On October 26, 2023, Harley-Davidson released its financial results for the third quarter of 2023. The company reported an increase of 25 percent in CVO retail sales, which was seen as positive news. However, a closer examination of the revenue and motorcycle sales figures revealed a less optimistic outlook.

Harley-Davidson divides its reporting into three segments: Harley-Davidson Motor Company (excluding LiveWire), Harley-Davidson Financial Services, and LiveWire. This reporting structure has been in place since LiveWire became its own separate company in 2022.

Combined, these segments form Harley-Davidson Incorporated, which reports its Consolidated Financial Results. In comparison to the third quarter of 2022, the Motor Company reported a 24 percent decrease in profits. As a result, stock shares fell by 11 percent in response to this news, according to Reuters.

Turning our attention to motorcycle sales, Harley-Davidson reported a decline in retail sales across all geographic regions for the third quarter of 2023. Worldwide sales decreased by 16 percent compared to the same period last year.

Here is a breakdown of the sales by region: North America experienced a 15 percent decrease, Europe, the Middle East, and Africa saw a 13 percent decline (EMEA), Asia Pacific sales dropped by 24 percent, and Latin America experienced an 11 percent decrease in the third quarter of 2023.

It’s worth noting that LiveWire, Harley-Davidson’s electric motorcycle, is reported differently than its traditional motorcycles. LiveWire’s figures represent “Electric Motorcycle Shipments” rather than sales. In the third quarter of 2023, a total of 50 LiveWire electric motorcycles were shipped, marking a 76 percent decrease from the 206 shipments in the same period of 2022.

Considering LiveWire is still in its early stages and new technologies often face challenges, it is important to keep expectations in check. Additionally, Harley-Davidson only recently started selling its bikes in Europe, a market where electric motorbikes have gained more acceptance.

While electric motorcycles have gained popularity in Europe and Asia, the adoption rate in the US has been slower. As LiveWire establishes itself in Europe and other international markets, particularly with the S2 Del Mar model, it is hoped that it will find a more receptive audience.