Wednesday, March 19, 2014 photo shows CVO Deluxe
Harley-Davidson at the South East Harley-Davidson in
Bedford, Ohio. Harley Davidson reports quarterly earnings on
Tuesday, April 22, 2014.
Harley-Davidson reported an 18.7 percent rise in first-quarter
earnings, saying motorcycle sales grew 5.8 percent worldwide and
efficiency efforts took hold during the quarter.
The results beat
Wall Street estimates and its shares rose nearly 7 percent.
posted net income of $265.9 million on Tuesday, up from $224.1
million a year ago.
That's $1.21 per
share, compared with 99 cents in the first quarter of 2013.
Analysts polled by FactSet expected earnings of $1.07 per share.
related products revenue rose 11 percent to $1.57 billion. Overall
revenue including financial services rose to $1.73 billion from
grew 3 percent in the U.S. to 35,730 during the quarter despite a
long, cold winter, CEO Keith Wandell said in a statement.
sales, especially in Asia, helped the first-quarter results.
Harley said Asia-Pacific motorcycle sales rose more than 20
percent to 7,178 for the quarter. In the Europe, Middle East and
Africa region, sales were up 8 percent to 9,940, while they rose 9
percent in Latin America to 2,558.
The company said
demand for its Project Rushmore motorcycles was high during the
quarter, and it also started shipping the Harley-Davidson Street
750 and 500 models in selected markets.
motorcycles, together with continuous improvement in our
operations at every level, underscore the momentum we've
established as a customer-led company," Wandell's statement
guidance of growing motorcycle shipments this year, up 7 percent
to 9 percent to a range of 279,000 to 284,000. The company expects
second-quarter shipments to rise 9 percent to 15 percent to a
range of 92,000 to 97,000, up from 84,606 a year earlier.
capital spending this year of $215 million to $235 million, the
same as it estimated when it reported fourth-quarter earnings.
reported provisions for higher credit losses cut operating income
for its financial services operation. That income was $63.2
million, down almost 12 percent from a year earlier.
Its shares rose
$4.63, or 6.8 percent, to $72.17 in afternoon trading. Its shares
have risen more than 40 percent over the past year.