Harley-Davidson (HOG) Q4 2025 earnings summary

Executive summary

• 2025 was a challenging year with significant macro and company-specific pressures, leading to a reset of business priorities and a focus on stabilizing operations for a more sustainable future in 2026 and beyond.

• Leadership changes and organizational restructuring were implemented to improve agility, decision-making, and accountability, with a renewed emphasis on dealer relationships and brand culture.

• Diluted EPS for 2025 was $2.78, with a Q4 loss of $2.44 per share, reflecting challenging market conditions and operational headwinds.

• Global retail motorcycle sales declined 12% year-over-year to 132,535 units, with shipments down 16%.

• $434 million was returned to shareholders through $347 million in share repurchases and $86 million in dividends.

Financial highlights

• Full year consolidated revenue was $4.47 billion, down 14%; Q4 revenue down 28% year-over-year.

• Full year net income attributable was $339 million, down 19%–26% year-over-year; Q4 net loss was $279 million.

• HDMC full year operating loss was $29 million, compared to $278 million income in 2024; Q4 operating loss was $260 million.

• HDFS delivered record full year operating income of $490 million, up 97% year-over-year, driven by favorable credit loss provisions and higher other income.

• LiveWire posted a full year operating loss of $75 million, a 32% improvement year-over-year.

Outlook and guidance

• 2026 is viewed as a transition year, with margins expected to remain under pressure due to lower production and higher tariffs.

• 2026 guidance: global motorcycle retail and wholesale shipments of 130,000–135,000 units, with a one-to-one relationship expected.

• HDMC operating income expected between $(40) million and $10 million; HDFS operating income $45–$60 million.

• LiveWire operating loss projected at $(70)–$(80) million; capital investment planned at $175–$200 million.

• $150 million in annual run-rate savings expected to be realized starting in 2027, not including LiveWire.