A softening sentiment in new motorcycle sales worldwide has also hit the American brand, Harley-Davidson (H-D). While the Milwaukee firm’s overall sales fell by 1.6%, in the US market, which it dominates with just over 50% market share, sales fell by 3.9%, which saw 161,658 H-Ds of all types head off the showroom floor.
In monetary terms, this translated into an 8% drop in nett income, to 692.2 million USD (RM3.07 billion) for 2016. However, overall turnover for H-D remained the same, at 6 billion USD (RM26.6 billion).
The drop in H-D’s bottom line was held up, somewhat, by strong sales in the Asia-Pacific region, as well as the Europe, Middle East and Africa (EMEA) markets. 2016 also saw the opening of 40 new H-D dealerships across the globe.
“Our long-term strategy is all about growing ridership in the U.S., growing reach and impact internationally, and growing share and profit in every market we serve,” said Harley-Davidson chief executive officer and president Matt Levatich. “Our goal over the next 10 years is to build the next generation of Harley-Davidson riders worldwide.”
Going forward, H-D does not seem too optimistic, predicting that sales of its V-twins will be somewhat flat, or see a slight decline. H-D is focusing its sights on the overseas market, and attracting riders from all age groups with the launch of 50 new models over the next 5 years, as well as opening a further 150 to 200 new dealerships.