Harley-Davidson Delivers Fourth Quarter and Full Year Financial Results and 2026 Outlook

Core Insights - Harley-Davidson reported a challenging year in 2025, with significant declines in revenue and motorcycle shipments, but is taking steps to stabilize the business and restore dealer confidence [1] Financial Performance - Full year 2025 revenue decreased by 14% to $4.473 billion from $5.187 billion in 2024 [1] - Fourth quarter revenue was down 28% to $496 million compared to $688 million in the same quarter of 2024 [1] - HDMC operating loss for 2025 was $29 million, a significant decline from an operating income of $278 million in 2024 [1] - Diluted EPS for 2025 was $2.78, down 19% from $3.44 in 2024, while the fourth quarter reported a diluted EPS loss of $2.44 [1] Motorcycle Shipments and Sales - Global motorcycle shipments for 2025 totaled 124,477 units, down 16% from 148,862 units in 2024 [1] - Global retail motorcycle sales decreased by 12% to 132,535 units in 2025 from 151,229 units in 2024 [1] - In North America, retail motorcycle sales increased by 5% in Q4 2025, but full year sales were down 13% [1] Harley-Davidson Financial Services (HDFS) - HDFS reported record-high operating income of $490 million for 2025, up from $248 million in 2024, driven by favorable credit loss provisions [1] - HDFS revenue decreased by 16% to $869 million in 2025 from $1.039 billion in 2024 [1] LiveWire Performance - LiveWire, the electric motorcycle segment, reported a 9% increase in revenue in Q4 2025, with an operating loss of $18 million, which is 30% less than the previous year [1] - For the full year, LiveWire sold 653 electric motorcycles, a slight increase from 612 units in 2024 [1] Capital Management - The company returned $434 million to shareholders through share repurchases and dividends in 2025 [1] - Cash and cash equivalents at year-end 2025 were $3.1 billion, up from $1.6 billion in 2024 [1] 2026 Outlook - For 2026, Harley-Davidson expects capital investments of $175 to $200 million and global motorcycle wholesale shipments of 130,000 to 135,000 units [1] - The company anticipates HDMC operating income to range from a loss of $40 million to a profit of $10 million [1]