30th ! YEAR
™
THE LEADING BUSINESS MAGAZINE FOR THE INTERNATIONAL CUSTOM MOTORCYCLE AND PARTS INDUSTRY
H-D " Delivers Strong Q4 " and " Successfully Completes " Hardwire Strategic Plan Year One of Five
MAR 2022
ISSUE # 272
SHOW REVIEW
" Harley-Davidson delivered a strong finish to the year , in which we have seen proof points on all elements of our Hardwire Strategy ," said Jochen Zeitz , Chairman , President and CEO , Harley-Davidson . " Looking ahead , we are fully committed to achieving our long-term Hardwire Strategy , as the most desirable motorcycle brand and company in the world ." Global retail motorcycle sales in the fourth quarter were up two percent versus prior year , driven by a robust performance in North America , offset by declines across international markets . International results were the result of strategic decisions made as part of the Rewire and Hardwire Strategic Plan , including the exit of unprofitable product segments and markets , as well as macro supply chain challenges , including slower shipping times to the international markets . The highlighted facts from the 2021 full year results include total revenue increased by + 32 % " behind increased shipments and favorable motorcycle
2022 ‘ FatBook ’
Got you covered - the 2022 Drag Specialties ' FatBook ' cover bike by Dave Dupor of DD Custom Cycle . See pages 31-33 for details ... unit mix "; 9.0 % operating margin for the Motorcycles and Related Products segment (" HDMC " - ahead of 2020 and + 2.7 % ahead of 2019 ); record HDFS operating income ($ 415m /+ 112 % over 2020 - driven by
new ' Arrow ' architecture LiveWire model in Q1
lower provision for credit losses and lower interest expense ); full year diluted EPS of $ 4.19 , up $ 4.18 vs . 2020 . In strategic terms , of course , the big news at the end of 2021 was the merger transaction announcement for LiveWire with AEA-Bridges Impact Corporation (" ABIC " - NYSE : IMPX ). ABIC is a ' SPAC ' - a Special Purpose Acquisition Company created to allow the new joint venture business created for a stand-alone LiveWire operation that remains 74 % owned by Harley to go to market bypassing the usual scrutiny , disclosure and due diligence of the conventional IPO route , and as an alternate to creating a direct listing . ABIC will combine with LiveWire , Harley-Davidson ' s electric motorcycle division , to create a new publicly traded company . Its common stock is expected to be listed on the New York Stock Exchange under the symbol " LVW ." The transaction is expected to close in the first half of 2022 and is subject to the approval of ABIC shareholders and other customary closing conditions . For Q4 2021 , which Harley appears to be pointing to as offering important trend evidence , total revenue grew by + 40 % on higher units , profitable unit mix and pricing . It reports improved HDMC operating margin - " as Hardwire actions take effect " - and + 24 % growth ($ 18m ) in HDFS operating income - " driven by lower
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MY2022 PART II
INDIAN SCOUT ROGUE
POLARIS Q4 RESULTS