Harley-Davidson (HOG) Q3 Earnings In Line, Revenues Beat

By Zacks Investment ResearchStock MarketsOct 17, 2017 02:34AM ET

www.investing.com/analysis/o-que-esta-por-tras-do-bromance-do-petroleo-da-russia-da-arabia-saudita-200219365

Harley-Davidson (HOG) Q3 Earnings In Line, Revenues Beat

By Zacks Investment Research | Oct 17, 2017 02:34AM ET

Saved. See Saved Items.

This article has already been saved in your Saved Items

CMI

+1.57%

Add to/Remove from Watchlist

HOG

-0.83%

Add to/Remove from Watchlist

CTTAY

-1.64%

Add to/Remove from Watchlist

ADNT

-0.77%

Add to/Remove from Watchlist

Harley-Davidson, Inc. (NYSE:HOG) reported earnings of 40 cents per share in the third quarter of 2017, in line with the Zacks Consensus Estimate. However, earnings were lower than 64 cents, recorded in the year-ago quarter.

Net income decreased to $68.2 million from $114.1 million, recorded a year ago.

Motorcycle and related products revenue declined to $962.14 million in the third quarter of 2017, down from $1.1 billion in the year-ago quarter. The figure surpassed the Zacks Consensus Estimate of $960.8 million. The company also lodged consolidated revenues of $1.15 billion, deteriorating from the prior-year tally of $1.27 billion.

Harley-Davidson, Inc. Price, Consensus and EPS Surprise

Harley-Davidson, Inc. Price, Consensus and EPS Surprise | Harley-Davidson, Inc. Quote

Operating income decreased to $96.7 million from $178.4 million in the year-ago period.

Motorcycles and Related Products

The decline in revenues from Motorcycles and Related Products was due to lower motorcycle shipments. Operating income plunged to $19.6 million from $108.9 million, a year ago.

During the quarter, revenues from Harley-Davidson motorcycles fell 17.2% to $653.3 million. The company shipped 41,662 motorcycles to dealers and distributors worldwide during the third quarter of 2017, compared with 48,611 shipments in the third quarter of 2016.

Harley-Davidson’s worldwide dealer retail sales of new motorcycles dropped 6.9% to 64,209 units from 68,955 motorcycles in the year-ago quarter. This was due to weak industry conditions including impact of hurricane Harvey and Irma in Southeast and Texas.

Harley-Davidson’s overseas dealer of retail sales for new motorcycles in the United States declined 8.1% to 41,793 motorcycles. International sales went down 4.6% to 22,416 motorcycles from 23,486 in the prior-year quarter.

All the regions posted a decline in sales from the prior-year quarter. Canada witnessed a 3.3% decrease, Latin America’s sales reduced 11.5%, Middle East and Africa (EMEA) region’s sales slipped 1.4%, while Asia-Pacific region witnessed a 6.7% drop.

Revenues from Parts and Accessories slid 0.7% to $229.7 million, while revenues from General Merchandise — including MotorClothes apparel and accessories — gained 11.3% to $72.7 million.

Harley-Davidson Financial Services (HDFS)

Revenues in the Financial Services segment increased 3.2% to $189.1 million in the third quarter of 2017. Operating income improved 11% to $77.1 million from the year-ago figure of $69.4 million.

Financial Position

Harley-Davidson had cash and cash equivalents of $683.1 million as of Sep 24, 2017 compared with $790.3 million as of Sep 25, 2016. Long-term debt curtailed to $4.61 billion from $5.17 billion as of Sep 25, 2016.

For the nine months ended on Sep 24, 2017, Harley-Davidson’s operating cash inflow improved to $949.1 million from $927.8 million, a year-ago. Capital expenditures diminished to $114.1 million from $162.7 million in the year-ago period.

Share Repurchases

Harley-Davidson spent $222 million to repurchase 4.5 million shares in third-quarter 2017. At third-quarter end, the company had authorization to buy back another 10.6 million shares.

Looking Forward

Harley-Davidson reiterated its expectation to ship 241,000-246,000 units in 2017, roughly reflecting a 6-8% decline from 2016.

In the fourth quarter of 2017, the motor company expects to dispatch around 46,700-51,700 motorcycles compared with 42,414 units, shipped in the year-ago period.

The company continues to expect a 1% dip in operating margin from the 2016-levels. Also, it expects to incur capital expenditures of worth $200-$220 million this year.

Price Performance

Shares of Harley-Davidson have significantly underperformed the industry year to date. The stock has lost 20.1% versus the industry’s 25.9% rally.

Zacks Rank & Key Picks

Harley-Davidson currently carries a Zacks Rank #4 (Sell).

Some auto stocks worth considering are Adient PLC (NYSE:ADNT) , Cummins (NYSE:CMI) and Continental AG (OTC:CTTAY) , all holding a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Adient has an expected long-term earnings growth rate of 10.6%.

Cummins has an expected long-term earnings growth rate of 12%.

Continental has an expected long-term earnings growth rate of 7.1%.

Looking for Stocks with Skyrocketing Upside?

Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.

Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.

See the pot trades we're targeting>>

Adient PLC (ADNT): Free Stock Analysis Report

Cummins Inc. (CMI): Free Stock Analysis Report

Harley-Davidson, Inc. (HOG): Free Stock Analysis Report

Continental AG (CTTAY): Free Stock Analysis Report

Original post

Zacks Investment Research

Buffett Remains on the Sidelines as Cash Piles Continue to Build By Thomas Hughes - Feb 27, 2025 1

Warren Buffett and Berkshire Hathaway (NYSE:BRKa) always make headlines in February when the firm holds its annual meeting. Among the many takeaways is what the company has been...

Retail Sector Remains Fragile - Should You Sell Rallies? By Michele Schneider - Feb 26, 2025

While Tuesday I wrote about the strength of junk bonds in the face of risk-off ratios (TLT v. SPY, HYG), today, I am still quite concerned about Granny Retail or the consumer...

Nvidia’s 'Better-Than-Expected' Report Fails to Impress - A Telling... By Michael Kramer - Feb 26, 2025 4

Nvidia (NASDAQ:NVDA) shook things up by reporting revenue of $39.3 billion for the quarter while guiding next quarter to $43 billion. This was slightly below the pattern’s...

Add a Comment

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:

Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
Only English comments will be allowed.
Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

I have read Investing.com's comments guidelines and agree to the terms described.

I Agree

Write your thoughts here

Are you sure you want to delete this chart?

Delete Cancel

Post

Post also to:

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.

<div id="comment">
				<div class="comment js-comment" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
    <div class="mainComment js-content">
       <div class="commentInnerWrapper">
        <a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody">
                					<span class="commentUsername">
                    	<a href="{userLink}" class="js-user-link js-user-name">{username}</a>
					</span>
                                <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
                <div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

<div class="js-option addRow follow">
            <div class="js-follow-post-button" data-reg_ep="follow comment">
                <span class="alertfollowIcon middle"></span>Follow this post            </div>
            <div class="js-unfollow-post-button displayNoneImp">
                <span class="alertUnfollowIcon middle"></span>Unfollow this post            </div>
        </div>

<div class="addRow js-option save"  data-reg_ep="save comment">
		<a href="javascript:void(0);" class="js-save-item-btn" data-item-type="comments" data-item-id="{commentID}">
			<i class="saveItemBigIcon middle"></i>
			Save		</a>
	</div>
	<div class="addRow saveItemsConfirmation noHover displayNone js-saveItemResult">
		
<div class="content js-saveItemSuccess displayNone">
	<span class="mediumGreenSuccessIcon"></span><span>Saved. See <a href="/members-admin/saved-items" target="_blank">Saved Items</a>.</span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
<div class="content js-saveItemAlreadySaved saveItemAlreadySaved displayNoneImp">
	<span>This comment has already been saved in your <a href="/members-admin/saved-items" target="_blank">Saved Items</a></span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
	</div>

<div class="addRow shareButtons js-sharePopup displayNone">
			<div class="js-shareComment"><span class="js-shareCommentSpan"></span></div>
		</div>
	</div>
</div>
                 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div>             </div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="commentBigChart js-comment-chart" onclick="openViewChartPopup('{commentID}')">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

<div class="reportComment js-flag float_lang_base_2">
                            <a href="javascript:void(0);" id="commentFlag_{commentID}">
                                <span class="reportCommentIcon middle"></span><span class="inlineblock middle">Report</span>
                            </a>
                        </div>
                    				</div>
					</div>
	   </div>
	</div>
	</div>			</div>
			<div id="reply">
				
    <div class="commentReply js-comment js-comment-reply" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
		<div class="commentInnerWrapper"><a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody js-content">
            				<span class="commentUsername">
					<a href="{userLink}" class="commentUsername js-user-link js-user-name" onMouseOver="">{username}</a>
				</span>
                        <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
			 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div> 			<div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

</div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="replyBigChart displayNone js-comment-chart">
					<img src="https://d1-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
				<span id="commentSmallChart{commentID}" class="commentSmallChart pointer js-comment-chart" onclick="openViewChartPopup('{commentID}')">
                    <img src="https://d1-invdn-com.investing.com/comments_images/{commentImageSmall}" width="116" height="52" alt="{commentAlt}">
                    <span class="chartMagnifyOverlay displayNone"></span>
                    <span class="searchGlassIcon chartMagnify displayNone"></span>
                </span>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

Are you sure you want to delete this chart?

Delete Cancel

Post

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

I feel that this comment is:

Spam

Offensive

Thank You!

Your report has been sent to our moderators for review

Central Banks

Interest Rates

Next Meeting

FED

4.50%

Mar 19, 2025

ECB

2.90%

Mar 06, 2025

BOE

4.50%

Mar 20, 2025

SNB

0.50%

Mar 20, 2025

RBA

4.10%

Apr 01, 2025

BOC

3.00%

Mar 12, 2025

RBNZ

3.75%

Apr 09, 2025

BOJ

0.50%

Mar 19, 2025

CBR

21.00%

Mar 21, 2025

RBI

6.25%

Mar 10, 2025

PBOC

3.10%

BCB

13.25%

Mar 19, 2025

US 30	43,549.0	+114.7	+0.26%
US 500	5,983.5	+27.3	+0.46%
Dow Jones	43,433.12	-188.04	-0.43%
S&P 500	5,956.06	+0.81	+0.01%
Nasdaq	19,075.26	+48.88	+0.26%
S&P 500 VIX	18.21	-0.89	-4.66%
Dollar Index	106.570	+0.241	+0.23%

Crude Oil WTI	68.90	+0.28	+0.41%
Brent Oil	72.40	+0.33	+0.46%
Natural Gas	3.960	+0.001	+0.03%
Gold	2,893.91	-36.69	-1.25%
Silver	31.955	-0.317	-0.98%
Copper	4.5932	+0.0067	+0.15%
US Soybeans	1,028.88	+3.88	+0.38%

U.S. 10Y	4.292	+0.043	+1.01%
U.S. 30Y	4.538	+0.031	+0.69%
U.S. 5Y	4.115	+0.038	+0.93%
U.S. 3M	4.337	+0.036	+0.84%
US 10Y T-Note	110.58	-0.27	-0.24%
Euro Bund	132.70	-0.24	-0.18%
10-2 Yield Spread	19.61	-2.98	-13.19%

Apple	240.36	-6.68	-2.70%
Alphabet A	172.73	-2.69	-1.53%
Tesla	290.80	-12.00	-3.96%
Amazon.com	214.35	+1.55	+0.73%
Netflix	990.06	+12.82	+1.31%
Meta Platforms	673.70	+16.20	+2.46%
Bank of America	43.94	0.00	0.00%

Harley-Davidson (HOG) Q3 Earnings In Line, Revenues Beat

Related Articles