Sometimes a company has to face some uncertainties due to which they might not earn that much revenue which has been predicted; the same thing is happening with Harley Davidson. Recently the company released its fourth-quarter earnings report which states that the company did not manage to live up to its expectation hence share of it fell by 7 percent. The motorcycle company is finding itself in a hard position from the last few years since the targeted customer base of the company is decreasing. The company has tried its best to come up with the latest new bikes for the youngsters, but it seems like the majority of the youngsters are not interested in the company’s bikes anymore. However, even if the company’s sales went down a little bit, it has managed to get more than 520000 riders which are a good thing for the company’s growth.
The performance of the fourth quarter was not that much worse because the company’s earning per share was 17 cents as compared to the prediction of 25 cents. The revenue of the company stood at $1.15 billion as compared to the forecast of $1.05 billion. Harley-Davidson isn’t that company whose revenue base has increased, but still, it managed to earn less amount of EPS. One of the primary reason why Harley Davidson is facing that much problem is that the current generation is not that much interested in buying the company’s bikes. In the late 80s, the motorcycle company managed to earn a considerable amount of revenues because at that time it was an innovative bike for that generation.
However, the company has released their official statement and said that they are expecting at least 2 million new users in next ten years of the period which is a grand ambition if we looked at the current performance of the company.
David has an industrial background. He has a rich experience in covering business and science-related news, thanks to his love for finance and interest in space exploration. At the Prudour News, David is the go-to guy whenever we decided to cover business and science sections. In his spare time, he likes to attends conferences and forums on space exploration and shares his experience and views with people.