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Because of the consternation shown in the "down 4%" sales thread elsewhere here in Chit Chat, I thought I'd add what HD has done in the same time frame internationally. Makes one sick.

Based on the fact that HD hit a home run this year, and BMWNA lost total number of sales, from a strictly business stance, it seems time to clean house at BMWNA and start over. The opportunity to show increased sales could not have been better given a great market for MC in general and new exciting (to me) products, that though pricey compared to some UJM's, are very reasonable compared to the HD's that sold in large numbers.

I don't understand what happened to BMW sales in the US, but if I were sitting in the DR HQ, I'd have to stop the train and rethink all marketing activities.

Meanwhile, congrats to HD...what a great job of running a business.




Business

Harley-Davidson profit jumps, shares rise



(2005-10-12) By Ben Klayman

CHICAGO (Reuters) - Harley-Davidson Inc. on Wednesday posted a 16 percent increase in third-quarter profit as demand for its iconic motorcycles rose more than the market, sending shares up more than 6 percent.

Net income increased to $264.9 million, or 96 cents a share, from almost $229 million, or 77 cents a share, a year earlier. Analysts on average were expecting 90 cents a share, according to Reuters Estimates.

Sales rose 10 percent to $1.43 billion, meeting Wall Street's expectations, as demand for Harley motorcycles outpaced the total industry in each of the company's major markets.

"Not only were retail sales good in the quarter, outperforming the market, but also the guidance for next year is up 6 to 7 percent, which is in line with what the Street had," said FTN Midwest Research analyst Brian Rayle, who has a "neutral" rating on Harley's stock.

Investors have been concerned about whether the Milwaukee-based company can achieve its long-term growth targets amid fears of slowing retail demand for its Harley brand.

Shares of Harley, whose competitors include Honda Motor Co. Ltd. <7267.T> and Kawasaki Heavy Industries Ltd. <7012.T>, have slid almost 25 percent so far this year, compared with a 2.2 percent decline in the Standard & Poor's 500 index <.SPX>.

"Our motorcycles sold at a brisk pace in all of our worldwide markets," Chief Executive Jim Ziemer said in a statement, citing a 12 percent increase in U.S. retail sales of the Harley brand motorcycles.

Retail sales rose 11.5 percent in Europe and 13 percent in Japan. Retail sales worldwide rose 12.1 percent.

The company said it remains on track to ship 329,000 Harley motorcycles this year and affirmed its 2005 profit outlook.

In July, Harley raised its earnings-per-share growth target for the year due to share repurchases to between 10 percent and 13 percent from a previous range of 5 percent to 8 percent.

Given uncertainty surrounding consumer confidence, increasing fuel prices and rising interest rates, the company set a 2006 shipment target range of 348,000 to 352,000 Harley motorcycles, Ziemer said, calling it a "conservative outlook."

Harley also broadened its long-term forecast on wholesale unit growth to 5 percent to 9 percent annually, he said. That supports an annual earnings-per-share growth target in the range of 11 percent to 17 percent.

It previously said its longer-term growth forecast for motorcycle unit shipments was 7 percent to 9 percent, supporting earnings-per-share percentage increases in the mid-teens.

Third-quarter sales from Harley motorcycles rose 11.4 percent to $1.11 billion, while global shipments increased 8.7 percent to 87,585 units.

Harley's gross profit margin in the quarter improved to 39.2 percent of sales, compared with 38 percent a year before, due mostly to strong sales of higher-profit vehicles.

In trading before the market opened, Harley shares were up $3.00, or 6.6 percent, to $48.60 on the Inet electronic brokerage from Tuesday's New York Stock Exchange close.



© Copyright 2005, REUTERS
 

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If I recall a recent MCN article correctly, what HD does, is a good job in manipulating their stock. Some dealers were suing for shipment of unwanted bikes, and the SEC investigating for improper statement of quarterly results. I have owned HDs, and like them, but all is not perfect in the HD world either.
 

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face it, harley is using a business model that works. whether they adopted it by accident or design is irrelevant ... it works. i say: more power to 'em. free enterprise at work. those who can, do; those who can't fall by the wayside. just ask indian, montessa, maico, bultaco and scores of companies that have failed over the years. if it weren't for free enterprise we'd all be riding urals.

if BMW is one of the companies that loses market share then shame on them. they have no one to blame but themselves. i am hoping that the K1200S, K1200R, R1200RT and R1200GS marks the beginning of a progressive new attitude that will allow them to compete.

who knows ... they may even come up with decent customer support.
 

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KBandit said:
who knows ... they may even come up with decent customer support.
But will it be in time.:confused:
 

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BMW keeping pace with HD

pjessen said:
"Our motorcycles sold at a brisk pace in all of our worldwide markets," Chief Executive Jim Ziemer said in a statement, citing a 12 percent increase in U.S. retail sales of the Harley brand motorcycles.

Retail sales rose 11.5 percent in Europe and 13 percent in Japan. Retail sales worldwide rose 12.1 percent.

The company said it remains on track to ship 329,000 Harley motorcycles this year and affirmed its 2005 profit outlook.
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From the Dow Jones Newswire (Oct. 7) in an article about worldwide BMW sales:

"Sales at BMW's motorcycle unit in September were 7,089 vehicles, down 4.2% from 7,402 last year. In the first nine months of the year, sales rose 12% to 80,840 from 72,186."

It seems, at least on a global scale, BMW is keeping pace with HD. Both companies' unit shipments grew faster than the market, though BMW's market share is obviously much smaller.

Does anyone have BMW numbers for specific markets?

Nathan
 

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my tak.e

A lot more people are getting into motorcycle ownership for the first time. Whether it is a "retirement" thing, or just "always wanted to", what ever. The HD is what all americans think when they think motorcycle! Let's face it, the HD is a great beginner bike. As long as you want to stay on the boulevard, lookin good and not wanting to seek a speed thrill, they are great! After learning to ride, you start drifting towards the outback, longer rides, traveling, those will folks upgrade to a real bike.
larry
 

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Can't ya just "Feel" the love.......

Stoker100 said:
Let's face it, the HD is a great beginner bike. As long as you want to stay on the boulevard, lookin good and not wanting to seek a speed thrill, they are great! After learning to ride, you start drifting towards the outback, longer rides, traveling, those will folks upgrade to a real bike.
larry
If it makes you feel better to "talk down" another brand, then have at it. Just don't describe yourself as a "motorcyclist" to me.

JMO but, Let's face it.....sometimes it is better to keep quit and let others "suspect", then to open your mouth and "confirm" it.

regards
 

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I've read what everyone here thinks and as this is chit chat I felt it necessary to put forth a little theory I have that was relivent to me. I SUPPORT the War in Iraq, The German's didn't. I wasn't about to give my hard earned American Greenbacks to a country that wasn't on OUR side. I was looking REAL hard at a Road Glide but the prices shot up about the time I was going to buy.
When I found a used LT I figutrd I'de give it a try, if I didn't like it I could always sell and buy an HD this winter when prices go down. I wasn't giving my money to Germany but to an American Guy. Rational, only to me, but that's who I am. I'll do most of the service myself as the bike was out of warranty and I'm pretty handy. Has an extended thru Pinnacle, American I think? Deep down we're all pretty patriotic considering the circumstances. It validates it for me. Now, let the feathers fly.
 

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Hello Larry,

I'm just not a fan of "brand-bashing". I've owned Honda's, Yamaha's, Suzuki's, BMW's, Harley's, etc... enjoyed them all. Some had better features or comfort or performance then the others, but they were all fun to ride. I just never saw the need to "run-down" any one against another.

regards
 

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That's OK Brian, you did good to buy a motorcyle that is returning pleasure to you. You should enjoy what you have and not worry about brand affilliation. Besides, what you thought you were spending your money on (HD) is mostly parts "Made In China" anyway. :D
 

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Russ said:
Hello Larry,

I'm just not a fan of "brand-bashing". I've owned Honda's, Yamaha's, Suzuki's, BMW's, Harley's, etc... enjoyed them all. Some had better features or comfort or performance then the others, but they were all fun to ride. I just never saw the need to "run-down" any one against another.

regards
Hi Russ

Does your Harley have a stock exhaust? Brand-bashing H-D is perfectly legitimate, as long as most of them make the amount of noise that they do. Get your H-D buddies to return to a showroom-stock noise level, and your criticism will have merit.

- Bob
 

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Whew!
Thanks Stew,
Glad I bought the Beemer, thank goodness thats cleared up!
 

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bob_menton said:
Hi Russ

Does your Harley have a stock exhaust? Brand-bashing H-D is perfectly legitimate, as long as most of them make the amount of noise that they do. Get your H-D buddies to return to a showroom-stock noise level, and your criticism will have merit.

- Bob
Hello Bob,

Why, yes it does have a stock exhaust, along with a stock motor. I enjoy listening to my stereo.

Oh, and in the "spirit" of the question asked of me :).... get your (insert brand) buddies to stop using the public streets/highways as their personal race track AND to stop "bragging" about riding 45mph posted corners at 70 mph and/or riding 75mph posted freeways at 90mph "plus". Brand bashing (insert brand) is perfectly ligitimate as long as most of them make no effort to obey the posted speed limits (+/- 5mph). Get your (insert brand) buddies to return to the posted speed levels, and your criticism will have merit.

Bob, neither you or I are responsible for our "buddies" and how they ride or sound. Just let the legal system handle both.



regards
 

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Chit Chat or Tit for Tat?

Groan... :(
 

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Russ said:
Hello Bob,

Why, yes it does have a stock exhaust, along with a stock motor. I enjoy listening to my stereo...

...Bob, neither you or I are responsible for our "buddies" and how they ride or sound. Just let the legal system handle both.

regards
One of the very few Harley riders with a stock exhaust. Congratulations, Russ. Last time I "heard" one of those, it was a police Harley in Daytona. Followed it for a while until I realized why it was so quiet, as none of the other Harleys were. You are in a distinctly small minority.

But the legal system isn't "handling" the noise problem, and the noise problem is primarily a Harley problem (minor exceptions noted). Speeding is always subject to enforcement, and can be achieved on any brand of machine, but excess bike noise is tolerated/ignored by those who could enforce existing regulations but don't. Meanwhile, influential members of the non-biking community continue to close roads and deny bike entrance to gated communities (all bikes, not just the loud ones) because of noise.

Since law enforcement of excess bike noise is nonexistent, we need to try to exert peer pressure on our "buddies" and their noisy Harleys. Thus ... Harley bashing. Re bike noise, the law ain't doin' it, my friend, and hasn't for many, many years.

- Bob
 

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But the legal system isn't "handling" the noise problem, and the noise problem is primarily a Harley problem (minor exceptions noted). Speeding is always subject to enforcement, and can be achieved on any brand of machine,

- Bob[/QUOTE]

Harley problem noise? say it aint so :0) as far as speeding on a stock Harley sure it is possible to 45 in a 35 zone on a stock one. Except a v-rod have not beat one yet!

Seriously why are they so loud and so slow, usually 5 below the posted limit. and around 90 to 100db's

Really at times, where I have to follow these jokers I wish I could release the stench of a septic tank for a few miles in front of them.

Guess the most popular brand out front of the saloons is all week end?

Just a observation, not a judgement of character.
 

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i've got supertrapps on my triumph. LOVE the growl. and if i ever bought a harley (good possibility i'll buy a buell at some point), chances are i wouldn't leave the exhaust stock. i like a little rumble. wouldn't run straight pipes, though.

i'm leaving my LT exhaust alone, though, 'cause noisy touring bikes don't make sense to me.

so i reckon that makes me both good and bad.

i feel so ... so ........so CONFLICTED! (pausing to sob loudly, soiling my keyboard)
 
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