The chart below shows how LVWR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, LVWR sees a +8.95% change in stock price 10 days leading up to the earnings, and a -7.38% change 10 days following the report. On the earnings day itself, the stock moves by -0.69%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Touring Segment Growth: The launch of the new Model Year '24 Touring motorcycles contributed to nearly 5% growth in the U.S. Touring segment, increasing Harley Davidson's market share to almost 75%, a 3.5% increase since 2023.
Touring Segment Sales Increase: Retail sales of the Touring segment finished the year up more than 8%, despite an overall decline of 4% in North America for the full year.
Productivity Savings Impact: Harley Davidson achieved $257 million in productivity savings, contributing positively to cash flow and demonstrating effective cost management.
Strong Cash Flow Growth: Operating cash flow exceeded $1 billion in 2024, marking a nearly 40% increase from the prior year, showcasing strong cash generation capabilities.
Share Repurchase Program: In 2024, Harley Davidson repurchased 12.5 million shares of common stock for a total value of $450 million, representing 9% of shares outstanding at the beginning of the year.
Negative
Global Retail Sales Decline: Global retail sales declined by 15% in Q4, with North America down 13% and international regions down 17%, contributing to a full-year decline of 7%.
Q4 Revenue Decline: Consolidated revenue in Q4 decreased by 35%, primarily due to a 47% drop in HDMC revenue, resulting in an operating loss of $193 million compared to a loss of $21 million in Q4 2023.
Operating Income Decline: Full-year consolidated operating income fell by 47% to $417 million, with HDMC operating income down 58% to $278 million, reflecting significant challenges in the market.
Earnings Per Share Decline: Earnings per share for Q4 was a loss of $0.93, down from a profit of $0.18 in the same quarter last year, indicating a substantial decline in profitability.
Operating Loss and Revenue Decline: LiveWire reported an operating loss of $110 million for the year, with revenue down 31%, highlighting ongoing struggles in the electric motorcycle segment.
Earnings call transcript: Harley-Davidson Q4 2024 reports revenue decline
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