10 • March 2025 • Powersports Business

Harley-Davidson , Inc . reported its fourth quarter and full year 2024 results and provided its outlook for 2025 . While global shipments were down significantly for the full year , the company recorded growth in some niche segments in North America during Q4 .

“ In 2024 , we saw our performance being significantly impacted by the continued cyclical headwinds for discretionary products , including the high-interest rate environment affecting consumer confidence ,” says Jochen Zeitz , chairman , president , and CEO of Harley-Davidson . “ The launch of our new Street Glide and Road Glide touring motorcycles contributed to nearly 5 % growth in the U . S . Touring segment and drove H-D ’ s market share to 74.5 % in ’ 24 . The decisions we have made and the bold actions we have taken as part of our Hardwire strategy are continuing to strengthen our foundation for the future . The industry has faced many challenges over the past couple of years , impacting all levels , but we believe we are best positioned to take advantage of any uptick .”

2024 HIGHLIGHTS AND RESULTS HDMC global motorcycle shipments of 148,862 , down 17 % from prior year In North America retail sales of Touring , Trike , and CVO were up more than 8 % Harley-Davidson dealer inventory levels of new motorcycles finished the year down over 4 % year-over-year

Q4 2024 HIGHLIGHTS HDMC revenue of $ 420 million , down 47 % vs . prior year HDMC global motorcycle shipments of 14,010 , down 53 % from prior year Global retail sales of new motorcycles down 15 % vs . prior year

OUTLOOK FOR 2025 HDMC : revenue flat to down 5 % and operating income margin of 7.0 % to 8.0 %

HDFS : operating income down 10 % to 15 % LiveWire : electric motorcycle unit sales of 1,000 – 1,500 and an operating loss of $ 70 to $ 80 million

Global motorcycle shipments at HDMC decreased 53 percent from a year ago in Q4 due to a focus on dealer channel de-stocking and soft market conditions . HDMC revenue was down 47 percent due to lower volumes and an unfavorable mix , partially offset by higher pricing . Gross profit came in at a loss of $ 3 million compared to gross profit of $ 181 million in the prior year period .

Global motorcycle shipments decreased 17 percent from the prior year for the full year . HDMC revenue was down 15 percent due to lower volumes and unfavorable net pricing , partially offset by positive impacts of shipment mix . Gross margin was lower by 4.3 points in 2024 compared to 2023 . The lower margin was driven by the revenue drivers cited ; negative operating leverage , and negative impacts of the net shipment mix , partially offset by the benefits of lower logistics and raw material costs . Operating expenses were $ 28 million lower than a year ago . The operating income margin was 6.7 percent , 6.9 points lower than in 2023 .

RETAIL SALES The Motor Company saw global retail sales of new motorcycles in 2024 drop 15 percent versus the prior year . In North America , retail sales declined by 13 percent , with the bulk of declines in the large cruiser category , which includes the Softail . In EMEA , retail sales declined by 7 percent , driven by weakness in Germany and the surrounding region . The 26 percent decline in APAC was driven by weakness in Japan and China , partially offset by growth in Australia and New Zealand . Latin America sales decreased by 7 percent , driven by Brazil and Mexico ’ s decline .

North American retail sales dropped 13 percent for Harley in 2024 . Chart courtesy of Harley-Davidson .

For 2024 , global retail sales of new motorcycles were down 7 percent compared to the prior year . North American retail sales declined by 4 percent , while the first half was up 2 percent and the second half was down . Touring , Trike , and CVO retail sales in North America were up more than 8 percent for 2024 . EMEA retail sales declined by 11 percent for the full year , where most of the retail weakness was in non-core motorcycles . Touring , Trike , and CVO retail sales were up 10 percent year over year . APAC retail sales declined by 18 percent for the full year , driven by weakness in Japan and China .

HARLEY-DAVIDSON FINANCIAL SERVICES

HDFS revenue was up 4 percent in Q4 from the prior year , driven by higher interest income . HDFS ’ operating income of $ 46 million was down by 20 percent , driven by higher provisions for credit losses and higher borrowing costs . The increase in the provision for credit losses was driven mainly by an unfavorable change in the allowance for credit loss reserve rate .

HDFS revenue was up 9 percent from the prior year for the full year , driven by higher interest income . HDFS ’ s operating income was $ 248 million , up 6 percent from the prior year despite higher borrowing costs , an increased provision for credit losses , and higher operating expenses . The full-year 2024 operating income margin was 24 percent .

LIVEWIRE In the fourth quarter , LiveWire revenue decreased 32 percent compared to the prior year , driven by lower unit sales of EV motorcycles in the quarter . LiveWire operating loss of $ 26 million , $ 9 million less than a year ago , was inline with expectations .

LiveWire revenue decreased by 31 percent compared to the prior year , driven by lower unit sales of EV motorcycles and of STACYC electric bikes . LiveWire ’ s operating loss of $ 110 million was $ 7 million less than the prior year and was in line with its expectations . LiveWire sold 612 EV motorcycles in 2024 , compared to 660 EV motorcycles in 2023 . LiveWire continues to invest in new products and action initiatives to reduce the overall cost of sales for EV motorcycles .