Harley-Davidson Raises 2026 Guidance as Q3 HDMC Revenue Falls 10%

Harley-Davidson, Inc. (HOG ) reported third-quarter 2026 financial results on 29. oktober 2026, raising full-year guidance for its Harley-Davidson Motor Company (HDMC) and Harley-Davidson Financial Services (HDFS) segments for the second time this year, according to the company’s third-quarter 2026 earnings release. HDMC revenue fell 10 percent from a year earlier to $964 million, and the Milwaukee-based company also announced the appointment of two independent directors to its board.

The company said the revenue decline was driven by lower shipment volume. HDMC operating income was $44 million, down 18 percent year over year, and segment operating margin was 4.6 percent compared with 5.0 percent a year earlier. Gross margin percentage increased 173 basis points year over year to 28.1 percent, while operating expenses of $227 million were 1 percent lower than a year ago. Adjusted EBITDA margin for HDMC, a non-GAAP measure, improved to 9.7 percent from 8.7 percent in the prior year.

Net income attributable to Harley-Davidson was $43 million, down from $377 million in the third quarter of 2025. The company said the decrease resulted primarily from HDFS’s sale of the majority of its securitization beneficial interests and retail finance receivables in the prior year, which drove a benefit in the third quarter of 2025. Diluted earnings per share were $0.40, compared with $3.10 a year earlier, per the condensed consolidated statements included in the release.

Retail Sales Rise as Shipments Decline

North American retail sales of new motorcycles rose 9 percent year over year in the quarter, the fourth consecutive quarter of year-over-year growth and an acceleration from 3 percent growth in the previous quarter. Global retail sales rose 5 percent, with North America and Asia-Pacific driving growth; Asia-Pacific grew 1 percent overall while Australia and New Zealand grew 15 percent.

Worldwide retail sales totaled 35,833 units versus 33,984 a year earlier, comprising 23,812 in the United States, 1,791 in Canada, 4,764 in EMEA, 4,702 in Asia Pacific, and 764 in Latin America. The company noted that the retail figures are compiled from new sales warranty and registration information supplied by dealers, that it does not regularly verify the dealer-supplied information, and that the data is subject to revision.

Global dealer inventory of new motorcycles ended the quarter down 26 percent versus the third quarter of 2025 and down 6 percent versus the second quarter of 2026. In North America, 91 percent of dealer inventory consisted of current Model Year 2026 motorcycles, up from 86 percent a year earlier.

HDMC worldwide motorcycle shipments were 33,616 units, down 8 percent from 36,524 in the prior-year quarter, a reduction the company said was intended to drive long-term dealer health in alignment with its Back to the Bricks strategy. By product family, Grand American Touring shipments, including Trike, were 17,970 units; Cruiser shipments were 11,382; Sport and Lightweight shipments were 3,219; and Adventure Touring shipments were 1,045.

“We are pleased with the continued progress made toward aligning wholesale activity with retail demand, achieving a further 26 percent reduction in dealer inventory while delivering 5 percent growth in global retail sales compared with Q3 2025,” said Artie Starrs, president and chief executive officer. Starrs said models including the Super Glide and Deadwood are creating a deeper connection between the brand and riders, that the dealer network is becoming increasingly profitable, and that the company is executing its Back to the Bricks strategy one full quarter into the plan.

HDFS operating income was $10.758 million, down from $438.820 million a year earlier, on revenue of $110.758 million versus $261.188 million. The segment’s operating income margin was 9.7 percent versus 168.0 percent in the third quarter of 2025, and the company said its annualized managed retail credit loss ratio for the quarter was below the same periods in 2024 and 2025.

The LiveWire segment recorded revenue of $7.864 million versus $5.563 million a year earlier, with an operating loss of $17.752 million versus $18.181 million. LiveWire motorcycle shipments were 241 units versus 184. The LiveWire figures represent the reportable segment determined under Financial Accounting Standards Board Accounting Standards Codification 280, Segment Reporting, and may differ from LiveWire Group, Inc. (LVWR ) results, the company noted.

Harley-Davidson returned $110 million to shareholders in the quarter, consisting of $91 million in discretionary share repurchases and $19 million in cash dividends, with cash dividends of $0.1875 per share. Cash and cash equivalents were $2.1 billion as of 30. september 2026. For the first nine months of 2026, net cash provided by operating activities was $275.934 million versus $416.903 million a year earlier, and capital expenditures were $64.422 million versus $102.090 million.

Raised 2026 Outlook and Board Appointments

For full-year 2026, the company now expects HDMC global motorcycle retail sales of 135,500 to 139,000 units and global wholesale shipments of 135,500 to 139,000 units, with HDMC operating income of $25 million to $55 million. HDFS full-year operating income guidance was raised to $60 million to $70 million, and the company revised its full-year capital investment guidance to $140 million to $165 million. LiveWire has withdrawn its guidance.

The board appointed Anthony D. Fassino and Bryan E. Slone as independent directors, effective 28. oktober 2026, bringing the total number of directors to ten. According to the release, Fassino recently retired from Caterpillar Inc. (CAT ) as group president of Construction Industries, where he led an approximately $25 billion global construction business during a 30-year career at the company. Slone is a former managing partner of Deloitte’s Nebraska office and a former president and chief executive of the Nebraska Chamber of Commerce & Industry; he currently serves as counsel with the law firm Koley Jessen and sits on the boards of Ameritas Mutual Holding Company, Ameritas Life Insurance Corp., and First National of Nebraska, Inc., chairing the audit committee of each.

“Tony and Bryan are complementary additions to the Board and Harley-Davidson leadership,” said Troy Alstead, chairman of the board, who added that the appointees’ combined experience deepens audit and risk knowledge across both HDMC and HDFS.

The company scheduled an audio webcast for 8:00 a.m. CDT on 29. oktober 2026 to discuss the results and outlook, with a replay to be made available by approximately 10:00 a.m. CDT.