Aftermarket Moto Design 291 October AMD 291 October 2023 | Page 8

Harley-Davidson sales revenue and production data … 2nd quarter 2023
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NEWS

BRIEFS

After an eight-year tenure , industry veteran David Zemla has announced he ' ll be stepping away from S & S Cycle . " I ' ve had the honor of working with some incredible teams while at S & S and together we ' ve transformed this storied brand , readying it for an evolving market and many years of success . Now it ' s time for me to take a break , spend some time with my family and prepare for the next challenge ," shared David . Previously Zemla had led the sales and marketing efforts at Performance Machine , Progressive Suspension and helped develop Burly Brand before moving to Wisconsin to assume the VP of Marketing role at S & S Cycle .
Indian Motorcycle is recalling certain 2023 Challenger , Pursuit Dark Horse Icon w / Premium Package , Pursuit Dark Horse w / Premium Package , and Pursuit Limited w / Premium Package motorcycles - some 50 units in total . An improperly assembled fuel line could result in an engine stall , " increasing the risk of a crash or injury ."
Drag Specialties has added James Hunt as a Northeast sales representative for Long Island , New York - which must be one of the toughest beats for any road warrior . Hunt was formerly a motorcycle shop owner in the Pennsylvania area , and has been riding since he was seven years old . He is now involved in road racing with a private club and enjoys surfing and working on motorcycles and classic cars .
In a move that suggests an evolution of its sales strategy , Rocky Mountain ATV / MC , one of powersports ' largest retailers and distributors , is joining AIMExpo for the first time at the 10th annual show , February 6-8 , 2024 , at the Las Vegas Convention Center . The employee-owned company was created in 1985 when founder Dan Thomas saw a need for ATV wheels and tires , and has grown to become a powerhouse in the industry , additionally designing , manufacturing , and testing products .
Drag Specialties has appointed John Vyborny to the sales team roster covering the western Pennsylvania area . " John comes to us with several years of experience having been a dealership owner and service manager in the PA area ."
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of the two new CVO motorcycles ( as well as the new models in the Enthusiast and Icons collections from earlier in the year ) completed , Harley has revised its full year 2023 outlook for HDMC . For the full year 2023 , and in-line with a realigned corporate reporting structure , the company has revised its HDMC and LiveWire unit sales guidance and now expects HDMC revenue growth of flat to 3 % and operating income margin of 13.9 to 14.3 %, with LiveWire motorcycle sales of just 600 to 1,000 units . The company still expects HDFS operating income decline of 20 to 25 %, a LiveWire operating loss of $ 115 to $ 125m and Harley-Davidson , Inc . capital investments of $ 225 to $ 250m . For the second quarter , HDMC reported gross margin of 34.8 %, an increase of 400 basis points , against a revenue decline of -4 % " behind a 10 % decrease in wholesale shipments related to the unplanned production suspension ." HDFS revenue increased 19 % on higher interest income and increased investment income . Harley delivered diluted Earnings Per Share
( EPS ) of $ 1.22 . Consolidated operating income in the second quarter was down -20 %, driven by a decline of 8 % at HDMC , a decline of 31 % at HDFS , and an operating loss of $ 32m in the LiveWire segment . Consolidated operating income margin in the second quarter was 15.3 % compared to 18.9 % in the second quarter a year ago . Second quarter gross margin was up
4.0 points behind pricing , cost productivity and shipment mix , more than offsetting the negative impacts from reduced volume and foreign currency . Second quarter operating income margin fell by 0.6 points due to higher operating expense , including higher people costs and marketing spend . For the first half of 2023 , HDMC achieved operating income margin of 19.2 %, an increase of 240 basis points on HDMC revenue that was up 8 % versus prior year - " driven by a 2 % increase in wholesale motorcycle unit shipments " and delivered diluted EPS of $ 3.27 , up 12 %. The company repurchased $ 156m of shares ( 4.1 million shares ) on a discretionary basis . Consolidated revenue was down 2 % in the second quarter , driven by a revenue decline of 4 % at HDMC , which was partially offset by revenue growth of 19 % at HDFS . HDFS ' revenue was up $ 38m in the second quarter , an increase of + 19 %, driven primarily by higher interest income and increased investment income . HDFS ' operating income decline of $ 27m , or down -31 %, was driven by higher interest expense and an increased provision for credit losses . LiveWire revenue for the second quarter was down compared to the same quarter in 2022 , due to lower unit sales of LiveWire ONE electric motorcycles and STACYC electric balance bikes . LiveWire operating loss of $ 32m in the second quarter , in-line with expectations , was driven by product development spending associated with the launch of the Del Mar electric motorcycle .
Harley-Davidson sales revenue and production data … 2nd quarter 2023
Income statements in THREE MONTHS ENDED SIX MONTHS ENDED $ 1,000s ( except share ) 2023 Q2 2022 Q2 2023 Q2 2022 Q2
Net sales revenue
$ 1,198,136
$ 1,253,965
$ 2,755,965
$ 2,546,735
Gross profit
$ 417,474
$ 387,140
$ 974,500
$ 794,722
Total operating income
$ 221,338
$ 277,615
$ 590,947
$ 566,847
Net income
$ 173,830
$ 215,849
$ 475,659
$ 438,351
Diluted earnings per common share
$ 1.22
$ 1.46
$ 3.27
$ 2.91
NET SALES REVENUE
H-D Motorcycles
$ 890,919
$ 935,172
$ 2,193,297
$ 1,992,177
Parts & Accessories
215,520
214,267
383,192
379,587
Apparel
66,356
77,325
137,747
128,729
Licensing
5,116
11,781
11,326
18,278
Other
20,225
15,420
30,403
27,964
MOTORCYCLE SHIPMENT DATA NOTE : H-D MOTORCYLE SHIPMENT DATA IS NOT THE SAME AS RETAIL REGISTRATIONS
United States
24,229
28,181
66,817
64,000
WORLDWIDE MOTORCYCLE SHIPMENTS
Grand American Touring
20,270
21,758
52,489
47,770
Cruiser
15,476
14,565
36,734
30,128
Adventure Touring
1,027
3,168
3,202
6,685
Sport and Lightweight
6,161
8,452
12,746
18,106
Total
42,934
47,943
105,171
102,689
RETAIL SALES OF H-D MOTORCYCLES :
2023 Q2
2022 Q2
2023 Q2
2022 Q2
United States
32,161
31,641
56,438
60,985
Canada
2,899
3,086
4,643
4,955
EMEA Region
8,120
8,656
14,037
14,946
Asia Pacific Region
7,525
6,045
14,406
12,744
Latin America Region
821
791
1,427
1,600
Total
51,526
50,219
90,951
95,230
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