Segment Reporting

12 Months Ended

Dec. 31, 2020

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

The Company’s reportable segments are based on the Company’s method of internal reporting, which generally segregates the operating segments by product line, inclusive of wholegoods and PG&A. These results are not necessarily indicative of the results of operations that would have occurred had each segment been an independent, stand-alone entity during the periods presented. The internal reporting of these operating segments is defined based, in part, on the reporting and review process used by the Company’s Chief Executive Officer. The Company has six operating segments: 1) ORV, 2) Snowmobiles, 3) Motorcycles, 4) Global Adjacent Markets, 5) Aftermarket, and 6) Boats, and five reportable segments: 1) ORV/Snowmobiles, 2) Motorcycles, 3) Global Adjacent Markets, 4) Aftermarket, and 5) Boats.

Beginning in the first quarter of 2020, certain costs, primarily incentive-based compensation costs, previously classified as "Corporate" in the Company's segment gross profit results were allocated to the respective operating segments results. The comparative 2019 gross profit results for ORV/Snowmobiles, Motorcycles, Global Adjacent Markets, Aftermarket, Boats, and Corporate were reclassified for comparability. However, the 2018 gross profit results presented below have not been reclassified to reallocate the costs discussed above and are therefore not comparable to 2020 and 2019 results.

The ORV/Snowmobiles reporting segment includes the aggregated results of the Company’s ORV and Snowmobiles operating segments. The Motorcycles, Global Adjacent Markets, Aftermarket, and Boats segments include the results for those respective operating segments. The Corporate amounts include costs that are not allocated to individual segments, including certain unallocated manufacturing costs. Additionally, given the commonality of customers, manufacturing and asset management, the Company does not maintain separate balance sheets for each segment. Accordingly, the segment information presented below is limited to sales and gross profit data (in millions):

	For the Years Ended December 31,
	2020		2019		2018
Sales
ORV/Snowmobiles	$	4,533.3	$	4,209.1	$	3,919.4
Motorcycles	581.7		584.1		545.6
Global Adjacent Markets	424.6		461.3		444.6
Aftermarket	884.9		906.7		889.2
Boats	603.4		621.3		279.7
Total sales	$	7,027.9	$	6,782.5	$	6,078.5
Gross profit
ORV/Snowmobiles	1,218.4		1,145.5		1,113.9
Motorcycles	20.0		30.0		63.0
Global Adjacent Markets	116.4		128.8		116.6
Aftermarket	222.8		222.7		234.4
Boats	116.4		124.6		46.3
Corporate	16.2		(2.8)		(73.0)
Total gross profit	$	1,710.2	$	1,648.8	$	1,501.2