Harley-Davidson Second-Quarter Earnings Fall, Beat Expectations

Source: thewillnigeria.com
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Harley-Davidson Inc. (HOG.N) on Tuesday posted a lower quarterly net profit as the strong U.S. dollar hurt international sales while the company’s foreign competitors cut prices.

The company beat analysts’ expectations by reporting a net income of $299.8 million or $1.44 per share in the second quarter, down about 15 percent from $354.2 million or $1.62 share a year earlier.

Analysts had expected earnings per share for the quarter of $1.39.

In pre-market trading, Harley-Davidson shares were up 2.2 percent at $56.20.

Milwaukee, Wisconsin based Harley-Davidson said the company’s operating income was negatively impacted by fewer motorcycle shipments as foreign competitors offered lower prices.

Total revenue fell to $1.82 billion from $2 billion a year ago. Analysts had expected $1.67 billion.

Harley-Davidson’s worldwide retail motorcycle sales fell to 88,931 in the second quarter, from 90,218 in the same quarter a year ago.

The company kept its motorcycle shipment guidance unchanged at a 2 to 4 percent increase from 2014, or 276,000 to 281,000 motorcycles.

REUTERS