# EDGAR Filing Document

**Accession Number:** 0001748797
**File Stem:** 0001193125-26-125055
**Filing Date:** 2026-3
**Character Count:** 796782
**Document Hash:** 002413d06d2ac2c8490dd297231f0c59
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-26-125055.hdr.sgml**: 20260326

**ACCESSION NUMBER**: 0001193125-26-125055

**CONFORMED SUBMISSION TYPE**: 40-F

**PUBLIC DOCUMENT COUNT**: 176

**CONFORMED PERIOD OF REPORT**: 20260131

**FILED AS OF DATE**: 20260326

**DATE AS OF CHANGE**: 20260326

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** BRP Inc.
- **CENTRAL INDEX KEY:** 0001748797
- **STANDARD INDUSTRIAL CLASSIFICATION:** MISCELLANEOUS TRANSPORTATION EQUIPMENT [3790]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 000000000
- **STATE OF INCORPORATION:** A8

**FILING VALUES:**
- **FORM TYPE:** 40-F
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38648
- **FILM NUMBER:** 26794299

**BUSINESS ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 726 SAINT-JOSEPH STREET
- **CITY:** VALCOURT
- **NON US STATE TERRITORY:** QUEBEC, CANADA
- **PROVINCE COUNTRY:** A8
- **BUSINESS PHONE:** 450-532-2211

**MAIL ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** 726 SAINT-JOSEPH STREET
- **CITY:** VALCOURT
- **NON US STATE TERRITORY:** QUEBEC, CANADA
- **PROVINCE COUNTRY:** A8

?xml version='1.0' encoding='ASCII'? 40-F

### UNITED STATES

### SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

### FORM 40-F
☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12 OF THE SECURITIES EXCHANGE ACT OF 1934

#### OR
☒ ANNUAL REPORT PURSUANT TO SECTION 13(a) OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended January 31, 2026 Commission File Number: 001-38648

## BRP Inc.

#### (Exact name of Registrant as specified in its charter)

#### Not Applicable

#### (Translation of Registrant's name into English (if applicable))

#### Quebec, Canada

#### (Province or other jurisdiction of incorporation or organization)

#### 3799

#### (Primary Standard Industrial Classification Code Number (if applicable))

#### N/A

#### (I.R.S. Employer Identification Number (if applicable))

#### 726 Saint-Joseph Street

#### Valcourt, Quebec

#### Canada, J0E 2L0
(450) 532-6154

#### (Address and telephone number of Registrant's principal executive offices)

#### BRP US Inc.

#### 10101 Science Drive

#### Sturtevant, WI 53177
(262) 884-5000

#### (Name, address (including zip code) and telephone number

#### (including area code) of agent for service in the United States)

#### Securities registered or to be registered pursuant to Section 12(b) of the Securities Exchange Act of 1934 ("Exchange Act").

---

| | | |
|:---|:---|:---|
| Title of each class | Trading<br>Symbol(s) | Name of each exchange<br>on which registered |
| Subordinate Voting Shares | DOO | The Nasdaq Stock Market LLC |

---

Securities registered or to be registered pursuant to Section 12(g) of the Exchange Act.

#### None

#### (Title of Class)

#### None

#### (Title of Class)

#### Securities for which there is a reporting obligation pursuant to Section 15(d) of the Exchange Act.

#### None

#### (Title of Class)

#### For annual reports, indicate by check mark the information filed with this Form:
☒ Annual information form ☒ Audited annual financial statements

Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report:

#### 38,303,785 Subordinate Voting Shares and 34,819,204 Multiple Voting Shares
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.

☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files).

☒ Yes ☐ No

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 12b-2 of the Exchange Act.

Emerging growth company ☐

If an emerging growth company that prepares its financial statements in accordance with U.S. GAAP, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒

If securities are registered pursuant to Section 12(b) of the Exchange Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Auditor Firm Id: 1208 Auditor Name: Deloitte LLP Auditor Location: Montreal, Canada

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#### PRINCIPAL DOCUMENTS
The following documents have been filed as part of this Annual Report on Form 40-F:

A. Annual Information Form

The Registrant's Annual Information Form for the year ended January 31, 2026 is attached as Exhibit 99.1 to this Annual Report on Form 40-F and is incorporated by reference herein.

B. Audited Annual Financial Statements

The Registrant's audited annual consolidated financial statements for the years ended January 31, 2026 and 2025, including the reports of the independent registered public accounting firm with respect thereto, are attached as Exhibit 99.2 to this Annual Report on Form 40-F and are incorporated by reference herein.

C. Management's Discussion and Analysis

The Registrant's Management's Discussion and Analysis for the year ended January 31, 2026 is attached as Exhibit 99.3 to this Annual Report on Form 40-F and is incorporated by reference herein.

#### CONTROLS AND PROCEDURES
The Company's President and Chief Executive Officer and the Chief Financial Officer are responsible for establishing and maintaining the Company's disclosure controls and procedures as well as its internal control over financial reporting, as those terms are defined in National Instrument 52-109 – Certification of Disclosure in Issuers' Annual and Interim Filings of the Canadian securities regulatory authorities and Rule 13a-15(e) and Rule 15d-15(e) under the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and Rule 13a-15(f) and Rule 15d-15(f) under the Exchange Act.

#### Disclosure controls and procedures
The President and Chief Executive Officer and the Chief Financial Officer have designed, or caused to be designed under their supervision, disclosure controls and procedures in order to provide reasonable assurance that:

• material information relating to the Company has been made known to them; and

• information required to be disclosed in the Company's filings is recorded, processed, summarized and reported within the time periods specified in securities legislation.

An evaluation of the design and effectiveness of the Company's disclosure controls and procedures was carried out under the supervision of the President and Chief Executive Officer and the Chief Financial Officer. Based on this evaluation, the President and Chief Executive Officer and the Chief Financial Officer concluded, as of January 31, 2026, that the Company's disclosure controls and procedures were effective.

#### Management's Report on Internal Control over Financial Reporting
The President and Chief Executive Officer and the Chief Financial Officer have designed, or caused to be designed under their supervision, such internal control over financial reporting to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with IFRS<sup>®</sup> Accounting Standards as issued by the International Accounting Standards Board.

Due to its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Management's projections of any evaluation of the effectiveness of internal control over financial reporting as to future periods are subject to the risks that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. A material weakness is a deficiency, or a

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combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Company's annual or interim financial statements will not be prevented or detected on a timely basis.

An evaluation of the design and effectiveness of the Company's internal controls over financial reporting was carried out under the supervision of the President and Chief Executive Officer and the Chief Financial Officer. In making this evaluation, the President and Chief Executive Officer and the Chief Financial Officer used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission Internal Control – Integrated Framework (2013). Based on this evaluation, the President and Chief Executive Officer and the Chief Financial Officer concluded, as of January 31, 2026, that the Company's internal controls over financial reporting were effective.

Our internal control over financial reporting as of January 31, 2026 has been audited by Deloitte LLP, an independent registered public accounting firm, who also audited our consolidated financial statements for the year ended January 31, 2026. Deloitte LLP issued an unqualified opinion, as stated in their report, on the effectiveness of our internal control over financial reporting as of January 31, 2026.

#### Changes in internal control over financial reporting
There were no changes in the Company's internal control over financial reporting during the three- and twelve-month periods ended January 31, 2026, that have materially affected, or are reasonably likely to materially affect the Company's internal control over financial reporting.

#### Attestation report of registered public accounting firm
The attestation report of Deloitte LLP on management's internal control over financial reporting is filed as Exhibit 99.2 to this Annual Report on Form 40-F, and is incorporated herein by reference.

#### NOTICES PURSUANT TO REGULATION BTR
There were no notices required by Rule 104 of Regulation BTR that the Registrant sent during the year ended January 31, 2026 concerning any equity security subject to a blackout period under Rule 101 of Regulation BTR.

#### AUDIT COMMITTEE FINANCIAL EXPERT
The Registrant's board of directors (the "Board of Directors") has determined that it has at least one audit committee financial expert (as such term is defined in item 8(a) of General Instruction B to Form 40-F) serving on its audit committee (the "Audit Committee"). Michael Ross has been determined by the Board of Directors to be such audit committee financial expert and is independent (as such term is defined by the Nasdaq Stock Market's corporate governance standards applicable to the Registrant).

Mr. Ross is a corporate director. He was Chief Financial Officer of Sesami Cash Management Technologies Corporation ("Sesami") from 2022 to 2023. In this role, he was responsible for all financial activities, corporate development, and strategic planning. Prior to joining Sesami, Mr. Ross was Chief Financial Officer of Dollarama Inc. for over a decade. Prior to that, Mr. Ross was CFO of Sanimax Industries, a rendering services company, and spent over 20 years in senior financial roles in the television and broadcasting industry. He began his career as an auditor with Ernst & Young. Mr. Ross is a member of the board of directors of Pixcom Inc. and the Fondation CHU Sainte-Justine. He was previously a member of the board of directors of Investissement Québec, la Fondation Marie-Vincent, Fondation Dr Clown, Muscular Dystrophy Canada and FEI Québec Chapter, and was awarded the FEI Québec Tribute Award in 2025. Mr. Ross holds a bachelor's degree in commerce and a graduate diploma in accounting from Concordia University. He received the Fellow of the Order distinction (FCPA) in 2012.

The SEC has indicated that the designation of Michael Ross as an audit committee financial expert does not make him an "expert" for any purpose, impose on him any duties, obligations or liability that are greater than the duties, obligations or liability imposed on him as a member of the Audit Committee and the Board of Directors in absence of

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such designation, or affect the duties, obligations or liability of any other member of the Audit Committee or Board of Directors.

#### CODE OF ETHICS
The Registrant has adopted a Code of Ethics that applies to all directors, officers and employees of the Registrant and its subsidiaries (collectively, "covered persons"). A copy of the Code of Ethics can be obtained, free of charge, on the Registrant's website (www.brp.com) or by contacting the Registrant at (450) 532-6154.

#### PRINCIPAL ACCOUNTANT FEES AND SERVICES
The following table sets out the fees billed to the Registrant by Deloitte LLP for professional services rendered for the fiscal period ended January 31, 2026 and January 31, 2025. During this period, Deloitte LLP was the Registrant's only external auditor.

---

| | | |
|:---|:---|:---|
| **(in Canadian dollars)** | **Year ended<br>January 31, 2026** | **Year ended<br>January 31, 2025** |
|  Audit Fees<sup>(1)</sup> | $4616287 | $5525987 |
|  Audit-Related Fees<sup>(2)</sup> | 962031 | 936518 |
|  Tax Fees<sup>(3)</sup> | 177770 | 172128 |
|  All Other Fees<sup>(4)</sup> | 17000 |  |
|  **Total Fees Paid** | $**5773088** | $**6634633** |

---

#### Notes:
1. "Audit Fees" include fees necessary to perform the annual audit or reviews of the consolidated financial statements.

2. "Audit-Related Fees" include fees for assurance and related services by the independent auditor that are reasonably related to the performance of statutory audit or review of the Company's financial statements other than those included in "Audit Fees," such as consultation on accounting and reporting matters.

3. "Tax Fees" include fees for all tax services other than those included in "Audit Fees" and "Audit-Related Fees." This category includes fees for tax compliance, tax advice and tax planning.

4. "Other Fees" include fees for products and services provided by the independent auditor other than those included above.

The Registrant's Audit Committee is responsible for pre-approval of all audit services and permitted non-audit services provided to the Registrant or its subsidiaries by Deloitte LLP. The Audit Committee has delegated to the Chair of the Audit Committee, who is independent, the authority to act on behalf of the Audit Committee with respect to the pre-approval of all audit and permitted non-audit services provided by its external auditors from time to time. Any approvals by the Chair are reported to the full Audit Committee at its next meeting. All of the services described in footnotes 2, 3 and 4 under "Principal Accountant Fees and Services" above were approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

#### IDENTIFICATION OF THE AUDIT COMMITTEE
The Registrant has a separately designated standing Audit Committee established in accordance with section 3(a)(58)(A) of the Exchange Act. The members of the Audit Committee are Ernesto M. Hernández, Katherine Kountze, Nicholas Nomicos, Michael Ross and Hildegard Maria Wortmann.

#### CORPORATE GOVERNANCE
The Registrant is a "foreign private issuer" as defined in Rule 3b-4 under the Exchange Act and its Subordinate Voting Shares are listed on the Toronto Stock Exchange ("TSX") and The Nasdaq Global Select Market ("Nasdaq"). Nasdaq Listing Rule 5615(a)(3) permits a foreign private issuer to follow its home country practices in lieu of certain requirements in the Nasdaq Listing Rules. The following is a summary of the significant ways in which the Registrant's corporate governance practices differ from those required to be followed by U.S. domestic issuers under Nasdaq's corporate governance standards. In addition, the Registrant is currently a "controlled company" as defined

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in the Nasdaq Listing Rules. Upon ceasing to be a "controlled company", as a foreign private issuer, the Registrant intends to continue to follow Canadian corporate governance practices and TSX rules in lieu of the corporate governance requirements of Nasdaq. Except as described below, the Registrant is in compliance with the Nasdaq corporate governance standards in all significant respects.

• **Quorum Requirements.** Rule 5620(c) of the Nasdaq Listing Rules requires that the minimum quorum requirement for a meeting of shareholders is 33.33% of the outstanding shares of its common voting stock. In addition, Rule 5620(c) requires that an issuer listed on Nasdaq state its quorum requirement in its by-laws. The Registrant follows the requirements of the *Canada Business Corporations Act* with respect to quorum requirements. The quorum requirement for a meeting of shareholders is set forth in the Registrant's by-laws, which require not less than 25% of the issued and outstanding shares entitled to vote at the meeting to be present in person or represented by proxy and at least two persons entitled to vote at the meeting actually present.

• **Shareholder Approval**. Sections 5635(a) through (d) of the Nasdaq Listing Rules require an issuer to obtain shareholder approval prior to certain issuances of securities, including (i) the acquisition of the stock or assets of another company; (ii) equity-based compensation of officers, directors, employees or consultants; (iii) a change of control; and (iv) private placements. The Registrant does not follow this rule. Instead, the Registrant complies with applicable TSX rules. Such rules require issuers to obtain shareholder approval prior to a distribution of common shares (other than in respect of public offerings) that involve the sale of more than 25% of the issuer's outstanding common shares prior to the transaction. In addition, under TSX rules (1) the creation of, or certain material amendments to, equity compensation plans require shareholder approval and (2) the sale of common shares at a discount to officers and directors requires shareholder approval in specified circumstances.

• **Compensation Committee.** The Registrant follows applicable Canadian laws with respect to compensation consultants, legal counsel and other advisers to our Human Resources & Compensation Committee. Applicable Canadian securities legislation does not specifically require consideration of potential conflicts of interest on the part of compensation consultants, legal counsel and other advisers to the compensation committee, but best practices dictate disclosure of any such conflicts in the Registrant's management information circular.

• **Independent Directors.** Nasdaq Listing Rule 5605(b) requires that a majority of a listed issuer's board of directors be independent directors as defined in Nasdaq Listing Rule 5605(a)(2) for companies that are not controlled. Applicable TSX rules require only that listed issuers have at least two independent directors. Although the Registrant is a "controlled company" under Nasdaq rules, we follow applicable TSX requirements with respect to director independence.

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#### UNDERTAKING AND CONSENT TO SERVICE OF PROCESS
A. Undertaking

Registrant undertakes to make available, in person or by telephone, representatives to respond to inquiries made by the Commission staff, and to furnish promptly, when requested to do so by the Commission staff, information relating to: the securities registered pursuant to Form 40-F, the securities in relation to which the obligation to file an annual report on Form 40-F arises, or transactions in said securities.

B. Consent to Service of Process

The Registrant has previously filed with the SEC an Appointment of Agent for Service of Process and Undertaking on Form F-X in connection with its Subordinate Voting Shares.

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#### EXHIBIT INDEX

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| | |
|:---|:---|
| **No.** | **Document** |
| 97 | [Clawback Policy (incorporated by reference to Exhibit 97 to the Company's Amendment No.1 to Form 40-F (Commission File No. 001-38648) filed with the Securities and Exchange Commission on April 14, 2025).](http://www.sec.gov/Archives/edgar/data/1748797/000119312525080227/d890676dex97.htm) |
| 99.1 | [Annual Information Form of the Registrant for the year ended January 31, 2026](d76000dex991.htm) |
| 99.2 | [Audited consolidated financial statements of the Registrant as at January 31, 2026 and 2025 and for the years ended January 31, 2026 and 2025.](d76000dex992.htm) |
| 99.3 | [Management's discussion and analysis of the Registrant for the year ended January 31, 2026.](d76000dex993.htm) |
| 99.4 | [Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement, dated as of October 1, 2025 among the Registrant, Bombardier Recreational Products Inc., the guarantors party thereto, Bank of Montreal, as administrative agent, and the lenders from time to time party thereto.](d76000dex994.htm) |
| 23.1 | [Consent of Deloitte LLP.](d76000dex231.htm) |
| 31.1 | [Certification of Chief Executive Officer pursuant to Rule 13(a)-14(a) or 15(d)-14 of the Securities Exchange Act of 1934.](d76000dex311.htm) |
| 31.2 | [Certification of Chief Financial Officer pursuant to Rule 13(a)-14(a) or 15(d)-14 of the Securities Exchange Act of 1934.](d76000dex312.htm) |
| 32.1 | [Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.](d76000dex321.htm) |
| 32.2 | [Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.](d76000dex322.htm) |
| 101 | Interactive Data File - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the inline XBRL document. |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |

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#### SIGNATURE
Pursuant to the requirements of the Exchange Act, the Registrant certifies that it meets all of the requirements for filing on Form 40-F and has duly caused this annual report to be signed on its behalf by the undersigned, thereto duly authorized.

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| | | |
|:---|:---|:---|
|  | **BRP INC.** | **BRP INC.** |
| Date: March 26, 2026 | By: | */s/ Sébastien Martel* |
|  | Name | Sébastien Martel |
|  | Title: | Chief Financial Officer |

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## Exhibit 99.1

**Exhibit 99.1**![LOGO](g76000page2.jpg)

BRP INC. ANNUAL INFORMATION FORM MARCH 25, 2025 FISCAL YEAR ENDED JANUARY 31, 2026

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**TABLE OF CONTENTS** 

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| | |
|:---|:---|
|  **EXPLANATORY NOTES** | **1** |
|  **CORPORATE STRUCTURE** | **6** |
|  **GENERAL DEVELOPMENT OF THE BUSINESS** | **7** |
|  **BUSINESS OF THE COMPANY AND ITS INDUSTRY** | **9** |
|  **RISK FACTORS** | **29** |
|  **DIVIDENDS** | **29** |
|  **DESCRIPTION OF THE CAPITAL STRUCTURE** | **30** |
|  **MARKET FOR SECURITIES AND TRADING PRICE AND VOLUME** | **36** |
|  **DIRECTORS AND OFFICERS** | **37** |
|  **LEGAL PROCEEDINGS AND REGULATORY ACTIONS** | **46** |
|  **INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS** | **46** |
|  **INDEPENDENT AUDITOR, TRANSFER AGENT AND REGISTRAR** | **47** |
|  **MATERIAL CONTRACTS** | **47** |
|  **INTEREST OF EXPERTS** | **49** |
|  **AUDIT COMMITTEE** | **49** |
|  **ADDITIONAL INFORMATION** | **52** |
|  **GLOSSARY OF TERMS** | **53** |
|  **APPENDIX A CHARTER OF THE AUDIT COMMITTEE** | **57** |

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**EXPLANATORY NOTES** 

The information in this annual information form (the "Annual Information Form") is stated as at January 31, 2026, unless otherwise indicated.

Unless otherwise noted or required by the context, the "Company" and "BRP" refer to BRP Inc. and its direct and indirect subsidiaries and predecessors or other entities controlled by them.

Unless otherwise indicated, all references to "$" or "dollars" are to Canadian dollars, references to "US$" or "U.S. dollars" are to United States dollars and references to "AUD$" are to Australian dollars. Amounts are stated in Canadian dollars unless indicated to the contrary.

All references to "Fiscal 2027" are to the Company's fiscal year ended January 31, 2027, to "Fiscal 2026" are to the Company's fiscal year ended January 31, 2026, to "Fiscal 2025" are to the Company's fiscal year ended January 31, 2025 and to "Fiscal 2024" are to the Company's fiscal year ended January 31, 2024.

All references to "season" throughout this Annual Information Form have different meanings depending on the applicable type of vehicle and region. Please refer to the following table for a description of such meanings:

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;***Australia*** | &nbsp;&nbsp;&nbsp;***Australia*** |
| &nbsp;&nbsp;&nbsp; Boats | 12 months ended September 30 |
| &nbsp;&nbsp;&nbsp;***All other Regions and Territories*** | &nbsp;&nbsp;&nbsp;***All other Regions and Territories*** |
| &nbsp;&nbsp;&nbsp; ATVs and SSVs | 12 months ended June 30 |
| &nbsp;&nbsp;&nbsp; 3-wheeled on-road vehicles | 12 months ended October 31 |
| &nbsp;&nbsp;&nbsp; Electric motorcycles | 12 months ended October 31 |
| &nbsp;&nbsp;&nbsp; Snowmobiles | 12 months ended March 31 |
| &nbsp;&nbsp;&nbsp; PWCs and *Sea-Doo Switch* pontoons | 12 months ended September 30 |

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Any references to seasonal data for multiple products refer to each product's respective season for the specific year indicated. In Fiscal 2023, the Company stopped all sales, shipments and exports intended for Russia and stopped operating in the Russian market. Therefore, the data relating to the number of units sold in Fiscal 2026, Fiscal 2025 and Fiscal 2024 presented in this Annual Information Form does not include any units sold in Russia.

During Fiscal 2026, BRP completed the divestiture of Alumacraft and Manitou as part of its previously announced sale process relating to its Marine businesses. Following the Australian Competition and Consumer Commission's (ACCC) decision to oppose the proposed sale of Telwater to Yamaha Motor Australia Pty Ltd., a subsidiary of Yamaha Motor Co., Ltd., BRP remained the owner of Telwater as of the end of Fiscal 2026. For purposes of the Company's financial results for Fiscal 2026, the Marine businesses are presented as discontinued operations and, in the case of Telwater, as held for sale as of January 31, 2026.

Certain capitalized terms and phrases used in this Annual Information Form are defined in the "Glossary of Terms" beginning on page 53.

**Forward-Looking Statements** 

Certain statements in this Annual Information Form about the Company's current and future plans, including statements relating to its plan referred to as "Mission 2028", prospects, expectations, anticipations, estimates and intentions, results, levels of activity, performance, objectives, targets, goals, achievements, including the Company's environmental, social and governance targets, goals and initiatives set forth under the Company's new sustainability plan, Beyond the Ride – Sustainability 2030,

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priorities and strategies, financial position, market position, capabilities, competitive strengths and beliefs, the prospects and trends of the industries in which the Company operates, the expected demand for products and services in the markets in which the Company competes, research and product development activities, including projected design, characteristics, capacity or performance of future products and their expected scheduled entry to market, expected financial requirements and the availability of capital resources and liquidity, the Company's ability to complete its process for the sale of Telwater as expected and to manage and mitigate the risks associated therewith, at expected cost levels and expected proceeds, the impact of the sale of the Marine businesses, or any other future events or developments and other statements in this Annual Information Form that are not historical facts constitute forward-looking statements within the meaning of applicable securities laws. The words "may", "will", "would", "should", "could", "expects", "forecasts", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "outlook", "predicts", "projects", "likely" or "potential" or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements.

Forward-looking statements are presented for the purpose of assisting readers in understanding certain key elements of the Company's current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of the Company's business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements contained herein. Forward-looking statements, by their very nature, involve inherent risks and uncertainties and are based on a number of assumptions, both general and specific. The Company cautions that its assumptions may not materialize and that the currently challenging macroeconomic and geopolitical environments in which it evolves, including specifically the uncertainty around the potential imposition of new duties, tariffs and other trade restrictions (and any retaliatory measures), may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of the Company or the industry to be materially different from the outlook or any future results or performance implied by such statements.

In addition, many factors could cause the Company's actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the following factors, which are discussed in greater detail under the heading "Risk Factors" of the Company's management's discussion and analysis for Fiscal 2026 (the "**2026 MD&A**") for the fiscal year ended on January 31, 2026 and in other continuous disclosure materials filed from time to time with Canadian securities regulatory authorities and the Securities and Exchange Commission: economic conditions that impact consumer spending; inability to attract, hire and retain the services of key employees, including members of its management team, or qualified employees, including employees who possess specialized market knowledge and technical skills; failure of the Company's information technology systems, difficulties in the continued implementation of its ERP system or a security breach or cyber-attack; international sales and operations subject it to additional risks; inability to successfully execute its strategic plan; any decline in the social acceptability of the Company or of the Company's products or any increased restrictions on the access or the use of the Company's products in certain locations; supply problems, termination or interruption of supply arrangements or increases in the cost of materials; indebtedness with no assurance that the Company will be able to pay its indebtedness as it becomes due; any unavailability of additional capital; fluctuations in foreign currency exchange rates; unfavourable weather conditions, and climate change, seasonal nature of the Company's business and some of its products; reliance on a network of independent dealers and distributors to manage the retail distribution of its products and failure to establish or maintain the appropriate level of dealers and distributors; inability of dealers and distributors to secure adequate access to capital; inability to comply with laws, rules and regulations regarding product safety, health, environmental, noise pollution, privacy matters and other issues; potential vulnerability of connected products to cyber-attacks; the Company's large fixed cost base; intense competition in all product lines and any failure to compete effectively against competitors or any failure to meet consumers' evolving expectations; any failure to maintain an effective system of internal control over financial reporting; reliance upon the continued strength of its reputation and brands; adverse

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determination in any significant product liability claim against the Company; significant product repair and/or replacement due to product warranty claims or product recalls; failure to carry adequate insurance coverage; failure to successfully manage inventory levels, both at the Company's and the dealers' and distributors' levels, inability to protect the Company's intellectual property; the Company's inability to successfully execute its manufacturing strategy or to adjust to fluctuating customer demand as a result of manufacturing capacity constraints; increased freight and shipping costs or disruptions in transportation and shipping infrastructure; covenants contained in agreements to which the Company is a party affecting, and in some cases, significantly limiting or prohibiting the manner in which the Company operates its business; impact of tax matters and changes in tax laws; impairment of the carrying value of goodwill and intangibles with indefinite useful life; deterioration in relationships with the Company's non-unionized and unionized employees; pension plan liability; natural disasters, unusually adverse weather, epidemic or pandemic outbreaks, boycotts and geo-political events; volatility in the market price for the Subordinate Voting Shares; dependence on the earnings of its subsidiaries and the distribution of those earnings to BRP Inc.; the significant influence of Beaudier Group and Bain Capital; and future sales of Subordinate Voting Shares by Beaudier Group, Bain Capital, directors, officers or senior management of the Company. These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully.

Unless otherwise stated, the forward-looking statements contained in this Annual Information Form are made as of the date of this Annual Information Form, and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements, including to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities regulations. In the event that the Company does update any forward-looking statements contained in this Annual Information Form, no inference should be made that the Company will make additional updates with respect to that statement, related matters or any other forward-looking statement.

**IFRS and Non-IFRS Measures** 

The Company's financial statements, available under the Company's profiles on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov, have been prepared using accounting policies consistent with IFRS<sup>®</sup> Accounting Standards as issued by the International Accounting Standards Board ("IFRS").

This Annual Information Form makes reference to certain non-IFRS financial measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS.

The Company believes non-IFRS measures are important supplemental measures of financial performance because they eliminate items that have less bearing on the Company's financial performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. Management also uses non-IFRS measures in order to facilitate financial performance comparisons from period to period, prepare annual operating budgets, assess the Company's ability to meet its future debt service, capital expenditure and working capital requirements, and also, as a component in the determination of the short-term incentive compensation for the Company's employees. A detailed description of the usefulness of each non-IFRS measure can be found in the 2026 MD&A. Because other companies may calculate these non-IFRS measures differently than the Company does, these metrics are not comparable to similarly titled measures reported by other companies. "Normalized EBITDA" is defined as net income before financing costs, financing income, income tax expense (recovery), depreciation expense and normalized elements described in the 2026 MD&A, such as impairment charges. "Normalized net income" is defined as net income before normalized elements described in the 2026 MD&A, such as foreign exchange gain on long-term debt and lease

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liabilities and impairment charges, and adjusted to reflect the tax effect on these elements. The Company refers the reader to the "Non-IFRS Measures" and **"**Selected Consolidated Financial Information" sections of the Company's 2026 MD&A, which are incorporated by reference herein, for definitions and reconciliations of Normalized EBITDA and Normalized net income presented by the Company to the most directly comparable IFRS measure. The Company's 2026 MD&A is available under the Company's profiles on SEDAR+ at www.sedarplus.ca and on EDGAR at <u>www.sec.gov</u>.

**Market and Industry Data** 

The Company has obtained the market and industry data presented in this Annual Information Form from a combination of internal surveys, third-party information and management's estimates, including those based on extrapolations of third-party surveys of the industries in which the Company operates, to the extent such data is available. There are limited sources that report on the Company's markets and industries and some of the sources do not include certain markets where the Company operates. While the Company believes internal surveys, third-party information and estimates of the Company's management are reliable, the Company has not verified them, nor have they been verified by any independent sources and the Company has no assurance that the data and information sourced from third-parties are current, complete and up-to-date. While the Company is not aware of any material misstatements regarding the market and industry data presented in this Annual Information Form, such data involves risks and uncertainties and is subject to change based on various factors, including those factors discussed under "Forward-Looking Statements" and "Risk Factors".

**Trademarks and Tradenames** 

This Annual Information Form refers to trademarks, including *BRP*<sup>®</sup>, *Can-Am*<sup>®</sup>, *Lynx*<sup>®</sup>, *Quintrex*<sup>®</sup>*, Rotax*<sup>®</sup>*, Sea-Doo*<sup>®</sup> and *Ski-Doo*<sup>®</sup> in respect of its main brands*,* which trademarks are protected under applicable intellectual property laws and are the property of the Company. Solely for convenience, the Company's trademarks and tradenames referred to in this Annual Information Form may appear without the <sup>®</sup> or <sup>™</sup> symbol, but such references are not intended to indicate, in any way, that the Company will not assert, to the fullest extent under applicable law, its rights to these trademarks and tradenames. All other trademarks used in this Annual Information Form are the property of their respective owners.

**Sustainability** 

The Company is committed to sustainability and more specifically to the environment, health and safety, social well-being and economic prosperity everywhere it operates. The Company recognizes that these factors are fundamental to its growth and success. In April 2022, the Company announced its commitment to sustainability (CSR) with the launch of its first CSR program called CSR25. In February 2026, building on the foundations of CSR25, it released its new sustainability plan, Beyond the Ride – Sustainability 2030, which fosters value creation around three main pillars: Environment, Social and Governance (ESG). The Beyond the Ride – Sustainability 2030 program includes targets and objectives that focus on the Company's operations, products, supply chain, employees and communities which have been specifically assigned to senior executives to make optimal use of their unique expertise.

The Board of Directors of the Company, which holds the ultimate responsibility for the oversight of the Company's sustainability efforts, has delegated certain specific authority and oversight to two Board Committees:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● **The Nominating, Governance and Social Responsibility Committee (NGSRC)** oversees the overall sustainability strategy
of the Company, including climate-related KPIs and sustainability program progress.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● **The Audit Committee** monitors reports and disclosure documents made by the Company in respect of its sustainability
efforts, including to ensure alignment with applicable regulatory reporting requirements.

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The Company's performance and progress towards its sustainability objectives are formally reviewed by the Board and applicable committees on a regular basis. In addition, the Company has established internal governance mechanisms, including management committees and dedicated sustainability functions to oversee, execute and report on the Company's sustainability strategy. The Company's governance structure with respect to sustainability matters aims to promote the integration of sustainability-related topics across strategic, operational, and reporting functions.

The Company published its first comprehensive report compiling its sustainability and CSR performance for Fiscal 2022 and has been reporting its progress annually ever since. The report provides an overview of the Company's sustainability framework and the priority issues relevant to its business and stakeholders – customers, employees, suppliers, shareholders and community partners. Since Fiscal 2024, the Company has combined its sustainability report with its annual report which includes summary financial information on the Company, therefore providing further interaction and context between its business performance and its commitment to addressing global environmental and social challenges. Additional information regarding the Company's sustainability program and progress can be found in the annual reports made available on the Company's website at <u>www.brp.com</u> concurrently with the annual general meeting of the shareholders of the Company. For greater certainty, such reports and any information therein as well as any information on the sustainability program available on the Company's website are not part of this Annual Information Form and are not incorporated by reference herein.

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**CORPORATE STRUCTURE** 

**Incorporation and Office** 

The Company was incorporated under the *Canada Business Corporations Act* on May 1, 2003 under the name J.A. Bombardier (J.A.B.) Inc. On June 28, 2006, the Company was amalgamated with 4308042 Canada Inc., a wholly-owned subsidiary of the Company. On April 12, 2013, the Company filed articles of amendment to change its name to BRP Inc. Immediately prior to the closing of its initial public offering on May 29, 2013 (the "IPO"), the Company filed articles of amendment to reorganize its authorized and issued share capital as described under "Description of the Capital Structure".

The Company's head and registered office is located at 726 Saint-Joseph Street, Valcourt, Québec, J0E 2L0.

**Intercorporate Relationships** 

The following organization chart indicates the inter-corporate relationships of the Company and its material subsidiary entities together with the jurisdiction of incorporation or constitution of each such entity as at the date hereof:

![LOGO](g76000dsp9.jpg)

Certain subsidiaries of the Company, each of which represented not more than 10% of the consolidated assets and not more than 10% of the consolidated revenue of the Company, and all of which, in the aggregate, represented not more than 20% of the total consolidated assets and the total consolidated revenue of the Company as at the date hereof, have been omitted.

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**GENERAL DEVELOPMENT OF THE BUSINESS** 

**General** 

BRP's origins date back to 1937 when founder Joseph-Armand Bombardier obtained his first patent for a tracked vehicle used for travelling on snow. In 1959, the Company gave birth to the recreational snowmobile by introducing the first lightweight single-track two-passenger snowmobile under the *Ski-Doo* brand.

In 1968, the Company launched the industry's first personal watercraft under the *Sea-Doo* brand, and in 1970, the Company acquired the maker of *Rotax* engines. In 1989, the Company acquired the Finnish company Nordtrac Oy, the maker of the *Lynx* brand of snowmobiles. A decade later, the Company entered a new powersports category when it began selling all-terrain vehicles ("ATVs"), which are now branded *Can-Am*.

In 2003, while operating as a division of Bombardier Inc., the Company was sold by Bombardier Inc. to an investor group including an affiliate of BCI ("Bain Capital"), members of the Bombardier and Beaudoin families and Caisse de dépôt et placement du Québec ("La Caisse").

In 2007, the Company entered the on-road market and created a new on-road product category with the introduction of the *Spyder* 3-wheeled vehicle ("3WV"). In 2010, the Company added another product to its portfolio with the introduction of its first recreational side-by-side vehicle ("SSV") under the *Can-Am* brand. In 2012, BRP decided to cease the manufacturing of sport boats and announced that it would offer its jet boat propulsion technology to boat builders.

In 2018, the Company acquired Alumacraft Boat Co. ("Alumacraft"). That same year, it acquired Triton Industries, Inc., manufacturer of Manitou pontoon boats. In 2019, the Company acquired 80% of Telwater Pty Ltd. ("Telwater"), an Australian aluminum boat and trailer manufacturer under the *Quintrex* brand, and subsequently purchased the remaining 20% non-controlling interest in 2021. In May 2020, in the context of the COVID-19 pandemic, the Company announced that it re-oriented its marine business by focusing on the growth of its boat brands and by discontinuing the *Evinrude E-TEC* outboard engines production in its Sturtevant facility (United States), which facility has been repurposed for new projects. In an effort to consolidate the Alumacraft operations into one site, the Company's facility in Arkadelphia (United States) was closed, its operations related to welded boats were transferred to the Company's facility in St. Peter (United States), and have been discontinued since the end of September 2021.

In 2020, in an effort to go beyond a product-based offering and to promote access to its products and allow more people to enjoy unique recreational experiences, the Company launched its Uncharted Society program ("Uncharted Society") in the United States, offering packaged adventures using Powersports Products in several locations in the United States through partnerships with local "outfitters". This program is now referred to as BRP Experiences.

In March 2021, the Company announced its entry into electrification. In 2022, it reinforced this strategy through the launch of its CSR25 program, as well as by unveiling an all-electric lineup of Can-Am motorcycles and the *Rotax* E10 e-powertrain for karting. The Company also completed three acquisitions in 2022 – Great Wall Motor Austria GmbH, an EV R&D center in Austria specializing in E-drive systems; an 80% stake in Pinion GmbH, a German pioneer in gearbox technology; and substantially all the assets related to the powersports business of Kongsberg Automotive ASA and its subsidiary Kongsberg Inc. in Quebec – and established a business unit targeting low-voltage and human-assisted product categories ("LVHA Group"). In September 2024, the Company decided to channel its efforts and investments on its Powersports segment, leading to the decision to cease for an indefinite period its activities under the LVHA Group.

In August 2021, the Company introduced the *Switch* pontoons as a new product offering under the *Sea-Doo* brand of products.

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In 2023, the Company also celebrated two significant milestones: its 20th anniversary as an independent company and its 10th year as a publicly traded entity on the Toronto Stock Exchange ("TSX").

On October 17, 2024, as part of its decision to re-focus on growth opportunities within the Powersports industry, BRP announced that it initiated the sale process of its Marine businesses, namely *Alumacraft*, *Manitou* and *Telwater*. In the first quarter of Fiscal 2026, BRP decided to retain its Marine parts, accessories, and apparel businesses.

On May 1, 2025, the Company completed the transfer of the Alumacraft assets in St. Peter, Minnesota to Bryton Marine Group as part of its decision to divest its Marine business.

On April 1, 2025, the Company also entered into definitive agreements to sell Telwater Pty Ltd. to Yamaha Motor Australia Pty Ltd. ("Yamaha Motor"). On December 18, 2025, the ACCC opposed the proposed Telwater sale. As a result, the transaction with Yamaha Motor did not proceed and Telwater remains for sale as of January 31, 2026.

In addition, on September 1, 2025, the Company closed the transaction to sell its Manitou assets in Lansing, Michigan, to the owners of Bentley Pontoons.

**Public Offerings and Other Transactions** 

The Company completed its IPO in 2013. Since then, the Company's subordinate voting shares (the "Subordinate Voting Shares") have been listed on the TSX under the symbol "DOO". On September 14, 2018, the Company completed the listing of its Subordinate Voting Shares on the Nasdaq Global Select Market ("Nasdaq") under the symbol "DOOO". On December 8, 2025, the Company updated its Nasdaq listing symbol to "DOO", aligning it with its TSX trading symbol.

Over the last three fiscal years, the Company repurchased for cancellation 3,519,398 (from December 5, 2022 to October 30, 2023), 3,231,999 (from December 5, 2023 to July 19, 2024) and 485,400 (from December 10, 2025 to March 24, 2026) of its outstanding Subordinate Voting Shares through normal course issuer bids.

On January 26, 2024, Bain Capital completed a bought deal secondary offering (the "January 2024 Secondary Offering") pursuant to which it sold 2,000,000 Subordinate Voting Shares at a price of $91.00 per Subordinate Voting Share for gross proceeds of $182,000,000. The Company did not receive any of the proceeds from the January 2024 Secondary Offering.

On April 19, 2024, Bain Capital completed a bought deal secondary offering (the "April 2024 Secondary Offering") pursuant to which it sold 1,500,000 Subordinate Voting Shares at a price of $92.90 per Subordinate Voting Share for gross proceeds of $139,350,000. The Company did not receive any of the proceeds from the April 2024 Secondary Offering.

On September 12, 2025, Bain Capital completed a bought deal secondary offering (the "September 2025 Secondary Offering") pursuant to which it sold 1,500,000 Subordinate Voting Shares at a price of $90.71 per Subordinate Voting Share for gross proceeds of approximately $136,065,000. The Company did not receive any of the proceeds from the September 2025 Secondary Offering.

On December 23, 2025, Bain Capital completed a bought deal secondary offering (the "December 2025 Secondary Offering") pursuant to which it sold 1,850,000 Subordinate Voting Shares at a price of $100.00 per Subordinate Voting Share for gross proceeds of $185,000,000. The Company did not receive any of the proceeds from the December 2025 Secondary Offering.

As at March 24, 2026, 38,303,785 Subordinate Voting Shares and 34,819,204 Multiple Voting Shares of the Company were issued and outstanding.

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**BUSINESS OF THE COMPANY AND ITS INDUSTRY** 

**Overview of the Company** 

BRP is a global leader in the design, development, manufacturing, distribution and marketing of Powersports Products. The Company is a diversified manufacturer of Powersports Products providing enthusiasts with a variety of exhilarating, stylish and powerful products for all year-round use on a variety of terrains and providing access to adventures and experiences across different playgrounds.

The Company is a brand of choice for true powersports enthusiasts. BRP's products are recognized by stunning designs, powerful and efficient engines, and the incorporation of advanced technologies that drive industry-leading performance. BRP aims to continuously enhance the consumer experience through new features and models in a variety of ways, including enhancing rider ergonomics, adding safety features, enhancing engine performance and reducing environmental impact.

The Company's diversified portfolio of brands and products includes Year-Round Products such as *Can-Am* ATVs, SSVs, 3WVs and electric motorcycles, Seasonal Products such as *Ski-Doo* and *Lynx* snowmobiles, *Sea-Doo* PWCs and pontoons, *Quintrex* boats, engines for OEMs such as *Rotax* engines for karts, recreational aircraft and jet boats, and *Pinion* gearboxes and e-drive systems for bicycles. Additionally, the Company supports its line of Powersports products with a dedicated PA&A business to fully optimize the riding experience.

As at the end of Fiscal 2026, the Company employed close to 17,000 people worldwide. It sells its products in over 110 countries. In Fiscal 2026, BRP achieved revenues, Normalized EBITDA, net income and Normalized net income of $8,442.7 million, $1,103.3 million, $340.4 million, and $382.5 million, respectively. Normalized EBITDA and Normalized net income are not standardized financial measures and might not be comparable to similar financial measures used by other issuers. See "IFRS and Non-IFRS Measures". The Company also refers the reader to the "Non-IFRS Measures" and "Selected Consolidated Financial Information" sections of the 2026 MD&A, which are incorporated by reference herein, for a reconciliation of Normalized EBITDA and Normalized net income presented by the Company to the most directly comparable IFRS measure. The Company's 2026 MD&A is available under the Company's profiles on SEDAR+ at www.sedarplus.ca and on EDGAR at <u>www.sec.gov</u>.

The following chart sets forth the percentage of the Company's revenues generated by each of its product category in Fiscal 2026 and Fiscal 2025, respectively:

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![LOGO](g76000g0321231617317.jpg)

The powersports industry is comprised of several product categories. The majority of powersports products are used for recreational purposes. Certain products, primarily ATVs and SSVs, are also used for utility purposes, such as for agriculture, construction, and other commercial applications. BRP competes in the ATV, SSV, snowmobile and PWC categories (which includes the *Sea-Doo Switch* pontoons), in the 3-wheeled vehicles category of motorcycles, in the electric motorcycles category, as well as their respective PA&A businesses. The Company also competes in the engines for karts, recreational aircraft and jet boat categories, and in the bicycle gearboxes category. BRP's competition primarily comes from North American and Asian manufacturers.

The markets for BRP's products are highly competitive based on a number of factors, including innovation, performance, price, technology, product features, design and ergonomics, fit and finish, brand loyalty, quality, warranties and distribution. Management believes consumer demand for Powersports Products is mostly influenced by macroeconomic conditions, product life cycles, the introduction of new features, technologies and products, brand recognition and the maintenance of extensive and engaged distribution networks. In the last years, the level of social acceptability of products has also progressively become a more relevant factor, with a greater push for electric offerings.

Powersports Products are sold in more than 110 countries either directly to an established network of independent dealers or through independent distributors who act as intermediaries with their own dealers. Dealers and distributors are typically provided with marketing and after-sale service support as well as training for service technicians. At the dealer/distributor level, competition is based on a number of factors, including sales and marketing support efforts such as dealer/distributor inventory financing arrangements, dealer/distributor training, store redesign initiatives, flexible ordering systems, advertising and diversity in product offerings.

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**BRP Brands and Products** 

The Company currently has 3 main product categories:

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| | | |
|:---|:---|:---|
| **Product Category** | **Segment** | **Type of Products** |
| Year-Round Products | Powersports | *Can-Am* ATVs, SSVs, 3WVs and electric motorcycles |
| Seasonal Products | Powersports | *Ski-Doo* and *Lynx* snowmobiles, *Sea-Doo* PWCs and *Sea-Doo Switch* pontoons |
| PA&A, OEM engines and Others | Powersports | PA&A, *Rotax* OEM engines for karts, recreational aircraft and jet boats, *Pinion* gearboxes and boats |

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![LOGO](g76000g0321231617521.jpg)

***Year-Round Products***

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*ATVs* 

ATVs are four-wheel vehicles used for recreational and utility purposes in all four seasons of the year. Seats are designed to be straddled by the rider who steers using handlebars. ATVs can be broken down into four main categories: sport, recreational-sport, recreational-utility and youth.

The primary manufacturers of ATVs include BRP, CFMoto, Honda, Kawasaki, Polaris, Suzuki, Textron and Yamaha. Certain Asian manufacturers also produce ATVs, but primarily focus on entry-level products, which are not included in the industry data.

Management estimates that the global ATV market represented approximately 327,000 units in season 2025, flat from approximately 328,000<sup>1</sup> units in season 2024, which was down approximately 1% from approximately 330,000 units in season 2023. Management estimates that the Company's global ATV market share in season 2025 reflected a number two position.

The *Can-Am* ATV line-up targets a broad range of consumers within the recreational-utility, recreational-sport and youth sectors. The Company offers a total of 59 models, including youth models and six-wheel ATVs.

For season 2026, the manufacturer suggested retail prices ("MSRPs")<sup>2</sup> for the Company's ATV models (excluding youth models) range from approximately US$6,649 to US$20,849 in the United States. For ATV youth models, the MSRPs range from approximately US$3,249 to US$5,049 in the United States.

*SSVs* 

A SSV is driven much like a car, using a steering wheel and pedals, is equipped with seat belts and rollover protection bars and sits the driver and passenger side-by-side. Certain models also include additional seats to accommodate up to six passengers. SSVs can be divided into three categories: Utility Recreational, Recreational Utility and Sport. Powersports consumers are drawn to recreational SSVs in large part by their enhanced functionality, innovation and differentiated riding experience.

The primary manufacturers of recreational SSVs are BRP, CFMoto, Honda, John Deere, Kawasaki, Polaris, Textron and Yamaha. Management estimates that the global recreational SSV market represented approximately 369,000 units for season 2025, a decrease of approximately 2% from approximately 376,000 units in season 2024, which was up 2% from approximately 367,000 units in season 2023<sup>3</sup>. The Company's share of the global recreational SSV market in season 2025 reflected a number two market share position based on management's estimates.

The primary manufacturers of utility SSVs are Bobcat, CFMoto, John Deere, Kawasaki, Kubota and Polaris.

The Company offers one of the widest and deepest line-ups of the SSV market with 98 models.

For season 2026, MSRPs for the Company's SSV models range from approximately US$13,399 to US$53,199 in the United States.

<sup>1</sup> CFMoto data for Canada has now been incorporated for the past three years, which updates historical figures disclosed in previous Annual Information Forms. CFMoto no longer shares data for LATAM, and these figures have therefore been excluded from our historical industry data, affecting season 2023 and season 2024.

<sup>2</sup> MSRPs stated herein are for the entry package of the products and exclude freight, delivery charge, taxes and registration fees. Accessory installation costs might not be included. Certain additional fees might also be applicable. Dealers may sell for a different price. Increases can be attributed to inflation as well as a restructuring of the Corporation's MSRP strategy to increase the markup versus retail selling price to be closer to industry competitors.

<sup>3</sup> The approximate numbers of SSV units in season 2025, 2024 and 2023 were calculated without considering the number of vehicles sold by John Deere in North America as this information was not available.

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*3WVs* 

BRP's *Can-Am Spyder*, *Ryker* and *Canyon* vehicles are non-traditional 3-wheeled vehicles (with two wheels in the front and one in the back) designed to be driven on paved roads, highways and gravel roads. While many jurisdictions have implemented distinct licensing requirements for 3-wheeled vehicles that are generally less expensive, demanding and lengthy to obtain than for traditional motorcycles, certain jurisdictions still apply the same licensing requirement for the *Spyder, Ryker* and *Canyon* 3WVs as for traditional motorcycles. Other jurisdictions require only an automobile driver's license.

BRP's *Can-Am Spyder*, *Ryker* and *Canyon* 3WVs compete for consumers against 3-wheeled vehicle manufacturers such as Harley Davidson, Polaris, Piaggio and Yamaha. Management believes that, in addition to the traditional motorcycle consumer, the *Spyder*, *Ryker* and *Canyon* 3WVs open-air experience, styling, performance and stability appeal to consumers that would not have considered buying a motorcycle. With their Y-shape architecture, vehicle stability system ("VSS") and semiautomatic or automatic transmission, management believes that the *Spyder*, *Ryker* and *Canyon* 3WVs offer greater stability and overall ease of use for a broad range of riders of all skill levels.

The *Can-Am* 3WV line-up is comprised of 13 models. Management estimates that the global market for 3-wheeled vehicles represented approximately 27,000 units in season 2025, down 16% from approximately 32,000 units in season 2024, which was down 16% from approximately 38,000 units in season 2023. Management estimates that the Company holds the leading market-share position of the global 3WV market.

For season 2026, MSRPs for the Company's *Spyder and Ryker* models respectively range from approximately US$22,299 to US$33,999, and from approximately US$9,699 to US$14,999, in the United States. In 2024, the Company introduced the *Canyon* 3WVs, with MSRP for season 2026 ranging from approximately US$25,999 to US$32,499.

*Electric motorcycles* 

The primary manufacturers of electric motorcycles are BMW, Zero, Livewire, Supersoco, Maeving, VMOTO and Kawasaki.

Management estimates that the global electric motorcycle market represented approximately 6,000 units in season 2025, down approximately 18% versus 2024. Management estimates that the Company's global electric motorcycle market share in season 2025 reflected a number three position.

The Can-Am electric motorcycle line-up is comprised of 4 models. For season 2026, MSRPs for the Company's electric motorcycles range from approximately US$10,999 to US$13,499.

***Seasonal Products***

Seasonal Products consist of BRP products that are mostly used in specific seasons. These products include snowmobiles, which are mainly used during the winter season with sales to dealers concentrated in the months of September to January, as well as PWCs and pontoons, which are mainly used during the summer season with sales to dealers concentrated in the months of January to June in

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North America. BRP leverages its *Rotax E-TEC*, *ACE* and *E-Power* engine technologies to produce snowmobiles and watercraft that are recognized as being among the most fuel-efficient in the market.

*Snowmobiles* 

Snowmobiles are used in various snow-covered riding environments, including on- and off-trail for deep snow, trail, performance, touring and utility purposes. On-trail models have high engine displacement and are generally used on groomed trails. Off-trail models such as cross-over and deep snow snowmobiles have high engine displacement and are known for their lighter weight and longer tracks. Utility snowmobiles are easier to handle and are generally used for work-related purposes. The primary manufacturers of snowmobiles are BRP, Polaris and Arctic Cat. Management estimates that the Company holds the leading market-share position of the global snowmobile market.

The global snowmobile market is highly concentrated in North America and Scandinavia, with North America accounting for an estimated 85% of global unit sales in season 2025. Management estimates that the global snowmobile market represented approximately 90,000 units for season 2025, down 16% from approximately 107,000 units in season 2024, which was down 10% from approximately 119,000 units in season 2023.

The Company produces 163 different key models of snowmobiles, including youth models, categorized as (i) on-trail models (touring, sport, cross-country, youth and electric), (ii) on/off-trail models (cross-over) and (iii) off-trail models (mountain, utility). These models, addressing the needs of all consumer sectors, are grouped into 19 product families and marketed under two different brand names, *Ski-Doo* and *Lynx*. In North America, BRP snowmobiles are sold mainly under the *Ski-Doo* brand and, since 2021, also under the *Lynx* brand. In Europe, they are sold under both *Ski-Doo* and *Lynx*.

For season 2026, MSRPs for BRP snowmobiles (excluding youth models) range from approximately US$7,049 to US$24,849 in the United States. For youth models, the MSRPs range from approximately US$4,299 to US$5,799 in the United States.

*PWCs* 

PWCs include sit-down and stand-up models and are used on lakes, rivers or oceans. PWCs are designed to accommodate one to three riders and are used primarily for recreational purposes, with a small proportion being used for utility purposes such as marine patrol and rescue. PWCs can be divided into eight primary categories: Rec-Lite, Recreation, Touring, Performance, Tow Sports, Sport Fishing, Adventure and Stand-up.

The primary manufacturers in the PWC market are BRP, Kawasaki and Yamaha. Management estimates that the Company holds the leading market-share position of the global PWC market.

In season 2025, the global PWC market represented approximately 95,000 units, down 8%, from approximately 103,000 units in season 2024, which was down 21% from approximately 130,000 units in season 2023.

The Company produces a full line of PWCs consisting of 35 models marketed under the *Sea-Doo* brand name, which allows it to compete in the main PWC product categories.

For season 2026, MSRPs for BRP's PWC models range from approximately US$6,999 to US$22,949 in the United States.

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via *Sea-Doo* dealers. The *Sea-Doo Switch* comes in three upgrade package options: the Cruise, the *Fish* and the Sport, with lengths ranging from 13 to 21 feet. The Company offers a total of 16 models.

For season 2026, MSRP for *Sea-Doo Switch* pontoons models range from approximately US$24,799 to US$57,199 in the United States.

***PA&A, Rotax engines and Others***

*PA&A* 

BRP sells a broad range of Powersports PA&A to complement each of its product lines, providing a stable revenue stream with high profit margins, along with increased brand exposure. PA&A products enhance the overall consumer experience and lifestyle associated with powersports products.

The parts sold by BRP include consumables (e.g. oils, lubricants and cleaning products), wearable components (e.g. brake pads, tires and transmission belts) and replacement parts (e.g. pistons, clutches and suspension components). BRP's expertise also served to develop some of the lubricant and care products that it sells, including the *XPS* line of products, which have been engineered to prolong the life of vehicles and are tested on engine platforms and other applicable components of powersport vehicles.

BRP offers a range of accessories, including track kits, audio roofs, plows, passenger seats, coolers and other components designed to integrate seamlessly with its vehicles and meet functional, performance and personalization requirements. The *LinQ* system provides a modular platform that enables efficient installation across multiple vehicle categories. BRP has also introduced a lineup of SMART accessories that automatically respond to vehicle inputs to support the overall riding experience.

BRP aims to create an unparalleled riding experience by delivering technical riding gear and sportswear that promote its *Lynx*, *Sea-Doo*, *Ski-Doo* and *Can-Am* brands, among others, and enhance the adventure of riding. BRP's riding gear and sportswear portfolio includes a range of products such as shell jackets, insulated jackets, technical riding pants, gloves, boots, helmets, personal flotation devices as well as hoodies, t-shirts and caps.

The competitive landscape for PA&A is composed mainly of companies specialized in parts, accessories and apparel ranging from multi-brand distributors to smaller single-brand companies. Aftermarket parts and accessories are generally of universal design and can be installed on the Company's vehicles as much as on the competitors' vehicles.

BRP designs the vast majority of its PA&A. The parts and accessories are developed alongside the vehicles. They are subject to the same testing and validation processes as the vehicles, resulting in superior assembly, installation and fit. The Company's apparel line-up prominently features its brands. Management believes that BRP's PA&A offering is a key influencer in the consumer's purchase decision of a new vehicle, thus providing the Company with a competitive advantage.

Although the Company has discontinued its production of *Evinrude E-TEC* outboard engines in May 2020, it continues to sell *Evinrude* service parts through its network of service dealers and distributors.

In 2024, BRP started selling *Ski-Doo*, *Sea-Doo*, and *Can-Am* PA&A directly to consumers in Canada and the United States on its driver brand websites. This provides online visibility to dealer inventory to increase foot traffic while also providing an additional and convenient shopping option for customers.

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*Rotax Engines* 

With their recognized quality, durability, performance, light weight and fuel efficiency, *Rotax* engines represent a core component of BRP's industry-leading product performance. They power *Ski-Doo* and *Lynx* snowmobiles, *Sea-Doo* PWCs and pontoons and *Can-Am* ATVs, SSVs, 3WVs and motorcycles. *Rotax* engines are also sold to distributors and OEMs that are not in direct competition with BRP products. When sold to such third parties, the engines are used to power karts, small aircraft, jet propulsion boats and fire pumps.

BRP has developed a comprehensive line-up of compact *Rotax* engines and transmission systems with engine specifications varying from one to four cylinders, 2-stroke and 4-stroke, naturally aspirated, turbocharged or supercharged and transmissions varying from a reduction gearbox, CVT, on-the-fly gear shifting, semi-automatic to complex double-clutch-transmission. Expanding its expertise in powertrain innovation, BRP introduced the Rotax E-Power unit, a high-performance electric propulsion system delivering instant torque and a smooth, quiet ride. Designed with advanced battery technology and a liquid-cooled system, the Rotax E-Power unit ensures optimal efficiency, fast charging capabilities, and a dynamic riding experience.

Rotax's powersports competitors power their vehicles with engines they manufacture themselves. For kart engines, the main competitors are IAME, TM Racing and Vortex Engines. For small recreational aircraft engines, the main competitors are Continental Motors and Lycoming.

*Pinion Gearboxes* 

Pinion gearboxes and e-drive units are primarily used in high-performance bicycles and e-bikes by over 100 international manufacturers. These products are currently sold through bike manufacturers. In contrast to conventional derailleur gears with external cassettes, the Pinion gearboxes and e-drive units are installed centrally in the bike and protected from the weather, resulting in a longer product life, minimal maintenance and unique riding dynamics. Pinion's gearboxes portfolio is comprised of two product lines: the powerful P-Line with 18 or 12 gears in a robust aluminum housing and the lightweight C-Line with 12, 9 or 6 gears in a lightweight magnesium housing. The C-Line with Smart.Shift electronic shifting completes the gearbox portfolio. The Motor-Gearbox-Unit (MGU) is an innovative e-drive unit that combines motor and gearbox in a single unit as a complete drivetrain. The MGU was introduced into the market in 2024 and is available with 9 and 12 gears and as an option in a Speed-Pedelec version. This solution is used by several leading e-bike brands in nearly all e-bike categories, from high-end electric mountain bikes to city and trekking bikes, as well as modern cargo bikes. Pinion's main competitors are all conventional types of drivetrains, which do not appear to be designed for the demands of today's bicycles and the challenges of modern electric mobility.

*Boats* 

Recreational boats include rigid inflatable boats, pontoon, deck, bowrider, cruiser and fishing boats. The Company competes in the recreational boats segment with recreational fishing boats and bowriders and also offers PA&A to complement these products.

Bowriders are generally designed for recreational use such as day cruising or watersports, and come in a variety of styles. They range between 16 to 21 feet long, use jet propulsion, stern drive, outboard or inboard engines and carry anywhere from 6 to 10 passengers. The Company's bowriders,

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BRP's competition in the boat industry primarily comes from Australian and New Zealand boat builders such as Bar Crusher, Sea Jay, Stessl, Horizon and Stabicraft. For season 2026, MSRPs for the Company's *Quintrex* boats range from approximately AUD$2,250 to AUD$250,000 (including the engine) in Australia.

**Strategic Priorities** 

In October 2025, the Company presented its next strategic plan, referred to as Mission 28 ("M28"), which is intended to support the Company's next chapter by capturing its full powersports potential. M28 is anchored on four pillars: Growth, Employee X, Customer X, and Lean & Agility, and is supported by a set of strategic initiatives designed to drive execution and performance, including initiatives focused on driving growth and enhancing competitiveness in ORV, accelerating international growth, strengthening employee engagement, improving the dealer and customer experience, driving value through speed and efficiency, strengthening product competitive edge and pursuing opportunities in defense and specialized vehicles. These priorities and initiatives, together with others contained in M28, all of which may be updated and supplemented by the Company from time to time as necessary in light of the Company's performance and other external factors (including economic and market conditions), are intended to continue to play a key role in the Company's strategy, notably with respect to delivering sustainable growth, strengthening the employee, customer and dealer experience, and increasing speed and efficiency across the organization. See "Forward-Looking Statements" and "Risk Factors".

**Manufacturing Facilities and Operations** 

The Company manufactures its products at 12 facilities<sup>4</sup>: one in Australia, one in Austria, two in Canada, one in Finland, one in Germany, four in Mexico and two in the United States. All of the Company's facilities are owned by the Company except for the Rovaniemi (Finland), Denkendorf (Germany) and Shawinigan (Canada) plants, which are leased.

The following table presents the location, size and products manufactured at the Company's current manufacturing facilities.

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| | | |
|:---|:---|:---|
| **Location** | **Approx. Size (sq. ft.)** | **Products Manufactured** |
|  **Querétaro, Mexico** | 933500 | *Can-Am electric motorcycles, Rotax* engines and *Sea-Doo* PWCs |
|  **Juárez, Mexico ("Juárez 3")** | 930000 | *Can-Am* SSVs |
|  **Valcourt, Canada** | 815000 | *Ski-Doo* snowmobiles, *Can-Am Spyder and Canyon* 3WVs |
|  **Juárez, Mexico ("Juárez 2")** | 680000 | *Can-Am* SSVs |
|  **Gunskirchen, Austria** | 468000 | *Rotax* engines |
|  **Sturtevant, United States** | 465000 | Assembly of *Sea-Doo Switch* |
|  **Juárez, Mexico ("Juárez 1")** <sup>5</sup> | 430000 | *Can-Am* ATVs and *Can-Am Ryker* 3WVs |
|  **Coomera, Australia** | 310000 | *Quintrex* boats and trailers |
|  **Rovaniemi, Finland** | 244000 | *Ski-Doo* and *Lynx* snowmobiles and certain specialized *Can-Am* ATVs |

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<sup>4</sup> This list does not include certain sites, including small sites where the products or services are only offered in a capacity as internal supplier to BRP.

<sup>5</sup> *Can-Am Ryker* 3WVs were assembled in Juarez during Fiscal 2026 and production is being transitioned to a new manufacturing facility in Vietnam beginning in Fiscal 2027.

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| | | |
|:---|:---|:---|
|  **Spruce Pine, United States** | 100000 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mainly components for *Rotax* engines |
|  **Shawinigan, Canada** | 40000 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Existing and new mechatronic components |
|  **Denkendorf, Germany** | 4000 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mechanical gearboxes for traditional and electric bicycles |

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The Company's manufacturing strategy, including the products manufactured and the operational activities carried out in each manufacturing facility, is based on a variety of factors such as the proximity to key retail markets, the presence and cost of skilled labour, production capacity, international and local laws, rules and regulations (including custom duties, tariffs and free-trade arrangements) as well as social and political conditions.

The Company's facility in Querétaro (Mexico) assembles *Sea-Doo Spark* PWCs, *Can-Am electric motorcycle* and *Rotax* engines for *Can-Am* ATVs, SSVs and *Can-Am Ryker* 3WVs. The facility in Querétaro also assembles the entire *Sea-Doo* PWC line-up and *Sea-Doo* PWC engines, which are partially manufactured in the Gunskirchen (Austria) facility and subsequently completed in the Querétaro facility, with the exception of the *Spark* PWC engines, which are completely produced in Querétaro. In addition, the facility manufactures composite components for *Sea-Doo* PWCs. Moreover, the Company machines *Rotax* engine components for *Can-Am* ATVs and SSVs and for Sea-Doo PWCs, motorized hulls for the *Sea-Doo Switch* as well as *Rotax* engine components for *Can-Am Ryker* 3WVs in its Querétaro facility.

The Company's Juárez 3 facility (Mexico) assembles Can-Am SSVs, manufactures related components and produces SSV accessories such as bumpers, racks and brackets. The facility has also been expanded to include a second assembly line producing certain SSV models, including the Maverick Sport, Maverick Trail and Commander.

The Company's facility in Valcourt (Canada) assembles *Ski-Doo* snowmobiles, and *Can-Am Spyder* and *Canyon* 3WVs, and manufactures components of such vehicles.

The Company's Juárez 2 facility (Mexico) assembles *Can-Am* SSVs, manufactures related components and produces SSV accessories such as bumpers, racks and brackets.

The Company's Gunskirchen (Austria) facility assembles *Rotax* engines for the Company's *Ski-Doo* and *Lynx* snowmobiles and *Can-Am* 3WVs, as well as for third-party OEMs for use in karts, boats, recreational and small aircraft and fire pumps. *Sea-Doo* PWC engines are partially manufactured in the Gunskirchen (Austria) facility and subsequently completed in the Querétaro facility, with the exception of the *Sea-Doo Spark* PWC engines, which are entirely produced in Querétaro (Mexico).

The Company's facility in Sturtevant (United States) assembles *Sea-Doo Switch* pontoons and build service parts for Outboard Engines.

The Company's Juárez 1 facility (Mexico) assembles *Can-Am* ATVs and *Can-Am Ryker* 3WVs. The facility also manufactures components for *Can-Am* off-road vehicles and *Can-Am Ryker* 3WVs and produces ATV, SSV and *Ryker* 3WV accessories such as bumpers, racks, steering columns and brackets.

The Company's facility in Coomera (Australia) manufactures *Quintrex* aluminum boats and trailers.

The Company's facility in Rovaniemi (Finland) assembles *Lynx* and *Ski-Doo* snowmobiles and completes the assembly of certain models of specialized *Can-Am* ATVs. The Company also manufactures components for snowmobiles and ATVs in Rovaniemi.

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The Company's facility in Spruce Pine (United States) provides lost foam aluminum casted parts for *Rotax* branded engines as well as other OEM customers serving the automotive, rail and construction equipment industries.

The Company's facility in Shawinigan (Canada) develops and manufactures electronic and mechatronic products.

The Company's facility in Denkendorf (Germany) serves for the development, construction, design, production and sale of Pinion gearboxes.

The Company is vertically integrated with respect to those manufacturing processes that represent its core competencies, such as surface treatment, painting, high precision machining and honing, aluminum fabrication and forming, steel forming and welding and engine component manufacturing. For other product components, the Company relies on external suppliers. The Company uses contract carriers to ship its products to its customers and maintains international distribution centers to allow for its products to be shipped to international customers with shorter lead-times.

**Research and Development** 

BRP relies heavily on research and development to sustain its reputation towards innovation and high-performance products, build strong consumer loyalty and reduce production costs. In Fiscal 2026, investments by the Company in research and development activities represented approximately $434.7 million, or approximately 5.0% of the Company's annual revenues. BRP's significant research and development efforts have materialized into several innovations, including the following recent examples:

&nbsp;&nbsp;&nbsp;&nbsp;● new industry-leading platforms, platform expansions and product configurations (e.g. the launch of the new generation of

configuration designed for increased traction and capability in demanding conditions; the introduction of the new *Can-Am Maverick R* X rc bringing purpose-built rock-crawling performance to the *Maverick R* platform; the transition of the *Ski-Doo Expedition*, *Sport* and *Neo* models onto the REV Gen5 platform and of the *Lynx Commander RE* and *Brutal RE* onto the *Radien* <sup>2</sup> platform);

&nbsp;&nbsp;&nbsp;&nbsp;● new performance and handling technologies (e.g. the all-new HD11 999cc
inline three-cylinder *Rotax ACE* engine launched with the introduction of the new *Can-Am Defender*, as well as several other innovations introduced with the launch of that platform, including a new
suspension geometry and steering components assembled with double-bonded bushings, an industry-first; the industry's first semi-active suspension ATV, available on the *Can-Am Outlander* XT-P and MAX Limited packages, with *Smart-Shox* technology electronically adjusting compression and rebound settings to terrain conditions; the introduction of an industry-first 32-inch ski-stance on the *Ski-Doo Summit* X with Expert package, as well as weight reduction measures on *Ski-Doo Freeride* and *Summit* packages and *Lynx Shredder* models; the launch of the 300 hp supercharged *Rotax* 1630 ACE engine available on various configurations of the *Sea-Doo Switch* pontoon);

&nbsp;&nbsp;&nbsp;&nbsp;● new features and refinements enhancing the customer's experience (e.g. the expansion of built-in GPS functionality with the addition of Group Ride capability on some snowmobiles and SSVs equipped with the 10.25-inch touchscreen display, available in North
America, and usable with or without a phone or network connection; innovative new connectivity features and improvements to the *Sea-Doo* lineup, including expanded availability of the 10.25-inch touchscreen display on certain 2026 *Sea-Doo* models, offering smart connectivity functions and marine navigation through the *BRP GO!* App; and the
launch of refinements to the *Maverick X3* lineup, including modernized LED lighting for enhanced visibility and depth perception);

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&nbsp;&nbsp;&nbsp;&nbsp;● new innovative accessories to further customize the ride, such as the new integrated plow mount and intuitive SMART
accessories on the *Defender* HD11; the new front dodger, BBQ table with *LinQ* Lite, pop-up changing room and emergency toilet for extra convenience on the *Sea-Doo Switch*.

BRP's research and development (R&D) activities are spread across its five R&D centers and three Design and Innovation (D&I) centers located in Canada, Austria, Finland, France, the United States and Taiwan.

In Canada, the Product Development Centre in Valcourt is the R&D hub for BRP's *Ski-Doo*, *Sea-Doo* and *Can-Am* products. In addition, the *Laurent Beaudoin Design & Innovation Centre*, established in 2008, serves as the home to BRP's design and advanced concept teams, working to create revolutionary products and develop new product lines and categories.

In Austria, the R&D facility in Gunskirchen, built in October 2023, is dedicated to powertrain development. Moreover, the EV R&D centre in Kottingbrunn, which was acquired as part of the acquisition of Great Wall Motor Austria GmbH, specializes in e-drive systems and transmissions.

In Finland, the R&D center in Rovaniemi is responsible for the Lynx snowmobile development.

In France, BRP's Design & Innovation Centre is located in Sophia Antipolis, near major European markets. Opened in December 2022, it focuses on advanced concepts studies and reflects the Company's commitment to design excellence and innovation as engines for growth.

In the United States, BRP's Design & Innovation Center in Palm Bay, Florida, which expanded in January 2023, conducts advanced concepts studies for both on-water and powersports products.

In Taiwan, BRP's R&D facility in Taipei serves as a strategic bridge between global design and Asia's advanced manufacturing. This center focuses on electronics engineering and supply chain integration, leveraging local expertise to optimize component development and accelerate innovation across the Company's product portfolio.

Research and development activities are organized around centers of expertise, with each facility focused primarily on certain specific activities.

In addition, BRP believes in partnerships to fuel innovation: BRP is a partner of the *Centre de technologies avancées BRP - Université de Sherbrooke*, which has the mandate of developing specialized vehicles and advanced technologies. BRP also partners with the Austrian government in the *Regionales Innovations Centrum* in Austria, focusing on the design and development of efficient powertrain technologies.

BRP continued to strengthen its global leadership in product design in Fiscal 2026, earning 20 major international design awards across its portfolio. These recognitions underscore BRP's integrated approach to design, where performance, ergonomics, sustainability and emotional connection come together to create meaningful riding experiences across all terrains. Twelve of the awards were granted to BRP's electric products, underscoring the strength of the Company's electric design vision. The *Can-Am* Pulse and *Can-Am Origin* electric motorcycles, built on a shared modular platform, received multiple distinctions for their innovative design and reduced environmental impact, while the *Ski-Doo Grand Touring Electric* snowmobile was honored for advancing sustainable winter mobility. Additional award winners included the *Can-Am Maverick R* MAX, *Canyon RedRock* and *Outlander* XT 1000R. In addition, BRP's Design & Innovation team received the "Red Dot: Design Team of the Year 2025" award, a first for a Canadian company. Awarded to organizations that demonstrate long-term design quality and consistent innovation, this distinction, one of the highest in international industrial design, highlights the strength of BRP's integrated design culture and its ability to deliver excellence across multiple product categories and brands. With these achievements, BRP has reached a total of 210 international design awards.

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**Distribution, Sales and Marketing** 

***Distribution and Sales***

BRP has established an extensive global distribution network selling products, directly or indirectly, in over 110 countries. As of the date hereof, BRP sells products directly to approximately 2,050 dealers in 21 countries. In certain geographic markets, the Company prefers to leverage a network of distributors acting as intermediaries with dealers. Through its network of approximately 140 distributors, BRP sells products to approximately 375 additional dealers. In China, the Company distributes products through a joint venture with Smooth Marine Equipment Ltd., its long-time distributor in China, and BRP has a majority ownership stake in this joint venture. The Company also has an office in Texas, U.S. for management and staff forming part of the U.S. sales team and other dealer-facing functions.

In Fiscal 2026, 29.4% of the Company's revenues were generated outside of North America. In addition to reducing the Company's reliance on any single geographic market, management believes that the breadth of BRP's distribution network positions it favorably to capture future growth opportunities in emerging powersports markets.

![LOGO](g76000g0321231617857.jpg)

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![LOGO](g76000g0321231618059.jpg)

The Company typically enters into agreements with dealers, pursuant to which they are authorized to market specific product lines and are required to stock service parts and perform warranty and out-of-warranty repairs and other services. Most of these contracts do not require a dealer to market the Company's products on an exclusive basis. Based on various business criteria, dealers can become entitled to discounts, co-operative advertising subsidies and inventory financing. The Company also enters into agreements with distributors covering specific territories.

The Company delivers its products to dealers, distributors and BRP Experiences rental operators directly from strategically located distribution centers and warehouses, which are operated either by the Company itself or by third-party logistics providers. BRP Experiences boasts a global presence with destinations in 13 countries, offering over 500 unique experiences across 225 locations. The Company collaborates with a network of 185 rental operators (outfitters) around the world to deliver its unmatched adventure experiences.

The Company operates a build-to-order process under which it manufactures products based on orders from dealers, distributors and BRP Experiences rental operators. It also manages the sales and operations processes through which it adjusts production schedules on a weekly or monthly basis to precisely tailor production to incoming orders and market conditions. The Company measures the success of its global production scheduling based on its order fill rate and finished product inventory. The Company produces its Powersports Seasonal Products, namely its snowmobiles, PWCs and pontoons, before and early in their respective seasons of use, while it produces its Powersports Year-Round Products, namely its ATVs, SSVs, 3WVs and electric motorcycles, year-round. Due to the supply chain lead-time for Seasonal Products, flexibility in adjusting production volumes to meet changes in anticipated demand is limited.

The Company regularly holds dealer, distributor and BRP Experiences rental operators meetings to introduce new products and register pre-season orders. Dealers, distributors and BRP Experiences rental operators also have the opportunity to modify their orders during the season, either quarterly, monthly or on an ongoing basis, depending on the product line and the geography. The distribution network for Seasonal and Year-Round Products is relatively stable and consists of a majority of dealers,

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distributors and BRP Experiences rental operators with whom BRP has enjoyed a longstanding relationship. The *Rotax* inboard jet propulsion engines are distributed exclusively through boat builders.

See "Risk Factors — The Company's international sales and operations subject it to additional risks, which risks may differ in each country in which the Company operates" in the 2026 MD&A.

***Dealers' and Distributors' Inventory Financing Arrangements***

The Company, most of its independent dealers, and some of its independent distributors are parties to agreements with third-party financing service providers. These agreements provide financing to facilitate the purchase of the Company's products and improve the Company's working capital by allowing an earlier collection of accounts receivable from dealers and distributors. Approximately three-quarters of the Company's sales are made under such agreements. The total amount of financing provided under such financing agreements totaled approximately $7.3 billion for Fiscal 2026, compared to approximately $6.7 billion for Fiscal 2025. The parties listed above have agreements with Huntington Distribution Finance, Inc., Huntington Commercial Finance Canada Inc., Huntington Commercial Finance LLC and Huntington Commercial Finance New Zealand Ltd (collectively, "Huntington"), to provide financing facilities in North America, Australia and New Zealand, and with Wells Fargo Commercial Distribution Finance, Wells Fargo Bank International and Wells Fargo International Finance LLC (collectively "Wells Fargo") for financing facilities in North America and Europe. The agreement between the Company and Huntington will expire by January 31, 2028. During the three-month period ended July 31, 2025, the Company signed a wholesale financing agreement in Europe with De Lage Landen International B.V. ("DLL"), in replacement of Wells Fargo Bank International Unlimited Company agreement which expired January 31, 2026. The agreement became effective on December 12, 2025. The Company remains liable with obligations towards Wells Fargo until all assets financed are fully paid. Henceforth, the obligations are generally within a range of US$14.0 million ($19.0 million) or 15% of the calendar year twelve-month average amount of financing outstanding under the financing agreement (18.4 million as at January 31, 2026), US$25.0 million ($33.9 million) or 10% of the last twelve-month average amount of financing outstanding under the financing agreement ($251.8 million as at January 31, 2026), and Euro €10.0 million ($13.6 million) or 10% of the calendar year twelve-month average amount of consolidate financing outstanding under the financing agreements (not applicable as at January 31, 2026). See "Risk Factors — The inability of the Company's dealers and distributors to secure adequate access to capital could materially adversely affect the Company's business, results of operations or financial condition" in the 2026 MD&A.

***Marketing***

BRP aims to unleash the power of its iconic brands to win the hearts and minds of consumers, while driving positive business outcomes. The Company's Marketing team is focused on creating and deploying full-funnel marketing plans for all BRP brands to connect with consumers in a consistent and meaningful way, ensure they enjoy best-in-class experiences, and drive consumer loyalty. BRP invests in building global brand equity through creative platforms and compelling storytelling anchored in the reality of its communities, namely by leveraging social media, public relations, and its network of brand ambassadors worldwide.

The Company also builds consumer engagement plans to deliver on its regional business targets and convert leads into retail sales, in collaboration with its dealers and distributors. BRP strives to target the right consumers at the right time, providing them with the content and information they are looking for to drive traffic to dealerships, and to its PA&A e-commerce store which enables direct-to-consumer sales. BRP's marketing channels and tactics include experiential marketing and high-quality product trials, paid media and a digital experience across its websites and Customer Relationship Management platforms. The Company is leveraging actionable consumer insights to maximize marketing efforts and spend.

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To expose more people to the Powersports community, BRP provides access to experiences across different playgrounds through its network of BRP Experiences (formerly Uncharted Society) outfitters.

**Suppliers** 

BRP's primary purchases from its suppliers include raw materials, tooling, parts and systems, information technology ("IT") services, marketing and transportation services. Parts, components and systems are subject to an extensive validation process in order to ensure their reliability and durability. Raw materials or standard parts are generally readily available from multiple sources for the products manufactured by BRP. Furthermore, whenever possible, BRP tries to identify potential substitute supply arrangements for components. BRP strives to obtain the lowest total costs of supply and manufacturing while ensuring high quality, and regularly seeks alternative sources of supply outside its current network of suppliers.

The Company is vertically integrated with respect to core manufacturing processes. For product components, other than those resulting from the core manufacturing processes, the Company generally establishes long-term relationships with external suppliers. The Company has implemented a certification process to evaluate the suitability of potential suppliers, which includes a review of suppliers' financial condition and their capacity to produce components in conformity with BRP's requirements and specifications as well as with applicable labour and environmental standards. Additionally, the Company performs both laboratory and field testing of components before using them in its products. All suppliers must comply with applicable trade sanctions, in addition to the BRP Third Party Code of Conduct, which outlines a clear set of standards on ethical matters such as health & safety, sustainability, human rights including the prevention of child labor and modern slavery, and other responsible business practices.

The manufacturing of the Company's youth *Can-Am* ATVs and youth *Ski-Doo* snowmobiles as well as the production of most of its accessories and apparel is outsourced.

**Seasonality** 

Some of BRP's product lines, such as snowmobiles, PWCs and boats, are seasonal. However, certain of these products are also sold during offsetting seasons, reducing the overall seasonal impact on the Company. Additionally, BRP's 3WVs, electric motorcycles, jet boat engines, ATV and SSV products are less subject to seasonal weather patterns than snowmobiles, PWCs and boats.

The following table reflects the seasonality of revenues for each of the quarters in the three most recent fiscal years.

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| | | | | |
|:---|:---|:---|:---|:---|
| **(in % of annual revenues)** | **First<br>Quarter** | **Second<br>Quarter** | **Third<br>Quarter** | **Fourth<br>Quarter** |
|  Fiscal 2026 | 21.9% | 22.4% | 26.7% | 29.1% |
|  Fiscal 2025 | 25.4% | 22.9% | 25.0% | 26.8% |
|  Fiscal 2024 | 23.3% | 26.7% | 23.8% | 26.2% |

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**Employees** 

As at the end of Fiscal 2026, the Company employed close to 17,000 employees of whom approximately 10,500 were covered by collective arrangements, either through an association, a joint company-employee relations committee, or a certified union/works council. The increase in the number of employees since Fiscal 2025 reflects increase in production volumes to support the increase of our overall sales.

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In Valcourt (Canada), the Company has employee relations committees to ensure joint company-employee discussions addressing employee matters and business challenges in an open and transparent context. These employee relations committees also serve as a channel of communication between the Company and all related employees in order to foster a culture of collaboration and mutual trust. Employee relations committee meetings are held on a regular basis.

In Shawinigan (Canada), the employees of BRP Megatech Industries Inc. ("Megatech"), a wholly owned subsidiary of the Company, are represented by a union (Syndicat des Métallos, Section locale 9003).

In the United States, employees are not unionized.

Employees in Austria, Finland and Germany are represented by these countries' respective national works councils that supervise labour law compliance. The members of the respective local works councils meet with management on a regular basis and also participate in social, employment and, to a lesser extent, economic and financial decisions. In general, the Company representatives and works councils' members meet on a regular basis to discuss specific work conditions and other normative elements. The Company and local works councils also hold annual formal negotiations to discuss overall work conditions. By law, certain employee-related topics must be negotiated with the works councils and the outcome must be documented in writing and signed by both parties.

Employees in Juárez (Mexico) are not represented by any association. Manufacturing employees in Querétaro (Mexico) are represented by a union; wages are agreed upon yearly and other benefits every other year.

In addition, employees in non-manufacturing sites located in Germany, Belgium, Brazil, France, Italy, Norway, Spain, and Sweden are represented by their respective national collective agreements. Employees in Switzerland and Russia are not governed by any type of collective arrangement.

Employees in New Zealand, China and Japan are non-manufacturing workers. They are not unionized, but they can be represented by their respective local or national work councils. Their employment rights and conditions are regulated and protected under agreement and national employment law.

In Australia, employees are not unionized.

**Intellectual Property** 

The Company has an extensive portfolio of intellectual property, including patents, trademarks, copyrights and trade secrets that protect its brands, products, designs and technologies.

***Patents***

As at January 31, 2026, the Company held more than 2,223 issued patents and pending patent applications to protect its products, designs and technologies, in jurisdictions including the United States, the European Union, Canada and China, among others. The Company diligently seeks to protect its key innovations through patent filings. The Company determines jurisdictions in which it files patent applications based on strategic considerations and the availability of patent protection in such jurisdictions. As it continues to develop new products, manufacturing processes and technologies, the Company plans to apply for patents to protect such innovations.

As an example, the Company's intellectual property portfolio includes patents and applications relating to *Sea-Doo*'s Modular Seating System found on the *Sea-Doo* Switch models, *Ski-Doo*'s 2-stroke engine incorporating a Catalytic Converter, *Can-Am*'s off-road Heavy-Duty Tall Knuckle Suspension and Cold Air Roof Scoop and Battery Pack technology found on several of BRP's electric vehicles. The

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Company also has several design patents protecting aesthetic such as features of *Can-Am*'s *Maverick R* SSV and *Can-Am*'s *Origin* electric motorcycle.

***Trademarks***

In addition to protecting its technical innovations, the Company relies on a combination of registered and unregistered trademarks to protect its position as a branded company with strong brand name recognition. It holds numerous registered trademarks in respect of its brands, including *BRP*<sup>®</sup>, *Can-Am*<sup>®</sup>, *Lynx*<sup>®</sup>, *Quintrex*<sup>®</sup>*, Rotax*<sup>®</sup>*, Sea-Doo*<sup>®</sup>, *Ski-Doo*<sup>®</sup>. It also holds registered trademarks with respect to its various model lines, including *Aurora*<sup>®</sup>, *Can-Am Origin*<sup>®</sup>, *Can-Am Pulse*<sup>®</sup>, *Commander*<sup>®</sup>*, Defender*<sup>®</sup>, *Expedition*<sup>®</sup>, *Fish Pro*<sup>®</sup>, *Freeride*<sup>®</sup>, *G2*<sup>®</sup>, *Maverick*<sup>®</sup>, *MX-Z*<sup>®</sup>, *Renegade*<sup>®</sup>, *Rave*<sup>®</sup>, *Ryker*<sup>®</sup>, *RXP*<sup>®</sup>, *RXT*<sup>®</sup>, *Skandic*<sup>®</sup>, *Spark*<sup>®</sup>, *Spyder*<sup>®</sup>*, Summit*<sup>®</sup>, *Switch*<sup>®</sup> and *Traxter*<sup>®</sup><sup>,</sup> and additional registered trademarks with respect to certain of its programs and technologies, including *4-TEC*<sup>®</sup>, *BRP Connect<sup>®</sup>*, *BRP GO<sup>®</sup>*, *BV2S<sup>®</sup>, E-TEC*<sup>®</sup>, *iBR*<sup>®</sup>, *iCatch*<sup>®</sup>, *iControl*<sup>®</sup>, *iS*<sup>®</sup>, *Learning Key*<sup>®</sup>, *LinQ*<sup>®</sup>, *Radien*<sup>®</sup>, *REV*<sup>®</sup>, *Uncharted Society<sup>®</sup>* and *XPS*<sup>®</sup>. The Company determines the jurisdictions in which it registers its trademarks based on strategic considerations and on the availability of trademark registration in such jurisdictions. As it continues to develop and introduce new brands, models and technologies, the Company plans to register new trademarks to protect its strong name recognition.

***Licenses***

In the ordinary course of business, the Company enters into license agreements for intellectual property held by suppliers, competitors and other third parties with respect to parts, components and other systems used in the Company's products.

**Product Warranties** 

The Company's manufacturer product warranties generally cover periods from twelve months to three years for most products. In certain circumstances, the Company provides extended warranty coverage as a result of sales programs, under certain commercial accounts, or as required by local regulations. During the warranty period, the Company reimburses dealers and distributors the entire cost of repair or replacement performed on the products (mainly composed of parts or accessories provided by the Company and labour costs incurred by dealers or distributors). In addition, the Company sells in the normal course of business and provides under certain sales programs, extended product warranties.

**Information Technology** 

The Company leverages a suite of IT tools and applications which allows it to securely enable its business functions while promoting the stability and availability of its systems. The Company combines the use of industry-leading tools such as SAP (Enterprise Resource Management – ERP – for enterprise business process management) and SalesForce (sales and after-sale) with custom developed applications designed to provide tailored inputs to existing systems and support specific functions of the Company.

The Company remains committed to continuously improving tools and controls as appropriate, including the modernization of its existing ERP, which is presently ongoing.

**Regulatory Matters** 

The Company is subject to extensive laws and regulations at many steps in its chain of conception, production and distribution of products. Above and beyond the laws and regulations applicable to any business, there are certain requirements applicable only to Powersports Products or recreational products such as those manufactured by the Company. These regulations include standards related to safety, construction rules, sound and gaseous emissions, and the sale and marketing of products, and have generally become stricter in recent years.

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The Company is taking appropriate measures to ensure that its products will be compliant with anticipated more stringent regulations as they become effective from time to time. Such measures include the development of new engines and vehicle design, as well as the development of new energy-efficiency related technologies. While these efforts require substantial expenditures, it is impractical at this time to isolate these specific compliance costs from total project costs. See "Risk Factors — The Company is subject to laws, rules and regulations regarding product safety, health, environmental and noise pollution and other issues that could cause the Company to incur fines or penalties or increase its capital or operating costs" in the 2026 MD&A.

***Safety Regulation***

The Company's products are subject to extensive laws, rules and regulations relating to product safety promulgated by the governments or regulatory authorities of Canada, individual Canadian provinces, the United States, individual American states or other countries. These requirements pertain to the conception, production and distribution of BRP's products.

In addition, the Company is a member of several industry and trade associations in Canada, the United States, and other countries whose mandate is to promote safety in the manufacture and use of powersports products. Some of those trade associations promulgate voluntary industry product safety standards with which the Company complies.

***Use Regulation***

In Canada, the United States and other countries, laws, rules and regulations have been promulgated or are under consideration relating to the use of Powersports Products. Some countries, provinces, states, municipalities and local regulatory bodies have adopted, or are considering the adoption of, legislation and local ordinances that restrict the use of snowmobiles, PWCs, ATVs and SSVs to specified hours and locations. The use of said products has been restricted in some national parks and federal lands in Canada, the United States and other countries. In some instances, this restriction has consisted of a ban on the recreational use of these vehicles in specific locations.

***Emissions Regulation***

The Company's products are subject to sound and gaseous emissions laws, rules and regulations promulgated by the governments and regulatory authorities of Canada (Environment and Climate Change Canada), the United States (Environmental Protection Agency), individual American states (such as the California Air Resources Board), the European Union and other jurisdictions. Such laws, rules and regulations may require the development of new engines and vehicle design, as well as the development of new energy-efficient technologies. In the last few years, there has been an array of new and developing sustainability-related rules that have been adopted and proposed by various regulators and jurisdictions, including the Corporate Sustainability Reporting Directive (CSRD) issued by the European parliament, the issuance of the IFRS Sustainability Disclosure Standards – IFRS S1 & IFRS S2 by the International Sustainability Standards Board, the recent adoption of corresponding standards published by the CSSB, the California SB 253 and SB 261 laws on carbon emissions and climate-related financial risks disclosure and other related regulations, which will require consistent and comparable disclosure for investors and support a comprehensive global baseline of sustainability disclosures, thereby increasing the regulatory pressure faced by the Company in this respect. The implementation timeline and scope of certain regulations remain subject to legal and regulatory developments. See "Risk Factors—The Company is subject to laws, rules and regulations regarding product safety, health, environmental and noise pollution and other issues that could cause the Company to incur fines or penalties or increase its capital or operating costs" in the 2026 MD&A.

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***Environmental Regulation Applicable to Facilities***

The Company is also subject to environmental laws, rules and regulations pursuant to which, among other things, it may become liable for the costs of investigating, removing and monitoring any hazardous substances found in its manufacturing and other facilities.

**Insurance** 

The Company carries various insurance coverage policies to protect against certain risks of loss consistent with the exposures associated with the nature and scope of its operations. The most significant insurance policies that the Company carries include:

&nbsp;&nbsp;&nbsp;&nbsp;● commercial general liability insurance for bodily injury and property damage resulting from its operations and its
products;

&nbsp;&nbsp;&nbsp;&nbsp;● property insurance covering the replacement value of all real and personal property damage, including damages arising
from fire, earthquake, flood damage and business interruption;

&nbsp;&nbsp;&nbsp;&nbsp;● cargo insurance to protect against loss or damage to goods while in transit;

&nbsp;&nbsp;&nbsp;&nbsp;● workers' compensation coverage in the United States to required statutory limits;

&nbsp;&nbsp;&nbsp;&nbsp;● automobile liability insurance for all owned, non-owned and hired vehicles
covering liabilities to third parties for bodily injury and property damage;

&nbsp;&nbsp;&nbsp;&nbsp;● aviation insurance covering liabilities to third parties for bodily injury and property damage resulting from the
Company's small recreational aircraft engines;

&nbsp;&nbsp;&nbsp;&nbsp;● directors and officers insurance and other executives programs; and

&nbsp;&nbsp;&nbsp;&nbsp;● cyber insurance to mitigate risk exposure by offsetting recovery costs following a cyber-related security breach or
similar event.

All policies are subject to certain deductibles, limits or sub-limits and policy terms and conditions.

**RISK FACTORS** 

A description of the risks and uncertainties faced by the Company and its businesses can be found in the "Risk Factors" section on pages 48 to 76 of the 2026 MD&A. The 2026 MD&A is available under the Company's profiles on SEDAR+ at www.sedarplus.ca and on EDGAR at <u>www.sec.gov</u>. The Company currently believes that those are the risks and uncertainties that are material, but they are not the only ones it faces. If any of those risks, or any other risks and uncertainties that the Company has not yet identified or that it currently considers not to be material, actually occur or become material, the Company's business, guidance, prospects, financial condition, results of operations and cash flows and consequently the price of the Subordinate Voting Shares could be materially and adversely affected.

**DIVIDENDS** 

The following table sets out the cash dividends declared and paid during Fiscal 2024, Fiscal 2025 and Fiscal 2026.

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| | | |
|:---|:---|:---|
| **Date of Declaration** | **Date of Payment** | **Amount of Dividend**<br> **per Share** |
|  March 22, 2023 | April 17, 2023 | $0.18 |
|  May 31, 2023 | July 14, 2023 | $0.18 |
|  September 6, 2023 | October 13, 2023 | $0.18 |
|  November 29, 2023 | January 12, 2024 | $0.18 |
|  March 27, 2024 | April 22, 2024 | $0.21 |
|  May 30, 2024 | July 12, 2024 | $0.21 |
|  September 5, 2024 | October 11, 2024 | $0.21 |
|  December 5, 2024 | January 14, 2025 | $0.21 |
|  March 25, 2025 | April 18, 2025 | $0.215 |
|  May 28, 2025 | July 14, 2025 | $0.215 |
|  August 28, 2025 | October 14, 2025 | $0.215 |
|  December 3, 2025 | January 14, 2026 | $0.215 |
|  March 25, 2026 | April 24, 2026 | $0.25 |

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The Board of Directors has determined that each of the foregoing quarterly dividends was, at the time of declaration, appropriate based on the Company's results of operations, current and anticipated cash requirements and surplus, financial condition, contractual restrictions and financing agreement covenants, solvency tests imposed by corporate law and upon other relevant factors. The payment of each future quarterly dividend remains subject to the declaration of such dividend by the Board of Directors. The actual amount, the declaration date, the record date and the payment date of each quarterly dividend are subject to the discretion of the Board of Directors, and, at this time, no assurance can be given as to the declaration of any future dividend by the Company and, if a dividend is declared, the timing, frequency or amount of any such future dividend. See "Risk Factors" in the 2026 MD&A.

**DESCRIPTION OF THE CAPITAL STRUCTURE** 

The Company's authorized share capital consists of an unlimited number of Multiple Voting Shares and Subordinate Voting Shares and an unlimited number of preferred shares (the "Preferred Shares"), issuable in series. As at March 24, 2026, 38,303,785 Subordinate Voting Shares, 34,819,204 Multiple Voting Shares and no Preferred Shares were issued and outstanding.

The Subordinate Voting Shares are "restricted securities" within the meaning of such term under applicable Canadian securities laws.

**Shares** 

Except as described herein, the Subordinate Voting Shares and the Multiple Voting Shares have the same rights, are equal in all respects and are treated by the Company as if they were shares of one class only.

***Rank***

The Subordinate Voting Shares and Multiple Voting Shares rank *pari passu* with respect to the payment of dividends, return of capital and distribution of assets in the event of the liquidation, dissolution or winding up of the Company. In the event of the liquidation, dissolution or winding-up of the Company or any other distribution of its assets among its shareholders for the purpose of winding-up its affairs, whether voluntarily or involuntarily, the holders of Multiple Voting Shares and the holders of Subordinate Voting Shares are entitled to participate equally, share for share, subject always to the rights of the holders of any Preferred Shares, in the remaining property and assets of the Company available for distribution to the holders of Shares, without preference or distinction among or between the Subordinate Voting Shares and the Multiple Voting Shares.

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***Dividends***

The holders of outstanding Shares are entitled to receive, subject always to the rights of the holders of any Preferred Shares, dividends on a share for share basis out of assets legally available therefor at such times and in such amounts and form as the Board of Directors may from time to time determine, without preference or distinction among or between the Subordinate Voting Shares and the Multiple Voting Shares. In the event of a payment of a dividend in the form of Shares, holders of Subordinate Voting Shares shall receive Subordinate Voting Shares and holders of Multiple Voting Shares shall receive Multiple Voting Shares.

***Voting Rights***

Under the Company's articles, the Subordinate Voting Shares carry one vote per share and Multiple Voting Shares carry six votes per share. Based on the number of shares issued and outstanding as at March 24, 2026, the Subordinate Voting Shares represented 52.4% of the Company's total issued and outstanding Shares and 15.5% of the voting power attached to all of the Shares.

***Conversion***

The Subordinate Voting Shares are not convertible into any other class of shares. Each outstanding Multiple Voting Share may at any time, at the option of the holder, be converted into one Subordinate Voting Share. Upon the first date that any Multiple Voting Share is held other than by a Permitted Holder (as defined below), such holder, without any further action, shall automatically be deemed to have exercised his, her or its rights to convert all of the Multiple Voting Shares held by such holder into fully paid and non-assessable Subordinate Voting Shares, on a share for share basis.

In addition, all Multiple Voting Shares, regardless of the holder thereof, will convert automatically into Subordinate Voting Shares at such time as Permitted Holders that hold Multiple Voting Shares no longer hold and own, collectively, directly or indirectly, more than 15% of the beneficial ownership interests in the aggregate number of outstanding Multiple Voting Shares and Subordinate Voting Shares (it being understood that the number of Multiple Voting Shares shall be added to the number of Subordinate Voting Shares for the purposes of such calculation).

For the purposes of the foregoing:

"Affiliate" means, with respect to any specified Person (as defined below), any other Person that directly or indirectly through one or more intermediaries controls, or is controlled by, or is under common control with, such specified Person;

"Members of the Immediate Family" means with respect to any individual, each spouse (whether by marriage or civil union) or common law partner (as defined in the Income Tax Act (Canada) (the "Tax Act")) or child or other descendants (whether by birth or adoption) of such individual, each spouse (whether by marriage or civil union) or common law partner (as defined in the Tax Act) of any of the aforementioned Persons, each trust created solely for the benefit of such individual and/or one or more of the aforementioned Persons, and each legal representative of such individual or of any aforementioned Persons (including without limitation a tutor, curator, mandatary due to incapacity, custodian, guardian or testamentary executor), acting in such capacity under the authority of the law, an order from a competent tribunal, a will or a mandate in case of incapacity or similar instrument. For the purposes of this definition, a Person shall be considered the spouse of an individual if such Person is legally married to such individual, lives in a civil union with such individual or is the common law partner (as defined in the Tax Act as amended from time to time) of such individual. A Person who was the spouse of an individual within the meaning of this paragraph immediately before the death of such individual shall continue to be considered a spouse of such individual after the death of such individual.

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"Permitted Holders" means (i) Janine Bombardier, Claire Bombardier Beaudoin, Laurent Beaudoin, Huguette Bombardier Fontaine, Jean-Louis Fontaine and J.R. André Bombardier, and the Members of the Immediate Family of each such individual; (ii) any Person controlled, directly or indirectly, by one or more of the Persons referred to in clause (i) above; (iii) Bain Capital and any of its Affiliates; and (iv) La Caisse and any of its Affiliates;

"Person" means any individual, partnership, corporation, company, association, trust, joint venture or limited liability company; and

A Person is "controlled" by another Person or other Persons if: (i) in the case of a company or other body corporate wherever or however incorporated: (A) securities entitled to vote in the election of directors carrying in the aggregate at least 66<sup>2</sup>⁄<sub>3</sub>% of the votes for the election of directors and representing in the aggregate at least 66<sup>2</sup>⁄<sub>3</sub>% of the participating (equity) securities are held, other than by way of security only, directly or indirectly, by or solely for the benefit of the other Person or Persons; and (B) the votes carried in the aggregate by such securities are entitled, if exercised, to elect a majority of the board of directors of such company or other body corporate; or (ii) in the case of a Person that is not a company or other body corporate, at least 66<sup>2</sup>⁄<sub>3</sub>% of the participating (equity) and voting interests of such Person are held, directly or indirectly, by or solely for the benefit of the other Person or Persons; and "controls", "controlling" and "under common control with" shall be interpreted accordingly.

***Subscription Rights***

In the event of any distribution or issuance, including by way of a share dividend (a "Distribution") of voting shares of the Company (other than Multiple Voting Shares, Subordinate Voting Shares issued upon the conversion of Multiple Voting Shares or voting shares issued pursuant to the exercise of a right attached to any security of the Company issued prior to the Distribution) (the "Voting Shares") or of securities convertible or exchangeable into Voting Shares or giving the right to acquire Voting Shares (other than options or other securities issued under compensatory plans or other plans to purchase Voting Shares or any other securities in favour of the management, directors, employees or consultants of the Company) (the "Convertible Securities" and, together with the Voting Shares, the "Distributed Securities"), the Company shall issue to the holder(s) of Multiple Voting Shares rights to subscribe for that number of Multiple Voting Shares, or, as the case may be, for securities convertible or exchangeable into or giving the right to acquire, on the same terms and conditions, including subscription or exercise price, as applicable, mutatis mutandis (except for the ultimate underlying securities that shall be Multiple Voting Shares), as those stipulated in the Convertible Securities, that number of Multiple Voting Shares, respectively, which carry, in the aggregate, a number of voting rights sufficient to fully maintain the proportion of total voting rights (on a fully diluted basis) associated with the then outstanding Multiple Voting Shares (the "Rights to Subscribe").

The Rights to Subscribe shall be issued to the holder(s) of Multiple Voting Shares in a proportion equal to their respective holdings of Multiple Voting Shares and shall be issued concurrently with the completion of the Distribution of the applicable Distributed Securities. To the extent that any such Rights to Subscribe are exercised, in whole or in part, the securities underlying such Rights to Subscribe (the "Subscription Securities") shall be issued and must be paid for concurrently with the completion of the Distribution and payment to the Company of the issue price for the Distributed Securities, at the lowest price permitted by the applicable securities and stock exchange regulations and subject (as to such price) to the prior consent of the exchanges but at a price not lower than (i) if the Distributed Securities are Subordinate Voting Shares, the price at which Subordinate Voting Shares are then being issued or distributed, (ii) if the Distributed Securities are Convertible Securities, the price at which the applicable Convertible Securities are then being issued or distributed, and (iii) if the Distributed Securities are Voting Shares other than Subordinate Voting Shares, the higher of (a) the weighted average price of the transactions on the Subordinate Voting Shares on the TSX (or such other primary stock exchange on which they are listed, as the case may be) for the 20 trading days preceding the Distribution of such Voting Shares or of (b) the weighted average price of transactions on the Subordinate Voting Shares on the TSX (or such other primary stock exchange on which they are listed, as the case may be), the trading day before the Distribution of such Voting Shares.

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The privileges attached to Subscription Securities that are securities convertible or exchangeable into or giving the right to acquire Multiple Voting Shares shall only be exercisable if and whenever the same privileges attached to the Convertible Securities are exercised and shall not result in the issuance of a number of Multiple Voting Shares that increases the proportion (as in effect immediately prior to giving effect to the completion of the Distribution) of total voting rights associated with the Multiple Voting Shares after giving effect to the exercise by the holder(s) of the privileges attached to such Convertible Securities.

The right to receive Rights to Subscribe as described above, and the legal or beneficial ownership of the Rights to Subscribe, may be assigned in whole or in part among Permitted Holders, provided that written notice of any such assignment shall be sent promptly to the other holders of Multiple Voting Shares and the Company.

Subordinate Voting Shares have no pre-emptive or subscription rights to purchase any securities of the Company. An issuance of participating (equity) securities will not be rendered invalid due to a failure by the Company to comply with the foregoing.

***Subdivision or Consolidation***

No subdivision or consolidation of the Subordinate Voting Shares or the Multiple Voting Shares may be carried out unless, at the same time, the Multiple Voting Shares or the Subordinate Voting Shares, as the case may be, are subdivided or consolidated in the same manner and on the same basis.

***Certain Amendments***

In addition to any other voting right or power to which the holders of Subordinate Voting Shares shall be entitled by law or regulation or other provisions of the Articles of the Company from time to time in effect, but subject to the provisions of Articles of the Company, holders of Subordinate Voting Shares shall be entitled to vote separately as a class, in addition to any other vote of shareholders that may be required, in respect of any alteration, repeal or amendment of the Articles of the Company that would adversely affect the powers, preferences or rights of the holders of Subordinate Voting Shares, including an amendment to the terms of the Articles of the Company that provide that any Multiple Voting Shares sold or transferred to a Person that is not a Permitted Holder shall be automatically converted into Subordinate Voting Shares.

***Certain Class Votes***

Without limiting other rights at law of any holders of Multiple Voting Shares or Subordinate Voting Shares to vote separately as a class or the terms of the following paragraph, neither the holders of the Multiple Voting Shares nor the holders of the Subordinate Voting Shares shall be entitled to vote separately as a class upon a proposal to amend the Articles of the Company in the case of an amendment of the kind referred to in paragraph (a) of subsection 176(1) of the *Canada Business Corporations Act* and, as regards the creation of additional classes of preferred shares that are non-voting, paragraph I of subsection 176(1) of the *Canada Business Corporations Act*.

The holders of the Subordinate Voting Shares shall be entitled to vote separately as a class (but will not have any dissent rights) in respect of any amalgamation, arrangement, business combination or sale, lease, exchange or transfer of all or substantially all the property of the Company (as such expressions are interpreted for the purposes of the *Canada Business Corporations Act*) in connection with which or following which any holder of Multiple Voting Shares would, directly or indirectly, receive or be entitled to receive consideration, money, property or securities of greater value per share or different in kind than the consideration or distribution available to holders of Subordinate Voting Shares, unless the holders of Subordinate Voting Shares are otherwise already entitled to vote separately as a class in respect of such transaction under any applicable law (including, without limitation, securities laws in any jurisdiction, together with the rules, regulations, orders and notices made thereunder and the local,

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uniform and national published instruments and policies adopted by the securities regulatory authority in such jurisdiction, as applied and interpreted by such securities regulatory authority) or the rules, notices, policies and procedures or any decision of any applicable stock exchange.

***Issuance of Additional Multiple Voting Shares***

Subject to the provisions of the Articles of the Company, the Company may not issue Multiple Voting Shares without the approval of at least 66<sup>2</sup>⁄<sub>3</sub>% of the votes cast at a meeting of the holders of Subordinate Voting Shares duly held for that purpose. However, approval is not required in connection with a subdivision or conversion on a pro rata basis as between the Subordinate Voting Shares and the Multiple Voting Shares or the issuance of Multiple Voting Shares upon the exercise of the Rights to Subscribe.

***Take-Over Bid Protection***

Under applicable Canadian law, an offer to purchase Multiple Voting Shares would not necessarily require that an offer be made to purchase Subordinate Voting Shares. In accordance with the rules of the TSX designed to ensure that, in the event of a take-over bid, the holders of Subordinate Voting Shares will be entitled to participate on an equal footing with holders of Multiple Voting Shares, the Beaudier Group, Bain Capital and La Caisse, as the owners of all the outstanding Multiple Voting Shares, entered into a coattail agreement dated May 29, 2013 with the Company and Computershare Trust Corporation of Canada (the "Coattail Agreement"). The Coattail Agreement contains provisions customary for dual class, TSX-listed companies designed to prevent transactions that otherwise would deprive the holders of Subordinate Voting Shares of rights under applicable provincial take-over bid legislation to which they would have been entitled if the Multiple Voting Shares had been Subordinate Voting Shares.

The undertakings in the Coattail Agreement do not apply to prevent a sale of Multiple Voting Shares by any of Beaudier Group, Bain Capital or La Caisse if concurrently an offer is made to purchase Subordinate Voting Shares that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● offers a price per Subordinate Voting Share at least as high as the highest price per share paid pursuant to the
take-over bid for the Multiple Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● provides that the percentage of outstanding Subordinate Voting Shares to be taken up (exclusive of shares owned
immediately prior to the offer by the offeror or persons acting jointly or in concert with the offeror) is at least as high as the percentage of Multiple Voting Shares to be sold (exclusive of Multiple Voting Shares owned immediately prior to the
offer by the offeror and persons acting jointly or in concert with the offeror);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● has no condition attached other than the right not to take up and pay for Subordinate Voting Shares tendered if no
shares are purchased pursuant to the offer for Multiple Voting Shares; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● is in all other material respects identical to the offer for Multiple Voting Shares.

In addition, the Coattail Agreement does not prevent the transfer of Multiple Voting Shares by Beaudier Group, Bain Capital or La Caisse to a Permitted Holder, provided such transfer is not or would not have been subject to the requirements to make a take-over bid (if the vendor or transferee were in Canada) or constitutes or would constitute an exempt take-over bid (as defined in applicable securities legislation). The conversion of Multiple Voting Shares into Subordinate Voting Shares, whether or not such Subordinate Voting Shares are subsequently sold, would not constitute a disposition of Multiple Voting Shares for the purposes of the Coattail Agreement.

Under the Coattail Agreement, any disposition of Multiple Voting Shares (including a transfer to a pledgee as security) by a holder of Multiple Voting Shares party to the agreement is conditional upon the

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transferee or pledgee becoming a party to the Coattail Agreement, to the extent such transferred Multiple Voting Shares are not automatically converted into Subordinate Voting Shares in accordance with the Articles of the Company.

The Coattail Agreement contains provisions for authorizing action by the trustee to enforce the rights under the Coattail Agreement on behalf of the holders of the Subordinate Voting Shares. The obligation of the trustee to take such action is conditional on the Company or holders of the Subordinate Voting Shares providing such funds and indemnity as the trustee may require. No holder of Subordinate Voting Shares will have the right, other than through the trustee, to institute any action or proceeding or to exercise any other remedy to enforce any rights arising under the Coattail Agreement unless the trustee fails to act on a request authorized by holders of not less than 10% of the outstanding Subordinate Voting Shares and reasonable funds and indemnity have been provided to the trustee. The Company agreed to pay the reasonable costs of any action that may be taken in good faith by holders of Subordinate Voting Shares pursuant to the Coattail Agreement.

The Coattail Agreement provides that it may not be amended, and no provision thereof may be waived, unless, prior to giving effect to such amendment or waiver, the following have been obtained: (a) the consent of the TSX and any other applicable securities regulatory authority in Canada and (b) the approval of at least 66<sup>2</sup>⁄<sub>3</sub>% of the votes cast by holders of Subordinate Voting Shares excluding votes attached to Subordinate Voting Shares held by Beaudier Group, Bain Capital, La Caisse, their affiliates and any persons who have an agreement to purchase Multiple Voting Shares on terms that would constitute a sale or disposition for purposes of the Coattail Agreement other than as permitted thereby.

No provision of the Coattail Agreement limits the rights of any holders of Subordinate Voting Shares under applicable law.

**Preferred Shares** 

The Company is authorized to issue an unlimited number of Preferred Shares, issuable in series. Each series of Preferred Shares shall consist of such number of shares and having such rights, privileges, restrictions and conditions as may be determined by the Board of Directors prior to the issuance thereof. Holders of Preferred Shares, except as otherwise provided in the terms specific to a series of Preferred Shares or as required by law, will not be entitled to vote at meetings of holders of Shares. With respect to the payment of dividends and distribution of assets in the event of liquidation, dissolution or winding-up of the Company, whether voluntary or involuntary, the Preferred Shares are entitled to preference over the Shares and any other shares ranking junior to the Preferred Shares from time to time and may also be given such other preferences over Shares and any other shares ranking junior to the Preferred Shares as may be determined at the time of creation of such series.

**Advance Notice Requirements for Director Nominations** 

The Company's by-laws provide that shareholders seeking to nominate candidates for election as directors must provide timely written notice to the Company's secretary at its principal executive offices. To be timely, a shareholder's notice must be received (i) in the case of an annual meeting of shareholders, not less than 30 days nor more than 65 days prior to the date of the annual meeting; provided, however, that in the event that the annual meeting of shareholders is to be held on a date that is less than 50 days after the date on which the first public announcement of the date of the annual meeting was made, notice by the shareholder may be received not later than the close of business on the 10<sup>th</sup> day following the date of such public announcement; and (ii) in the case of a special meeting (which is not also an annual meeting) of shareholders called for the purpose of electing directors, not later than the close of business on the 15<sup>th</sup> day following the day on which the first public announcement of the date of the special meeting was made. The Company's by-laws also prescribe the proper written form for a shareholder's notice. The Board of Directors may, in its sole discretion, waive any requirement under these provisions. These provisions shall be automatically repealed and cease to have effect upon the termination of the Nomination Rights Agreement entered into between the Company and the Beaudier

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Group, Bain Capital and La Caisse. See "Material Contracts — Securityholders Agreement — Nomination Rights Agreement".

**MARKET FOR SECURITIES AND TRADING PRICE AND VOLUME** 

The Subordinate Voting Shares are listed for trading on the TSX and Nasdaq under the symbol "DOO".

The following table sets forth, for the periods indicated, the monthly range of highs and lows trading closing prices of the Subordinate Voting Shares, as well as total monthly volumes and average daily volumes of the Subordinate Voting Shares traded on the TSX:

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| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Month** | **Price per<br>Subordinate**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Voting Share ($)** <br> **Monthly Low** | **Price per<br>Subordinate**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Voting Share ($)** <br> **Monthly High** | **Subordinate<br>Voting Shares**<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Monthly <br>Volume** | **Subordinate<br>Voting Shares**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Average Daily** <br> **Volume** |
| &nbsp;&nbsp;&nbsp; February 2025 | 55.98 | 67.02 | 3583744 | 188618 |
| &nbsp;&nbsp;&nbsp; March 2025 | 47.16 | 60.15 | 3992736 | 190130 |
| &nbsp;&nbsp;&nbsp; April 2025 | 43.88 | 52.92 | 4654523 | 221644 |
| &nbsp;&nbsp;&nbsp; May 2025 | 45.51 | 61.25 | 4705626 | 224077 |
| &nbsp;&nbsp;&nbsp; June 2025 | 59.43 | 68.41 | 3375792 | 160752 |
| &nbsp;&nbsp;&nbsp; July 2025 | 65.26 | 73.37 | 2992738 | 136034 |
| &nbsp;&nbsp;&nbsp; August 2025 | 67.20 | 88.22 | 3680770 | 184039 |
| &nbsp;&nbsp;&nbsp; September 2025 | 82.91 | 94.51 | 5357895 | 255138 |
| &nbsp;&nbsp;&nbsp; October 2025 | 87.01 | 96.10 | 4332401 | 196927 |
| &nbsp;&nbsp;&nbsp; November 2025 | 85.47 | 98.85 | 2571458 | 128573 |
| &nbsp;&nbsp;&nbsp; December 2025 | 96.02 | 108.90 | 4126075 | 196480 |
| &nbsp;&nbsp;&nbsp; January 2026 | 97.05 | 112.26 | 4444946 | 211664 |

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The following table sets forth, for the periods indicated, the monthly range of highs and lows trading closing prices of the Subordinate Voting Shares, as well as total monthly volumes and average daily volumes of the Subordinate Voting Shares traded on Nasdaq:

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| | | | | |
|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Month** | **Price per**<br> **Subordinate**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Voting Share <br>(US$) Monthly**<br> **Low** | **Price per**<br> **Subordinate<br> Voting Share** <br> **(US$) Monthly**<br> **High** | **Subordinate<br>Voting Shares**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total Monthly** <br> **Volume** | **Subordinate<br>Voting Shares**<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Average Daily** <br> **Volume** |
| &nbsp;&nbsp;&nbsp; February 2025 | 38.69 | 46.50 | 4730583 | 248978 |
| &nbsp;&nbsp;&nbsp; March 2025 | 33.05 | 41.69 | 4445011 | 211667 |
| &nbsp;&nbsp;&nbsp; April 2025 | 31.78 | 37.68 | 5889319 | 280444 |
| &nbsp;&nbsp;&nbsp; May 2025 | 33.04 | 44.66 | 4391622 | 209125 |
| &nbsp;&nbsp;&nbsp; June 2025 | 43.14 | 50.25 | 5702278 | 285114 |
| &nbsp;&nbsp;&nbsp; July 2025 | 47.74 | 53.23 | 5183360 | 235607 |
| &nbsp;&nbsp;&nbsp; August 2025 | 48.67 | 64.42 | 6498617 | 309458 |
| &nbsp;&nbsp;&nbsp; September 2025 | 59.59 | 68.42 | 6427706 | 306081 |
| &nbsp;&nbsp;&nbsp; October 2025 | 62.51 | 68.45 | 4174125 | 181484 |
| &nbsp;&nbsp;&nbsp; November 2025 | 61.40 | 70.91 | 2238732 | 117828 |
| &nbsp;&nbsp;&nbsp; December 2025 | 68.61 | 81.67 | 4469989 | 203181 |

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------

 <br> <u> January 2026</u>   <u>70.53</u>   <u>81.89</u>   <u>3,006,252</u>   <u>150,313</u>

The Multiple Voting Shares are not listed for trading on any stock exchange.

**DIRECTORS AND OFFICERS** 

The following tables set out for each of the Company's directors and executive officers as of the date hereof, the person's name, province or state, and country of residence, position with the Company, principal occupation during the five preceding years and, if a director, the date on which the person became a director. The Company's directors are expected to hold office until the Company's next annual general meeting of shareholders. The Company's directors are elected annually and, unless re-elected, retire from office at the end of the next annual meeting of shareholders. As a group, the directors and executive officers beneficially owned, or controlled or directed, directly or indirectly, a total of 155,551 Subordinate Voting Shares, representing in the aggregate 0.2% of all of the Company's issued and outstanding Subordinate Voting Shares, 0.4% of all of the Company's issued and outstanding Shares and 0.1% of the total voting power attached to all of the Company's issued and outstanding Shares as at March 24, 2026.

**Directors** 

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name and Province or**<br> **State**<br> **and Country of**<br> **Residence**  | **Age** | **Position(s)/Title** | **Director** **Since**  | **Principal Occupation** |
|  ÉLAINE BEAUDOIN<br>Québec, Canada | <br> 62 | <br> Director | <br> 2023 | <br> Vice-President and director of Beaudier Inc. |
|  PIERRE BEAUDOIN<sup>(1)(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Québec, Canada | <br> 63 | <br> Chair of the Board | <br> 2019 | <br> Corporate Director |
|  JOSHUA BEKENSTEIN<sup>(1)(2)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Massachusetts, U.S. | <br> 67 | <br> Director | <br> 2003 | <br> Senior Advisor Partner at BCI |
|  CHARLES BOMBARDIER<sup>(3)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Québec, Canada | <br> 52 | <br> Director | <br> 2020 | <br> Ph.D., Corporate Director |
|  ERNESTO M. HERNÁNDEZ<sup>(3) (4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; State of Mexico,<br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Mexico | <br> 68 | &nbsp;&nbsp; <br> Director | <br> 2020 | &nbsp;&nbsp; <br> Corporate Director |
|  KATHERINE KOUNTZE<sup>(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Massachusetts, U.S. | <br> 63 | &nbsp;&nbsp; <br> Director | <br> 2020 | &nbsp;&nbsp; <br> Chief Information Officer of Bose Corporation |
|  DENIS LE VOT<br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Québec, Canada | <br> 60 | &nbsp;&nbsp; <br> President and Chief Executive Officer and Director | <br> 2026 | &nbsp;&nbsp; <br> President and Chief Executive Officer of the Company |
|  NICHOLAS NOMICOS<sup>(3)(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Massachusetts, U.S. | <br> 63 | &nbsp;&nbsp; <br> Director | <br> 2016 | &nbsp;&nbsp; <br> Senior Advisor of Nonantum Capital Partners, LLC (a middle market private equity firm) |
|  EDWARD PHILIP<sup>(5)(6)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Florida, U.S. | <br> 60 | &nbsp;&nbsp; <br> Director | <br> 2005 | &nbsp;&nbsp; <br> Corporate Director |
|  MICHAEL ROSS<sup>(8)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Québec, Canada | <br> 66 | &nbsp;&nbsp; <br> Director | <br> 2022 | &nbsp;&nbsp; <br> Corporate Director |

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| | | | | |
|:---|:---|:---|:---|:---|
|  HILDEGARD MARIA WORTMANN<sup>(2)(4)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gruenwald, Germany | <br> 60 | <br> Director | <br> 2026 | <br> Corporate Director |
|  BARBARA J. SAMARDZICH<sup>(1)(7)(9)</sup><br>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Michigan, U.S. | <br> 67 | <br> Director | <br> 2017 | <br> Corporate Director |

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(1) Member of the Human Resources & Compensation Committee.

(2) Member of the Nominating Governance and Social Responsibility Committee.

(3) Member of the Investment and Risk Committee.

(4) Member of the Audit Committee.

(5) Chair of the Human Resources & Compensation Committee.

(6) Chair of the Nominating, Governance and Social Responsibility Committee.

(7) Chair of the Investment and Risk Committee.

(8) Chair of the Audit Committee.

(9) Lead Director.

**Executive Officers** 

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| | | |
|:---|:---|:---|
| **Name and Province or State and <br>Country of Residence** | **Age** | **Position(s)/Title** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; STÉPHANE BILODEAU<br> Québec, Canada | 59 | Chief Information Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PATRICK DUSSAULT<br> Québec, Canada | 56 | Executive Vice-President, Global Manufacturing Operations, Powersports |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MARTIN LANGELIER<br> Québec, Canada | 55 | Chief Legal Officer and Corporate Services |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; DENYS LAPOINTE<br> Québec, Canada | 64 | Chief Design Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ANNE LE BRETON<br> Québec, Canada | 54 | Executive Vice-President, People and Culture |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; DENIS LE VOT<br> Québec, Canada | 60 | President and Chief Executive Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SÉBASTIEN MARTEL<br> Québec, Canada | 54 | Chief Financial Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; JOSÉE PERREAULT<br> Québec, Canada | 63 | Chief Marketing Officer |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SANDY SCULLION<br> Québec, Canada | 58 | President, Powersports |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MINH THANH TRAN<br> Québec, Canada | 42 | Executive Vice-President, Global Corporate and Product Strategy |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; THOMAS UHR<br> Québec, Canada | 61 | Chief Technology Officer |

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**Biographies** 

The following are brief profiles of the directors and executive officers of the Company, including a description of each individual's principal occupation within the past five years.

***Non-Executive Directors***

*Élaine Beaudoin, Director* 

Ms. Élaine Beaudoin is Vice-President and director of Beaudier, a private holding company which holds Multiple Voting Shares, since 2019. She is a member of several other boards of directors, including

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Armtex Inc., Hebdo-litho, Bodycad Inc. and the J.Armand Bombardier Foundation. She also sat on the board of directors of Canam Group Inc. from 2000 to 2017 and chaired its Human Resources Committee and served as a member of its Audit Committee. From 1989 to 1998, she acted as Chief Executive Officer of Unifix Inc., a company specializing in the manufacturing of light-weight concrete panels. Ms. Élaine Beaudoin is a graduate of McGill University and a member of the Ordre des comptables professionnels agréés du Québec (Québec CPA Order). She holds the ICD.D designation from the Institute of Corporate Directors.

*Pierre Beaudoin, Chair of the Board of* *****Directors* 

Mr. Beaudoin is a corporate director and was appointed Chair of the Board of Directors of BRP on February 1, 2026. Mr. Beaudoin joined the Marine Products division of Bombardier Inc. in 1985. In 1990, he was appointed Vice-President, Product Development of the Sea-Doo/Ski-Doo division. In 1992, he was appointed Executive Vice-President of the Sea-Doo/Ski-Doo division of which he became President in January 1994. In April 1996, he was promoted to President and Chief Operating Officer of Bombardier Recreational Products. In February 2001, he was appointed President of Bombardier Aerospace Services Limited, Business Aircraft and he became President and Chief Operating Officer of Bombardier Aerospace Services Limited in October of the same year. On December 13, 2004, in addition to his duties as President and Chief Operating Officer of Bombardier Aerospace Services Limited, he was appointed Executive Vice-President of Bombardier Inc. and became a member of the board of directors of Bombardier Inc. In 2008, he was appointed President and Chief Executive Officer of Bombardier Inc. and served until 2015. He became Executive Chairman of the board of directors of Bombardier Inc. in February 2015 and Chairman of the board of directors in July 2017. Mr. Beaudoin previously served as a member of the board of directors of Power Corporation of Canada from 2005 until 2025. Mr. Beaudoin studied Business Administration at *Collège Jean-de-Brébeuf* and Industrial Relations at McGill University in Montréal.

*Joshua Bekenstein, Director* 

Mr. Bekenstein is a Senior Advisor Partner at Bain Capital Investors, LLC. ("BCI") Prior to joining BCI in 1984, Mr. Bekenstein spent several years at Bain & Company, Inc., where he was involved with companies in a variety of industries. Mr. Bekenstein is a member of the board of directors and the Human Resources and Compensation Committee of Dollarama Inc. He also serves as a director of Bright Horizons Family Solutions Inc., for which he is a member of the Compensation Committee. Mr. Bekenstein serves on the board of directors of Bob's Discount Furniture, Inc. and is a member of its People Committee. He was a member of the board of directors and the Nominating and Governance Committee of Canada Goose Holdings Inc. until 2023. Mr. Bekenstein received a Bachelor of Arts from Yale University and a Master of Business Administration (MBA) from Harvard Business School.

*Charles Bombardier, Ph.D., Director* 

Mr. Bombardier is a corporate director. He is also a Canadian innovator and venture capital investor with a distinguished career in engineering and innovation. He began his career in 1989 in Bombardier Inc.'s Recreational Products division (now BRP Inc.), where he played a key role in developing special product concepts. In 2006, he founded CB Ventures Inc., a seed capital firm dedicated to funding tech startups and creating new product prototypes, a firm he continues to lead. Mr. Bombardier is a member of the board of directors of Bombardier Inc. since 2019. From 2017 to 2019, the International Civil Aviation Organization (ICAO) retained his services as a senior consultant. In 2011, he completed a certificate in governance from Laval University. From 2013 to 2017, Mr. Bombardier was a special contributor to The Globe and Mail in Toronto. In 2015, he earned a master's degree in Innovation Management from the *École de technologie supérieure* (ÉTS). In 2024, he completed his Ph.D. in Mechanical Engineering at the University of Sherbrooke.

*Ernesto M. Hernández, Director* 

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Mr. Hernández is a corporate director who has over 40 years of engineering sales, marketing and operations experience in the automotive industry. After starting his career at General Motors (Mexico) in 1980 as a Development Engineer, he worked in several positions including Engineering Manager, Executive Engineer, and Marketing Director. In 2003, he was appointed Vice-President of General Motors de México and Executive Director of Sales, Service and Marketing, where he successfully led the commercial operations of various brands including Chevrolet, Buick, GMC and Cadillac. In 2011, he took the helm as the first Mexican national to be appointed President and Managing Director. He held this role until September 2019 and retired in January 2020. During his tenure, Ernesto M. Hernández managed both the commercial and manufacturing sides of General Motors' operations in Mexico, Central America and the Caribbean. He sits on the board of directors of Constellation Brands, Inc. and is Chairman of its Human Resources Committee and is a member of its Governance, Nominating and Responsibility Committee. He also sits on the board of directors of Dana Incorporated and is a member of its Compensation Committee and its Nominating and Corporate Governance Committee. He currently serves in various Chambers of Commerce and Business Councils. Mr. Hernández was an independent director on the board of directors of Grupo KUO, S.A.B. de C.V., DINE, S.A.B. de C.V., and Corporación Zapata, S.A. de C.V. He obtained a Bachelor of Science from *Instituto Politécnico Nacional* and he has also completed a Master of Science in Administration and a Master of Science in Management from the *Instituto Tecnológico Autónomo de México* and the Massachusetts Institute of Technology, respectively.

*Katherine Kountze, Director* 

Ms. Kountze is the Chief Information Officer (CIO) for Bose Corporation, a consumer retail company that develops sound solutions for entertainment, home audio, aviation, and automotive industries. She has held other various senior IT leadership positions across her over 25 years working in the technology field. Before joining Bose Corporation, Ms. Kountze was the CIO for DentaQuest, a company that provides oral health care benefits and delivers oral care, from 2021 to 2022. Between 2012 and 2021, Ms. Kountze was also Senior Vice-President and CIO for Eversource Energy, the largest provider of electric, gas and water services in the New England area of the United States, and prior to that, Ms. Kountze spent 2 years as the Vice-President and CIO for United Illuminating Company, an electric utility company in Connecticut. She previously served as the Chair for the Boston CIO Leadership Council and as a member of the Massachusetts Cybersecurity Council, stepping down from both roles in 2024. In 2025, she became a director of Unitil Corporation, a public utility company serving New England, and is a member of its Audit Committee. Ms. Kountze served on the board of The Children's Place Inc. and was a member of its Audit Committee from 2021 to 2024. She has won several awards including 2021 Top Women in Energy, 2021 Diversity Women Elite 100, Most Impactful Black Women in Boston 2021, 2017 CIO of the Year, and 2015 Women Leading Stem Award. Ms. Kountze holds a bachelor's degree in actuarial Math and Science and a master's degree in Computer Science. She also received a certification in Risk and Information Security Controls (CRISC) in 2023.

*Nicholas Nomicos, Director* 

Mr. Nomicos is a Senior Advisor of Nonantum Capital Partners, LLC, a middle market private equity firm that he founded with other executives in 2018. Prior to that, Mr. Nomicos was at BCI where he worked from 1999 to 2016 as an Operating Partner focused on investments in the manufacturing and consumer product sectors and as a Managing Director of Bain Capital Credit, LP, the credit arm of BCI. Previously, Mr. Nomicos was a senior corporate development and manufacturing executive at Oak Industries Inc., and he spent several years at Bain & Company, Inc. where he was an engagement manager. Mr. Nomicos serves on the board of directors and is a member of the Audit Committee of Dollarama Inc. He also sits on the board of two private companies, namely Christianbook, LLC as well as Luxury Brand Holdings, dba Ross-Simons, a multi-channel retailer based in the United-States. He received a Master of Business Administration (MBA) from Harvard Business School and a Bachelor of Science in Engineering from Princeton University.

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*Edward Philip, Director* 

Mr. Philip is a corporate director. He served as the Chief Operating Officer of Partners in Health (a non-profit health care organization) from 2013 until 2017. In addition, Mr. Philip was a Special Partner at Highland Consumer Fund (consumer-oriented private equity fund), serving in this role from 2013 until 2017. He served as Managing General Partner at Highland Consumer Fund from 2006 to 2013. Prior thereto, Mr. Philip served as President and Chief Executive Officer of Decision Matrix Group, Inc. (research and consulting firm) from 2004 to 2005. Prior to joining Decision Matrix Group, Inc., he held several positions at Terra Networks, S.A. (global Internet company), Lycos, Inc. (an Internet service provider and search company), The Walt Disney Company, and prior thereto Mr. Philip spent a number of years in investment banking. Mr. Philip is the Non-Executive Chairman of United Airlines Holdings, Inc. and sits on its Audit Committee, and is also Chairman of its Executive Committee and of its Nominating and Corporate Governance Committee. In addition, he is on the board of directors, a member of the Compensation Committee and Chairman of the Audit Committee of Strata Critical Medical, Inc., previously known as Blade Air Mobility, Inc., a time-critical logistics and medical services provider to the U.S. healthcare industry. From 2002 until 2023, he served on the board of directors of Hasbro, Inc. In 2025, Mr. Philip was named one of the Top Corporate Board Directors serving on a big publicly traded U.S. company by the Wall Street Journal. Mr. Philip received a B.S. in Economics and Mathematics from Vanderbilt University and holds a Master of Business Administration from Harvard Business School.

*Michael Ross, Director* 

Mr. Ross is a corporate director. He was Chief Financial Officer of Sesami Cash Management Technologies Corporation ("Sesami") from 2022 to 2023. In this role, he was responsible for all financial activities, corporate development, and strategic planning. Prior to joining Sesami, Mr. Ross was Chief Financial Officer of Dollarama Inc. for over a decade. Prior to that, Mr. Ross was CFO of Sanimax Industries, a rendering services company, and spent over 20 years in senior financial roles in the television and broadcasting industry. He began his career as an auditor with Ernst & Young. Mr. Ross is a member of the board of directors of Pixcom Inc. and the Fondation CHU Sainte-Justine. He was previously a member of the board of directors of Investissement Québec, la Fondation Marie-Vincent, Fondation Dr. Clown, Muscular Dystrophy Canada and FEI Québec Chapter, and was awarded the FEI Québec Tribute Award in 2025. Mr. Ross holds a bachelor's degree in commerce and a graduate diploma in accounting from Concordia University. He received the Fellow of the Order distinction (FCPA) in 2012.

*Hildegard Maria Wortmann, Director* 

Ms. Wortmann is a corporate director. She brings over 34 years of global experience in the automotive, luxury, and consumer goods industries. Ms. Wortmann has held senior leadership roles at BMW Group, Audi AG and Volkswagen Group, where she played a key role in product strategy, brand positioning and global sales. From 2019 to 2024, Ms. Wortmann served as member of the Board of Management, Sales and Marketing at AUDI AG, overseeing global commercial operations, while also contributing to Volkswagen AG's business strategy as a member of its Extended Executive Committee. Before that, she spent over 20 years at BMW Group, where she held key leadership roles. Ms. Wortmann began her career in the consumer goods sector at Unilever, where she worked on international marketing and brand management. She is currently a board member of Ferrovial SE, a multinational infrastructure company. She previously served on the boards of Volkswagen Financial Services AG and Porsche Holding, where she provided strategic oversight. Ms. Wortmann holds an MBA from the University of London and a Bachelor of Business Administration from Muenster University of Applied Sciences in Germany.

*Barbara J. Samardzich, Director* 

Ms. Samardzich is a corporate director. Ms. Samardzich previously held various senior leadership positions across her 26-year career with Ford Motor Company. Before retiring in 2016, she was the Vice-President and Chief Operating Officer of Ford Europe leading a team of over 30,000 employees. In previous years, she served as Vice-President, Product Development; Vice-President, Global Powertrain

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Engineering and held various roles in powertrain and vehicle engineering within Ford. She has also worked in various engineering roles at Westinghouse Electric Corporation. Ms. Samardzich sits on the board of directors of Adient plc (Ireland) and chairs its Human Capital and Compensation Committee and is a member of its Corporate Governance and Executive Committees. She is also a director of Amogy Inc. (a privately-held clean energy company) and serves as Chair of both the Compensation Committee and the Risk & Technology Committee, and is also a member of the Audit Committee. She served as a director of Velodyne LiDAR and as a member of its Audit Committee and Chair of its Compensation Committee until 2021 and as a director of AB SKF until 2022. She has won many awards including CBTNews "Leading Women in Automotive in 2019" and 2016 Automotive News Europe "25 Leading Women in the European Auto Industry". Ms. Samardzich holds a Bachelor of Science in Mechanical Engineering from the University of Florida, a Master of Science in Mechanical Engineering from Carnegie Mellon University, and a Master of Science in Engineering Management from Wayne State University.

***Executive Officer Who Also Serves as Director***

*Denis Le Vot, President and Chief Executive Officer* 

Mr. Le Vot joined BRP as President and Chief Executive Officer, and as a member of the Board of Directors, on February 1, 2026. He brings more than 30 years of international leadership experience within Renault Group, which he joined in 1990. Over the course of his career, Mr. Le Vot held a series of senior executive roles across Marketing, Sales, After-Sale Services, Operations, and Supply Chain management, with responsibilities spanning multiple countries, including France, Russia, Belgium, Turkey and the United States. Mr. Le Vot notably served as Head of the Renault brand in Russia for six years before being appointed Senior Vice-President and Chairman of the Eurasia Region in 2016. He subsequently became Senior Vice-President and Chairman of Nissan North America. In 2019, he returned to France as Senior Vice-President, Light Commercial Vehicles Business Unit for the Renault-Nissan-Mitsubishi Alliance and was appointed a member of Renault Group's Management Committee. In 2021, he was named Executive Vice-President and Chief Executive Officer of the Dacia brand, a position he held until his departure from Renault Group in 2025. Mr. Le Vot holds an engineering degree from the *École des Mines de Paris* (France).

***Executive Officers Who Do Not Serve as Directors***

*Stéphane Bilodeau, Chief Information Officer* 

Mr. Bilodeau joined BRP in 2022 as Chief Information Officer (CIO). Previously, he was CIO at the Business Development Bank of Canada (BDC) from 2017. Mr. Bilodeau began his career in information technology at Desjardins bank in 1988, and first became a Senior Vice-President at DMR Consulting, a subsidiary of Fujitsu, in 2000. More recently, he has occupied roles as Executive Vice-President of Operations (COO) at the Montreal Exchange (2007-2009), and joined the National Bank of Canada in 2010, where he headed the Bank's entire operations as COO from 2012 to 2015. He also led the development of the 2015 and 2016 editions of the FinTech Canada Forum, presented by Finance Montreal. Chairman of the Board of *La Maison du Père*, a foundation dedicated to helping Montreal's homeless, since 2015, he holds an Advanced Management degree from Harvard Business School, an MBA from HEC Montréal, and a bachelor's in IT Management from the *Université du Québec à Montréal*.

*Patrick Dussault, Executive Vice-President, Global Manufacturing Operations* 

In 2024, Mr. Dussault was named Executive Vice-President, Global Manufacturing Operations, temporarily adding Marine manufacturing to his oversight. In this role, Mr. Dussault is in charge of Powersports manufacturing operations in Canada, Mexico, and Finland, responsibilities he had previously assumed as Vice-President and General Manager, Manufacturing since 2021. Mr. Dussault joined BRP in 1996 as Manager, Industrial Engineering, Internal Fabrication, gaining a wide range of experience in the fields of manufacturing and logistics over the next decade. He first became a director in 2006, responsible for leading the establishment of BRP's first plant in Mexico, then for global manufacturing strategy and supply chain optimization in 2008. This led him to become a vice-president in 2014. Mr. Dussault

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obtained a bachelor's in Mechanical Engineering from the *École Polytechnique de Montréal* and an MBA from the *Université de Sherbrooke*.

*Martin Langelier, Chief Legal Officer and Corporate Services* 

Appointed Chief Legal Officer and Corporate Services in 2024, Mr. Langelier was named Chief Legal Officer in 2022, previously holding the title of Senior Vice-President, General Counsel & Public Affairs from 2014. He joined BRP in 2000 as a legal counsel for commercial transactions, rising to the position of Vice-President, General Counsel and Secretary in 2008. Previously, he worked in private practice for a major legal firm in Montreal. He currently serves on the board of directors of *Manufacturiers et Exportateurs du Québec*, a manufacturing trade association. Mr. Langelier has been recognized with an appointment to the Legal 500's GC Powerlist – Canada (2016), and a Lexpert Zenith award (2018), as a change agent in the field of law. He holds a Bachelor of Laws from the *Université de Sherbrooke*, and a Master of Business Administration in International Business from the Birmingham Business School, England.

*Denys Lapointe, Chief Design Officer* 

Named BRP's Chief Design Officer in 2022, Mr. Lapointe held the position of Senior Vice-President, Design, Innovation and Creative Services, starting in 2019. He joined BRP as a junior product designer for Sea-Doo in 1985, and became Vice-President, Design for Sea-Doo and Ski-Doo in 1995. In 2001, his portfolio was expanded to include all design and innovation activities for the company and he became Vice-President, Design & Innovation, then Executive Vice-President, Design & Innovation in 2008. Mr. Lapointe has been a member of the board of directors of the World Design Organization (WDO) since September 2025 for a two-year term. He is also a board member of the *Centre de Technologies Avancées (CTA) BRP – Université de Sherbrooke*. Mr. Lapointe and his team have received more than 200 \*International Design Awards (e.g. Red Dot, iF, Good Design (USA), Good Design Australia, Good Design Japan, IDEA). In 2017, he was inducted into the National Marine Manufacturers Association Canada Hall of Fame for his contributions to the marine industry, and named an emeritus member of the *Association des designers industriels du Québec* (ADIQ) in 2022. In July 2025, he and his team were awarded the honorary title of "Red Dot Design Team of the Year 2025" in Essen, Germany. He holds a Bachelor's in Environmental Design from the *Université du Québec à Montréal*.

*Anne Le Breton, Executive Vice-President, People and Culture* 

Ms. Le Breton was named Executive Vice-President, People and Culture in 2022, after having previously held the position of Senior Vice-President, Human Resources, from 2016. She joined BRP in 2002, from Bombardier Aerospace, to head human resources for BRP's International division, based in the Company's offices in Lausanne. In 2014, she took on worldwide responsibility for BRP people as Vice-President, Human Resources, for Global Sales and Consumer Experience, Product Engineering and Manufacturing Operations. She currently serves on the board of directors of Savaria Corporation, a global leader in the accessibility industry, and was on the board of Barrette Outdoor Living, North American leader in the outdoor product industry, from 2021 to 2022. Ms. Le Breton obtained a bachelor's in Industrial Relations from the *Université de Montréal*. 

*Sébastien Martel, Chief Financial Officer* 

Chief Financial Officer since 2014, Mr. Martel was previously Senior Vice-President, Strategy and Business Development from 2011. He joined BRP in 2004, as Director, Financial Information, and became Vice-President, Finance and Control, in 2007. In 2013, Mr. Martel piloted the Company's first public offering, on the Toronto Stock Exchange, which earned BRP the title of IPO of the year. In 2018, he successfully introduced BRP to a second stock exchange when the Company was listed on NASDAQ in the USA. Prior to joining BRP, Mr. Martel was a senior manager in audit at a major international

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accounting firm. He sits on the board of directors of TFI International, and is a CPA with a bachelor's degree and a diploma in Public Accountancy from McGill University.

*Josée Perreault, Chief Marketing Officer* 

Appointed Chief Marketing Officer in 2024, Ms. Perreault was named Executive Vice-President, Omnichannel, in 2022, having previously held the position of Senior Vice-President, Omnichannel Experience & Apparel from 2021. Ms. Perreault joined BRP in 2016 as Senior Vice-President, Can-Am On-Road. Prior to BRP, she worked at Oakley for over 20 years, beginning as a brand manager in 1994, and occupying a number of leadership positions in sales, marketing and general management, culminating in Senior Vice-President, World Business, from 2010. She has been a board member of ESG UQAM, a Montreal public French-language university since 2020. Previously, she served on the boards of Lumenpulse (2015-2017), WSP Global (2015-2018), and BonLook (2015-2022). Ms. Perreault holds a bachelor's in Urban Planning from the *Université du Québec à Montréal*, and a Master of Business Administration in Marketing from Concordia University.

*Sandy Scullion, President, Powersports* 

In 2022, Mr. Scullion was appointed President, Powersports, responsible for the profitability of this business, with a direct oversight on Global Retail and Services. In 2024, he temporarily added the marine businesses to his responsibilities. Previously, he had held the position of Senior Vice-President, Global Retail and Services for the Powersports Group from 2016. Mr. Scullion joined BRP in 1994 as a District Sales Manager. In the following years, he held various positions of increasing responsibility, becoming Vice-President of Parts, Accessories and Clothing (now Apparel) and Global Distribution in 2012, followed by Vice-President and Regional Manager of BRP's Western Europe, Middle East and Africa (WEMEA) region in 2014. He has wide experience in management within the Company, both in Europe and North America, including sales and network management, marketing, product development, and distribution and operations. Mr. Scullion obtained a bachelor's in Finance from *Université Laval* (Canada).

*Minh Thanh Tran, Executive Vice-President, Global Corporate and Product Strategy* 

In 2024, Mr. Tran was appointed Executive Vice-President, Global Corporate and Product Strategy. In this role, he is responsible for shaping our long-term global product strategy, and kept his responsibilities of corporate strategy and mergers and acquisitions (M&A). Mr. Tran was appointed Executive Vice-President, Corporate Strategy and LVHA Group in 2022. With this position, he has since led the establishment and operations of the joint-venture LVHA Manufacturing Company in Vietnam in addition to the global corporate strategy and transformation responsibilities he had undertaken from 2019, first as Vice-President, Corporate Strategy & Development and Global Transformation, then as Senior Vice-President. In the latter role, he successfully accomplished the implementation of the new North American ERP system. Mr. Tran joined BRP in 2017 as Director, Strategy and Mergers & Acquisitions. He began his career in the world of investment and corporate banking and worked at BMO Capital Markets, where he was involved in BRP's initial public offering in 2013. Prior to that, he was at Lazard Frères in New York. He holds a bachelor's in Finance from HEC Montréal.

*Thomas Uhr, Chief Technology Officer* 

In 2022, Mr. Uhr was appointed to the newly created role of Chief Technology Officer (CTO). Since 2018, he had been Senior Vice-President, Product Engineering & Manufacturing Operations for the Powersports Group. He joined BRP's European operations in 2014, as General Manager of BRP-Rotax in Austria, as well as Vice-President, Powertrain, and took on the additional responsibility of Vice-President, R&D/Operations for Lynx snowmobiles in 2017. Mr. Uhr began his career at Mercedes-Benz in Germany in 1992, becoming Director of Manufacturing at Ballard Power Systems, Canada, in 1998 (part-acquired by Daimler-Benz in 1997). He served as founding General Manager of MDC Power GmbH in 2001 – a Mercedes-Mitsubishi joint venture, and served as plant manager of Mercedes's Berlin operation from 2007. From 2011, he headed R&D prototyping and testing activities for Mercedes Cars. Mr. Uhr holds a degree (Dipl.-Ing.) in Production Technology Engineering from the University of Aachen (RWTH),

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Germany.

**Corporate Cease Trade Orders** 

None of the Company's directors or executive officers is, as at the date of this Annual Information Form, or has been, within the 10 years prior to the date of this Annual Information Form, a director, chief executive officer or chief financial officer of any company (including the Company) that, while such person was acting in that capacity (or after such person ceased to act in that capacity but resulting from an event that occurred while that person was acting in such capacity), was the subject of a cease trade order, an order similar to a cease trade order, or an order that denied the Company access to any exemption under securities legislation, in each case, for a period of more than 30 consecutive days.

**Bankruptcies** 

None of the Company's directors or executive officers is, as at the date of this Annual Information Form, or has been, within the 10 years prior to the date of this Annual Information Form, a director or executive officer of any Company (including the Company), that, while that person was acting in that capacity, or within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets, except for (i) Élaine Beaudoin who was a board member of Bodycad Laboratories Inc., since 2013, which was under the protection of the Companies' Creditors Arrangement Act ("CCAA") between December 22, 2022 and April 28, 2023, (ii) Joshua Bekenstein who was a director of Toys "R" Us, Inc. from 2005 to 2019, which filed for bankruptcy in September 2017, and who was from 2010 to 2017 a director of The Gymboree Corporation, which filed for bankruptcy in June 2017.

None of the Company's directors or executive officers has, within the 10 years prior to the date of this Annual Information Form, become bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency, or become subject to or instituted any proceedings, arrangement or compromise with creditors, or had a receiver, receiver manager or trustee appointed to hold its assets.

**Shareholder Bankruptcies** 

No shareholder holding a sufficient number of securities to affect materially the control of the Company is, as at the date of this Annual Information Form, or has been within 10 years before the date of this Annual Information Form, a director or executive officer of any corporation (including the Company) that, while that person was acting in that capacity, or within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets.

No shareholder holding a sufficient number of securities to affect materially the control of the Company, nor any personal holding company of any such person, has, within the 10 years before the date of this Annual Information Form, become bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency, or become subject to or instituted any proceedings, arrangement or compromise with creditors, or had a receiver, receiver manager or trustee appointed to hold the assets of the shareholder.

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**Securities Penalties or Sanctions** 

No director or executive officer of the Company or shareholder holding a sufficient number of securities of the Company to affect materially the control of the Company, nor any personal holding company of any such person, has:

● been subject to any penalties or sanctions imposed by a court relating to securities legislation or by a securities
regulatory authority or has entered into a settlement agreement with a securities regulatory authority; or

● been subject to any other penalties or sanctions imposed by a court or regulatory body that would likely be considered
important to a reasonable investor in making an investment decision.

**Conflicts of Interest** 

To the best of the Company's knowledge, there are no known existing or potential conflicts of interest among the Company and its directors, officers or other members of management as a result of their outside business interests except that certain of the Company's directors and officers serve as directors and officers of other companies, and therefore it is possible that a conflict may arise between their duties to the Company and their duties as a director or officer of such other companies. See "Directors and Officers" and "Interest of Management and Others in Material Transactions".

**Indemnification and Insurance** 

The Company has implemented a director and officer insurance program and has entered into indemnification agreements with each of its directors and executive officers. The indemnification agreements generally require that the Company indemnify and hold the indemnitees harmless to the greatest extent permitted by law for liabilities arising out of the indemnitees' service to the Company as directors and executive officers, provided that the indemnitees acted honestly and in good faith and in a manner the indemnitees reasonably believed to be in or not opposed to the Company's best interests and, with respect to criminal and administrative actions or proceedings that are enforced by monetary penalty, the indemnitees had no reasonable grounds to believe that his or her conduct was unlawful. The indemnification agreements also provide for the advancement of defense expenses to the indemnitees by the Company. The indemnification provisions do not however apply to any amounts that may be clawed back in accordance with the Company's Clawback Policy, which allows the Company to recover certain compensation or benefits from directors and officers under specific circumstances.

**LEGAL PROCEEDINGS AND REGULATORY ACTIONS** 

The Company is involved from time to time in legal proceedings and regulatory actions in the normal course of business and operations. A discussion of risks relating to claims and litigation appears under the heading "Risk Factors — The Company may be unable to protect its intellectual property or it may incur substantial costs as a result of litigation or other proceedings relating to protection of its intellectual property" in the 2026 MD&A.

**INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS** 

Other than as set out below or as described elsewhere in this Annual Information Form, none of (i) the directors or executive officers of the Company, (ii) the shareholders who beneficially own or control or direct, directly or indirectly, more than 10% of the voting shares of the Company, or (iii) any associate or affiliate of the persons referred to in (i) and (ii), has or has had any material interest, direct or indirect, in any transaction within the three most recently completed fiscal years or during the current fiscal year that has materially affected or is reasonably expected to materially affect the Company.

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**Reimbursement to Bombardier Inc., a company related to Beaudier Group** 

Pursuant to the purchase agreement entered into in 2003 in connection with the acquisition of the recreational products business of Bombardier Inc., the Company is required to reimburse to Bombardier Inc. income taxes that amounted to $22.4 million as of January 31, 2026. The reimbursement will begin when Bombardier Inc. starts making any income tax payments in Canada and/or the United States.

In addition, in connection with the above-mentioned transaction, the Company entered into a trademark license agreement whereby it has the right to continue to use certain trademarks of Bombardier Inc. that were not otherwise assigned to the Company in connection with such transaction, subject to certain conditions. The license allows the Company to use "Bombardier" in the corporate name of certain subsidiaries of the Company as long as, among other things, Beaudier Group maintains at least a 10% voting or equity interest in the Company.

**INDEPENDENT AUDITOR, TRANSFER AGENT AND REGISTRAR** 

The independent auditor of the Company is Deloitte LLP, 1190 avenue des Canadiens-de-Montréal, Suite 500, Montreal, Québec, H3B 0M7.

On January 29, 2026, the Company announced that, following a comprehensive request for proposal process led by its Audit Committee, PricewaterhouseCoopers LLP ("PwC") was appointed as the Company's external auditor for Fiscal 2027 and that following the completion of BRP's audited consolidated financial statements for the Fiscal 2026, Deloitte LLP will resign as BRP's external auditor, and PwC will be appointed to fill the vacancy until the 2026 annual meeting of the shareholders.

The transfer agent and registrar for the Subordinate Voting Shares and Multiple Voting Shares is Computershare Investor Services Inc. at their offices in Montreal and Toronto.

**MATERIAL CONTRACTS** 

The following are the only material contracts, other than those contracts entered into in the ordinary course of business, which the Company has entered into since the beginning of the last financial year ended January 31, 2026, or entered into prior to such date, but which are still in effect and that are required to be filed with Canadian securities regulatory authorities in accordance with Section 12.2 of *National Instrument – 51-102 Continuous Disclosure Obligations*. Each of the summaries below describes certain material provisions of the relevant material contract and is subject to, and qualified in its entirety by reference to, the relevant material contract, a copy of which is available on the SEDAR+ website at www.sedarplus.ca.

**Underwriting Agreements** 

On September 8, 2025, Bain Capital entered into an underwriting agreement with a syndicate of underwriters and the Company pursuant to which it sold 1,500,000 Subordinate Voting Shares of the Company at a price of $90.71 per Subordinate Voting Share for gross proceeds of $136,065,000. The Company did not receive any of the proceeds from the September 2025 Secondary Offering.

On December 23, 2025, Bain Capital entered into an underwriting agreement with a syndicate of underwriters and the Company pursuant to which it sold 1,850,000 Subordinate Voting Shares of the Company at a price of $100.00 per Subordinate Voting Share for gross proceeds of $185,000,000. The Company did not receive any of the proceeds from the December 2025 Secondary Offering.

**Term Facility** 

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Pursuant to a fourth amended and restated credit agreement entered into between a syndicate of lenders and subsidiaries of the Company on May 23, 2018, term facilities were made available to Bombardier Recreational Products Inc. in U.S. dollars (as amended from time to time, the "Term Facility").

On December 13, 2022, the Company entered into an amendment to the Term Facility which provided for an incremental US$500.0 million tranche under its Term Facility (then referred to as the "Term Loan B-2"). This new tranche had a December 2029 maturity and, consistent with the existing tranche of the Term Facility, was not subject to any financial covenants. The proceeds therefrom, along with cash from its balance sheet, were used to repay, in full, the then outstanding US$100.0 million Term Loan B-2 as well as outstanding borrowings under the Revolving Credit Facilities.

On October 4, 2023, the Company entered into an amendment to the Term Facility whereby it refinanced the then outstanding US$496 million Term Loan B-2 due December 2029, going from a rate of Term SOFR plus 3.50% to a rate of Term SOFR plus 2.75% (the current "Term Loan B-2"), effectively reducing its cost of borrowing by 0.75%, with all other terms remaining unchanged.

On January 22, 2024, the Company entered into an amendment to the Term Facility providing for a US$1,000.0 million tranche under its Term Facility, bearing interest at a rate of Term SOFR plus 2.75% with a Term SOFR floor of 0.0% (the "Term Loan B-3"). The existing holders of US$954 million principal amount of the then outstanding US$1,465 million Term Loan B-1 due May 2027 agreed to exchange their debt for debt under this new tranche, and an incremental loan of US$45.8 million was extended under that new tranche. The new tranche has a January 2031 maturity and, consistent with the existing tranches of the Term Facility, is not subject to any financial covenants. Other than the outstanding amount of the Term Loan B-1, which decreased from US$1,466 million to US$466 million, all other terms of the Term Loan B-1 remained unchanged including the applicable interest of 200 basis points over Term SOFR with a Term SOFR floor of 0.0% (the then current "Term Loan B-1").

On October 1, 2025, the Company entered into an amendment to the Term Facility whereby it fully repaid the then outstanding US$466 million Term Loan B-1, using US$200.7 million of available liquidity, an incremental loan of US $88 million under the Term Loan B-2 tranche due December 2029, and an incremental loan of US $177 million under the existing Term Loan B-3 tranche due January 2031. Concurrently, the interest rate applicable to the Term Loan B-2 and the Term Loan B-3 was reduced by 0.50%, to Term SOFR + 2.25%, with all other terms remaining substantially unchanged.

**Security holders Agreements** 

In connection with the IPO on May 29, 2013, the Beaudier Group, Bain Capital, La Caisse and the Company entered into a nomination rights agreement (the "Nomination Rights Agreement"), an amended and restated registration rights agreement (the "Registration Rights Agreement") and the Coattail Agreement.

**Nomination Rights Agreement** 

The Nomination Rights Agreement provides that Beaudier Group, Bain Capital and La Caisse shall cast all votes to which they are entitled to fix the size of the Board of Directors at 13 members and to elect members of the Board in accordance with the provisions thereof. The Beaudier Group, Bain Capital and La Caisse have certain rights to designate members of the Board of Directors. As of the date of this Annual Information Form, Bain Capital, Beaudier Group and La Caisse are entitled to designate three, three and one member(s) of the Board of Directors, respectively, under the terms of the Nomination Rights Agreement.

**Registration Rights Agreement** 

The Registration Rights Agreement provides for demand registration rights in favour of the parties to the Registration Rights Agreement that enable them to require the Company to qualify by prospectus in Canada or, following the one-year anniversary of the closing of the IPO and subject to certain conditions,

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the United States, all or any portion of the Shares held by them for a distribution to the public, provided such demand will result in a minimum offering size of $50 million.

The Registration Rights Agreement also provides for incidental registration rights allowing the parties to the Registration Rights Agreement to include their Subordinate Voting Shares in certain public offerings of Subordinate Voting Shares, subject to certain underwriters' cutback rights.

**Coattail Agreement** 

See "Description of the Capital Structure — Shares — Take-Over Bid Protection" for a description of the Coattail Agreement.

**INTEREST OF EXPERTS** 

The current independent auditor of the Company, Deloitte LLP, who has issued an auditor's report dated March 25, 2026 in respect of the Company's consolidated financial statements, which comprise the consolidated statements of financial position as at January 31, 2026 and January 31, 2025 and the consolidated statements of net income, consolidated statements of comprehensive income, consolidated statements of changes in equity and consolidated statements of cash flows for the years then ended, is independent with respect to the Company within the meaning of the Code of Ethics of the *Ordre des comptables professionnels agréés du Québec* and within the meaning of the Securities Act of 1933, as amended and the applicable rules and regulations thereunder adopted by the Securities and Exchange Commission and the Public Company Accounting Oversight Board (United States).

**AUDIT COMMITTEE** 

**Charter of the Audit Committee** 

The Board of Directors has adopted a written charter (the "Charter of the Audit Committee") describing the mandate of the audit committee of the Company (the "Audit Committee"). The Charter of the Audit Committee reflects the purpose of the Audit Committee, which is to assist the Board of Directors in fulfilling its oversight responsibilities with respect to ensuring the effectiveness and adequacy of the disclosure of controls and procedures over financial reporting and non-financial reporting, ensuring that adequate procedures are in place for the review of the Company's public disclosure documents that contain financial information, including Sustainability-ESG-related disclosure documents, ensuring that an effective internal audit process has been implemented, ensuring that an effective risk management and financial control framework has been implemented and tested by the Company's management, providing better communication between directors, management, internal auditors and external auditors, overseeing the work and reviewing the independence of the external auditors, and reporting to the Board of Directors on any outstanding issue. The Audit Committee also reviews significant accounting and reporting issues, including unusual or sensitive matters such as disclosure of related party transactions, and has oversight of information technology security and control, as well as of cybersecurity and data protection as a whole, and not just with respect to internal controls. The text of the Charter of the Audit Committee is attached to this Annual Information Form as Appendix A.

**Composition of the Audit Committee** 

As set forth in the Charter of the Audit Committee, the Audit Committee must be composed of a minimum of three directors, each of whom needs to be independent and to meet the criteria for financial literacy established by applicable laws, including National Instrument 52-110 – *Audit Committees*. As of the date hereof, the Audit Committee is composed of Mss. Kountze and Wortmann and Messrs. Hernández, Ross and Nomicos, all of whom are independent and meet the criteria for financial literacy established by applicable laws, including National Instrument 52-110 – *Audit Committees*. Mr. Ross is the Chair of the Audit Committee since May 2024.

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**Relevant Education and Experience of the Audit Committee Members** 

Each of the Audit Committee members has an understanding of the accounting principles used by the Company to prepare its financial statements and varied experience as to the general application of such accounting principles, as well as an understanding of the internal controls and procedures necessary for financial reporting.

The education and experience of each Audit Committee member that is relevant to the performance of his responsibilities as an Audit Committee member is as follows:

***Mr. Michael Ross (Chair)*** is a corporate director. He was Chief Financial Officer of Sesami Cash Management Technologies Corporation ("Sesami") from 2022 to 2023. In this role, he was responsible for all financial activities, corporate development, and strategic planning. Prior to joining Sesami, Mr. Ross was Chief Financial Officer of Dollarama Inc. for over a decade. Prior to that, Mr. Ross was CFO of Sanimax Industries, a rendering services company, and spent over 20 years in senior financial roles in the television and broadcasting industry. He began his career as an auditor with Ernst & Young. Mr. Ross is a member of the board of directors of Pixcom Inc. and the Fondation CHU Sainte-Justine. He was previously a member of the board of directors of Investissement Québec, la Fondation Marie-Vincent, Fondation Dr Clown, Muscular Dystrophy Canada and FEI Québec Chapter, and was awarded the FEI Québec Tribute Award in 2025. Mr. Ross holds a bachelor's degree in commerce and a graduate diploma in accounting from Concordia University. He received the Fellow of the Order distinction (FCPA) in 2012.

***Mr. Ernesto M. Hernández*** is a corporate director who has over 40 years of engineering sales, marketing and operations experience in the automotive industry. After starting his career at General Motors (Mexico) in 1980 as a Development Engineer, he worked in several positions including Engineering Manager, Executive Engineer, and Marketing Director. In 2003, he was appointed Vice-President of General Motors de México and Executive Director of Sales, Service and Marketing, where he successfully led the commercial operations of various brands including Chevrolet, Buick, GMC and Cadillac. In 2011, he took the helm as the first Mexican national to be appointed President and Managing Director. He held this role until September 2019 and retired in January 2020. During his tenure, Ernesto M. Hernández managed both the commercial and manufacturing sides of General Motors' operations in Mexico, Central America and the Caribbean. He sits on the board of directors of Constellation Brands, Inc. and is Chairman of its Human Resources Committee and is a member of its Governance, Nominating and Responsibility Committee. He also sits on the board of directors of Dana Incorporated and is a member of its Compensation Committee and its Nominating and Corporate Governance Committee. He currently serves in various Chambers of Commerce and Business Councils. Mr. Hernández was an independent director on the board of directors of Grupo KUO, S.A.B. de C.V., DINE, S.A.B. de C.V., and Corporación Zapata, S.A. de C.V. He obtained a Bachelor of Science from *Instituto Politécnico Nacional* and he has also completed a Master of Science in Administration and a Master of Science in Management from the *Instituto Tecnológico Autónomo de México* and the Massachusetts Institute of Technology, respectively.

***Ms. Katherine Kountze*** is the Chief Information Officer (CIO) for Bose Corporation, a consumer retail company that develops sound solutions for entertainment, home audio, aviation, and automotive industries. She has held other various senior IT leadership positions across her over 25 years working in the technology field. Before joining Bose Corporation, Ms. Kountze was the CIO for DentaQuest, a company that provides oral health care benefits and delivers oral care, from 2021 to 2022. Between 2012 and 2021, Ms. Kountze was also Senior Vice-President and CIO for Eversource Energy, the largest provider of electric, gas and water services in the New England area of the United States, and prior to that, Ms. Kountze spent 2 years as the Vice-President and CIO for United Illuminating Company, an electric utility company in Connecticut. She previously served as the Chair for the Boston CIO Leadership Council and as a member of the Massachusetts Cybersecurity Council, stepping down from both roles in 2024. In 2025, she became a director of Unitil Corporation, a public utility company serving New England, and is a member of its Audit Committee. Ms. Kountze served on the board of The Children's Place Inc. and was a member of its Audit Committee from 2021 to 2024. She has won several awards including 2021 Top Women in Energy, 2021 Diversity Women Elite 100, Most Impactful Black Women in

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Boston 2021, 2017 CIO of the Year, and 2015 Women Leading Stem Award. Ms. Kountze holds a bachelor's degree in actuarial Math and Science and a master's degree in Computer Science. She also received a certification in Risk and Information Security Controls (CRISC) in 2023.

***Mr. Nicholas Nomicos*** is a Senior Advisor of Nonantum Capital Partners, LLC, a middle market private equity firm that he founded with other executives in 2018. Prior to that, Mr. Nomicos was at BCI where he worked from 1999 to 2016 as an Operating Partner focused on investments in the manufacturing and consumer product sectors and as a Managing Director of Bain Capital Credit, LP, the credit arm of BCI. Previously, Mr. Nomicos was a senior corporate development and manufacturing executive at Oak Industries Inc., and he spent several years at Bain & Company, Inc. where he was an engagement manager. Mr. Nomicos serves on the board of directors and is a member of the Audit Committee of Dollarama Inc. He also sits on the board of two private companies, namely Christianbook, LLC as well as Luxury Brand Holdings, dba Ross-Simons, a multi-channel retailer based in the United-States. He received a Master of Business Administration (MBA) from Harvard Business School and a Bachelor of Science in Engineering from Princeton University.

***Ms. Hildegard Maria Wortmann*** is a corporate director who brings over 34 years of global experience in the automotive, luxury, and consumer goods industries. Ms. Wortmann has held senior leadership roles at BMW Group, Audi AG and Volkswagen Group, where she played a key role in product strategy, brand positioning and global sales. From 2019 to 2024, Ms. Wortmann served as member of the Board of Management, Sales and Marketing at AUDI AG, overseeing global commercial operations, while also contributing to Volkswagen AG's business strategy as a member of its Extended Executive Committee. Before that, she spent over 20 years at BMW Group, where she held key leadership roles. Ms. Wortmann began her career in the consumer goods sector at Unilever, where she worked on international marketing and brand management. She is currently a board member of Ferrovial SE, a multinational infrastructure company. She previously served on the boards of Volkswagen Financial Services AG and Porsche Holding, where she provided strategic oversight. Ms. Wortmann holds an MBA from the University of London and a Bachelor of Business Administration from Muenster University of Applied Sciences in Germany.

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**Independent Auditor Fees** 

In Fiscal 2026 and Fiscal 2025, the Company was invoiced the following fees by its independent auditor, Deloitte LLP:

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| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fiscal 2026 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fiscal 2025 |
|  Audit Fees<sup>(1)</sup> | $4616287 | $5525987 |
|  Audit Related Fees<sup>(2)</sup> | 962031 | 936518 |
|  Tax Fees<sup>(3)</sup> | 177770 | 172128 |
|  All Other Fees<sup>(4)</sup> | 17000 |  |
|  **Total Fees Paid** | **5773088** | **6634633** |

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(1) "Audit Fees" include fees necessary to perform the annual audit or reviews of the consolidated financial
statements.

(2) "Audit Related Fees" include fees for assurance and related services by the independent auditor that are
reasonably related to the performance of statutory audit or review of the Company's financial statements other than those included in "Audit Fees," such as consultation on accounting and reporting matters.

(3) "Tax Fees" include fees for all tax services other than those included in "Audit Fees" and
"Audit-Related Fees". This category includes fees for tax compliance, tax advice and tax planning.

(4) "Other Fees" include fees for products and services provided by the independent auditor other than those
included above.

The Audit Committee is responsible for the pre-approval of all and any non-audit services to be provided to the Company or its subsidiary entities by the independent auditor. At least annually, the Audit Committee shall review and confirm the independence of the independent auditor.

**ADDITIONAL INFORMATION** 

Additional information relating to the Company may be found on the Company's website at www.brp.com, on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov.

Additional information, including, without limitation, directors' and officers' remuneration and indebtedness, principal holders of the Company's securities and securities authorized for issuance under equity compensation plans, will be contained in the Company's information circular for its annual meeting of shareholders.

Additional information is provided in the audited consolidated financial statements and management's discussion and analysis of the Company for Fiscal 2026.

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**GLOSSARY OF TERMS** 

"**2026 MD&A**" has the meaning set out under the heading "Explanatory Notes – IFRS and Non-IFRS Measures".

"**3WV**" means 3-wheeled vehicle.

"**Alumacraft**" has the meaning set out under the heading "General Development of the Business".

"**Annual Information Form**" means this annual information form of the Company dated March 25, 2026.

"**April 2024 Secondary Offering**" has the meaning set out under the heading "General Development of the Business".

"**ATV**" means all-terrain vehicle.

"**Audit Committee**" means the audit committee of the Company.

"**Bain Capital**" referred to certain investment funds affiliated with BCI. Any references to Bain Capital after December 21, 2021, shall mean Bain Capital Integral Investors II, L.P.

"**BCI**" means Bain Capital Investors, LLC.

"**Beaudier Group**" means, collectively, Beaudier Inc. and 4338618 Canada Inc.

"**Board**" or "**Board of Directors**" means the board of directors of the Company.

"**BRP Experiences**" has the meaning set out under the heading "General Development of the Business".

"**La Caisse**" means the Caisse de dépôt et placement du Québec, and includes any of its affiliates.

"**Charter of the Audit Committee**" means the written charter describing the mandate of the Audit Committee, as adopted and amended by the Board of Directors upon the recommendation of the Audit Committee.

"**Coattail Agreement**" means the coattail agreement entered into by the Beaudier Group, Bain Capital and La Caisse, as the owners of all the outstanding Multiple Voting Shares, the Company and a trustee on May 29, 2013.

"**Company**" means BRP Inc. and its direct and indirect subsidiaries and predecessors or other entities controlled by them, unless otherwise noted or the context otherwise requires.

"**Convertible Securities**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

"**December 2025 Secondary Offering**" has the meaning set out under the heading "General Development of the Business".

"**Distributed Securities**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

"**Distribution**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

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"**ESG**" has the meaning set out under the heading "Explanatory Notes — Sustainability".

"**EV**" means Electric Vehicles.

"**Fiscal 2022**" means the Company's fiscal year ending January 31, 2022.

"**Fiscal 2023**" means the Company's fiscal year ending January 31, 2023.

"**Fiscal 2024**" means the Company's fiscal year ending January 31, 2024.

"**Fiscal 2025**" means the Company's fiscal year ending January 31, 2025.

"**Fiscal 2026**" means the Company's fiscal year ending January 31, 2026.

"**Fiscal 2027**" means the Company's fiscal year ending January 31, 2027.

"**hp**" means horsepower.

"**IFRS**" means the IFRS<sup>®</sup> Accounting Standards as issued by the International Accounting Standards Board.

"**International**" means all jurisdictions other than Canada and the United States.

"**Investment and Risk Committee**" means the investment and risk committee of the Company.

"**IPO**" means the initial public offering of the Company which closed on May 29, 2013.

"**IT**" has the meaning set out under the heading "Business of the Company and its industry — Information Technology".

"**January 2024 Secondary Offering**" has the meaning set out under the heading "General Development of the Business".

"**Juárez 1**" has the meaning set out under the heading "Business of the Company and its industry — Manufacturing Facilities and Operations".

"**Juárez 2**" has the meaning set out under the heading "Business of the Company and its industry — Manufacturing Facilities and Operations".

"**Juárez 3**" has the meaning set out under the heading "Business of the Company and its industry — Manufacturing Facilities and Operations".

"**LVHA Group**" has the meaning set out under the heading "General Development of the Business".

"**Marine businesses**" means the Company's boat manufacturing operations, including Alumacraft, Manitou, Telwater, and related Marine parts, accessories and apparel.

"**Megatech**" has the meaning set out under the heading "Overview of the Company — Employees".

"**M28**" or "Mission 2028" has the meaning set out under the heading "Business of the Company and its industry — Strategic Priorities"

"**Multiple Voting Shares**" means multiple voting shares in the capital of the Company.

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"**MSRP**" means manufacturer suggested retail price as set out under the heading "Business of the Company and its industry — BRP Brands and Products — Powersports – Year-Round Products".

"**Nasdaq**" has the meaning set out under the heading "Public Offerings and Other Transactions".

"**Nomination Rights Agreement**" means the nomination rights agreement entered into by the Company and the Beaudier Group, Bain Capital and La Caisse on May 29, 2013.

"**North America**" means Canada and the United States, and excludes Mexico.

"**OEM**" means original equipment manufacturer.

"**ORV**" means off road vehicle.

"**PA&A**" means parts, accessories and apparel and other services sold to third parties.

"**Person**" means any individual, partnership, corporation, company, association, trust, joint venture or limited liability company.

"**Pinion**" has the meaning set out under the heading "General Development of the Business".

"**Powersports Products**" means Year-Round Products, Seasonal Products and Powersports PA&A, Rotax OEM engines for karts, recreational aircraft and jet boats, and Pinion gearboxes and Boats.

"**Preferred Shares**" means preferred shares in the capital of the Company.

"**PWC**" means personal watercraft.

"**Registration Rights Agreement**" means the amended and restated registration rights agreement entered into by the Company and the Beaudier Group, Bain Capital and La Caisse on May 29, 2013.

"**Revolving Credit Facilities**" means the third amended and restated credit agreement entered into by subsidiaries of the Company on May 23, 2018 (as amended on March 14, 2019, May 4, 2021, February 16, 2022, June 14, 2022 and May 10, 2024) pursuant to which credit facilities in the aggregate principal amount of $1.5 billion have been made available to Bombardier Recreational Products Inc. and BRP Inc.

"**Rights to Subscribe**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

"**Seasonal Products**" means *Ski-Doo* and *Lynx* snowmobiles, *Sea-Doo* PWCs and *Sea-Doo Switch* pontoons.

**"September 2025 Secondary Offering**" has the meaning set out under the heading "General Development of the Business".

"**Shares**" means, collectively, the Subordinate Voting Shares and the Multiple Voting Shares.

"**SSV**" means side-by-side vehicle.

"**Subordinate Voting Shares**" means subordinate voting shares in the capital of the Company.

"**Subscription Securities**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

"**Tax Act**" means the *Income Tax Act* (Canada) and the regulations thereunder, as amended.

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"**Telwater**" has the meaning set out under the heading "General Development of the Business".

"**Term Facility**" has the meaning set out under the heading "Material contracts — Term Facility".

"**Term Loan B-1**" has the applicable meaning set out under the heading "Material Contracts — Term Facility", as amended from time to time.

"**Term Loan B-2**" has the applicable meaning set out under the heading "Material Contracts — Term Facility", as amended from time to time.

"**Term Loan B-3**" has the applicable meaning set out under the heading "Material Contracts — Term Facility", as amended from time to time.

"**TSX**" means the Toronto Stock Exchange.

"**Uncharted Society**" has the meaning set out under the heading "General Development of the Business".

"**Voting Shares**" has the meaning set out under the heading "Description of the Capital Structure — Shares — Subscription Rights".

"**VSS**" has the meaning set out under the heading "Business of the Company and its Industry — BRP Brands and Products — Powersports — Year-Round Products".

"**Year-Round Products**" means *Can-Am* ATVs, SSVs, 3WVs and electric motorcycles.

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**APPENDIX A** 

**CHARTER OF THE AUDIT COMMITTEE** 

**1.0** **Introduction** 

This charter (the **"**Charter**"**) sets forth the purpose, composition, responsibilities and authority of the Audit Committee (the **"**Committee**"**) of the Board of Directors (the **"**Board**"**) of BRP Inc. (the **"**Corporation**"**).

**2.0** **Purpose** 

The purpose of the Committee is to assist the Board in fulfilling its oversight responsibilities with respect to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Financial reporting and disclosure requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Ensuring that an effective risk management and financial control framework has been implemented and tested by management
of the Corporation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• External and internal audit processes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Helping directors meet their responsibilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Providing better communication between directors and the external auditor as well as between directors and the internal
audit function;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Ensuring the independence of the external auditor and the internal audit function;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Increasing the credibility and objectivity of financial reports; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Strengthening the role of directors by facilitating in-depth discussions among
directors, management, the external auditor and the internal audit function regarding significant issues involving judgment and impacting quality controls and reporting.

**3.0** **Composition and Membership** 

(a) The Board will appoint the members (**"**Members**"**) of the Committee. The Members will be appointed at the first meeting of the Board following the election of directors by the shareholders of the Corporation to hold office until the next annual meeting of shareholders of the Corporation or until their successors are appointed. The Board may remove a Member at any time and may fill any vacancy occurring on the Committee. A Member may resign at any time and a Member will automatically cease to be a Member upon ceasing to be a director.

(b) The Committee will consist of at least three directors. Each Member will meet the criteria for independence established by applicable laws, including sections 1.4 and 1.5 of National Instrument 52-110 – Audit Committees. All members shall be financially literate or shall become financially literate within a reasonable period of time after their appointment to the Committee; a member of the Committee is financially literate if he or she has the ability to read and understand a set of financial statements that present a breadth and level of complexity of accounting issues that are generally comparable to the breadth and complexity of the issues that can reasonably be expected to be raised by the Corporation's financial statements.

(c) The Board will appoint one of the Members to act as the chair of the Committee (the **"**Chair**"**). The secretary of the Corporation (the **"**Secretary**"**) will be the secretary of all meetings and will maintain minutes of all meetings and deliberations of the Committee. If the Secretary is not in attendance at any

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meeting, the Committee will appoint another person who may, but need not, be a Member to act as the secretary of that meeting.

**4.0** **Meetings** 

(a) Meetings of the Committee will be held at such times and places as the Chair may determine, but in any event not less than four (4) times per year. The Committee should meet within the 45 days following the end of the first three fiscal quarters of the Corporation and within 90 days following the end of the fiscal year of the Corporation. Members may attend all meetings either in person, by videoconference or by telephone. The Committee shall keep minutes of each meeting.

(b) At the request of the external auditor of the Corporation, the Chief Executive Officer, the Chief Financial Officer, the Chief Audit Executive, the General Counsel, the Chair of the Investment and Risk Committee or any Member, the Chair will convene a meeting of the Committee. Any such request will set out in reasonable detail the business proposed to be conducted at the meeting so requested.

(c) The Chair, if present, will act as the chair of meetings of the Committee. If the Chair is not present at a meeting of the Committee the Members in attendance may select one of their members to act as chair of the meeting.

(d) A majority of Members will constitute a quorum for a meeting of the Committee. Each Member will have one vote and decisions of the Committee will be made by an affirmative vote of the majority. The Chair will not have a deciding or casting vote in the case of an equality of votes. Powers of the Committee may also be exercised by written resolutions signed by all Members.

(e) The Chief Financial Officer and the Chief Audit Executive shall have direct access to the Committee and shall attend all meetings of the Committee, and the Chief Executive Officer and the Chair of the Board shall receive notice of and have the right to attend all meetings of the Committee, except in each case such part of the meeting, if any, which is a private session not involving all or some of these officers as determined by the Committee. The external auditor shall receive notice of and have the right to attend any meetings of the Committee, at the Corporation's expense, except such part of the meeting, if any, which is a private session not involving the external auditor.

(f) The Committee shall maintain a free and open line of communication with management, the Chief Financial Officer, the Chief Audit Executive and the external auditor. The Committee may invite directors, officers, consultants and employees of the Corporation or any other person to attend meetings of the Committee to assist in the discussion and examination of the matters under consideration by the Committee. The Committee shall meet in camera without members of management in attendance or with the Chief Financial Officer or the Chief Audit Executive on a regular basis and as appropriate or required.

(g) In advance of every meeting of the Committee, the Chair, with the assistance of the Secretary, the Chief Financial Officer and the Chief Audit Executive, should prepare and distribute to the Members and others as deemed appropriate by the Chair, an agenda of matters to be addressed at the meeting together with appropriate briefing materials.

**5.0** **Duties and Responsibilities** 

The Committee will carry out, among other things, the following responsibilities:

**5.1** **Financial Statements and Reporting** 

• Assist the Board in the discharge of its oversight responsibilities to the shareholders, potential shareholders, the investment community, and others relating to the Corporation's financial statements and its financial reporting practices and system of internal accounting and financial controls, the corporate audit and risk assessment function, the management information systems, the annual external audit of

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the Corporation's financial statements and the compliance by the Corporation with laws and regulations and its own Code of Ethics.

• Review significant accounting and reporting issues, including complex or unusual material transactions and highly judgmental areas, unusual or sensitive matters such as disclosure of related party transactions, significant non-recurring events, significant risks and changes in provisions, estimates or provisions included in any financial statements, and recent professional and regulatory pronouncements, and understand their impact on and presentation in the financial statements.

• Review and discuss with management and the external auditor the results of the audit, including any difficulties encountered and follow-up in that context and ensure that the external auditor is satisfied that the accounting estimates and judgments made by management's selection of accounting principles reflect an appropriate application of generally accepted accounting principles.

• Review the financial statements, and consider whether they are complete, adequate, consistent with information known to the Members, and reflect appropriate accounting principles and, if appropriate, recommend to the Board their approval and disclosure.

• Review the Corporation's management discussion and analysis, and other financial information provided by the Corporation to any governmental body or the public and, if appropriate, recommend to the Board their approval and disclosure.

• Review the Corporation's annual information form and related regulatory filings before release to the extent that same include financial information, and consider the accuracy and completeness of the financial information contained therein and, if appropriate, recommend to the Board their approval and disclosure.

• Review the Corporation's CSR/ESG related reports and disclosure documents before being publicly released or provided by the Corporation to any governmental or regulatory body, and consider the adequacy and completeness of the financial information contained therein.

• Review the Corporation's press releases containing financial information before the Corporation publicly discloses this information and, if appropriate, recommend to the Board their approval and disclosure.

• Review and discuss with management any litigation matters which could significantly affect the financial statements, and review the manner in which these matters are disclosed in the financial statements.

• Review and discuss any regulatory compliance issues which could significantly affect the financial statements.

• Review and discuss any corporate governance issues which could significantly affect the financial statements.

• Review with management and the external auditor all matters required to be communicated to the Committee under generally accepted auditing standards.

• Understand how management develops interim financial information, and the nature and extent of internal and external auditor involvement.

• Review interim financial reports with management and the external auditor before disclosure and filing with regulators, and consider whether they are complete and consistent with the information known to the Members and reflect appropriate accounting principles and, if appropriate, recommend to the Board their approval and disclosure.

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• To the extent not previously reviewed by the Committee, review and, if appropriate, recommend to the Board the approval of all financial statements included in any prospectus or other offering memoranda and all other financial reports required by regulatory authorities and requiring approval by the Board.

• Review the statement of management's responsibility for the financial statements as signed by the management of the Corporation and included in any published document.

• Obtain explanations for communication to the Board for all significant variances between comparable reporting periods.

• Ensure that adequate procedures are in place for the review of the Corporation's public disclosure of financial information extracted or derived from the Corporation's financial statements and periodically assess the adequacy of those procedures.

• Monitor the application and update, as necessary, of the Corporation's Disclosure Policy.

**5.2** **Internal Control** 

• With the assistance of the external auditor, the Chief Financial Officer and the Chief Audit Executive, consider the effectiveness and the adequacy of the Corporation's internal control systems.

• Take all reasonable measures to ensure that the Board and management comply with all of the Corporation's policies or practices relating to business ethics and integrity (including the Authorities and Limits Policy and the Segregation of Duties Policy).

• Understand the scope of internal and external auditor's review of internal control over financial reporting, and obtain reports on any identified weaknesses, deficiencies or significant findings and recommendations, together with management's responses and actions taken to remedy the issues identified.

• Review and discuss with the Chief Executive Officer and Chief Financial Officer the process for the certifications to be provided in the Corporation's public disclosure documents.

• Review, monitor, report, and assess the effectiveness and adequacy of, and, where appropriate, provide recommendations to the Board of Directors on, the Corporation's disclosure of controls and procedures over financial reporting as well as non-financial reporting.

**5.3** **External Audit** 

• Manage the relationship between the Corporation and the external auditor.

• Recommend to the Board the appointment or discharge and compensation of the Corporation's external auditor.

• Fill the role as the direct contact for the external auditor.

• Oversee the work of the external auditor, including the resolution of disagreements between the external auditor and management.

• Review any suggestions made by the external auditor for improvement of the Corporation's operations or internal control.

• Pre-approve all non-audit services (or delegating such pre-approval if and to the extent permitted by law to one or more Committee members) to be provided to the Corporation or its subsidiary entities by

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the Corporation's external auditor, which services shall not be covered by the prohibited non-audit services listed in Annex 1 hereto.

• At least annually, review and approve the terms of the external auditor's (i) annual audit services engagement letter and (ii) the quarterly review services engagement letter; each of these letters shall be signed by the Chair of the Committee.

• At least annually, review the external auditor's proposed audit scope and approach, including coordination of audit effort with internal audit function, and pre-approve all related audit fees.

• To the extent practicable, at least annually, review the performance of the external auditor.

• At least annually, review and confirm the independence of the external auditor by obtaining statements from the auditor on relationships between the auditor and the Corporation, including non-audit services, discussing the relationships with the auditor and discussing any restrictions placed on them or other difficulties encountered in the course of the audit.

• At least annually, meet separately with the external auditor to discuss the access to requested information and level of cooperation from management during the performance of their work.

• On a regular basis, the Chief Executive Officer, the Chief Financial Officer, the Chief Audit Executive, the Chair of the Investment and Risk Committee or any other representative of management whose presence is requested by the Chair of the Committee or any of the Members, and the external auditor shall meet separately with the Committee, in a private session held during the course of a meeting.

• On a regular basis, review and approve the Corporation's hiring policies regarding partners, employees and former employees of the present and former external auditor of the Corporation.

• Periodically rotate the lead partner for the external auditor.

**5.4** **Internal Audit Function** 

• Review and approve the charter, nature, scope of work and organizational structure of the internal audit function as well as the annual audit plan and any major changes thereon.

• Ensure that the internal audit function has the necessary resources to fulfill its mandate and responsibilities.

• Approve the appointment and dismissal of the Chief Audit Executive, as well as approve his/her performance evaluation and compensation. The Chief Audit Executive shall report directly to the Committee.

• Periodically review the audit plan status, including a progress report on the internal audit mandates and a follow-up on past due recommendations.

• Review internal audit reports, including management responses, and ensure that the necessary steps are taken to follow up on important report recommendations.

• Review with the assistance of the Chief Audit Executive the internal audit budget, resource plan, activities, and organizational structure of the internal audit function.

• Ensure the independence and effectiveness of the internal audit function, including by requiring that the function be free of any influence that could adversely affect its ability to objectively assume its responsibilities, by ensuring that it reports to the Committee, and by meeting regularly with the Chief Audit

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Executive without management being present in order to discuss, among others, the questions he/she raises regarding the relationship between the internal audit function and management and access to the information required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Ensure that the Chief Audit Executive is adequately applying quality assurance principles and carrying out the improvement program of the IAF, including compliance with International Professional Practice framework.

**5.5** **Compliance** 

• Establish procedures for the receipt, retention and treatment of complaints received by the Corporation regarding accounting, internal controls or auditing matters, and for the confidential, anonymous submission by employees of the Corporation or its subsidiaries of concerns regarding questionable accounting or auditing matters (the **"**Complaints of Illegal or Unethical Conduct Policy**"**).

• Review the effectiveness of the Complaints of Illegal or Unethical Conduct Policy and follow-up (including disciplinary action) of any instances of non-compliance.

• Review the findings of any examinations by regulatory agencies, and any auditor observations.

• Obtain regular updates from management and the Corporation's legal counsel regarding compliance matters in respect of the Complaints of Illegal or Unethical Conduct Policy.

**5.6** **Information technology and information security** 

• On a regular basis, review with the assistance of the Chief Information Officer or his delegate, the information technology and information security strategies and related matters, including the effectiveness and adequacy of computerized accounting systems, the protections against damage and disruption, and security of confidential information through information systems reporting as well as the Corporation's information security and cybersecurity policies, guidelines, controls, initiatives and incident response plans and procedures.

**5.7** **Other Responsibilities** 

• Perform other activities related to this Charter as requested by the Board.

• Investigate and assess any issue that raises significant concern to the Committee, with the assistance, if so required by the Committee, of the Chief Financial Officer, the Chief Audit Executive and/or the external auditor.

• Evaluate the Committee's and individual members' performance on a regular basis.

• Communicate and collaborate with other committees of the Board of Directors to ensure coordination in the fulfillment of any responsibilities of the Committee which may overlap with the responsibilities of other committees.

**6.0** **Oversight Function** 

While the Committee has the responsibilities and powers set forth in this Charter, it is not the duty of the Committee to plan or conduct audits or to determine that the Corporation's financial statements are complete and accurate or comply with applicable accounting standards, as applicable, and other applicable requirements. These are the responsibilities of management and the external auditor.

**7.0** **Limitation on Committee's Duties** 

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Notwithstanding the foregoing and subject to applicable law, nothing contained in this Charter is intended to require the Committee to ensure the Corporation's compliance with applicable laws or regulations.

In contributing to the Committee's discharge of its duties under this Charter, each Member shall be obliged only to exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances. Nothing in this Charter is intended or may be construed as imposing on any Member a standard of care or diligence that is in any way more onerous or extensive than the standard to which the member of the Board are subject.

The Committee is a committee of the Board and is not and shall not be deemed to be an agent of the Corporation's shareholders for any purpose whatsoever. The Board may, from time to time, permit departures from the terms hereof, either prospectively or retrospectively. The terms contained herein are not intended to give rise to civil liability on the part of the Corporation or its directors or officers to shareholders, security holders, customers, suppliers, competitors, employees or other persons, or to any other liability whatsoever on their part.

**8.0** **Reporting** 

The Chair should report to the Board at each Board meeting on the Committee's activities since the last Board meeting. As required by applicable rules and regulations, the Committee should report annually to shareholders, describing the Committee's composition, responsibilities and how they were discharged, and any other information required by law. The Committee should also review any other report the Corporation issues that relates to the Committee's responsibilities. The Secretary should circulate the minutes of each meeting of the Committee to the members of the Board.

**9.0** **Access to Information and Authority** 

The Committee will be granted access to all information regarding the Corporation that is necessary or desirable to fulfill its duties and all directors, officers and employees will be directed to cooperate as requested by Members. The Committee has the authority to retain, at the Corporation's expense, independent legal, financial and other advisors, consultants and experts, to assist the Committee in fulfilling its duties and responsibilities, including sole authority to retain and to approve and pay any such firm's fees and other retention terms without prior approval of the Board. The Committee also has the authority to communicate directly with the external auditor, the Chief Financial Officer, the Chief Audit Executive as well as any other employee of the Corporation as it deems necessary.

**10.0** **Review of Charter** 

The Committee will, from time to time, review and assess the adequacy of this Charter and recommend any proposed changes to the Board for consideration. The Board may, amend this Charter (as required).

Latest update: January 28, 2025

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Annex 1

Prohibited Non-Audit Services

● Bookkeeping or other services related to the accounting records or financial statement

● Expert services unrelated to the audit

● Financial information systems design and implementation

● Appraisal or valuation services, fairness opinions or contribution-in-kind reports

● Actuarial services

● Internal audit outsourcing services

● Broker-dealer, investment adviser or investment banking services

● Legal services

● Tax services to officers and directors of BRP

● Financial statements, note disclosures and MD&A compilation

● Regulatory filing preparation

● Design and implementation of internal controls, policies and procedures

● Services performed on a success or contingent fee basis

● Temporary personnel assignments

● Certain tax services such as tax provision assistance

● Project management services

● Vendor procurement and selection services

● Incident response services

● Data management or hosting services

● Translation services of the Corporation's disclosures

● Personnel immigration services

● Serving as a member of a supervisory body

● Marketplace business relationships

● Cash and investment management

● Forecasting, projections, analytics

● Policy and standards development and selection

● Setting strategic direction

● Hiring or dismissing employees

● Authorizing transactions

● Employee oversight

● Ongoing monitoring services

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● Current and future state business decisions and deciding on/implementing third-party recommendations

● Acting as Director or Officer

● Representation with tax authorities and at courts or public tribunals

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![LOGO](g76000page69.jpg)

## Exhibit 99.2

?xml version='1.0' encoding='ASCII'? EX-99.2

#### Exhibit 99.2
![](g76000dsp001.jpg)

Consolidated Financial Statements

### BRP Inc.
For the years ended January 31, 2026 and 2025

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#### **Table of Contents**
Report of Independent Registered Public Accounting Firm

To the Shareholders and the Board of Directors of BRP Inc.

Opinion on the Financial Statements

We have audited the accompanying consolidated statements of financial position of BRP Inc. and subsidiaries (the "Company") as at January 31, 2026 and 2025, the related consolidated statements of net income (loss), total comprehensive income (loss), changes in equity, and cash flows, for each of the two years in the period ended January 31, 2026, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as at January 31, 2026 and 2025, and its financial performance and its cash flows for each of the two years in the period ended January 31, 2026, in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of January 31, 2026, based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission and our report dated March 25, 2026, expressed an unqualified opinion on the Company's internal control over financial reporting.

Basis for Opinion

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

Critical Audit Matters

The critical audit matter communicated below is a matter arising from the current-period audit of the financial statements that was communicated or required to be communicated to the audit committee and that (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.

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#### Revenue – Refer to Notes 2m and 22 to the financial statements
Critical Audit Matter Description

The Company's revenue consists of transactions sourced from multiple order entry systems and databases. The Company's information technology (IT) environment, is complex and includes multiple IT systems that are used to process revenue-related data and the Company relies on the output of these systems to process and record its revenue transactions.

Given the Company's systems to process and record revenue are highly automated, there are potential risks arising from the capture, processing and transfer of data accurately and completely between the various IT systems. As such, auditing revenue resulted in an increased extent of audit effort and the nature of audit procedures were designed to include information outside of the IT systems.

How the Critical Audit Matter Was Addressed in the Audit

Our audit procedures related to the Company's IT systems, software applications and automated controls used to process revenue transactions included the following, among others:

● With the assistance of IT specialists,

○ Assessed the general computer and automated controls for relevant IT systems used to process revenue transactions, including controls related to the monitoring of access rights to applications, operating systems and databases;

○ Assessed the interface configuration between certain relevant IT systems to determine that information transferred is accurate and complete; and

○ Evaluated the service auditor reports on which the Company relies.

● Selected a sample of revenue transactions and performed the following:

○ Compared revenue from the IT system to the customer confirmation and cash receipts;

○ Matched revenues from the IT system to the approved pricing outside of the IT system;

○ Compared revenue selections to the third-party bill of lading; and

○ Evaluated the reasonableness of manual journal entries posted to revenues in the general ledger.

/s/ Deloitte LLP

Chartered Professional Accountants

Montreal, Canada

March 25, 2026

We have served as the Company's auditor since 2006.

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#### **Table of Contents**
Report of Independent Registered Public Accounting Firm

To the Shareholders and the Board of Directors of BRP Inc.

Opinion on Internal Control over Financial Reporting

We have audited the internal control over financial reporting of BRP Inc. and subsidiaries (the "Company") as of January 31, 2026, based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of January 31, 2026, based on criteria established in Internal Control – Integrated Framework (2013) issued by COSO.

We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated financial statements as at and for the year ended January 31, 2026, of the Company and our report dated March 25, 2026, expressed an unqualified opinion on those financial statements.

Basis for Opinion

The Company's management is responsible for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management's Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the Company's internal control over financial reporting based on our audit. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

Definition and Limitations of Internal Control over Financial Reporting

A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

------

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ Deloitte LLP

Chartered Professional Accountants

Montreal, Canada

March 25, 2026

------

#### BRP Inc.

### CONSOLIDATED STATEMENTS OF NET INCOME (LOSS)
[in millions of Canadian dollars, except per share data]

---

| | | | |
|:---|:---|:---|:---|
|  |  | Years ended | Years ended |
|  | Notes | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2026** | January 31, **2025** |
|  |  |  | Reclassified (Note 2) |
|  Revenues | 22 | $8442.7 | $7902.9 |
|  Cost of sales |  | 6555.4 | 6125.0 |
|  **Gross profit** |  | 1887.3 | 1777.9 |
|  **Operating expenses** |  |  |  |
|  Selling and marketing |  | 463.0 | 439.8 |
|  Research and development |  | 434.7 | 391.1 |
|  General and administrative |  | 373.1 | 315.4 |
|  Other operating (income) expenses | 24 | (12.7) | 67.9 |
|  Impairment charge | 25 | 229.8 | 9.4 |
|  **Total operating expenses** |  | 1487.9 | 1223.6 |
|  **Operating income** |  | 399.4 | 554.3 |
|  Financing costs | 26 | 211.9 | 198.2 |
|  Financing income | 26 | (11.0) | (8.0) |
|  Foreign exchange (gain) loss on long-term debt |  | (167.0) | 209.1 |
|  **Income before income taxes** |  | 365.5 | 155.0 |
|  Income tax expense | 27 | 25.1 | 90.4 |
|  **Net income from continuing operations** |  | 340.4 | 64.6 |
|  Net loss from discontinued operations | 32 | (51.1) | (277.6) |
|  **Net income (loss)** |  | $289.3 | $(213.0) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Attributable to shareholders |  | $291.6 | $(213.1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Attributable to non-controlling interest |  | $(2.3) | $0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Basic earnings per share - continuing operations** | 21 | $4.69 | $0.88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diluted earnings per share - continuing operations** | 21 | $4.64 | $0.86 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Basic loss per share - discontinued operations** | 21 | $(0.70) | $(3.77) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diluted loss per share - discontinued operations** | 21 | $(0.69) | $(3.72) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Basic earnings (loss) per share** | 21 | $3.99 | $(2.89) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diluted earnings (loss) per share** | 21 | $3.95 | $(2.86) |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### **Table of Contents**

#### BRP Inc.

### CONSOLIDATED STATEMENTS OF TOTAL COMPREHENSIVE INCOME (LOSS)
[in millions of Canadian dollars]

---

| | | | |
|:---|:---|:---|:---|
|  |  | Years ended | Years ended |
|  | Notes | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  **Net income (loss)** |  | $289.3 | $(213.0) |
|  **Other comprehensive income (loss)** |  |  |  |
|  **Items that will be reclassified subsequently to net income** |  |  |  |
|  Net changes in fair value of derivatives designated as cash flow hedges |  | 47.2 | (107.3) |
|  Net changes in unrealized gain (loss) on translation of foreign operations |  | 105.0 | (21.7) |
|  Income tax (expense) recovery |  | (12.5) | 28.5 |
|  |  | 139.7 | (100.5) |
|  **Items that will not be reclassified subsequently to net income** |  |  |  |
|  Actuarial gains (losses) on defined benefit pension plans | 18 | 11.4 | (4.5) |
|  Gain on fair value of restricted investments |  | 0.4 | 0.5 |
|  Income tax (expense) recovery |  | (2.8) | 0.6 |
|  |  | 9.0 | (3.4) |
|  **Total other comprehensive income (loss)** |  | 148.7 | (103.9) |
|  **Total comprehensive income (loss)** |  | $438.0 | $(316.9) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Attributable to shareholders |  | $440.3 | $(317.4) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Attributable to non-controlling interest |  | (2.3) | 0.5 |
|  **Total comprehensive income (loss) attributable to shareholders** |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Continuing operations |  | $470.5 | $(42.8) |
| &nbsp;&nbsp;&nbsp;&nbsp; Discontinued operations | 32 | (30.2) | (274.6) |
|  |  | $440.3 | $(317.4) |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### **Table of Contents**

#### BRP Inc.

### CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
[in millions of Canadian dollars]

As at

---

| | | | |
|:---|:---|:---|:---|
|  | Notes | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  |  |  | Reclassified (Note 2 |
|  Cash and cash equivalents |  | $427.1 | $180.7 |
|  Trade and other receivables | 6 | 607.2 | 633.5 |
|  Income taxes and investment tax credits receivable |  | 157.6 | 140.4 |
|  Other financial assets | 7 | 60.7 | 82.1 |
|  Inventories | 8 | 1824.6 | 1774.1 |
|  Other current assets | 9 | 66.2 | 63.9 |
|  Assets classified as held for sale | 32 | 126.1 | 292.7 |
|  **Total current assets** |  | 3269.5 | 3167.4 |
|  Investment tax credits receivable |  | 26.8 | 23.6 |
|  Other financial assets | 7 | 62.9 | 26.6 |
|  Property, plant and equipment | 10 | 1816.8 | 1938.8 |
|  Intangible assets | 11 | 494.9 | 603.8 |
|  Right-of-use assets | 12 | 212.2 | 182.8 |
|  Deferred income taxes | 27 | 436.2 | 345.7 |
|  Other non-current assets | 9 | 3.5 | 4.7 |
|  **Total non-current assets** |  | 3053.3 | 3126.0 |
|  **Total assets** |  | $6322.8 | $6293.4 |
|  Trade payables and accruals | 13 | $1515.2 | $1223.8 |
|  Provisions | 14 | 737.4 | 797.1 |
|  Other financial liabilities | 15 | 73.4 | 86.2 |
|  Income tax payable |  | 24.1 | 44.3 |
|  Deferred revenues |  | 62.0 | 71.3 |
|  Current portion of long-term debt | 16 | 49.2 | 53.8 |
|  Current portion of lease liabilities | 12 | 55.1 | 47.1 |
|  Other current liabilities | 17 | 26.7 | 7.6 |
|  Liabilities associated to assets classified as held for sale | 32 | 26.8 | 83.2 |
|  **Total current liabilities** |  | 2569.9 | 2414.4 |
|  Long-term debt | 16 | 2393.1 | 2871.3 |
|  Lease liabilities | 12 | 182.3 | 158.2 |
|  Provisions | 14 | 120.7 | 147.3 |
|  Other financial liabilities | 15 | 71.9 | 80.2 |
|  Deferred revenues |  | 82.3 | 95.3 |
|  Employee future benefit liabilities | 18 | 210.9 | 194.0 |
|  Deferred income taxes | 27 | 34.4 | 58.8 |
|  Other non-current liabilities | 17 | 46.6 | 27.1 |
|  **Total non-current liabilities** |  | 3142.2 | 3632.2 |
|  **Total liabilities** |  | 5712.1 | 6046.6 |
|  **Equity** |  | 610.7 | 246.8 |
|  **Total liabilities and equity** |  | $6322.8 | $6293.4 |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### **Table of Contents**

#### BRP Inc.

### CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
[in millions of Canadian dollars]

#### For the year ended January 31, 2026

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders |  |  |
|  | **Capital<br> Stock**<br> **(Note 19)** | Contributed<br> surplus | | Retained<br> earnings<br> (losses) | Translation<br> of foreign<br> operations | **Cash-**<br> **flow<br> hedges** | Total | **Non-**<br> **controlling<br> interests** | Total<br> equity |
|  **Balance as at January 31, 2025** | $251.0 | $83.0 |  | $(37.3) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$(21.5) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$(33.9) | $241.3 | $5.5 | $246.8 |
|  Net income (loss) |  |  |  | 291.6 |  |  | 291.6 | (2.3) | 289.3 |
| Other comprehensive income |  |  |  | 9.0 | 105.0 | 34.7 | 148.7 |  | 148.7 |
|  Total comprehensive income (loss) |  |  |  | 300.6 | 105.0 | 34.7 | 440.3 | (2.3) | 438.0 |
| Dividends (Note 19) |  |  |  | (62.9) |  |  | (62.9) |  | (62.9) |
| Issuance of subordinate shares (Note 19) | 32.2 | (8.2) |  |  |  |  | 24.0 |  | 24.0 |
| Repurchase of subordinate shares (Note 19) | (3.7) |  |  | (46.6) |  |  | (50.3) |  | (50.3) |
| Stock-based compensation (Note 20) |  | 21.6 | <sup>[a]</sup> |  |  |  | 21.6 |  | 21.6 |
| Special long-term incentive program (Note 20) |  | (9.9) |  |  |  |  | (9.9) |  | (9.9) |
| Other |  |  |  |  |  |  |  | 3.4 | 3.4 |
|  **Balance as at January 31, 2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$279.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$86.5 |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$153.8 | $83.5 | $0.8 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$604.1 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$6.6 | $610.7 |

---

<sup>[a]</sup> Includes $0.1 million of income tax expense.

#### For the year ended January 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders | Attributed to shareholders |  |  |
|  | Capital<br> Stock<br> (Note 19) | Contributed<br> surplus | | Retained<br> earnings<br> (losses) | Translation<br> of foreign<br> operations | Cash-<br> flow<br> hedges | Total | **Non-**<br> **controlling<br> interests** | Total<br> equity |
| Balance as at January 31, 2024 | $248.5 | $71.8 |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$443.1 | $0.6 | $44.9 | $808.9 | $5.0 | $813.9 |
| Net income (loss) |  |  |  | (213.1) |  |  | (213.1) | 0.1 | (213.0) |
| Other comprehensive income (loss) |  |  |  | (3.4) | (22.1) | (78.8) | (104.3) | 0.4 | (103.9) |
| Total comprehensive income (loss) |  |  |  | (216.5) | (22.1) | (78.8) | (317.4) | 0.5 | (316.9) |
| Dividends (Note 19) |  |  |  | (61.9) |  |  | (61.9) |  | (61.9) |
| Issuance of subordinate shares (Note 19) | 19.1 | (4.9) |  |  |  |  | 14.2 |  | 14.2 |
| Repurchase of subordinate shares (Note 19) | (16.6) |  |  | (202.0) |  |  | (218.6) |  | (218.6) |
| Stock-based compensation (Note 20) |  | 16.1 | [a] |  |  |  | 16.1 |  | 16.1 |
|  **Balance as at January 31, 2025** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$251.0 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$83.0 |  | $(37.3) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$(21.5) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$(33.9) | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$241.3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$5.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$246.8 |

---

<sup>[a]</sup> Includes $0.6 million of income tax recovery.

The accompanying notes are an integral part of these consolidated financial statements.

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#### **Table of Contents**

#### BRP Inc.

### CONSOLIDATED STATEMENTS OF CASH FLOWS
[in millions of Canadian dollars]

---

| | | | |
|:---|:---|:---|:---|
|  |  | Years ended | Years ended |
| | Notes | **January 31,**<br> **2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2025** |
| | Notes | **January 31,**<br> **2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2025** |
|  **OPERATING ACTIVITIES** |  |  |  |
|  Net income (loss) |  | $289.3 | $(213.0) |
|  Non-cash and non-operating items: |  |  |  |
| &nbsp;&nbsp;&nbsp; Depreciation expense |  | 453.8 | 427.6 |
| &nbsp;&nbsp;&nbsp; Income tax expense (recovery) |  | 9.2 | (1.0) |
| &nbsp;&nbsp;&nbsp; Foreign exchange (gain) loss on long-term debt |  | (167.0) | 209.1 |
| &nbsp;&nbsp;&nbsp; Interest expense and transaction costs |  | 193.8 | 184.4 |
| &nbsp;&nbsp;&nbsp; Impairment charge | 2532 | 238.2 | 193.4 |
| &nbsp;&nbsp;&nbsp; Unrealized foreign exchange (gain) loss on other working capital items |  | 38.1 | (51.9) |
| &nbsp;&nbsp;&nbsp; Other |  | 12.8 | 24.7 |
|  Cash flows generated from operations before changes in working capital |  | 1068.2 | 773.3 |
|  Changes in working capital: |  |  |  |
| &nbsp;&nbsp;&nbsp; Decrease in trade and other receivables |  | 57.4 | 17.6 |
| &nbsp;&nbsp;&nbsp; Decrease in inventories |  | 14.7 | 268.8 |
| &nbsp;&nbsp;&nbsp; Increase in other assets |  | (32.2) | (31.4) |
| &nbsp;&nbsp;&nbsp; Increase (decrease) in trade payables and accruals |  | 256.0 | (215.2) |
| &nbsp;&nbsp;&nbsp; Increase (decrease) in other financial liabilities |  | 2.8 | (0.9) |
| &nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in provisions |  | (102.0) | 31.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in other liabilities |  | 32.8 | (7.7) |
|  Cash flows generated from operations |  | 1297.7 | 835.5 |
|  Income taxes paid, net of refunds |  | (85.2) | (147.3) |
|  **Net cash flows generated from operating activities** |  | 1212.5 | 688.2 |
|  **INVESTING ACTIVITIES** |  |  |  |
|  Additions to property, plant and equipment | 10 | (297.7) | (396.6) |
|  Additions to intangible assets | 11 | (43.5) | (29.8) |
|  Proceeds of disposal from Marine businesses | 32 | 23.7 |  |
|  Other |  | (0.9) | 0.9 |
|  **Net cash flows used in investing activities** |  | (318.4) | (425.5) |
|  **FINANCING ACTIVITIES** |  |  |  |
|  Issuance of long-term debt | 16 | 0.7 | 3.6 |
|  Long-term debt amendment fees | 16 | (4.4) |  |
|  Repayment of long-term debt | 16 | (336.4) | (59.7) |
|  Repayment of lease liabilities | 12 | (60.3) | (52.4) |
|  Interest paid |  | (176.5) | (177.8) |
|  Issuance of subordinate voting shares | 19 | 24.0 | 14.2 |
|  Repurchase of subordinate voting shares | 19 | (50.3) | (215.1) |
|  Dividends paid | 19 | (62.9) | (61.9) |
|  Other |  | 3.6 | (4.0) |
|  **Net cash flows used in financing activities** |  | (662.5) | (553.1) |
|  Effect of exchange rate changes on cash and cash equivalents |  | 16.2 | (21.4) |
|  **Net increase (decrease) in cash and cash equivalents** |  | 247.8 | (311.8) |
|  **Cash and cash equivalents at the beginning of year** |  | 180.0 | 491.8 |
|  **Cash and cash equivalents at the end of year** |  | $427.8 | $180.0 |

---

The Company has elected to present a consolidated statement of cash flows that includes both continuing and discontinued operations. Amounts related to discontinued operations by operating, investing and financing activities are disclosed in Note 32.

The accompanying notes are an integral part of these consolidated financial statements.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

1. **NATURE OF OPERATIONS** 

BRP Inc. ("BRP") is incorporated under the laws of Canada. BRP's multiple voting shares are owned by Beaudier Inc. and 4338618 Canada Inc. (collectively, "Beaudier Group"), Bain Capital Integral Investors II, L.P. ("Bain Capital") and La Caisse de dépôt et placement du Québec ("La Caisse"), (collectively, the "Principal Shareholders"). BRP's subordinate voting shares are listed in Canada on the Toronto Stock Exchange under the symbol DOO and in the United States on the Nasdaq Global Select Market under the symbol DOO.

BRP and its subsidiaries (the "Company") design, develop, manufacture and sell powersports vehicles. The Company's diversified portfolio of products includes: "Year-Round Products", which consists of all-terrain vehicles, side-by-side vehicles, three-wheel vehicles and electric motorcycles; "Seasonal Products", which consists of snowmobiles, personal watercraft and pontoons; and "PA&A, OEM Engines and Others", which consists of parts, accessories and apparel ("PA&A"), engines for karts, recreational aircraft and jet boats, as well as other products and services.

The Company's products are sold mainly through a network of independent dealers, independent distributors and to original equipment manufacturers (the "Customers"). The Company distributes its products worldwide and manufactures them in Mexico, Canada, Austria, the United States, Finland, Australia and Germany.

Telwater Pty Ltd. ("Telwater") remains under the sale process first announced on October 17, 2024, and continues to be presented as discontinued operations, and the associated assets and liabilities as held for sale as at January 31, 2026. (Note 32).

During the nine-month period ended October 31, 2025, the Company completed the sales of Alumacraft Boat Co. ("Alumacraft") and Triton Industries Inc. ("Manitou"). Consequently, these businesses are presented as discontinued operations, and the associated assets and liabilities are disposed as at January 31, 2026 (Note 32).

During the three-month period ended April 30, 2025, the Company decided that its Marine PA&A business was no longer for sale. Following this decision, Marine PA&A business is presented as continued operations and the associated assets and liabilities are no longer held for sale as at January 31, 2026. Prior periods have been reclassified accordingly.

The Company's headquarters is located at 726 Saint-Joseph Street, Valcourt, Québec, J0E 2L0.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES** 

a) **Basis of presentation** 

These consolidated financial statements for the years ended January 31, 2026 and 2025 have been prepared using accounting policies consistent with IFRS<sup>®</sup> Accounting Standards as issued by the International Accounting Standards Board.

These consolidated financial statements have been prepared on a historical cost basis except for certain transactions that are measured using a different basis as explained below in the material accounting policies section.

On March 25, 2026, the Board of Directors of the Company approved these consolidated financial statements for the years ended January 31, 2026 and 2025.

b) **Basis of consolidation** 

These consolidated financial statements include the financial statements of BRP and its subsidiaries. BRP controls all of its subsidiaries that are wholly owned through voting equity interests, except for BRP Commerce & Trade (Shanghai) Company Limited in China, and LVHA Manufacturing Company Limited in Vietnam for which a non-controlling interest of 20% and 35% respectively are recorded upon consolidation, and Pinion GmbH ("Pinion") in Germany for which there is a non-controlling interest of 20%. BRP is also part of a joint venture located in Austria.

The most significant subsidiaries of BRP included in these consolidated financial statements are as follows:

● Bombardier Recreational Products Inc., located in Canada;

● BRP US Inc., located in the United States;

● BRP-Rotax GmbH & Co. KG, located in Austria;

● BRP European Distribution SA, located in Switzerland;

● BRP Finland Oy, located in Finland; and

● BRP Mexico S.A de C.V, located in Mexico.

All inter-company transactions and balances have been eliminated upon consolidation.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

c) **Foreign currencies** 

The consolidated financial statements are presented in Canadian dollars, which is the functional currency of the Company. The functional currency is the currency of the primary economic environment in which the Company operates. The Company's foreign subsidiaries functional currencies are mainly the USD and Euro.

#### Transactions in foreign currency
For the purpose of preparing consolidated financial statements, the Company applies the following procedures on transactions and balances in currencies other than their functional currency. Monetary items are translated using exchange rates in effect at the consolidated statement of financial position date and non-monetary items are translated using exchange rates prevailing at the transaction date. Revenues and expenses (other than depreciation, which is translated at the same exchange rates as the related assets) are translated using exchange rates in effect on the transaction dates or at the average exchange rates of the period. Translation gains or losses are recorded in the consolidated statement of net income.

#### Consolidation of foreign operations
All assets and liabilities of foreign operations are translated into Canadian dollars at exchange rates in effect at the consolidated statement of financial position date. Revenues and expenses are translated at the average exchange rates for the period. The Company's gains and losses on translation of foreign operations are recognized in other comprehensive income and accumulated in equity until the Company no longer controls the foreign operation. At that time, gains or losses on translation accumulated in equity are entirely reclassified to net income.

d) **Inventory valuation** 

Materials and work in progress, finished products and parts, accessories and apparel are valued at the lower of weighted average cost or net realizable value. The cost of work in progress and finished products manufactured by the Company includes the cost of materials, direct labour and directly attributable manufacturing overhead. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to complete the sale.

Inventories are written down to net realizable value when the cost of inventories is determined to be not fully recoverable. When the circumstances that previously caused inventories to be written down no longer exist or when there is clear evidence of an increase in net realizable value because of changed economic circumstances, the amount of write-down is reversed.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

e) **Property, plant and equipment** 

Property, plant and equipment includes land, building, equipment and tooling held for use in the development, production and distribution activities or for administrative purposes. They are stated at cost less accumulated depreciation and accumulated impairment charges.

The cost of an item of property, plant and equipment includes its purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating, which also includes the borrowing costs incurred during the construction.

Property, plant and equipment is depreciated, with the exception of land, using the straight-line method over their estimated useful lives. If an item of property, plant and equipment is composed of significant components having different estimated useful lives, depreciation is calculated on a component basis using the straight-line method over their respective useful lives. The Company's estimated useful lives per category are the following:

---

| | |
|:---|:---|
|  Tooling | 3 to 7 years |
|  Equipment | 3 to 20 years |
|  Building | 10 to 60 years |

---

Depreciation of assets under development begins when they are ready for their intended use.

The estimated useful lives, residual values and depreciation methods are reviewed at each year-end, with the effect of any changes in estimates accounted for on a prospective basis. The depreciation expense is recorded in cost of sales, selling and marketing ("S&M"), general and administrative ("G&A") or research and development ("R&D") expenses based on the function of the underlying asset.

Fully depreciated building, equipment and tooling are retained in the cost and accumulated depreciation accounts until such assets are removed from service. In the case of disposals, cost and related accumulated depreciation amounts are removed from the consolidated statement of financial position, and the net amounts, less proceeds from disposal, is recorded in the consolidated statement of net income.

At the end of each reporting period, the Company reviews the carrying amounts of its property, plant and equipment in order to determine if there is any indication that those assets may be impaired. If any such indication exists, an impairment test is performed as described below in paragraph h).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

f) **Intangible assets** 

Goodwill represents the excess of the purchase price of businesses acquired over the fair value of the net assets acquired. Goodwill is systematically tested for impairment as at January 31 or more frequently if events or circumstances indicate that it might be impaired. Goodwill is tested for impairment at a cash generating unit ("CGU") or group of CGUs level, representing the lowest level at which management monitors it.

Trademarks are carried at cost and are not depreciated due to their indefinite expected useful lives for the Company. The assessment of indefinite expected useful lives is reviewed at each year-end. Trademarks are systematically tested for impairment as at January 31 or more frequently if events or circumstances indicate that they might be impaired. Trademarks are tested for impairment with the CGU to which they relate.

Software and licences, patents, dealer networks and customer relationships are carried at cost and are depreciated on a straight-line basis over their estimated useful lives, which are as follows:

---

| | |
|:---|:---|
|  Software and licences | 3 to 5 years |
|  Patents | 10 years |
|  Dealer networks | 5 to 20 years |
|  Customer relationships | 10 to 15 years |

---

At the end of each reporting period, the Company reviews the carrying amounts of its software and licences, dealer networks and customer relationships in order to determine if there is any indication that those assets may be impaired. If any such indication exists, an impairment test is performed as described below in paragraph h). The depreciation expense is recorded in cost of sales, S&M, G&A or R&D expense based on the function of the underlying asset.

Expenditures related to research and development activities are recognized as expense in the period in which they are incurred, except for development activities if specific criteria for capitalization as intangible assets are met.

g) **Leases** 

At inception, the Company assesses whether the contract is or contains a lease. Leases are recognized as right-of-use assets and lease liabilities at the lease commencement date. Payments associated with short-term leases and leases of low-value assets are recognized as an expense.

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the Company's incremental borrowing rate at the lease commencement date if the interest rate implicit in the lease is not readily determinable. Lease liabilities include the net present value of the following lease payments (when applicable):

● Fixed payments (including in-substance fixed payments), less any lease incentives;

● Variable lease payments that are based on an index or a rate;

● Amounts expected to be payable under residual value guarantees;

● Exercise price of purchase options if the Company is reasonably certain to exercise that option; and

● Penalties for early termination of a lease, except if the Company is reasonably certain not to terminate early.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

g) **Leases [continued]** 

The lease liability is subsequently measured at amortized cost using the effective interest rate method. The lease liability is remeasured, and a corresponding adjustment is made to the carrying amount of the right-of-use assets, when there is a change in future lease payments arising from a change in an index or rate, from a change in the estimation of a residual value guarantee or from a change in the assumption of purchase, extension or termination option. The lease liability is also remeasured when the underlying lease contract is amended.

The Company accounts for each lease component and any associated non-lease components as a single lease component.

The right-of-use asset is initially measured at cost, which includes the initial measurement of the corresponding lease liability, lease payments made at or before the commencement date and any initial direct costs, less any incentives received. The right-of-use assets are depreciated over the shorter period of lease term and useful life of the underlying asset. The depreciation starts at the commencement date of the lease. In addition, the right-of-use asset is reduced by impairment losses resulting from impairment tests as described below in paragraph h), if any, and adjusted for certain remeasurements of the lease liability. The depreciation expense is recorded in cost of sales, S&M, G&A or R&D expense based on the function of the underlying asset.

h) **Impairment of property, plant and equipment, intangible assets and right-of-use assets** 

An asset is impaired when its carrying amount is above its recoverable amount. The recoverable amount is determined for each individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. In that case, the asset is assessed for impairment within a CGU or group of CGUs, representing the lowest level of assets for which there are separately identifiable cash inflows. The recoverable amount of an asset, a CGU, or group of CGUs is the higher of its fair value less costs to sell and its value in use. Value in use is determined using a discounted future net cash flows approach. Fair value less costs to sell reflects the amount the Company could obtain from the asset's disposal in an arm's length transaction between knowledgeable, willing parties, after deducting the costs of disposal. If there is no active market for the asset, the fair value is assessed by using appropriate valuations models dependent on the nature of the asset, CGU, or group of CGUs, such as discounted cash flow models. The impairment charge recorded in the consolidated statement of net income is the difference between the carrying amount and the recoverable amount.

At the end of each reporting period, the Company reviews the carrying amount of assets (excluding goodwill), CGUs, or group of CGUs impaired in previous periods to determine if there is any indication that its recoverable amount has increased. If any such indication exists, an impairment test is performed and the impairment recovery is recorded in the consolidated statement of net income up to the carrying amount that would have existed had the impairment charge never been recorded in prior years.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

i) **Financial instruments** 

A financial instrument is any contract that gives rise to a financial asset for one party and a financial liability or equity for another party. Financial instruments are initially recorded at fair value when the Company becomes a party to the transaction and are subsequently revalued at fair value or amortized cost at the end of each reporting period depending on their classification.

When the Company acquires or issues a financial instrument that is not recorded at fair value through profit or loss, transaction costs that are directly attributable to its acquisition or issuance are incorporated in the carrying amount and amortized in the consolidated statement of net income using the effective interest rate method. When the Company acquires or issues a financial instrument measured at fair value through profit or loss, all transaction costs are expensed as incurred.

A modification of financial liabilities that includes a prepayment option at par with no break costs is equivalent to an extinguishment. When a modification is accounted for as an extinguishment, the original financial instrument is derecognized, including any unamortized transaction costs and any costs or fees incurred related to the modification, and the new instrument arising from the modification is recognized at fair value.

#### Financial assets and financial liabilities other than derivatives
At the end of each reporting period, financial assets and financial liabilities that are not derivatives are measured at fair value or amortized cost using the effective interest method depending on the following classification:

● Restricted investments are measured at fair value through other comprehensive income at the end of each reporting period.

● Cash and cash equivalents and trade and other receivables are measured at amortized cost at the end of each reporting period.

● Non-controlling interest liability is measured at fair value through profit and loss at the end of each reporting period.

● Revolving credit facilities, trade payables and accruals, other financial liabilities, long-term debt and lease liabilities are measured at amortized cost at the end of each reporting period.

#### Derivative financial instruments
Derivative financial instruments are financial assets or financial liabilities recorded at fair value through profit or loss. They are measured at fair value at the end of each reporting period including those derivatives that are embedded in financial and non-financial contracts that are not closely related to the host contract.

In the consolidated statement of net income, changes in fair value of derivatives used to manage foreign exchange exposure on working capital elements are recorded in other operating expenses (income).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

i) **Financial instruments [continued]** 

#### Derivative financial instruments under cash flow hedge accounting
The Company applies cash flow hedge accounting when forecasted cash flows are highly probable to occur and all other cash flow hedge criteria are met. The effective portion of the change of fair value of derivative financial instruments designated as hedging items under the cash flow hedge model is recorded in other comprehensive income and accumulated in equity until the hedged transaction is recognized in the consolidated statement of net income. The ineffective portion is recognized in the consolidated statement of net income at each period end. The Company makes an assessment, both at the inception of the hedge relationship as well as on an ongoing basis, whether the hedging instruments are expected to be effective in offsetting the cash flows of the respective hedged items during the period for which the hedge is designated.

If a derivative financial instrument accounted for using the cash flow hedge model has been settled prior to maturity or the hedge relationship is no longer meeting cash flow hedge criteria, accumulated gains or losses associated with the derivative financial instrument remain in equity as long as the underlying hedged transaction is expected to occur and are recognized in the consolidated statement of net income in the period in which the underlying hedged transaction is recognized in the consolidated statement of net income. In the event that the underlying hedged transaction is settled prior to maturity or is not expected to occur anymore, gains or losses accumulated in equity at this date are immediately reclassified in the consolidated statement of net income. Gains or losses related to derivative financial instruments accounted for using the cash flow hedge model are recorded in the same category as the hedged item in the consolidated statement of net income.

j) **Derecognition of receivables** 

Receivables are derecognized from the consolidated statement of financial position only when the Company's contractual rights to the cash flows expire or when the Company has transferred to a third party substantially all the risks and rewards on receivables sold.

k) **Provisions** 

Provisions represent liabilities for which the amount or timing of payment is uncertain. Provisions are recorded in the consolidated statement of financial position when the Company has a legal or constructive obligation as a result of a past event and it is probable that an outflow of resources will be required to settle the obligation. Additionally, provisions are recorded for contracts under which the unavoidable costs of meeting the obligations exceed the economic benefits expected to be received.

Provisions are measured at each period end at the best estimate of the expenditure required to settle the obligation. To account for the effect of the time value of money, provisions are measured at the present value of the outflows required to settle the obligation using a risk free rate adjusted to the specific risk of the obligation. They are re-measured at each consolidated statement of financial position date using interest rates prevailing at this date and an interest expense is recorded to reflect the passage of time.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

k) **Provisions [continued]** 

The main provisions of the Company are described in more detail below:

#### Products related provisions
When the products are sold, the Company records a provision related to limited product warranties generally covering periods from twelve months to three years.

The Company records a provision for product liability claims or possible claims incurred but not reported at the end of each reporting period.

The Company provides for estimated sales promotions at time of revenue recognition. Examples of these costs include product rebates given to clients, volume discounts and retail financing programs. In the consolidated statement of net income, cash sales promotions are recorded as a reduction of revenues whereas non-cash sales promotions, such as delivery of free products, are included in cost of sales.

l) **Employee benefits** 

#### Current benefits
The Company records an expense in the consolidated statement of net income for wages, salaries, bonuses, share-based compensations and social security contributions of employees in the period the services are rendered. Current benefit associated with manufacturing employees is included in the cost of inventory produced as described above in paragraph d).

#### Future benefits
The Company sponsors several Canadian and foreign funded and unfunded defined benefit and defined contribution pension plans covering most of its employees. The Company also provides other post-retirement benefit plans to certain employees.

Defined benefit plans and other post-retirement benefit plans

Annual costs of defined benefit pension plans and other post-retirement benefit plans, which include current service costs, net interest costs and past service costs, is actuarially determined using the projected unit credit method based on management's best estimate of discount rates, salary escalation, retirement ages of employees, life expectancy, inflation and health care costs.

Current service costs are recorded in the consolidated statement of net income when employees are rendering the services to the Company. For manufacturing employees, current service costs are included in the cost of inventory produced as described above in paragraph d).

Net interest costs are recorded in the consolidated statement of net income at each period following the passage of time.

Past service costs (gains) arising from the change in the present value of the defined benefit obligation resulting from a plan amendment or a curtailment are recorded in the consolidated statement of net income when the plan amendment or the curtailment occurs. A curtailment arises from a transaction that significantly reduces the number of employees covered by a plan.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

l) **Employee benefits [continued]** 

Defined benefit plans and other post-retirement benefit plans [continued]

In the consolidated statement of net income, costs related to defined benefit pension plans and other post-retirement benefit plans are classified separately depending on their nature. Current service costs and past service costs (gains) are presented within operating income whereas the net interest expense on the employee future benefit liability is presented in financing costs.

The liability recognized in the consolidated statement of financial position is the present value of the plan obligations less the fair value of the plan assets, adjusted for any asset ceiling at that date. Plan obligations are determined based on expected future benefit payments discounted using market interest rates prevailing as at January 31 and plan assets are stated at their fair value at that date. Actuarial gains and losses that arise in calculating the present value of plan obligations and the fair value of plan assets are recorded in other comprehensive income and accumulated directly in retained earnings (losses).

Defined contribution plans

Defined contribution plan expenses are recorded in the consolidated statement of net income when employees are rendering the services to the Company. Expenses associated with manufacturing employees are included in the cost of inventory produced as described above in paragraph d). Defined contribution plan expenses are entirely presented within operating income.

m) **Revenue recognition** 

The Company's revenues are derived primarily from the sale of products and related parts and accessories. Each sale is considered as a single performance obligation and revenues are recognized when products are shipped, which corresponds to the point in time when the Customers have obtained control of the asset and the Company has satisfied its performance obligation. Revenues are measured at an amount equal to the consideration to which the Company expects to be entitled, which takes into account sales promotions and expected returns to occur after the shipment date. A deferred revenue is recognized if the Company receives consideration, or has an unconditional right to receive consideration, prior to the completion of its performance obligation.

When, in addition to the regular warranty coverage, an extended warranty coverage is given with the purchase of the product, a portion of the revenue representing the value of the extended warranty is deferred. The value deferred is based on the stand-alone selling price of both the unit sold and the extended warranty given. The deferred revenue is then recognized over the extended warranty coverage period.

n) **Government assistance** 

Government assistance, including research and development tax credits, is recorded when the Company is complying with the assistance program requirements and the recovery is reasonably assured. Government assistance received but contingently repayable is recorded in the consolidated statement of net income as long as it is probable that the conditions for repayment will not be met. Government assistance granted to compensate expenses are presented in the consolidated statement of net income as a reduction of the expense they relate to, whereas assistance granted for the acquisition of property, plant and equipment and intangibles is deducted from the cost of the related asset.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

o) **Share based payment plans** 

The Company grants stock options to officers and employees that are settled by the issuance of common shares. The Company establishes compensation expense for those grants based on the fair value of each tranche of option at the grant date. The compensation expense is recognized in the consolidated statement of net income over the vesting period of each tranche based on the number of options that are ultimately expected to vest. The Company estimates stock option forfeitures at time of grant and revises those estimates in subsequent periods if actual forfeitures differ from those estimates. The corresponding amount is recorded in contributed surplus within equity.

Other share-based payment plans based on the value of the Company's common shares are accounted for as cash-settled share-based payment transactions. The total liabilities for these plans are computed based on the estimated number of awards expected to vest at the end of the vesting period. The liabilities are measured at the fair value at the end of each reporting period. The liabilities are accrued and expensed on a straight-line basis over the vesting periods. The liabilities are settled in cash at the end of the vesting period.

p) **Income taxes** 

The Company's income tax expense represents the sum of the taxes currently payable based on taxable income of the year, deferred taxes, and tax credits. Deferred income tax assets and liabilities are determined based on the differences between the carrying amounts and tax bases of assets and liabilities using enacted or substantively enacted tax rates and laws expected to be in effect when the differences reverse. Current and deferred income taxes are recognized in the consolidated statement of net income except to the extent it relates to items recognized in other comprehensive income or directly in equity, in which case the related tax is recognized in other comprehensive income or in equity.

q) **Earnings per share** 

Basic earnings per share is calculated by dividing the net income attributable to equity holders of the Company by the weighted average number of common shares outstanding during the year.

Diluted earnings per share is calculated by adjusting the weighted average number of common shares outstanding to assume conversion of all dilutive potential common shares from stock option plans. For the stock options, a calculation is done to determine the number of shares that could have been acquired at fair value (determined as the average annual share price of the Company's shares) based on the monetary value of the subscription rights attached to outstanding stock options.

r) **Segmented information** 

Operating segments are components of an entity that engage in business activities from which they earn revenues and incur expenses (including revenues and expenses related to transactions with the other components of the entity). The related operations can be clearly distinguished and the revenues and gross profit are regularly reviewed by a chief operating decision-maker to make resource allocation decisions and to assess performance.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

2. **MATERIAL ACCOUNTING POLICIES [CONTINUED]** 

s) **Discontinued operations, assets and liabilities held for sale** 

The assets of a disposal group are classified as held for sale when their carrying amount will be recovered principally through a sale transaction rather than through continuing use. Assets must be available for immediate sale in their present condition and a sale transaction must be highly probable. The assets of a disposal group classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell, except for assets such as deferred tax assets, assets arising from employee benefits and financial assets which are specifically exempt from this measurement requirement. A disposal group is impaired when its carrying amount is above its fair value less cost of disposal (Note 32).

A disposal group qualifies as discontinued operations if it is a component of the entity that either has been disposed of, or is classified as held for sale, and represents a separate major line of business or geographical area of operations, is part of a single coordinated plan to dispose of such a line of business or area of operations, or is a subsidiary acquired exclusively with a view to resale. Classification as a discontinued operation occurs at the earlier of the date on which an operation meets the criteria to be classified as held for sale or disposal.

The assets of a disposal group classified as held for sale are presented separately from the other assets in the consolidated statement of financial position. The liabilities of a disposal group classified as held for sale are presented separately from other liabilities in the consolidated statement of financial position.

The non-current assets of a disposal group are not depreciated or amortized while they are classified as held for sale. Interest and other expenses attributable to the liabilities of a disposal group classified as held for sale continue to be recognized.

Discontinued operations are excluded from the results of continuing operations and are presented as a single amount of net income from discontinued operations in the consolidated income statement and a single amount of comprehensive income from discontinued operations in the consolidated statement of comprehensive income.

When an operation is classified as a discontinued operation, the comparative consolidated income statement is reclassified as if the operation had been discontinued from the beginning of the comparative year.

When a component ceases to be classified as held-for-sale, the related operations are reclassified as continued operations. The operations are presented as continued operations in the current period and prior periods are reclassified consistently.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

3. **SIGNIFICANT ESTIMATES AND JUDGMENTS** 

The preparation of these consolidated financial statements in accordance with the Company's accounting policies requires management to make estimates and judgments that can affect the reported amounts of assets and liabilities, related amounts of revenues and expenses, other comprehensive income and disclosures made.

a) **Significant estimates in applying the Company's accounting policies** 

The Company's best estimates are based on the information, facts and circumstances available at the time estimates are made. Management uses historical experience and information, general economic conditions and trends, as well as assumptions regarding probable future outcomes as the basis for determining estimates. Estimates and their underlying assumptions are reviewed periodically and the effects of any changes are recognized immediately. Actual results could differ from the estimates used and such differences could be significant.

The Company's annual operating budget and operating budget revisions performed during the year (collectively "Budget") and the Company's strategic plan comprise fundamental information used as a basis for some significant estimates necessary to prepare these consolidated financial statements. Management prepares the annual operating budget and strategic plan each year using a process whereby a detailed one-year budget and three-year strategic plan are prepared by each entity and then consolidated.

Cash flows and profitability included in the Budget are based on the existing and future expected sales orders, general market conditions, current cost structures, anticipated cost variations and current agreements with third parties. Management uses the annual operating budget information as well as additional projections or assumptions to derive the expected results for the strategic plan and periods thereafter.

The Budget and the strategic plan are approved by management and the Board of Directors. Management then tracks performance as compared to the Budget. Significant variances in actual performance are a key trigger to assess whether certain estimates used in the preparation of financial information must be revised.

Management needs to rely on estimates in order to apply the Company's accounting policies and considers that the most critical ones are the following:

#### Estimating the net realizable value of inventory
The net realizable value of materials and work in progress is determined by comparing inventory components and value with production needs, current and future product features, expected production costs to be incurred and the expected profitability of finished products. The net realizable value of finished products, and parts, accessories and apparel are determined by comparing inventory components and value with expected sales prices, sales programs and new product features.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

3. **SIGNIFICANT ESTIMATES AND JUDGMENTS [CONTINUED]** 

a) **Significant estimates in applying the Company's accounting policies [continued]** 

#### Estimating recoverability and impairment of property, plant and equipment, intangible assets and right-of-use assets
The recoverable amount of a CGU or group of CGUs is based on a value in use calculation using cash flow projections, which considers the Company's one-year budget and three-year strategic plan, with a terminal value calculated by discounting the final year in perpetuity. The figures used as the basis for the key assumptions in the value in use calculation includes sales volume, sales price, sales mix, production costs, distribution costs, operating expenses, and capital expenditures, along with the selection of an appropriate discount rate, all of which are subject to inherent uncertainties and judgment. Discount rates are used to reflect the risks associated with the projected cash flows, representing the best information available as of the date of the impairment test. Changes in technology, trade agreements, industry, economic conditions, or other external factors can impact cash flows estimates potentially leading to charges for impairment.

#### Estimating recoverability of deferred tax assets
Deferred tax assets are recognized only if management believes it is probable that they will be realized based on the annual budget, strategic plan and additional projections to derive the expected results for the periods thereafter.

#### Estimating provisions for product regular warranty, product liability and sales program
The regular warranty cost is established by product line and recorded at the time of sale based on management's best estimate, using historical cost rates and trends. Adjustments to the regular warranty provision are made when the Company identifies a significant and recurring issue on products sold or when costs and trend differences are identified in the analysis of warranty claims.

The product liability provision at period end is based on management's best estimate of the amounts necessary to resolve existing claims. In addition, the product liability provision at the end of the reporting period includes incurred, but not reported claims based on average historical cost information.

Sales program provision is estimated based on current program features, historical data and expected retail sales for each product line.

#### Estimating the discount rates used in assessing defined benefit plan expenses and liability
In order to select the discount rates used to determine defined benefit plan expenses and liabilities, management consults with external actuarial firms to provide commonly used and applicable discount rates that are based on the yield of high quality corporate fixed income investments with cash flows that match expected benefit payments for each defined benefit plan. Management uses its knowledge and comprehension of general economic factors in order to conclude on the accuracy of the discount rates used.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

3. **SIGNIFICANT ESTIMATES AND JUDGMENTS [CONTINUED]** 

b) **Significant judgments in applying the Company's accounting policies** 

Management needs to make certain judgments in order to apply the Company's accounting policies and the most significant ones are the following:

#### Recoverability and impairment of property, plant and equipment, intangible assets and right-of-use assets
The Company operates using a high level of integration and interdependency between design, development, manufacturing and distribution operations. The cash inflows generated by each product line require the use of various assets of the Company, limiting the impairment testing to be done for a single asset. Therefore, management performs impairment testing by grouping assets into CGUs and group of CGUs.

#### Functional currency
The Company operates worldwide, but its design, development, manufacturing and distribution operations are highly integrated, which require significant judgements from management in order to determine the functional currency of each entity using factors provided by IAS 21 The Effects of Changes in Foreign Exchange Rates ("IAS 21"). Management established the functional currency of each entity as its local currency unless the assessment of the criteria established by IAS 21 to assess the functional currency leads to the determination of another currency. IAS 21 criteria are reviewed annually for each entity.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

4. **FUTURE ACCOUNTING CHANGES** 

<u>Classification and</u> <u>measurement of financial instruments (amendments to IFRS 9 and IFRS 7)</u>

In May 2024, the International Accounting Standards Board ("IASB") issued amendments to the classification and measurement of financial instruments to address matters identified during the post-implementation review of the classification and measurement requirements of IFRS 9 - Financial Instruments. These amendments include application guidance on the recognition and derecognition date of certain financial assets and liabilities, application guidance to assess whether a financial asset meets the solely payments of principal and interest criteria, add new disclosure requirements for investments in equity instruments designated at fair value through other comprehensive income and new disclosures for certain instruments with contractual terms that could change cash flows.

The amendments will become effective for the Company's fiscal year beginning on February 1, 2026. The Company has assessed the impact and determined that it is not significant for the fiscal year beginning February 1, 2026.

IFRS 18 – Presentation and disclosure in financial statements

In April 2024, the IASB issued IFRS 18 – Presentation and Disclosure in Financial Statements, which will replace IAS 1 – Presentation of Financial Statements. The objective of IFRS 18 is to set out requirements for the presentation and disclosure of information in financial statements to help ensure they provide relevant information that faithfully represents an entity's assets, liabilities, equity, income and expenses. The standard also sets out guidance on classification of the information in the consolidated statements of net income (loss) or in the notes and introduces the concept of management performance measures.

The amendments will become effective for the Company's fiscal year beginning on February 1, 2027. The Company is assessing the potential impact of these amendments on its consolidated financial statements.

Other standards or amendments

The IASB has issued other standards or amendments to existing standards that are not expected to have a significant impact on the Company's consolidated financial statements.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

5. **BUSINESS COMBINATIONS** 

On July 1, 2025, the Company completed the acquisition of 100% of the outstanding shares of Smartscale Newco AG ("Smartscale"), a subsidiary of MG Biketec GmbH for a consideration payable on the realisation of financial targets ("Contingent consideration"). The fair value of the Contingent consideration is based on management's assessment of the likelihood to achieve the financial targets and is valued at CHF 13.5 million ($23.7 million) as at January 31, 2026. The consideration has been mostly allocated to goodwill that arises from expected synergies and future growth. Smartscale, which is located in Huttwil, Switzerland, provides comprehensive support to e-bike manufacturers and dealers by offering system components for e-bikes.

The Company's consolidated statement of net income included the operating results of Smartscale since the acquisition date. Since July 1, 2025, the revenues and net income of Smartscale were not significant, and had the Company acquired Smartscale at the beginning of the twelve-month period ended January 31, 2026, the increase to its revenues and net income would also not have been significant.

The Company incurred acquisition-related costs of $0.8 million, which have been recorded in general and administrative expenses.

6. **TRADE AND OTHER RECEIVABLES** 

The Company's trade and other receivables were as follows, as at:

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| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Trade receivables <sup>[a]</sup> | $484.5 | $491.1 |
| Allowance for doubtful accounts | (11.3) | (6.5) |
|  | 473.2 | 484.6 |
| Sales tax and other government receivables | 117.8 | 137.6 |
| Other | 16.2 | 11.3 |
| Total trade and other receivables | $607.2 | $633.5 |

---

<sup>[a]</sup> As at January 31, 2026, outstanding financing totalling $2,564.9 million ($3,000.3 million as at January 31, 2025) had been sold under dealer and distributor financing agreements with financing service providers (Note 31 a)).

7. **OTHER FINANCIAL ASSETS** 

The Company's other financial assets were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Restricted investments <sup>[a]</sup> | $16.2 | $14.7 |
| Derivative financial instruments | 32.0 | 27.3 |
| Advances to suppliers | 37.4 | 30.2 |
| Other | 38.0 | 36.5 |
| Total other financial assets | $123.6 | $108.7 |
| Current | 60.7 | 82.1 |
| Non-current <sup>[b]</sup> | 62.9 | 26.6 |
| Total other financial assets | $123.6 | $108.7 |

---

<sup>[a]</sup> The restricted investments are publicly traded bonds that can only be used for severance payments and pension costs associated with Austrian pension plans, and are not available for general corporate use.

<sup>[b]</sup> The non-current portion is mainly attributable to derivative financial instruments, restricted investments and other advances to suppliers.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

8. **INVENTORIES** 

The Company's inventories were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Materials and work in progress | $707.0 | $709.0 |
| Finished products | 707.7 | 693.4 |
| Parts, accessories and apparel | 409.9 | 371.7 |
| Total inventories | $1824.6 | $1774.1 |

---

During the year ended January 31, 2026, the Company recorded $5,782.0 million of inventories in cost of sales ($5,362.2 million for the year ended January 31, 2025). This amount includes a net write-down on inventories of $52.4 million ($58.6 million for the year ended January 31, 2025).

9. **OTHER ASSETS** 

The Company's other assets were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Prepaids | $56.1 | $52.6 |
| Deferred financing cost | 4.7 | 6.1 |
| Other | 8.9 | 9.9 |
| Total other assets | $69.7 | $68.6 |
| Current | 66.2 | 63.9 |
| Non-current | 3.5 | 4.7 |
| Total other assets | $69.7 | $68.6 |

---

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

10. **PROPERTY, PLANT AND EQUIPMENT** 

The Company's property, plant and equipment were as follows, as at:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | January 31, 2026 | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 | January 31, 2025 |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost | Accumulated<br> depreciation | Carrying<br> amount | Cost | Accumulated<br> depreciation | Carrying<br> amount |
|  Tooling | $1527.0 | $1098.7 | $428.3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$1371.8 | $892.4 | $479.4 |
|  Equipment | 1687.5 | 1038.7 | 648.8 | 1536.2 | 815.6 | 720.6 |
|  Building | 913.2 | 328.8 | 584.4 | 861.5 | 277.1 | 584.4 |
|  Land | 155.3 |  | 155.3 | 154.4 |  | 154.4 |
|  Total | $4283.0 | $2466.2 | $1816.8 | $3923.9 | $1985.1 | $1938.8 |

---

As at January 31, 2026 and 2025, assets under development amounted to $98.2 million and $176.8 million respectively and were included in the cost of property, plant and equipment.

The following table explains the changes in property, plant and equipment during the year ended January 31, 2026:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br> amount<br> as at<br> January**<br> **31, 2025** | Additions <sup>[a]</sup> | Disposals | Depreciation <sup>[b]</sup> | Impairment <sup>[c]</sup> | Effect of<br> foreign<br> currency<br> exchange<br> rate<br> changes | **Carrying<br> amount<br> as at<br> January**<br> **31, 2026** |
|  Tooling | $479.4 | $121.8 | $— | $(150.1) | $(34.5) | $11.7 | $428.3 |
|  Equipment | 720.6 | 122.7 | (0.5) | (162.5) | (47.9) | 16.4 | 648.8 |
|  Building | 584.4 | 48.1 | (0.2) | (40.2) | (12.0) | 4.3 | 584.4 |
|  Land | 154.4 | 0.6 |  |  |  | 0.3 | 155.3 |
|  Total | $1938.8 | $293.2 | $(0.7) | $(352.8) | $(94.4) | $32.7 | $1816.8 |

---

<sup>[a]</sup> Government assistance of $2.6 million has been recorded against the additions.

<sup>[b]</sup> An amount of $277.8 million included in cost of sales.

<sup>[c]</sup> Impairment charges are related to electric vehicles ("EV") assets (Note 25) and other assets from discontinued operations (Note 32).

The following table explains the changes in property, plant and equipment during the year ended January 31, 2025:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br> amount<br> as at<br> January**<br> **31, 2024** | Additions<sup>[a]</sup> | Disposals | Depreciation <sup>[b]</sup> | Impairment <sup>[c]</sup> | **Assets held<br> for sale**<br> **(Note 32)** | Effect of<br> foreign<br> currency<br> exchange<br> rate<br> changes | **Carrying<br> amount<br> as at<br> January**<br> **31, 2025** |
|  Tooling | $459.6 | $188.5 | $(0.4) | $(135.4) | $(39.6) | $(0.8) | $7.5 | $479.4 |
|  Equipment | 735.7 | 153.2 | (0.6) | (156.3) | (18.2) | (6.0) | 12.8 | 720.6 |
|  Building | 613.2 | 53.9 | (0.1) | (41.5) | (6.4) | (44.6) | 9.9 | 584.4 |
|  Land | 195.8 | 0.6 |  |  |  | (47.1) | 5.1 | 154.4 |
|  Total | $2004.3 | $396.2 | $(1.1) | $(333.2) | $(64.2) | $(98.5) | $35.3 | $1938.8 |

---

<sup>[a]</sup> Government assistance of $0.4 million has been recorded against the additions.

<sup>[b]</sup> An amount of $258.7 million is included in cost of sales.

<sup>[c]</sup> Impairment charges are related to unutilized assets (Note 25) and Marine businesses assets held for sale (Note 32).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

11. **INTANGIBLE ASSETS** 

The Company's intangible assets were as follows, as at:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | January 31, 2026 | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 | January 31, 2025 |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost | Accumulated<br> depreciation | Carrying<br> amount | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Cost | Accumulated<br> depreciation | Carrying<br> amount |
|  Goodwill | $179.6 | $— | $179.6 | $252.3 | $— | $252.3 |
|  Trademarks | 122.7 |  | 122.7 | 138.2 |  | 138.2 |
|  Software and licenses | 389.7 | 215.8 | 173.9 | 344.2 | 174.5 | 169.7 |
|  Patents | 47.5 | 28.8 | 18.7 | 45.7 | 12.1 | 33.6 |
|  Dealer networks | 48.4 | 48.4 |  | 50.8 | 50.8 |  |
|  Customer relationships | 34.7 | 34.7 |  | 37.3 | 27.3 | 10.0 |
|  Total | $822.6 | $327.7 | $494.9 | $868.5 | $264.7 | $603.8 |

---

The following table explains the changes in intangible assets during the year ended January 31, 2026:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br>amount as<br>at January**<br> **31, 2025** | Additions <sup>[c]</sup> | Business<br>combinations<br>(Note 5) | Depreciation <sup>[d]</sup> | Impairment <sup>[e]</sup> | Effect of<br>foreign<br>currency<br>exchange<br>rate<br>changes | **Carrying<br>amount as<br>at January**<br> **31, 2026** |
|  Goodwill | $252.3 | $— | $22.3 | $— | $(95.0) | $— | $179.6 <sup>[a]</sup> |
|  Trademarks | 138.2 |  |  |  | (15.5) |  | 122.7 <sup>[b]</sup> |
|  Software and licenses | 169.7 | 43.5 | 0.3 | (35.2) | (5.8) | 1.4 | 173.9 |
|  Patents | 33.6 |  |  | (4.3) | (12.4) | 1.8 | 18.7 |
|  Customer relationships | 10.0 |  |  | (1.2) | (8.8) |  |  |
|  Total | $603.8 | $43.5 | $22.6 | $(40.7) | $(137.5) | $3.2 | $494.9 |

---

<sup>[a]</sup> The goodwill is mainly related to the acquisition of the recreational products business from Bombardier Inc. in 2003.

<sup>[b]</sup> The trademarks are related to Snowmobile and Sea-Doo following the acquisition of the recreational products business from Bombardier Inc. in 2003.

<sup>[c]</sup> Government assistance of $nil million has been recorded against the additions.

<sup>[d]</sup> An amount of $10.9 million is included in cost of sales.

<sup>[e]</sup> Impairment charges are related to the light mobility CGU, EV assets (Note 25) and other assets from discontinued operations (Note 32).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

11. **INTANGIBLE ASSETS [CONTINUED]** 

The following table explains the changes in intangible assets during the year ended January 31, 2025:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br> amount as<br> at January**<br> **31, 2024** | Additions <sup>[c]</sup> | Depreciation <sup>[d]</sup> | Impairment <sup>[e]</sup> | **Assets held<br> for sale**<br> **(Note 32)** | Effect of<br> foreign<br> currency<br> exchange<br> rate<br> changes | **Carrying<br> amount as<br> at January**<br> **31, 2025** |
|  Goodwill | $252.3 | $— | $— | $— | $— | $— | $252.3 <sup>[a]</sup> |
|  Trademarks | 164.6 |  |  | (8.9) | (18.6) | 1.1 | 138.2 <sup>[b]</sup> |
|  Software and licenses | 173.6 | 28.2 | (31.8) | (2.0) |  | 1.7 | 169.7 |
|  Patents | 40.2 |  | (4.4) |  |  | (2.2) | 33.6 |
|  Dealer networks | 23.0 |  | (1.7) | (3.8) | (18.3) | 0.8 |  |
|  Customer relationships | 11.4 |  | (1.3) |  |  | (0.1) | 10.0 |
|  Total | $665.1 | $28.2 | $(39.2) | $(14.7) | $(36.9) | $1.3 | $603.8 |

---

<sup>[a]</sup> The goodwill is mainly related to the acquisition of the recreational products business from Bombardier Inc. in 2003 and the acquisition of Pinion that occurred in 2022.

<sup>[b]</sup> The trademarks are related to Snowmobile, Sea-Doo and Pinion, following business acquisitions.

<sup>[c]</sup> Government assistance of $1.6 million has been recorded against the additions.

<sup>[d]</sup> An amount of $8.5 million included in cost of sales.

<sup>[e]</sup> Impairment charges are related to unutilized assets (Note 25) and Marine businesses assets held for sale (Note 32).

#### Recoverability of cash-generating units and group of cash-generating units
The Company performed its annual goodwill impairment test for the Powersports group of CGUs. In performing the annual goodwill impairment test, the carrying amount of the group of CGUs, including goodwill, was compared to its recoverable amount. The Company concluded that the recoverable amount of the Powersports group of CGUs to which goodwill had been allocated exceeded its carrying amount during the year ended January 31, 2026 (no impairment charges for the year ended January 31, 2025).

The Company performed its annual indefinite life intangible assets impairment test for the Snowmobile and Sea-Doo CGUs. Indefinite life intangible assets tested comprise trademarks acquired during business combinations. In performing the annual trademark impairment test, the carrying amount of a CGU, excluding goodwill, was compared to its recoverable amount. The Company concluded that the recoverable amount of the Snowmobile and Sea-Doo CGUs to which trademark had been allocated exceeded their carrying amount during the year ended January 31, 2026 (no impairment charges for the year ended January 31, 2025).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

11. **INTANGIBLE ASSETS [CONTINUED]** 

#### Recoverability of cash-generating units and group of cash-generating units [continued]
The Company determined the recoverable amounts of the Powersports group of CGUs for which goodwill had been allocated, and of the Snowmobile and Sea-Doo CGUs for which trademarks had been allocated based on the value in use method. The Company has determined that the discounted cash flow ("DCF") technique provided the best assessment of what each CGU or group of CGUs could be exchanged for in an arm's length transaction. Fair value is represented by the present value of expected future cash flows of the business together with the residual value of the business at the end of the forecasted period. The DCF technique was applied on an enterprise-value basis, where the after-tax cash flows prior to interest expense are discounted using a weighted average cost of capital. This approach requires assumptions regarding revenue growth rates, earnings before interest, taxes, depreciation, and amortization ("EBITDA") margins, capital expenditures, tax rates and discount rates. The assumptions used in the DCF are Level 3 inputs (as defined in Note 29). The estimated future cash flows are discounted to their present value using a pre-tax discount rate ranging from 8.0% to 9.5%. These discount rates were calculated by adding to the Company's weighted average cost of capital the risk factor associated with the CGU or group of CGUs tested. A growth rate ranging from 2.0% to 3.1% was used to calculate the terminal value.

#### Sensitivity analysis
The Company performs sensitivity analysis on the cash flows and discount rates in order to confirm the trademarks and goodwill recoverable amounts. Holding all other variables constant, a 5% decrease in the estimated cash flows or an increase of 100 basis points in the discount rates used would not have resulted in an impairment charge as at January 31, 2026, for the Powersports group of CGUs to which goodwill had been allocated, as well as for the Snowmobile and Sea-Doo CGUs to which trademark had been allocated.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

12. **LEASES** 

The main leasing activities of the Company are attributable to the Company's manufacturing facility located in Finland, to offices located in Canada and to warehouses used for the distribution of parts, accessories and apparel.

The following table explains the changes in right-of-use assets during the year ended January 31, 2026:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br>amount as<br>at January**<br>**31, 2025** | Additions | Depreciation <sup>[a]</sup> | Effect of<br>foreign<br>currency<br>exchange<br>rate<br>changes | Termination,<br>remeasurement<br>and other | **Carrying<br>amount as<br>at January**<br>**31, 2026** |
| Building & land | $166.1 | $70.9 | $(51.8) | $0.9 | $12.3 | $198.4 |
| Equipment | 16.7 | 6.1 | (8.5) | (0.4) | (0.1) | 13.8 |
| Total | $182.8 | $77.0 | $(60.3) | $0.5 | $12.2 | $212.2 |

---

<sup>[a]</sup> An amount of $33.2 million included in cost of sales.

The following table explains the changes in right-of-use assets during the year ended January 31, 2025:

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br> amount as<br> at January**<br>**31, 2024** | Additions | Depreciation <sup>[a]</sup> | Impairment <sup>[b]</sup> | Effect of<br> foreign<br> currency<br> exchange<br> rate<br> changes | Termination,<br> remeasurement<br> and other | **Carrying<br> amount as<br> at January**<br>**31, 2025** |
| Building & land | $152.4 | $36.7 | $(47.5) | $(6.1) | $3.3 | $27.3 | $166.1 |
| Equipment | 17.3 | 5.9 | (7.7) |  | 0.9 | 0.3 | 16.7 |
| Total | $169.7 | $42.6 | $(55.2) | $(6.1) | $4.2 | $27.6 | $182.8 |

---

<sup>[a]</sup> An amount of $28.4 million included in cost of sales.

<sup>[b]</sup> Impairment charge of $6.1 million is related to Marine businesses assets held for sale (Note 32).

The following table explains the changes in lease liabilities during the year ended January 31, 2026:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br>amount<br>as at<br>January**<br>**31, 2025** | Issuance | Interest | Repayment <sup>[a]</sup> | **Liabilities<br>associated<br>with assets<br>held for sale**<br>**(Note 32)** | Effect of<br>foreign<br>currency<br>exchange<br>rate<br>changes | Termination,<br>remeasurement<br>and other | **Carrying<br>amount<br>as at<br>January**<br>**31, 2026** |
| Lease liabilities | $205.3 | $76.5 | $9.8 | $(67.8) | $3.0 | $(2.0) | $12.6 | $237.4 |

---

<sup>[a]</sup> Includes $9.8 million of interest paid.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

12. **LEASES [CONTINUED]** 

The following table explains the changes in lease liabilities during the year ended January 31, 2025:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Carrying<br> amount<br> as at**<br>**January**<br>**31, 2024** | Issuance | Interest | Repayment <sup>[a]</sup> | **Liabilities<br> associated<br> with assets<br> held for sale**<br>**(Note 32)** | Effect of<br> foreign<br> currency<br> exchange<br> rate<br> changes | Termination,<br> remeasurement<br> and other | **Carrying<br> amount<br> as at<br> January**<br>**31, 2025** |
| Lease liabilities | $188.3 | $43.1 | $8.5 | $(60.9) | $(6.7) | $7.6 | $25.4 | $205.3 |

---

<sup>[a]</sup> Includes $8.5 million of interest paid.

13. **TRADE PAYABLES AND ACCRUALS** 

The Company's trade payables and accruals were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Trade payables <sup>[a]</sup> | $994.5 | $838.7 |
| Wages and related employee accruals | 206.8 | 114.3 |
| Other accruals | 313.9 | 270.8 |
| Total trade payables and accruals | $1515.2 | $1223.8 |

---

<sup>[a]</sup> As at January 31, 2026, trade payables include $38.2 million ($19.4 million as at January 31, 2025) under supply-chain financing arrangements (reverse factoring) with a financial institution, whereby payables due from the Company to certain suppliers have been collected by the suppliers from a financial institution before their original due date. The arrangements do not significantly extend the payment terms beyond the normal terms agreed with other suppliers.

14. **PROVISIONS** 

The Company's provisions were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
| Product-related | $810.2 | $881.8 |
| Restructuring | 7.0 | 20.1 |
| Other | 40.9 | 42.5 |
| Total provisions | $858.1 | $944.4 |
| Current | 737.4 | 797.1 |
| Non-current | 120.7 | 147.3 |
| Total provisions | $858.1 | $944.4 |

---

Product-related provisions include provisions for regular warranty coverage on products sold, product liability provisions and provisions related to sales programs offered by the Company to its Customers in order to support the retail activity.

The non-current portion of provisions is mainly attributable to product-related provisions. As at January 31, 2026, the Company estimates that cash outflows related to those non-current provisions could occur from February 1, 2027 to January 31, 2029.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

14. **PROVISIONS [CONTINUED]** 

The changes in provisions were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Product-related | Restructuring | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total |
|  **Balance as at January 31, 2025** |  |  |  |  |
|  Reclassified (Note 2) | $881.8 | $20.1 | $42.5 | $944.4 |
|  Expensed during the period | 1225.9 | 2.9 | 39.6 | 1268.4 |
|  Paid during the period | (1285.9) | (22.3) | (41.7) | (1349.9) |
|  Reversed during the period | (3.9) | (3.4) | (0.1) | (7.4) |
|  Effect of foreign currency exchange rate changes | (26.5) | 0.2 | 0.1 | (26.2) |
|  Unwinding of discount and effect of changes in discounting estimates | (1.3) |  |  | (1.3) |
|  Liabilities associated with assets held for sale (Note 32) | 20.1 | 9.5 | 0.5 | 30.1 |
|  **Balance as at January 31, 2026** | $810.2 | $7.0 | $40.9 | $858.1 |

---

15. **OTHER FINANCIAL LIABILITIES** 

The Company's other financial liabilities were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | January 31, **2026** | January 31, **2025** |
|  |  | Reclassified (Note 2) |
|  Dealer holdback programs and customer deposits | $48.6 | $39.8 |
|  Due to Bombardier Inc. | 22.4 | 22.7 |
|  Derivative financial instruments | 12.8 | 64.3 |
|  Non-controlling interest liability (Note 25, 29) |  | 23.4 |
|  Contingent consideration (Note 5) | 23.7 |  |
|  Other | 37.8 | 16.2 |
|  Total other financial liabilities | $145.3 | $166.4 |
|  Current | 73.4 | 86.2 |
|  Non-current <sup>[a]</sup> | 71.9 | 80.2 |
|  Total other financial liabilities | $145.3 | $166.4 |

---

<sup>[a]</sup>The non-current portion is mainly comprised of the amount due to Bombardier Inc. in connection with indemnification related to income taxes and the contingent consideration related to a business combination.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

16. **DEBT** 

#### Revolving credit facility
The Company has a Revolving Credit Facility totaling $1,500.0 million, which can also be drawn in U.S dollar or Euro equivalent. As at January 31, 2026, the Company had no outstanding amount drawn on the Revolving Credit Facility (nil as at January 31, 2025). Commitment fees on the undrawn amount of the Revolving Credit Facility, varying from 0.25% to 0.40%, were 0.25%.

The applicable interest rates are subject to a customary credit spread adjustment ranging from 0.45% to 3.00%, which varies depending on a Leverage Ratio. Based on the Leverage Ratio, the cost of borrowing as at January 31, 2026, in Canadian dollars, was either the CORRA plus 1.70% or the Canadian Prime Rate plus 0.70%. In U.S. dollars, it was either the SOFR plus 1.70%, the U.S. Base Rate plus 0.70% or the U.S. Prime Rate plus 0.70%. In Euros, it was the EURIBOR plus 1.70%.

The Company is required to maintain, under certain conditions, a minimum fixed charge coverage ratio. Additionally, the total available borrowing under the Revolving Credit Facility is subject to a borrowing base calculation representing 75% of the carrying amount of trade and other receivables plus 50% of the carrying amount of inventories. The total amount available was $1,375.7 million as at January 31, 2026.

#### Long-term debt
As at January 31, 2026 and 2025, the maturity dates, interest rates, outstanding nominal amounts and carrying amounts of long-term debt were as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| January 31, 2026 | January 31, 2026 | January 31, 2026 | January 31, 2026 | January 31, 2026 | January 31, 2026 |
|  | Maturity date | **Contractual**<br> **interest rate** | **Effective**<br> **interest rate** | **Outstanding**<br> **nominal amount** | **Carrying** <br> **amount**  |
|  Term Facility |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Term Loan B-2 | December 2029 | 5.92% | 5.92% | U.S. $571.5 | $774.8 |
| &nbsp;&nbsp;&nbsp; Term Loan B-3 | January 2031 | 5.92% | 5.92% | U.S. $1,153.7 | 1564.2 |
|  Term Loans | Mar. 2026 to Dec. 2030 | 0.93% to 3.23% | 2.48% to 6.50% | €67.1 | 103.3 |
|  Total long-term debt |  |  |  |  | $2442.3 |
|  Current |  |  |  |  | 49.2 |
|  Non-current |  |  |  |  | 2393.1 |
|  Total long-term debt |  |  |  |  | $2442.3 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| January 31, 2025 | January 31, 2025 | January 31, 2025 | January 31, 2025 | January 31, 2025 | January 31, 2025 |
|  | Maturity date | **Contractual**<br> **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; interest rate** | **Effective**<br> **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;interest rate** | **Outstanding**<br> **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;nominal amount** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Carrying** <br> **amount**  |
|  Term Facility |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Term Loan B-1 | May 2027 | 6.41% | 6.61% | U.S. $465.7 | $673.6<sup>[a]</sup> |
| &nbsp;&nbsp;&nbsp; Term Loan B-2 | December 2029 | 7.06% | 7.31% | U.S. $488.8 | 706.9<sup>[a]</sup> |
| &nbsp;&nbsp;&nbsp; Term Loan B-3 | January 2031 | 7.06% | 7.20% | U.S. $987.5 | 1418.8<sup>[a]</sup> |
|  Term Loans | Mar. 2025 to Dec. 2030 | 0.93% to 3.89% | 2.02% to 6.50% | €<br>88.0 | 125.8 |
|  Total long-term debt |  |  |  |  | $2925.1 |
|  Current |  |  |  |  | 53.8 |
|  Non-current |  |  |  |  | 2871.3 |
|  Total long-term debt |  |  |  |  | $2925.1 |

---

<sup>[a]</sup> Net of unamortized transaction costs of nil for Term Loan B-1, nil for Term Loan B-2 and $9.4 million for Term Loan B-3.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

16. **DEBT [CONTINUED]** 

#### Long-term debt [continued]
The following table explains the changes in long-term debt during the year ended January 31, 2026:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | Statements of cash flows | Statements of cash flows | Non-cash changes | Non-cash changes |  |
|  | Carrying<br> amount as at<br> January 31,<br> 2025 | Issuance | Repayment | Effect of<br> foreign<br> currency<br> exchange rate<br> changes | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | **Carrying**<br> **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; amount as at**<br> **January 31,**<br> **2026** |
|  Term Facility | $2799.3 | $— | $(302.4) | $(167.0) | $9.1 | $2339.0 |
|  Term Loans | 125.8 | 0.7 | (34.0) | 8.5 | 2.3 | 103.3 |
|  Total | $2925.1 | $0.7 | $(336.4) | $(158.5) | $11.4 | $2442.3 |

---

The following table explains the changes in long-term debt during the year ended January 31, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | | Statements of cash flows | Statements of cash flows | Non-cash changes | Non-cash changes | |
|  | Carrying<br> amount as at<br> January 31,<br> 2024 | Issuance | Repayment | Effect of<br> foreign<br> currency<br> exchange rate<br> changes | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | **Carrying**<br> **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; amount as at**<br> **January 31,**<br> **2025** |
|  Term Facility | $2609.7 | $— | $(20.9) | $209.1 | $1.4 | $2799.3 |
|  Term Loans | 153.3 | 3.6 | (38.8) | 5.0 | 2.7 | 125.8 |
|  Total | $2763.0 | $3.6 | $(59.7) | $214.1 | $4.1 | $2925.1 |

---

Under security arrangements, amounts borrowed under the Revolving Credit Facility and the Term Facility (the "Credit Facilities") are secured by substantially all the assets of the Company.

a) **Term facility** 

On October 1<sup>st</sup>, 2025 the Company amended its Term Facility by prepaying the entirety of its U.S. $465.7 million Term Loan B-1 due May 2027, and by increasing its Term Loan B-2 by U.S. $88.0 million and Term Loan B-3 by U.S. $177.0 million, resulting in a net reduction of U.S. $200.7 million of the outstanding Term Facility. As part of this amendment, the Company also repriced its Term Facility, reducing the cost of borrowing by 0.50%, with all other conditions remaining substantially the same. The Company incurred transaction costs of $4.4 million, which have been recorded in financing costs. In addition, the previous unamortized costs of $8.2 million associated to Term Loan B-3 were derecognized and recorded in financing costs.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

16. **DEBT [CONTINUED]** 

a) **Term facility [continued]** 

As at January 31, 2026, the cost of borrowing under the Term Loan B-2 was as follows:

(i) Term SOFR, plus 2.25% per annum, with a Term SOFR floor of 0.50%

As at January 31, 2026, the cost of borrowing under the Term Loan B-3 was as follows:

(i) Term SOFR, plus 2.25% per annum, with a Term SOFR floor of 0.00%

Under the Term Facility, the cost of borrowing in U.S. Base Rate or U.S. Prime Rate cannot be lower than the cost of borrowing in SOFR.

The Company is required to repay a minimum of 0.25% of the nominal amount each quarter, less any voluntary prepayments done to date. Consequently, the Company repaid an amount of U.S. $16.2 million ($22.5 million) during the year ended January 31, 2026 (U.S. $15.2 million ($20.9 million) during the year ended January 31, 2025). Also, the Company may be required to repay a portion of the Term Facility in the event that it has an excess cash position at the end of the fiscal year and its leverage ratio is above a certain threshold level. As at January 31, 2026 and 2025, the Company was not required to repay any portion of the Term Facility under this requirement.

b) **Term loans** 

During the year ended January 31, 2026, the Company entered into a term loan agreement at favourable interest rates under an Austrian government program. This program supports research and development projects based on the Company's incurred expenses in Austria. The term loan has a nominal amount of

€0.4 million ($0.7 million) with an interest rate of 1.75% and maturity date of June 2028.

During the year ended January 31, 2025, these term loans had a nominal amount of

€2.4 million ($3.6 million) with an interest rate varying between 2.50% and 3.23% with maturity dates varying from March 2028 to December 2028. The Company recognized a grant of

€0.1 million ($0.2million) as a reduction of research and development expenses representing the difference between the fair value of the term loan at inception and the cash received.

17. **OTHER LIABILITIES** 

The Company's other liabilities were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2026** | **January 31,**<br> **2025** |
|  |  | Reclassified<br> (Note 2) |
|  Deferred share units liability | $14.0 | $7.6 |
|  Restricted share units liability | 31.8 | 3.0 |
|  Jubilee and other long-term employee benefits | 27.5 | 24.1 |
|  Total other liabilities | $73.3 | $34.7 |
|  Current <sup>[a]</sup> | 26.7 | 7.6 |
|  Non-current | 46.6 | 27.1 |
|  Total other liabilities | $73.3 | $34.7 |

---

<sup>[a]</sup> The amount is attributable to the deferred share units ("DSU") and a portion of the restricted share units ("RSU") liability (Note 20).

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS** 

Employee benefits expenses, which represent the expenses related to all forms of consideration provided by the Company in exchange for services rendered by its employees, were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2026** | **January 31,**<br> **2025** |
|  |  | Reclassified<br> (Note 2) |
|  Current remuneration | $1267.0 | $1185.5 |
|  Post-employment defined benefit plans | 11.6 | 10.1 |
|  Post-employment defined contribution plans | 57.0 | 56.7 |
|  Termination benefits | 1.1 | 46.6 |
|  Stock-based compensation (Note 20) | 21.7 | 15.5 |
|  Other long-term benefits | 4.9 | 6.1 |
|  Total <sup>[a]</sup> | $1363.3 | $1320.5 |

---

<sup>[a]</sup> An amount of $697.3 million included in cost of sales for period ended January 31, 2026 ($649.4 million for period ended January 31, 2025)

a) **Post-employment benefits** 

The Company sponsors defined contribution retirement plans and non-contributory defined benefit plans that provide for pensions and other post-retirement benefits to a majority of its employees.

#### Canadian employees
The Company sponsors defined benefit pension plans and other post-retirement benefit plans for its Canadian executive employees and defined contribution plans for executive and non-executive employees. Additionally, the Company retained defined benefit obligations with certain active and former employees for services rendered prior to 2005.

The Company's other post-retirement benefit plans provide, during retirement, non-contributory life insurance benefits and healthcare benefits to eligible employees that are funded on a pay-as-you-go basis. The healthcare benefits are payable from retirement to age 65.

The defined benefit plans are registered with the governments and follow their applicable laws. The plans are governed by a retirement committee composed of representatives from the employer and the employees. The retirement committee delegated its responsibilities to the investment committee, which is responsible for the investment policy with regard to the assets of the fund. This committee is composed of representatives from the employer. The plans have a strategy to decrease the risk level by increasing progressively, when the solvency of the plans will improve, the part of the plan assets in long-term fixed income securities. The Company contributes to the plans the minimum funding obligations required under the current regulations. The weighted average duration of the defined benefit obligations is approximately 11 years. As at January 31, 2026, the Company expects that 50% of the future payments associated with its Canadian defined benefit obligations will be paid in the next 15 years.

In addition, the Company sponsors a defined benefit retirement plan to provide supplemental pension benefits to its executives ("SERP").

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS [CONTINUED]** 

a) **Post employment benefits [continued]** 

#### United States employees
In the United States, the Company offers a defined contribution plan to its employees as well as a defined benefit final average earnings non-registered supplementary executive retirement plan for its executive employees ("SERP").

#### European employees
The Company's sponsors defined contribution plans to its employees in most of its European entities. In addition, the Company maintains an unfunded defined benefit plan and sponsors a lump sum retirement indemnity plan in Austria. Under the defined benefit plan, the benefits are based on such employees' length of service, applicable pension accrual rates and compensation at retirement. Under the lump sum retirement indemnity plan, the benefits are based on the length of service and compensation at retirement. These plans are regulated by the applicable Austrian laws. The weighted average duration of the defined benefit obligation is approximately 11 years. As at January 31, 2026, the Company expects that 50% of the future payments associated with its Austrian defined benefit obligations will be paid in the next 13 years.

b) **Defined benefit plans** 

#### Actuarial risks
The significant actuarial risks to which the plans expose the Company are as follows:

Market related risks

Investment risk

The present value of the defined benefit obligation is calculated using a discount rate determined by reference to high quality corporate fixed income investments. If the return on plan assets is below this rate, it will increase the plan liability. Currently, the funded plans have investments in equity securities and fixed income securities. Due to the long-term nature of the plan liabilities, the Company considers it appropriate that a reasonable portion of the plan assets should be invested in equity securities and income securities to leverage the return generated by the fund.

Interest risk

A decrease in the fixed income investments interest rate will increase the plans' liabilities. However, for funded plans, this will be partially offset by an increase in the fair value of the plans' fixed income securities.

Employee related risks

Longevity risk

The present value of the defined benefit obligation is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plans' liabilities.

Salary risk

The present value of the defined benefit obligation is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the plans' liabilities.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS [CONTINUED]** 

b) **Defined benefit plans [continued]** 

#### Actuarial assumptions
The weighted average of the significant actuarial assumptions adopted to determine the defined benefit cost and the defined benefit obligation were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Years ended | Years ended | Years ended | Years ended |
| | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
| **Benefit cost actuarial assumptions <sup>[a]</sup>** |  |  |  |  |
| Discount rates used to determine: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Current service cost | 4.75% | 3.90% | 5.05% | 3.46% |
| &nbsp;&nbsp;&nbsp;Net interest cost | 4.65% | 3.41% | 5.05% | 3.48% |
| Expected rate of compensation increase | 3.00% | 3.00% | 3.00% | 3.00% |
| Mortality table | CPM 2014<br> Private | AVOE 2018 | CPM 2014<br> Private | AVOE 2018 |
| **Defined benefit obligation actuarial assumptions <sup>[b]</sup>** |  |  |  |  |
| Discount rate | 4.90% | 3.84% | 4.65% | 3.41% |
| Rate of compensation increase | 3.00% | 3.00% | 3.00% | 3.00% |
| Mortality table | CPM 2014<br> Private | AVOE 2018 | CPM 2014<br> Private | AVOE 2018 |

---

<sup>[a]</sup> Determined as at beginning of the reporting periods.

<sup>[b]</sup> Determined as at end of the reporting periods.

The discount rate represents the market rate for high quality corporate fixed income investments consistent with the currency and the estimated term of the defined benefit plan obligation. The expected rate of compensation increase is determined considering the current salary structure, historical and anticipated wage increases.

Health care cost trend

The health care cost is assumed to be a rate of 4.3% in fiscal year 2026 and to a rate that will gradually decline to reach 3.3% in fiscal year 2034. After this date, the rate is assumed to remain at 3.3%. An increase of 1% of the health care cost trend rate would not have a significant impact on the defined benefit cost and on the defined benefit obligations for the years ended January 31, 2026 and 2025.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS [CONTINUED]** 

b) **Defined benefit plans [continued]** 

#### Employee future benefit liabilities
The amounts arising from the Company's obligations under defined benefit obligations were as follows, as at:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
| Defined benefit obligation of funded plans | $(255.0) | $(2.7) | $(263.0) | $(2.5) |
| Fair value of plans assets | 226.1 | 2.2 | 256.0 | 2.0 |
|  | (28.9) | (0.5) | (7.0) | (0.5) |
| Defined benefit obligation of unfunded plans | (74.2) | (107.3) | (74.0) | (112.5) |
| Employee future benefit liabilities | $(103.1) | $(107.8) | $(81.0) | $(113.0) |

---

The following table provides a reconciliation of the changes in the pension plans' defined benefit obligations (funded and unfunded) as at the consolidated statement of financial position dates:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
| Defined benefit obligation at beginning of year | $(337.0) | $(115.0) | $(319.8) | $(107.8) |
| Current service cost | (1.8) | (1.7) | (2.1) | (1.6) |
| Interest cost | (15.4) | (4.1) | (15.7) | (3.8) |
| Actuarial gains (losses) from changes in demographic assumptions | 2.3 |  |  | (2.3) |
| Actuarial gains (losses) from changes in financial assumptions | 9.7 | 5.2 | (15.4) | (1.9) |
| Actuarial gains (losses) from experience adjustments | (3.7) | 3.9 |  | (2.1) |
| Benefits paid | 16.7 | 8.6 | 16.0 | 8.6 |
| Effect of foreign currency exchange rate changes |  | (6.9) |  | (4.1) |
| Defined benefit obligation at end of year | $(329.2) | $(110.0) | $(337.0) | $(115.0) |

---

The following table provides a reconciliation of the changes in the pension plans' fair value of assets as at consolidated statement of financial position dates:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
| Assets fair value at beginning of year | $256.0 | $2.0 | $269.6 | $1.7 |
| Interest income | 11.7 |  | 13.4 |  |
| Administration costs | (0.3) |  | (0.3) |  |
| Actuarial gains (losses) from return on plan assets | (2.3) | (0.1) | 17.2 |  |
| Employer contributions | 10.6 | 8.8 | 8.4 | 8.9 |
| Distributions to employer <sup>[a]</sup> | (29.4) |  | (36.3) |  |
| Benefits paid | (16.7) | (8.6) | (16.0) | (8.6) |
| Effect of foreign currency exchange rate changes |  | 0.1 |  |  |
| Assets fair value at end of year | $229.6 | $2.2 | $256.0 | $2.0 |
| Asset ceiling <sup>[b]</sup> | (3.5) |  |  |  |
| Net assets fair value at end of year | $226.1 | $2.2 | $256.0 | $2.0 |

---

<sup>[a]</sup>On December 31, 2024, the Company amended its Canadian SERPs resulting in the partially funded Canadian SERPs being converted to secured SERPs supported by irrevocable surety bonds. As a result of this amendment, $36.3 million and $29.4 million of plan assets were distributed during the years ended January 31, 2025 and January 31, 2026, respectively. Surety bonds renewable annually of $80.8 million issued during the year ended January 31, 2025 were renewed, now maturing January 1, 2027.

<sup>[b]</sup> As at January 31, 2026, the surplus from the Canadian Executive plan was limited to an asset ceiling that represents the present value of the economic benefits available to the Company.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS [CONTINUED]** 

b) **Defined benefit plans [continued]** 

In accordance with the minimum funding obligations required under the current regulations, the Company expects to contribute $14.9 million to all defined benefit pension plans for the year ending January 31, 2027.

The actual return (loss) on plan assets was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Years ended | Years ended | Years ended | Years ended |
| | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, 2026 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, 2026 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, 2025 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
|  Actual return (loss) on plan assets | $9.1 | $(0.1) | $30.3 | $— |

---

The fair value of the plan assets for each category was as follows, as at:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Publicly traded Canadian equity securities | $23.3 | $22.9 |
|  Publicly traded foreign equity securities | 40.7 | 39.6 |
|  Publicly traded fixed income securities | 10.9 | 10.4 |
|  Insurance contracts <sup>[a]</sup> | 136.0 | 147.8 |
|  Other | 20.9 | 37.3 |
|  Total | $231.8 | $258.0 |
|  Asset ceiling | (3.5) |  |
|  Net assets fair value at end of year | $228.3 | $258.0 |

---

<sup>[a]</sup> On December 8, 2022, the Company purchased $155.1 million of qualifying annuity buy-in insurance contracts on behalf of certain defined benefit plans as a mechanism to reduce pension plan risk. The fair value of annuity buy-in insurance contracts fluctuates based on changes in the associated defined benefit obligation. These values are unquoted due to the use of the significant unobservable inputs used in deriving these assets' fair values.

The fair values of the above equity and fixed income securities were determined based on quoted market prices in active markets.

#### Defined benefit costs
Components of the total defined benefit costs recognized in the consolidated statement of net income were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Years ended | Years ended | Years ended | Years ended |
| | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |
| | Canada | Foreign | Canada | Foreign |
|  Current service cost | $1.8 | $1.7 | $2.1 | $1.6 |
|  Net interest on the future employee benefit liabilities | 3.7 | 4.1 | 2.3 | 3.8 |
|  Administration costs | 0.3 |  | 0.3 |  |
|  Defined benefit costs | $5.8 | $5.8 | $4.7 | $5.4 |

---

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

18. **EMPLOYEE BENEFITS [CONTINUED]** 

b) **Defined benefit plans [continued]** 

#### Sensitivity analysis
Actuarial assumptions that influence significantly the determination of the defined benefit obligations of the Company are the discount rate, the expected rate of compensation increase and the participants' longevity. The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

The impact on employee future benefit liabilities would be the following as at January 31, 2026:

---

| | |
|:---|:---|
|  | Increase (Decrease) of the liabilities |
|  **Discount rate** |  |
| &nbsp;&nbsp;&nbsp; Impact of a 0.5% increase | $(23.1) |
| &nbsp;&nbsp;&nbsp; Impact of a 0.5% decrease | 25.3 |
|  **Expected rate of compensation increase** |  |
| &nbsp;&nbsp;&nbsp; Impact of a 0.5% increase | $3.5 |
| &nbsp;&nbsp;&nbsp; Impact of a 0.5% decrease | (3.2) |
|  **Participant longevity** |  |
| &nbsp;&nbsp;&nbsp; Impact of a 1 year increase | $8.6 |
| &nbsp;&nbsp;&nbsp; Impact of a 1 year decrease | (8.7) |

---

The sensitivity analysis presented above may not be representative of the potential change in the employee future benefit liabilities as it is unlikely that the change in assumptions would occur in isolation from one another as some of the assumptions may be correlated.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

19. **CAPITAL STOCK** 

The authorized capital stock of the Company is comprised of an unlimited number of multiple voting shares carrying six votes per share with no par value, an unlimited number of subordinate voting shares carrying one vote per share with no par value, and an unlimited number of non-voting preferred shares issuable in series with no par value.

The changes in capital stock issued and outstanding were as follows:

---

| | | |
|:---|:---|:---|
|  | Number of shares | Carrying Amount |
|  **Subordinate voting shares** |  |  |
| &nbsp;&nbsp;&nbsp; **Balance as at February 1, 2024** | 34808553 | $245.3 |
| &nbsp;&nbsp;&nbsp; Issued upon exercise of stock options | 422087 | 19.1 |
| &nbsp;&nbsp;&nbsp; Issued in exchange of multiple voting shares | 1628558 | 0.1 |
| &nbsp;&nbsp;&nbsp; Repurchased under the NCIB | (2346799) | (16.6) |
| &nbsp;&nbsp;&nbsp; **Balance as at January 31, 2025** | 34512399 | 247.9 |
| &nbsp;&nbsp;&nbsp; Issued upon exercise of stock options | 576632 | 32.2 |
| &nbsp;&nbsp;&nbsp; Issued in exchange of multiple voting shares | 3700154 | 0.3 |
| &nbsp;&nbsp;&nbsp; Repurchased under the NCIB | (485400) | (3.7) |
| &nbsp;&nbsp;&nbsp; **Balance as at January 31, 2026** | 38303785 | $276.7 |
|  **Multiple voting shares** |  |  |
| &nbsp;&nbsp;&nbsp; **Balance as at February 1, 2024** | 40147916 | $3.2 |
| &nbsp;&nbsp;&nbsp; Exchanged for subordinate voting shares | (1628558) | (0.1) |
| &nbsp;&nbsp;&nbsp; **Balance as at January 31, 2025** | 38519358 | $3.1 |
| &nbsp;&nbsp;&nbsp; Exchanged for subordinate voting shares | (3700154) | (0.3) |
| &nbsp;&nbsp;&nbsp; **Balance as at January 31, 2026** | 34819204 | $2.8 |
|  **Total outstanding as at January 31, 2026** | 73122989 | $279.5 |

---

a) **Normal course issuer bid program ("NCIB")** 

On December 4, 2025, the Company announced the renewal of its NCIB to repurchase for cancellation up to 3,131,256 of its outstanding subordinate voting shares over a twelve-month period commencing on December 10, 2025, and ending no later than December 9, 2026 (the "Current NCIB"). During the year ended January 31, 2026, the Company repurchased for cancellation 485,400 subordinate voting shares for a total consideration of $50.3 million under the Current NCIB. During the same period, the Company did not repurchase subordinate voting shares under the NCIB that was announced and started during the fiscal year ended January 31, 2025 ("Previous NCIB", as defined hereafter).

For the year ended January 31, 2026, of the total consideration of $50.3 million, $3.7 million represents the carrying amount of the shares repurchased and $46.6 million represents the amount charged to retained losses.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

19. **CAPITAL STOCK [CONTINUED]** 

a) **Normal course issuer bid program ("NCIB") [continued]** 

On December 6, 2024, the Company announced the renewal of its NCIB to repurchase for cancellation up to 3,331,852 of its outstanding subordinate voting shares over a twelve-month period commencing on December 10, 2024, and ending no later than December 9, 2025 ("Previous NCIB"). No shares were repurchased under the Previous NCIB. For the year ended January 31, 2025, the Company repurchased for cancellation 2,346,799 subordinate voting shares under the NCIB that was announced and started during the fiscal year ended January 31, 2024 for a total consideration of $218.6 million.

For the year ended January 31, 2025, of the total consideration of $218.6 million, $16.6 million represents the carrying amount of the shares repurchased and $202.0 million represents the amount charged to retained losses.

b) **Secondary offering** 

On December 23, 2025, Bain Capital completed a secondary offering of 1,850,000 subordinate voting shares of the Company through an underwriter and a distribution in kind of 307,018 subordinate voting shares to certain affiliates and limited partners. Prior to such transaction, Bain Capital converted 2,157,018 multiple voting shares into an equivalent number of subordinate voting shares. The Company did not receive any of the proceeds of the secondary offering. In accordance with the terms of the registration rights agreement entered into in connection with the initial public offering of the Company's subordinate voting shares, the Company incurred less than $1.0 million of fees and expenses related to this secondary offering.

On September 12, 2025, Bain Capital completed a secondary offering of 1,500,000 subordinate voting shares of the Company through an underwriter and a distribution in kind of 43,136 subordinate voting shares to certain affiliates and limited partners. Prior to such transaction, Bain Capital converted 1,543,136 multiple voting shares into an equivalent number of subordinate voting shares. The Company did not receive any of the proceeds of the secondary offering. In accordance with the terms of the registration rights agreement entered into in connection with the initial public offering of the Company's subordinate voting shares, the Company incurred less than $1.0 million of fees and expenses related to this secondary offering.

On April 19, 2024, Bain Capital completed a secondary offering of 1,500,000 subordinate voting shares of the Company through an underwriter and a distribution in kind of 128,558 subordinate voting shares to certain affiliates and limited partners. Prior to such transaction, Bain Capital converted 1,628,558 multiple voting shares into an equivalent number of subordinate voting shares. The Company did not receive any of the proceeds of the secondary offering. In accordance with the terms of the registration rights agreement entered into in connection with the initial public offering of the Company's subordinate voting shares, the Company incurred approximately $1.0 million of fees and expenses related to this secondary offering.

c) **Dividend** 

During the year ended January 31, 2026, the Company declared four quarterly dividends of $0.215 per share for holders of its multiple voting shares and subordinate voting shares. The dividends were paid on April 18, 2025, July 14, 2025, October 14, 2025 and January 14, 2026 for a total consideration of $62.9 million to shareholders.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

19. **CAPITAL STOCK [CONTINUED]** 

c) **Dividend [continued]** 

During the year ended January 31, 2025, the Company declared four quarterly dividends of $0.21 per share for holders of its multiple voting shares and subordinate voting shares. The dividends were paid on April 22, 2024, July 12, 2024, October 11, 2024 and January 14, 2025 for a total consideration of $61.9 million to shareholders.

20. **SHARE BASED PAYMENT PLANS** 

a) **Stock options** 

A reserve of 10,814,828 subordinate voting shares are available to be granted in stock options to officers and employees under the Company's stock option plan. Such stock options are time vesting and 25% of the options will vest on each of the first, second, third and fourth anniversary of the grant. The stock options have a ten-year term at the end of which the options expire.

The following table summarizes the weighted-average fair value of options granted and the main assumptions that were used to calculate the fair value during the years ended January 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br>**2026** | **January 31,**<br>**2025** |
| Weighted-average fair value at grant date | $17.49 | $39.70 |
| Weighted average assumptions used in the fair value models |  |  |
| &nbsp;&nbsp;&nbsp;Share price | $50.95 | $97.32 |
| &nbsp;&nbsp;&nbsp;Risk-free interest rate | 2.84% | 3.47% |
| &nbsp;&nbsp;&nbsp;Expected life | 5.04 years | 5.04 years |
| &nbsp;&nbsp;&nbsp;Expected volatility | 40.66% | 45.44% |
| &nbsp;&nbsp;&nbsp;Expected annual dividend per share | 1.65% | 0.86% |

---

The Company uses the Black-Scholes option-pricing model to estimate the fair value of options granted. The expected volatility used in option pricing models is calculated based on historical volatility of similar listed entities.

The number of stock options varied as follows:

---

| | | |
|:---|:---|:---|
|  | Number of options | **Weighted average**<br>**exercise price** |
| **Balance as at February 1, 2024** | 3548504 | $67.46 |
| Granted | 433070 | 98.12 |
| Forfeited/Cancelled | (153825) | 103.80 |
| Exercised <sup>[a]</sup> | (422087) | 33.42 |
| **Balance as at January 31, 2025** | 3405662 | $73.94 |
| Granted | 765030 | 50.43 |
| Forfeited/Cancelled <sup>[b]</sup> | (387608) | 104.86 |
| Exercised <sup>[c]</sup> | (576632) | 41.07 |
| **Balance as at January 31, 2026** | 3206452 | $70.50 |

---

<sup>[</sup><sup>a]</sup> The weighted average stock price on these exercised stock options was $93.02.

<sup>[b]</sup> Includes the voluntary forfeiture of 288,838 stock options related to a special long-term incentive program ("SLTIP").

<sup>[c]</sup> The weighted average stock price on these exercised stock options was $97.10.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

20. **SHARE BASED PAYMENT PLANS [CONTINUED]** 

a) **Stock options [continued]** 

The following table summarizes information about stock options outstanding and exercisable, as at January 31, 2026:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Outstanding | Outstanding | Outstanding | Exercisable | Exercisable |
| Exercise price range | Number of<br> options | **Weighted-<br> average**<br>**exercise**<br>**price** | Weighted-<br> average<br> remaining life<br> (years) | Number of<br> options | **Weighted-<br> average**<br>**exercise**<br>**price** |
| $20 to $40 | 536101 | $26.97 | 4.1 | 536101 | **$26.97** |
| $40 to $60 | 1049028 | 48.67 | 7.5 | 305828 | 45.97 |
| $60 to $80 | 152627 | 63.07 | 2.6 | 152627 | 63.07 |
| $80 to $100 | 445493 | 97.42 | 8.0 | 116799 | 97.13 |
| $100 to $120 | 1021623 | 105.06 | 6.3 | 668873 | 105.70 |
| $120 to $140 | 1580 | 123.03 | 5.6 | 1580 | 123.03 |
| Balance as at January 31, 2026 | 3206452 | $70.50 | 6.4 | 1781808 | **$67.56** |

---

The following table summarizes information about stock options outstanding and exercisable, as at January 31, 2025:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Outstanding | Outstanding | Outstanding | Exercisable | Exercisable |
| Exercise price range | Number of<br> options | **Weighted-<br> average**<br>**exercise**<br>**price** | Weighted-<br> average<br> remaining life<br> (years) | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Number of**<br>**options** | **Weighted-<br> average**<br>**exercise**<br>**price** |
| $20 to $40 | 818726 | $27.44 | 4.9 | 818726 | $27.44 |
| $40 to $60 | 493580 | 45.86 | 4.3 | 493580 | 45.86 |
| $60 to $80 | 252011 | 62.95 | 3.5 | 252011 | 62.95 |
| $80 to $100 | 456720 | 97.46 | 9.1 | 18800 | 90.26 |
| $100 to $120 | 1379325 | 105.62 | 7.2 | 641825 | 106.60 |
| $120 to $140 | 5300 | 123.03 | 6.6 | 3975 | 123.03 |
| Balance as at January 31, 2025 | 3405662 | $73.94 | 6.2 | 2228917 | $59.03 |

---

Share based compensation expense of $21.7 million for the year ended January 31, 2026 ($15.5 million for the year ended January 31, 2025) has been recorded in general and administrative expenses in the consolidated statements of net income.

As at January 31, 2026, the total unrecognized compensation cost related to unvested share-based payments totalled $14.0 million ($17.2 million as at January 31, 2025).

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

20. **SHARE BASED PAYMENT PLANS [CONTINUED]** 

b) **Restricted and deferred share units** 

The Company offers a share unit plan to certain eligible employees under which RSU are granted. During the twelve-month periods ended January 31, 2026 and 2025, the Company granted 235,800 and 167,800 RSU, respectively. The RSU were granted to eligible employees at a share price of $51.24 and $98.67 respectively. The RSU that were granted during the twelve-month period ended January 31, 2026 are time vesting and 33% of the RSU will vest on each of the first, second and third anniversary of the grant. The RSU granted during the twelve-month period ended January 31, 2025 fully vest after three years of continuous employment from the date of the grant. Under both vesting rules, RSU are paid in cash once vested. Holders of RSU are entitled to dividends declared by the Company which are paid out in cash once the grants fully vest. As at January 31, 2026, a liability of $19.7 million was recorded in other liabilities (Note 17).

During the year ended January 31, 2026, the Company also granted 266,304 RSU at a share price of $62.87 under a special long-term incentive program ("SLTIP"). The RSU under the SLTIP are subject to time-based and continued employment criteria as well as the voluntary forfeiture of a number of stock options issued in calendar years 2021, 2022 and 2023. As a result of this grant, the Company recognized in the consolidated statements of net income an expense of $4.3 million, representing the incremental fair value of the RSU compared to the 2021-2023 stock options both measured at the grant date. The company also reclassified $14.2 million from contributed surplus to other liability, representing the change from an equity plan to the cash settled plan. During the year ended January 31, 2026, an amount of $10.8 million was paid to eligible employees under the SLTIP. As at January 31, 2026, a liability of $12.1 million was recorded in other liabilities (Note 17).

The Company also offers DSU to the independent members of the Company's Board of Directors. The value of these DSU is based on the Company's share price at the time of payment. Holders of DSU are entitled to dividends declared by the Company which are recognized in the form of additional awards equivalent in value to the dividends paid on common shares. DSU granted under the plan will be redeemable and the value thereof payable in cash only after the member ceases to act as a director of the Company. As at January 31, 2026, a liability of $14.0 million was recorded in other liabilities (Note 17).

During the twelve-month period ended January 31, 2026, the expense associated to these plans was $31.8 million ($3.0 million for the year ended January 31, 2025). The Company used total return swaps to mitigate the impact of the share price variation on the RSU plans.

The following tables presents the changes in the plans' status during the years ended January 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Number of units | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Number of units |
|  | DSU | RSU |
| **Balance as at February 1, 2024** | 114334 |  |
| Granted | 24888 | 167800 |
| Forfeited/Cancelled |  | (18150) |
| Paid | (29980) |  |
| **Balance as at January 31, 2025** | 109242 | 149650 |
| Granted | 27421 | 502104 |
| Forfeited/Cancelled |  | (23630) |
| Paid |  | (115535) |
| **Balance as at January 31, 2026** | 136663 | 512589 |

---

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

21. **EARNINGS PER SHARE** 

a) **Basic earnings per share** 

Details of basic earnings per share were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2025** |
| Net income attributable to shareholders - continuing operations | $342.7 | $64.5 |
| Net loss attributable to shareholders - discontinued operations | (51.1) | (277.6) |
| Net income (loss) attributable to shareholders | $291.6 | $(213.1) |
| Weighted average number of shares | 73134185 | 73661874 |
| Basic earnings per share - continuing operations | $4.69 | $0.88 |
| Basic loss per share - discontinued operations | (0.70) | (3.77) |
| Basic earnings (loss) per share | $3.99 | $(2.89) |

---

b) **Diluted earnings per share** 

Details of diluted earnings per share were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2025** |
| Net income attributable to shareholders - continuing operations | $342.7 | $64.5 |
| Net loss attributable to shareholders - discontinued operations | (51.1) | (277.6) |
| Net income (loss) attributable to shareholders | $291.6 | $(213.1) |
| Weighted average number of shares | 73134185 | 73661874 |
| Dilutive effect of stock options | 762320 | 924347 |
| Weighted average number of diluted shares | 73896505 | 74586221 |
| Diluted earnings per share - continuing operations | $4.64 | $0.86 |
| Diluted loss per share - discontinued operations | (0.69) | (3.72) |
| Diluted earnings (loss) per share | $3.95 | $(2.86) |

---

Excluded from the above calculation is 1,468,696 options for the twelve-month period ended January 31, 2026 (1,841,345 for the twelve-month period ended January 31, 2025), which were deemed to be anti-dilutive.

The average market value of the Company's shares for purposes of calculating the dilutive effect of stock options was based on share value on the Toronto Stock Exchange for the period during which the options were outstanding.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

22. **SEGMENTED INFORMATION** 

The Company had two operating and reportable segments; Powersports and Marine. Following the disposal of Alumacraft and Manitou during the year ended January 31, 2026, the Company transitioned to one operating and reportable segment.

The Company's portfolio of products comprises "Year-Round Products", which consists of all-terrain vehicles, side-by-side vehicles, three-wheel vehicles and electric motorcycles; "Seasonal Products", which consists of snowmobiles, personal watercraft and pontoons; "PA&A, OEM Engines and Others", which consists of parts, accessories and apparel ("PA&A"), engines for karts, recreational aircraft and jet boats, as well as other products and services.

Details of the Company's product categories were as follows:

---

| | | |
|:---|:---|:---|
| | Years ended | Years ended |
| | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
|  |  | Reclassified (Note 2) |
| Year-Round Products | $4802.4 | $4307.2 |
| Seasonal Products | 2291.5 | 2370.4 |
| PA&A, OEM Engines and Others | 1348.8 | 1225.3 |
|  | $8442.7 | $7902.9 |

---

The following table provides geographic information on Company's revenues, property, plant and equipment, intangible assets and right-of-use assets. The attribution of revenues was based on customer locations.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Revenues | Revenues | Property, plant and equipment,<br> intangible assets and<br> right-of-use assets | Property, plant and equipment,<br> intangible assets and<br> right-of-use assets |
|  | Years ended | Years ended | As at | As at |
|  | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; January 31,**<br>**2025** | **January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
|  |  | Reclassified<br> (Note 2) |  |  |
| United States | $4698.5 | $4566.1 | $237.1 | $252.5 |
| Canada | 1259.3 | 1109.0 | 864.0 | 906.2 |
| Europe | 1207.8 | 1130.0 | 469.6 | 566.6 |
| Asia Pacific | 555.0 | 499.7 | 90.2 | 59.1 |
| Latin America | 709.2 | 586.5 | 863.0 | 941.0 |
| Other | 12.9 | 11.6 |  |  |
|  | $8442.7 | $7902.9 | $2523.9 | $2725.4 |

---

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

23. **GOVERNMENT ASSISTANCE** 

The Company's government assistance, including tax credits, was as follows:

---

| | | |
|:---|:---|:---|
| | Years ended | Years ended |
| | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
|  |  | Reclassified (Note 2) |
| Recorded against research and development expense | $39.8 | $65.2 |
| Recorded against other elements of operating income | 1.1 | 2.6 |
|  | $40.9 | $67.8 |
| Recorded against the cost of property, plant and equipment | $2.6 | $0.4 |
| Recorded against the cost of intangibles | $— | $1.6 |

---

24. OTHER OPERATING EXPENSES (INCOME)

Details of other operating expenses (income) were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
|  | | Reclassified<br>(Note 2) |
| Foreign exchange loss (gain) on working capital elements | $7.3 | $(47.3) |
| Loss on forward exchange contracts | 3.6 | 51.5 |
| Restructuring costs <sup>[a]</sup> | (0.5) | 76.8 |
| Non-controlling interest liability reversal (Note 25) | (21.8) | (3.1) |
| Other | (1.3) | (10.0) |
| Total | $(12.7) | $67.9 |

---

[a]During the twelve-month period ended January 31, 2025, the Company recorded restructuring costs of $76.8 million, which includes severance packages to employees as part of workforce reduction, contract exit costs and supplier claims related to restructuring activities.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

25. **IMPAIRMENT CHARGE** 

The challenges in the EV industry and the dynamics within the light mobility market have led to the identification of impairment indicators respectively for the EV assets and the light mobility CGU, including Pinion and Smartscale businesses. During the twelve-month period ended January 31, 2026, the Company recorded an impairment charge totalling $229.8 million on the EV assets and light mobility CGU, of which $93.9 million was allocated to property, plant and equipment (Note 10) and $135.9 million to intangible assets (Note 11). As a result of these market headwinds, the Company also recorded provisions of $28.5 million related to EV products and reversed the non-controlling interest liability for $21.8 million (Note 24).

The Company determined the recoverable amounts of the light mobility CGU for which goodwill and trademarks had been allocated based on the value in use method. The Company has determined that the discounted cash flow ("DCF") technique provided the best assessment for which that CGU could be exchanged for in an arm's length transaction. Fair value is represented by the present value of expected future cash flows of the business together with the residual value of the business at the end of the forecasted period. The DCF technique was applied on an enterprise-value basis, where the after-tax cash flows prior to interest expense are discounted using a weighted average cost of capital. This approach requires assumptions regarding revenue growth rates, earnings before interest, taxes, depreciation, and amortization ("EBITDA") margins, capital expenditures, tax rates and discount rates. The assumptions used in the DCF are Level 3 inputs (as defined in Note 29). The estimated future cash flows are discounted to their present value using a pre-tax discount rate ranging from 15% to 17%. These discount rates were calculated by adding to the Company's weighted average cost of capital the risk factor associated with the CGU or group of CGUs tested. A growth rate ranging from 2.5% to 3.5% was used to calculate the terminal value.

During the twelve-month period ended January 31, 2025, the Company recorded an impairment charge of $9.4 million on unutilized assets.

26. **FINANCING COSTS AND INCOME** 

Details of financing costs and financing income were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **January 31,**<br>**2025** |
|  | | Reclassified<br>(Note 2) |
| Interest on long-term debt | $164.2 | $166.7 |
| Transaction costs on long-term debt | 12.6 |  |
| Interest on lease liabilities | 9.8 | 8.1 |
| Net interest on employee future benefit liabilities | 7.8 | 6.1 |
| Interest and commitment fees on revolving credit facilities | 6.8 | 9.2 |
| Other | 10.7 | 8.1 |
| **Financing costs** | 211.9 | 198.2 |
| **Financing income** | (11.0) | (8.0) |
| Net financing costs | $200.9 | $190.2 |

---

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

27. **INCOME TAXES** 

a) **Income tax expense (recovery)** 

Details of income tax expense (recovery) were as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
|  | | Reclassified<br>(Note 2) |
| Current income tax expense (recovery) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Related to current year | $86.1 | $86.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Related to prior years | (24.0) | (3.6) |
|  | 62.1 | 82.7 |
| Deferred income tax expense (recovery) |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Temporary differences | (17.1) | (22.0) |
| &nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in valuation allowance | (19.9) | 29.7 |
|  | (37.0) | 7.7 |
| Income tax expense | $25.1 | $90.4 |

---

The reconciliation of income taxes computed at the Canadian statutory rates to income tax expense (recovery) recorded was as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | Years ended | Years ended | Years ended | Years ended |
|  | **January 31,**<br>**2026** | **January 31,**<br>**2026** | **January 31,**<br>**2025** | **January 31,**<br>**2025** |
|  | | | Reclassified<br>(Note 2) | Reclassified<br>(Note 2) |
| Income taxes calculated at statutory rates | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$96.9 | 26.5% | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$41.1 | 26.5% |
| Increase (decrease) resulting from: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax rate differential of foreign subsidiaries | (12.1) |  | (5.1) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;(Decrease) increase in valuation allowance | (19.9) |  | 29.7 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Recognition of income taxes on foreign currency translation | (14.8) |  | 18.1 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Recognition of income taxes on inflation | (4.8) |  | (7.4) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Permanent differences <sup>[a]</sup> | (27.7) |  | 16.7 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairment not subject to tax | 27.0 |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Recognition of tax incentives | (26.4) |  | (4.4) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Adjustments in respect of prior years and other | 6.9 |  | 1.7 |  |
| Income tax expense | $25.1 |  | $90.4 |  |

---

<sup>[a]</sup> The permanent differences result mainly from the foreign exchange (gain) loss on long-term debt denominated in U.S. dollars.

The income tax statutory rate is 26.5% for the year ended January 31, 2026 and 2025. The income tax statutory rate is the Bombardier Recreational Products Inc. combined rate applicable in jurisdictions in which it operates.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

27. **INCOME TAXES [CONTINUED]** 

b) **Deferred income taxes** 

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company's deferred income tax assets (liabilities) were as follows, as at:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br> **2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2025** |
|  **Related to current assets and liabilities** |  |  |
|  Inventories | $74.2 | $78.7 |
|  Income taxes and investment tax credits receivable | (2.3) | (3.0) |
|  Trade payables and accruals | 24.2 | 20.2 |
|  Provisions | 133.3 | 143.4 |
|  Other financial liabilities | 4.1 | 15.3 |
|  Lease liabilities | 13.5 | 12.5 |
|  Deferred revenues | 12.2 | 13.7 |
|  Other financial asset | (5.0) | (8.0) |
|  Other | 6.7 | 2.3 |
|  | 260.9 | 275.1 |
|  **Related to non-current assets and liabilities** |  |  |
|  Property, plant and equipment | (31.0) | (99.0) |
|  Intangible assets | (39.1) | (52.5) |
|  Right-of-use assets | (43.3) | (42.3) |
|  Provisions | 26.7 | 35.0 |
|  Long-term debt | 10.9 | 26.5 |
|  Lease liabilities | 45.3 | 35.6 |
|  Deferred revenues | 19.7 | 20.4 |
|  Employee future benefit liabilities | 41.8 | 37.5 |
|  Other non-current liabilities | (1.4) | (6.0) |
|  Other | 10.8 | 19.2 |
|  | 40.4 | (25.6) |
|  **Related to non-capital losses carried forward** | 126.9 | 89.1 |
|  **Related to capital losses carried forward** | 41.3 | 29.3 |
|  | 469.5 | 367.9 |
|  Unrecognized tax benefits | (67.7) | (81.0) |
|  Total | $401.8 | $286.9 |

---

As at January 31, 2026, non-capital losses amounted to $514.8 million ($363.0 million as at January 31, 2025), of which $466.6 million ($331.9 million as at January 31, 2025) is available to reduce future federal taxable income in the United States and $48.2 million ($31.1 million as at January 31, 2025) is available to reduce future taxable income in other tax jurisdictions.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

27. **INCOME TAXES [CONTINUED]** 

b) **Deferred income taxes [continued]** 

As at January 31, 2026, the balance of deductible capital losses amounted to $155.9 million ($110.4 million as at January 31, 2025) and are available to offset future taxable capital gains in Canada for an unlimited period of time.

As at January 31, 2026, the Company has $72.6 million in investment tax credits receivable, of which $60.9 million is refundable and $11.7 million is available to reduce future income taxes in the United States and in Canada (respectively $62.7 million, $53.4 million and $9.3 million as at January 31, 2025).

As at January 31, 2026 and 2025, deferred income taxes assets have been entirely recognized except for certain elements, consisting mainly of deductible capital losses carried forward and deferred income taxes assets related to long-term debt, as the Canadian and Quebec taxation laws required those losses to be offset with available capital gains in order to be deductible.

In addition, deferred income taxes have been provided for the undistributed earnings of certain subsidiaries that are subject to income taxes. For the remaining subsidiaries, deferred income taxes have not been provided for the undistributed earnings since either income taxes would not be applicable upon distribution of earnings or the Company determined that such earnings will be indefinitely reinvested.

c) **International Tax Reform – Pillar Two model rules** 

In December 2021, the Organisation for Economic Co-operation and Development published the Global Anti-Base Erosion Model Rules ("GloBE Rules") designed to ensure that a multinational enterprise is subject to tax at an effective minimum tax rate of 15% calculated under the GloBE Rules regardless of the jurisdictions where it operates. The GloBE Rules have been enacted or are in process of being enacted into the domestic law of many jurisdictions where the Company operates. The Company does not expect that the application of the GloBE Rules should have a material impact on the income taxes expenses.

For the year ended January 31, 2026, the Company has applied a temporary mandatory exception to recognizing and disclosing information about deferred income tax assets and liabilities arising from jurisdictions implementing the Global Minimum Tax rules.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

28. **RELATED PARTY TRANSACTIONS** 

The Company had related party transactions during the years ended January 31, 2026 and 2025. The most significant transactions are described below and were made on an arm's length basis, unless otherwise indicated.

a) **Transactions with key management personnel** 

Key management personnel of the Company, defined as employees with authority and responsibility for planning, directing and controlling the activities of the Company, are considered related parties to the Company. The key management personnel of the Company are its directors and the executive officers.

The Company incurred the following benefit expenses in relation with key management personnel:

---

| | | |
|:---|:---|:---|
| | Years ended | Years ended |
| | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; January 31,**<br> **2025** |
|  | | Reclassified<br> (Note 2) |
|  Current remuneration | $16.3 | $7.8 |
|  Post-employment benefits | 1.1 | 1 |
|  Stock-based compensation expense<sup>[a]</sup> | 17.4 | 9.9 |
|  Total | $34.8 | $18.7 |

---

<sup>[a]</sup> Includes the impact of accelerated vesting of executive management stock options recognized during the year ended January 31, 2026.

b) **Due to Bombardier Inc., a company related to Beaudier group** 

Pursuant to the purchase agreement entered into in 2003 in connection with the acquisition of the recreational product business of Bombardier Inc., the Company is committed to reimburse to Bombardier Inc. income taxes amounting to $22.4 million as at January 31, 2026 ($22.7 million as at January 31, 2025). The payments will begin when Bombardier Inc. starts making income tax payments in Canada and/or in the United States.

29. **FINANCIAL INSTRUMENTS** 

a) **Fair value** 

The fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair values of the Company's financial instruments take into account the credit risk embedded in the instrument. For financial assets, the credit risk of the counterparty is considered whereas for financial liabilities, the Company's credit risk is considered.

In order to determine the fair value of its financial instruments, the Company uses, when active markets exist, quoted prices from these markets ("Level 1" fair value). When public quotations are not available in the market, fair values are determined using valuation techniques. When inputs used in the valuation techniques are only inputs directly and indirectly observable in the marketplace, fair value is presented as "Level 2" fair value. If fair value is assessed using inputs that require considerable judgment from the Company in interpreting market data and developing estimates, fair value is presented as "Level 3" fair value. For Level 3 fair value, the use of different assumptions and/or estimation methodologies may have a material effect on the estimated fair values.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

a) **Fair value [continued]** 

The fair value, fair value level and valuation techniques and inputs were as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  |  | As at | As at | As at | As at |  |
|  | | January 31, 2026 | January 31, 2026 | January 31, 2025 | January 31, 2025 |  |
|  | Fair value<br> level | Carrying<br> amount | Fair **value** | Carrying<br> amount | Fair **value** | **Valuation techniques**<br> **and inputs** |
| Restricted investments<br> (Note 7) | Level 2 | $16.2 | $16.2 | $14.7 | $14.7 | Discounted cash flows at a discount rate that reflects the current market rate for this type of investments at the end of the reporting period.<br>|
| Contingent consideration (Note 15) | Level 3 | $23.7 | $23.7 | $— | $— | Discounted cash flows. Future cash flows are based on management's assessment of the likelihood to achieve the financial targets, discounted at a rate that reflects the Company's cost of debt.<br>|
| Non-controlling interest liability<br> (Note 15, 25) | Level 3 | $— | $— | $(23.4) | $(23.4) | Discounted cash flows. Future cash flows are estimated based on Pinion's performance and a predetermined purchase price formula, discounted at a rate that reflects the credit risk of the Company.<br>|
| Derivative financial instruments |  |  |  |  |  | Discounted cash flows. Future cash flows are estimated based on forward exchange rates (from observable forward exchange rates at the end of the reporting period) and contract forward rates, discounted at a rate that reflects the credit risk of the Company. |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Forward exchange contracts |  |  |  |  |  | Discounted cash flows. Future cash flows are estimated based on forward exchange rates (from observable forward exchange rates at the end of the reporting period) and contract forward rates, discounted at a rate that reflects the credit risk of the Company. |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Assets (Note 7) | Level 2 | $15.6 | $15.6 | $6.2 | $6.2 | Discounted cash flows. Future cash flows are estimated based on forward exchange rates (from observable forward exchange rates at the end of the reporting period) and contract forward rates, discounted at a rate that reflects the credit risk of the Company. |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Liabilities (Note 15) | Level 2 | (12.8) | (12.8) | (60.2) | (60.2) | Discounted cash flows. Future cash flows are estimated based on forward exchange rates (from observable forward exchange rates at the end of the reporting period) and contract forward rates, discounted at a rate that reflects the credit risk of the Company. |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest rate cap<br> (Note 7) | Level 2 | 0.5 | 0.5 | 21.1 | 21.1 | Discounted cash flows. Future cash flows, which correspond to series of caplets, are estimated using the Normal valuation model and discounted at a rate that reflects credit market conditions.<br>|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other (Note 15) | Level 2 | 15.9 | 15.9 | (4.1) | (4.1) | Discounted cash flows. Future cash flows are estimated based on commodity exchange rates and market price of the Company's shares (from observable commodity exchange rates and share price at the end of the reporting period), discounted at a rate that reflects the credit risk of the Company.<br>|
| Total derivative financial instruments | Level 2 | $19.2 | $19.2 | $(37.0) | $(37.0) |  |
|  Term Facility (Note 16) | Level 1 | $(2339.0) | $(2344.8) | $(2799.3) | $(2809.6) | Quoted bid prices in an active market. |
| Term Loans (Note 16) | Level 2 | $(103.3) | $(120.0) | $(125.8) | $(134.5) | Discounted cash flows. Cash flows used for valuation are those contractually due and are discounted at a rate that reflects the credit risk of the Company. |

---

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

a) **Fair value [continued]** 

For cash and cash equivalents, trade and other receivables, Revolving Credit Facility, trade payables and accruals, dealer holdback programs and customer deposits, the carrying amounts reported on the consolidated statements of financial position or in the notes approximate the fair values of these items due to their short-term nature. During the years ended January 31, 2026 and 2025, no changes in fair value level classifications occurred.

Cash includes $4.4 million held by BRP Saint Petersburg LLC ($4.0 million as at January 31, 2025). This cash is subject to regulatory restrictions and is therefore not available for general use by the other entities within the group.

b) **Foreign exchange risk** 

The foreign exchange risk associated with financial instruments is defined by the risk that the future cash flows of a recorded financial instrument will fluctuate because of changes in foreign exchange rates. Foreign exchange risk associated with financial instruments arises from financial instruments denominated in a currency other than the functional currency of the Company.

The Company's significant foreign exchange risk exposure associated with financial instruments are with Credit Facilities, trade and other receivables, and trade payables and accruals.

The table below presents the impact on consolidated net income and consolidated other comprehensive income of a variation of foreign exchange rates on financial instruments subject to foreign exchange risks as at January 31, 2026 and 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | As at January 31, 2026 | As at January 31, 2026 | As at January 31, 2026 | As at January 31, 2025 | As at January 31, 2025 | As at January 31, 2025 |
|  | Percentage of<br> Variation <sup>[a]</sup> | Impact on Net<br> income | Impact on Other<br> comprehensive<br> income | Percentage of **Variation <sup>[a]</sup>** | Impact on Net **income** | **Impact on Other**<br> **comprehensive**<br> **income** |
|  |  |  |  |  | Reclassified (Note 2) | Reclassified<br> (Note 2) |
|  USD / CAD | 5% | $113.5 <sup>[b]</sup> | $36.5 | 5% | $143.8 <sup>[b]</sup> | $54.3 |
|  Euro / CAD | 2% | $3.2 | $— | 2% | $2.2 | $— |
|  Other | 3% | $6.1 | $9.3 | 3% | $7.5 | $0.8 |

---

<sup>[a]</sup> Based on variations that might exist at the closing dates.

<sup>[b]</sup> Mainly from the long-term debt denominated in U.S. dollars.

The Company uses foreign exchange contracts to manage its foreign currency risks mainly in U.S. dollars and the Company uses short-term foreign exchange contracts to manage its daily cash position.

For currencies over which the Company cannot achieve an offset through its recurring business transactions, the Company uses foreign exchange contracts according to the Company's hedging strategy. Management periodically reviews the relevant hedging position and may hedge at any level within the authorized parameters of the policy, up to the maximum percentage allowed.

As at January 31, 2026, the maximum length of time over which the Company is hedging its exposure to variability in future cash flow from anticipated sales is 24 months. All foreign exchange contracts used to hedge highly probable anticipated sales are recorded under the cash flow hedge model. The Company does not trade in derivative financial instruments for speculative purposes.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

b) **Foreign exchange risk [continued]** 

The following tables set out the notional amounts outstanding under hedging foreign exchange contracts, the carrying amount, the average contractual exchange rates and the settlement periods of these contracts:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | As at January 31, 2026 | As at January 31, 2026 | As at January 31, 2026 | As at January 31, 2026 |
|  | | | Carrying amount | Carrying amount |
|  Currencies (sold/bought) | Average **rate** | Notional amount<sup>[a]</sup> | Other financial assets | Other financial liabilities |
|  **Cash flow hedge** |  |  |  |  |
|  USD/CAD |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Less than 12 months | 1.3660 | $600.6 | $9.3 | $0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp; Between 12 and 24 months | 1.3705 | 147.8 | 3.9 |  |
|  Other currencies |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Less than 12 months | n.a | 148.4 | 1.6 | 10.5 |
| &nbsp;&nbsp;&nbsp;&nbsp; Between 12 and 24 months | n.a | 48.8 | 0.1 | 1.6 |
|  **Total cash flow hedge** |  |  | 14.9 | 12.3 |
|  **Fair value hedge** |  |  |  |  |
|  USD/CAD |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Less than 12 months | 1.3507 | $229.8 | $— | $— |
|  Euro/CAD |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Less than 12 months | 1.6154 | 281.2 | 0.7 |  |
|  Other currencies |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Less than 12 months | n.a | 158.9 |  | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp; **Total fair value hedge** |  |  | **$0.7** | **$0.5** |
| &nbsp;&nbsp;&nbsp;&nbsp; **Total foreign exchange contracts** |  |  | **$15.6** | **$12.8** |

---

---

| | |
|:---|:---|
| <sup>[a]</sup> | Exchange rates as at January 31, 2026 were used to translate notional amounts denominated in foreign currencies into Canadian dollars.  |

---

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

b) **Foreign exchange risk [continued]** 

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | As at January 31, 2025 | As at January 31, 2025 | As at January 31, 2025 | As at January 31, 2025 | As at January 31, 2025 |
|  | | |  | Carrying amount | Carrying amount |
| Currencies (sold/bought) | Average **rate** | Notional amount | [a] | Other financial assets | Other financial liabilities |
| **Cash flow hedge** |  |  |  |  |  |
| USD/CAD |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Less than 12 months | 1.3468 | $669.5 |  | $4.1 | $43.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Between 12 and 24 months | 1.3587 | 344.0 |  |  | 12.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Between 24 and 36 months | 1.3708 | 103.1 |  |  | 1.2 |
| Other currencies |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Less than 12 months | n.a | 93.1 |  | 1.4 | 2.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Between 12 and 24 months | n.a | 23.6 |  | 0.2 | 0.4 |
| **Total cash flow hedge** |  |  |  | $5.7 | $59.7 |
| **Fair value hedge** |  |  |  |  |  |
| USD/CAD |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Less than 12 months | 1.4407 | $639.3 |  | $0.3 | $— |
| Euro/CAD |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Less than 12 months | 1.5027 | 172.6 |  |  | 0.3 |
| Other currencies |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Less than 12 months | n.a | 106.5 |  | 0.2 | 0.2 |
| **Total fair value hedge** |  |  |  | $0.5 | $0.5 |
| **Total foreign exchange contracts** |  |  |  | $6.2 | $60.2 |

---

<sup>[a]</sup> Exchange rates as at January 31, 2025 were used to translate notional amounts denominated in foreign currencies into Canadian dollars.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

c) **Liquidity risk** 

Liquidity risk is defined as the Company's exposure to the risk of not being able to meet its financial obligations. The Company manages its liquidity risk by continuously monitoring its operating cash requirements and by the use of its funding sources to ensure its financial flexibility and mitigate its liquidity risk (see Note 30).

The following table summarizes the contractual maturities of the Company's financial liabilities as at January 31, 2026:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | Less than<br> 1 year | 1-3 years | 4-5 years | More than<br> 5 years | Total<br> amount |
| Trade payables and accruals | $1515.2 | $— | $— | $— | $1515.2 |
| Long-term debt (including interest) | 190.0 | 373.5 | 933.1 | 1588.9 | 3085.5 |
| Lease liabilities (including interest) | 60.4 | 83.2 | 53.8 | 61.4 | 258.8 |
| Derivative financial instruments | 11.2 | 1.6 |  |  | 12.8 |
| Other financial liabilities | 62.1 | 21.7 | 13.7 | 35.0 | 132.5 |
| Other liabilities | 26.7 | 19.1 |  |  | 45.8 |
| Total | $1865.6 | $499.1 | $1000.6 | $1685.3 | $5050.6 |

---

d) **Interest risk** 

The Company is exposed to the variation of interest rates on financial instruments mainly on its Credit Facilities. As at January 31, 2026, an increase of a 0.25 percentage base point would have resulted in an unfavourable impact of $6.1 million on consolidated net income and consolidated comprehensive income for the year ended January 31, 2026 (unfavorable $7.4 million as at January 31, 2025) while a decrease of a 0.25 percentage base point would have resulted in a favourable impact of $6.1 million (favourable $7.4 million as at January 31, 2025) on consolidated net income and consolidated comprehensive income for the year ended January 31, 2026 without considering the effects of hedging instruments. Percentage increases or decreases of interest rates above are based on changes that might exist at the consolidated statement of financial position dates and have been applied on the Company's financial instruments subject to interest rate changes. To limit its exposure to interest rate increase, the Company entered into interest rate cap contracts.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

29. **FINANCIAL INSTRUMENTS [CONTINUED]** 

e) **Credit risk** 

The Company could be exposed, in the normal course of business, to the potential inability of dealers, distributors and other business partners to meet their contractual obligations on financial assets and on amounts guaranteed under dealer and distributor financing agreements.

The Company considers that its credit risk associated with its trade receivables and its limited responsibilities under dealer and distributor financing agreements does not represent a significant concentration of risk and loss due to the large number of dealers, distributors and other business partners and their dispersion across many geographic areas. Moreover, the Company mitigates such risk by doing business through its own distribution channels and by monitoring its independent dealers' and distributors' credit.

The following table provides further details on receivables for which the Company considers to be exposed to credit risk as at January 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br>**2025** |
| Trade and other receivables | $607.2 | $633.5 |
| Sales tax and other government receivables | (117.8) | (137.6) |
| Total exposed to credit risk | $489.4 | $495.9 |
| Not past due | $477.6 | $490.1 |
| Past due |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Under 60 days | 16.7 | 3.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;From 60 to 90 days | 1.6 | 2.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Over 90 days | 4.8 | 6.8 |
| Allowance for doubtful accounts | (11.3) | (6.5) |
| Total exposed to credit risk | $489.4 | $495.9 |

---

The counterparties to the derivative financial instruments and restricted investments are all investment grade financial institutions, which the Company anticipates will satisfy their obligations under these contracts. Over the past years, the Company has not incurred significant losses related to credit risk on its financial assets and does not expect losses based on future expectations.

As described in Note 31 a), the Company has provided financial guarantees to third party financing companies in case of dealers' inability to meet their obligations under their financing agreements with the financing companies.

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#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

30. **CAPITAL MANAGEMENT** 

The Company's primary uses of capital are for capital investments and working capital. Based on the current level of operations, management believes that cash on hand, cash flows from operations and available borrowings under the Credit Facilities will enable the Company to meet its working capital, capital expenditure, debt service and other funding requirements.

The Company's capital is composed of long-term debt and shareholders' equity. The Company's aim is to maintain a level of capital that is adequate to meet several objectives, including an acceptable Leverage ratio in order to provide access to adequate funding sources to support current operations, pursue its internal growth strategy and maintain capital flexibility. The Company may repurchase subordinate voting shares for cancellation pursuant to a NCIB or substantial issuer bid ("SIB"), issue capital stock, or vary the amount of dividends paid to shareholders.

The Company's objective is to maintain a Leverage ratio of 3.5 or less, which was continuously achieved during the years ended January 31, 2026 and 2025.

31. **COMMITMENTS AND CONTINGENCIES** 

In addition to the commitments and contingencies described elsewhere in these consolidated financial statements, the Company is subject to the following (all amounts presented are undiscounted):

a) **Dealer and distributor financing arrangements** 

The Company, most of its independent dealers and some of its independent distributors are parties to agreements with third-party financing service providers. These agreements provide financing to facilitate the purchase of the Company's products and improve the Company's working capital by allowing an earlier collection of accounts receivable from dealers and distributors.

The outstanding financing between the Company's independent dealers and distributors and third-party finance companies amounted to $2,635.2 million and $3,151.5 million as at January 31, 2026 and 2025, respectively. The breakdown of outstanding amounts by country and local currency between the Company's independent dealers and distributors with third-party finance companies was as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | Currency | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; January 31,**<br>**2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; January 31,**<br>**2025** |
|  **Total outstanding as at** | CAD | $2635.2 | $3151.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;United States | USD | $1399.1 | $1593.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Canada | CAD | $533.4 | $670.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Europe | Euro | € 55.5 | €<br> 49.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Australia and New Zealand | AUD | $121.7 | $112.0 |
|  Total outstanding - continuing operations | CAD | $2564.9 | $3000.3 |
|  Total outstanding - discontinued operations | CAD | $70.3 | $151.2 |

---

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

31. **COMMITMENTS AND CONTINGENCIES [CONTINUED]** 

a) **Dealer and distributor financing arrangements [continued]** 

Under the dealer and distributor financing agreements, in the event of default, the Company may be required to purchase, from the finance companies, repossessed new and unused products at the total unpaid principal balance of the dealer or distributor to the finance companies.

The combined consolidated maximum obligation is generally within a range of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) U.S. $14.0 million ($

19.0 million) or 15% of the calendar year twelve-month average amount of consolidated financing outstanding under the financing agreements ($18.4 million as at January 31, 2026);

ii) U.S. $25.0 million ($33.9 million) or 10% of the last twelve-month average amount of consolidated financing outstanding under the financing agreements ($251.8 million as at January 31, 2026) and;

iii) Euro

€10.0 million ($13.6 million) or 10% of the calendar year twelve-month average amount of consolidate financing outstanding under the financing agreements (not applicable as at January 31, 2026).

As such, the maximum consolidated amount subject to the Company's obligation to purchase repossessed new and unused products from the finance companies was $284.4 million as at January 31, 2026 and $346.9 million as at January 31, 2025.

For the year ended January 31, 2026, the Company incurred a loss of $0.8 million related to new and unused products repossessed by the finance companies ($0.8 million loss for the year ended January 31, 2025).

b) **Guarantees under various agreements** 

In the normal course of business, the Company has entered into agreements that include indemnities in favour of third parties and which are customary in the industry, such as purchase and sale agreements, confidentiality agreements, engagement letters with advisors and consultants, outsourcing agreements, leasing contracts, underwriting and agency agreements, information technology agreements, and service agreements. These indemnification agreements may require the Company to compensate counterparties for losses they incurred as a result of breaches in representation and regulations or as a result of litigation claims or statutory sanctions that may be suffered as a consequence of the transaction.

The nature of these indemnification agreements prevents the Company from making a reasonable estimate of the maximum exposure due to the difficulties in assessing the amount of liability that stems from the unpredictability of future events and the unlimited coverage offered to counterparties. Historically, the Company has not made any significant payments under such or similar indemnification agreements.

The Company shall indemnify directors and officers of the Company for various losses including, but not limited to, all costs to settle suits or actions due to association with the Company, subject to certain restrictions. The Company has purchased directors' and officers' liability insurance to mitigate the cost of any potential future suits or actions. The term of the indemnification is not explicitly defined, but is limited to acts taking place during the period over which the indemnified party served as a trustee, director or officer of the Company. The maximum amount of any potential future payment cannot be reasonably estimated.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

31. **COMMITMENTS AND CONTINGENCIES [CONTINUED]** 

c) **Litigation** 

The Company intends to vigorously defend its position in litigation matters to which it is a party. Management believes the Company has recorded adequate provisions to cover potential losses in relation to pending legal actions. Additionally, the Company has a general liability insurance coverage for claims relating to injuries or damages incurred with the Company's products. This insurance coverage limits the potential losses associated with legal claims related to product usage.

While the final outcome with respect to actions pending as at January 31, 2026 cannot be predicted with certainty, it is the management's opinion that their resolution will not have material effects on the Company's future results of operations or cash flows.

32. **DISCONTINUED OPERATIONS** 

On October 17, 2024, the Company announced that it had initiated a process for the sale of its Marine businesses namely Alumacraft, Manitou, Telwater and Marine PA&A.

#### Telwater, Manitou, and Alumacraft
During the three-month period ended April 30, 2025, the Company announced a definitive agreement to sell 100% of the outstanding shares of Telwater Pty, Ltd. to Yamaha Motor Australia Pty, Ltd. On December 18, 2025, the Company acknowledged the Australian Competition and Consumer Commission's decision to oppose the proposed sale of Telwater to Yamaha Motor Australia Pty Ltd., a subsidiary of Yamaha Motor Co., Ltd. The Company will continue to pursue potential buyers, keeping Telwater under the sale process.

During the three-month periods ended July 31, 2025 and October 31, 2025, the Company closed the sales of Alumacraft's and Manitou's assets, respectively, for a combined consideration totaling $17.9 million U.S. dollars ($23.7 million). Following the sale of these businesses' assets, certain product-related and other provisions, as well as lease liabilities, are no longer classified as held for sale and have been reclassified, as the Company retained these obligations.

As at January 31, 2026, Telwater is presented as discontinued operations and the associated assets and liabilities as held for sale, while Alumacraft and Manitou are also presented as discontinued operations, but the associated assets and liabilities, which consisted mainly of property, plant and equipment, and inventory have been disposed of.

#### Marine parts, accessories, and apparel
During the three-month period ended April 30, 2025, the Company decided that its Marine PA&A business was no longer for sale. Following this decision, Marine PA&A business is presented as continued operations and the associated assets and liabilities are no longer held for sale as at January 31, 2026. Prior periods have been reclassified accordingly.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

32. **DISCONTINUED OPERATIONS [CONTINUED]** 

The net loss and comprehensive loss from discontinued operations are as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | January 31, **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2025** |
|  |  | Reclassified (Note 2) |
|  Revenues | $155.2 | $164.3 |
|  Cost of sales | 177.6 | 265.6 |
|  **Gross profit (loss)** | (22.4) | (101.3) |
|  **Operating expenses** |  |  |
|  Selling and marketing | 10.8 | 26.9 |
|  Research and development | 9.0 | 21.8 |
|  General and administrative | 7.8 | 24.9 |
|  Other operating expenses | 8.5 | 10.0 |
|  Impairment charge | 8.4 | 183.9 |
|  **Total operating expenses** | 44.5 | 267.5 |
|  **Operating income (loss)** | (66.9) | (368.8) |
|  Financing costs | 0.1 | 0.2 |
|  Income (loss) before income taxes | (67.0) | (369.0) |
|  Income tax expense (recovery) | (15.9) | (91.4) |
|  **Net income (loss) from discontinued operations** | $(51.1) | $(277.6) |

---

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | January 31, **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31, **2025** |
|  **Net loss from discontinued operations <sup>[a]</sup>** | $(51.1) | $(277.6) |
|  Net changes in unrealized gain on translation of foreign operations | 20.9 | 3.0 |
|  **Total comprehensive loss from discontinued operations <sup>[a]</sup>** | $(30.2) | $(274.6) |

---

<sup>[a]</sup> Nil amount of net loss and comprehensive loss are attributable to non-controlling interest.

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

32. **DISCONTINUED OPERATIONS [CONTINUED]** 

As at January 31, 2026, the carrying amount of assets and liabilities presented as held for sale is as follows:

---

| | | |
|:---|:---|:---|
|  | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  |  | Reclassified (Note 2 |
|  Inventories | $13.6 | $66.6 |
|  Property, plant and equipment | 69.4 | 98.5 |
|  Intangible assets | 38.7 | 36.9 |
|  Deferred tax assets |  | 80.6 |
|  Other assets | 4.4 | 10.1 |
|  **Assets classified as held for sale** | $126.1 | $292.7 |
|  Trade payables and accruals | $8.8 | $22.5 |
|  Provisions | 6.9 | 42.6 |
|  Deferred tax liabilities | 8.7 |  |
|  Other liabilities | 2.4 | 18.1 |
|  **Liabilities associated to assets classified as held for sale** | $26.8 | $83.2 |
|  **Assets net of liabilities held for sale** | $99.3 | $209.5 |

---

The net cash flows from discontinued operations are as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | **January 31,**<br> **2026** | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;January 31,**<br> **2025** |
|  Net cash flows used in operating activities | $(54.5) | $(150.3) |
|  Net cash flows from (used in) investing activities | 20.5 | (21.7) |
|  Net cash flows from financing activities | 34.4 | 179.2 |
|  **Net cash flows from discontinued operations** | $0.4 | $7.2 |

---

------

#### **Table of Contents**

#### BRP Inc.

### NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the years ended January 31, 2026 and 2025

[Tabular figures are in millions of Canadian dollars, unless otherwise indicated]

32. **DISCONTINUED OPERATIONS [CONTINUED]** 

#### Recoverability under Fair value less costs of disposal for disposal groups
During the year ended January 31, 2026, the Company recognized additional impairment charges of $10.2 million on property, plant and equipment, and revised impairment charges of $3.9 million on inventories based on the final asset purchase agreements of Alumacraft and Manitou. The Company concluded that the fair value less costs of disposal of Telwater continued to exceed its carrying amount. The Company also recorded impairment charges of $0.5 million and $1.6 million on unutilized property, plant and equipment and intangible assets, respectively, related to discontinued operations.

During the year ended January 31, 2025, the Company remeasured the Alumacraft and Manitou disposal groups at the lower of their carrying amount and their fair value less costs of disposal, resulting in an impairment charge of $183.9 million on assets held for sale. The Company concluded that the fair value less costs of disposal of the Telwater disposal group exceeded its carrying amount.

The impairment charges recorded during the years-ended January 31, 2026 and January 31, 2025 are allocated as follows:

---

| | | |
|:---|:---|:---|
|  | Years ended | Years ended |
|  | **January 31, 2026** | **January 31, 2025**  |
|  Inventories | $(3.9) | $108.3 |
|  Property, plant and equipment | 10.7 | 56.7 |
|  Right of use assets |  | 6.1 |
|  Intangible assets | 1.6 | 12.8 |
|  **Impairment on assets classified as held for sale** | $8.4 | $183.9 |

---

The fair value measurement was categorized as a level 2 fair value. The fair value of Telwater was based on the market offers that the Company received since announcing the sale of the Marine businesses on October 17, 2024. The fair values of Alumacraft and Manitou were based on the consideration paid upon closing of their respective assets sales during the year ended January 31, 2026. The costs of disposal represent management's best estimate based on historical data from external and internal sources.

## Exhibit 99.3

**Exhibit 99.3** 

## BRP INC.

## MANAGEMENT'S

## DISCUSSION AND

## ANALYSIS

## FOR THE THREE- AND TWELVE-MONTH PERIODS

## ENDED JANUARY 31, 2026

---

| | |
|:---|:---|
| ![LOGO](g76000dsp001.jpg) | ![LOGO](g76000g51t28.jpg) |

---

------

**Table of contents** 

---

| | |
|:---|:---|
|  Glossary | 2 |
|  Basis of Presentation | 3 |
|  Forward-Looking Statements and Non-IFRS Measures | 4 |
|  Business Overview | 6 |
|  Factors Affecting the Company's Results of Operations | 7 |
|  Executive Summary | 10 |
|  Retail Performance & Market Statistics | 11 |
|  Results of Operations | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Analysis of Results for the Fourth Quarter of Fiscal 2026* | 12 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Geographical Trends for the Fourth Quarter of Fiscal 2026* | 14 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Analysis of Results for the twelve-month period ended January 31, 2026* | 15 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Geographical Trends for the twelve-month period ended January 31, 2026* | 17 |
|  Discontinued Operations | 18 |
|  Assessment of the Company's performance against its Fiscal 2026 guidance | 21 |
|  Foreign Exchange | 22 |
|  Liquidity and Capital Resources | 23 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Contractual Obligations* | 25 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; *Capital Resources* | 26 |
|  Consolidated Financial Position <sup>[1]</sup> | 29 |
|  Post-Employment Benefits | 30 |
|  Off-Balance Sheet Arrangements | 31 |
|  Transaction Between Related Parties | 33 |
|  Financial Instruments | 33 |
|  Non-IFRS Measures and Reconciliation Tables | 36 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reconciliation Tables <sup>[2]</sup> | 37 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Summary of Consolidated Quarterly Results <sup>[2]</sup> | 40 |
|  Reconciliation Table for Consolidated Quarterly Results <sup>[2]</sup> | 41 |
|  Selected Consolidated Financial Information | 42 |
|  Critical Accounting Estimates | 44 |
|  Future Accounting Changes | 46 |
|  Controls and Procedures | 47 |
|  Risk Factors | 48 |
|  Disclosure of Outstanding Shares | 77 |
|  Additional Information | 77 |

---

---

| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>1</sub> |

---

------

**Glossary** 

---

| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Abbreviations** | **Description** | **Abbreviations** | **Description** |
| &nbsp;&nbsp;&nbsp; **3WV** | Three-Wheel Vehicles | **International** | All regions except United States & Canada |
| &nbsp;&nbsp;&nbsp; **ATV** | All-Terrain Vehicles | **MD&A** | Management's Discussion & Analysis |
| &nbsp;&nbsp;&nbsp; **BPS** | Basis points | **NCIB** | Normal Course Issuer Bid |
| &nbsp;&nbsp;&nbsp; **CAPEX** | Capital Expenditure | **OEM** | Original Equipment Manufacturer |
| &nbsp;&nbsp;&nbsp; **CGU** | Cash Generating Unit | **ORV** | Off-Road Vehicles |
| &nbsp;&nbsp;&nbsp; **CORRA** | Canadian Overnight Repo Rate Average. Defined as the Daily Compounded CORRA or the forward-looking term rate based on CORRA plus a customary credit spread adjustment, when applicable | **PA&A** | Parts, Accessories & Apparel |
| &nbsp;&nbsp;&nbsp; **DB** | Defined Benefits | **PP&E** | Property, Plant & Equipment |
| &nbsp;&nbsp;&nbsp; **DC** | Defined Contribution | **PWC** | Personal Watercraft |
| &nbsp;&nbsp;&nbsp; **EBITDA** | Earnings Before Interest, Taxes, Depreciation & Amortization | **R&D** | Research & development |
| &nbsp;&nbsp;&nbsp; **EPS** | Earnings (Loss) Per Share | **SIB** | Substantial Issuer Bid |
| &nbsp;&nbsp;&nbsp; **ESG** | Environmental, Social and Governance | **SOFR** | Secured Overnight Financing Rate |
| &nbsp;&nbsp;&nbsp; **EURIBOR** | Euro Interbank Offered Rate | **Term SOFR** | Defined as the forward-looking term rate based on SOFR plus a customary credit spread adjustment, when applicable |
| &nbsp;&nbsp;&nbsp; **EV** | Electric Vehicles | **SSV** | Side-by-Side Vehicles |
| &nbsp;&nbsp;&nbsp; **G&A** | General & Administrative | **S&M** | Selling & marketing |
| &nbsp;&nbsp;&nbsp; **IAS** | International Accounting Standards | **Working**<br> **Capital** | Current assets less current liabilities |
| &nbsp;&nbsp;&nbsp; **IFRS** | IFRS<sup>®</sup> Accounting Standards as issued by the International Accounting Standards Board |  |  |

---

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>2</sub> |

---

------

**Basis of Presentation** 

The following MD&A provides information concerning the financial position and results of operations of BRP Inc. (the "Company" or "BRP") for the year ended January 31, 2026. This MD&A should be read in conjunction with the audited consolidated financial statements for the years ended January 31, 2026 and January 31, 2025. Some of the information included in this discussion and analysis contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from underlying forward-looking statements as a result of various factors, including those described in the "Forward-Looking Statements" section of this MD&A. This MD&A reflects information available to the Company as at March 25, 2026.

The audited consolidated financial statements of the Company have been prepared in accordance with IFRS*.* All amounts presented are in Canadian dollars unless otherwise indicated. All references in this MD&A to "Fiscal 2026, "Fiscal 2025" and "Fiscal 2024" are to the Company's fiscal year ended January 31, 2026, 2025 and 2024 respectively.

Telwater Pty Ltd. ("Telwater") remains under the sale process first announced on October 17, 2024, and continues to be presented as discontinued operations, and the associated assets and liabilities as held for sale as at January 31, 2026. Refer to Note 32 – Discontinued Operations in the audited consolidated financial statements for more details.

During the nine-month period ended October 31, 2025, the Company completed the sales of Alumacraft Boat Co. ("Alumacraft") and Triton Industries Inc. ("Manitou"). Consequently, these businesses are presented as discontinued operations, and the associated assets and liabilities are disposed as at January 31, 2026. Refer to Note 32 – Discontinued Operations in the audited consolidated financial statements for more details.

During the three-month period ended April 30, 2025, the Company decided that its Marine PA&A business was no longer for sale. Following this decision, Marine PA&A business is presented as continued operations and the associated assets and liabilities are no longer held for sale as at January 31, 2026. Prior periods have been reclassified accordingly.

This MD&A, approved by the Board of Directors on March 25, 2026, is based on the Company's audited consolidated financial statements and accompanying notes for the years ended January 31, 2026 and 2025.

---

| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>3</sub> |

---

------

**Forward-Looking Statements and Non-IFRS Measures** 

*Forward-Looking Statements* 

Certain statements in this MD&A about the Company's current and future plans, including statements relating to its strategic plan referred to as "M28", prospects, expectations, anticipations, estimates and intentions, results, levels of activity, performance, objectives, targets, goals, achievements, including the Company's environmental, social and governance targets, goals and initiatives set forth under the Company's new sustainability plan, Beyond the Ride – Sustainability 2030, priorities and strategies, financial position, market position, capabilities, competitive strengths and beliefs, the prospects and trends of the industries in which the Company operates, the expected demand for products and services in the markets in which the Company competes, including softer industry demand trends and sustained promotional intensity and pricing actions, research and product development activities, including projected design, characteristics, capacity or performance of future products and their expected scheduled entry to market, expected financial requirements and the availability of capital resources and liquidity, the Company's ability to complete its process for the sale of Telwater as expected and to manage and mitigate the risks associated therewith, at expected cost levels and expected proceeds, the impact of the sale of the Marine businesses, ongoing geopolitical instability in the Middle East, including the impact of recent volatility in global oil and energy prices, potential supply chain disruptions, inflationary pressures, and broader macroeconomic conditions or any other future events or developments and other statements in this MD&A that are not historical facts constitute forward-looking statements within the meaning of applicable securities laws. The words "may", "will", "would", "should", "could", "expects", "forecasts", "plans", "intends", "trends", "indications", "anticipates", "believes", "estimates", "outlook", "predicts", "projects", "likely" or "potential" or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements.

Forward-looking statements are presented for the purpose of assisting readers in understanding certain key elements of the Company's current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of the Company's business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements contained herein. Forward-looking statements, by their very nature, involve inherent risks and uncertainties and are based on a number of assumptions, both general and specific. The Company cautions that its assumptions may not materialize and that the currently challenging macroeconomic and geopolitical environments in which it evolves, including specifically the uncertainty around the potential imposition of new duties, tariffs and other trade restrictions (and any retaliatory measures) as well as the ongoing geopolitical instability in the Middle East, may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of the Company or the industry to be materially different from the outlook or any future results or performance implied by such statements. In addition, many factors could cause the Company's actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the risk factors discussed in greater detail under the heading "Risk Factors" in the Company's MD&A for the fiscal year ended January 31, 2026.

The forward-looking statements contained in this MD&A are made as of the date of this MD&A, and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities regulations. In the event that the Company does update any forward-looking statements contained in this MD&A, no inference should be made that the Company will make additional updates with respect to that statement, related matters or any other forward-looking statement.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>4</sub> |

---

------

The Company made a number of economic, market and operational assumptions in preparing and making certain forward-looking statements contained in this MD&A, including without limitation the following assumptions: softer industries in both Seasonal and Year-Round Products and a continuously challenging macroeconomic environment; expected market share volatility; main currencies in which the Company operates will remain at near current levels; levels of inflation, which are expected to continue to ease; there will be no significant changes in tax laws or treaties applicable to the Company; the Company's margins are expected to continue to be pressured by lower volumes; the supply base will remain able to support product development and planned production rates on commercially acceptable terms in a timely manner; the absence of unusually adverse weather conditions, especially in peak seasons. BRP cautions that its assumptions may not materialize, and that the currently challenging macroeconomic and geopolitical environment in which it evolves may render such assumptions, although believed reasonable at the time they were made, subject to greater uncertainty. Specifically, these assumptions do not incorporate the imposition of wide-ranging U.S. tariffs, including tariffs on all imports from Canada and Mexico, and potential retaliatory tariffs. Given the fast-evolving situation and the high degree of uncertainty around the duration of a potential trade war, it is difficult to predict how the effects would flow through the economy. New tariffs could significantly affect the outlooks for economic growth, consumer spending, inflation and the Canadian dollar.

*Non-IFRS Measures* 

This MD&A makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS.

The Company defines and reconciles these measures in the "Non-IFRS Measures and Reconciliation Tables" section of this MD&A.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>5</sub> |

---

------

**Business Overview** 

BRP Inc. is a global leader in the world of powersports products, propulsion systems and boats built on 80 years of ingenuity and intensive consumer focus. Through its portfolio of industry-leading and distinctive brands featuring Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats and Rotax marine propulsion systems, Rotax engines for karts and recreational aircraft and Pinion gearboxes, BRP unlocks exhilarating adventures and provides access to experiences across different playgrounds. The Company completes its lines of products with a dedicated parts, accessories and apparel portfolio to fully optimize the riding experience.

As at the end of Fiscal 2026, the Company employed close to 17,000 employees worldwide. It sold its products in over 110 countries. The products were sold directly through a network of approximately 2,050 dealers in 21 countries, as well as through approximately 140 distributors that served approximately 375 additional dealers.

The Company designs, develops, manufactures and sells powersports vehicles. The Company's diversified portfolio of products includes Year-Round Products, Seasonal Products and Parts, Accessories & Apparel, OEM engines and others. Year-Round Products consist of BRP vehicles that are sold and used throughout the year in most climates and include ATVs, SSVs, 3WVs and electric motorcycles product lines. All products within the Year-Round Product category are sold under the *Can-Am* brand. Seasonal products consist of BRP products that are mostly used in specific seasons. These products include snowmobiles, which are mainly used during the winter season with sales to dealers concentrated in the months of September to January, as well as PWC and Sea-Doo pontoons, which are mainly used during the summer season, with sales to dealers concentrated in the months of January to April. All these products leverage BRP's Rotax engines. PA&A, OEM Engines and Others consist of parts, accessories, and apparel (referred to as "PA&A"), Rotax engines for karts, recreational aircraft and jet boats, as well as other products and services.

The following table shows the percentage of total revenues by category:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Proportion of Total Revenues**<br> *(in percentages)* | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
| **Proportion of Total Revenues**<br> *(in percentages)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2024** |
|  Year-Round Products | **53.6%** | 53.3% | **56.9%** | 54.5% | 53.2% |
|  Seasonal Products | **32.4%** | 32.0% | **27.1%** | 30.0% | 33.9% |
|  PA&A, OEM Engines and Others | **14.0%** | 14.7% | **16.0%** | 15.5% | 12.9% |
|  **Total Revenues <sup>[1]</sup>** | **100.0%** | 100.0% | **100.0%** | 100.0% | 100.0% |

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<sup>[1]</sup> Figures are on a continuing basis and prior periods reclassified accordingly.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>6</sub> |

---

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**Factors Affecting the Company's Results of Operations** 

***Revenues and Sales Program Costs***

The Company's revenues are primarily derived from the wholesale activities to dealers and distributors of the Company's manufactured vehicles, including Year-Round Products, Seasonal Products, and PA&A, OEM Engines and Others. Revenue recognition normally occurs when products are shipped to dealers or distributors from the Company's facilities.

In order to support the wholesale activities of the Company and the retail activities of dealers and distributors, the Company may provide support in the form of various sales programs consisting of cash and non-cash incentives. The cash incentives consist mainly of rebates and volume discounts given to dealers and distributors, free or extended coverage period under dealer and distributor inventory financing programs, and retail financing programs. The cost of these cash incentives is recorded as a reduction of revenues. The non-cash incentives mainly consist of extended warranty coverage or free PA&A. When an extended warranty coverage is given with the purchase of a product, a portion of the revenue recognized upon the sale of that product is deferred and recognized during the extended warranty coverage period. The cost of the free PA&A is recorded in cost of sales.

The support provided to dealers, distributors and consumers tends to increase when general economic conditions are difficult, when changing market conditions require the launch of new or more competitive programs, or when dealer and distributor inventory is above appropriate levels.

Under dealer and distributor inventory financing arrangements, the Company could be required to purchase repossessed new and unused products in certain cases of default by dealers or distributors. The cost of repossession tends to increase when dealers or distributors are facing challenging and prolonged difficult retail conditions and when their non-current inventory level is high. During the current fiscal year and previous fiscal year, the Company did not experience significant repossessions under its dealer and distributor inventory financing arrangements. Refer to the "Off-Balance Sheet Arrangements" section of this MD&A for more information on dealer and distributor inventory financing arrangements.

***Commodity Costs***

Approximately 75% of the Company's cost of sales consists of material used in the manufacturing process. Therefore, the Company is exposed to the fluctuation of prices of certain raw materials such as aluminum, steel, plastic, resins, stainless steel, copper, rubber and certain rare earth metals. Additionally, the Company is exposed to fuel price fluctuations related to its procurement and distribution activities. The Company does not hedge its long-term exposure to such price fluctuations. Therefore, an increase in commodity prices could negatively impact the Company's operating results if it is not able to transfer these cost increases to dealers, distributors or consumers.

---

| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>7</sub> |

---

------

***Warranty Costs***

The Company's regular warranty generally covers periods ranging from twelve months to three years for most products. In certain circumstances, the Company provides extended warranty coverage as a result of sales programs, under certain commercial accounts, or as required by local regulations. During the warranty period, the Company reimburses dealers and distributors for the entire cost of repair or replacement performed on the products (mainly composed of parts or accessories provided by the Company and labour costs incurred by dealers or distributors). In addition, the Company sells in the normal course of business and provides under certain sales programs extended product warranties.

During its product development process, the Company ensures that high quality standards are maintained at each development stage of a new product. This includes the development of detailed product specifications, the evaluation of the quality of the supply chain and the manufacturing methods and detailed testing requirements over the development stage of the products. Additionally, product quality is ensured by quality inspections during and after the manufacturing process.

The Company records a regular warranty provision when products are sold. Management believes that, based on available information, the Company has adequate provisions to cover any future warranty claims on products sold. However, future claim amounts can differ significantly from provisions that are recorded in the consolidated statements of financial position. For extended warranty, the claims are recorded in cost of sales as incurred.

***Foreign Exchange***

The Company's revenues are reported in Canadian dollars but are mostly generated in U.S. dollars, Canadian dollars and euros. The Company's revenues reported in Canadian dollars are to a lesser extent exposed to foreign exchange fluctuations with the Australian dollar, Brazilian real, Swedish krona, Norwegian krone, British pound, New Zealand dollar, Mexican peso and Chinese yuan. The costs incurred by the Company are mainly denominated in Canadian dollars, U.S. dollars and euros and, to a lesser extent in Mexican pesos. Therefore, recorded revenues, gross profit and operating income in Canadian dollars are exposed to foreign exchange fluctuations. The Company's facilities are located in different countries, which helps mitigate some of its foreign currency exposure.

As of January 31, 2026, the Company had an outstanding balance of U.S. $1,725.2 million ($2,339.0 million) under its U.S. $1,765.0 million ($2,393.0 million) term facility agreement (the "Term Facility"), which results in a gain or loss in net income when the U.S. dollar/Canadian dollar exchange rate at the end of the period varies from the opening period rate. Additionally, the Company's interest expense on the Term Facility is exposed to U.S. dollar/Canadian dollar exchange rate fluctuations. The Company does not currently hedge the U.S. dollar/Canadian dollar exchange rate fluctuation exposures related to its Term Facility, and therefore, an increase in the value of the U.S. dollar against the Canadian dollar could negatively impact the Company's net income.

For further detail relating to the Company's exposure to foreign currency fluctuations, see "Financial Instruments – Foreign Exchange Risk" section of this MD&A.

---

| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>8</sub> |

---

------

***Net Financing Costs (Financing Costs less Financing Income)***

Net financing costs are incurred principally on long-term debt, defined benefit pension plan liabilities and revolving credit facility. As at January 31, 2026, the Company's long-term debt of $2,442.3 million was mainly comprised of the Term Facility, which includes Term Loans B-2 and B-3, the currently outstanding tranches of which both bear interest at Term SOFR plus 2.25%. The Company entered into interest rate cap contracts, which limit its exposure to interest rates increases.

***Income Taxes***

The Company is subject to federal, state and provincial income taxes in jurisdictions in which it conducts business. The Canadian income tax statutory rate was 26.5% for the three- and twelve-month periods ended January 31, 2026. However, the Company's effective consolidated tax rate is influenced by various factors, including the mix of accounting profits or losses before income tax among tax jurisdictions in which it operates and the foreign exchange gain or loss on the Term Facility. The Company expects to pay cash taxes in all tax jurisdictions for Fiscal 2026, except in the United States.

***Seasonality***

The Company's revenues and operating income experience substantial fluctuations from quarter to quarter. In general, wholesale sales of the Company's products are highest in the period immediately preceding their respective season and during the said season of use. However, the mix of product sales may vary considerably, from time to time, as a result of changes in seasonal and geographic demand, the introduction of new products and models, and production scheduling for particular types of products. As a result, the Company's financial results are likely to fluctuate significantly from period to period.

---

| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>9</sub> |

---

------

**Executive Summary** 

During the three-month period ended January 31, 2026, the Company delivered double-digit revenue growth compared to the same period last year. The increase in revenues was primarily due to a favourable ORV product mix driven by the introduction of new models and features, as well as higher shipments in this product category. Revenue growth also resulted from higher PWC shipments compared to the same period last year, which had been impacted by network inventory reduction. Gross profit and gross profit margin increased compared to last year, driven by the favourable impacts of volume and pricing net of sales programs, which were partially offset by the impacts of global tariffs mainly on PA&A, provisions related to EV products, increased warranty expenses and higher incentive compensation costs. The provisions related to EV products represented an unfavourable impact of $28.5 million or 116 bps on gross profit and gross profit margin respectively. Additionally, the Company recorded an impairment charge of $229.8 million on the EV assets and light mobility CGU, reflecting the challenges in the EV industry and the dynamics within the light mobility market.

The Company's North American retail sales were up 12% for the three-month period ended January 31, 2026 compared to the same period last year. The increase in retail sales is driven by stronger Snowmobile industry volumes compared to last year, which had been affected by late snowfalls, and by market share gains in ORV and Snowmobile.

***Financial Highlights***

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  ***(in millions of Canadian***<br>  ***dollars, except per share***<br>  ***data and margin)*** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
|  ***(in millions of Canadian***<br>  ***dollars, except per share***<br>  ***data and margin)*** | **January**<br> **31,**<br> **2026** | **January**<br> **31,**<br> **2025** | **Variance**<br> **($)** | **Variance**<br> **(%)** | **January**<br> **31,**<br> **2026** | **January**<br> **31,**<br> **2025** | **Variance**<br> **($)** | **Variance**<br> **(%)** |
|  **Income Statement <sup>[2]</sup>** | | | | | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp; Total Revenues | **$2457.3** | $2118.3 | $339 | 16.0% | **$8442.7** | $7902.9 | $539.8 | 6.8% |
| &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit | **553.6** | 421.8 | 131.8 | 31.2% | **1887.3** | 1777.9 | 109.4 | 6.2% |
| &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit Margin (%) | **22.5%** | 19.9% | N/A | 260bps | **22.4%** | 22.5% | N/A | (10bps) |
| &nbsp;&nbsp;&nbsp;&nbsp; Operating Income | **12.5** | 104.1 | (91.6) | (88.0%) | **399.4** | 554.3 | (154.9) | (27.9%) |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized EBITDA <sup>[1]</sup> | **363.8** | 247 | 116.8 | 47.3% | **1103.4** | 1057.8 | 45.6 | 4.3% |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Income (Loss) | **45.8** | (50.5) | 96.3 | 190.7% | **340.4** | 64.6 | 275.8 | 426.9% |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized Net Income <sup>[1]</sup> | **163.3** | 76.8 | 86.5 | 112.6% | **382.5** | 362.3 | 20.2 | 5.6% |
| &nbsp;&nbsp;&nbsp;&nbsp; Diluted EPS | **0.63** | (0.68) | 1.31 | 192.6% | **4.64** | 0.86 | 3.78 | 439.5% |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized Diluted EPS <sup>[1]</sup> | **2.21** | 1.05 | 1.16 | 110.5% | **5.21** | 4.86 | 0.35 | 7.2% |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Income (Loss) from<br> Discontinued Operations | **1.1** | (169.1) | 170.2 | 100.7% | **(51.1)** | (277.6) | 226.5 | 81.6% |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>10</sub> |

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------

**Retail Performance & Market Statistics** 

***North American retail sales - for the Fourth Quarter of Fiscal 2026***

The Company's North American retail sales increased by 12% for the three-month period ended January 31, 2026 compared to the same period last year. The increase in retail sales is driven by stronger Snowmobile industry volumes compared to last year, which had been affected by late snowfalls, and by market share gains in ORV and Snowmobile.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● North American Year-Round Products retail sales increased on a percentage basis in the high-single digits compared to
the three-month period ended January 31, 2025. The Year-Round Products industry sales were flat over the same period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● North American Seasonal Products retail sales increased on a percentage basis in the mid-teens range compared to the three-month period ended January 31, 2025. The Seasonal Products industry sales increased on a percentage basis in the high-single digits over the same period.

***North American retail sales - for the twelve-month period ended January 31, 2026***

The Company's North American retail sales were flat for the twelve-month period ended January 31, 2026 compared to the same period last year. ORV retail sales were flat, while PWC and 3WV retail sales declined due to softer industries. This decrease was offset by higher Snowmobile retail sales, driven by the solid end-of last season and stronger industry volumes this season, both influenced by the timing of last winter's snowfall.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● North American Year-Round Products retail sales decreased on a percentage basis in the low-single digits compared to the twelve-month period ended January 31, 2025. The Year-Round Products industry sales decreased on a percentage basis in the low-single digits over the same period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● North American Seasonal Products retail sales were on a percentage basis flat compared to the twelve-month period ended
January 31, 2025. The Seasonal Products industry sales decreased on a percentage basis in the low-single digits over the same period.

***North American network inventories***

As at January 31, 2026, the Company's North American network inventories decreased by 17% compared to January 31, 2025. The decrease is explained by lower inventory across most products, in line with the Company's focus on reducing network inventory since the end of Fiscal 2024.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>11</sub> |

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**Results of Operations** 

***Analysis of Results for the Fourth Quarter of Fiscal 2026***

The following section provides an overview of the financial performance of the Company for the three-month period ended January 31, 2026 compared to the same period ended January 31, 2025:

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| | | | | |
|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars, except margin data)* | **Three-month periods ended** | **Three-month periods ended** |  |  |
| *(in millions of Canadian dollars, except margin data)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **Variance ($)** | **Variance (%)** |
|  **Income Statement <sup>[1]</sup>** |  |  |  |  |
|  **Revenues** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Year-Round Products | **$1317.2** | $1128.0 | 189.2 | 16.8% |
| &nbsp;&nbsp;&nbsp;&nbsp; Seasonal Products | **796.4** | 677.6 | 118.8 | 17.5% |
| &nbsp;&nbsp;&nbsp;&nbsp; PA&A, OEM Engines and Others | **343.7** | 312.7 | 31.0 | 9.9% |
| &nbsp;&nbsp;&nbsp;&nbsp; **Total Revenues** | **2457.3** | 2118.3 | 339.0 | 16.0% |
| &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit | **553.6** | 421.8 | 131.8 | 31.2% |
| &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit Margin (%) | **22.5%** | 19.9% | N/A | 260bps |
| &nbsp;&nbsp;&nbsp;&nbsp; Operating Expenses <sup>[2]</sup> | **541.1** | 317.7 | 223.4 | 70.3% |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized EBITDA <sup>[3]</sup> | **363.8** | 247.0 | 116.8 | 47.3% |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Financing Costs | **44.0** | 47.5 | (3.5) | (7.4%) |
| &nbsp;&nbsp;&nbsp;&nbsp; Income Taxes | **1.4** | 5.7 | (4.3) | (75.4%) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Income (Loss) | **45.8** | (50.5) | 96.3 | 190.7% |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized Net Income <sup>[3]</sup> | **163.3** | 76.8 | 86.5 | 112.6% |
| &nbsp;&nbsp;&nbsp;&nbsp; Net Income (Loss) from Discontinued Operations | **1.1** | (169.1) | 170.2 | 100.7% |

---

<sup>[1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods reclassified accordingly.

<sup>[2]</sup> Includes the impairment charges taken on the EV assets and light mobility CGU.

<sup>[3]</sup> See "Non-IFRS Measures" section.

*Revenues* 

<u>Year-Round Products</u> 

The increase in revenues from Year-Round Products was primarily attributable to a favourable product mix and to a higher volume of units sold in ORV driven by the introduction of new models and features. The increase was also attributable to favourable pricing net of sales programs across most product lines, partially offset by lower volume of units sold in 3WV. The increase includes a favourable foreign exchange rate variation of $8 million.

<u>Seasonal Products</u> 

The increase in revenues from Seasonal Products was primarily attributable to a higher volume of units sold in PWC compared to the same period last year, which had been impacted by network inventory reduction. The increase was also attributable to a higher volume of units sold and favourable product mix in Snowmobile, as well as favourable pricing net of sales programs across most product lines. The increase was partially offset by a lower volume of units sold in Pontoon. The increase includes a favourable foreign exchange rate variation of $7 million.

<u>PA&A, OEM Engines and Others</u> 

The increase in revenues from PA&A, OEM Engines and Others was primarily attributable to a higher volume of PA&A sold and favourable pricing net of sales programs, partially offset by unfavourable product mix in OEM Engines. The increase also includes a favourable foreign exchange rate variation of $3 million.

*Gross Profit* 

Gross profit and gross profit margin increased compared to last year, driven by the favourable impacts of volume and pricing net of sales programs, which were partially offset by the impacts of global tariffs mainly on PA&A, provisions related to EV products, increased warranty expenses and higher incentive compensation costs. The increase in gross profit includes a favourable foreign exchange rate variation of $14 million.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>12</sub> |

---

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*Operating Expenses* 

The following table provides a breakdown of the Company's Operating Expenses for the three-month period ended January 31, 2026 compared to the three-month period ended January 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars)* | **Three-month periods ended** | **Three-month periods ended** |  |  |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**January 31,** <br> **2025** | **Variance ($)** | **Variance (%)** |
|  &nbsp;&nbsp;&nbsp;&nbsp;Selling and marketing | **$119.3** | $109.5 | $9.8 | 8.9% |
|  &nbsp;&nbsp;&nbsp;&nbsp;Research and development | **123.2** | 107.9 | 15.3 | 14.2% |
|  &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | **97.4** | 75.1 | 22.3 | 29.7% |
|  &nbsp;&nbsp;&nbsp;&nbsp;Other operating expenses (income) | **(28.6)** | 25.2 | (53.8) | (213.5%) |
|  &nbsp;&nbsp;&nbsp;&nbsp;Impairment charge | **229.8** |  | 229.8 | N/A |
|  &nbsp;&nbsp;&nbsp;&nbsp;**Operating Expenses <sup>[1]</sup>** | **$541.1** | $317.7 | $223.4 | 70.3% |

---

<sup>[</sup><sup>1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods reclassified accordingly.

The increase in operating expenses was mainly attributable to the impairment charges taken on the EV assets and light mobility CGU, as well as higher incentive compensation costs. The increase was partially offset by the reversal of the non-controlling interest liability during the three-month period ended January 31, 2026. The increase in operating expenses includes an unfavourable foreign exchange rate variation of $2 million.

*Normalized EBITDA <sup>[1]</sup>* 

The increase in normalized EBITDA <sup>[1]</sup> was primarily due to higher gross profit, partially offset by increased operating expenses.

*Net Financing Costs* 

The decrease in net financing costs was not material.

*Income Taxes* 

The decrease in income tax expense was due to a lower operating income mainly driven by deductible impairment charges, by the effect of the foreign currency translation related to property, plant and equipment from Mexican operations and from the favourable mix of accounting profits and losses between tax jurisdictions. The effective income tax rate amounted to 3.0% for the three-month period ended January 31, 2026 compared to (12.7)% for the three-month period ended January 31, 2025. The increase in the effective income tax rate resulted from the tax and accounting treatment related to the non-deductible impairment charges, partially offset by the tax and accounting treatment of the foreign exchange loss (gain) on the Term Facility applied on a lower income before income taxes.

*Net Income (Loss)* 

The increase in net income was primarily due to a favourable foreign exchange rate variation on the U.S. denominated long-term debt, higher gross profit, partially offset by increased operating expenses due to the impairment charges taken on the EV assets and light mobility CGU.

*Normalized Net Income <sup>[1]</sup>* 

The increase in normalized net income <sup>[1]</sup> was primarily due to higher gross profit, partially offset by increased operating expenses.

*Net Income (Loss) from Discontinued Operations* 

The increase in net income was primarily due to the impairment charges recorded on the Marine businesses' assets held for sale during the three-month period ended January 31, 2025, as well as the closing of the sales of Alumacraft's and Manitou's assets during the three-month periods ended July 31, 2025 and October 31, 2025 respectively.

<sup>[1]</sup> See "Non-IFRS Measures" section.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>13</sub> |

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***Geographical Trends for the Fourth Quarter of Fiscal 2026***

*Revenues* 

---

| | | | | |
|:---|:---|:---|:---|:---|
| ***Revenues by geography*** | **Three-month periods ended** | **Three-month periods ended** | **Variance ($)** | **Variance (%)** |
| *(in millions of Canadian dollars)*<br>| **January 31, 2026** | **January 31, 2025** | **Variance ($)** | **Variance (%)** |
|  **Revenues <sup>[1]</sup> ($)** |  |  |  |  |
|  United States | **$1331.4** | $1176.4 | $155.0 | 13.2% |
|  Canada | **403.8** | 255.3 | 148.5 | 58.2% |
|  International | **722.1** | 686.6 | 35.5 | 5.2% |
|  **Total Revenues ($)** | **2457.3** | 2118.3 |  |  |
|  **Revenues (%)** |  |  |  |  |
|  United States | **54.2%** | 55.5% | N/A | (130bps) |
|  Canada | **16.4%** | 12.1% | N/A | 430bps |
|  International | **29.4%** | 32.4% | N/A | (300bps) |
|  **Total Revenues (%)** | **100.0%** | 100.0% |  |  |

---

<sup>[1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods reclassified accordingly.

<u>United States</u> 

The increase in revenues from the United States was primarily due to favourable product mix, a higher volume of shipments, and lower sales programs across most product lines, as well as favourable pricing across all product lines. The increase was partly offset by a lower volume of shipments in Snowmobile, Pontoon and 3WV, as well as higher sales programs in PWC. The increase includes an unfavourable foreign exchange rate variation of $11 million.

<u>Canada</u> 

The increase in revenues from Canada was primarily due to a higher volume of shipments, favourable product mix, lower sales programs and favourable pricing across most product lines.

<u>International</u> 

The increase in revenues from International was primarily due to a favourable product mix across most product lines and favourable pricing across all product lines. The increase was partially offset by a lower volume of units sold across most product lines. The increase includes a favourable foreign exchange rate variation of $29 million.

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| | |
|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis**<sub>14</sub> |

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***Analysis of Results for the twelve-month period ended January 31, 2026***

The following section provides an overview of the Company's financial performance for the twelve-month period ended January 31, 2026 compared to the same period ended January 31, 2025.

---

| | | | | |
|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars, except margin*<br> *data)* | **Twelve-month periods ended** | **Twelve-month periods ended** | **Variance ($)** | **Variance (%)** |
| *(in millions of Canadian dollars, except margin*<br> *data)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **Variance ($)** | **Variance (%)** |
|  &nbsp;&nbsp;&nbsp;&nbsp;**Income Statement <sup>[1]</sup>** |  |  |  |  |
|  &nbsp;&nbsp;&nbsp;&nbsp;**Revenues** |  |  |  |  |
|  &nbsp;&nbsp;&nbsp;&nbsp; Year-Round Products | **$4802.4** | $4307.2 | $495.2 | 11.5% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Seasonal Products | **2291.5** | 2370.4 | (78.9) | (3.3%) |
|  &nbsp;&nbsp;&nbsp;&nbsp; PA&A, OEM Engines and Others | **1348.8** | 1225.3 | 123.5 | 10.1% |
|  &nbsp;&nbsp;&nbsp;&nbsp;**Total Revenues** | **8442.7** | 7902.9 | 539.8 | 6.8% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit | **1887.3** | 1777.9 | 109.4 | 6.2% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Gross Profit Margin (%) | **22.4%** | 22.5% | N/A | (10bps) |
|  &nbsp;&nbsp;&nbsp;&nbsp; Operating Expenses <sup>[2]</sup> | **1487.9** | 1223.6 | 264.3 | 21.6% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Normalized EBITDA <sup>[3]</sup> | **1103.4** | 1057.8 | 45.6 | 4.3% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Net Financing Costs | **200.9** | 190.2 | 10.7 | 5.6% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Income Taxes | **25.1** | 90.4 | (65.3) | (72.2%) |
|  &nbsp;&nbsp;&nbsp;&nbsp; Net Income | **340.4** | 64.6 | 275.8 | 426.9% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Normalized Net Income <sup>[3]</sup> | **382.5** | 362.3 | 20.2 | 5.6% |
|  &nbsp;&nbsp;&nbsp;&nbsp; Net Loss from Discontinued Operations | **(51.1)** | (277.6) | 226.5 | 81.6% |

---

<sup>[</sup><sup>1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

<sup>[2]</sup> Includes the impairment charges taken on the EV assets and light mobility CGU.

<sup>[3]</sup> See "Non-IFRS Measures" section.

*Revenues* 

<u>Year-Round Products</u> 

The increase in revenues from Year-Round Products was primarily attributable to a favourable product mix and to a higher volume of units sold in ORV, as well as favourable pricing net of sales programs across most product lines. The increase was partially offset by a lower volume of units sold and unfavourable product mix in 3WV. The increase includes a favourable foreign exchange rate variation of $49 million.

<u>Seasonal Products</u> 

The decrease in revenues from Seasonal Products was primarily attributable to a lower volume of units sold across all product lines and higher sales programs across most product lines. The decrease was partially offset by favourable product mix and favourable pricing on all product lines. The decrease includes a favourable foreign exchange rate variation of $28 million.

<u>PA&A, OEM Engines and Others</u> 

The increase in revenues from PA&A, OEM Engines and Others was primarily attributable to a higher volume of PA&A sold, as well as favourable pricing across most product lines. The increase was partially offset by a lower volume of Marine PA&A and OEM Engines sold. The increase includes a favourable foreign exchange rate variation of $26 million.

*Gross Profit* 

The increase in gross profit was the result of favourable pricing and lower sales programs, as well as distribution and production cost efficiencies. The increase was partially offset by the unfavourable impacts of global tariffs mainly on PA&A, provisions related to EV products and higher incentive compensation costs. The increase in gross profit includes a favourable foreign exchange rate variation of $8 million.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **15** |

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*Operating Expenses* 

The following table provides a breakdown of the Company's Operating Expenses for the twelve-month period ended January 31, 2026 compared to the twelve-month period ended January 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars)* | **Twelve-month periods ended** | **Twelve-month periods ended** | **Variance ($)** | **Variance (%)** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **Variance ($)** | **Variance (%)** |
|  Selling and marketing | **$463.0** | $439.8 | $23.2 | 5.3% |
|  Research and development | **434.7** | 391.1 | 43.6 | 11.1% |
|  General and administrative | **373.1** | 315.4 | 57.7 | 18.3% |
|  Other operating expenses (income) | **(12.7)** | 67.9 | (80.6) | (118.7%) |
|  Impairment charge | **229.8** | 9.4 | 220.4 | 2344.7% |
|  **Operating Expenses <sup>[1]</sup>** | **$1487.9** | $1223.6 | $264.3 | 21.6% |

---

&nbsp;&nbsp;&nbsp;&nbsp;<sup>[</sup><sup>1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

The increase in operating expenses was mainly attributable to the impairment charges taken on the EV assets and light mobility CGU, as well as higher incentive compensation costs. The increase was partially offset by the reversal of the non-controlling interest liability during the twelve-month period ended January 31, 2026, as well as by higher restructuring and reorganization costs during the twelve-month period ended January 31, 2025. The increase in operating expenses includes an unfavourable foreign exchange rate variation of $30 million.

*Normalized EBITDA <sup>[1]</sup>* 

The increase in Normalized EBITDA <sup>[1]</sup> was primarily due to higher gross profit, partially offset by increased operating expenses.

*Net Financing Costs* 

The increase in net financing costs was primarily due to the one-time charges related to the amendment of the Company's Term Facility that occurred during the twelve-month period ended January 31, 2026.

*Income Taxes* 

The decrease in income tax expense was due to a lower operating income mainly driven by deductible impairment charges, by the effect of the foreign currency translation related to property, plant and equipment from Mexican operations, and by higher benefits related to tax incentives. The effective income tax rate amounted to 6.9% for the twelve-month period ended January 31, 2026 compared to 58.3% for the twelve-month period ended January 31, 2025. The decrease resulted primarily from the tax and accounting treatment of the foreign exchange loss (gain) on the Term Facility, the impact arising from the foreign currency translation and from higher benefits related to tax incentives. The decrease in the effective income tax rate is partially offset by the tax and accounting treatment related to the non-deductible impairment charges.

*Net Income* 

The increase in net income was primarily due to a favourable foreign exchange rate variation on the U.S. denominated long-term debt and to a lower income tax expense. The increase was partially offset by lower operating income and higher net financing costs.

*Normalized Net Income <sup>[1]</sup>* 

The increase in normalized net income <sup>[1]</sup> was primarily due to higher gross profit, partially offset by increased operating expenses.

*Net Loss from Discontinued Operations* 

The decrease in net loss was primarily due to the impairment charges recorded on the Marine businesses' assets held for sale during the three-month period ended January 31, 2025, as well as the closing of the sales of Alumacraft's and Manitou's assets during the three-month periods ended July 31, 2025 and October 31, 2025 respectively.

<sup>[1]</sup> See "Non-IFRS Measures" section.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **16** |

---

------

***Geographical Trends for the twelve-month period ended January 31, 2026***

*Revenues* 

---

| | | | | |
|:---|:---|:---|:---|:---|
|  ***Revenues by geography***<br> *(in millions of Canadian dollars)* | **Twelve-month periods ended** | **Twelve-month periods ended** | **Variance ($)** | **Variance (%)** |
|  ***Revenues by geography***<br> *(in millions of Canadian dollars)* | **January 31, 2026** | **January 31, 2025** | **Variance ($)** | **Variance (%)** |
|  **Revenues <sup>[1]</sup> ($)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; United States | **$4698.5** | $4566.1 | $132.4 | 2.9% |
| &nbsp;&nbsp;&nbsp;&nbsp; Canada | **1259.3** | 1109.0 | 150.3 | 13.6% |
| &nbsp;&nbsp;&nbsp;&nbsp; International | **2484.9** | 2227.8 | 257.1 | 11.5% |
|  **Total Revenues ($)** | **$8442.7** | $7902.9 |  |  |
|  **Revenues (%)** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; United States | **55.7%** | 57.8% | N/A | (210bps) |
| &nbsp;&nbsp;&nbsp;&nbsp; Canada | **14.9%** | 14.0% | N/A | 90bps |
| &nbsp;&nbsp;&nbsp;&nbsp; International | **29.4%** | 28.2% | N/A | 120bps |
|  **Total Revenues (%)** | **100.0%** | 100.0% |  |  |

---

<sup>[1]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

<u>United States</u> 

The increase in revenues from the United States was primarily due to a favourable product mix across most product lines, a higher volume of shipments in ATV, SSV and PA&A, as well as favourable pricing across all product lines. The increase was partially offset by a lower volume of shipments and higher sales program across most product lines. The increase includes a favourable foreign exchange rate variation of $34 million.

<u>Canada</u> 

The increase in revenues from Canada was primarily due to a higher volume of shipments, favourable product mix and lower sales programs across most product lines, as well as favourable pricing across all product lines. The increase was offset by a lower volume of shipments in 3WV, Pontoon and PWC, as well as higher sales programs in Snowmobile.

<u>International</u> 

The increase in revenues from International was primarily due to a favourable product mix and lower sales programs across most product lines, as well as higher volume of shipments in ATV and PWC and favourable pricing across all product lines. The increase was partially offset by a lower volume of shipments across most product lines. The increase includes a favourable foreign exchange rate variation of $69 million.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **17** |

---

------

**Discontinued Operations** 

On October 17, 2024, the Company announced that it had initiated a process for the sale of its Marine businesses namely Alumacraft, Manitou, Telwater and Marine PA&A.

**<u>Telwater, Manitou, and Alumacraft</u>**

During the three-month period ended April 30, 2025, the Company announced a definitive agreement to sell 100% of the outstanding shares of Telwater Pty, Ltd. to Yamaha Motor Australia Pty, Ltd. On December 18, 2025, the Company acknowledged the Australian Competition and Consumer Commission's decision to oppose the proposed sale of Telwater to Yamaha Motor Australia Pty Ltd., a subsidiary of Yamaha Motor Co., Ltd. The Company will continue to pursue potential buyers, keeping Telwater under the sale process.

During the three-month periods ended July 31, 2025 and October 31, 2025, the Company closed the sales of Alumacraft's and Manitou's assets, respectively, for a combined consideration totaling $17.9 million U.S. dollars ($23.7 million). Following the sale of these businesses' assets, certain product-related and other provisions, as well as lease liabilities, are no longer classified as held for sale and have been reclassified, as the Company retained these obligations.

As at January 31, 2026, Telwater is presented as discontinued operations and the associated assets and liabilities as held for sale, while Alumacraft and Manitou are also presented as discontinued operations, but the associated assets and liabilities, which consisted mainly of property, plant and equipment, and inventory have been disposed of.

**<u>Marine parts, accessories, and apparel</u>**

During the three-month period ended April 30, 2025, the Company decided that its Marine PA&A business was no longer for sale. Following this decision, Marine PA&A business is presented as continued operations and the associated assets and liabilities are no longer held for sale as at January 31, 2026. Prior periods have been reclassified accordingly.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **18** |

---

------

The net loss and comprehensive loss from discontinued operations, as presented in Note 32 of the audited consolidated financial statements, are as follows:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Revenues | **$155.2** | $164.3 |
|  Cost of sales | **177.6** | 265.6 |
|  **Gross profit (loss)** | **(22.4)** | (101.3) |
|  **Operating expenses** |  |  |
|  Selling and marketing | **10.8** | 26.9 |
|  Research and development | **9.0** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21.8 |
|  General and administrative | **7.8** | 24.9 |
|  Other operating expenses | **8.5** | 10.0 |
|  Impairment charge | **8.4** | 183.9 |
|  **Total operating expenses** | **44.5** | 267.5 |
|  **Operating income (loss)** | **(66.9)** | (368.8) |
|  Financing costs | **0.1** | 0.2 |
|  Income (loss) before income taxes | **(67.0)** | (369.0) |
|  Income tax expense (recovery) | **(15.9)** | (91.4) |
|  **Net income (loss) from discontinued operations** | **$(51.1)** | $(277.6) |

---

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  **Net loss from discontinued operations <sup>[1]</sup>** | **$(51.1)** | $(277.6) |
|  Net changes in unrealized gain on translation of foreign operations | **20.9** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.0 |
|  **Total comprehensive loss from discontinued operations <sup>[1]</sup>** | **$(30.2)** | $(274.6) |

---

<sup>[1]</sup> Nil amount of net loss and comprehensive loss are attributable to non-controlling interest.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **19** |

---

------

As at January 31, 2026, the carrying amount of assets and liabilities presented as held for sale is as follows:

---

| | | |
|:---|:---|:---|
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Inventories | **$13.6** | **$66.6** |
|  Property, plant and equipment | **69.4** | **98.5** |
|  Intangible assets | **38.7** | **36.9** |
|  Deferred tax assets | **—** | **80.6** |
|  Other assets | **4.4** | **10.1** |
|  **Assets classified as held for sale** | **$126.1** | **$292.7** |
|  Trade payables and accruals | **8.8** | **22.5** |
|  Provisions | **6.9** | **42.6** |
|  Deferred tax liabilities | **8.7** | **—** |
|  Other liabilities | **2.4** | **18.1** |
|  **Liabilities associated to assets classified as held for sale** | **$26.8** | **$83.2** |
|  **Assets net of liabilities held for sale** | **$99.3** | **$209.5** |

---

The net cash flows from discontinued operations are as follows:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Net cash flows used in operating activities | **$(54.5)** | $(150.3) |
|  Net cash flows from (used in) investing activities | **20.5** | (21.7) |
|  Net cash flows from financing activities | **34.4** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;179.2 |
|  **Net cash flows from discontinued operations** | **$0.4** | $7.2 |

---

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **20** |

---

------

**Assessment of the Company's performance against its Fiscal 2026 guidance** 

On August 29, 2025, the Company issued its full annual guidance for the year ending January 31, 2026. The guidance was revised quarterly, with the Company's final guidance being issued on December 4, 2025, to adjust the revenues, the normalized EBITDA <sup>[1]</sup>, the normalized diluted EPS <sup>[1]</sup> and the net income. The following table provides a comparison of the Company's performance reported for the year ended January 31, 2026, against the issued and revised guidance for this year:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **As issued on**<br> **August 29, 2025** | **As revised on**<br> **December 4, 2025** | **Results for Fiscal 2026** | **Results for Fiscal 2026** |
|  Revenues | $8.2 billion to $8.3 billion | Approximately $8.3 billion | $8.4 billion | Slightly above |
|  Normalized EBITDA <sup>[1]</sup> | $1,040 million to<br> $1,090 million | Approximately<br> $1,100 million | $1,103 million | As expected |
| Normalized diluted EPS <sup>[1]</sup> | $4.25 to $4.75 | Approximately $5.00 | $5.21 | Above <sup>[2]</sup> |
|  Net income | $430 million to<br> $470 million | Approximately $440 million | $340.4 million | Below <sup>[3]</sup> |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Mainly attributable to a favourable income tax rate.

<sup>[3]</sup> Mainly attributable to the impairment charges taken on the EV assets and light mobility CGU.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **21** |

---

------

**Foreign Exchange** 

The key average exchange rates used to translate foreign-denominated revenues and expenses, excluding any effect of the Company's hedging program for the three- and twelve-month periods ended January 31, 2026, were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
| | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  U.S. dollars (CA$/US$) | 1.3880 | 1.4191 | 1.3928 | 1.3778 |
|  Euro (CA$/€) | 1.6194 | 1.4882 | 1.5887 | 1.4841 |

---

The key period-end exchange rates used to translate foreign-denominated assets and liabilities were as follows:

---

| | | |
|:---|:---|:---|
| | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  U.S. dollars (CA$/US$) | 1.3558 | 1.4463 |
|  Euro (CA$/€) | 1.6114 | 1.5042 |

---

When comparing the operating income and the income before income tax for the three- and twelve-month periods ended January 31, 2026, the impacts of foreign exchange fluctuations were as follows:

---

| | | |
|:---|:---|:---|
| *(in millions of Canadian dollars)* | **Foreign exchange (gain) loss** | **Foreign exchange (gain) loss** |
| *(in millions of Canadian dollars)* | **Three-month period** | **Twelve-month period** |
|  Revenues | $(17.9) | $(103.3) |
|  Cost of sales | 4.2 | 95.2 |
|  **Impact of foreign exchange fluctuations on gross profit** | **(13.7)** | **(8.1)** |
|  Operating expenses | 2.1 | 30.4 |
|  **Impact of foreign exchange fluctuations on operating income** | **(11.6)** | **22.3** |
|  Long-term debt | (180.1) | (376.1) |
|  Net financing costs | 1.6 | (0.3) |
|  **Impact of foreign exchange fluctuations on income before income taxes** | **$(190.1)** | **$(354.1)** |

---

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **22** |

---

------

**Liquidity and Capital Resources** 

***Liquidity***

The Company's primary sources of cash consist of existing cash balances, operating activities and available borrowings under the Revolving Credit Facility, Term Facility, Term Loans and Bank Overdraft.

The Company's primary use of cash is to fund operations, working capital requirements and capital expenditures in connection with product development and manufacturing infrastructure. The fluctuation of working capital requirements is primarily due to the seasonality of the Company's production schedule and product shipments.

A summary of consolidated net cash flows by activity for the twelve-month periods ended January 31, 2026 and 2025 is presented below:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Net cash flows generated from operating activities | **$1212.5** | $688.2 |
|  Net cash flows used in investing activities | **(318.4)** | (425.5) |
|  Net cash flows used in financing activities | **(662.5)** | (553.1) |
|  Effect of exchange rate changes on cash and cash equivalents | **16.2** | (21.4) |
|  Net increase (decrease) in cash and cash equivalents | **247.8** | (311.8) |
|  Cash and cash equivalents at beginning of period | **180.0** | 491.8 |
|  Cash and cash equivalents at end of period | **$427.8** | $180.0 |
|  Free cash flow <sup>[1]</sup> | **$871.3** | $261.8 |

---

As presented in the audited consolidated financial statements, the cash flow will be analyzed on a consolidated basis.

*Net Cash Flows Generated from Operating Activities* 

A summary of consolidated cash flows from operating activities for the twelve-month periods ended January 31, 2026 and 2025 is presented below:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Net income (loss) | **$289.3** | $(213.0) |
|  Non-cash and non-operating items | **778.9** | 986.3 |
|  Changes in working capital | **229.5** | 62.2 |
|  Income taxes paid, net of refunds | **(85.2)** | (147.3) |
|  Net cash flows generated from operating activities | **$1212.5** | $688.2 |

---

Net cash flows generated from operating activities totalled $1,212.5 million for the twelve-month period ended January 31, 2026 compared to $688.2 million for the twelve-month period ended January 31, 2025. The $524.3 million increase in net cash flows generated was mainly due to favourable changes in working capital, higher profitability and lower income taxes paid. The favourable changes in working capital were the result of increased trade payables and accruals due to higher average payment terms, as well as decreased trade and other receivables. The favourable changes in working capital were partially offset by a smaller decrease in inventories and unfavourable changes in provisions.

<sup>[1]</sup> See "Non-IFRS Measures" section.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **23** |

---

------

*Net Cash Flows Used in Investing Activities* 

A summary of consolidated cash flows used in investing activities for the twelve-month periods ended January 31, 2026 and 2025 is presented below:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Additions to property, plant and equipment | **$(297.7)** | $(396.6) |
|  Additions to intangible assets | **(43.5)** | (29.8) |
|  Other | **22.8** | 0.9 |
|  Net cash flows used in investing activities | **$(318.4)** | $(425.5) |

---

Net cash flows used in investing activities totalled $318.4 million for the twelve-month period ended January 31, 2026 compared to $425.5 million for the twelve-month period ended January 31, 2025. The $107.1 million decrease in net cash flows used was mostly explained by lower investments in property, plant and equipment compared to the same period last year, and the closing of the sales of Alumacraft's and Manitou's assets.

*Net Cash Flows Used in Financing Activities* 

A summary of consolidated cash flows used in financing activities for the twelve-month periods ended January 31, 2026 and 2025 is presented below:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Repurchase of subordinate voting shares | **$(50.3)** | $(215.1) |
|  Dividends paid | **(62.9)** | (61.9) |
|  Repayment of long-term debt | **(336.4)** | (59.7) |
|  Interest paid | **(176.5)** | (177.8) |
|  Issuance of long-term debt | **0.7** | 3.6 |
|  Repayment of lease liabilities | **(60.3)** | (52.4) |
|  Other | **23.2** | 10.2 |
|  Net cash flows used in financing activities | **$(662.5)** | $(553.1) |

---

Net cash flows used in financing activities totalled $662.5 million for the twelve-month period ended January 31, 2026 compared to $553.1 million for the twelve-month period ended January 31, 2025. The $109.4 million increase in net cash flows used was mainly attributable to the U.S. $200.7 million repayment concurrent to the amendment of the Company's Term Facility. The increase was partially offset by a decrease in repurchases of subordinate voting shares during the twelve-month period ended January 31, 2026.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **24** |

---

------

***Contractual Obligations***

The following table summarizes the Company's significant contractual obligations as at January 31, 2026:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars)* | **Less than**<br> **1 year** | **1-3 years** | **4-5 years** | **More than**<br> **5 years** | **Total** <br> **amount**  |
|  Trade payables and accruals | $1515.2 | $— | $— | $— | $1515.2 |
|  Long-term debt (including interest) | 190.0 | 373.5 | 933.1 | 1588.9 | 3085.5 |
|  Lease liabilities (including interest) | 60.4 | 83.2 | 53.8 | 61.4 | 258.8 |
|  Derivative financial instruments | 11.2 | 1.6 |  |  | 12.8 |
|  Other financial liabilities | 62.1 | 21.7 | 13.7 | 35.0 | 132.5 |
|  Other liabilities | 26.7 | 19.1 |  |  | 45.8 |
|  **Total** | **$1865.6** | **$499.1** | **$1000.6** | **$1685.3** | **$5050.6** |

---

The Company enters into purchasing agreements with suppliers related to material used in production. These agreements are usually entered into before production begins and may specify a fixed or variable quantity of material to be purchased. Due to the uncertainty as to the amount and pricing of material that may be purchased, the Company is not able to determine with precision its commitments in connection with these supply agreements.

Management believes that the Company's operating activities and available financing capacity will provide adequate sources of liquidity to meet its short-term and long-term needs.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **25** |

---

------

***Capital Resources***

*Revolving Credit Facility* 

The Company has a Revolving Credit Facility totaling $1,500.0 million, which can also be drawn in U.S dollar or Euro equivalent. As at January 31, 2026, the Company had no outstanding amount drawn on the Revolving Credit Facility (nil as at January 31, 2025). Commitment fees on the undrawn amount of the Revolving Credit Facility, varying from 0.25% to 0.40%, were 0.25%.

The applicable interest rates are subject to a customary credit spread adjustment ranging from 0.45% to 3.00%, which varies depending on a Leverage Ratio. Based on the Leverage Ratio, the cost of borrowing as at January 31, 2026, in Canadian dollars, was either the CORRA plus 1.70% or the Canadian Prime Rate plus 0.70%. In U.S. dollars, it was either the SOFR plus 1.70%, the U.S. Base Rate plus 0.70% or the U.S. Prime Rate plus 0.70%. In Euros, it was the EURIBOR plus 1.70%.

The Company is required to maintain, under certain conditions, a minimum fixed charge coverage ratio. Additionally, the total available borrowing under the Revolving Credit Facility is subject to a borrowing base calculation representing 75% of the carrying amount of trade and other receivables plus 50% of the carrying amount of inventories. The total amount available was $1,375.7 million as at January 31, 2026.

As at January 31, 2026, the Company had issued letters of credit for an amount of $20.0 million under the Revolving Credit Facility ($20.3 million as at January 31, 2025). In addition, $5.1 million in letters of credit were outstanding under other agreements as at January 31, 2026, ($5.3 million as at January 31, 2025).

---

| | | |
|:---|:---|:---|
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Bank overdraft | $— | $— |
|  Issued letters of credit under the Revolving Credit Facility | 20.0 | 20.3 |
|  Other outstanding letters of credit | 5.1 | 5.3 |

---

*Term Facility* 

On October 1st, 2025 the Company amended its Term Facility by prepaying the entirety of its U.S. $465.7 million Term Loan B-1 due May 2027, and by increasing its Term Loan B-2 by U.S. $88.0 million and Term Loan B-3 by U.S. $177.0 million, resulting in a net reduction of U.S. $200.7 million of the outstanding Term Facility. As part of this amendment, the Company also repriced its Term Facility, reducing the cost of borrowing by 0.50%, with all other conditions remaining substantially the same. The Company incurred transaction costs of $4.4 million, which have been recorded in financing costs. In addition, the previous unamortized costs of $8.2 million associated to Term Loan B-3 were derecognized and recorded in financing costs.

As at January 31, 2026, the cost of borrowing under the Term Loan was as follows:

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**Loan** | **Cost of Borrowing** |
| &nbsp;&nbsp;&nbsp;Term Loan B-2 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ◾<br>Term SOFR plus 2.25% per annum, with a Term SOFR floor of 0.50%<br>|
| &nbsp;&nbsp;&nbsp;Term Loan B-3 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ◾<br>Term SOFR plus 2.25% per annum, with a Term SOFR floor of 0.00%<br>|

---

Under the Term Facility, the cost of borrowing in U.S. Base Rate or U.S. Prime Rate cannot be lower than the cost of borrowing in SOFR.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **26** |

---

------

The Company is required to repay a minimum of 0.25% of the nominal amount each quarter, less any voluntary prepayments done to date. Consequently, the Company repaid an amount of U.S. $16.2 million ($22.5 million) during the twelve-month period ended January 31, 2026 (U.S. $15.2 million ($20.9 million) during the year ended January 31, 2025). Also, the Company may be required to repay a portion of the Term Facility in the event that it has an excess cash position at the end of the fiscal year and its leverage ratio is above a certain threshold level. As at January 31, 2026 and 2025, the Company was not required to repay any portion of the Term Facility under this requirement.

*Austrian Term Loans* 

During the twelve-month period ended January 31, 2026, the Company entered into a term loan agreement at a favourable interest rate under an Austrian government program. This program supports research and development projects based on the Company's incurred expenses in Austria. The term loan has a nominal amount of €0.4 million ($0.7 million) with an interest rate of 1.75% with a maturity date of June 2028.

As at January 31, 2026, the Company had €67.1 million ($108.1 million) outstanding under its Austrian term loans bearing interest at a range between 0.93% to 3.23% and maturing between March 2026 and December 2030.

*Lease Liabilities* 

As at January 31, 2026, the contractual obligations in relation to assets recognized under lease agreements amounted to $258.8 million ($232.9 million as at January 31, 2025).

*Normal Course Issuer Bid Program* 

On December 4, 2025, the Company announced the renewal of its NCIB to repurchase for cancellation up to 3,131,256 of its outstanding subordinate voting shares over a twelve-month period commencing on December 10, 2025, and ending no later than December 9, 2026 (the "Current NCIB").

During the year ended January 31, 2026, the Company repurchased for cancellation 485,400 subordinate voting shares for a total consideration of $50.3 million under the Current NCIB. During the same period, the Company did not repurchase subordinate voting shares under the previous NCIB that was announced and started during the fiscal year ended January 31, 2025.

*Secondary offering* 

On December 23, 2025, Bain Capital Integral Investors II, L.P. ("Bain Capital") completed a secondary offering of 1,850,000 subordinate voting shares of the Company through an underwriter and a distribution in kind of 307,018 subordinate voting shares to certain affiliates and limited partners. Prior to such transaction, Bain Capital converted 2,157,018 multiple voting shares into an equivalent number of subordinate voting shares. The Company did not receive any of the proceeds of the secondary offering. In accordance with the terms of the registration rights agreement entered into in connection with the initial public offering of the Company's subordinate voting shares, the Company incurred less than $1.0 million of fees and expenses related to this secondary offering.

On September 12, 2025, Bain Capital completed a secondary offering of 1,500,000 subordinate voting shares of the Company through an underwriter and a distribution in kind of 43,136 subordinate voting shares to certain affiliates and limited partners. Prior to such transaction, Bain Capital converted 1,543,136 multiple voting shares into an equivalent number of subordinate voting shares. The Company did not receive any of the proceeds of the secondary offering. In accordance with the terms of the registration rights agreement entered into in connection with the initial public offering of the Company's subordinate voting shares, the Company incurred less than $1.0 million of fees and expenses related to this secondary offering.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **27** |

---

------

*Dividend* 

On March 25, 2026, the Company's Board of Directors declared a quarterly dividend of $0.25 per share for holders of its multiple and subordinate voting shares. The dividend will be paid on April 24, 2026 to shareholders of record at the close of business on April 10, 2026.

The Board of Directors has determined that this quarterly dividend is appropriate based on several relevant factors, including, without limitation, the Company's results of operations, current and anticipated cash requirements and surplus, financial condition, contractual restrictions and financing agreement covenants (including restrictions in the Term Facility and the Revolving Credit Facility or other material agreements) and solvency tests imposed by corporate law.

The payment of each quarterly dividend remains subject to the declaration of that dividend by the Board of Directors. The actual amount, the declaration date, the record date and the payment date of each quarterly dividend are subject to the discretion of the Board of Directors.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **28** |

---

------

**Consolidated Financial Position <sup>[1]</sup>** 

The following table reflects the main variances that have occurred in the Company's audited consolidated statements of financial position between January 31, 2026 and January 31, 2025, the impact of the fluctuation of exchange rates on such variances, the related net variance (excluding the impact of the fluctuation of exchange rates on such variances) as well as explanations for the net variance:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| *(in millions of*<br> *Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **Variance** | **Exchange**<br> **Rate**<br> **Impact** | **Net**<br> **Variance** | **Explanation of Net**<br> **Variance** |
|  Trade and other receivables | **$607.2** | $633.5 | $(26.3) | $(29.2) | $(55.5) | Mostly explained by lower sales taxes receivable. |
|  Inventories | **1824.6** | 1774.1 | 50.5 | (19.2) | 31.3 | Mostly explained by higher raw materials inventory and finished goods for upcoming production and deliveries. |
|  Property, plant and equipment | **1816.8** | 1938.8 | (122.0) | (32.7) | (154.7) | Mostly explained by the impairment taken on EV assets. |
|  Trade payables and accruals | **1515.2** | 1223.8 | 291.4 | (1.1) | 290.3 | Due to higher average payment terms and higher incentive compensation costs. |
|  Provisions | **858.1** | 944.4 | (86.3) | 26.2 | (60.1) | Mostly explained by lower sales programs due to lower network inventory levels. |
|  Long-term debt, including current portion | **2442.3** | 2925.1 | (482.8) | 158.5 | (324.3) | Mostly explained by the U.S. $200.7 million repayment of the Company's Term Facility. |

---

<sup>[</sup><sup>1]</sup> Following the decision not to sell the Marine PA&A business, prior periods have been reclassified accordingly.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **29** |

---

------

**Post-Employment Benefits** 

The Company sponsors defined contribution retirement plans to a majority of its employees and sponsors non-contributory defined benefit plans that provide for pensions and other post-retirement benefits to certain employees mainly located in Canada and Austria.

In Canada, the Company's defined benefit pension plans coverage are mainly related to pension benefits for its executive employees and life insurance benefits and healthcare benefits to executive and certain eligible employees. Additionally, the Company retained defined benefit obligations with certain active and former Canadian employees for services rendered prior to 2005.

In Austria, the Company's defined benefit pension plan coverage is related to a lump sum retirement indemnity plan and a defined benefit plan.

A summary of the carrying amounts of employee future benefit liabilities and the discount rates used to establish their carrying amounts for the last two fiscal years were as follows, as at:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars)* | **January 31, 2026** | **January 31, 2026** | **January 31, 2026** | **January 31, 2025** | **January 31, 2025** | **January 31, 2025** |
| *(in millions of Canadian dollars)* | **Canada** | **Foreign** | **Total** | **Canada** | **Foreign** | **Total** |
| Employee future benefit liabilities | **$103.1** | **$107.8** | **$210.9** | $81.0 | $113.0 | $194.0 |
| Discount rate | **4.90%** | **3.84%** |  | 4.65% | 3.41% |  |
| Compensation increase | **3.00%** | **3.00%** |  | 3.00% | 3.00% |  |

---

The Company's liabilities related to defined benefit obligations are highly dependent on prevailing actual and future discount rates, future compensation increases and participant longevity. An increase or decrease of those factors could increase or significantly decrease the employee future benefit liabilities and future cash contributions. In Fiscal 2023, the Company purchased qualifying annuity buy-in insurance contracts on behalf of certain defined benefit plans as a mechanism to reduce pension plan risk. The following table presents the impact on the employee future benefit liabilities as at January 31, 2026 of reasonable possible changes of the respective assumptions, while holding all other assumptions constant:

---

| | |
|:---|:---|
|  | **Increase (Decrease) of the employee**<br> **future benefit liabilities** |
|  **Discount rate** |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 0.5% increase | **$(23.1)** |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 0.5% decrease | **25.3** |
|  **Expected rate of compensation increase** |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 0.5% increase | **3.5** |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 0.5% decrease | **(3.2)** |
|  **Participant longevity** |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 1 year increase | **8.6** |
| &nbsp;&nbsp;&nbsp;&nbsp; Impact of a 1 year decrease | **(8.7)** |

---

The sensitivity analysis presented above may not be representative of the potential change in the employee future benefit liabilities as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

In accordance with the minimum funding obligations required under the current regulations, the Company expects to contribute $14.9 million to all defined benefit pension plans for the year ending January 31, 2027.

The pension expense incurred by the Company for its defined benefit and defined contribution pension plans was $68.6 million and $66.8 million for the years ended January 31, 2026 and January 31, 2025, respectively, of which 5.1% and 5.5% is related to current service costs under defined benefit plans.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **30** |

---

------

**Off-Balance Sheet Arrangements** 

***Dealer and Distributor Financing Arrangements***

The Company, most of its independent dealers and some of its independent distributors are parties to agreements with third-party financing service providers. These agreements provide financing to facilitate the purchase of the Company's products and improve the Company's working capital by allowing an earlier collection of accounts receivable from dealers and distributors. Approximately three-quarters of the Company's sales are made under such agreements. The parties listed above have agreements with Huntington Distribution Finance, Inc., Huntington Commercial Finance Canada Inc., Huntington Commercial Finance LLC and Huntington Commercial Finance New Zealand Ltd (collectively, "Huntington"), to provide financing facilities in North America, Australia and New Zealand, and with Wells Fargo Commercial Distribution Finance, Wells Fargo Bank International Unlimited Company and Wells Fargo International Finance LLC (collectively "Wells Fargo") for financing facilities in North America and Europe. The agreement between the Company and Huntington will expire on January 31, 2028. During the three-month period ended July 31, 2025, the Company signed a wholesale financing agreement in Europe with De Lage Landen International B.V. ("DLL"), in replacement of the Wells Fargo Bank International Unlimited Company agreement that expired on January 31, 2026. The agreement became effective on December 12, 2025. The Corporation remains liable with obligations towards Wells Fargo until all assets financed are fully paid.

The total consolidated amount of financing provided to the Company's independent dealers and distributors totalled $2,429.6 million and $7,289.7 million for the three- and twelve-month periods ended January 31, 2026, compared to $1,683.0 million and $6,704.8 million for the three- and twelve-month periods ended January 31, 2025. The outstanding consolidated financing between the Company's independent dealers and distributors and third-party finance companies amounted to $2,635.2 million and $3,151.5 million as at January 31, 2026, and January 31, 2025, respectively.

The breakdown of consolidated outstanding amounts by country and local currency between the Company's independent dealers and distributors with third-party finance companies were as follows, as at:

---

| | | | |
|:---|:---|:---|:---|
| (in millions) | **Currency** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**January 31,**<br> **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**January 31,**<br> **2025** |
|  **Total outstanding** | **CAD** | **$2635.2** | **$3151.5** |
| &nbsp;&nbsp;&nbsp;&nbsp; United States | USD | $1399.1 | $1593.9 |
| &nbsp;&nbsp;&nbsp;&nbsp; Canada | CAD | $533.4 | $670.4 |
| &nbsp;&nbsp;&nbsp;&nbsp; Europe | EUR | € 55.5 | € 49.8 |
| &nbsp;&nbsp;&nbsp;&nbsp; Australia and New Zealand | AUD | $121.7 | $112.0 |
|  Total outstanding - continuing operations | CAD | $2564.9 | $3000.3 |
| Total outstanding - discontinued operations | CAD | $70.3 | $151.2 |

---

The consolidated costs incurred by the Company under the dealers' and distributors' financing agreements totalled $(7.5) million and $75.8 million for the three- and twelve-month periods ended January 31, 2026 compared to $(11.5) million and $96.0 million for the three- and twelve-month periods ended January 31, 2025.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **31** |

---

------

Under the dealer and distributor financing agreements, in the event of default, the Company may be required to purchase, from the finance companies, repossessed new and unused products at the total unpaid principal balance of the dealer or distributor to the finance companies.

The combined consolidated maximum obligation is generally within a range of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) U.S. $14.0 million ($19.0 million) or 15% of the calendar year twelve-month average amount of consolidated financing outstanding under the financing agreements ($18.4 million as at January 31, 2026);

ii) U.S. $25.0 million ($33.9 million) or 10% of the last twelve-month average amount of consolidated financing outstanding under the financing agreements ($251.8 million as at January 31, 2026) and;

iii) Euro €10.0 million ($13.6 million) or 10% of the calendar year twelve-month average amount of consolidate financing outstanding under the financing agreements (not applicable as at January 31, 2026).

As such, the maximum consolidated amount subject to the Company's obligation to purchase repossessed new and unused products from the finance companies was $284.4 million as at January 31, 2026 and $346.9 million as at January 31, 2025.

For the year ended January 31, 2026, the Company incurred a loss of $0.8 million related to new and unused products repossessed by the finance companies ($0.8 million loss for the year ended January 31, 2025).

***Consumer Financing Arrangements***

The Company has contractual relationships with third-party financing companies in order to facilitate consumer credit for the purchase of its products in North America. The agreements generally allow the Company to offer a subsidized interest rate to consumers for a certain limited period under certain sales programs. Under these contracts, the Company's financial obligations are related to the commitments made under certain sales programs.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **32** |

---

------

**Transaction Between Related Parties** 

***Transactions with Key Management Personnel***

Key management personnel of the Company, defined as employees with authority and responsibility for planning, directing and controlling the activities of the Company, are considered related parties to the Company. The key management personnel of the Company are the directors and the executive officers listed in the Annual Information Form of the Company dated March 25, 2026, and available on SEDAR+ at <u>www.sedarplus.ca</u> and EDGAR at <u>www.sec.gov</u>.

The Company incurred the following benefit expenses in relation with key management personnel:

---

| | | |
|:---|:---|:---|
|  | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**January 31,**<br> **2026** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**January 31,**<br> **2025** |
|  Current remuneration | **$16.3** | $7.8 |
|  Post-employment benefits | **1.1** | 1 |
|  Stock-based compensation expense <sup>[1]</sup> | **17.4** | 9.9 |
|  **Total** | **$34.8** | $18.7 |

---

<sup>[</sup><sup>1]</sup> Includes the impact of accelerated vesting of executive management stock options recognized during the year ended January 31, 2026.

***Transactions with Bombardier Inc., a Company Related to Beaudier Group***

Pursuant to the purchase agreement entered into in 2003 in connection with the acquisition of the recreational product business of Bombardier Inc., the Company committed to reimburse to Bombardier Inc. income taxes amounting to $22.4 million as at January 31, 2026 and $22.7 million as at January 31, 2025, respectively. The payments will begin when Bombardier Inc. starts making income tax payments in Canada and/or in the United States. The Company does not expect to make any payments to Bombardier Inc. in relation to that obligation for Fiscal 2026.

**Financial Instruments** 

The Company's financial instruments, divided into financial assets and financial liabilities, are measured at the end of each period at fair value or amortized costs using the effective interest method depending on their classification determined by IFRS. By nature, financial assets are exposed to credit risk whereas financial liabilities are exposed to liquidity risk. Additionally, the Company's financial instruments and transactions could be denominated in foreign currency creating a foreign exchange exposure that could be mitigated by the use of derivative financial instruments. The Company is to a lesser extent exposed to interest risk associated to its Revolving Credit Facility, Term Facility and Austrian term loans.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **33** |

---

------

***Foreign Exchange Risk***

The elements reported in the consolidated statements of net income, in the consolidated statements of financial position, and in the consolidated statements of cash flows presented in the Company's audited consolidated financial statements in Canadian dollars are significantly exposed to the fluctuation of exchange rates, mainly the Canadian dollar/U.S. dollar rate and the Canadian dollar/euro rate.

The Company's cash inflows and outflows are mainly comprised of Canadian dollars, U.S. dollars and euros. The Company intends to maintain, as a result of its business transactions, a certain offset position on U.S. dollar and euro denominated cash inflows and outflows.

For some currencies over which the Company cannot achieve an offset through its recurring business transactions, the Company uses foreign exchange contracts according to the Company's hedging strategy. Management periodically reviews the relevant hedging position and may hedge at any level within the authorized parameters of the policy, up to the maximum percentage allowed. Those contracts are accounted for under the cash flow hedge model covering highly probable forecasted sales in these currencies, and the gains or losses on those derivatives are recorded in net income only when the forecasted sales occur.

Finally, the Company reduces the exposure on its net income arising from the revaluation at period-end of monetary items denominated in a different functional currency by using foreign exchange contracts. Those contracts are recorded in net income at each period end in order to mitigate the gains or losses resulting from the revaluation at spot rate of these foreign-denominated positions.

While the Company's operating income is protected, to a certain extent, from significant fluctuations of foreign exchange rates resulting from the application of the Company's hedging strategy, the net income is significantly exposed to Canadian dollar/U.S. dollar rate fluctuations due to the U.S. dollar-denominated long-term debt. However, there is a monetary impact for the Company only to the extent the Term Facility is repaid.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **34** |

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***Liquidity Risk***

The Company is exposed to the risk of encountering difficulty in meeting obligations related to its financial liabilities. In order to manage its liquidity risk accurately, the Company continuously monitors its operating cash requirements taking into account the seasonality of the Company's working capital needs, revenues and expenses. The Company believes the cash flows generated from operations combined with its cash on hand and the availability of funds under its credit facility ensures its financial flexibility and mitigates its liquidity risk.

***Credit Risk***

The Company could be exposed, in the normal course of business, to the potential inability of dealers, distributors and other business partners to meet their contractual obligations on financial assets and on amounts guaranteed under dealer and distributor financing arrangements with Huntington, Wells Fargo and DLL.

The Company considers that its credit risk associated with its trade receivables and its limited responsibilities under the dealer and distributor financing agreements with Huntington, Wells Fargo and DLL does not represent a significant concentration of risk and loss due to the large number of dealers, distributors and other business partners and their dispersion across many geographic areas. Moreover, the Company mitigates such risk by doing business through its own distribution channels and by monitoring the creditworthiness of the dealers and distributors in the different geographic areas.

***Interest Rate Risk***

The Company is exposed to the variation of interest rates mainly resulting from the Term SOFR on its Term Facility. However, the Company entered into interest rate cap contracts, which limit its exposure to interest rate increase.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **35** |

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------

**Non-IFRS Measures and Reconciliation Tables** 

The Company uses non-IFRS measures and ratio, including the following:

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Non-IFRS<br>measures** | **Definition** | **Reason for use** |
| &nbsp;&nbsp;&nbsp; **Normalized**<br> **EBITDA** | Net income before financing costs, financing income, income tax expense (recovery), depreciation expense and normalized elements | Assist investors in determining the financial performance of the Company's operating activities on a consistent basis by excluding certain non-cash elements such as depreciation expense, impairment charge, foreign exchange gain or loss on the Company's long-term debt denominated in U.S. dollars and foreign exchange gain or loss on certain of the Company's lease liabilities. Other elements, such as restructuring and wind-down costs, non-recurring gain or loss and acquisition-related costs, may be excluded from net income in the determination of Normalized EBITDA as they are considered not being reflective of the operational performance of the Company |
| &nbsp;&nbsp;&nbsp; **Normalized net**<br> **income** | Net income before normalized elements adjusted to reflect the tax effect on these elements | In addition to the financial performance of operating activities, these measures consider the impact of investing activities, financing activities and income taxes on the Company's financial results |
| &nbsp;&nbsp;&nbsp; **Normalized**<br> **income tax expense** | Income tax expense adjusted to reflect the tax effect on normalized elements and to normalize specific tax elements | Assist investors in determining the tax expense relating to the normalized items explained above, as they are considered not being reflective of the operational performance of the Company |
| &nbsp;&nbsp;&nbsp; **Normalized**<br> **effective tax rate** | Based on Normalized net income before Normalized income tax expense | Assist investors in determining the effective tax rate including the normalized items explained above, as they are considered not being reflective of the operational performance of the Company |
| &nbsp;&nbsp;&nbsp; **Normalized**<br> **earnings per**<br> **share – diluted** | Calculated by dividing the Normalized net income by the weighted average number of shares – diluted | Assist investors in determining the normalized financial performance of the Company's activities on a per share basis |
| &nbsp;&nbsp;&nbsp; **Free cash flow** | Cash flows from operating activities less additions to PP&E and intangible assets | Assist investors in assessing the Company's liquidity generation abilities that could be available for shareholders, debt repayment and business combination, after capital expenditure |

---

The Company believes non-IFRS measures are important supplemental measures of financial performance because they eliminate items that have less bearing on the Company's financial performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. Management also uses non-IFRS measures in order to facilitate financial performance comparisons from period to period, prepare annual operating budgets, assess the Company's ability to meet its future debt service, capital expenditure and working capital requirements and also as a component in the determination of the short-term incentive compensation for the Company's employees. Because other companies may calculate these non-IFRS measures differently than the Company does, these metrics are not comparable to similarly titled measures reported by other companies.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **36** |

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**Reconciliation Tables <sup>[2]</sup>** 

The following table presents the reconciliation of Net income to Normalized net income <sup>[1]</sup> and Normalized EBITDA <sup>[1]</sup>.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2024** |
|  **Net income** | **$45.8** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$(50.5) | **$340.4** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$64.6 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$936.6 |
|  Normalized elements |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign exchange (gain) loss on long-term debt and lease liabilities | **(80.0)** | 103.4 | **(169.8)** | 212.1 | 10.8 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cybersecurity incident <sup>[3]</sup> | **—** | (12.5) | **—** | (12.5) |  |
| &nbsp;&nbsp;&nbsp;&nbsp; EV and light mobility impairment and other charges <sup>[4]</sup> | **232.5** |  | **236.5** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impairment charges <sup>[5]</sup> | **—** |  | **—** | 9.4 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Costs related to business combinations (reversal) <sup>[6]</sup> | **1.5** | (7.9) | **7.0** | 2.7 | 11.1 |
| &nbsp;&nbsp;&nbsp;&nbsp; Exit costs <sup>[7]</sup> | **—** | 15.1 | **—** | 15.1 | 15.0 |
| &nbsp;&nbsp;&nbsp;&nbsp; Restructuring and related costs (reversal) <sup>[8]</sup> | **(0.5)** | 41.8 | **(0.5)** | 76.8 | 3.9 |
| &nbsp;&nbsp;&nbsp;&nbsp; Transaction costs on long-term debt <sup>[9]</sup> | **—** |  | **12.6** |  | 22.7 |
| &nbsp;&nbsp;&nbsp;&nbsp; Special long-term incentive program <sup>[10]</sup> | **—** |  | **4.4** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Executive management transition cost <sup>[11]</sup> | **2.5** |  | **7.5** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Other elements <sup>[12]</sup> | **2.0** | 1.2 | **4.3** | 2.1 | 3.0 |
| &nbsp;&nbsp;&nbsp;&nbsp; Income tax adjustment <sup>[1] [13]</sup> | **(40.5)** | (13.8) | **(59.9)** | (8.0) | (30.2) |
|  **Normalized net income <sup>[1]</sup>** | **163.3** | 76.8 | **382.5** | 362.3 | 972.9 |
|  Normalized income tax expense <sup>[1]</sup> | **41.9** | 19.5 | **85.0** | 98.4 | 305.5 |
|  Financing costs adjusted <sup>[1]</sup> | **46.5** | 48.4 | **198.6** | 198.2 | 185.3 |
|  Financing income adjusted <sup>[1]</sup> | **(3.2)** | (0.9) | **(11.0)** | (8.0) | (11.8) |
|  Depreciation expense adjusted <sup>[1]</sup> | **115.3** | 103.2 | **448.3** | 406.9 | 363.4 |
|  **Normalized EBITDA <sup>[1]</sup>** | **$363.8** | $247.0 | **$1103.4** | $1057.8 | $1815.3 |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Figures are on a continuing basis and prior periods reclassified accordingly.

<sup>[3]</sup> During Fiscal 2025, the Company received insurance payments in relation to the cybersecurity incident that occurred in Fiscal 2023.

<sup>[4]</sup> During Fiscal 2026, the Company recognized impairment charges related to the EV assets and light mobility CGU, increased provisions related to EV products, as well as reversed the non-controlling interest liability.

<sup>[5]</sup> During Fiscal 2025, the Company recognized an impairment charge on unutilized assets.<sup></sup>

<sup>[6]</sup> Transaction costs and depreciation of intangible assets related to business combinations.

<sup>[7]</sup> The Company impaired service parts inventory related to its Evinrude outboard engine business.<sup></sup>

<sup>[8]</sup> The Company recorded restructuring costs, which includes severance packages to employees as part of workforce reduction, contract exit costs and supplier claims related to restructuring activities.<sup></sup>

<sup>[9]</sup> Derecognition of unamortized transaction costs and incremental transaction costs related to the amendment of the Company's Term Facility.

<sup>[10]</sup> Incremental fair value recorded as a result of a special long-term incentive program.

<sup>[11]</sup> Includes the impact of accelerated vesting of executive management stock options.

---

| | |
|:---|:---|
| <sup>[12]</sup> | Other elements include transaction costs associated with the sale of the Marine businesses, fees associated with the secondary offerings that occurred during Fiscal 2025 and 2026, as well as incremental transport and idle costs related to mitigation strategies implemented to handle the border crossing slowdown between Juarez, Mexico, where the Company has three factories, and El Paso, Texas, USA.  |

---

---

| | |
|:---|:---|
| <sup>[13]</sup> | Income tax adjustment is related to the income tax on Normalized elements subject to tax and for which income tax has been recognized, to the adjustment related to the impact of foreign currency translation from Mexican operations, and to the deferred income tax on operating losses recorded as part of the impairment.  |

---

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **37** |

---

------

The following table presents the reconciliation of consolidated net cash flows generated from operating activities to consolidated free cash flow <sup>[1]</sup>.

---

| | | |
|:---|:---|:---|
| *(millions of Canadian dollars)* | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** |
|  Net cash flows generated from operating activities | **$1212.5** | $688.2 |
|  Additions to property, plant and equipment | **(297.7)** | (396.6) |
|  Additions to intangible assets | **(43.5)** | (29.8) |
|  **Free cash flow <sup>[1]</sup>** | **$871.3** | $261.8 |
|  Free cash flow from continuing operations <sup>[1]</sup> | $929.2 | $433.3 |
|  Free cash flow used in discontinued operations <sup>[1]</sup> | $(57.9) | $(171.5) |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **38** |

---

------

The following table <sup>[2]</sup> presents the reconciliation of items as included in the Normalized net income <sup>[1]</sup> and Normalized EBITDA <sup>[1]</sup> compared to respective IFRS measures as well as the Normalized EPS – basic and diluted <sup>[1]</sup> calculation.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *(millions of Canadian dollars, except per share data)* | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(millions of Canadian dollars, except per share data)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,** <br> **2024**  |
|  **Depreciation expense reconciliation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Depreciation expense | **$116.5** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$104.6 | **$453.8** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$412.5 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$369.0 |
| &nbsp;&nbsp;&nbsp;&nbsp; Depreciation of intangible assets related to business combinations | **(1.2)** | (1.4) | **(5.5)** | (5.6) | (5.6) |
|  **Depreciation expense adjusted** | **$115.3** | $103.2 | **$448.3** | $406.9 | $363.4 |
|  **Income tax expense reconciliation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Income tax expense | **$1.4** | $5.7 | **$25.1** | $90.4 | $275.3 |
| &nbsp;&nbsp;&nbsp;&nbsp; Income tax adjustment <sup>[3]</sup> | **40.5** | 13.8 | **59.9** | 8.0 | 30.2 |
|  **Normalized income tax expense <sup>[1]</sup>** | **$41.9** | $19.5 | **$85.0** | $98.4 | $305.5 |
|  **Financing costs reconciliation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Financing costs | **$47.2** | $48.4 | **$211.9** | $198.2 | $208.0 |
| &nbsp;&nbsp;&nbsp;&nbsp; Transaction costs on long-term debt | **—** |  | **(12.6)** |  | (22.7) |
| &nbsp;&nbsp;&nbsp;&nbsp; Other | **(0.7)** |  | **(0.7)** |  |  |
|  **Financing costs adjusted** | **$46.5** | $48.4 | **$198.6** | $198.2 | $185.3 |
|  **Financing income reconciliation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Financing income | **$(3.2)** | $(0.9) | **$(11.0)** | $(8.0) | $(16.6) |
| &nbsp;&nbsp;&nbsp;&nbsp; Gain on NCIB | **—** |  | **—** |  | 4.8 |
|  **Financing income adjusted** | **$(3.2)** | $(0.9) | **$(11.0)** | $(8.0) | $(11.8) |
|  **Normalized basic EPS <sup>[1]</sup> calculation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized net income <sup>[1]</sup> | **$163.3** | $76.8 | **$382.5** | $362.3 | $972.9 |
| &nbsp;&nbsp;&nbsp;&nbsp; Non-controlling interests | **1.1** | 0.4 | **2.3** | (0.1) | (1.5) |
| &nbsp;&nbsp;&nbsp;&nbsp; Weighted average number of shares - basic | **73313268** | 73016543 | **73134185** | 73661874 | 77166505 |
|  **Normalized basic EPS <sup>[1]</sup>** | **$2.24** | $1.06 | **$5.26** | $4.92 | $12.59 |
|  **Normalized diluted EPS <sup>[1]</sup> calculation** |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Normalized net income <sup>[1]</sup> | **$163.3** | $76.8 | **$382.5** | $362.3 | $972.9 |
| &nbsp;&nbsp;&nbsp;&nbsp; Non-controlling interests | **1.1** | 0.4 | **2.3** | (0.1) | (1.5) |
| &nbsp;&nbsp;&nbsp;&nbsp; Weighted average number of shares - diluted | **74309661** | 73741341 | **73896505** | 74586221 | 78523790 |
|  **Normalized diluted EPS <sup>[1]</sup>** | **$2.21** | $1.05 | **$5.21** | $4.86 | $12.37 |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Figures are on a continuing basis and prior periods reclassified accordingly.

---

| | |
|:---|:---|
| <sup>[3]</sup> | Income tax adjustment is related to the income tax on Normalized elements subject to tax and for which income tax has been recognized, to the adjustment related to the impact of foreign currency translation from Mexican operations, and to the deferred income tax on operating losses recorded as part of the impairment.  |

---

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **39** |

---

------

**Summary of Consolidated Quarterly Results <sup>[2]</sup>** 

---

| | | | | | | | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** |  |
|  | **January** | **January** | **October** | **October** | **July** | **July** | **April** | **April** | **January** | **January** | **October** | **October** | **July** | **July** | **April** | **April** |  |
|  | **31,** | **31,** | **31,** | **31,** | **31,** | **31,** | **30,** | **30,** | **31,** | **31,** | **31,** | **31,** | **31,** | **31,** | **30,** | **30,** |  |
|  | **2026** | **2026** | **2025** | **2025** | **2025** | **2025** | **2025** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** | **2024** | **2024** | **2024** |  |
|  | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** |  |
| *(millions of Canadian dollars,*<br> *except per share and gross profit*<br> *data)* |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  **Revenues** |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Year-Round Products |  | **$1317.2** |  | $1265.6 |  | $1113.8 |  | $1105.8 |  | $1128 |  | $1036.4 |  | $985 |  | $1157.8 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Seasonal Products |  | **796.4** |  | 606.2 |  | 469.7 |  | 419.2 |  | 677.5 |  | 616 |  | 541.8 |  | 535.1 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PA&A, OEM Engines and Others |  | **343.7** |  | 378.5 |  | 304.7 |  | 321.9 |  | 312.8 |  | 321.1 |  | 284.3 |  | 307.0 |  |
|  **Total revenues** |  | **2457.3** |  | 2250.3 |  | 1888.2 |  | 1846.9 |  | 2118.3 |  | 1973.5 |  | 1811.1 |  | 1999.9 |  |
|  **Gross profit** |  | **553.6** |  | 541.2 |  | 397.7 |  | 394.8 |  | 421.8 |  | 435.1 |  | 399.3 |  | 521.7 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; *As a percentage of revenues* | **** | ***22.5%*** | | *24.1%* | | *21.1%* | | *21.4%* | | *19.9%* | | *22.0%* | | *22.0%* | | *26.1%* | |
|  **Net income (loss)** |  | **45.8** |  | 76.5 |  | 57.1 |  | 161 |  | (50.5) |  | 30.6 |  | 42 |  | 42.5 |  |
|  **Normalized EBITDA <sup>[1]</sup>** |  | **363.8** |  | 325.6 |  | 213.2 |  | 200.8 |  | 247 |  | 268.5 |  | 234.9 |  | 307.4 |  |
|  **Normalized net income <sup>[1]</sup>** |  | **163.3** |  | 117.7 |  | 66.9 |  | 34.6 |  | 76.8 |  | 88.5 |  | 76.5 |  | 120.5 |  |
|  **Basic EPS** |  | **0.64** |  | 1.05 |  | 0.79 |  | 2.21 |  | (0.69) |  | 0.42 |  | 0.56 |  | 0.56 |  |
|  **Diluted EPS** |  | **0.63** |  | 1.04 |  | 0.79 |  | 2.19 |  | (0.68) |  | 0.42 |  | 0.55 |  | 0.56 |  |
|  **Normalized basic EPS <sup>[1]</sup>** |  | **2.24** |  | 1.61 |  | 0.93 |  | 0.48 |  | 1.06 |  | 1.22 |  | 1.03 |  | 1.61 |  |
|  **Normalized diluted EPS <sup>[1]</sup>** |  | **2.21** |  | 1.59 |  | 0.92 |  | 0.47 |  | 1.05 |  | 1.20 |  | 1.02 |  | 1.58 |  |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **40** |

---

------

**Reconciliation Table for Consolidated Quarterly Results <sup>[2]</sup>** 

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** |
|  | **January** | **October** | **July** | **April** | **January** | **October** | **July** | **April** |
|  | **31,** | **31,** | **31,** | **30,** | **31,** | **31,** | **31,** | **30,** |
|  | **2026** | **2025** | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** |
| (millions of Canadian dollars) | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2026** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal<br>2025** | **Fiscal** <br> **2025**  |
|  **Net income (loss)** | **$45.8** | $76.5 | $57.1 | $161 | $(50.5) | $30.6 | $42 | $42.5 |
|  Normalized elements |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign exchange (gain) loss on long-term debt and lease liabilities | **(80.0)** | 31.8 | 7 | (128.6) | 103.4 | 26.2 | 11.8 | 70.7 |
| &nbsp;&nbsp;&nbsp;&nbsp; Cybersecurity incident <sup>[3]</sup> | **—** |  |  |  | (12.5) |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; EV and light mobility impairment and other charges <sup>[4]</sup> | **232.5** |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impairment charges <sup>[5]</sup> | **—** |  |  |  |  | 9.4 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Costs related to business combinations (reversal) <sup>[6]</sup> | **1.5** | 3.1 | 3.3 | 3.1 | (7.9) | 3.6 | 3.8 | 3.2 |
| &nbsp;&nbsp;&nbsp;&nbsp; Exit costs <sup>[7]</sup> | **—** |  |  |  | 15.1 |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Restructuring and related costs (reversal) <sup>[8]</sup> | **(0.5)** | (0.5) |  | 0.5 | 41.8 | 11.9 | 8.9 | 14.2 |
| &nbsp;&nbsp;&nbsp;&nbsp; Transaction costs on long-term debt <sup>[9]</sup> | **—** | 12.6 |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Special long-term incentive program <sup>[10]</sup> | **—** |  | 4.4 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Executive management transition cost <sup>[11]</sup> | **2.5** | 2.5 | 2.5 |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Other elements <sup>[12]</sup> | **2.0** | 0.9 | 1 | 0.4 | 1.2 |  |  | 0.9 |
| &nbsp;&nbsp;&nbsp;&nbsp; Income tax adjustment <sup>[1][13]</sup> | **(40.5)** | (9.2) | (8.4) | (1.8) | (13.8) | 6.8 | 10 | (11.0) |
|  **Normalized net income <sup>[1]</sup>** | **163.3** | 117.7 | 66.9 | 34.6 | 76.8 | 88.5 | 76.5 | 120.5 |
|  Normalized income tax expense <sup>[1]</sup> | **41.9** | 39.7 | (12.4) | 15.8 | 19.5 | 26.3 | 10.8 | 41.8 |
|  Financing costs adjusted <sup>[1]</sup> | **46.5** | 55 | 50.5 | 46.6 | 48.4 | 51.1 | 50.1 | 48.6 |
|  Financing income adjusted <sup>[1]</sup> | **(3.2)** | (3.2) | (3.3) | (1.3) | (0.9) | (1.3) | (4.0) | (1.8) |
|  Depreciation expense adjusted <sup>[1]</sup> | **115.3** | 116.4 | 111.5 | 105.1 | 103.2 | 103.9 | 101.5 | 98.3 |
|  **Normalized EBITDA <sup>[1]</sup>** | **$363.8** | $325.6 | $213.2 | $200.8 | $247 | $268.5 | $234.9 | $307.4 |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Unless otherwise indicated, figures are on a continuing basis and prior periods are reclassified accordingly.

<sup>[3]</sup> During Fiscal 2025, the Company received insurance payments in relation to the cybersecurity incident that occurred in Fiscal 2023.

<sup>[4]</sup> During Fiscal 2026, the Company recognized impairment charges related to the EV assets and light mobility CGU, increased provisions related to EV products, as well as reversed the non-controlling interest liability.

<sup>[5]</sup> During Fiscal 2025, the Company recognized an impairment charge on unutilized assets.<sup></sup>

<sup>[6]</sup> Transaction costs and depreciation of intangible assets related to business combinations.

<sup>[7]</sup> The Company impaired service parts inventory related to its Evinrude outboard engine business.

<sup>[8]</sup> The Company recorded restructuring costs, which includes severance packages to employees as part of workforce reduction, contract exit costs and supplier claims related to restructuring activities.

<sup>[9]</sup> Derecognition of unamortized transaction costs and incremental transaction costs related to the amendment of the Company's Term Facility.

<sup>[10]</sup> Incremental fair value recorded as a result of a special long-term incentive program.

<sup>[11]</sup> Includes the impact of accelerated vesting of executive management stock options.

<sup>[12]</sup> Other elements include transaction costs associated with the sale of the Marine businesses and fees associated with the secondary offerings that occurred during Fiscal 2025 and 2026.

---

| | |
|:---|:---|
| <sup>[13]</sup> | Income tax adjustment is related to the income tax on Normalized elements subject to tax and for which income tax has been recognized, to the adjustment related to the impact of foreign currency translation from Mexican operations, and to the deferred income tax on operating losses recorded as part of the impairment.  |

---

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **41** |

---

------

**Selected Consolidated Financial Information** 

The selected consolidated financial information set out below for the twelve-month periods ended January 31, 2026, and January 31, 2025, has been determined based on the audited consolidated financial statements and related notes issued on March 25, 2026. The selected consolidated financial information set out below for the twelve-month period ended January 31, 2024, has been determined based on the audited consolidated financial statements and related notes issued on March 25, 2025. The selected quarterly consolidated financial information set out below has been determined based on the annual audited consolidated financial statements and related notes issued on March 25, 2026 and from the third-quarter unaudited consolidated financial statements and related notes issued on December 3, 2025. All of these documents are available on SEDAR+ at <u>www.sedarplus.ca</u>.

***Net Income Data <sup>[2]</sup>***

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars)* | **Three-month periods ended** | **Three-month periods ended** | **Three-month periods ended** |  | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |  |
| *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2025** |  | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2025** | **January 31,**<br> **2024** | **January 31,**<br> **2024** |  |
|  **Revenues** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Year-Round Products | **$1317.2** |  | $1128.0 |  | **$4802.4** |  | $4307.2 |  | $5339.4 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Seasonal Products | **796.4** |  | 677.6 |  | **2291.5** |  | 2370.4 |  | 3410.7 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; PA&A, OEM Engines and Others | **343.7** |  | 312.7 |  | **1348.8** |  | 1225.3 |  | 1293.8 |  |
|  **Total revenues** | **2457.3** |  | 2118.3 |  | **8442.7** |  | 7902.9 |  | 10043.9 |  |
|  Cost of sales | **1903.7** |  | 1696.5 |  | **6555.4** |  | 6125.0 |  | 7401.9 |  |
|  **Gross profit** | **553.6** |  | 421.8 |  | **1887.3** |  | 1777.9 |  | 2642.0 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; *As a percentage of revenues* | **22.5%** | | *19.9%* | | **22.4%** | | *22.5%* | | *26.3%* | |
|  **Operating expenses** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Selling and marketing | **119.3** |  | 109.5 |  | **463.0** |  | 439.8 |  | 456.1 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Research and development | **123.2** |  | 107.9 |  | **434.7** |  | 391.1 |  | 401.6 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; General and administrative | **97.4** |  | 75.1 |  | **373.1** |  | 315.4 |  | 346.9 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Other operating expenses (income) | **(28.6)** |  | 25.2 |  | **(12.7)** |  | 67.9 |  | 23.9 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Impairment charge | **229.8** |  |  |  | **229.8** |  | 9.4 |  |  |  |
|  **Total operating expenses** | **541.1** |  | 317.7 |  | **1487.9** |  | 1223.6 |  | 1228.5 |  |
|  **Operating income** | **12.5** | | *104.1* | | **399.4** | | *554.3* | | *1413.5* | |
| &nbsp;&nbsp;&nbsp;&nbsp; Net financing costs | **44.0** |  | 47.5 |  | **200.9** |  | 190.2 |  | 191.3 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Foreign exchange (gain) loss on long-term debt | **(78.7)** |  | 101.4 |  | **(167.0)** |  | 209.1 |  | 10.2 |  |
|  **Income (loss) before income taxes** | **47.2** |  | (44.8) |  | **365.5** |  | 155.0 |  | 1212.0 |  |
|  Income tax expense | **1.4** |  | 5.7 |  | **25.1** |  | 90.4 |  | 275.3 |  |
|  **Net income (loss) from continuing operations** | **$45.8** |  | $(50.5) |  | **$340.4** |  | $64.6 |  | $936.7 |  |
| **Net income (loss) from discontinued operations** | **$1.1** |  | $(169.1) |  | **$(51.1)** |  | $(277.6) |  | $(192.2) |  |
|  **Net income (loss)** | **$46.9** |  | $(219.6) |  | **$289.3** |  | $(213.0) |  | $744.5 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Attributable to shareholders | **$48.0** |  | $(219.2) |  | **$291.6** |  | $(213.1) |  | $743.4 |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Attributable to non-controlling interest | **$(1.1)** |  | $(0.4) |  | **$(2.3)** |  | $0.1 |  | $1.1 |  |
|  **Normalized EBITDA <sup>[1]</sup>** | **$363.8** |  | $247.0 |  | **$1103.4** |  | $1057.8 |  | $1815.3 |  |
|  **Normalized net income <sup>[1]</sup>** | **$163.3** |  | $76.8 |  | **$382.5** |  | $362.3 |  | $972.9 |  |

---

<sup>[1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Figures are on a continuing basis and prior periods reclassified accordingly.

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **42** |

---

------

***Other Financial Data <sup>[2]</sup>***

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *(in millions of Canadian dollars, except per share data)* | **Three-month periods ended** | **Three-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** | **Twelve-month periods ended** |
| *(in millions of Canadian dollars, except per share data)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2024** |
|  Weighted average number of shares – basic | **73313268** | 73016543 | **73134185** | 73661874 | 77166505 |
|  Weighted average number of shares – diluted | **74309661** | 73741341 | **73896505** | 74586221 | 78523790 |
|  Basic EPS | **$0.64** | $(0.69) | **$4.69** | $0.88 | $12.12 |
|  Diluted EPS | **0.63** | (0.68) | **4.64** | 0.86 | $11.91 |
|  Normalized basic EPS | **2.24** | 1.06 | **5.26** | 4.92 | 12.60 |
|  Normalized diluted EPS | **2.21** | 1.05 | **5.21** | 4.86 | 12.37 |
|  Declared dividends per share | **$0.215** | $0.21 | **$0.86** | $0.84 | $0.72 |

---

<sup>[</sup><sup>1]</sup> See "Non-IFRS Measures" section.

<sup>[2]</sup> Figures are on a continuing basis and prior periods reclassified accordingly.

***Financial Position data <sup>[1]</sup>***

---

| | | | |
|:---|:---|:---|:---|
| As at<br> *(in millions of Canadian dollars)* | **January 31,**<br> **2026** | **January 31,**<br> **2025** | **January 31,**<br> **2024** |
|  **Cash and cash equivalents** | **$427.1** | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$180.7 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$499.7 |
|  **Working capital** | **600.3** | 543.5 | 887.4 |
|  **Property, plant and equipment** | **1816.8** | 1938.8 | 1882.5 |
|  **Total assets** | **6196.7** | 6000.7 | 6296.6 |
|  **Total non-current financial liabilities** | **2647.3** | 3109.7 | 2905.9 |
|  **Total liabilities** | **5685.3** | 5963.4 | 5892.5 |
|  **Total equity** | **610.7** | 246.8 | 813.9 |
|  **Long-term debt** | **2442.3** | 2925.1 | 2763.1 |

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<sup>[1]</sup> Following the decision not to sell the Marine PA&A business, prior periods have been reclassified accordingly.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **43** |

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**Critical Accounting Estimates** 

***Significant Estimates and Judgments***

The preparation of the consolidated financial statements in accordance with the Company's accounting policies requires management to make estimates and judgments that can affect the reported amounts of assets and liabilities, related amounts of revenues and expenses, other comprehensive income and disclosures made.

The Company's best estimates are based on the information, facts and circumstances available at the time estimates are made. Management uses historical experience and information, general economic conditions and trends, as well as assumptions regarding probable future outcomes as the basis for determining estimates. Estimates and their underlying assumptions are reviewed periodically and the effects of any changes are recognized immediately. Actual results could differ from the estimates used and such differences could be significant.

The Company's annual operating budget and operating budget revisions performed during the year (collectively "Budget") and the Company's strategic plan comprise fundamental information used as a basis for some significant estimates necessary to prepare these consolidated financial statements. Management prepares the annual operating budget and strategic plan each year using a process whereby a detailed one-year budget and three-year strategic plan are prepared by each entity and then consolidated.

Cash flows and profitability included in the Budget are based on the existing and future expected sales orders, general market conditions, current cost structures, anticipated cost variations and current agreements with third parties. Management uses the annual operating budget information as well as additional projections or assumptions to derive the expected results for the strategic plan and periods thereafter.

The Budget and the strategic plan are approved by management and the Board of Directors. Management then tracks performance as compared to the Budget. Significant variances in actual performance are a key trigger to assess whether certain estimates used in the preparation of financial information must be revised.

Management needs to rely on estimates in order to apply the Company's accounting policies and considers that the most critical ones are the following:

*Estimating the net realizable value of inventory* 

The net realizable value of materials and work in progress is determined by comparing inventory components and value with production needs, current and future product features, expected production costs to be incurred and the expected profitability of finished products. The net realizable value of finished products and parts, accessories and apparel is determined by comparing inventory components and value with expected sales prices, sales programs and new product features.

*Estimating Recoverability of Deferred Tax Assets* 

Deferred tax assets are recognized only if management believes it is probable that they will be realized based on the annual budget, strategic plan and additional projections to derive the expected results for the periods thereafter.

*Estimating Provisions for Regular Product Warranty, Product Liability and Sales Program* 

The regular warranty cost is established by product line and recorded at the time of sale based on management's best estimate, using historical cost rates and trends. Adjustments to the regular warranty provision are made when the Company identifies a significant and recurring issue on products sold or when costs and trend differences are identified in the analysis of warranty claims.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **44** |

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The product liability provision at period end is based on management's best estimate of the amounts necessary to resolve existing claims. In addition, the product liability provision at the end of the reporting period includes incurred, but not reported claims based on average historical cost information.

Sales program provision is estimated based on current program features, historical data and expected retail sales for each product line.

*Estimating the Discount Rates Used in Assessing Defined Benefit Plan Expenses and Liability* 

In order to select the discount rates used to determine defined benefit plan expenses and liabilities, management consults with external actuarial firms to provide commonly used and applicable discount rates that are based on the yield of high quality corporate fixed income investments with cash flows that match expected benefit payments for each defined benefit plan. Management uses its knowledge and comprehension of general economic factors in order to conclude on the accuracy of the discount rates used.

*Estimating recoverability and impairment of property, plant and equipment, intangible assets and right-of-use assets* 

The recoverable amount of a CGU or group of CGUs is based on a value in use calculation using cash flow projections, which considers the Company's one-year budget and three-year strategic plan, with a terminal value calculated by discounting the final year in perpetuity. The figures used as the basis for the key assumptions in the value in use calculation includes sales volume, sales price, sales mix, production costs, distribution costs, operating expenses, and capital expenditures, along with the selection of an appropriate earnings multiple or discount rate, all of which are subject to inherent uncertainties and judgment. Earnings multiples are obtained by using market comparables as references to reflect market-based estimates, and discount rates are used to reflect the risks associated with the projected cash flows, both representing the best information available as of the date of the impairment test. Changes in technology, trade agreements, industry, economic conditions, or other external factors can impact cash flows estimates potentially leading to charges for impairment.

***Significant Judgments in Applying the Company's Accounting Policies***

Management needs to make certain judgments in order to apply the Company's accounting policies and the most significant ones are the following:

*Recoverability and impairment of property, plant and equipment, intangible assets and right-of-use assets* 

The Company operates using a high level of integration and interdependency between design, development, manufacturing and distribution operations. The cash inflows generated by each product line require the use of various assets of the Company, limiting the impairment testing to be done for a single asset. Therefore, management performs impairment testing by grouping assets into CGUs.

*Functional Currency* 

The Company operates worldwide, but its design, development, manufacturing and distribution operations are highly integrated, which require significant judgments from management in order to determine the functional currency of each entity using factors provided by *IAS 21 The Effects of Changes in Foreign Exchange Rates* ("IAS 21"). Management established the functional currency of each entity as its local currency unless the assessment of the criteria established by IAS 21 to assess the functional currency leads to the determination of another currency. IAS 21 criteria are reviewed annually for each entity.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **45** |

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**Future Accounting Changes** 

*<u>Classification and measurement of financial instruments (amendments to IFRS 9 and IFRS 7)</u>*

In May 2024, the International Accounting Standards Board ("IASB") issued amendments to the classification and measurement of financial instruments to address matters identified during the post-implementation review of the classification and measurement requirements of IFRS 9 - Financial Instruments. These amendments include application guidance on the recognition and derecognition date of certain financial assets and liabilities, application guidance to assess whether a financial asset meets the solely payments of principal and interest criteria, add new disclosure requirements for investments in equity instruments designated at fair value through other comprehensive income and new disclosures for certain instruments with contractual terms that could change cash flows.

The amendments will become effective for the Company's fiscal year beginning on February 1, 2026. The Company has assessed the impact and determined that it is not significant for the fiscal year beginning February 1, 2026.

*<u>IFRS 18 – Presentation and disclosure in financial statements</u>*

In April 2024, the IASB issued IFRS 18 – Presentation and Disclosure in Financial Statements, which will replace IAS 1 – Presentation of Financial Statements. The objective of IFRS 18 is to set out requirements for the presentation and disclosure of information in financial statements to help ensure they provide relevant information that faithfully represents an entity's assets, liabilities, equity, income and expenses. The standard also sets out guidance on classification of the information in the consolidated statements of net income (loss) or in the notes and introduces the concept of management performance measures.

The amendments will become effective for the Company's fiscal year beginning on February 1, 2027. The Company is assessing the potential impact of these amendments on its consolidated financial statements.

*<u>Other standards or amendments</u>*

The IASB has issued other standards or amendments to existing standards that are not expected to have a significant impact on the Company's consolidated financial statements.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **46** |

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**Controls and Procedures** 

The Company's President and Chief Executive Officer and the Chief Financial Officer are responsible for establishing and maintaining the Company's disclosure controls and procedures as well as its internal control over financial reporting, as those terms are defined in National Instrument 52-109 – *Certification of Disclosure in Issuers' Annual and Interim Filings* of the Canadian securities regulatory authorities and Rule 13a-15(e) and Rule 15d-15(e) under the U.S. Securities *Exchange Act of 1934*, as amended.

***Disclosure controls and procedures***

The President and Chief Executive Officer and the Chief Financial Officer have designed, or caused to be designed under their supervision, disclosure controls and procedures in order to provide reasonable assurance that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● material information relating to the Company has been made known to them; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● information required to be disclosed in the Company's filings is recorded, processed, summarized and
reported within the time periods specified in securities legislation.

An evaluation of the design and effectiveness of the Company's disclosure controls and procedures was carried out under the supervision of the President and Chief Executive Officer and the Chief Financial Officer. Based on this evaluation, the President and Chief Executive Officer and the Chief Financial Officer concluded, as of January 31, 2026, that the Company's disclosure controls and procedures were effective.

***Management's report on internal control over financial reporting***

The President and Chief Executive Officer and the Chief Financial Officer have designed, or caused to be designed under their supervision, such internal control over financial reporting to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with IFRS.

Due to its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Management's projections of any evaluation of the effectiveness of internal control over financial reporting as to future periods are subject to the risks that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Company's annual or interim financial statements will not be prevented or detected on a timely basis.

An evaluation of the design and effectiveness of the Company's internal controls over financial reporting was carried out under the supervision of the President and Chief Executive Officer and the Chief Financial Officer. In making this evaluation, the President and Chief Executive Officer and the Chief Financial Officer used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) Internal Control – Integrated Framework (2013). Based on this evaluation, the President and Chief Executive Officer and the Chief Financial Officer concluded, as of January 31, 2026, that the Company's internal control over financial reporting was effective.

Our internal control over financial reporting as of January 31, 2026 has been audited by Deloitte LLP, an independent registered public accounting firm, who also audited our consolidated financial statements for the year ended January 31, 2026. Deloitte LLP issued an unqualified opinion, as stated in their report, on the effectiveness of our internal control over financial reporting as of January 31, 2026.

***Changes in internal control over financial reporting***

There were no changes in the Company's internal control over financial reporting during the three- and twelve-month periods ended January 31, 2026, that have materially affected, or are reasonably likely to materially affect the Company's internal control over financial reporting.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **47** |

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**RISK FACTORS** 

        
The risks and uncertainties described in this MD&A are those the Company currently believes to be material, but they are not the only ones it faces. If any of the following risks, or any other risks and uncertainties that the Company has not yet identified or that it currently considers not to be material, actually occur or become material, the Company's business, guidance, prospects, financial condition, results of operations and cash flows and consequently the price of the Subordinate Voting Shares could be materially and adversely affected.

*Economic conditions that impact consumer spending may have a material adverse effect on the Company's business, results of operations or financial condition* 

The Company's business is cyclical in nature, and the Company's products compete with a variety of other recreational products and activities for consumers' discretionary income and leisure time. The Company's results of operations are sensitive to changes in overall economic conditions, primarily in North America and Europe, that impact consumer spending and particularly discretionary spending. Fluctuations in economic conditions, including with respect to personal income levels, the availability of consumer credit, employment levels, consumer confidence, business conditions, changes in housing market conditions, capital markets, inflation, tax rates, savings rates, interest rates, exchange rates, fuel and energy costs, new or additional tariffs and counter-tariffs imposed on cross-border trade, particularly trade between Canada and the United States or any of such countries and Mexico, may negatively affect disposable consumer. Political uncertainty, international disputes, natural disasters, acts of terrorism, epidemic or pandemic outbreaks, or other similar events, could also reduce consumer spending generally or discretionary spending in particular. Such reductions could materially adversely affect the Company's business, results of operations or financial condition. Changes in economic conditions could also result in a deterioration or increased volatility in the credit and lending markets, which could adversely impact the consumers who purchase the Company's products from dealers and rely upon financing for such purchases as well as the availability of financing arrangements for dealers and distributors to finance their inventory. If financing is not available to consumers or dealers and distributors on satisfactory terms, the Company's business, results of operations or financial condition could be materially adversely affected. Further, continued macroeconomic uncertainties may cause declines in the price of the Subordinate Voting Shares or result in shareholder grievance or activism.

*If the Company is unable to attract, hire and retain the services of key employees, including members of its management team, or qualified employees, including employees who possess specialized market knowledge and technical skills, the Company's ability to compete, to manage its operations effectively, or to develop new products could be materially adversely affected* 

The Company's success depends to a large extent upon its ability to attract and retain skilled employees. There is intense competition for qualified and skilled employees in the labour markets in which the Company operates. The Company must attract, train, and retain many qualified employees while controlling related labour costs and while continuing to promote inclusivity principles and practices into its core values. Tighter labour markets can make it even more difficult for the Company to hire and retain qualified employees and control labour costs. The Company's ability to attract qualified employees and control labor costs is subject to numerous external factors, including prevailing wage rates, employee preferences, employment law and regulation, labour relations and immigration policy, which is itself somewhat dependent on the political environment. Quotas, ideological criteria, and increased scrutiny in immigration can notably hinder the Company's ability to attract and retain skilled international talent by creating uncertainty around residency and mobility in key markets. The Company's ability to reward its employees through bonuses and other incentive programs also depend on the Company's financial performance, such that it if decreases, employee turnover may increase and be more significant in sectors that have already experienced a decrease in bonuses and other incentive programs due to their past performance. At the executive level, fluctuations in short-term incentive and medium-to-long-term incentive programs, which in recent years have not yielded the expected results, may also impact the Company's ability to remain competitive in attracting and retaining top talent. The sustained shift to a

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **48** |

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return to the office with a hybrid work environment may also negatively impact the Company's ability to hire, retain and motivate talent and will depend on employee preferences and relative choices of other employers. The ability to retain workforce is also dependent on the Company's ability to foster an environment that is sustainably safe, respectful, fair and inclusive of everyone and promotes inclusion inside and outside of the business. The Company's failure to recruit, train and retain such employees could have a material adverse effect on its business, results of operations or financial condition.

In addition, many members of the Company's management team have extensive experience in the Company's industry and with its business, products and customers. The loss of the technical, management and operational knowledge and expertise of one or more members of the management team could result in a diversion of management resources, as the remaining members of management would need to cover the duties of any senior executive who leaves the Company and would need to spend time usually reserved for managing the Company's business to search for, hire and train new members of management. The loss of some or all of the members of Company's management team, particularly if combined with difficulties in finding qualified substitutes could negatively affect the Company's ability to develop and pursue its business strategy, or create such perception among key stakeholders, which could materially adversely affect the Company's business, results of operations or financial condition.

To implement and manage the Company's business and operating strategies effectively, the Company must maintain a high level of efficiency, performance and content quality, continue to enhance its operational and management systems and continue to effectively attract, train, motivate and manage its employees, which can be more difficult in times of expense reduction exercises and operational changes that can generate resistance, disruptions and some perceptions of misalignment. If the Company is not successful in doing so, it may have a material adverse effect on its business, results of operations or financial condition.

The risks to the Company from a pandemic or public health crisis include threats to employee health and safety, extended restrictive measures, travel limitations, staff shortages, loss of key expertise, reduced productivity, and increased medical costs/insurance premiums.

*Any failure of the Company's information technology systems, difficulties in the continued implementation of its ERP system or a security breach or cyber-attack could materially adversely affect the Company's business, results of operations or financial condition* 

The Company's global business operations are managed through a variety of information technology systems. These systems govern all aspects of the Company's operations around the world. The Company is dependent on these systems for all commercial transactions, financial reporting, dealership and distributorship interactions, and supply chain and inventory management. Certain of the Company's key IT systems are dated and require, or are in the process of, modernization. The Company's information technology systems may also be vulnerable to damage or interruption from circumstances beyond the Company's control, including fire, flood, natural disasters, systems failures, network or communications failures, power outages, public health emergencies, security breaches, cyber-attacks and terrorism. If one of the Company's key IT systems were to suffer a failure, no assurance can be given that the Company's backup systems or contingency plans will sustain critical aspects of the Company's operations, and the Company's business, results of operations or financial condition could be materially adversely affected. Further, the Company relies on large outsourcing contracts for IT services with major third-party service providers, and if such service providers were to fail or the relationships with the Company were to end, and the Company were unable to find suitable replacements in a timely manner, the Company's business, results of operations or financial condition could be materially adversely affected. The Company also depends on security measures that these third-party service providers are taking to protect their own systems and infrastructure. If such third-party service providers do not maintain adequate security measures in accordance with contractual requirements, the Company may experience operational difficulties and increased costs, and/or may be the subject of a malware infiltration coming through such third-party service providers. Given the continued sophistication and proliferation of malicious actors, the Company is likely to continue to be the target of cyber-attacks and could suffer future incidents similar to the previously disclosed August 2022 cyber-attack, which could at that time have an adverse material impact on the Company's business, operations, and reputation.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **49** |

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The Company is continually modifying and enhancing its IT systems and technologies to increase productivity, efficiency and security. As new systems and technologies are implemented, the Company could experience unanticipated difficulties resulting in unexpected costs and adverse impacts to its financial reporting, internal controls, manufacturing or other business processes. When implemented, the systems and technologies may not provide the benefits anticipated and could add costs and complications to ongoing operations, which may have a material adverse effect on the Company's business, results of operations or financial condition. The Company implemented a new ERP system in 2023, which replaced its previous financial and operating systems in its main operations. The design and implementation of this new ERP system required an investment of significant personnel and financial resources, including substantial expenditures for outside consultants, system hardware and software in addition to other expenses in connection with the transformation of the Company's organizational structure and financial and operating processes, and will continue to do so, to a lesser extent, as subsequent phases of the ERP continue to be implemented throughout the organization. The Company may not be able to continue its implementation of its ERP system successfully without experiencing delays, increased costs and other difficulties, including potential design defects, miscalculations, testing requirements, and the diversion of management's attention from day-to-day business operations, in which case the effectiveness of the internal control over financial reporting could be adversely affected, the ability to assess those controls adequately and to disseminate its financial documents could be delayed, the operations can be affected and the financial condition, results of operations and cash flows could be negatively impacted. Similarly, as the Company integrates emerging and rapidly evolving technologies such as artificial intelligence (AI) and machine learning into its services or products, it may not be able to anticipate or identify vulnerabilities, design flaws or security threats resulting from the use of such technology and develop adequate protection measures, which could result in financial loss, poor customer experiences and damage to the Company's reputation. These risks may be further compounded by privacy and ethical concerns, algorithmic biases, unintended external access to the Company's information, and the potential for unintended consequences in decision-making processes. At this time, the Company recognizes the potential of AI if approached with care and security boundaries, and will focus on the opportunities it presents, including system automation and forecasting capabilities, to become a key enabler of future operating efficiencies, while ensuring that it remains within a safe and confined environment and under a specific governance framework with proper policies in place. While the Company aims to use AI responsibly and attempt to identify and mitigate ethical and legal issues presented by its use, it may be unsuccessful in identifying or resolving issues before they arise. AI-related issues, deficiencies or failures could give rise to legal or regulatory action, including with respect to proposed legislation regulating AI or as a result of new applications of existing data protection, privacy, intellectual property or other laws, and could damage the Company's reputation or otherwise harm the business. Additionally, AI technologies are complex and rapidly evolving and our competitors or other third parties may also incorporate AI into their products and operations. If they adopt the use of AI more quickly or more successfully than us, our ability to compete effectively may be impaired which may adversely affect the business and results of operations.

The Company has tremendous information stored in its IT systems, such that any security breach of the Company's IT systems could result in disruptions to its operations, erroneous transactions or reporting, loss of data from research and development activities or the devaluation of intellectual property. For instance, the Company and its dealers and distributors receive and store personal information in connection with their human resources operations, credit operations, warranty management, marketing efforts and other aspects of their businesses. Additionally, the Company maintains financial information in its IT system and exchanges electronically information with a large number of trading partners across all aspects of its commercial operations, and it makes significant investments in research and development each year and data from such activities is maintained in the Company's IT systems. The Company has security measures and controls in place to protect such personal and business information, and on an ongoing basis, continues to make investments to reinforce secure access to the Company's information technology network. However, despite its preventive efforts to address cybersecurity threats, these threats are increasingly complex and can change frequently such that the Company may be unable to proactively address those threats or implement adequate preventive measures. With the increased use of technology to conduct business, the Company is susceptible to operational, information security and related risks. In

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|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **50** |

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general, cyber incidents can result from deliberate attacks or unintentional events. Cyber-attacks include, but are not limited to, gaining unauthorized access to digital systems (e.g., through hacking or malicious software coding) for purposes of misappropriating assets or sensitive information, corrupting data, or causing operational disruption. Cyber-attacks may also be carried out in a manner that does not require gaining unauthorized access, such as causing denial-of-service attacks on websites (i.e., efforts to make network services unavailable to intended users). Further, the work-from-home measures present cybersecurity challenges, as the Company's security and control measures may not have the same efficiency in a hybrid work environment. While the Company has deployed additional protective measures including advanced threat hunting, real time response and Operational Technology (OT) surveillance services, it is not completely immune from these increasing cybersecurity threats. To the extent that a cybersecurity breach results in a loss or damage to the Company's data, or in inappropriate disclosure of confidential or personal information, it could cause significant damage to the Company's reputation, affect its relationships with its customers, lead to violations of applicable privacy and other laws, regulatory fines, penalties, additional compliance costs, claims against the Company and ultimately materially adversely affect its business, results of operations or financial condition.

*The Company's international sales and operations subject it to additional risks, which risks may differ in each country in which the Company operates* 

The Company manufactures its products in Australia, Austria, Canada, Finland, Germany, Mexico and the United States, is commencing manufacturing operations in Vietnam and maintains sales and administration facilities in approximately 20 countries. The Company's primary distribution centers distribute the Company's products to its North American dealers; the Company relies on various other locations around the world, including in Australia, Belgium and Finland to serve its international dealers and distributors. The Company's total sales outside Canada and the United States represented 29% of the Company's total sales in Fiscal 2026 and the Company intends to continue to expand its international operations by investing in developing its dealer network and promoting the Company's brands and products in international markets, which are expected to continue generating sales growth. Several factors could adversely affect sales growth, including weakened international economic conditions, an outbreak of infectious disease, a pandemic or similar public health threat (which resulted, and could result in the future, in quarantines, business closures, travel restrictions and temporary suspensions or reduction of operations), the introduction of new trade restrictions such as increased protectionism, changes in free-trade arrangements or retaliatory tariffs and political or geopolitical actions or events (such as the various ongoing conflicts and military actions, causing regional instability in portions of Europe, the Middle East and Latin America), and changes in regulatory or transportation practices, procedures and measures, including systematic cargo inspections as those which were carried out at the U.S.-Mexico border. In the past, systematic cargo inspections have led to substantial delays in the transportation of goods, disrupted the timely delivery of raw materials and finished products, and increased transportation and logistics costs. Delays in transportation may affect inventory levels at critical points in the supply chain, potentially leading to production slowdowns or stock shortages at dealer locations, or force the Company to explore alternative logistics strategies, which, in turn, may further increase costs.

Additionally, the expansion of the Company's international operations and entry into additional international markets require significant management attention and financial resources. The risks inherent in having sales or operations in foreign countries include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● increased costs of adapting and certifying products to foreign countries' laws, rules and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● limited acceptability of the Company's products due to cultural preferences or societal trends;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● difficulties in managing and staffing international operations and increased infrastructure and operational costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● different employee/employer relationships and labor legislation, including the existence of work councils and labor
unions and statutory equity requirements and other challenges caused by distance, language, and cultural differences, making it harder to do business in certain jurisdictions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● restricted access to and/or lower levels of use of the internet, or limitations on technology infrastructure, both of
which could limit the Company's ability to migrate international operations to its existing systems, which could result in increased costs;

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| **BRP Inc.** | **Management's Discussion and Analysis** | **51** |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● risk of travel advisories or travel restrictions related to the outbreak of contagious illnesses, which could impact the
Company's ability to operate in certain markets and/or manage the Company's operations in those markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● market fluctuations in regions impacted by or surrounding a zone of military conflict or action, including as a result
of local military operations as well as political, civil and social unrest impacting operations or economic conditions or trades and shipping;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● imposition of Canadian and/or international sanctions against a country, company, person, or entity with whom the
Company does business which restricts or prohibits the Company's continued business with the sanctioned country, company, person, or entity (including the sanctions imposed by foreign governments on Russia);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● adoption of additional restrictions to global trade from the Canadian or foreign governments, including increased
customs duties, retaliatory tariffs or non-tariff barriers to trade, and new Canadian or foreign export control regulations impacting the Company's products, such as the introduction of new import and
export licensing requirements;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● shipping and freight disruptions, changes in regulatory or transportation practices, procedures and measures (including
for instance enhanced border crossing procedures such as the systematic cargo inspections that were carried out at the U.S.-Mexico border in 2023);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● breaches or violation of any anti-corruption laws, rules or regulations by any of the Company's employees,
consultants, dealers or distributors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● new and different sources of competition ;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● international pricing pressures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● laws and business practices favouring local companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● governmental expropriation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● adverse currency exchange rate fluctuations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● longer payment cycles and difficulties in enforcing agreements and collecting receivables through certain foreign legal
systems; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● difficulties and inconsistencies relating to the enforcement of laws, rules, and regulations, including rules relating
to environmental, health, safety and intellectual property matters.

The Company has four operating manufacturing facilities in Mexico, including an electric vehicles (EV) manufacturing plant in Querétaro. These facilities could be impacted by changes in economic, regulatory, social or political conditions affecting the country. In the past, Mexico has been subject to political instability, changes and uncertainties and there can be no assurance that similar events will not occur again in the future. The civil protests from the farming community in some Mexican States in fall 2025, which generated blockages on several main roads and impacted the Company's ability to ship and deliver on time, are an example. In addition, the impact of any changes in economic, regulatory, social and political conditions affecting Mexico would be beyond the Company's control, and there can be no assurance that any mitigating actions by the Company would be effective. As a result, the Company's business, results of operations or financial condition could be materially adversely affected by any significant changes in these conditions. Recent legislative and regulatory changes that have been adopted or are being considered by the Mexican government, such as the progressive reduction of the weekly working hours, annual minimum salary increases, mandatory break times and seating requirements and other proposals relating to holidays and paid leaves reflect an evolving labor landscape in Mexico that has led to, and could continue to lead to, increased operational costs and impact workforce management. Moreover, tensions relating to immigration at the U.S.-Mexico border have in the past years led to heightened border restrictions or customs clearance procedures, including for example systematic cargo inspections, negatively impacting the Company's ability to deliver vehicles in a timely manner.

Since the start of the military conflict between Russia and Ukraine in 2022, tensions have escalated among Russia and other countries. In response to this crisis and related sanctions, the Company ceased all sales, shipments, and exports to Russia, negatively impacting its financial results. Continued conflict or escalation could bring further geopolitical challenges, disrupt supply chains, resume the semiconductor shortage, drive up energy prices, and increase cybersecurity threats. These factors could materially affect the Company's business, profitability, and financial condition. Similar deterioration in trade relations between the United States and one or more other countries have and could continue to intensify, potentially resulting in further protectionist measures or retaliatory actions that adversely affect global

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| **BRP Inc.** | **Management's Discussion and Analysis** | **52** |

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trade, and, in turn, the Company's business, could have a material adverse impact on the Company's results of operations or financial conditions.

In 2025, the global tariff landscape began to change rapidly with the United States implementing new or adjusted tariffs on various countries, and certain of those countries implemented rebalancing tariffs on the United States. These actions continue and countries subject to U.S. tariffs, including Canada, continue to implement new, reinstated, or adjusted rebalancing tariffs. The United States and such countries may also amend, suspend, or withdraw their respective enacted tariffs at any time. There remains cconcerns of a global trade war with further escalation in tariffs, and/or the withdrawal from, or changes to, international trade agreements or policies related to international commerce. The Company maintains operations worldwide, including in jurisdictions impacted by various tariffs and counter tariffs. While the impact of tariffs and counter tariffs remain very difficult to predict, especially in a context where they evolve rapidly, there is an heightened risk that they will negatively impact the Canadian economy and other markets where the Company operates, and could adversely affect the Company's business operations and financial condition. Most goods produced in Mexico and Canada and sold in the United States comply with and benefit from the *Canada-United States-Mexico Agreement* ("CUSMA"), which has been in force since July 1<sup>st</sup>, 2020. Disputes among the three countries in relation to the interpretation of certain provisions contained in CUSMCA have already taken place, and there can be no assurance that the Company's operations will not be impacted by similar disputes in the future. Specifically, the forthcoming review of CUSMA, could lead to substantial changes in the agreement and create further uncertainty for the Company's operations and trade relations.

The Company is actively monitoring developments related to the free-trade agreements, the imposition of tariffs and counter tariffs and trade restrictions, and evaluating the impacts on its operations. The Company has historically taken actions to mitigate trade restrictions, supply chain disruptions and inflation, including accelerated shipping, expanding and redistributing its supplier network and price increases, but trade restrictions could be adopted with little to no advanced notice and the Company may not be able to effectively mitigate all the adverse impacts from such measures. Similarly, although the Company does not have manufacturing operations in China, the continued U.S.-China trade tensions and potential restrictive measures to be imposed against China could exacerbate a number of risks described elsewhere in these Risk Factors, including by creating additional instability to the surrounding region, thereby limiting some potential growth opportunities for the Company. The Company may also be subject to the Uyghur Forced Labor Prevention Act, which presumes that goods produced in the Xinjiang Uyghur Autonomous Region of China have been made with forced labor, thereby resulting in an import prohibition in the United States. Although the Company has not had a material impact to date, there is no assurance that it will be able to provide clear and convincing evidence of the absence of forced labor throughout its supply chain, notably with respect to its PA&A, failing which the U.S. Customs & Border Protection may detain, exclude or seize its goods and assess monetary penalties, thereby potentially resulting in a material adverse effect on the Company's supply chain, results of operations or financial condition. Similarly, the Forced Labour Regulation in the EU prohibits the import, placement on the market, or export of products made with forced labor, which could present further compliance challenges if any components, materials, or suppliers are sourced from high-risk regions, even if they are not made with forced labor, as additional validations will be expected once these rules take effect.

*The Company may be unable to successfully execute its strategic plan* 

The Company's strategic priorities focus on accelerating growth and strengthening its market position in ORV, expanding through international market development, and elevating the dealer and customer experience. Such plan also aims to fuel the Company's culture and workforce, enhance value creation by driving speed and operational efficiency through lean initiatives, expand opportunities by boosting the defense and specialized vehicles business, and reinforce the Company's competitive edge through continuous product innovation and technological advancement by gaining market share in all its product lines.

Certain strategic priorities will be driven by organic growth and the development of new products and features and market share gains, especially in the ORV market, while other strategic priorities may involve

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| **BRP Inc.** | **Management's Discussion and Analysis** | **53** |

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changes such as acquisitions, partnerships, investments, alliances, joint ventures and similar transactions, and the expansion in international markets. The heightened focus on gaining market share, especially in the ORV segment, may affect the Company's ability to absorb the effect of a potential downturn in ORV demand and may provoke an intense competitive response which could compress margins, create innovation pressure and weaken brand differentiation. In addition, by increasing its focus on certain products and activities, the Company may fail to adequately balance resources, manufacturing investments, engineering capacity, design initiatives and leadership attention among its products and markets, including certain emerging markets (e.g., electrification and urban mobility), thereby causing a lag in developments and missed opportunities in adjacent or future markets. In addition, the Company's efforts to expand opportunities in its defense and specialized vehicles business may not be successful and could expose the Company to additional risks pertaining to strict compliance and certification requirements, evolving government procurement regulations, achievement of competitive cost structures under contract specifications, long and uncertain procurement cycles, and vulnerability to budgetary and political shifts.

The Company has completed several strategic transactions, including acquisitions and divestitures, in the past years, and it may also consider pursuing acquisitions, divestitures, investments, alliances, joint ventures or similar transactions in the future. Any such transactions would involve a number of risks, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● difficulties in integrating acquired or new businesses into its existing operations, including the integration of
operational activities as well as of information technology systems, applications and databases, as well as related difficulties with maintaining effective disclosure controls and procedures, internal control over financial reporting, cybersecurity
measures and regulatory compliance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● the necessity to raise additional debt or equity financing, or use cash that would otherwise have been available to
support the Company's existing business operations and research and development activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● the diversion of management's attention;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● difficulties in realizing projected efficiencies, cost savings and synergies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● difficulties in divesting targeted assets and businesses within reasonable price and conditions, including the risk of
failing to secure adequate limitations of liability and the potential exposure to retained, trickling or otherwise unassumed liabilities relating to pre-divestiture operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● the potential loss of key employees or customers of an acquired business or adverse effects on existing business
relationships with suppliers and customers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● unforeseen costs and liabilities, including litigation or other claims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● a negative impact on overall profitability if any acquired or new businesses do not achieve the financial results
projected in the Company's valuation models;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● dilution to existing shareholders if securities of the Company are issued as part of transaction consideration or to
fund the transaction consideration; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● the inability to direct the management and policies of any acquired business, joint venture, strategic alliance, or
partnership, particularly in circumstances where other participants may be able to take action contrary to the Company's instructions or requests and against its policies and objectives.

The Company's ability to pursue strategic acquisitions, divestitures, investments, alliances, joint ventures or other similar transactions will depend, among other things, on the availability of such strategic opportunities, their cost, their terms and conditions, the Company's ability to compete effectively for such strategic opportunities and the availability to the Company of required capital and personnel. The Company may also be precluded from pursuing such transactions as a result of financial or other covenants in agreements to which it is a party. The Company's inability to take advantage of future strategic opportunities, or its failure to successfully address the risks associated with any strategic opportunities that is completed despite significant investments made, could have a material adverse effect on the Company's business, results of operations or financial condition.

In the past few years, the Company ventured beyond a product-based offering, with its BRP Experiences (previously named *Uncharted Society program*), offering curated, premium rides across global locations utilizing Ski-Doo, Lynx, Sea-Doo, and Can-Am vehicles to make powersports accessible

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| **BRP Inc.** | **Management's Discussion and Analysis** | **54** |

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to all through partnerships with service providers. If the Company is unable to secure appropriate locations and reputable service providers, to effectively manage its relationships with its service providers and monitor their adherence to the Company's operating standards, trainings and compliance procedures, and to anticipate demand and address related impact on inventory levels, it could impact its reputation and increase its risk of litigation.

The Company's efforts to elevate the dealer and customer experience may not succeed as anticipated. These initiatives require significant investment in new technologies, training, processes and support models, as well as close coordination with third-party dealers and distributors. The Company may be unable to implement consistent service standards across a diverse dealer network, and certain dealers may be unwilling or unable to adopt required changes. Inconsistent execution, system limitations or delays in deploying enhanced tools or programs may result in customer dissatisfaction, reduced loyalty or reputational harm. Failure to improve and maintain a high-quality dealer and customer experience could materially adversely affect the Company's ability to attract and retain customers, strengthen its brand and achieve its growth and profitability objectives.

The Company is exposed to increased competition in attracting, recruiting, and retaining the key talent and skills that it needs for its development and growth. It regularly reviews its organizational structure, including its leadership structure when necessary, to remain competitive and ensure succession planning to position the Company for long-term growth. Despite making significant efforts, the Company may be unsuccessful or delayed in realizing the expected benefits of its leadership structure, or unable to recruit and retain the key talent and skills it needs, which could impair its ability to develop and innovate and could as a result cause a slowdown in its growth.

The rapid changes in Company's growth over the last few years and expense reduction measures present additional organizational challenges that require constant adjustments in size and focus that may impact the culture, standards, core values, internal controls and policies across both new and existing operations. To effectively communicate and manage these standards and related changes throughout a large global organization is both challenging and time consuming. Cultural differences in various countries may also present barriers to introducing new ideas or aligning the Company's vision and strategy with the rest of the organization. If the Company cannot overcome these challenges, it may not be able to achieve its growth and profitability objectives.

While the Company makes significant investments in research and development, and emerging product lines, there can be no assurance that it will be able to continue to successfully enhance its existing products, develop new innovative products and distinguish its products from its competitors' products through innovation and design. Product improvements and new product introductions also require significant planning, design, development and testing at the technological, product and manufacturing process levels and the Company may not be able to develop product improvements or new products in a timely manner. The new products of the Company's competitors may access the market more rapidly, be more effective with better features and/or less expensive than the Company's products, obtain better market acceptance, or render the Company's products obsolete. The Company may therefore not be able to satisfy the needs and preferences of customers and compete effectively with its competitors. Moreover, the Company continued to face growing competition from Asian manufacturers entering the powersports market or expanding their footprint into various international markets. These competitors are increasingly offering products with lower MSRPs, which may not only accelerate pricing pressures but may also intensify the challenge of maintaining and growing the Company's market share. In addition, these competitors may have greater financial resources, greater market penetration and lower product development and manufacturing costs, which enable them to offer a wider variety of products and services at lower prices. This influx of competitively priced products from established and emerging Asian manufacturers may compel the Company to respond with enhanced value propositions, increased marketing efforts, or price adjustments, all of which could have a material impact on margins and competitive positioning in key markets. The Company may therefore not be able to satisfy the needs and preferences of customers at prices that remain competitive with those competitors. Product development requires significant financial, technological and other resources. There can be no assurance that the Company will be able to sustain a sufficient level of investment in research and development to

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| **BRP Inc.** | **Management's Discussion and Analysis** | **55** |

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successfully maintain the Company's competitive advantages in product innovation and design in the future. Further, the sales of any new products are expected to decline over such new products' life cycle, with sales being higher early in the life cycle of the new products and sales decreasing over time as the new products age. The Company cannot predict the length of the life cycle for any new product. Any failure by the Company to continue to enhance existing products and develop and market new products that respond to customer needs and preferences and achieve market acceptance could have a material adverse effect on the Company's business, results of operations or financial condition. Furthermore, even if the Company is successful in enhancing its existing products and developing new ones, the Company cannot guarantee that the corresponding markets, including the EV segment, will develop as expected. Long-term growth in the electric vehicle segment is dependent upon the Company's ability to profitably offer competitive and innovative EVs in its product portfolio in alignment with customer demand and the Company's sustainability plan, amidst the potential impacts of the continuing deterioration of the macroeconomic and geopolitical environment. If any of the markets in which the Company's existing products compete do not develop as expected, the Company's business, results of operations or financial condition could be materially adversely affected. The risks described in this section may be amplified with respect to the impact of expense reduction measures namely through operational efficiency initiatives, which require agility and could involve some realignment of financial, human and technical resources, and may present certain complexities.

*Any decline in the social acceptability of the Company or of the Company's products or any increased restrictions on the access or the use of the Company's products in certain locations could materially adversely affect its business, results of operations or financial condition* 

Demand for the Company's products depends in part on their social acceptability and that of the Company as a whole. Public concerns about the environmental impact of the Company's products or their perceived safety could result in diminished social acceptance. Circumstances outside the Company's control, such as social action to reduce the use of fossil fuels, could also negatively impact consumers' perceptions of the Company's products. Any decline in the social acceptability of the Company's products could negatively impact their sales or lead to changes in laws, rules and regulations that prevent their access to certain locations, including trails and lakes, or restrict their use or manner of use in certain areas or during certain times. Additionally, while the Company has implemented various initiatives to address these risks, including the improvement of the environmental footprint and safety of its products, the development of the Responsible Rider program aiming to educate riders on the responsible use of its products, there can be no assurance that the perceptions of the Company's customers and other stakeholders will not change. The recently challenging macroeconomic context, resulting in BRP's decision to limit further EV investments and to align future EV product introductions with customer demand, and the Company's recent decision to cease for an indefinite period its activities related to the development of electric bicycles in their current form and related products under its business unit targeting low voltage and human assisted product categories may be perceived as reducing its commitment to sustainable mobility, potentially affecting its social acceptability. Consumers' attitudes towards the Company's products and the activities in which they are used also affect demand. Any failure by the Company to maintain the social acceptability of its products could impact its ability to retain existing customers or attract new ones which, in turn, could have a material adverse effect on its business, results of operations or financial condition.

Other factors may impact the Company's reputation, including the perception held by the Company's stakeholders and the industries in which it does business, which can be influenced by the new and evolving set of compliance requirements it has been subject to. Indeed, in the last several years, there has been increased scrutiny related to sustainability performance requirements, standards and reporting and a corresponding increase in the risk for the Company's reputation and the value of its brands if the Company fails to act responsibility or comply with regulatory requirements in several areas, such as safety and security, environmental stewardship and sustainability, climate-change mandated disclosure, philanthropy and support for local communities and human rights. For instance, in Australia and in Canada, regulations such as the Modern Slavery Act 2018 (Cth) (Commonwealth Act) and Bill S-211 (Canada), An act to enact the Fighting Against Forced Labour and Child Labour in Supply Chains, require the Company to file public reports on measures they have taken to identify, address and prevent the use

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| **BRP Inc.** | **Management's Discussion and Analysis** | **56** |

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of forced labour, prison labour and child labour in their supply chains. Similarly, since December 2024, the European Union adopted the new Forced Labor Regulation, which, as of December 2027, will ban products made with forced labour from being imported into, placed on the EU market, or exported from the EU, thereby imposing significant supply chain compliance obligations on both EU and non-EU companies. Those regulations illustrate how human rights continue to be considered as a priority, including from a reporting standpoint, and could expose the Company's reputation if its disclosure is not at par with its peers. Moreover, with respect to sustainability, there is no assurance that the Company will be able to adequately address all sustainability pressures and potential requirements to maintain stakeholder confidence and its ability to implement its programs and commitments with respect to sustainability, including within its original timelines given. In addition, in the last two years, there has been an array of new and developing sustainability-related rules that have been adopted and proposed by various regulators and jurisdictions, including IFRS S1 (General Requirements for Disclosure of Sustainability-related Financial Information) and IFRS S2 (Climate-related Disclosures) adopted by the International Sustainability Standards Board (ISSB), the Canadian Sustainability Standards Board (CSSB) publishing its corresponding standards, California SB 253 and SB 261 laws on carbon emissions and climate-related financial risks disclosure, the Corporate Sustainability Reporting Directive (CSRD) issued by the European parliament, which makes it more complex for the Company to ensure compliance with multiple requirements that may not perfectly converge and to dedicate resources accordingly. Such regulations might also subject the Company to new disclosure requirements, which could result in risks to its reputation or consumer demand for its products if it does not meet the increasingly demanding stakeholder expectations and standards. Further, the Company's ability to achieve these goals depends on many factors, including the current macroeconomic uncertainty, and is subject to many risks, that could cause the Company's assumptions or estimates to be inaccurate and cause actual results or events to differ materially from those expressed in, or implied by, those goals. The failure to achieve its sustainability targets, effectively manage and sufficiently report sustainability matters, or a perception among key stakeholders that its sustainability targets are insufficient, could adversely affect the Company's reputation and its ability to attract capital from financial institutions and investors incorporating sustainability and sustainability considerations as a part of their portfolios or adopting restrictive decarbonization policies. Similarly, the current polarization on Diversity, Equity and Inclusion programs can pose some reputational risk to the Company, as some companies have been subject to public criticism for being insufficiently proactive or inconsistent with their commitments, while others are accused of being too aggressive on Diversity, Equity and Inclusion initiatives, resulting in impacts on various stakeholders' perception, trust and engagement.

*Supply problems, termination or interruption of supply arrangements or increases in the cost of materials could have a material adverse effect on the Company's business, results of operations or financial condition* 

The primary raw materials used in manufacturing the Company's products are aluminum, steel, plastic, resins, stainless steel, copper, rubber and certain rare earth metals. The Company relies on certain suppliers for specific parts and components essential to its products. In some instances, the Company also purchases systems, components, raw materials and parts that are derived from a single source, which may represent an increased risk of supply disruptions. The Company cannot be certain that it will not experience supply problems, such as the untimely delivery of, or defects or variations in, raw materials, parts or components. Shortages of key components can also disrupt the Company's production. Moreover, the Company faced, and could continue to face, a risk of production stoppages and slowdowns in several jurisdictions where the Company operates, which could lead to further supply disruptions and delivery delays for the Company. Given this context, the Company was forced to over the past years, and could be in the future forced to take additional measures to secure its supply chain and maintain its production, including the use of expedited freight or air freight, resulting in additional costs for the Company. Additionally, various sources of supply-chain risk, including strikes or shutdowns at delivery ports, disruptions or shutdowns caused by health crises or other workforce availability issues, loss of or damage to goods while they are in transit or storage, or supplier dissatisfactions considering volume reductions but high fixed costs, could limit the supply of these raw materials and components. Any prolonged disruption in the supply chain could have a material adverse effect on the Company's operations or profitability and the insolvency, bankruptcy, financial restructuring or force majeure event of

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| **BRP Inc.** | **Management's Discussion and Analysis** | **57** |

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any critical suppliers could result in the Company incurring unrecoverable costs related to the financial work-out or resourcing costs of such suppliers and/or increased exposure for product liability, warranty or recall costs relating to the components supplied by such suppliers to the extent such supplier is not able to assume responsibility for such amounts.

As well, the Company obtains certain of the raw materials, parts and components it uses from either sole suppliers or a limited number of suppliers, exposing it to concentration risks. If these supply arrangements were terminated or interrupted for reasons such as supplied goods not meeting the Company's quality or safety standards or the suppliers' operations being disrupted as a result of a variety of internal or external risks, including the continuing uncertainty in general economic conditions in Canada, the United States and certain other regions where the Company operates as well as risks associated with the current uncertainty in geopolitical environment with a resurgence and escalation of trade tariffs, which could further impact pricing, it could have difficulty establishing substitute supply arrangements on satisfactory terms. Problems with the Company's supplies could have a material adverse effect on the Company's business, results of operations or financial condition.

Moreover, the Company's profitability is affected by fluctuations in the prices of the raw materials, parts and components it uses, including those experienced as a result of the inflationary environment and the imposition of tariffs over the last years, which in certain circumstances cannot be passed to its customers. In addition, although most of the shortages of key components experienced over the past years have improved, they have led to, and could continue to lead to, increases in the costs of materials and related price pressures, thereby potentially impacting the Company's margins. Further, higher energy costs and fuel increases, notably in the context of ongoing military conflicts and actions and the imposition of tariffs, can adversely affect the pricing and availability of petroleum-based raw materials such as resins and rubber used in many of the Company's products. The Company may not be able to pass along price increases in raw materials, parts or components to its customers. As a result, an increase in the cost of raw materials, parts and components used in the manufacturing of the Company's products could reduce its profitability and have a material adverse effect on its business, results of operations or financial condition.

Furthermore, increased restrictions imposed on per- and polyfluoroalkyl substances ("PFAS"), which are used in parts and materials incorporated into our products, may negatively impact our supply chain due to the potential decreased availability or non-availability of PFAS-containing products and could have a material adverse effect on our business, results of operations, or financial condition. There is no assurance that suitable replacements for PFAS-containing parts and materials will be available on acceptable timelines or at comparable costs, or at all. Transitioning to substitutes may require reformulation, engineering validation, and testing and re-certification (including with the U.S. EPA), while the exit of certain PFAS producers may exacerbate shortages and price volatility. In addition, fragmented state and provincial regimes with PFAS registration, reporting, and recordkeeping obligations increase compliance complexity and costs and may result in delays, recalls, penalties, litigation, or reputational harm.

*The Company has, and is expected to continue to have and incur, indebtedness and there can be no assurance that it will be able to pay its indebtedness as it becomes due* 

The Company has, and is expected to continue to have and incur, indebtedness, including obligations under the Revolving Credit Facility as well as obligations under the Term Facility. In addition, the Company may incur greater levels of indebtedness as a result of challenging economic or other conditions affecting the Company, including the seasonality of its business. The amount of indebtedness that the Company has from time to time may, among other things, limit the Company's ability to obtain additional financing, require the Company to dedicate a substantial portion of its cash flow generated from operations to payments on its indebtedness or fixed costs (thereby reducing the funds available for other purposes), make the Company more vulnerable to economic downturns, or limit the Company's flexibility in planning for, or reacting to, competitive pressures or changes in its business environment, any of which could, in turn, have a material adverse effect on its business, results of operations or financial condition.

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| **BRP Inc.** | **Management's Discussion and Analysis** | **58** |

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The ability of the Company to make scheduled payments under its indebtedness will depend on, among other things, its future operating performance and its ability to refinance its indebtedness, if necessary. In addition, as the Company incurs indebtedness that mainly bears interest at fluctuating interest rates and is mainly denominated in U.S. dollars, to the extent that interest rates increase or the U.S. dollar appreciates relative to the Canadian dollar, its interest expense will increase, as has been experienced over the last three years given the significant increase of interest rates witnessed and the strengthening of the U.S. dollar relative to other currencies, including the Canadian dollar. While the Company actively manages its exposure to interest rate fluctuations and enters into interest rate derivatives from time to time, such contracts could limit the exposure to the interest rate increase. Furthermore, the Company does not have interest rate derivative contracts in place for all of its debt instruments and covering their entire maturity profile. As a result, there can be no assurance that the Company's approach to managing its exposure to interest rate fluctuations will be effective in the future or that the Company will be able to enter into interest rate derivative contracts as deemed necessary on satisfactory terms. Each of these factors is, to a large extent, subject to economic, financial, competitive, regulatory, operational and other factors, many of which are beyond the Company's control. Any failure by the Company to generate sufficient cash from its operations to pay its debt and other financial obligations could have a material adverse effect on its business, results of operations and financial condition.

*The Company uses cash generated from its operating activities to fund its business and execute its growth strategy and may require additional capital that may not be available to the Company* 

The Company relies on net cash generated from its operating activities as its primary source of liquidity. To support the Company's business and execute its growth strategy as planned, the Company will need to continue to generate significant amounts of cash from operations, including funds to pay personnel, invest further in its infrastructure and facilities and invest in research and development. In case of decreasing capacity of the Company to generate cash from operations, the eventual recovery of the Company may be delayed due to factors such as the cyclical nature of the Company's business, the seasonality of certain of its products, and the inventory levels of the Company and that of its distributors and dealers. If the Company's business does not generate cash flow from operating activities sufficient to fund these activities, and if sufficient funds are not otherwise available from its credit facilities, the Company may need to seek additional capital, through debt or equity financings, to fund its business or execute its growth strategy. Conditions in the credit markets (such as availability of financing, fluctuations in interest rates and deterioration of the global economic condition, the impact of global supply chain disruptions, the presence of global tensions and political conflicts, and other macroeconomic conditions) may make it difficult for the Company to obtain such financing on attractive terms, or even at all. Additional debt financing that the Company may undertake may be expensive and might impose on it covenants that restrict the Company's operations and strategic initiatives, including limitations on its ability to incur liens or additional debt, pay dividends, repurchase its capital shares, make investments or engage in merger, consolidation and asset purchase transactions. Any equity financing may also be on terms that are dilutive to the Company's shareholders, and the prices at which new investors would be willing to purchase equity securities may be lower than the price per share of the Company's Subordinate Voting Shares. If new sources of financing are required, but are unattractive, insufficient, or unavailable, then the Company could be required to modify its business plans or growth strategy based on available funding, if any, which, in turn, could have a material adverse effect on the Company's business, results of operations or financial condition.

*Fluctuations in foreign currency exchange rates could result in declines in reported sales and net earnings* 

The Company reports its financial results in Canadian dollars and the majority of its sales and operating costs are realized in currencies other than the Canadian dollar. In Fiscal 2026, 55.7% of the Company's revenues were realized in the United States and therefore exposed to United States dollars. The Company is also exposed to other currencies such as the Brazilian real, Swedish krona, Australian dollar, Norwegian krone, Chinese yuan, British pound, New Zealand dollar, Mexican peso and the Euro. If the value of any currencies in which sales are realized depreciate relative to the Canadian dollar, the Company's foreign currency revenue will decrease when translated to Canadian dollars for reporting

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| **BRP Inc.** | **Management's Discussion and Analysis** | **59** |

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purposes. In addition, any depreciation in foreign currencies could result in higher local prices, which may negatively impact local demand and have a material adverse effect on the Company's business, results of operations or financial condition. Alternatively, if the value of any of the currencies in which operating costs are realized appreciate relative to the Canadian dollar, the Company's operating costs will increase when translated to Canadian dollars for reporting purposes. Although these risks may sometimes be naturally hedged by a match in the Company's sales and operating costs denominated in the same currency, fluctuations in foreign currency exchange rates could create discrepancies between the Company's sales and its operating costs in a given currency that could have a material adverse effect on its business, results of operations or financial condition. Fluctuations in foreign currency exchange rates could also have a material adverse effect on the relative competitive position of the Company's products in markets where they face competition from manufacturers who are less affected by such fluctuations in exchange rates.

In addition, the Company's indebtedness under its Term Facility and a portion of the Revolving Credit Facility are denominated in U.S. dollars. As a result, any strengthening of the U.S. dollar versus the Canadian dollar or any revaluation of the denomination of the Term Facility into Canadian dollars at the end of each reporting period can result in significant fluctuations of net income, which could have a material adverse effect on the Company's business, results of operations or financial condition.

While the Company actively manages its exposure to foreign-exchange rate fluctuations and enters into hedging contracts from time to time, such contracts hedge foreign-currency denominated transactions and any change in the fair value of the contracts could be offset by changes in the underlying value of the transactions being hedged. Furthermore, the Company does not have foreign exchange hedging contracts in place for some currencies in which it does business. As a result, there can be no assurance that the Company's approach to managing its exposure to foreign-exchange rate fluctuations will be effective in the future or that the Company will be able to enter into foreign-exchange hedging contracts as deemed necessary on satisfactory terms.

*Unfavourable weather conditions, and climate change more generally, may reduce demand and negatively impact sales and production of certain of the Company's products* 

The sales of the Company's products are affected by unfavourable weather conditions and the last years witnessed an increased number of global extreme weather events and unfavourable weather conditions were more frequent and notable in many regions of the world (lack of snow, wildfires, floods, tornadoes, heat and cold waves and cyclones), including some regions where the Company operates. Unfavourable weather in any particular geographic region may have a material adverse effect on sales of the Company's products in that region. In particular, lack of snowfall during winter may materially adversely affect snowmobile sales**,** while excessive rain before and during spring and summer may materially adversely affect sales of off-road vehicles, three-wheel vehicles, PWCs, boats and marine propulsion systems. To the extent that unfavourable weather conditions continue to be exacerbated by global climate change or otherwise, the Company's sales may be affected to a greater degree than previously experienced. There is no assurance that unfavourable weather conditions could not affect the Company's sales for any of its products, which, in turn, could have a material adverse effect on the Company's business, results of operations or financial condition.

Furthermore, any of the Company's manufacturing facility may be vulnerable to the adverse effects of climate change. Changing market dynamics, global policy developments, and the increasing frequency and impact of extreme weather events on critical infrastructure in Canada, the United States, Mexico and elsewhere have the potential to disrupt the Company's business and the business of its third-party suppliers, and may cause the Company to experience higher attrition, losses and additional costs to maintain or resume operations.

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| **BRP Inc.** | **Management's Discussion and Analysis** | **60** |

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*The Company's results of operations fluctuate from quarter to quarter and from year to year as they are affected, among other things, by the seasonal nature of its business* 

The Company's results of operations experience substantial fluctuations from quarter to quarter and year to year. In general, retail sales of the Company's products are highest in their particular season of use and in the immediately preceding period. For example, retail sales for snowmobiles will be highest in fall and winter and retail sales for PWCs will be highest in spring and summer. Revenues in the first half of the fiscal year have generally been lower than those in the second half. However, the mix of product sales may vary considerably from time to time as a result of changes in seasonal and geographic demand, production scheduling for particular types of products and the introduction of new products and models. Any negative economic conditions that occur during the months of traditionally higher sales of a given product could have a disproportionate effect on the Company's results of operations for the entire fiscal year. In addition, the Company's dealers and distributors may modify orders, change delivery schedules or change the mix of products ordered. The Company may also make strategic decisions to deliver and invoice products at certain dates in order to lower costs or improve supply chain efficiencies or may be forced to do so because of supply chain issues or disruption. As a result, the Company's results of operations are likely to fluctuate significantly from period to period such that any historical results should not be considered indicative of the results to be expected for any future period. In addition, the Company incurs significant additional expenses in the periods leading up to the introduction of new products which may also result in fluctuations in the Company's results of operations, and which may focus on product categories that fall outside its historical core business, such as EVs. The Company's annual and quarterly gross profit margins are also sensitive to a number of factors, many of which are beyond its control, including shifts in product sales mix, geographic sales trends, and currency exchange rate fluctuations, all of which the Company expects will continue. This seasonality in revenues, expenses and margins, along with other factors that are beyond the Company's control, including general economic conditions, changes in consumer preferences, weather conditions, tariffs, free-trade arrangements, geopolitical uncertainty, the cost or availability of raw materials or labour, discretionary spending habits and currency exchange rate fluctuations, could materially adversely affect the Company's business, results of operations or financial condition.

*The Company relies on a network of independent dealers and distributors to manage the retail distribution of its products and failure to establish or maintain the appropriate level of dealers and distributors may negatively impact its business* 

The Company depends on the capability of its independent dealers and distributors to develop and implement effective retail sales plans to create demand among retail purchasers for its products. If the Company's independent dealers and distributors are not successful in these endeavours, the Company will be unable to maintain or grow its sales. Dealers' and distributors' operating performance may be adversely affected by inventory imbalances, demand variability, macroeconomic conditions, or other disruptions, which can pressure their margins, profitability, and cash flow, and reduce their efficiency in conducting operations. If dealers or distributors are unable to sell or order additional inventory or to operate at customary service levels, our ability to deliver products through our dealer and distributor network could be constrained. This would ultimately impact the Company's sales and potentially its market share, as it would reduce its capacity for shipment of other product lines that are in season.

Further, independent dealers and distributors may experience difficulty in funding their day-to-day cash flow needs and paying their obligations resulting from adverse business conditions, including weakened consumer spending or tightened credit. Inability to fund operations can force dealers and distributors to cease business, and the Company may not be able to obtain alternate distribution in the vacated market, which could negatively impact the Company's sales through reduced market presence or inadequate market coverage. In the event of a dealer or distributor default under any financing arrangement, the Company may also be required to repurchase such dealer's or distributor's inventory from the financing company. Additionally, weak demand for the Company's products, or a softening in industry demand as has been witnessed over the last year, may cause dealers and distributors to voluntarily or involuntarily reduce or terminate their business with the Company. In addition to dealers or distributors ceasing business, in some cases, the Company may seek to terminate relationships with

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|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **61** |

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some dealers or distributors leading to a reduction in the number of its dealers or distributors. Being forced to liquidate a former dealer's or distributor's inventory of the Company's products could add downward pressure on such products' prices. Ultimately, if the Company fails to establish or maintain an appropriate level of dealers and distributors for each of its products, the Company may not obtain adequate market coverage for the desired level of retail sales of its products.

Strategic portfolio and alignment decisions, including growth initiatives, market entries or exits, and partial divestitures and related strategic transactions in specified lines of business, could have an adverse effect on the Company's reputation with its dealers by creating uncertainty, reducing confidence, and limiting willingness to invest in inventory, facilities, and future product lines.

Moreover, the unplanned loss of any of the Company's independent dealers or distributors may create negative impressions of the Company with its retail customers and have a material adverse impact on the Company's ability to collect wholesale receivables that are associated with that dealer or distributor. Also, if the Company's dealer and distributor base were to consolidate, competition for the business of fewer dealers and distributors would intensify. If the Company does not provide product offerings and pricing that meet the needs of its dealers and distributors, or if the Company loses a substantial amount of its dealer and distributor base or is not able to expand in certain key regions, its business, results of operations or financial condition could be materially adversely affected.

The Company sells a majority of its products through dealer and distributor agreements. In general, distributors are contractually obligated to offer the Company's products on an exclusive basis. However, many of the dealers through which the Company sells its products also carry competing product offerings and most dealers who sell the Company's products exclusively are not contractually obligated to continue to do so and may choose to sell competing products at any time. If certain dealers or distributors decide to emphasize products from the Company's competitors or to otherwise reduce their purchase of the Company's products, notably as a result of having elevated levels of inventory to liquidate from such competitors, as was witnessed over the last year, it may lower the Company's sales. The Company also relies on its dealers and distributors to service and repair its products. The addition of several new technologies in the Company's products as well as the launch of new product categories, including the recently launched motorcycles, increase their complexity which in turn requires additional skills and knowledge from its dealers and distributors to service and repair these products. There can be no assurance that the Company's dealers and distributors will provide high quality repair services to the Company's customers. If dealers or distributors fail to provide quality service during either trial, delivery or after-sales service to the Company's customers, the Company's brand identity and reputation may be damaged, which could have a material adverse effect on the Company's business, results of operations or financial condition.

In order to remain competitive, the Company launched a Direct-to-Consumer platform allowing it to sell certain PA&A directly to its consumers in Canada and the United States through an online shopping experience. The Company may continue to leverage other sales strategies, which could include further changes to its existing distribution model. The Company's ability to explore alternative models may depend on laws that could be interpreted to impose limitations on the direct-to-consumer sales model and on actions and efforts of its dealers and distributors against such changes. Any such attempt by the Company may also negatively impact its relationships with its existing dealers and distributors and limit its ability to develop relationships with new dealers and distributors, thereby potentially having a material adverse effect on the Company's business, results of operations or financial condition.

*The inability of the Company's dealers and distributors to secure adequate access to capital could materially adversely affect the Company's business, results of operations or financial condition* 

The Company's dealers and distributors require adequate liquidity to finance their operations and to purchase the Company's products. Dealers and distributors are subject to numerous risks and uncertainties that could unfavourably affect their liquidity positions, including, among other things, continued access to adequate financing sources on a timely basis and on reasonable terms. Overstocking and slow retail sales pose significant risks to dealers, impacting margins, profitability, and cash flow. This can lead to full credit limits, limiting dealers' ability to take on new inventory and affecting the Company's

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|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **62** |

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ability to deliver products. Seasonal imbalances, such as reduced snowfall, further strain capacity, potentially delaying shipments of in-season products and jeopardizing both the dealers' and Company's performances. The Company currently has agreements in place with large financing companies to provide inventory financing to its dealers and distributors to facilitate their purchase of the Company's products. These sources of financing are instrumental to the Company's ability to sell products through the Company's distribution network, as a significant percentage of the Company's sales are done under such arrangements. See "Business of the Company — Distribution, Sales and Marketing — Distribution and Sales — Dealers' and Distributors' Inventory Financing Arrangements". The Company's business, results of operations or financial condition could be materially adversely affected if a decline in financing availability to the Company's dealers and distributors occurs, or if financing terms change unfavourably, or become too costly, as is the case to some extent in light of the fluctuating interest rate environment. This could require the Company to find alternative sources of financing, including the Company potentially providing financing directly to dealers and distributors, which could require additional capital to fund the associated receivables. In the event of a dealer or distributor default, the Company may be required to purchase new and unused products at the total unpaid principal balance to the finance company from financing companies providing inventory financing to the Company's dealers and distributors, subject to certain caps as described under "Business of the Company – Distribution, Sales and Marketing". Any requirement of the Company to purchase the inventory of several of its dealers or distributors could result in a material adverse effect on the Company's business, results of operations or financial condition.

*The Company is subject to laws, rules and regulations regarding product safety, health, environmental, noise pollution, privacy matters and other issues that could cause the Company to incur fines or penalties or increase its capital or operating costs* 

The Company is subject to federal, provincial/state and local/municipal laws, rules and regulations in Canada, the United States, Europe and other countries regarding product safety, health, environmental and noise pollution, human rights, privacy matters and other issues that could cause the Company to incur fines or penalties or increase the Company's capital or operating costs, all of which could have a material adverse effect on the Company's business, results of operations or financial condition. A failure to comply with, or compliance with, any such requirements or any new requirements could result in increased expenses to modify the Company's products, or harm to its reputation, which could have a material adverse effect on the Company's business, results of operations or financial condition. Other considerations in terms of regulations impacting the Company are with respect to the usage rules that can carry and change from one jurisdiction to another, for example some jurisdictions require or are considering requiring a license to operate the Company's products and some could change interpretations or application of product classifications. Such licensing requirements may deter potential customers, thereby reducing the Company's sales. Similarly, if certain products are classified differently than initially anticipated, a reclassification could impact the Company's applicable taxes and tariffs and subject such products to higher rates or stricter regulations, and ultimately adversely impact the Company's pricing, margins or overall competitiveness if the Company is forced to adjust its offerings or pass on additional costs to customers. The Company's products are also subject to laws, rules and regulations imposing environmental, noise emission, zoning and permitting restrictions, which laws, rules and regulations are subject to change and may limit the locations where the Company's products may be sold or used or restrict their use during certain times or on certain conditions. In addition, the European Union's new Cyber Resilience Act, effective in 2027, will introduce significant cybersecurity requirements for all vehicles sold in the EU, adding new compliance challenges and potential costs. In the event of pandemics, epidemics, disease outbreaks and other public health crises, the Company may have to adapt its health and safety measures throughout its facilities to comply with changing local regulations, resulting in incremental costs to the Company, as was the case in connection with the COVID-19 pandemic.

Climate change continues to receive attention worldwide. A perceived consensus among scientists, legislators and others regarding the impact of increased levels of greenhouse gases, including carbon dioxide, on climate change has led to significant legislative and regulatory efforts to limit greenhouse gas emissions. Moreover, the Company is already facing greater customer pressure to develop products that generate less emissions. This is likely to require the Company to spend additional funds on research and development and implementation and subject the Company to the risk that the Company's competitors

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| **BRP Inc.** | **Management's Discussion and Analysis** | **63** |

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may respond to these pressures in a manner that gives them a competitive advantage. The development of such products may also present challenges in maintaining the look, sound and feel of the Company's products. Additional regulations of emissions are also expected in the near future but it is too early to predict whether they could ultimately have a material adverse effect on the Company. The pressure for decarbonization also materializes itself through the emergence of circular economy policies worldwide, which translate into legal requirements and obligations extending producers' responsibilities, thereby shifting responsibilities towards the producers (manufacturers and importers of products) to manage products' life-cycle from design up to the post-consumer stage (i.e. ecodesign, reporting, taxes to recycling, customer information and labelling), as well as policies and obligations requiring producers to take actions to ensure the durability, repairability and maintenance of goods, in order to protect consumers from planned obsolescence. For instance, packaging regulations require reducing harmful substances, minimizing packaging, and using more sustainable materials. The Company's strategy to address these risks presents additional risks, including with respect to the Company's ability to ensure compliance with rules, laws and regulations applicable to the EV industry, as well as exposure to the increasing government enforcement actions and civil suits alleging "greenwashing", which call for increased vigilance when it comes to ESG reporting and communication. In this regard, Canada has introduced legislative provisions in Bill C-59, amending the Competition Act to address "greenwashing" and "social washing," requiring companies to substantiate sustainability-related claims using recognized methodologies. These obligations reinforce the importance of robust data collection, comprehensive methodology, and effective controls to mitigate potential legal exposure, and they exacerbate the Company's exposure to civil law suits on such grounds. The Company is also subject to environmental laws, rules and regulations pursuant to which, among other things, current or previous owners or occupants of property may become liable for the contamination of such property and, as a result, may be liable for the costs of investigating, removing and monitoring any hazardous substances found on the property. Given the nature of the Company's manufacturing activities and the fact that certain of its facilities have been in operation for many years, the Company and the prior owners or occupants of its property may have generated and disposed of materials that are or may be considered hazardous. The Company is aware of certain current environmental liabilities in relation to certain of its property and it is possible that additional environmental liabilities may arise in the future as a result of any prior or future generation or disposal of hazardous materials. The Company may therefore incur material costs and obligations related to environmental compliance and remediation matters in the future. Any failure to comply with, or the compliance with, any applicable environmental laws, rules or regulations, could have a material adverse effect on the Company's business, results of operations or financial condition.

Over the last few years, there has also been a growing focus on regulation related to privacy and the use and safeguarding of personal information. Building on the example of Europe with its General Data Protection Regulation (GDPR) adopted in 2018, Canada, the United States and several other jurisdictions have bolstered their privacy regimes, in ways that result in higher regulatory requirements for the Company, which continues to advance its privacy program to comply with new and amended legislation where it does business. For example, in Quebec, Law 25 (previously Bill 64), fully came into effect in September 2024 modernizing the province's private-sector privacy regime, introducing new regulations related to biometrics and automated decisions, and giving new powers to regulators to impose monetary administrative penalties. Outside of Canada, large fines and settlements have been imposed for breaches of privacy rights and failure to comply with regulatory privacy requirements – evidence of heightened regulatory vigilance and enforcement. The California Consumer Privacy Act was also enhanced and amended in 2023 by the California Privacy Rights Act, which includes new and expanded privacy rights for California residents and other states have introduced privacy legislation, which is leading to a growing patchwork of privacy laws in the United States. In the European Union and the United Kingdom, there are ongoing concerns regarding the transfer of personal data to countries lacking adequate privacy protection. These evolving privacy regulations can significantly impact the Company's operations, potentially leading to increased compliance costs, operational disruptions, and substantial financial penalties for non-compliance. Moreover, failure to adhere to these regulations can damage the Company's reputation, erode customer trust, and adversely affect profitability.

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| **BRP Inc.** | **Management's Discussion and Analysis** | **64** |

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*The Company's connected products may be vulnerable to cyber-attacks* 

The risk of cyber-attacks targeting connected products has risen with the proliferation of technology designed to connect vehicles to external networks. Many of the Company's products incorporate connectivity features such as <sup>®</sup>Bluetooth, and mobile applications that link vehicles to external networks and cloud-based services. Although the Company designs and specifies vehicle and systems-level cybersecurity controls and protections for its connected products, it cannot provide assurance that such controls will be effective in preventing cyber intrusion.

Any successful cyber-attack on the Company's connected products could impact the performance or safety of such products, result in the loss or inappropriate use of sensitive consumer data, damage the Company's reputation, or result in government enforcement, litigation, product recalls, or warranty claims. The costs of product cybersecurity failures or non-compliance with applicable regulations could have a material adverse effect on the Company's business, results of operations or financial condition.

*The Company has a relatively large fixed cost base that can affect its profitability in a declining sales environment* 

The fixed costs involved in owning and operating the Company's facilities can reduce the Company's gross profit margin when sales and production decline, such as could be the case as a result of the easing, but still elevated inflationary environment. The Company's profitability is dependent, in part, on its ability to spread fixed costs over an increasing number of products sold and shipped, and if the Company is required to reduce its rate of production, gross profit margin could be negatively affected. Consequently, decreased demand can lower the Company's ability to absorb fixed costs, which could have a material adverse effect on its business, results of operations or financial condition.

*The Company faces intense competition in all product lines and any failure to compete effectively against competitors or any failure to meet consumers' evolving expectations could materially adversely impact the Company's business, results of operations or financial condition* 

The industries in which the Company operates are highly competitive. Competition in these industries is based upon a number of factors, including price, quality, reliability, styling, product features, warranties, overall consumer experience and the ability to constantly innovate. At the dealer and distributor level, factors impacting competition include sales and marketing support programs such as retail sales promotions, dealer and distributor performance bonuses, and dealer and distributor inventory financing. Some of the Company's competitors are more diversified and have financial and marketing resources that are greater than the Company's, which allow these competitors to invest more heavily in intellectual property, product development, sales and marketing support and innovative consumer offers. The Company is also subject to competitive pricing, notably in the face of emerging competitors with lower costs of operations, which are now offering diversified product lines and expanding their footprint internationally, including to North America. Such competition and pricing pressure may limit the Company's ability to maintain prices or to increase prices for its products in response to raw material, component and other cost increases, and therefore negatively affect the Company's profit margins.

In addition, the industries in which the Company does business may experience significant change in the coming years. Participants are disrupting, and could continue to disrupt, the historic business model of such industries through the introduction of new technologies, products, business models or services as well as by establishing alternative sales channels. The Company expects to face increased pressure in the future to develop new products and services, including products and services that could be viewed as falling outside its historical core business such as EVs and digital services, as well as to adopt new industry developments such as AI, machine learning and automation. If the Company does not invest sufficiently in such technology and industry developments, appropriately implement new technologies or evolve its business at sufficient speed and scale in response to such developments, or if it does not make the right strategic investments to respond to these developments, its products, results of operations and ability to develop and maintain its business could be negatively affected. Its competitors or other third parties may incorporate AI technologies into their services, products and business more quickly or more

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| **BRP Inc.** | **Management's Discussion and Analysis** | **65** |

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successfully than the Company, which could impair its ability to compete effectively and materially and adversely affect its results of operations and financial condition. The industry may also be impacted as a result of cross-border consolidation of competition, thereby adding pressure on the Company and its ability to remain competitive without itself proceeding with similar acquisitions or consolidations.

With the demand for digital capabilities increasing in the last few years, a failure to keep pace with customer demands or to react to or anticipate changing trends in a timely and cost-efficient manner could affect the Company's customer base and limit the Company's ability to attract new customers. Although the Company accelerated its digital transformation in the last few years and increased customer demands, its competitors may adapt their customer experience more rapidly or in a more cost-efficient manner, which could adversely affect the Company's business, results of operations or financial condition, reputation and brand value.

The process of designing and developing new technologies, products and services is complex, costly and uncertain, requires extensive capital investment and is dependent upon the ability to recruit and retain talent. There can be no assurance that future innovation is achievable or will occur in a timely manner, or that competitors of the Company will not be able to develop new technologies, products and services before the Company does or that it will acquire technologies on an exclusive basis or at a significant price advantage. In this context, the Company is also exposing itself to the risks associated with expanding into new markets and industries, which success may be adversely affected by a number of factors, including the potential need for greater investments than originally planned in advertising and promotional activity to build brand awareness, the difficulties in predicting consumer tastes and discretionary spending patterns which may differ from its existing markets, and the complexities related to sourcing new materials, processes and technologies and adopting entirely new business models. If the Company is not able to compete with new products, product features, models or product prices of its competitors, to attract new dealers and distributors and retain existing ones, to adapt to changing consumer habits or disruption in historical business models, or to successfully execute its plans to enter new markets and industries, the Company's business, results of operations or financial condition could be materially adversely affected.

*If the Company fails to maintain an effective system of internal control over financial reporting, the Company may not be able to produce accurate and timely financial statements* 

Ensuring that the Company has adequate internal financial and accounting controls and procedures in place so that it can produce accurate financial statements on a timely basis is a costly and time-consuming effort that needs to be evaluated frequently. If the Company fails to correct any material weakness it may have in its internal controls, or having corrected such material weakness, in whole or in part, thereafter, fails to maintain the adequacy of its internal controls, the Company may be unable to report its financial results accurately, which could increase operating costs and harm its business, including investors' perception of its business and the price of its Subordinate Voting Shares. Any continued or future failure to maintain adequate internal controls over financial reporting could materially adversely affect the Company's business, results of operations or financial condition.

*The Company's success depends upon the continued strength of its reputation and brands* 

The Company's well-established brands include Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on and off-road vehicles, Quintrex boats, and Rotax marine propulsion systems as well as Rotax engines for karts and recreational aircraft. The Company believes that its reputation and brands are significant contributors to the success of its business. Any negative publicity about the Company's products could diminish customer trust, do significant damage to the Company's reputation and brands and negatively impact sales. As the Company expands into new geographical markets, including through acquisitions, maintaining and enhancing its brands may become increasingly difficult and expensive, as consumers in these markets may not accept its brand image. Similarly, its brand recognition and reputation could be impacted by the Company's previously announced intention and attempt to exit the marine industry, the decision to limit further EV investments and to align future EV product introductions with customer demand and the decision to cease for an indefinite period its activities under the business unit targeting low voltage and human assisted product categories. Failure to maintain and enhance the

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| **BRP Inc.** | **Management's Discussion and Analysis** | **66** |

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Company's brands in any of its markets may materially adversely affect the Company's business, results of operations or financial condition.

The Company's brands and branded products could also be adversely impacted by incidents that reflect negatively on the Company. Moreover, the negative impact of these events may be aggravated by their coverage in media and on social media, over which the Company has no control. For instance, there has been increased media attention in the last years with respect to the unauthorized use by third parties of Rotax engines in military drones in politically-sensitive areas. The increasing use of social media has also heightened the need for reputational risk management. While reputations may take decades to build, any negative incidents can quickly erode trust and confidence, particularly if they result in negative mainstream and social media publicity. Any actions the Company take that cause negative public opinion have the potential to negatively impact the Company's reputation, which may materially adversely affect its business, results of operations or financial condition.

*An adverse determination in any significant product liability claim against the Company could materially adversely affect its business, results of operations or financial condition* 

The development, manufacturing, sale and usage of the Company's products expose the Company to significant risks associated with product liability claims. If the Company's products are defective, malfunction or are used incorrectly by its consumers, it may result in bodily injury, property damage or other injury, including death, which could give rise to product liability claims against the Company. Changes to the Company's manufacturing processes and the production of new products could result in product quality issues, thereby increasing the risk of litigation and potential liability. Any losses that the Company may suffer from any liability claims and the effect that any product liability litigation may have upon the brand image, reputation and marketability of the Company's products could have a material adverse impact on its business, results of operations or financial condition.

No assurance can be given that the Company's historical claims record will not change, that material product liability claims will not be made in the future against the Company, or that claims will not arise in the future in excess or outside the coverage of the Company's indemnities and insurance. The Company records provisions for known potential liabilities, but there is the possibility that actual losses may exceed these provisions and therefore negatively impact earnings. The amount of capacity covered by the insurance market is also reducing, and the cost of adequate product liability insurance continues to increase, and as such the Company may not be able to obtain in the future product liability insurance at reasonable costs or on acceptable terms, especially in light of the increase in the number of product quality cases combined with the nuclear verdict trend in the United States, which can result in excessive verdicts with grossly disproportionate damages, thereby impacting the results of insurers' risk assessments. Adverse determinations of material product liability claims made against the Company could also harm the Company's reputation and cause it to lose customers and could have a material adverse effect on its business, results of operations or financial condition.

*Significant product repair and/or replacement due to product warranty claims or product recalls could have a material adverse impact on the Company's business, results of operations or financial condition* 

The Company provides a limited warranty against defects for all of its products for a period generally varying from twelve to thirty-six months. The Company may provide extended warranty coverage related to certain promotional programs, as well as extended warranty coverage in certain geographical markets as determined by local laws, rules or regulations and market conditions. The Company also provides a limited emissions warranty for certain emissions related parts in its products as required by the United States Environmental Protection Agency and the California Air Resources Board. Although the Company employs development and quality control procedures, it happens that a product manufactured by the Company needs repair or replacement or is recalled. The Company's standard warranties require that dealers repair or replace defective products during such warranty periods at no cost to the consumer. The Company records provisions based on an estimate of product warranty claims, but there is the possibility that actual claims may exceed these provisions, especially if it relates to new products that bring

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| **BRP Inc.** | **Management's Discussion and Analysis** | **67** |

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additional complexities and for which the Company does not have the same historical knowledge, such as EVs, or with respect to software and hardware recalls that are becoming more frequent, therefore negatively impacting earnings. The Company could make major product recalls or could be held liable in the event that some of its products do not meet safety standards or statutory requirements on product safety or consumer protection. In addition, the risks associated with product recalls may be aggravated if production volumes increase significantly, or if supplied goods do not meet the Company's standards, or the Company fails to perform its risk analysis systematically or product-related decisions are not fully documented. Historically, product recalls have been administered through the Company's dealers and distributors. The repair and replacement costs that the Company could incur in connection with a recall could have a material adverse effect on the Company's business, results of operations or financial condition. Product recalls could also harm the Company's reputation and cause it to lose customers, particularly if recalls cause consumers to question the safety or reliability of the Company's products, which could have a material adverse effect on the Company's business, results of operations or financial condition.

*Failure to carry adequate insurance coverage may have a material adverse effect on the Company* 

The Company maintains liability insurance, property and business interruption insurance, cyber liability insurance, cargo insurance, workers' compensation coverage in the United States to the required statutory limits, automotive liability insurance, aviation insurance and directors and officers insurance, and its insurance coverage reflects deductibles, self-insured retentions, limits of liability and similar provisions. However, there is no guarantee that insurance proceeds will be paid to it in a timely manner or that the Company's insurance coverage will be sufficient. The Company has manufacturing sites that are the exclusive source of some of its materials, such that if these sites were subject to disruptive events outside of its control, it could have a material effect on the Company's supply chain logistics and operations' interdependencies and could result in losses in excess of its insurance coverage. Any uninsured loss or claim (including a loss that is less than the applicable deductible or that is not covered by insurance, such as, in certain cases, losses due to acts of war and certain natural disasters), or a loss or claim in excess of insured limits, in full or in part, may result in significant expenditures by the Company. Moreover, the Company may not be able to maintain insurance policies in the future at reasonable costs, on acceptable terms or at all, which may adversely affect its business, financial condition and results of operations. The successful assertion of one or more large claims against the Company that exceed available insurance coverage, or the occurrence of changes in the Company's insurance policies, including premium increases or the imposition of large deductible or co-insurance requirements, could adversely affect its business, financial condition and results of operations.

Among other factors, national security concerns, acts of war, certain natural disasters, pandemics, or any changes in any applicable statutory requirement binding insurance carriers to offer certain types of coverage could also adversely affect available insurance coverage and result in, among other things, increased premiums on available coverage (which may cause the Company to elect to reduce its policy limits or not renew its coverage) and additional exclusions from coverage. As cyber incidents and threats continue to increase in frequency and evolve in complexity, the Company may also be required to expend additional, perhaps significant, resources to continue to update, modify or enhance its protective measures or to investigate and remediate any vulnerability to cyber incidents, and may seek to obtain or maintain cybersecurity insurance coverage; however, such insurance may be subject to exclusions, deductibles, and coverage limits, may not be available on commercially reasonable terms, and may not ultimately cover all losses or liabilities arising from such incidents.

*The Company depends upon the successful management of the inventory levels, both at the Company's and the dealers' and distributors' levels, and any failure to successfully manage inventory levels could have a material adverse effect on the Company's business, results of operations or financial condition* 

The Company must maintain sufficient inventory levels to operate its business successfully. However, the Company must also guard against accumulating excess inventory as it seeks to minimize lost sales.

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| **BRP Inc.** | **Management's Discussion and Analysis** | **68** |

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The nature of the Company's product lines requires the Company to purchase supplies and manufacture products well in advance of the time these products are offered for sale. As a result, the Company may experience difficulty in responding to a changing retail environment which have led, and may continue to lead, to softening consumer demand and to excess inventory. Sales for certain product lines are managed through longer term purchase commitments, and the Company plans annual production levels and long-term product development and introduction based on anticipated demand, as determined by the Company in reliance on its own market assessment and regular communication with its dealers, distributors and other customers. If the Company does not accurately anticipate the future demand for a particular product or the time it will take to adjust inventory, its inventory levels will not be appropriate and its results of operations may be negatively impacted, including through lower gross profit margins due to greater than anticipated discounts and markdowns that might be necessary to reduce inventory levels. On the other hand, the sales of certain other product lines are managed through shorter-term purchase commitments, and the Company has introduced a flexible order management system for some of its products, which inability to function or to be flexible enough could have a material impact on the Company's management of such commitments. Further, any failure by the Company to maintain adequate inventory levels for such products, due to shortages of key components, supply chain disruptions and labour shortages, could result in undesirable delivery delays for its customers or in the loss of certain sales, which could, in turn, have a material adverse effect on the Company's business, results of operations or financial condition. Alternatively, if the Company has excess inventory it could lead to lost or discounted sales, which could, in turn, have a material adverse effect on the Company's business, results of operations, financial condition, and market share.

Additionally, the Company's dealers and distributors could decide to reduce the number of units of the Company's products they hold. Such a decision would likely require the Company to reduce its production levels, thus resulting in lower rates of absorption of fixed costs in the Company's manufacturing facilities and lower gross profit margins. If the Company's dealers and distributors then placed additional orders for the Company's products, this could impair the Company's ability to respond rapidly to these demands and adequately manage its inventory levels, which could materially adversely affect its business, results of operations or financial condition.

*The Company may be unable to protect its intellectual property, or it may incur substantial costs as a result of litigation or other proceedings relating to protection of its intellectual property* 

Following its innovation-focused strategy, the Company's success depends in part on its ability to protect its patents, trademarks, copyrights and trade secrets from unauthorized use by others. If substantial unauthorized use of the Company's intellectual property rights occurs, the Company may incur significant costs in enforcing such rights by prosecuting actions for infringement of its rights, particularly taking into account that policing unauthorized use of the Company's intellectual property may be more difficult outside North America and Europe and that the laws in those jurisdictions may not protect intellectual property rights to the same extent as the laws in North America and Europe, or may be more difficult to carry out enforcement actions. Such unauthorized use could also result in the diversion of engineering and management resources to these matters at the expense of other tasks related to the business. Also, because of the rapid pace of technological change in the Company's industry, aspects of its business and products rely on technologies developed or licensed by third parties, and the Company may not be able to obtain or continue to obtain licenses and technologies from these third parties on reasonable terms or at all. Others may initiate litigation to challenge the validity of the Company's patents, trademarks, copyrights and trade secrets or those of third parties on which the Company relies through licenses or otherwise, or allege that the Company or such third parties infringe their patents, trademarks, copyrights or trade secrets. If the Company's competitors initiate litigation to challenge the validity of the Company's patents, trademarks, copyrights and trade secrets, or those of third parties on which the Company relies through licenses or otherwise, or allege that the Company or such third parties infringe theirs, the Company may incur substantial costs to defend its rights or may not be able to obtain or continue to obtain licenses from these third parties. If the outcome of any such litigation is unfavourable to the Company or these third parties, its business, results of operations or financial condition could be materially adversely affected. The Company also cannot be sure that the patents it has obtained, or other protections such as confidentiality and trade secrets, will be adequate to prevent imitation of its products

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **69** |

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and technology by others. If the Company is unable to protect its technology through the enforcement of intellectual property rights, its ability to compete based on technological advantages may be harmed. If the Company fails to prevent substantial unauthorized use of its trade secrets, it risks the loss of certain competitive advantages, which could have a material adverse effect on its business, results of operations or financial condition.

Some of the Company's direct and indirect competitors may have significantly more resources to direct toward developing and patenting new technologies. It is possible that the Company's competitors will develop and patent equivalent or superior technologies and other products that compete with the Company's products. They may assert these patents against the Company and the Company may be required to license these patents on unfavourable terms or cease using the technology covered by these patents, either of which could harm the Company's competitive position and may materially adversely affect its business, results of operation or financial condition.

Additionally, the Company has been and could in the future be a defendant in patent proceedings or similar actions and if it is unsuccessful in its defense of any of these actions, there could be material adverse consequences including payment of monetary damages, licensing of patents on unfavourable terms, limitations on its ability to use certain technology and removal of desirable features from the Company's products. Even if the Company was able to defeat such claims, the allegation that it is infringing on others' intellectual property rights could harm its reputation and cause it to incur significant costs in connection with its defense of these actions. Also, from time to time, third parties have challenged, and may in the future try to challenge, the Company's trademark rights and branding practices. The Company may be required to institute or defend litigation to enforce its trademark rights, which, regardless of the outcome, could result in substantial costs and diversion of resources and could have a material adverse effect on the Company's business, results of operations or financial condition. If the Company loses the use of a product name, its efforts spent building that brand will be lost and it will have to rebuild a brand for that product, which it may or may not be able to do.

*The Company may not be able to successfully execute its manufacturing strategy or to adjust to fluctuating customer demand as a result of manufacturing capacity constraints* 

One of the priorities of the strategic plan established by management consists of sustained efforts in the areas of cost reduction and operational efficiencies. This priority aims in part at leveraging the strength of the Company's established manufacturing centers. In addition, in order to help the Company respond to ongoing changes in the marketplace and reduce inventory across the supply chain, the Company's cost reduction and operational efficiencies efforts focus on further implementing model mix production on its assembly lines, which allows the Company to produce a greater range of models on a weekly and daily basis, without expensive set-up costs or production downtime. The Company believes that flexible manufacturing is the key element to enable improvements in the Company's ability to respond to customers in a cost-effective manner. The success of the Company in implementing this priority of its strategic plan is dependent on the involvement of management, production employees and suppliers. Any failure to achieve this cost reduction and operational efficiencies priority (including the anticipated levels of productivity and operational efficiencies) in the Company's manufacturing facilities, could materially adversely impact the Company's business, results of operations or financial condition and its ability to deliver the right product at the right time to the customer.

A significant increase in demand for its products, the development of new products or the enhancement of existing products or models could require the construction, improvement, re-configuration, relocation or expansion of the Company's existing production facilities. Any such development of new manufacturing operations inherently involves a number of risks and uncertainties, including ongoing compliance with regulatory requirements, procurement and maintenance of construction, procurement of building materials and equipment, environmental and operational licenses and approvals for additional expansion, potential supply chain constraints, hiring, training and retaining qualified employees, receipt of the expected subsidies and ability to realize on the expected synergies and related delays in operating facilities at a maximum production level while manufacturing high-quality units at scale. There can be no assurance that the Company's current or future manufacturing capabilities will

---

| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **70** |

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be sufficient to meet customer demand in the future or that the Company will be able to successfully expand its manufacturing capabilities, or do so in a timely manner, to meet demand, which could result in loss of revenue and market share. Similarly, the competitive real estate landscape continues to evolve and there can be no assurance that the Company will be able to identify and to secure, in a timely manner, through long-term leases or acquisitions, lands and buildings that offer optimal location and meet the other business and operational requirements, while also being on acceptable pricing terms and conditions.

Conversely, given the continuously changing retail environment the Company had to adjust its manufacturing strategy and optimize some of its investments to better align supply to demand, which resulted in manufacturing centers that are not optimized at full capacity, with production downtimes, thereby not leveraging the operational efficiencies expected. The Company's ability to further adjust its manufacturing strategy and expansion plans in an agile manner may depend on the terms of the applicable agreements, the current status of some of its projects and plans, and other factors that may not be in its control, and which may result in some costs and inefficiencies for the Company, including high fixed costs that impact the Company's gross margins when sales and production decline.

*Increased freight and shipping costs or disruptions in transportation and shipping infrastructure could adversely impact the Company's business, results of operations or financial condition* 

The Company uses external freight shipping and transportation services to transport and deliver products and raw materials. Adverse fluctuations in freight costs, limitations on shipping and receiving capacity, and other disruptions in the transportation and shipping infrastructure at important geographic points of exit and entry for the Company's products and raw materials could adversely affect its business and results of operations. For example, delivery delays or increases in transportation costs (including through increased fuel costs, increased carrier rates or driver wages as a result of driver shortages, a decrease in transportation capacity for overseas shipments, work stoppages or slowdowns, or alternative shipping arrangements) could significantly decrease the Company's ability to make sales and earn profits. Labour shortages or work stoppages in the transportation industry or long-term disruptions to the national and international transportation infrastructure that lead to delays or interruptions of deliveries or which would necessitate the Company securing alternative shipping suppliers could also increase its costs or otherwise negatively affect its business, results of operations or financial condition. In addition, tariffs and trade restrictions imposed by governments can further increase shipping costs and create additional challenges in securing cost-effective transportation for raw materials and finished goods. The Company's inbound shipping costs are also impacted by changing dynamics in the ocean shipping industry, most notably by the wave of market consolidation observed in container shipping in recent years. In the last few years, the Company experienced, and may in the future continue to experience, higher freight costs, which could have an impact on the Company's results of operations. Disruptions in the movement of freight are also impacting the Company's freight costs and ultimately its revenues, notably by forcing the Company to resort to expedited freight or air freight in order to secure its supply to maintain production and mitigate delays.

*Covenants contained in agreements to which the Company is a party affecting and, in some cases, significantly limiting or prohibiting the manner in which the Company operates its business* 

Some of the financing and other major agreements to which the Company is a party, including the Term Facility and the Revolving Credit Facility, contain certain covenants that, in certain circumstances and based on certain financial ratios, affect and, in some cases, significantly limit, among other things, the activities in which the Company may engage, the ability of the Company to incur debt, grant liens over its assets, engage in lines of business different from its own, consummate asset sales, pay dividends or make other distributions, redeem or otherwise retire shares or make other restricted payments, make loans, advances and other investments, and merge, consolidate or amalgamate with another person. For instance, under the Revolving Credit Facility, the Company is bound by a fixed charge coverage ratio applicable if excess availability under its Revolving Credit Facility is less than $100.0 million for seven consecutive business days (until such time as such excess availability exceeds $100.0 million for seven consecutive business days). These covenants may prevent the Company from pursuing certain business opportunities or taking certain actions that may be in the best interest of the business, which could materially adversely affect its business and financial results.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **71** |

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A failure by the Company to comply with such contractual obligations or to pay amounts due under financing and other major agreements could result in an acceleration of the debt incurred under such agreements, a termination of the commitments made thereunder, as well as an exercise of remedies provided therein by the creditors of the Company (including foreclosure over substantially all of the assets of the Company). In such a situation, the Company may not be able to repay the accelerated indebtedness, fulfill its obligations under certain contracts or otherwise cover its fixed costs, which could result in a material adverse effect on the Company's business, results of operations or financial condition.

*Tax matters and changes in tax laws could materially adversely affect the Company's business, results of operations or financial condition* 

The Company, as an international company conducting operations through subsidiaries in multiple jurisdictions, is subject to income taxes in Canada, the United States and numerous other foreign jurisdictions. The Company's effective income tax rate in the future could be adversely affected as a result of a number of factors, including acquisitions, changes in the mix of earnings in countries with different statutory tax rates, changes in the valuation of deferred tax assets and liabilities, and changes in tax laws, regulations or their interpretation, including the global minimum tax regimes, (based on the Pillar Two guidelines or its interpretation from the Organization for Economic Co-operation and Development's (OECD). Additionally, unanticipated changes in effective tax rates or adverse outcomes from tax audits or from tax return examinations in various jurisdictions around the world, including potential disputes, could adversely impact the Company's operating results and financial conditions. The Company regularly assesses all of these matters to determine the adequacy of its tax liabilities. If any of the Company's assessments turn out to be incorrect, the Company's business, results of operations or financial condition could be materially adversely affected.

The Company's Canadian and foreign subsidiaries undertake certain operations with other related subsidiaries in different jurisdictions, including Canada, the United States, Mexico, Finland, Austria, Germany, Switzerland, Australia, Brazil and China. The tax laws of these jurisdictions, including Canada, have detailed transfer pricing rules that require that all transactions with non-resident related parties be priced using arm's length pricing principles. Although the Company believes that its transfer pricing policies have been reasonably determined in accordance with arm's length principles, the taxation authorities in the jurisdictions where the Company carries on business could challenge its arm's length related party transfer pricing policies. International transfer pricing is a subjective area of taxation and generally involves a significant degree of judgment. If any of these taxation authorities were to successfully challenge the Company's transfer pricing policies, its income tax expense may be adversely affected and the Company could also be subjected to interest and penalties. Any such increase in the Company's income tax expense and related interest and penalties could have a material adverse effect on its business, results of operations or financial condition.

The Company's Canadian and foreign entities are entitled to claim certain expenses, deductions, and tax credits, including research and development expenses and Scientific Research and Experimental Development tax credits. Although the Company believes that its claims or deductions have been reasonably determined, there can be no assurance that the Canadian (federal or provincial) or the relevant foreign taxation authorities will agree. If a taxation authority were to successfully challenge the correctness of such expenses, deductions, or tax credits claimed, or if a taxation authority were to reduce any tax credit either by reducing the rate of the grant or the eligibility of some research and development expenses in the future, the Company's business, results of operations or financial condition could be materially adversely affected.

*An impairment of the carrying value of goodwill and intangibles with indefinite useful life could negatively impact the Company's consolidated results of operations and net worth* 

Goodwill and intangible assets with indefinite useful life, such as the Company's trademarks, are recorded at fair value at the time of acquisition and are not subsequently amortized. These assets are tested for impairment annually or whenever there is an indication of impairment. An impairment loss is

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **72** |

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recognised on Goodwill and intangibles with indefinite useful life to the extent that the carrying amount of their underlying cash generating unit ("CGU") or group of CGUs exceeds its recoverable amount. Significant and unanticipated changes in circumstances, such as significant and long-term adverse changes in business climate, unanticipated competition, changes in technology or markets, and/or acquisitions not yielding expected returns, and a plan to dispose a major line of business could represent a trigger for impairment in a future period. If an impairment loss was recognized, it could negatively impact the Company's business, results of operations or financial condition, and reduce the Company's consolidated net worth.

*Deterioration in relationships with the Company's non-unionized and unionized employees could have a material adverse effect on the business, results of operations or financial condition* 

A majority of the Company's employees are non-unionized, including in facilities in Canada and the United States. The maintenance of a productive and efficient labour environment and, in the event of unionization of these employees, the successful negotiation of a collective bargaining agreement, cannot be assured. A deterioration in relationships with employees or in the labour environment could result in work interruptions or other disruptions, or cause management to divert time and resources from other aspects of the Company's business, which could have a material adverse effect on the Company's business, results of operations or financial condition.

Some of the Company's subsidiaries are party to collective bargaining arrangements that expire at various times in the future, namely (i) BRP-Rotax GmbH & Co KG in Gunskirschen, Austria, (ii) BRP Finland Oy in Rovaniemi, Finland, (iii) BRP Queretaro S.A. de C.V. in Queretaro, Mexico (iv) BRP Megatech Industries Inc. in Shawinigan, Canada and (v) BRP Brazil Motorsports Ltd. in Campinas, Brazil. As the Company is dependent on unions to renew these agreements on terms that are satisfactory as they become subject to renegotiation from time to time, the outcome of these labour negotiations could have a material adverse effect on the Company's business, results of operations or financial condition. Such could be the case if current or future labour negotiations or contracts were to further restrict its ability to maximize the efficiency of its operations. In addition, the Company's ability to make short-term adjustments to control compensation and benefit costs is limited by the terms of the applicable collective arrangements.

The Company cannot predict the outcome of any current or future negotiations relating to labour disputes, union representation or the renewal of the collective arrangements**,** nor can the Company assure that it will not experience work stoppages, strikes, property damage or other forms of labour protests pending the outcome of any current or future negotiations. If its unionized workers engage in a strike or any other form of work stoppage, or if non-unionized employees wish to unionize, the Company could experience a significant disruption to its operations, damage to its property and/or interruption to its services, which could have a material adverse effect on the Company's business, results of operations or financial condition.

*Pension plan liability may have a material adverse effect on the Company* 

Economic cycles can have a negative impact on the funding of the Company's remaining defined benefit pension obligations and related expenditures. In particular, a portion of the Company's pension plan assets is invested in equity securities, which can experience significant declines if financial markets weaken. A portion of the Company's pension plan assets is also invested in debt securities, which can experience significant declines if interest rates rise. The Company is required to make additional contributions to fund any plan that is in deficit as well as to fund plan modifications. There is no guarantee that the expenditures and contributions required to fund these defined benefit pension obligations will not increase in the future and therefore negatively impact the Company's operating results, liquidity and financial position. Risks related to the funding of defined benefit pension plans may materialize if total obligations with respect to such a pension plan exceed the total value of the plan fund's assets. Shortfalls may arise due to lower-than-expected returns on investments, changes in the discount rate used to assess the pension plan's obligations, and actuarial losses, as well as changes to existing federal pension laws and regulations. Any of these risks could result in a material adverse effect on the Company's business, results of operations or financial condition.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **73** |

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*Natural disasters, unusually adverse weather, epidemic or pandemic outbreaks, boycotts and geo-political events could materially adversely affect the Company's business, results of operations or financial condition* 

The occurrence of one or more natural disasters, such as hurricanes and earthquakes, unusually adverse weather, as has been witnessed over the last years with significant increase in global extreme weather events and more frequent unfavourable weather conditions, epidemic or pandemic outbreaks, boycotts and geo-political events, such as military conflicts or actions maintaining tensions in specified regions or globally, or civil unrest and acts of terrorism, or similar disruptions could materially adversely affect the Company's business, results of operations or financial condition. These events could result in physical damage to one or more of the Company's properties, increases in fuel or other energy prices, temporary or permanent closure of one or more of the Company's facilities, temporary lack of an adequate workforce in a market, temporary or long-term disruption in the supply of raw materials, product parts and components, temporary disruption in transport to and from overseas, disruption in the Company's distribution network and disruption to the Company's information systems. The Company may incur expenses or delays relating to such events outside of its control, which could have a material adverse impact on its business, operating results and financial condition.

*Volatility in the market price of the Subordinate Voting Shares* 

The market price of the Company's Subordinate Voting Shares has fluctuated in the past and it is reasonable to expect it to fluctuate in the future. In addition to the other risks described herein, the market price of the Subordinate Voting Shares may be influenced by many factors, many of which are beyond the Company's control, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● actual or anticipated fluctuations in the Company's quarterly results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in estimates of the Company's future results of operations by the Company or changes in accounting
policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in forecasts, estimates or recommendations of securities research analysts regarding the Company's future
results of operations or financial performance, or publication of research reports or news stories about the Company, its competitors or its industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in the economic performance or market valuations of other companies that investors deem comparable to the
Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● changes in overall economic conditions, primarily in North America and Europe, including changes that impact consumer
spending and discretionary spending, as experienced over the last two years, notably as a result of easing, but still elevated interest and inflation rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● additions or departures of the Company's board members, senior management team or other key employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● sales or perceived sales of additional Subordinate Voting Shares, and short-sales, hedging and other derivative
transactions in the Subordinate Voting Shares;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● litigation or regulatory action against the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● breaches of security or privacy incidents, and the costs associated with any such breaches and remediation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● significant acquisitions or business combinations, divestitures, strategic partnerships, joint ventures or capital
commitments by or involving the Company or its competitors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● news reports relating to trends, concerns or competitive developments, regulatory changes and other related issues in
the Company's industry or target markets.

Financial markets have in the past experienced significant price and volume fluctuations that have particularly affected the market prices of equity securities of companies. Such fluctuations have also, in many cases, been unrelated to the operating performance, underlying asset values or prospects of such companies. Accordingly, the market price of the Subordinate Voting Shares may decline even if the Company's operating results, financial condition or prospects have not changed. As well, certain institutional investors may base their investment decisions on consideration of the Company's environmental, governance and social practices and performance against such institutions' respective

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **74** |

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investment guidelines and criteria, and failure to meet such criteria may result in a limited or no investment in the Subordinate Voting Shares by those institutions, which could materially adversely affect the trading price of the Subordinate Voting Shares. If such increased levels of volatility and market turmoil resume, as is currently the case to some extent in light of a challenging macroeconomic environment and uncertainty relating to trade policies in the United States, the Company's business, results of operations or financial condition could be materially adversely impacted and the trading price of the Subordinate Voting Shares could be materially adversely affected. Unstable market conditions are causing now, to a lesser extent, and may continue to cause in the future, a slowdown in the global economy as well as volatility in global financial markets and may adversely affect the market price of the Subordinate Voting Shares.

*BRP Inc. is a holding company and its financial performance and results are dependent on the earnings of its subsidiaries and the distribution of those earnings to BRP Inc.* 

BRP Inc. is a holding company and a substantial portion of its assets consists in the shares of its direct and indirect subsidiaries. As a result, BRP Inc. is subject to the risks attributable to its subsidiaries. As a holding company, BRP Inc. conducts substantially all of its business through its subsidiaries, which generate substantially all of its revenues. Consequently, BRP Inc.'s cash flows and ability to complete current or desirable future enhancement opportunities are dependent on the earnings of its subsidiaries and the distribution of those earnings to BRP Inc. The ability of these entities to pay dividends and other distributions will depend on their operating results and will be subject to applicable laws and regulations that require that solvency and capital standards be maintained by such companies and contractual restrictions contained in the instruments governing their debt. In the event of a bankruptcy, liquidation or reorganization of any of its subsidiaries, holders of indebtedness and trade creditors will generally be entitled to payment of their claims from the assets of those subsidiaries before any assets are made available for distribution to BRP Inc.

*Beaudier Group and Bain Capital have significant influence with respect to matters put before the shareholders, which may have a negative impact on the trading price of the Subordinate Voting Shares* 

As at March 24, 2026, Beaudier Group and Bain Capital owned 21,709,901 and 8,296,475 Multiple Voting Shares, respectively, which represented approximately 52.7% and 20.1%, respectively, of the combined voting power of the Company's outstanding Shares. Accordingly, Beaudier Group and Bain Capital have significant influence with respect to all matters submitted to the Company's shareholders for approval, including without limitation the election and removal of directors, amendments to the articles of incorporation and by-laws of the Company and the approval of certain business combinations. Holders of Subordinate Voting Shares have a limited role in the Company's affairs. This concentration of voting power may impact the market price of the Subordinate Voting Shares, delay or prevent any acquisition or delay or discourage take-over attempts that shareholders may consider to be favourable, or make it more difficult or impossible for a third party to acquire control of the Company or effect a change in the Company's Board of Directors and management. Any delay or prevention of a change of control transaction could deter potential acquirors or prevent the completion of a transaction in which the Company's shareholders could receive a substantial premium over the then current market price for their Subordinate Voting Shares.

In addition, Beaudier Group's and Bain Capital's interests may not in all cases be aligned with interests of the other shareholders of the Company. Beaudier Group and Bain Capital may have an interest in pursuing acquisitions, divestitures and other transactions that, in the judgment of their management, could enhance their equity investment, even though such transactions might involve risks to the shareholders of the Company and may ultimately affect the market price of the Subordinate Voting Shares.

*Future sales of Subordinate Voting Shares by Beaudier Group, Bain Capital or the Company's directors and officers* 

As at March 24, 2026, Beaudier Group owned 21,709,901 Multiple Voting Shares, which in the aggregate represented approximately 62.4% of the issued and outstanding Multiple Voting Shares of the

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **75** |

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Company, and Bain Capital owned 8,296,475 Multiple Voting Shares, which in the aggregate represented approximately 23.8% of the issued and outstanding Multiple Voting Shares of the Company. Each outstanding Multiple Voting Share may at any time, at the option of the holder, be converted into one Subordinate Voting Share. However, the future sale of a substantial number of Subordinate Voting Shares by Beaudier Group, Bain Capital, the Company's directors and officers, or the perception that such sales could occur, could materially adversely affect prevailing market prices for the Subordinate Voting Shares. See "Description of the Capital Structure".

Subject to compliance with applicable securities laws, Beaudier Group, Bain Capital and the Company's directors and officers may sell some or all of their Subordinate Voting Shares in the future. No prediction can be made as to the effect, if any, such future sales of Subordinate Voting Shares will have on the market price of the Subordinate Voting Shares prevailing from time to time. However, the future sale of a substantial number of Subordinate Voting Shares by Beaudier Group, Bain Capital or the Company's directors and officers or the perception that such sales could occur, could materially adversely affect prevailing market prices for the Subordinate Voting Shares.

Pursuant to the Registration Rights Agreement, each of Beaudier Group and Bain Capital is granted certain registration rights. See "Material Contracts — Securityholders Agreements — Registration Rights Agreement".

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **76** |

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**Disclosure of Outstanding Shares** 

As at March 24, 2026, the Company had:

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| | |
|:---|:---|
| *Issued and outstanding shares and stock options* | *Issued and outstanding shares and stock options* |
|  Multiple voting shares with no par value | **34,819,204** |
|  Subordinate voting shares with no par value | **38,303,785** |
|  Stock options to acquire subordinate voting shares | **3,206,084** |

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**Additional Information** 

Additional information relating to BRP Inc., including the Company's AIF, is available on SEDAR+ at <u>www.sedarplus.ca</u>.

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| | | |
|:---|:---|:---|
| **BRP Inc.** | **Management's Discussion and Analysis** | **77** |

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## Exhibit 99.4

**Exhibit 99.4** 

<u>TENTH AMENDMENT TO</u> 

<u>FOURTH AMENDED AND RESTATED TERM LOAN CREDIT AGREEMENT</u> 

TENTH AMENDMENT TO FOURTH AMENDED AND RESTATED TERM LOAN CREDIT AGREEMENT (this "<u>Tenth Amendment</u>"), dated as of October 1, 2025, among BRP INC., a corporation existing under the laws of Canada ("<u>Holdings</u>"), BOMBARDIER RECREATIONAL PRODUCTS INC., a corporation existing under the laws of Canada (the "<u>Borrower</u>"), each Guarantor party hereto, BANK OF MONTREAL ("<u>Bank of Montreal</u>"), as administrative agent (in such capacity, including any permitted successor and assigns, the "<u>Administrative Agent</u>"), Royal Bank of Canada, as a 2025-1 Incremental Lender and as a 2025-2 Incremental Lender (each as defined below) and each 2025 Converting Lender (as defined below) party hereto. All capitalized terms used herein (including in this preamble) and not otherwise defined herein shall have the respective meanings provided such terms in the Term Credit Agreement referred to below.

<u>PRELIMINARY STATEMENTS</u> 

WHEREAS, the Borrower has entered into that certain Fourth Amended and Restated Term Loan Credit Agreement, dated as of May 23, 2018, among Holdings, the Borrower, the other Guarantors from time to time party thereto, the Lenders party thereto from time to time and Bank of Montreal, as the Administrative Agent (as amended, restated, amended and restated, supplemented and/or otherwise modified from time to time to, but not including, the date hereof, the "<u>Term Credit Agreement</u>");

WHEREAS, pursuant to the Term Credit Agreement, certain Lenders (the "<u>Existing 2020</u> <u>Replacement Term Lenders</u>") have extended 2020 Replacement Term Loans (the "<u>Existing 2020</u> <u>Replacement Term Loans</u>") to the Borrower and as of the date hereof (but prior to giving effect to this Tenth Amendment), the aggregate outstanding principal balance of such Existing 2020 Replacement Term Loans is $465,748,228.00.

WHEREAS, pursuant to the Term Credit Agreement, certain Lenders (the "<u>Existing 2023</u> <u>Replacement Term Lenders</u>") have extended 2023 Replacement Term Loans (the "<u>Existing 2023</u> <u>Replacement Term Loans</u>") to the Borrower and as of the date hereof (but prior to giving effect to this Tenth Amendment), the aggregate outstanding principal balance of such Existing 2023 Replacement Term Loans is $486,325,000.00.

WHEREAS, pursuant to the Term Credit Agreement, certain Lenders (the "<u>Existing 2024</u> <u>Extended Term Lenders</u>") have extended 2024 Extended Term Loans (the "<u>Existing 2024 Extended Term</u> <u>Loans</u>") to the Borrower and as of the date hereof (but prior to giving effect to this Tenth Amendment), the aggregate outstanding principal balance of such Existing 2024 Extended Term Loans is $$982,500,000.00.

WHEREAS, pursuant to Section 2.14 of the Term Credit Agreement, the Borrower has delivered an Incremental Loan Request to the Administrative Agent requesting that the Lenders party hereto (including any 2025-1 Converting Lender, collectively the "<u>2025-1 Incremental Lenders</u>") make Incremental Loans to the Borrower on the Tenth Amendment Closing Date in an aggregate principal amount of $574,325,000 (including any 2023 Replacement Term Loans cashlessly exchanged pursuant to the terms hereof, the "<u>2025-1 Incremental Loans</u>" and the Incremental Commitments under this Tenth Amendment of the 2025-1 Incremental Lender with respect to the 2025-1 Incremental Loans, the "<u>2025-1 Incremental Commitments</u>"), which will be used by the Borrower to fund the 2025 Refinancing (as defined below);

WHEREAS, pursuant to Section 2.14 of the Term Credit Agreement, the Borrower has delivered an Incremental Loan Request to the Administrative Agent requesting that the Lenders party hereto (including any 2025-2 Converting Lender, collectively, the "<u>2025-2 Incremental Lenders</u>" and, together with

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the 2025-1 Incremental Lenders, the "<u>2025 Incremental Lenders</u>") make Incremental Loans to the Borrower on the Tenth Amendment Closing Date in an aggregate principal amount of $1,159,500,000 (including any 2024 Extended Term Loans cashlessly exchanged pursuant to the terms hereof, the "<u>2025-2 Incremental</u> <u>Loans</u>" and the Incremental Commitments under this Tenth Amendment of the 2025-2 Incremental Lender with respect to the 2025-2 Incremental Loans, the "<u>2025-2 Incremental Commitments</u>"), which will be used by the Borrower to fund the 2025 Refinancing (as defined below);

WHEREAS, (i) each Existing 2023 Replacement Term Lender that executes and delivers a counterpart signature page of this Tenth Amendment (such consenting Lenders, the "<u>2025-1 Converting</u> <u>Lenders</u>") will be deemed to have agreed to the terms of this Tenth Amendment and the Term Credit Agreement (as amended by this Tenth Amendment) and to exchange (as further described herein) all or a portion of its Existing 2023 Replacement Term Loans for 2025-1 Incremental Loans in an equal principal amount, which will be effectuated by cashless exchange and (ii) each Existing 2024 Extended Term Lender that executes and delivers a counterpart signature page of this Tenth Amendment (such consenting Lenders, the "<u>2025-2 Converting Lenders</u>" and, together with the 2025-1 Converting Lenders, the "<u>2025 Converting</u> <u>Lenders</u>") will be deemed to have agreed to the terms of this Tenth Amendment and the Term Credit Agreement (as amended by this Tenth Amendment) and to exchange (as further described herein) all or a portion of its Existing 2024 Extended Term Loans for 2025-2 Incremental Loans in an equal principal amount, which will be effectuated by cashless exchange;

WHEREAS, the Borrower has delivered a notice to the Administrative Agent (the "<u>Prepayment Notice</u>") to voluntarily prepay all outstanding Existing 2020 Replacement Term Loans, Existing 2023 Replacement Term Loans and Existing 2024 Extended Term Loans (together with accrued and unpaid interest and premium) with the proceeds of the 2025-1 Incremental Loans, the 2025-2 Incremental Loans and cash on hand (the "<u>2025 Refinancing</u>");

WHEREAS, as contemplated by Section 2.14 of the Term Credit Agreement, (x) the parties hereto have agreed, subject to the satisfaction of the conditions precedent to effectiveness set forth in Section 5 hereof, to amend certain terms of the Term Credit Agreement as hereinafter provided to give effect to the incurrence of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans and (y) this Tenth Amendment shall constitute an Incremental Amendment;

WHEREAS, each 2025-1 Incremental Lender is prepared to provide the 2025-1 Incremental Loans in an amount equal to its 2025-1 Incremental Commitment set forth on Schedule 1 hereto subject to the terms and conditions set forth herein;

WHEREAS, each 2025-2 Incremental Lender is prepared to provide the 2025-2 Incremental Loans in an amount equal to its 2025-2 Incremental Commitment set forth on Schedule 1 hereto subject to the terms and conditions set forth herein; and

WHEREAS, pursuant to that certain amended and restated engagement letter, dated as of September 29, 2025, among ROYAL BANK OF CANADA ("<u>RBC</u>"), BMO CAPITAL MARKETS CORP. ("<u>BCM</u>"), TD SECURITIES (USA) LLC ("<u>TD</u>"), CITIGROUP GLOBAL MARKETS INC. ("<u>Citi</u>"), NATIONAL BANK OF CANADA FINANCIAL INC. ("<u>NBC</u>"), CIBC WORLD MARKETS CORP. ("<u>CIBC</u>") and the Borrower (the "<u>Tenth Amendment Engagement Letter</u>"), RBC, BCM and TD shall act as joint lead arrangers and joint bookrunners, and Citi, NBC and CIBC shall act joint bookrunners (with RBC to have "left" placement in any and all marketing materials and have the leading roles and responsibilities conventionally associated with such "left" placement), in each case, with respect to this Tenth Amendment, the 2025-1 Incremental Loans and the 2025-2 Incremental Loans.

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NOW, THEREFORE, for good and valuable consideration, the receipt and adequacy of which is acknowledged by each party hereto, it is agreed that:

SECTION 1. <u>RULES OF CONSTRUCTION</u>. The rules of construction specified in Section 1.02 of the Term Credit Agreement shall apply to this Tenth Amendment, including the terms defined in the preamble and recitals hereto.

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| SECTION 2. | <u>INCREMENTAL</u><u> </u><u>LOANS</u><u> </u><u>AND</u><u> </u><u>AMENDMENTS</u><u> </u><u>TO</u> <u>CREDIT</u><u> </u><u>AGREEMENT</u>.  |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>2025-1 Incremental Loans</u>. Subject to the satisfaction of the conditions set forth in <u>Section</u> <u>5</u>, on and as of the Tenth Amendment Closing Date, immediately after the consummation of the transactions described in clause (a) above, pursuant to Section 2.14 of the Term Credit Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each 2025-1 Converting Lender agrees that, immediately prior to the amendments in clause (c) below taking effect, the aggregate principal amount of its Existing 2023 Replacement Term Loans indicated on such 2025-1 Converting Lender's signature page to this Tenth Amendment will be exchanged for an equal principal amount of 2025-1 Incremental Loans through a cashless exchange as permitted by Section 1.12 of the Term Credit Agreement (such converted amount, "<u>2025-1 Converted Amount</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To the extent that the 2025-1 Converted Amount of any Existing 2023 Replacement Term Lender that is a 2025-1 Converting Lender is less than the full outstanding principal amount of such Existing 2023 Replacement Term Lender's Existing 2023 Replacement Term Loans immediately prior to giving effect to this Tenth Amendment, such Existing 2023 Replacement Term Lender shall be repaid in cash in an amount equal to the difference between the outstanding principal amount of the Existing 2023 Replacement Term Loans of such Existing 2023 Replacement Term Lender and such Existing 2023 Replacement Term Lender's 2025-1 Converted Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The outstanding principal amount of any Existing 2023 Replacement Term Loan of each Lender which (i) is an Existing 2023 Replacement Term Lender under the Term Credit Agreement prior to giving effect to this Tenth Amendment and (ii) is not party hereto as a "2025-1 Converting Lender" shall be repaid in full in cash;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Each Person that has executed this Tenth Amendment as a 2025 Converting Lender or a 2025-1 Incremental Lender, in each case, severally agrees to provide to the Borrower its 2025-1 Incremental Commitment set forth opposite its name under the heading "<u>2025-1 Incremental Commitment</u>" on Schedule 1 to this Tenth Amendment and, on the Tenth Amendment Closing Date, hereby agrees to "fund" its 2025-1 Incremental Loans as follows: (x) each 2025-1 Converting Lender shall "fund" its 2025-1 Incremental Loan to the Borrower by converting all or a portion of its then outstanding principal amount of Existing 2023 Replacement Term Loan into a 2025-1 Incremental Loan in a principal amount equal to such 2025-1 Converting Lender's 2025-1 Converted Amount (which, for the avoidance of doubt, shall be accomplished by a cashless settlement mechanism) and (y) Royal Bank of Canada shall fund in cash to the Borrower an amount equal to its 2025-1 Incremental Commitment set forth on <u>Schedule I</u> hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The full amount of the 2025-1 Incremental Loans shall be drawn by the Borrower in a single drawing on the Tenth Amendment Closing Date and amounts

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paid or prepaid in respect of the 2025-1 Incremental Loans may not be reborrowed. The 2025-1 Incremental Loans (x) shall constitute a new and separate Class of Loans from each other then outstanding Class of Loans (including the 2025-2 Incremental Term Loans), (y) shall be secured by identical collateral and guarantied on identical terms as the other Classes of Loans outstanding on the Tenth Amendment Closing Date and (z) shall be subject to the interest rates (including Applicable Rates), amortization, voluntary prepayment terms, mandatory prepayment terms and maturity date set forth in the Term Credit Agreement (as amended by this Tenth Amendment).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The 2025-1 Incremental Loans (whether funded or cashlessly exchanged) shall be incurred or be deemed to be incurred, as applicable, pursuant to a single Borrowing of Term Loans on the Tenth Amendment Closing Date and, from and after the Tenth Amendment Closing Date, shall constitute a single Class of Loans accruing interest at the same rate per annum and, if applicable, having the same Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The 2025-1 Incremental Lenders, the Administrative Agent and the Loan Parties party hereto agree that this Tenth Amendment shall constitute an Incremental Amendment pursuant to and in accordance with Section 2.14(f) of the Term Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) The 2025-1 Incremental Commitment of the 2025-1 Incremental Lenders shall automatically terminate upon the funding (or cashless exchange, as applicable) of the 2025-1 Incremental Loans on the Tenth Amendment Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) The proceeds of the 2025-1 Incremental Loans shall be used by the Borrower to fund the 2025 Refinancing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) The Borrower hereby designates that the full principal amount of 2025-1 Incremental Loans is being incurred in reliance on clause (d)(iii)(A) of Section 2.14 of the Term Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Notwithstanding anything to the contrary herein, each 2025-1 Converting Lender hereby waives any entitlement or claims to any loss, expense or liability due under the Term Credit Agreement with respect to the repayment and/or conversion of the Term Loans it holds as an existing Lender, which shall have been replaced and/or repaid after giving effect to the 2025 Refinancing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>2025-2 Incremental Loans</u>. Subject to the satisfaction of the conditions set forth in <u>Section</u> <u>5</u>, on and as of the Tenth Amendment Closing Date, immediately after the consummation of the transactions described in clause (a) above, pursuant to Section 2.14 of the Term Credit Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each 2025-2 Converting Lender agrees that, immediately prior to the amendments in clause (c) below taking effect, the aggregate principal amount of its Existing 2024 Extended Term Loans indicated on such 2025-2 Converting Lender's signature page to this Tenth Amendment will be exchanged for an equal principal amount of 2025-2 Incremental Loans through a cashless exchange as permitted by Section 1.12 of the Term Credit Agreement (such converted amount, "<u>2025-2</u> <u>Converted Amount</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) To the extent that the 2025-2 Converting Amount of any Existing 2024 Extended Term Lender that is a 2025-2 Converting Lender is less than the full

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outstanding principal amount of such Existing 2024 Extended Term Lender's Existing 2024 Extended Term Loans immediately prior to giving effect to this Tenth Amendment, such Existing 2024 Extended Term Lender shall be repaid in cash in an amount equal to the difference between the outstanding principal amount of the Existing 2024 Extended Term Loans of such Existing 2024 Extended Term Lender and such Existing 2024 Extended Term Lender's 2025-2 Converted Amount;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The outstanding principal amount of any Existing 2024 Extended Term Loan of each Lender which (i) is an Existing 2024 Extended Term Lender under the Term Credit Agreement prior to giving effect to this Tenth Amendment and (ii) is not party hereto as a "2025-2 Converting Lender" shall be repaid in full in cash;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Each Person that has executed this Tenth Amendment as a 2025 Converting Lender or a 2025-2 Incremental Lender, in each case, severally agrees to provide to the Borrower its 2025-2 Incremental Commitment set forth opposite its name under the heading "<u>2025-2 Incremental Commitment</u>" on Schedule 1 to this Tenth Amendment and, on the Tenth Amendment Closing Date, hereby agrees to "fund" its 2025-2 Incremental Loans as follows: (x) each 2025-2 Converting Lender shall "fund" its 2025-2 Incremental Loan to the Borrower by converting all or a portion of its then outstanding principal amount of Existing 2024 Extended Term Loan into a 2025-2 Incremental Loan in a principal amount equal to such 2025-2 Converting Lender's 2025-2 Converted Amount (which, for the avoidance of doubt, shall be accomplished by a cashless settlement mechanism) and (y) Royal Bank of Canada shall fund in cash to the Borrower an amount equal to such its 2025-2 Incremental Commitment set forth on <u>Schedule I</u> hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The full amount of the 2025-2 Incremental Loans shall be drawn by the Borrower in a single drawing on the Tenth Amendment Closing Date and amounts paid or prepaid in respect of the 2025-2 Incremental Loans may not be reborrowed. The 2025-2 Incremental Loans (x) shall constitute a new and separate Class of Loans from each other then outstanding Class of Loans (including the 2025-1 Incremental Term Loans), (y) shall be secured by identical collateral and guarantied on identical terms as the other Classes of Loans outstanding on the Tenth Amendment Closing Date and (z) shall be subject to the interest rates (including Applicable Rates), amortization, voluntary prepayment terms, mandatory prepayment terms and maturity date set forth in the Term Credit Agreement (as amended by this Tenth Amendment).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) The 2025-2 Incremental Loans (whether funded or cashlessly exchanged) shall be incurred or be deemed to be incurred, as applicable, pursuant to a single Borrowing of Term Loans on the Tenth Amendment Closing Date and, from and after the Tenth Amendment Closing Date, shall constitute a single Class of Loans accruing interest at the same rate per annum and, if applicable, having the same Interest Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) The 2025-2 Incremental Lender, the Administrative Agent and the Loan Parties party hereto agree that this Tenth Amendment shall constitute an Incremental Amendment pursuant to and in accordance with Section 2.14(f) of the Term Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) The 2025-2 Incremental Commitment of the 2025-2 Incremental Lender shall automatically terminate upon the funding (or cashless exchange, as applicable) of the 2025-2 Incremental Loans on the Tenth Amendment Closing Date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) The proceeds of the 2025-2 Incremental Loans shall be used by the Borrower to fund the 2025 Refinancing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) The Borrower hereby designates that the full principal amount of 2025-2 Incremental Loans is being incurred in reliance on clause (d)(iii)(A) of Section 2.14 of the Term Credit Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) Notwithstanding anything to the contrary herein, each 2025-2 Converting Lender hereby waives any entitlement or claims to any loss, expense or liability due under the Term Credit Agreement with respect to the repayment and/or conversion of the Term Loans it holds as an existing Lender, which shall have been replaced and/or repaid after giving effect to the 2025 Refinancing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the satisfaction of the conditions set forth in <u>Section</u> <u>5</u>, upon the making of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans, the Term Credit Agreement is hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the underlined text (indicated textually in the same manner as the following example: <u>underlined text</u>) as set forth in the pages of the Term Credit Agreement attached as <u>Exhibit A</u> hereto.

SECTION 3. <u>REFERENCE TO AND EFFECT ON THE TERM CREDIT AGREEMENT</u>. On and after the Tenth Amendment Closing Date, (i) each reference in the Term Credit Agreement to "this Agreement," "hereunder," "hereof" or text of like import referring to the Term Credit Agreement shall mean and be a reference to the Term Credit Agreement as amended by this Tenth Amendment, (ii) the 2025-1 Incremental Loans and the 2025-2 Incremental Loans shall constitute "Loans" and "Term Loans", in each case, under and as defined in the Term Credit Agreement, (iii) the 2025 Incremental Lenders shall each constitute a "Lender" and a "Term Lender", (other than for purposes of Section 2.01(a)(i) of the Term Credit Agreement), (iv) the 2025-1 Incremental Commitments and the 2025-2 Incremental Commitments shall constitute, "Commitments" and "Incremental Commitments", in each case, under and as defined in the Term Credit Agreement, (v) the Tenth Amendment Closing Date shall constitute the "Incremental Facility Closing Date" under and as defined in the Term Credit Agreement with respect to the 2025-1 Incremental Loans and the 2025-2 Incremental Loans and (vi) this Tenth Amendment shall constitute an "Incremental Amendment" under and as defined in the Term Credit Agreement, in each case, under and as defined in the Term Credit Agreement. On and after the effectiveness of this Tenth Amendment, this Tenth Amendment shall for all purposes constitute a "Loan Document" under and as defined in the Term Credit Agreement and the other Loan Documents.

SECTION 4. <u>REPRESENTATIONS & WARRANTIES</u>. In order to induce the 2025 Incremental Lenders and the Administrative Agent to enter into this Tenth Amendment, to induce the 2025-1 Incremental Lenders to make the 2025-1 Incremental Loans hereunder and to induce the 2025-2 Incremental Lenders to make the 2025-2 Incremental Loans hereunder, each Loan Party hereby represents and warrants to the 2025 Incremental Lenders and the Administrative Agent on and as of the Tenth Amendment Closing Date, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The execution, delivery and performance by such Loan Party of this Tenth Amendment will not (i) contravene the terms of any of such Person's Organization Documents, (ii) conflict with or result in any breach or contravention of, or the creation of any Lien under (other than as permitted by Section 7.01 of the Term Credit Agreement), or require any payment to be made under (x) any Contractual Obligation to which such Person is a party or affecting such Person or the properties of such Person or any of its Subsidiaries or (y) any material order, injunction, writ or decree of any Governmental Authority or any arbitral award to which such Person or its property is subject or (iii) violate any Law; except with respect to

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any conflict, breach or contravention or payment (but not creation of Liens) referred to in clauses (ii) and (iii), to the extent that such violation, conflict, breach, contravention or payment could not reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Loan Party party hereto has the requisite power and authority to execute, deliver and perform the terms and provisions of this Tenth Amendment and has taken all necessary corporate or other organizational action to authorize the execution, delivery and performance by it of this Tenth Amendment. Each Loan Party has duly executed and delivered this Tenth Amendment, and this Tenth Amendment, the Term Credit Agreement as amended hereby and each other Loan Document to which such Loan Party is a party constitutes its legal, valid and binding obligation enforceable in accordance with its terms, except as such enforceability may be limited by (i) Debtor Relief Laws and by general principles of equity principles of good faith and fair dealing, and (ii) the need for filings and registrations necessary to create or perfect the Liens on the Collateral granted by the Loan Parties in favor of the Secured Parties and (iii) the effect of foreign Laws, rules and regulations as they relate to pledges of Equity Interests in Foreign Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each of the representations and warranties set forth in the Term Credit Agreement and in the other Loan Documents is true and correct in all material respects on and as of the Tenth Amendment Closing Date with the same effect as though made on and as of such date, except to the extent such representations and warranties expressly relate to an earlier date, in which case they shall be true and correct in all material respects as of such earlier date; *provided*, *however*, that, any representation and warranty that is qualified as to "materiality," "Material Adverse Effect" or similar language shall be true and correct (after giving effect to any qualification therein) in all respects on such respective dates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) All proceeds of the 2025-1 Incremental Loans will be used for the purposes set forth in Section 2(a)(iv) hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) All proceeds of the 2025-2 Incremental Loans will be used for the purposes set forth in Section 2(b)(iv) hereof.

SECTION 5. <u>CONDITIONS PRECEDENT</u>. This Tenth Amendment shall become effective as of the first date (the "<u>Tenth</u><u> </u><u>Amendment</u><u> </u><u>Closing</u><u> </u><u>Date</u>") when each of the conditions set forth in this <u>Section</u> <u>5</u> shall have been satisfied:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Administrative Agent shall have received a duly authorized, executed and delivered counterpart of the signature page to this Tenth Amendment from each Loan Party named on the signature pages hereto, the Administrative Agent and the 2025 Incremental Lenders (which, for the avoidance of doubt, constitute the Required Lenders under the Credit Agreement as of the Tenth Amendment Closing Date and after giving effect to the 2025 Refinancing).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) All fees and expenses (including all invoiced reasonable out-of-pocket costs, fees and expenses (including invoiced reasonable and out-of-pocket legal fees and expenses reimbursable hereunder)) shall have been paid to the extent earned, due and owing and otherwise payable or reimbursable pursuant to the terms of the Loan Documents and, in the case of expenses, otherwise invoiced prior to the Tenth Amendment Closing Date, (ii) fees and expenses incurred by or on behalf of the 2025 Incremental Lenders in connection with the funding of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans in the amounts agreed between the 2025 Incremental Lenders and the Borrower, in each case, shall be due and payable on the Tenth Amendment Closing Date to the extent, in the case of expenses, invoiced at least three (3) business days prior to the Tenth Amendment Closing Date (provided that legal expenses payable pursuant to this clause (ii) shall be limited to the reasonable and documented fees and expenses of White & Case LLP and Davies Ward Phillips & Vineberg LLP, in each case, as counsel to the 2025 Incremental

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Lenders) and (iii) all accrued and unpaid interest on the Existing 2020 Replacement Term Loans, the Existing 2023 Replacement Term Loans and the Existing 2024 Extended Term Loans through, but not including, the Tenth Amendment Closing Date shall have been paid to the Administrative Agent for the ratable account of each Existing 2020 Replacement Term Lender, Existing 2023 Replacement Term Lender, and Existing 2024 Extended Term Lender, respectively.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Both immediately before and after giving effect to this Tenth Amendment, (i) no Default or Event of Default shall have occurred or be continuing and (ii) all representations and warranties contained in this Tenth Amendment, the Term Credit Agreement and in the other Loan Documents shall be true and correct in all material respects with the same effect as though such representations and warranties had been made on the date hereof (except to the extent such representations and warranties expressly relate to an earlier date, in which case they shall be true and correct in all material respects as of such earlier date; provided, however, that, any representation and warranty that is qualified as to "materiality," "Material Adverse Effect" or similar language shall be true and correct (after giving effect to any qualification therein) in all respects on such respective dates).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) After giving effect to the making of all Incremental Loans on such date and the 2025 Refinancing, the Borrower's Secured Net Leverage Ratio shall not exceed 3.75:1.00 on the Tenth Amendment Closing Date determined on a Pro Forma Basis as of the last day of the Test Period most recently ended prior to the date of the incurrence of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans for which internal financial statements are available (as determined in good faith by the Borrower), as if all such 2025-1 Incremental Loans and the 2025-2 Incremental Loans had been incurred on the last day of such Test Period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Administrative Agent shall have received a Committed Loan Notice meeting the requirements of Section 2.02(a) of the Term Credit Agreement for the 2025-1 Incremental Loans and the 2025-2 Incremental Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The Administrative Agent shall have received a Prepayment Notice meeting the requirements of Section 2.05(a) of the Term Credit Agreement for the prepayment of all outstanding Existing 2020 Replacement Term Loans, Existing 2023 Replacement Term Loans and Existing 2024 Extended Term Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Administrative Agent shall have received an officer's certificate of the Borrower, dated the Tenth Amendment Closing Date, executed by a Responsible Officer of the Borrower certifying to the best of such officer's knowledge, compliance with the requirements set forth in preceding clauses (c) and (d) of this <u>Section</u> <u>5</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) On the Tenth Amendment Closing Date, the Administrative Agent shall have received a customary opinion of Ropes & Gray LLP, U.S. counsel to the Loan Parties and Stikeman Elliott, Canadian counsel to the Loan Parties, in each case, (i) in form and substance consistent with the legal opinion delivered on the Closing Date with such changes as shall be reasonably satisfactory to the Administrative Agent, (ii) addressed to the Administrative Agent, the 2025-1 Incremental Lenders and the 2025-2 Incremental Lenders and (iii) dated the Tenth Amendment Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Administrative Agent shall have received a customary certificate from each Loan Party, dated the Tenth Amendment Closing Date, signed by a Responsible Officer of such Loan Party, and attested to by the secretary or any assistant secretary of such Loan Party, with appropriate insertions, together with (i) certified copies of the certificate or articles of incorporation and by-laws (or other equivalent organizational documents), as applicable, of such Loan Party, (ii) customary resolutions of such Loan Party referred to in such certificate, (iii) incumbency or specimen signatures which identify by name and title the

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Responsible Officer or authorized signatory of such Loan Party authorized to sign this Tenth Amendment, and (iv) a good standing certificate from the applicable Governmental Authority of such Loan Party's jurisdiction of incorporation, organization or formation, each dated a recent date prior to the Tenth Amendment Closing Date and certifying as to the good standing of such Loan Party (but only if the concept of good standing exists in the applicable jurisdiction); provided that in the case of preceding clause (i), such documents shall not be required to be delivered if such certificate includes a certification by such officer that the applicable organizational documents delivered to the Administrative Agent in connection with the initial funding of Term B Loans on the Closing Date (or any date thereafter) remain in full force and effect and have not been amended, modified, revoked or rescinded since the Closing Date (or such date thereafter).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The Administrative Agent shall have received a solvency certificate from the chief financial officer (or other officer with reasonably equivalent duties) of the Borrower substantially in the form of <u>Exhibit</u><u> </u><u>D-2</u> to the Term Credit Agreement and dated the Tenth Amendment Closing Date certifying that the Borrower and its Restricted Subsidiaries are Solvent (after giving effect to the incurrence of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans and the application of the proceeds thereof).

SECTION 6. <u>REAFFIRMATION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To induce the 2025 Incremental Lenders and Administrative Agent to enter into this Tenth Amendment, each of the Loan Parties hereby acknowledges and reaffirms its obligations under each Loan Document to which it is a party, including, without limitation, any grant, pledge or collateral assignment of a lien or security interest, as applicable, contained therein, in each case, as amended, restated, supplemented or otherwise modified prior to or as of the date hereof (collectively, the "<u>Reaffirmed</u> <u>Documents</u>"). The Borrower acknowledges and agrees that each of the Loan Documents to which it is a party or otherwise bound shall continue in full force and effect, that all of its obligations thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this Tenth Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In furtherance of the foregoing <u>Section</u> <u>6(a)</u>, each Loan Party, in its capacity as a Guarantor under any Guaranty to which it is a party (in such capacity, each a "<u>Reaffirming</u><u> </u><u>Loan</u><u> </u><u>Guarantor</u>"), reaffirms its guarantee of the Guaranteed Obligations under the terms and conditions of such Guaranty and agrees that such Guaranty remains in full force and effect to the extent set forth in such Guaranty and after giving effect to this Tenth Amendment. Each Reaffirming Loan Guarantor hereby confirms that it consents to the terms of this Tenth Amendment and the Term Credit Agreement and that the principal of, the interest and premium (if any) on, and fees related to, the 2025-1 Incremental Loans and the 2025-2 Incremental Loans constitute "Obligations" under the Loan Documents. Each Reaffirming Loan Guarantor hereby (i) confirms that each Loan Document to which it is a party or is otherwise bound will continue to guarantee to the fullest extent possible in accordance with the Loan Documents, the payment and performance of the Guaranteed Obligations, including, without limitation, the payment and performance of all such applicable Guaranteed Obligations that are joint and several obligations of each Guarantor now or hereafter existing; (ii) acknowledges and agrees that its Guaranty and each of the Loan Documents to which it is a party or otherwise bound shall continue in full force and effect and that all of its obligations thereunder shall be valid and enforceable and shall not be impaired or limited by the execution or effectiveness of this Tenth Amendment; and (iii) acknowledges, agrees and warrants for the benefit of the Administrative Agent, each other Agent and each Secured Party that there are no rights of set-off or counterclaim, nor any defenses of any kind, whether legal, equitable or otherwise, that would enable such Reaffirming Loan Guarantor to avoid or delay timely performance of its obligations under the Loan Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In furtherance of the foregoing <u>Section</u> <u>6(a)</u>, each of the Loan Parties that is party to any Collateral Document, in its capacity as a Grantor (as defined in such Collateral Document) under such Collateral Document (in such capacity, each a "<u>Reaffirming</u><u> </u><u>Grantor</u>"), hereby acknowledges that it has

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reviewed and consents to the terms and conditions of this Tenth Amendment and the transactions contemplated hereby, including the extension of credit in the form of the 2025-1 Incremental Loans and the 2025-2 Incremental Loans. In addition, each Reaffirming Grantor reaffirms the security interests granted by such Reaffirming Grantor under the terms and conditions of the Security Agreement and each other Loan Document (in each case, to the extent a party thereto) to secure the Obligations and agrees that such security interests remain in full force and effect. Each Loan Party hereby confirms that the security interests granted by such Reaffirming Grantor under the terms and conditions of the Loan Documents secure the 2025-1 Incremental Loans and the 2025-2 Incremental Loans as part of the Obligations. Each Reaffirming Grantor hereby (i) confirms that each Collateral Document to which it is a party or is otherwise bound and all Collateral encumbered thereby will continue to secure, to the fullest extent possible in accordance with the Collateral Documents, the payment and performance of the Obligations, as the case may be, including, without limitation, the payment and performance of all such applicable Obligations that are joint and several obligations of each Guarantor and Grantor now or hereafter existing, (ii) confirms its respective grant to the Administrative Agent for the benefit of the Secured Parties of the security interest in and continuing Lien on all of such Grantor's right, title and interest in, to and under all Collateral, in each case, whether now owned or existing or hereafter acquired or arising and wherever located, as collateral security for the prompt and complete payment and performance in full when due, whether at stated maturity, by required prepayment, declaration, acceleration, demand or otherwise, of all applicable Obligations (including all such Obligations as amended, reaffirmed and/or increased pursuant to this Tenth Amendment), subject to the terms contained in the applicable Loan Documents, and (iii) confirms its respective pledges, grants of security interests and other obligations, as applicable, under and subject to the terms of each of the Collateral Documents to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Guarantor acknowledges and agrees that (i) notwithstanding the conditions to effectiveness set forth in this Tenth Amendment, such Guarantor is not required by the terms of the Term Credit Agreement or any other Loan Document to consent to this Tenth Amendment and (ii) nothing in the Term Credit Agreement, this Tenth Amendment or any other Loan Document shall be deemed to require the consent of such Guarantor to any future amendment, consent or waiver of the terms of the Term Credit Agreement.

SECTION 7. <u>CONSENT</u>. The Borrower and the Administrative agent hereby consent to the assignment of any 2025-1 Incremental Loans and any 2025-2 Incremental Loans to any Lender (other than a Disqualified Institution) which is not an existing Lender or an Approved Fund in respect of an existing Lender, in each case, to the extent disclosed to the Borrower and the Administrative Agent prior to the date hereof. The Borrower hereby consents to the Administrative Agent's use of the signature page attached hereto as <u>Exhibit B</u> in connection with the assignments to institutions previously disclosed to the Borrower in accordance with the immediately preceding sentence and the Administrative Agent may affix such signature page to each Assignment and Assumption that relates to such assignments.

SECTION 8. <u>POST-CLOSING COVENANT</u>.

Within one hundred twenty (120) days of the Tenth Amendment Closing Date, unless waived or extended by the Administrative Agent in its sole discretion, the Administrative Agent shall have received either the items listed in the following clause (a) or the items listed in the following clause (b) with respect to any existing Mortgaged Property located in the United States:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) written confirmation from local counsel to the applicable Loan Party and the title insurance company confirming that no mortgage amendment, title datedown endorsement or other action is required to such Mortgage in connection with this Tenth Amendment in order to ensure and insure the continued validity, perfection and priority of the Liens and security interests granted to the Administrative

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Agent under such Mortgage and insured by the title insurance company for the benefit of the Administrative Agent to secure the payment of the Secured Obligations (as defined in such Mortgage), as amended by this Tenth Amendment (it being understood that such confirmation shall be in form and substance reasonably acceptable to the Administrative Agent); together with a title search to the applicable Mortgaged Property demonstrating that such Mortgaged Property is free and clear of all Liens, except Permitted Liens; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) an amendment to each Mortgage encumbering Mortgaged Property (each a "**Mortgage Amendment**") duly executed and acknowledged by the applicable Loan Party, and in form for recording in the recording office where each Mortgage was recorded, together with such certificates, affidavits, questionnaires or returns as shall be required in connection with the recording or filing thereof under applicable law, in each case in form and substance reasonably satisfactory to the Administrative Agent and otherwise approved by the applicable local counsel for filing in the appropriate jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) with respect to each Mortgage Amendment, a datedown endorsement to the existing mortgage title insurance
policies (each, a "**Mortgage Policy**," collectively, the "**Mortgage Policies**") relating to the Mortgage encumbering the Mortgaged Property subject to such Mortgage insuring the Administrative Agent that such
Mortgage, as amended by such Mortgage Amendment is a valid and enforceable lien on such Mortgaged Property in favor of the Administrative Agent for the benefit of the Secured Parties free and clear of all defects, encumbrances and liens except for
Permitted Liens, and such Mortgage Policy shall otherwise be in form and substance reasonably satisfactory to the Administrative Agent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) with respect to each Mortgaged Property, such affidavits, certificates, information (including financial
data) and instruments of indemnification (including without limitation, a so-called "gap" indemnification) as shall be required to induce the title company to issue the Mortgage Policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) evidence acceptable to the Administrative Agent of payment by the Borrower of all applicable title insurance
premiums, search and examination and related charges, mortgage recording taxes, fees, charges, costs and expenses required for the recording of the Mortgage Amendments and the issuance of the Mortgage Policies.

SECTION 9. <u>MISCELLANEOUS PROVISIONS</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Ratification</u>. This Tenth Amendment is limited to the matters specified herein and shall not constitute a modification, acceptance or waiver of any other provision of the Term Credit Agreement or any other Loan Document. Nothing herein contained shall be construed as a substitution or novation of the obligations outstanding under the Term Credit Agreement or any other Loan Document or instruments securing the same, which shall remain in full force and effect as modified hereby or by instruments executed concurrently herewith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Governing Law; Submission to Jurisdiction, Etc</u>. This Tenth Amendment shall be governed by, and construed in accordance with, the law of the State of New York. Sections 10.15(b) and 10.16 of the Term Credit Agreement are incorporated by reference herein as if such Sections appeared herein, *mutatis mutandis*.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Severability</u>. Section 10.14 of the Term Credit Agreement is incorporated by reference herein as if such Section appeared herein, *mutatis mutandis*.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Counterparts; Headings</u>. This Tenth Amendment may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Delivery by telecopier, .pdf or other electronic imaging means of an executed counterpart of a signature page to this Tenth Amendment shall be effective as delivery of an original executed counterpart of this Tenth Amendment. The Administrative Agent may also require that signatures delivered by telecopier, .pdf or other electronic imaging means be confirmed by a manually signed original thereof; provided that the failure to request or deliver the same shall not limit the effectiveness of this Tenth Amendment or signature delivered by telecopier, .pdf or other electronic imaging means. Section headings herein are included for convenience of reference only and shall not affect the interpretation of this Tenth Amendment.

[*Remainder of page intentionally blank; signatures begin next page*]

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IN WITNESS WHEREOF, the parties hereto have caused their duly Responsible Officers to execute and deliver this Tenth Amendment as of the date first above written.

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| | |
|:---|:---|
| **BOMBARDIER RECREATIONAL PRODUCTS INC.** | **BOMBARDIER RECREATIONAL PRODUCTS INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP INC.** | **BRP INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BRP R&D SERVICES INC.** | **BRP R&D SERVICES INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP US INC.** | **BRP US INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP US MANAGEMENT SERVICES, INC.** | **BRP US MANAGEMENT SERVICES, INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP QUERETARO S.A. DE C.V.** | **BRP QUERETARO S.A. DE C.V.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BRP MEXICO S.A. DE C.V.** | **BRP MEXICO S.A. DE C.V.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP MEXICAN DISTRIBUTION S.A. DE C.V.** | **BRP MEXICAN DISTRIBUTION S.A. DE C.V.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP MARINE US INC.** | **BRP MARINE US INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP LOGISTICS N.A. INC. / BRP LOGISTIQUE N.A. INC.** | **BRP LOGISTICS N.A. INC. / BRP LOGISTIQUE N.A. INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BRP LOGISTICS MANAGEMENT ULC** | **BRP LOGISTICS MANAGEMENT ULC** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BRP GLOBAL DISTRIBUTION INC.** | **BRP GLOBAL DISTRIBUTION INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP MEGATECH INDUSTRIES INC.** | **BRP MEGATECH INDUSTRIES INC.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |
| **BRP US SERVICES LLC** | **BRP US SERVICES LLC** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BRP CHIHUAHUA S.A. DE C.V.** | **BRP CHIHUAHUA S.A. DE C.V.** |
| By: | /s/ Martin Langelier |
|  | Name: Martin Langelier |
|  | Title: Authorized Person |
| By: | /s/ Sebastien Martel |
|  | Name: Sebastien Martel |
|  | Title: Authorized Person |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **BANK OF MONTREAL**,<br> as Administrative Agent | **BANK OF MONTREAL**,<br> as Administrative Agent |
| By: | /s/ Aaron Weigel |
|  | Name: Aaron Weigel |
|  | Title: Managing Director |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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| | |
|:---|:---|
| **ROYAL BANK OF CANADA**,<br> as a 2025-1 Incremental Lender and a 2025-2 Incremental Lender | **ROYAL BANK OF CANADA**,<br> as a 2025-1 Incremental Lender and a 2025-2 Incremental Lender |
| By: | /s/ John Cokinos |
|  | Name: John Cokinos |
|  | Title: Managing Director |

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[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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\*\* SIGNATURE PAGES FOR 2025 CONVERTING LENDERS ARE ON FILE WITH THE ADMINISTRATIVE AGENT.

[BRP – Signature Page to Tenth Amendment to Fourth Amended and Restated Term Loan Credit Agreement (2025)]

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**<u>SCHEDULE 1</u>**

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**2025-1 Incremental Lender** | **2025-1 Incremental Commitment** |
| &nbsp;&nbsp; Royal Bank of Canada | $150821902.05 |
| &nbsp;&nbsp; 2025-1 Converting Lenders | $423503097.95 |
| &nbsp;&nbsp; **Total:** | **$574325000.00** |

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;**2025-2 Incremental Lender** | **2025-2 Incremental Commitment** |
| &nbsp;&nbsp; Royal Bank of Canada | $222951956.27 |
| &nbsp;&nbsp; 2025-2 Converting Lenders | $936548043.73 |
| &nbsp;&nbsp; **Total:** | **$1159500000.00** |

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**<u>EXHIBIT A</u>**

**<u>Amended Credit Agreement</u>**

[Attached.]

------

**<u>EXHIBIT B</u>**

**<u>Borrower Signature Page to Assignment and Assumption</u>**

[Attached.]

## Exhibit 23.1

**Exhibit 23.1** 

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM** 

We consent to the incorporation by reference in Registration Statement No. 333-286146 on Form F-10 and Registration Statement No. 333-287631 of Form S-8 and to the use of our reports dated March 25, 2026, relating to the financial statements of BRP Inc. (the "Company") and the effectiveness of the Company's internal control over financial reporting appearing in this Annual Report on Form 40-F for the year ended January 31, 2026.

/s/ Deloitte LLP

Chartered Professional Accountants

Montreal, Canada

March 25, 2026

## Exhibit 31.1

**Exhibit 31.1** 

**<u>CERTIFICATIONS</u>**

I, Denis Le Vot, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this annual report on Form 40-F of BRP Inc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a
material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report,
fairly present in all material respects the financial condition, results of operations and cash flows of the issuer as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The issuer's other certifying officer(s) and I are responsible for establishing and maintaining
disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act
Rules 13a-15(f) and 15d-15(f)) for the issuer and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be
designed under our supervision, to ensure that material information relating to the issuer, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being
prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Designed such internal control over financial reporting, or caused such internal control over financial
reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting
principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Evaluated the effectiveness of the issuer's disclosure controls and procedures and presented in this
report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Disclosed in this report any change in the issuer's internal control over financial reporting that
occurred during the period covered by the annual report that has materially affected, or is reasonably likely to materially affect, the issuer's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The issuer's other certifying officer(s) and I have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the issuer's auditors and the audit committee of the issuer's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. All significant deficiencies and material weaknesses in the design or operation of internal control over
financial reporting which are reasonably likely to adversely affect the issuer's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Any fraud, whether or not material, that involves management or other employees who have a significant role in
the issuer's internal control over financial reporting.

---

| |
|:---|
| Date: March 26, 2026 |
| */s/ Denis Le Vot* |
| Name: Denis Le Vot |
| Title: President and Chief Executive Officer |

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## Exhibit 31.2

**Exhibit 31.2** 

**<u>CERTIFICATIONS</u>**

I, Sébastien Martel, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this annual report on Form 40-F of BRP Inc.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a
material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report,
fairly present in all material respects the financial condition, results of operations and cash flows of the issuer as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The issuer's other certifying officer(s) and I are responsible for establishing and maintaining
disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act
Rules 13a-15(f) and 15d-15(f)) for the issuer and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be
designed under our supervision, to ensure that material information relating to the issuer, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being
prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Designed such internal control over financial reporting, or caused such internal control over financial
reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting
principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Evaluated the effectiveness of the issuer's disclosure controls and procedures and presented in this
report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Disclosed in this report any change in the issuer's internal control over financial reporting that
occurred during the period covered by the annual report that has materially affected, or is reasonably likely to materially affect, the issuer's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The issuer's other certifying officer(s) and I have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the issuer's auditors and the audit committee of the issuer's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. All significant deficiencies and material weaknesses in the design or operation of internal control over
financial reporting which are reasonably likely to adversely affect the issuer's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Any fraud, whether or not material, that involves management or other employees who have a significant role in
the issuer's internal control over financial reporting.

---

| |
|:---|
| Date: March 26, 2026 |
| */s/ Sébastien Martel* |
| Name: Sébastien Martel |
| Title: Chief Financial Officer |

---

## Exhibit 32.1

**Exhibit 32.1** 

**CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED** 

**PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002** 

In connection with this Annual Report of BRP Inc. (the "Company") on Form 40-F for the fiscal year ended January 31, 2026, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Denis Le Vot, President and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act
of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Report fairly presents, in all material respects, the financial condition and
results of operations of the Company.

---

| |
|:---|
| Date: March 26, 2026 |
| */s/ Denis Le Vot* |
| Name: Denis Le Vot |
| Title: President and Chief Executive Officer |

---

## Exhibit 32.2

**Exhibit 32.2** 

**CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED** 

**PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002** 

In connection with this Annual Report of BRP Inc. (the "Company") on Form 40-F for the fiscal year ended January 31, 2026, as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Sébastien Martel, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act
of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Report fairly presents, in all material respects, the financial condition and
results of operations of the Company.

---

| |
|:---|
| Date: March 26, 2026 |
| */s/ Sébastien Martel* |
| Name: Sébastien Martel |
| Title: Chief Financial Officer |

---