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T H E O N LY M A G A Z I N E F O R T H E W O R L D W I D E V- T W I N PA R T S , A C C E S S O RY A N D P E R F O R M A N C E I N D U S T RY
AUG 2014
Harley falls "short of expectations" in
ISSUE #181
flat second quarter; full-year shipment NEWS
growth forecast revised down
HARLEY-DAVIDSON dealers
worldwide sold 90,218 new
Harley-Davidson motorcycles in
the second quarter of 2014
compared to 90,193 motorcycles
in the year-ago quarter.
In the U.S., dealers sold 58,225 new
Harley-Davidson motorcycles in the
quarter, compared to sales of 58,241
motorcycles in the year-ago period. The
Company believes second-quarter U.S.
retail sales were adversely affected by
prolonged poor weather across parts of
the U.S. and soft Sportster motorcycle
sales ahead of the highly anticipated
arrival of Street motorcycles in dealer
showrooms.
In international markets, dealers sold
31,993 new Harley-Davidson
motorcycles during the second quarter,
compared to 31,952 motorcycles in the
year-ago period, with sales up 7.0
percent in the EMEA Region and 1.5
percent in the Asia Pacific Region, and
down 10.4 percent in the Latin America
Region and 18.0 percent in Canada.
Harley-Davidson, Inc. Chairman,
President and Chief Executive Officer
Keith Wandell said that "U.S. retail
Harley-Davidson sales fell short of our
expectations in the second quarter.
"Because we are committed to
managing supply in line with demand,
we are reducing our full-year shipment
plan and now expect shipment growth
sales up 7 percent
in Europe'
of approximately 3.5 to 5.5 percent over
last year." The Company previously had
forecast full-year shipment growth of
approximately 7 to 9 percent.
"We believe the underlying demand
fundamentals of the business remain
intact," said Wandell. "We continue to
see a strong response to the new
Rushmore models as well as great
interest in the Harley-Davidson Street
750 and 500, which began to hit dealer
showrooms in late June."
Through the first six months of 2014,
dealers sold 147,633 new Harley-
Davidson motorcycles worldwide,
compared to 144,447 motorcycles in the
year-ago period, with retail unit sales up
1.1 percent in the U.S., 10.1 percent in
the Asia Pacific Region and 7.5 percent
in the EMEA Region, and down 2.1
percent in the Latin America Region and
13.5 percent in Canada, compared to
the year-ago period.
In financial terms net income rose
30.3 percent ($354.2 million) for the
quarter on consolidated revenue of $2
billion ($271.7 million on $1.79 billion
in second quarter of 2013), with diluted
earnings per share growing by $1.62
(33.9 percent) year-over-year
Through six months, Harley-Davidson
2014 net income was $620.1 million on
consolidated revenue of $3.73 billion,
compared to six-month 2013 net
income of $495.9 million on
consolidated revenue of $3.37 billion.
Six-month 2014 diluted earnings per
share were $2.82, up 28.2 percent from
EPS of $2.20 in the year-ago period.
"Harley-Davidson's second-quarter
results reflect the financial strength of
Continued on page 6 >>>
MINIBIKE 74
When it comes to Harley-based builds in the Freestyle class at the
World Championship most builders start with a Big Twin. However,
Maik Morató Güell is not like other customizers and he used as little
as possible around the Sportster engine he used as a starting point
PAGES 13-15
>>
SHAW HARLEY-DAVIDSON
PRODUCTS