Finance
Harley plans to drive profitability with affordable models, lean inventory
Published by Global Banking and Finance Review
Posted on November 4, 2025
Global Banking and Finance Review
Company
Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
Published by Global Banking and Finance Review
Posted on November 4, 2025
By Nathan Gomes
(Reuters) -Harley-Davidson said on Tuesday it planned to tighten its inventory and shift focus to more affordable motorbikes to offset the cost of tariffs amid slowing demand.
Harley, which continued to withhold its annual forecast due to tariff uncertainties, has traditionally leaned on its affluent customer base to drive sales of higher-margin custom cruisers. But the focus has now shifted towards modern, lighter and affordable models aimed at younger riders.
The company aims to make a mark with its affordable "Sprint" model, slated for release in 2026. The motorbike is set to carry an entry price of below $6,000.
"Young people are looking for something that's fun and maybe has seriousness to it, but not as serious as we're currently presenting it," Harley CEO Artie Starrs said.
The company flagged a tariff charge of $27 million in the quarter, up from a $13 million hit during the prior quarter, as it navigates U.S. President Donald Trump's broad range of tariffs on parts and imports of crucial components such as semiconductors.
However, it tightened its annual tariff hit forecast to between $55 million and $75 million, from $50 and $85 million. Starrs said that retail sales were challenged, and that there was a "lot of work ahead."
Shares of the company fell over 5%.
Still, third-quarter revenue topped estimates on demand for high-margin custom touring models and better operating profit from its financial business.
Its quarterly profit rose to $377 million, or $3.10 per share, from $119 million, or 91 cents per share, a year earlier.
Harley's sales from motorcycles and related products rose nearly 23% in the quarter ended September 30 to $1.07 billion from a year earlier. Analysts on average had expected sales of about $1 billion, according to data compiled by LSEG.
(Reporting by Nathan Gomes in Bengaluru; Editing by Maju Samuel)