Harley-Davidson has reached a key milestone in its recently announced partnership with global investment firms KKR and PIMCO, completing the sale of residual interests in securitized consumer loan receivables.
The move is part of a strategy to make Harley-Davidson Financial Services (HDFS) a capital-light business while continuing to originate and service retail loans for dealers and customers. By shifting its financing structure, Harley-Davidson says it will strengthen its balance sheet and reduce risk, while maintaining financing support for motorcycle sales.
The transaction generated more than $230 million in proceeds through the sale of interests tied to roughly $2 billion in retail loan receivables and $1.8 billion in related debt. Additional elements of the deal, including the sale of minority equity stakes to KKR and PIMCO, are expected to close by the end of October. At that point, the firms will also begin acquiring new retail loan receivables originated by HDFS.
“Completing this step eliminates approximately $2 billion in entities and $1.8 billion of debt from our balance sheet, while generating proceeds to support our capital allocation priorities,” says Jochen Zeitz, Harley-Davidson chairman, president and CEO. ”We remain committed to delivering outstanding service levels for our dealers and customers as we move into the next phase of this partnership.”
Dealer Takeaway: This change means Harley-Davidson’s retail financing arm will continue to operate as before, but with the backing of deep-pocketed financial partners designed to provide long-term stability and growth. Harley is shifting to a capital-light model, which frees up resources and could support new initiatives that benefit dealers and customers alike.
BRP Inc. reported second-quarter fiscal 2026 results that exceeded expectations, backed by strong product launches and progress on inventory management, setting a positive tone for dealers heading into the second half of the year.
Financial Highlights – Q2 FY26:
Product Momentum
BRP continues to energize dealers with several industry-first launches:
“Dealer sentiment is strong following our recent event. With healthier inventory levels and our expanded product portfolio, BRP is positioned to benefit as the industry rebounds,” says BRP president and CEO José Boisjoli.
Regional sales performance
North American retail sales
The company’s North American retail sales decreased by 11% for the three-month period ended July 31, 2025, compared to the same period last year. The decrease is primarily attributed to PWC’s market share loss in a softer industry and SSV’s market share decline due to lower non-current unit availability.
North American Year-Round Products retail sales decreased on a percentage basis in the high-single digits compared to the three-month period ended July 31, 2024. The Year-Round Products industry sales decreased on a percentage basis in the low-single digits over the same period.
North American Seasonal Products retail sales decreased on a percentage basis in the high-teens range compared to the three-month period ended July 31, 2024. The Seasonal Products industry sales decreased on a percentage basis in the mid-teens range over the same period.
Analyst insight
Martin Landry of Stifel Canada noted the Q2 EPS beat expectations and emphasized that BRP’s improved inventory position gives management confidence in FY26 guidance.
“The North American market remains soft, but easing interest rates could bring lower-income consumers back to stores,” Landry says. “He highlighted international sales growth as a potential catalyst and suggested that BRP’s divestment of the low-margin marine business could allow EBITDA margins to rebound to 17% in the near term, with long-term EPS potential of $8–$10.
Inventory and operations
BRP has completed most of its multi-year inventory reduction, down 20% from last year. The gross margin remained at 21.1%, while operating expenses increased due to higher marketing and R&D investments.
BRP’s full-year FY26 guidance projects revenues of $8.15–$8.3 billion. Dealers can expect continued support from BRP’s comprehensive product lineup, strong dealer network, and international market growth.
SmartBank has expanded its dealer floor plan program with the addition of Chris Collier as senior vice president and dealer floor plan relationship manager. Based in Jacksonville, Florida, Collier will work directly with dealers and manufacturers to provide customized floor plan lending solutions.
“His deep industry expertise and proven track record of building lasting relationships with dealers and manufacturers will be invaluable as we enhance our floor plan lending solutions,” says Billy Carroll, SmartBank president and CEO.
Collier brings more than 25 years of relationship management experience, including work with manufacturers and dealers of motorcycles, boats, motorhomes, heavy equipment, and commercial vehicles. He holds degrees in finance and management from Jacksonville University and an MBA from Campbell University.
“SmartBank’s commitment to its dealer floor plan program and passion for building strong, supportive relationships with its clients are what drew me to this role,” Collier says.
Founded in 2007, SmartBank is a full-service commercial bank with 42 branches across Tennessee, Alabama, and Florida.
Kandi Technologies Group, a leader in all-electric personal transportation and utility vehicles, announced its unaudited financial results for the six months ended June 30.
Net revenues were $36.3 million, down from $59.8 million for the same period of 2024, a decrease of 39.3%. Kandi contributed the drop in revenue to slowed down off-road vehicles and EV product sales.
Total operating expenses were $18.3 million, compared to $23.3 million during the same period last year, a decrease of 21.4%. R&D expenses were $2.5 million compared to $1.7 million a year ago, a 48.5% jump. The increased spending was mostly due to an R&D project for battery products, the company says
Net income for Y1 was $1.7 million, a 28.7% decrease from the $2.4 million it earned in the first half of last year.
“We continue to strengthen our core off-road vehicle business through streamlined inventory management, enhanced manufacturing efficiency, and optimized sales network,” says CEO Feng Chen. “Looking ahead, we will continue to increase R&D investment and refine our supply chain, while driving forward our dual-engine strategy of stable cash flow business plus growth incubation business.”
Patrick Industries, a leading supplier of components to the RV, marine, manufactured housing, and powersports sectors, reported mixed second-quarter 2025 results, with gains in RV and housing offsetting softer performance in marine and powersports.
For the quarter ended June 29, Patrick posted net sales of $1.05 billion, up 3% from $1.02 billion a year ago. Operating income rose 2% to $87 million, with margins flat at 8.3%. Reported net income fell 32% to $32 million, due to one-time legal expenses. On an adjusted basis, net income improved to $51 million versus $48 million last year.
Market performance
Outlook
CEO Andy Nemeth pointed to stronger equity markets and easing tariff uncertainty as potential positives for consumer sentiment. However, he noted that the bulk of the retail selling season for outdoor products, including marine and powersports, is now complete, and expects lower wholesale shipments in the second half of 2025.
Nemeth emphasized that Patrick is positioned to capture demand if it outpaces expectations, and that the company will prioritize acquisitions in late 2025 and 2026 to strengthen its market presence.
“Our team has delivered solid organic growth in the first half, and we remain focused on driving profitable growth while delivering value for our OEM customers and other stakeholders,” says CEO Andy Nemeth.
Moto Morini is accelerating its U.S. momentum, with year-to-date retail sales up 82%, driven by an expanding dealer network and the introduction of new 2026 models.
Leading the charge is the redesigned X-Cape 700 adventure bike and the new Calibro 700 Bagger, which has quickly become a top seller. The brand will keep the pipeline moving with the upcoming 2026 Vettore 450 twin-cylinder ADV, which the company describes as a lightweight, high-performance machine with iconic Italian style.
“With retail sales topping 82% year-to-date and new 2026 models on showroom floors now, combined with more new models available soon, dealers truly do get more with Moto Morini,” says Chris McGee, chief operating officer of Moto Morini.
Founded in 1937 and headquartered in Milan, Moto Morini combines Italian design and craftsmanship with modern performance. The company’s North American headquarters is based in Irvine, California, where it continues to expand dealer support and retail presence.
With sales growth outpacing much of the market and more models on the way, Moto Morini is positioning itself as a strong opportunity for U.S. dealers seeking a premium brand with momentum.