Harley-Davidson Inc

Latest Results (22.11.2025):

Harley-Davidson, Inc. third quarter 2025 results: the company reported diluted EPS of $3.10 on consolidated revenue of $1.341 billion (up 17% year-over-year) and consolidated operating income of $475 million. Results were heavily influenced by the strategic HDFS transaction with KKR and PIMCO that unlocked significant discretionary cash and materially improved HDFS operating income, while Harley-Davidson Motor Company (HDMC) saw higher revenue and shipments but softer retail demand and margin pressure.

Key financials

Diluted EPS $3.10 (Q3 2025), consolidated revenue $1,341M (+17% YoY), operating income $475M (vs $106M a year ago), net income attributable to HDI $377M. Cash and cash equivalents were $1.8B at quarter-end; cash from operating activities YTD was $417M.

HDFS transaction impact

HDFS operating income was $439M in Q3 2025, up substantially due to the HDFS transaction. The deal (back book sale, forward flow, and sale of a 9.8% equity stake) is expected to unlock ~$1.2–$1.25B in discretionary cash by end of Q1 2026; Q3 benefitted from a $301M reversal of allowance for held‑for‑sale retail receivables and a $27M gain on sale of residual securitization interests.

HDMC performance

HDMC revenue was $1,074M (+23% YoY) driven by motorcycles revenue (+34%) and a 33% increase in global motorcycle shipments (36.5k units). However, gross margin fell 3.7 points to 26.4% and operating margin declined to 5.0% due to unfavorable operating leverage, tariffs ($27M cost in Q3), and FX/headwinds.

Retail demand and inventories

Global retail motorcycle sales were down 6% YoY (34.0k units). North America down 5%, EMEA down 17%, APAC down 3%, Latin America up 16%. Global dealer inventories decreased 13% versus end of Q3 2024.

LiveWire and other segments

LiveWire unit sales rose 86% to 184 electric motorcycles; revenue was $6M and operating loss improved to ($18M) from ($26M). LiveWire updated full‑year operating loss guidance to ($72)–($77)M and total net cash use $50–$60M.

Capital allocation and shareholder returns

YTD the company repurchased $187M of shares (6.8M shares) and paid $66M in cash dividends. Harley announced a $200M accelerated share repurchase with Goldman Sachs (part of a $1B repurchase plan through end of 2026), expected to complete by Q1 2026.

Outlook

Harley-Davidson withdrew its full-year HDMC outlook due to macro and tariff uncertainty; LiveWire guidance was narrowed as noted. Management emphasized focus on profitable dealerships, brand connection, local marketing and capital-efficient growth going forward.