BY THE NUMBERS: Harley-Davidson

Strong sales of new 2015 models lead to strong third-quarter financial results for The Motor Company.

2015 Harley-Davidson Road Glide action shot

Harley-Davidson has just released sales and financial results for the third quarter of 2014. While Cycle World does not typically delve into the business world, there are a number of highlights worth noting:

RETAIL SALES

  • This year, U.S. dealers sold 50,167 new Harley-Davidson motorcycles in the third quarter. That's up 3.4 percent compared to sales of 48,529 motorcycles in the year-ago period.

  • Dealers worldwide sold 73,217 new Harley-Davidson motorcycles in the third quarter of 2014. That compares to 70,517 motorcycles in the same period last year.

  • In international markets, dealers sold 23,050 new Harley-Davidsons in the third quarter compared to 21,988 motorcycles in the year-ago period, with sales up 12.8 percent in the Asia Pacific region, 1.7 percent in the EMEA (Europe, Middle East, Africa) region, and 7.0 percent in the Latin America region and down 5.8 percent in Canada.

  • Through the first nine months of 2014, dealers sold 220,850 new Harley-Davidsons worldwide, compared to 214,964 motorcycles in the year-ago period. Retail unit sales were up 1.9 percent in the U.S., 11.0 percent in the Asia Pacific region, 5.9 percent in the EMEA region and 1.2 percent in the Latin America region and down 11.4 percent in Canada compared to the year-ago period.

  • Through the first nine months of 2014, Harley shipped 223,569 motorcycles to dealers and distributors worldwide, a 4.5 percent increase compared to the year-ago period.

SHOW ME THE MONEY

  • Harley's nine-month revenue from motorcycles grew 9.6 percent, to $3.60 billion. Revenue from parts and accessories increased 0.8 percent to $709.4 million. Revenue from general merchandise decreased 4.6 percent to $209.8 million compared to the first nine months of 2013.

  • Through September, Harley's operating income from motorcycles and related products was $146.3 million compared to operating income of $175.5 million in the year-ago period. The 16.6 percent decrease in third-quarter operating income resulted primarily from a decline in revenue driven by the planned reduction in motorcycle shipments.

  • Revenue from motorcycles was $815.4 million compared to revenue of $857.0 million in the year-ago period, a 4.9 percent decrease. Harley shipped 50,670 motorcycles to dealers and distributors worldwide during the quarter, in line with guidance and a 6.2 percent decrease compared to shipments of 54,025 motorcycles in the year-ago period.

  • Revenue from motorcycle parts and accessories was $239.7 million during the quarter, down 4.2 percent. Revenue from general merchandise, which includes apparel and accessories, was $69.3 million, up 4.8 percent compared to the year-ago period.

  • Lastly, Harley-Davidson's consolidated revenue through the first nine months of 2014 grew 6.8 percent. Net income increased 16.9 percent and diluted Earnings Per Share rose 20.1 percent to $3.52 compared to the year-ago period.

“Harley-Davidson’s third-quarter financial results were in line with our expectations, and we are on track for a year of growth and strong financial performance in 2014,” summed up Keith Wandell, Harley’s Chairman, President, and CEO. “We continue to see the success of our product, manufacturing and retail strategies, which are delivering an outstanding customer experience, driving bottom-line improvement and expanding the reach of the brand.”