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Tuesday, 18 October 2016


Harley unit sales off by -7.1 percent in U.S. in third quarter, international sales up again

Harley-Davidson are reporting that worldwide retail motorcycle sales in the third quarter were down -4.5 percent, primarily on weak U.S. industry trends. Harley-Davidson retail motorcycle sales in the U.S. were down -7.1 percent compared to the year-ago quarter, with the overall domestic U.S. motorcycle industry also down for the same period.
Harley-Davidson’s U.S. market share for the quarter was 52.3 percent in the 601cc-plus segment, “essentially flat” compared to the third quarter in 2015.

Harley-Davidson international retail sales increased by +1.0 percent over the prior year quarter.
“We continue to effectively navigate a fiercely competitive environment and an ongoing weak U.S. industry,” said Matt Levatich, president and chief executive officer. “We are pleased with the positive results and the enthusiasm we’ve seen for our Model Year 2017 motorcycles, featuring the new Milwaukee-Eight engine. We are confident that the entire line-up will drive retail sales growth for the remainder of 2016 and position us well heading into the spring riding season next year.”
Response to the new model year motorcycles is said to have driven increased retail sales in September over the prior year.
Recognizing the continued slower industry growth in the U.S., the company says it will “streamline” its operations in the fourth quarter of 2016. It expects to incur expenses of approximately $20 million to $25 million in the fourth quarter, primarily for employee separation and reorganization costs.
“Our value as a company and as a brand is the sum of 113 years of commitment to our riders and the freedom seekers we will inspire to ride in the future,” said Levatich. “We remain intensely focused on growing the sport and delivering strong business results.”
Retail sales in EMEA (Europe, Middle East and Africa region) were up +1.9 percent in the third quarter and up +6.6 percent for the first nine months. Asia Pacific retail sales were up +1.7 percent in the quarter and up +2.9 percent for the first nine months compared to 2015, behind strong growth in Australia and Japan.
Revenue from motorcycles and related products was down compared to the third quarter in 2015, primarily behind decreased motorcycle shipments. Operating margin as a percent of revenue decreased versus the prior year.
Operating income from financial services was down -4.6 percent in the third quarter compared to the year ago period.
Harley-Davidson continues to expect to ship 264,000 to 269,000 motorcycles in 2016, which is approximately down -1 percent to up +1 percent from 2015. In the fourth quarter of 2016, the company expects to ship 44,200 to 49,200 motorcycles compared to 48,149 motorcycles shipped in the year-ago period.
The company continues to expect full-year 2016 operating margin of approximately 15 to 16 percent for the Motorcycles segment. The company continues to expect 2016 capital expenditures for Harley-Davidson, Inc. of $255 million to $275 million.
Third quarter 2016 diluted earnings per share decreased 7.2 percent to $0.64 compared to diluted EPS of $0.69 in the same period in 2015. Net income was $114.1 million on consolidated revenue of $1.27 billion compared to net income of $140.3 million on consolidated revenue of $1.32 billion in the third quarter of 2015.
Through nine months, Harley-Davidson 2016 net income was $645.0 million on consolidated revenue of $4.89 billion compared to nine-month 2015 net income of $710.0 million on consolidated revenue of $4.81 billion. Diluted EPS was $3.55 compared to diluted EPS of $3.41 in the year-ago period. Worldwide retail motorcycle sales were down 1.9 percent compared to the same period in 2015. International retail sales were up +3.3 percent, offset by a decline of -4.7 percent in U.S. retail sales.
In the third quarter, the company paid a cash dividend of $0.35 per share. During the same time-period, on a discretionary basis, the company repurchased 2.1 million shares of Harley-Davidson common stock for $104.6 million.
Also in the third quarter, there were approximately 179.3 million weighted-average diluted shares outstanding, compared to approximately 204.6 million shares in the year-ago quarter. As of September 25, 2016, a total of 20.9 million shares remained on board-approved share repurchase authorizations.

Biker’s Choice Dealer Expo

Biker’s Choice Dealer Expo slated for Texas, February 2017

Biker’s Choice (Tucker Rocky) has announced that its Dealer and Brand Expo is to come back for 2017.
The event will be held on February 9-10 at the Embassy Suites Dallas Frisco Hotel Convention Center & Spa in Frisco, Texas - “and it’s not just any Expo, it’s Tucker Rocky’s 50th anniversary.”

Designed to help position the business for success in 2017, the Brand and Dealer Expo will include “exciting new brand introductions as well as amazing show-only specials that will allow dealers to make the most of their inventory dollars as they prepare for the start of the peak riding season.”
The 42,000 square foot showroom floor will provide dealers with the opportunity to interact with 150 of “our world-class vendors and get the inside track on their brands. By visiting the vendor exhibits, dealers will learn about recently launched products as well as the latest gear and apparel, and have the chance to score some awesome swag in the process.
“In addition to vendor education on the showroom floor, we will offer impactful, profit-boosting training to help our dealers ensure that 2017 is a winning year. Attendees will also have the chance to participate in industry round table discussions with Tucker Rocky leadership, as well as to network with some of the most successful dealers and retailers in powersports.”
On the evening of February 10, the two-day event will culminate in a celebration of Tucker Rocky’s first 50 years of serving the powersports industry.
Tucker Rocky/Biker’s Choice will provide dealers who are interested in extending their stay to attend the AMA Supercross at the AT&T stadium on Saturday, February 11, with two complimentary tickets. “Dealers also have the chance to be reimbursed for their airfare to the event through our Earn Your Wings program. Dealers should contact their Tucker Rocky/Biker’s Choice Sales Rep for additional information, or visit our Dealer Expo registration page to register.”

Biker’s Choice

Biker’s Choice gets new President

Tucker Rocky/Biker’s Choice have announced logistics specialist Eric Cagle as its new company President, replacing Dan Courtney, who left the company in February 2016.
Coming from a 25+ year career with Caterpillar Inc. and Neovia Logistics, Cagle brings to his role “expertise developed while assisting automotive, construction and industrial equipment and high-tech companies in developing and improving parts logistics operations and sales.”

Cagle will be based at Tucker Rocky’s Fort Worth, Texas headquarters.
Cagle is quoted as saying “the opportunity to join a recognized leader in such an exciting industry was very appealing to me. I’m energized by the prospect of putting down roots in a company with such a strong product offering, loyal customer base and committed leadership team.
“The relationship this company has with its 10,000 dealer partners, the expertise of the salesforce, and the leadership position Tucker Rocky has rightfully earned in the marketplace tell me this company has ‘good bones’ and can respond to the current realities of the motorsports industry. I’m thrilled to get to know this company and this tight-knit industry.”

Lowbrow Customs

Factory racer inspired gas tanks

Brunswick, Ohio based Lowbrow Customs is offering these new bolt-on ‘WX’ bobber gas tanks for Harley-Davidson and custom applications. Inspired by factory race bikes of the 1940's, this cut-down, classic style can be appropriated for Knucklehead, Panhead and Shovelhead motorcycles.

Directly influenced by the Harley-Davidson WR, an innovative design that allows them to fit almost a half century's worth of motorcycles. In 1946 Harley-Davidson introduced the WR factory racer, a 45 cubic inch Flathead designed to dominate the flat tracks and road courses in America. The narrowed tanks were part of the slim profile and 'all-business' form that follows function when it comes to a fast and nimble motorcycle. 

The beauty and simplicity of Lowbrow Customs' ‘WX’ gas tanks is that with the included, innovative rear mount they will bolt right up to a stock Harley-Davidson Big Twin frame from 1936 - 1984. “Get a custom, narrowed look with a tight gap between the tanks and no fabrication required. These are the perfect tanks for a custom Shovelhead or Panhead chopper, bobber or custom motorcycle.”
They have 2.25 gallon capacity and feature both a vent and fuel crossover, accept a 22mm fuel petcock and standard cam-style Harley-Davidson gas caps. The Panhead pictured has been built by The Gasbox of Cleveland, Ohio (



SuperTrapp FatShots

These tunable, disc based SuperTrapp FatShots slip-ons for 2016 Night Rods feature 4” diameter mufflers and are said to deliver “crisp throttle response throughout the entire power curve.”  Twenty-four 4” discs and all necessary mounting hardware are included.

Available in chrome or black, they are also offered for Baggers, Tri Glide and Street Glide Trikes; FatShots slip-ons for Baggers are compatible with SuperTrapp’s unfiltered 2:1:2 head pipe as well as their True Duals. SuperTrapp, USA,

Covingtons Custom Cycles

Raked triple trees for Heritage Softails and Fat Boys

Covingtons Custom Cycles is offering these newly designed 3-degree raked triple trees for Heritage Softail and Fat Boy applications.

CNC machined from billet aluminum at their Woodward, Oklahoma facility, and finished in a durable chrome-plated finish, they include all needed mounting hardware and fit all years of FLST, FLSTF and FLSTC with stock tins and nacelle.


C&S Custom

Lightweight street/strip FXR swingarm

A couple of months ago we featured news about a new replacement swingarm for Dyna models by Lexington, North Carolina based C&S Custom. Seen here is a new lightweight replacement FXR swingarm for custom or racing applications.

Manufactured in-house from high performance, high tensile strength, lightweight aerospace grade 6061-T6 alloy that has a high fatigue limit and is resistant to corrosion, even when the surface is abraded.
Said to reduce unsprung weight by as much as 20 pounds, it is available in stock length and up to 6" over stock, in separate units or kits that include fasteners, wheel and chain. The units are designed for all FXRs, all years.
It can be ordered in thousands of powdercoat colors, chrome or contrast cut with grooved louvers to match popular aftermarket rims, pulleys and rotors.
"All things being equal, a lighter motorcycle will accelerate faster, stop faster and be easier to turn when changing direction, so when looking for performance, lighter is better," explained Steve Garwood, General Manager. "Our products are designed to go fast and look good doing it."


Zipper’s Performance

Muscle 110 Extreme kit for CVO

Zipper’s Performance say their new Muscle 110 Extreme kit “is for the serious performance enthusiast” with horsepower topping 150 at the rear wheel and torque over 100 ft/lbs from 2,750 rpm through redline, peaking at 130. 

“Arm-stretching, tire-shredding power is everywhere, reminiscent of a late 60’s big block muscle car. Your special CVO will turn heads not just because of its looks, but the raw power sound and the performance to back it up - Grin-Factor Pegged”!