million in the 2016 first quarter compared to the 2015 first quarter.

Work and Transportation group wholegood sales were up low single digits percent during the first quarter of 2016 primarily due to growth in the Aixam business. Sales for the Company’s defense business were down significantly due to U.S. military budget spending patterns pushing orders into the future.

Supplemental Data:

Parts, Garments, and Accessories (“PG&A”) sales, which are included in each of the three respective reporting segments, experienced a two percent increase during the 2016 first quarter. All segments experienced higher PG&A sales during the quarter except motorcycles. Motorcycle PG&A sales were down slightly year-over-year due to higher shipments of Slingshot related PG&A in the 2015 first quarter from initial stocking orders.

International sales to customers outside of North America totaled $162.6 million for the first quarter of 2016, including PG&A, up six percent from the same period in 2015. International sales on a constant currency basis were up 12 percent in the 2016 first quarter. Europe, Middle East and Africa (“EMEA”) reported sales increased six percent in the 2016 first quarter and Asia Pacific reported sales were down seven percent while Latin American reported sales were up 29 percent. International reported sales by reportable segment in the first quarter compared to last year were as follows: ORV/Snowmobiles segment sales were down one percent, Motorcycles segment sales were up 42 percent, and Global Adjacent Markets segment sales increased two percent.

Gross profit decreased 16 percent to $247.6 million in the first quarter of 2016, compared to $293.7 million in the first quarter of 2015. As a percentage of sales, gross profit declined 324 basis points to 25.2 percent of sales for the first quarter of 2016, compared to 28.4 percent of sales for the same period last year. Negative currency movements along with increased warranty and promotional costs and negative product mix, were partially offset by lower commodity costs and cost savings from product cost reduction efforts.

Operating expenses increased 20 percent to $189.9 million or 19.3 percent of sales for the first quarter of 2016, compared to $158.1 million or 15.3 percent of sales for the first quarter of 2015. The increase in dollars and percentage of sales, was driven by increased research and development expense for ongoing product innovation, higher selling and marketing expenses to increase Polaris’ brand awareness and an increase in general and administrative expense due to higher product liability, severance and acquisition related costs incurred during the quarter. These costs were partially offset by operating cost control measures taken during the 2016 first quarter.

Income from financial services was $19.5 million during the first quarter 2016, an increase of 33 percent compared to $14.6 million in the first quarter of 2015. The increase is attributable to a higher penetration rate for retail financing programs in the 2016 first quarter.

Equity in loss of affiliates was $2.1 million for the first quarter of 2016 compared to $1.6 million last year, which represents the Company’s portion of the operating results related to the Polaris/Eicher joint venture in India.

Non-operating other expense, net, which primarily relates to foreign currency exchange rate movements and the corresponding effects on foreign currency transactions related to the Company’s foreign subsidiaries, was $0.1 million in the first quarter of 2016 compared to $7.4 million in the first quarter of 2015.

The provision for income taxes for the first quarter of 2016 was $25.3 million or 35.0 percent of pretax income compared to $49.8 million or 36.0 percent of pretax income for the first quarter of 2015. The lower income tax provision rate in the first quarter 2016 is primarily due to the extension of the research and development credit by the U.S. Congress in the fourth quarter of 2015.

Financial Position and Cash Flow

Net cash provided by operating activities was $139.0 million for the quarter ended March 31, 2016, compared to $4.2 million for the same period in 2015. The significant increase in net cash provided by operating activities for the 2016 period was due to decreased working capital. Total debt for the quarter, including capital lease obligations and notes payable, was $532.4 million. The Company’s debt-to-total capital ratio was 36 percent at March 31, 2016, compared to 27 percent a year ago. Cash and cash equivalents were $145.8 million at March 31, 2016, up from $111.0 million for the same period in 2015.

Share Buyback Activity

During the first quarter 2016, the Company repurchased and retired 1,040,000 shares of its common stock for $84.9 million. As of March 31, 2016, the Company currently has authorization from its Board of Directors to repurchase up to an additional 9.3 million shares of Polaris stock.

Non-GAAP Measure - Constant Currency Reporting

This release and our related earnings call include a discussion of the Company’s 2016 first quarter results and 2016 expectations on a constant currency basis, which is a non-GAAP measure, as well as on a GAAP basis. For purpose of comparison, the results on a constant currency basis uses the respective prior year exchange rates for the comparative period to enhance the visibility of the underlying business trends, excluding the impact of translation arising from foreign currency exchange rate fluctuations.

First Quarter Conference Call and Webcast Presentation

Today at 9:00 AM (CST) Polaris Industries Inc. will host a conference call and webcast to discuss the first quarter 2016 results released this morning. The call will be hosted by Scott Wine, Chairman and CEO; Bennett Morgan, President and COO; Ken Pucel, Executive Vice President – Operations, Engineering and Lean; and Mike Speetzen, Executive Vice President – Finance and CFO. A slide presentation and link to the webcast will be posted on the Polaris Investor Relations website at http://ir.polaris.com.

To listen to the conference call by phone, dial 877-706-7543 in the U.S. and Canada, or 973-200-3967 internationally. The Conference ID is # 95414235.

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 Industries Inc. (NYSE: PII) is a global powersports leader with annual 2015 sales of $4.7 billion. Polaris fuels the passion of riders, workers and outdoor enthusiasts with our RANGER^®, RZR^® and Polaris GENERAL™ side-by-side off-road vehicles; our Sportsman^® and Polaris ACE^® all-terrain off-road vehicles; Victory^® and Indian Motorcycle^® midsize and heavyweight motorcycles; Slingshot^® moto-roadsters; and Polaris RMK^®, INDY^®, Switchback^® and RUSH^® snowmobiles. Polaris enhances the riding experience with parts, garments and accessories sold under multiple recognizable brands, and has a growing presence in adjacent markets globally with products including military and commercial off-road vehicles, quadricycles, and electric vehicles. www.polaris.com

Except for historical information contained herein, the matters set forth in this news release, including management’s expectations regarding 2016 and future sales, shipments, net income, and net income per share and operational initiatives 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 expansion initiatives, cost reduction initiatives, product offerings, promotional activities and pricing strategies against competitors; economic conditions that impact consumer spending; acquisition integration costs; 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; performance of affiliate partners; 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)
	Three months ended March 31,
	2016		2015
Sales	$	982,996	$	1,033,345
Cost of sales	735,418		739,614
Gross profit	247,578		293,731
Operating expenses:
Selling and marketing	77,241		69,685
Research and development	43,109		38,863
General and administrative	69,580		49,539
Total operating expenses	189,930		158,087
Income from financial services	19,496		14,642
Operating income	77,144		150,286
Non-operating expense:
Interest expense	2,865		2,910
Equity in loss of other affiliates	2,058		1,623
Other expense, net	81		7,440
Income before income taxes	72,140		138,313
Provision for income taxes	25,251		49,750
Net income	$	46,889	$	88,563
Basic net income per share	$	0.72	$	1.33
Diluted net income per share	$	0.71	$	1.30
Weighted average shares outstanding:
Basic	65,046		66,429
Diluted	65,982		68,146

POLARIS INDUSTRIES INC. CONSOLIDATED BALANCE SHEETS (In Thousands) (Unaudited)
	March 31, 2016		March 31, 2015
Assets
Current Assets:
Cash and cash equivalents	$	145,763	$	111,005
Trade receivables, net	124,553		173,199
Inventories, net	710,004		629,285
Prepaid expenses and other	68,224		68,831
Income taxes receivable	28,126		5,308
Deferred tax assets	—		112,494
Total current assets	1,076,670		1,100,122
Property and equipment, net	675,164		558,753
Investment in finance affiliate	99,910		96,247
Deferred tax assets	165,862		35,656
Goodwill and other intangible assets, net	278,483		210,451
Other long-term assets	83,684		77,421
Total assets	$	2,379,773	$	2,078,650
Liabilities and Shareholders’ Equity
Current Liabilities:
Current portion of debt, capital lease obligations and notes payable	$	4,895	$	2,203
Accounts payable	293,512		304,656
Accrued expenses:
Compensation	60,168		56,583
Warranties	67,207		48,634
Sales promotions and incentives	147,204		136,653
Dealer holdback	111,480		107,087
Other	99,802		74,543
Income taxes payable	9,985		19,698
Total current liabilities	794,253		750,057
Long term income taxes payable	25,150		10,091
Capital lease obligations	20,010		20,674
Long-term debt	507,499		304,055
Deferred tax liabilities	13,728		15,719
Other long-term liabilities	76,076		101,081
Total liabilities	$	1,436,716	$	1,201,677
Deferred compensation	12,190		14,695
Shareholders’ equity:
Total shareholders’ equity	930,867		862,278
Total liabilities and shareholders’ equity	$	2,379,773	$	2,078,650

POLARIS INDUSTRIES INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands) (Unaudited)
	Three months ended March 31,
	2016			2015
Operating Activities:
Net income	$	46,889		$	88,563
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	37,894			37,081
Noncash compensation	15,506			17,094
Noncash income from financial services	(7,403		)	(6,794		)
Deferred income taxes	915			5,868
Excess tax benefits from share-based compensation	—			(27,476		)
Other, net	2,058			3,090
Changes in operating assets and liabilities:
Trade receivables	34,197			26,749
Inventories	14,371			(66,063		)
Accounts payable	(9,936		)	(40,433		)
Accrued expenses	(31,834		)	(59,831		)
Income taxes payable/receivable	21,304			33,241
Prepaid expenses and others, net	15,047			(6,864		)
Net cash provided by operating activities	139,008			4,225
Investing Activities:
Purchase of property and equipment	(54,833		)	(30,784		)
Investment in finance affiliate, net	6,566			(346		)
Investment in other affiliates	(4,408		)	(10,049		)
Acquisition of businesses, net of cash acquired	(54,830		)	—
Net cash used for investing activities	(107,505		)	(41,179		)
Financing Activities:
Borrowings under debt arrangements / capital lease obligations	570,832			817,324
Repayments under debt arrangements / capital lease obligations	(504,450		)	(723,306		)
Repurchase and retirement of common shares	(84,949		)	(86,267		)
Cash dividends to shareholders	(35,430		)	(35,114		)
Proceeds from stock issuances under employee plans	8,987			19,010
Excess tax benefits from share-based compensation	—			27,476
Net cash provided by (used for) financing activities	(45,010		)	19,123
Impact of currency exchange rates on cash balances	3,921			(8,764		)
Net decrease in cash and cash equivalents	(9,586		)	(26,595		)
Cash and cash equivalents at beginning of period	155,349			137,600
Cash and cash equivalents at end of period	$	145,763		$	111,005

EX-99.2

Exhibit 99.2

First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC.

Except for historical information contained herein, the matters set forth in this document, including but not limited to management’s expectations regarding 2016 sales, shipments, margins, currencies, net income and cash flow, the opportunities for expansion and diversification of the Company’s business and the Company’s guidance on earnings per share 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 operation expansion initiatives; acquisition integration costs; warranty expenses; 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; performance of affiliate partners; 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 2015 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.Non-GAAP Measure - Constant Currency Reporting. This presentation includes information regarding the Company’s 2016 expectations on a constant currency basis, which is a non-GAAP measure, as well as on a GAAP basis. For purpose of comparison, the results on a constant currency basis uses the respective prior year exchange rates for the comparative period to enhance the visibility of the underlying business trends, excluding the impact of translation arising from foreign currency exchange rate fluctuations. 2 Q1'16 Earnings SAFE HARBOR

Scott W. Wine Chairman & CEO First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC. Q1'16 Earnings 3

Q1 sales and net income in-line with guidanceORV/Snowmobile sales down 9%; Motorcycles up 18%; Global Adjacent Markets down 5%Results include ~$30 million of additional costs: product liability, warranty, acquisition related costs and severance accrualsEarnings per share decreased 45% to $0.71Gross profit margin down 324 bps from negative currency, mix and higher warrantyN.A. dealer inventory levels down 1%ORV down 10 percent Q1 Results In-line with Expectations Q1 2016 Net Income Q1 2016 Sales 4 Q1'16 Earnings Q1 2016 Sales and Income -5% -47% ($ millions) ($ millions)

Global Adjacent Markets Sales* Taylor-Dunn Work & Transportation Robert (Bob) MackSVP – Corporate Development & Strategy and President – Global Adjacent Markets20 years as a business leader of global business operationsPreviously VP of Corporate Development at Ingersoll-RandExtensive experience in M&A and integration Building Businesses for Future Growth / Profitability 5 Q1'16 Earnings Recent Acquisition / Organizational Changes Work & Transportation$4+ Billion Market Guidance ($ in millions) Organizational Change Taylor-DunnSales by Category *Includes PG&A

Strategic Objectives Vision & Strategy VISION Fuel the passion of riders, workers and outdoor enthusiasts around the world by delivering innovative, high quality vehicles, products, services and experiences that enrich their lives. STRATEGY Polaris will be a highly profitable, customer centric, $8B global enterprise by 2020. We will make the best off-road and on-road vehicles and products for recreation, transportation and work supporting consumer, commercial and military applications. Our winning advantage is our innovative culture, operational speed and flexibility, and passion to make quality productsthat deliver value to our customers. Best in Powersports PLUS Growth through Adjacencies 5-8% annual organic growth >$2B from acquisitions & new markets Global Market Leadership LEAN Enterprise is Competitive Advantage >33% of Polaris revenue Significant Quality, Delivery & Cost Improvement Strong Financial Performance Sustainable, profitable growthNet Income Margin >10% Guiding Principles Best People, Best Team Safety & Ethics Always Customer Loyalty Performance Priorities Growth Margin Expansion Product & Quality Leadership LEAN Enterprise >$8 Billion by 2020 12% CAGR >10% of Sales by 2020 13% CAGR 6 Q1'16 Earnings Strategy and Objectives Remain Valid & Achievable

Bennett Morgan President & COO First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC. Q1'16 Earnings 7

Polaris N.A. retail 6% for Q1 2016 vs. Q1 2015Polaris held Powersports share – remains clear #1North American Industry improved sequentially vs. Q4; Q1 similar to PolarisPolaris Q1 2016 N.A. dealer inventory 1% vs. Q1 2015ORV 10% year-over-year; RANGER®, RZR® and ATVs all declinedMotorcycles significantly as expected, near targeted levelsSnowmobiles low-twenties % due to lower snowfall in key regionsRFM business model re-engaged for motorcycles; ATVs working well; SxS to convert in Q4 2016 Retail Improved; Dealer Inventory Down vs. Q1 2015 N.A. Dealer Inventory Polaris Retail Sales 8 Q1'16 Earnings N.A. Powersports Retail Sales: Q1 2016 -12% Existing ORV Models 4% New ORV models 2% Snowmobiles 5% Slingshot/Indian 0% New Dealers -1% Total Increase -1%

Off-Road Vehicles (ORV) 9 Q1'16 Earnings Polaris Off-Road Vehicle Sales N.A. Polaris ORV retail sales flat; Industry mid-single digits %ATVs low-single digits, share slightly Side-by-side retail slightly, share; Polaris GENERAL™ selling wellRetail in oil and gas regions remains weakPromotion and discounting environment remained aggressivePolaris advertising shifting more towards brand vs. “the deal”March retail sequentially better as new advertising and promotional programs began taking holdRZR® recall top priority – repair parts begin shipping tomorrow, April 22nd Remain Clear #1 Share Leader in Competitive Market ($ millions)

Snowmobiles 10 Q1'16 Earnings N.A. Snowmobile Retail Sales Polaris Snowmobile Vehicle Sales Polaris retail low-single digits % season-end March 31, 2016; Q1 high-thirty %N.A. Industry high-single digits % for the season – poor snow conditionsGained share in Q1 and ‘15/’16 season again, highest level in 13 yearsStrong MY’17 introductions7 new MY’17 sleds; 4 limited edition modelsMY’17 build and dealer orders; dealer inventory reductionTimbersled sales increased – greater exposure, more dealers Strong #2 and Gaining Share Q1 2016 Season-end March 31, 2016 ($ millions)

Motorcycles 11 Q1'16 Earnings Q1 Product News Polaris Motorcycle Vehicle Sales Polaris N.A. motorcycle Q1 retail sales low-teens %; share Indian over 50%; share Victory retail sales and share slightly; trend improvingSlingshot retail sales; tough comparables (large pre-orders last year)Indian Motorcycle distribution establishing loyal followingSpirit Lake production and paint system meeting demandProduct launch sequence continues for all brands Motorcycle Growth Continues; Production Constraints Resolved Acquired2011 Est. 2014 Est. 1998 MY’17 Victory Octane™MSRP $10,499(Mid-sized) MY 16.5 Slingshot® White Pearl SLLimited Edition MSRP $26,499(Moto-Roadster) MY’16 Indian Springfield™ MSRP $21,499(Bagger/Touring) ($ millions)

Work & Transportation Military Global Adjacent Markets 12 Q1'16 Earnings Work & Transportation Business Expanding Global Adjacent Markets Vehicle Sales W&T Sales low-single digits %; Aixam™, National Accounts and GEM® sales strongDefense sales significantly due to timing of government spendingCompleted Taylor-Dunn acquisition – another leg added to adjacency business Building a Diversified Portfolio 2014/2015 Season Snowmobile Industry Units ($ millions) Burden CarriersTow TractorsUtility VehiclesPersonal CarriersStock Chasers

Parts, Garments & Accessories (PG&A) 13 Q1'16 Earnings Q1 2016 PG&A Sales by Segment & Category Q1 2016 PG&A Sales – All Businesses* Sales 2% in Q1ORV sales; Snow; Motorcycle (initial Slingshot® stocking shipments last year); GAM Accessories 4% (Slingshot® sales LY), Apparel 14%, Parts 7%U.S. sales 4%; International sales; Canada (currency)Aftermarket brands mid-teens; core Polaris low-single digits PG&A Enhancing the Rider Lifestyle and Experience Apparel Motorcycles Global Adjacent Markets (GAM) ORV/Snowmobiles Core Polaris PG&A Brands Aftermarket Brands *Supplemental data: Beginning in 2016, PG&A sales guidance is included within each reporting segment Accessories Parts ($ millions) Segments Categories

Q1 2016 Sales by Product / Region International Sales* Strong EMEA and Latin America Growth; Motorcycles Gaining Share 14 Q1'16 Earnings International ($ millions) Motorcycles up over 40% (includes Slingshot®)Latin America up significantly driven by ORV, Motorcycles and PG&AEuropean motorcycle and ORV markets; Polaris retail outperforming in both, share Multix Q1 on plan ($ millions) +6% (cc +9%) Motor-cycles Latin America GlobalAdjacentMarkets Asia Pacific ORV/Snow -7% (cc ~flat) +29%(cc +54%) +6% (cc +12%) EMEA Latin America Asia Pacific (sales $ in millions) *Includes PG&A

Ken Pucel EVP Operations, Engineering & Lean First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC. Q1'16 Earnings 15

Huntsville Spirit Lake Huntsville production to start in Q2 as plannedInitially produce RANGER® SxS; Slingshot® to start in Q3Added capacity provides flexibility and improved efficienciesIncorporates most advanced lean flow processes and industry-leading technologies All Factories Moving to Lean Enterprise Approach 16 Q1'16 Earnings Manufacturing Facility Update Spirit Lake producing to planned schedule Output up over 30% in Q1 Manufacturing lead-time 75% better Paint upgrade completed in January Final upgrade planned for Q4 Metal Paint Office Area Lobby

Inventory Turns Decreasing as Inventory Value Grows at a Faster Rate than Sales Factory Inventory & Turns Sales 17 Q1'16 Earnings Polaris Sales Growth & Factory Inventory ($ millions) Factory inventory historically growing faster than sales – major focus in 2016 Inventory reduction closely tied to Retail Flow Management (RFM)Vehicle platforming, localization of suppliers, reduction of supplier lead-times, distribution network reconfiguration Tied incentive compensation to factory inventory reduction targets for executives ($ millions) +23% +18% +30% +24% +33% +21% +18% +19% +5% Inventory $ down significantly, Turns Improve Expectations

Mike Speetzen EVP Finance & CFO First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC. Q1'16 Earnings 18

Earnings Per Share (diluted) Gross Profit Margin 19 Q1'16 Earnings Total Company Sales 2016 Sales & Earnings Guidance Remains Unchanged Assumptions Protect market share Dealer inventory about flat Segment Expectations ORV/Snowmobiles low to mid-single digits % (decreased) Motorcycles high-teens % (unchanged) Global Adjacent Markets high-single digits % (increased) Assumptions F/X = minus ~90 bps Huntsville start-up Q2’16 Commodities positive Assumptions F/X = minus ~55¢ per share (unchanged) Share count down ~2% (increased) Net income $ down 1% to 10% (unchanged) 2016 Full Year Guidance 2% to 3%(unchanged) Constant CurrencyFlat to 5% Constant Currency 20 to 30 bps Constant CurrencyFlat to 9% $6.75 to $7.35 8% to 1% $6.20 to $6.80 (unchanged) 70 to 120 bps (Improved) Other 2016 Expectations Operating expenses: Up 10 to 30 bps as a % of sales (decreased) Income from financial services: grow faster than total company sales (increased)Income taxes: Approx. 35% of pre-tax income (unchanged)International sales: low to mid-single digits % (unchanged) PG&A sales: Grow faster than overall company (unchanged) ($ millions)

Global Adjacent Markets Motorcycles 20 Q1'16 Earnings ORV / Snowmobiles ORV/Snowmobiles Down Modestly, Motorcycles Unchanged; GAM Increased 2016 Sales & Sales Guidance by Reporting Segments $698.3 Uphigh-teens %(unchanged) Indian Victory Slingshot Indian Victory Slingshot PG&A PG&A PG&A PG&A W&T Defense W&T Defense Up high-single digits % (increased) Down low to mid-single digits % (decreased) ORV ORV PG&A PG&A Snow $3,708.9 $312.1 ($ millions) Snow -9% $720.6 $796.2 +18% $188.2 $159.5 -5% $74.1 $77.6 PG&A ORV Snowmobiles Motorcycles W&T / Defense

By Component Q1 2015 Actual Q1 2016 Actual FY 2016 Guidance Prior period 29.1 28.4% 28.4% Production volume/capacity to Product cost reduction efforts Commodity costs Currency rates Higher selling prices Product mix Motorcycle Production Constraints New plant start-up costs Warranty costs Depreciation/Tooling amortization Sales promotional costs Current period 28.4% 25.2% 27.2% to 27.7% Change -66 bps -324 bps Down 70 to 120 bps By Reporting Segments Q1 2015 Actual Q1 2016 Actual FY 2016 Guidance ORV/Snowmobiles 32.7% 29.0% Motorcycles 12.7% 15.3% Global Adjacent Markets 23.4% 27.5% Gross Profit Margin 28.4% 25.2% 21 Q1'16 Earnings 2016 Gross Profit Margin Guidance Improvement to gross profit margin % Headwind to gross profit margin % Neutral to gross profit margin %

Currency Improved Slightly in Q1; Remains Volatile 22 Q1'16 Earnings Foreign Currency Exposure for Polaris Foreign Currency Hedging Contracts Currency Impact on Net Income Notional Avg. Exchange Compared to Prior Year Period Foreign Currency Currency Position Cash Flow Exposure Hedged Amounts (US $ in Millions) Rate of Open Contracts FY 2016 (Expectation) Canadian Dollar (CAD) Long 80% $193 $0.72 to 1 CAD Negative Australian Dollar (AUD) Long 60% $22 $0.71 to 1 AUD Negative Euro (EUR) Long 0% - - Negative Japanese Yen (JPY) Short 40% $6 120 Yen to $1 Positive Mexican Peso (MXN) Short 90% $41 17 Peso to $1 Positive F/X Impacts vs. Prior Year($ in millions) Actual Q1 2015 Actual Q1 2016 Actual FY 2015 FY 2016 Expectations Sales ($32) ($14) ($160) ($75) Gross Profit ($12) ($17) ($70) ($75) Pretax Income ($16) ($8) ($70) ($55) Open F/X Hedging Contracts as of March 31, 2016

Polaris Financial Position 23 Q1'16 Earnings Capital Summary March 2016 Cash Drivers Fav/(Unfav) March 2015 Cash $ 145.8 +32% Debt /Capital Lease Obligations $ 532.4 (63%) Shareholders’ Equity $ 930.9 8% Total Capital $1,463.3 23% Debt to Total Capital 36% (9%) 2015 Operating cash flow up significantly Factory inventory flat sequentially from Q4’15 Increased share repurchases given stock priceCap Ex expected to be slightly higher than 2015Reflects Huntsville, Spirit Lake Investments Operating Cash Flow Strong Balance Sheet and Cash Flow Generation ROIC* *Defined as trailing 12 months net income divided by average total assets, minus average current liabilities Up Significantly ($ millions) ($ millions) ($ millions) Expectations Q1 2016 Summary 2016 Expectations

Scott W. Wine Chairman & CEO First Quarter 2016 Earnings Results April 21, 2016 POLARIS INDUSTRIES INC. Q1'16 Earnings 24

Difficult / Decent Start to YearSales & Earnings down- on guidance; Indian outpacing industry; ORV catching up; RecallVariability too ConsistentMonth-to-month, region-to-region demand shifts challenging Lean Enterprise Traction Building VIP cost initiatives; Inventory reduction; Standard work & waste elimination Executing RZR Recall Q2 PriorityCustomer safety / back to riding #1 focus; Retail & production plans in placeRegain Momentum in Growing Powersports Industry Homan & Scanlon play to win; Aggressively protecting #1 share positionR&D and Growth Investments OngoingProducts / services and acquisition pipeline active All Out Assault on Cost & Working to Make Growth Happen 25 Q1'16 Earnings Closing Comments

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