Published By : 24 Jul 2018 | Published By : QYRESEARCH
The American bike manufacturing giants, Harley-Davidson Inc., gained a major profit. The profit was welcomed in a shocking manner by the Wall Street, as they never thought of this figures. This is the sixth straight quarter profit, after the Wall Street promulgated the profit on Tuesday. The major factor that has increased the growth of the motorcycles is its popularity in overseas. Though the new EU tariffs are threatening the operating margins.
One month ago, Harley Davidson which is stuck in between the trade war between Europe and America, said it intended to shift its production for European customers to overseas, in order to dodge EU tariffs. This plan was flouted by the U.S president. Looking forward to the imposed tariff in 2018, the company expects that the revenue earned from its motorcycle department will be 9 to 10 percent.
Harley which is trying to boosts its sales in overseas through the fall in its demand in U.S, has mentioned that the international retail sales has decked up with 0.7 percent. The company promulgated its net income slumped to US$248.3 million or in other words US$1.45 per share by the end of the second quarter. The drop happened from US$258.9 million, or in other words US$1.48 per share in the previous year.
The revenue generated from motorcycles and correlated products dropped 3.3 percent to US$1.53 billion. Harley, whose motorcycle rolls half the U.S bike market shipped 72593 motorcycles in the quarter on an international basis.