Decline in sales and slump in profits
Compared to the first quarter of 2024, Harley-Davidson recorded a 23% decline in sales. Diluted earnings per share (earnings per share including potential shares) fell by a whopping 38% to USD 1.07 – currently equivalent to around € 1.00 (as of May 2025). According to the outgoing CEO, the result was “better than expected”, but the level is still significantly below the previous year.
Segment analysis: declines across the board
The Group divides its activities into three core segments:
- Harley-Davidson Motor Company (HDMC): classic internal combustion motorcycles, accessories, apparel
- Harley-Davidson Financial Services (HDFS): financing and insurance
- LiveWire: electric motorcycles and e-bikes (incl. STACYC)
HDMC: Global sales figures in decline
The HDMC division, the heart of the company, reports a 21% decline in global sales for Q1 2025. The development in the individual markets is particularly striking:
- North America: -24%
- Europe, Middle East and Africa (EMEA): -2%
- Asia-Pacific: -28%
- Latin America: -6 %
The market shares reflect these figures. In the USA, the share fell slightly from 37 % to 36 %. In Europe, however, the market share fell dramatically: from 5 % to just 2 %, a drop of more than half.
HDFS: Slight increase in operating result
The financial services segment proved to be somewhat more stable. Although turnover fell by 2%, the operating result rose by 19% compared to the same quarter of the previous year – a rare ray of hope in an otherwise gloomy report.
LiveWire: Hardly any motorcycles sold
There was also little good news to report from the LiveWire electric brand. Only 33 LiveWire motorcycles were sold worldwide in the first quarter of 2025 – a decline of 72%. E-bikes (STACYC) sold slightly better with 1,970 units, but this also represented a drop of 33%. Total sales in the LiveWire division fell to 3 million US dollars (approx. €2.8 million), a decline of 42%.
The only positive aspect is that the operating loss was reduced compared to Q1 2024 – from USD 29 million to USD 20 million (approximately € -26.2 million to € -18 million), a decrease of around 32%. Nevertheless, the segment remains deep in the red.
Trade conflicts and weak consumer sentiment are an additional burden
In its quarterly report, the manufacturer also comments on the current customs problems. Although most Harley models are manufactured in the USA, international uncertainty and the tense economic climate are having a negative impact on consumer sentiment – especially in markets such as the USA, where motorcycles are primarily seen as leisure vehicles. In many parts of the world, however, they are an everyday means of transportation – which is not really helping Harley at the moment.
Forecast for 2025 withdrawn
In light of this mixed situation, Harley-Davidson officially declared: “Due to the uncertain global customs situation and macroeconomic conditions, we are withdrawing our financial outlook for the full year 2025. “ A clear signal that the company is not expecting a quick recovery.
Conclusion: course correction urgently needed
Harley-Davidson is still in crisis. Although there has been minor progress in individual segments, the overall trend is clearly pointing downwards. With the annual forecast canceled and weak sales worldwide, the traditional manufacturer is facing an uncertain future. It remains to be seen whether a realignment – particularly with regard to electromobility – can bring about a turnaround.
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