Print

Please login or register.
1 Hour 1 Day 1 Week 1 Month Forever
Login with username, password and session length

[muddypaws]

http://www.businessinsider.com/harley-davidson-q4-2016-earnings-2017-1

[grc]

Sales and revenue down, profits up. 

Jerry

[Royalroadie]

Sales and revenue down, profits up. 

Jerry

You can only do that if  you are taking it out of the final product!

[Chains]

Profit up because products are so overpriced.

[grc]

You can only do that if  you are taking it out of the final product!

Yup.  Reduce cost (cheapen product) and raise prices.  Not to mention lay off employees and use more temp workers.  There are a lot of ways to do it for awhile, but eventually you run out of tricks.  I'd like to be able to say there is light at the end of the tunnel, but these lower sales numbers have come at the same time auto sales have set records.  So even though people still suffering from the effects of the Great Recession have found a way to buy new cars and trucks (8 year loans, waiting to see how long before they offer 10 years), they don't seem to be willing to go deeper in debt to buy an expensive motorcycle.  Then you have the fading of the Boomer generation and the ascent of the Millennial generation.  Boomers bought lots of bikes over a lot of years, later generations not so much.  Perhaps if Harley develops a self-driving bike loaded with whiz bang electronic toys?

Jerry

[kojak]

Looks like they slowed it down on purpose because of a glut of 2016 bikes and competitors discounting. Even after all that, their market share in the US went up by a full percentage.
Jan 31 (Reuters) - Harley-davidson Inc
* Says Q4 2016 shipments down 5,735 motorcycles Y-O-Y to support retail inventory reduction in the U.S.
* Says U.S. new retail motorcycle inventory was largely flat to prior year at end of Q4
* Says it limited model year 2017 motorcycle shipments to allow U.S. dealers to focus on selling model year 2016 inventory
* Says 2016 market share was up 1.0 percentage points to 51.2 percent
* Says the industry continues to be adversely affected by weakness in oil-dependent areas and soft used bike values, compounded by economic uncertainty
* Says saw increased year-over-year discounting by competitors in Q4
* Says expects shipments to be up Y-O-Y in Q2, Q3 and Q4 of 2017
* Says expects its international business to become bigger part of the mix in 2017 Further company coverage:

[J.D.]

If you are in the market for a 2016 you can name your price.

[110tHunDer]

 
2017 should be better now that they killed Victory off!

[tazmun]

   In the Milwaukee area Hal's is giving anyone who buys a 2016 touring bike a 6 day west coast vacation for 2, this includes shipping your bike, airfare for 2, 4 star hotels and a guided ride up the coast!
Now tell me again, motorcycles are selling! It doesn't matter is Victory is out the picture! Bikes are getting way too expensive
in my opinion! I love my bikes, but other things in life are looking so much better than another new Harley.

Taz

[OBB]

Sales and revenue down, profits up. 

Jerry

Bike sales. What about the retail sales and parts sales? Would they have any kind of noticeable effect on the bottom line?

[262 CVO 16]

I received an email yesterday from Lakeshore HD in IL that says if you buy any model of Ultra or RG - you get a Harley Street for FREE. Sales can't be great.

[grc]

Bike sales. What about the retail sales and parts sales? Would they have any kind of noticeable effect on the bottom line?

Retail sales of bikes don't enter into the equation, Harley sells bikes to retailers.  But yes, all sales of motorcycle related products such as parts, accessories, financial services, whatever, are included.

"Revenue from motorcycles and related products fell to $933 million from $1.01 billion."

Jerry

[iski]

On the service and parts side, with the Race Tuner gone and stricter rules regarding engine mods, would expect Harley to take a hit on the parts side revenue for 2017 forward.  If the economy gets better and moves beyond dismal +1.9 GDP in 4th quarter 2016, bike sales could see an uptick.

[2k]

Don't know how all this adds up. Just the other week I read where Harley stock was a good bet to double your money???

[grc]

Don't know how all this adds up. Just the other week I read where Harley stock was a good bet to double your money???

I see articles all the time from supposed "experts" claiming:
 A. The sky is falling and you should get out of equities.
 B. Everything is rosy and you should buy equities ASAP.
 C. Variations on the above.

Strangely enough, you can find those sorts of articles all published on the same day.  So much for believing any of them.  The real experts don't blab to the entire world, they use their inside information to further enrich themselves and close friends.

Jerry