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Harley-Davidson's profit, revenue beat estimates

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Reuters
Last Updated : Apr 24 2018 | 6:15 PM IST

(Reuters) - Harley-Davidson Inc's quarterly profit and revenue beat Wall Street estimates and the U.S. motorcycle maker reaffirmed its shipments for 2018, offering signs of a stabilization of a business that has been struggling globally.

Revenue from motorcycles and related products rose 2.7 percent to $1.36 billion in the first quarter ended April 1, compared with analysts' average estimate of $1.23 billion.

The company's shares rose 2.2 percent to $41.90 in premarket trading on Tuesday.

Harley, which commands about half of the U.S. big-bike market, has seen its U.S. market share erode in recent years as it grapples with an ageing customer base, weak demand from younger buyers and discounts offered by rivals.

Harley said it shipped 63,944 motorcycles in the quarter, down 9.7 percent from a year earlier, while it reiterated shipments of between 231,000 and 236,000 motorcycles in 2018.

For the current quarter, it expects to ship about 67,500 to 72,500 motorcycles, down from 81,807 units a year earlier.

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The Milwaukee, Wisconsin-based company said its net income fell to $174.8 million, or $1.03 per share, in the first quarter ended April 1, from $186.4 million, or $1.05 per share, a year earlier.

Analysts on an average had expected profit of 90 cents per share, according to Thomson Reuters I/B/E/S.

(Reporting by Arunima Banerjee in Bengaluru; Editing by Saumyadeb Chakrabarty and Shounak Dasgupta)

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First Published: Apr 24 2018 | 6:04 PM IST

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