Nearly, the relative market for Harley-Davidson (motorcycles at least 601cc in relocation) were down in deals for Q3 2018, to the tune of 9.8% – however we should take note of that the brand represents generally 50% of this important market.
In that capacity, Harley-Davidson is revealing a 13.3% sales drop on bike retail deals in the United States (36,220 units), with global deals up 2.6% (23,006 units), both contrasted with Q3 2017. This implies Harley-Davidson’s aggregate deals are down 7.8% for Q3 2018, with 59,226 units sold.
Harley-Davidson Retail Motorcycle Sales
|
Vehicles |
3rd Quarter | 9 months | ||||
| 2018 | 2017 | Change | 2018 | 2017 | Change | |
| U.S. | 36,220 | 41,793 | (13.3)% | 112,019 | 124,777 | (10.2)% |
| EMEA | 10,543 | 10,078 | 4.6% | 39,249 | 37,475 | 4.7% |
| Asia Pacific | 7,433 | 7,457 | (0.3)% | 21,480 | 22,628 | (5.1)% |
| Latin America | 2,577 | 2,306 | 11.8% | 7,652 | 7,003 | 9.3% |
| Canada | 2,453 | 2,575 | (4.7)% | 8,340 | 8,763 | (4.8)% |
| International Total | 23,006 | 22,416 | 2.6% | 76,721 | 75,869 | 1.1% |
| Worldwide Total | 59,226 | 64,209 | (7.8)% | 188,740 | 200,646 | (5.9)% |
The U.S. 601+cc industry was down 9.8 percent in the third quarter compared to 2017. Harley-Davidson’s third quarter U.S. market share was 50.9 percent. Harley-Davidson’s Europe market share was up 0.8 percentage point to 10.4 percent through September.
Motorcycles and Related Products Segment Results
|
$ in thousands |
3rd Quarter | 9 months | ||||
| 2018 | 2017 | Change | 2018 | 2017 | Change | |
| Motorcycle Shipments (vehicles) | 48,639 | 41,662 | 16.7% | 185,176 | 194,300 | (4.7)% |
| Revenue | $1,123,945 | $962,136 | 16.8% | $4,013,013 | $3,867,982 | 3.7% |
| Motorcycles | $821,670 | $639,849 | 28.4% | $3,144,796 | $2,975,650 | 5.7% |
| Parts & Accessories | $212,406 | $228,993 | (7.2)% | $612,495 | $633,532 | (3.3)% |
| General Merchandise | $58,266 | $72,687 | (19.8)% | $183,520 | $191,540 | (4.2)% |
| Gross Margin | 30.9% | 28.5% | 2.4 pts. | 33.7% | 34.2% | (0.5) pts. |
| Operating Income | $65,662 | $17,352 | 278.4% | $481,906 | $571,250 | (15.6)% |
| Operating Margin | 5.8% | 1.8% | 4.0 pts. | 12.0% | 14.8% | (2.8) pts. |
Third quarter revenue from the Motorcycles and Related Products segment (Motorcycles segment) was up versus the prior year. Operating margin as a percent of revenue increased in the quarter compared to 2017 due to higher gross margin and lower SG&A as a percent of revenue.
