Harley Davidson (HOG) Q3 Earnings Were Better Than Expected
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Summary:
- The third-quarter results for Harley-Davidson HOG beat expectations.
- Harley's goals and plans for enhancing operational performance are called Hardwire.
- Harley stock had lost roughly 2% of its value as of Wednesday's trade.
Harley Davidson beat market expectations
The third-quarter results for Harley-Davidson HOG +11.15% were better than expected. The business is advancing in optimizing its processes.
On Wednesday, Harley (ticker: HOG) announced $1.78 in earnings per share on $1.65 billion in revenues. Wall Street anticipated sales of $1.37 billion and a share price of roughly $1.40. Operating profit margins increased to 20.6% from 14.9% in the third quarter of 2021 and 17% in the second quarter of 2022, respectively.
“ Harley-Davidson delivered a strong third quarter with solid growth for both revenue and operating income, aligned to our Hardwire strategic initiatives,” said CEO Jochen Zeitz in the company’s news release. “We are reaffirming our outlook for the year, and as we approach our 120th anniversary that we will be celebrating in our hometown Milwaukee and around the world.”
Harley's goals and plans for enhancing operational performance are called Hardwire. In 2022, Harley anticipates a 20% to 25% increase in operating profits. That suggests operational revenue of around $1 billion in 2022. Currently, Wall Street is simulating around $870 million.
Harley has generated operating profit of roughly $900 million so far this year. There is now roughly $100 million left to spend in the fourth quarter. Wall Street presently forecasts an operating profit for the time period of roughly $32 million.
Harley stock had lost roughly 2% of its value as of Wednesday's trade, less than the corresponding 19% loss of the S&P 500.
Following earnings, options markets predict that shares will change by about 8%, either up or down. In response to the last four quarterly reports, shares have changed by about 7%, either up or down. Over that time, shares have increased four times and decreased once.
HOG Price Chart
Sources: finance.yahoo.com, barrons.com
