Some of Harley-Davidson’s Q2 2026 results, released on 23 July, were worth bragging about, and some of them weren’t. Naturally, Harley president and chief executive Artie Starrs laid the good bits on thick. “Second quarter performance reflected strength in our domestic retail business, continued focus on healthy dealer inventory levels and the exceptional commitment of our dealer network,” he said. “We also made meaningful progress against our Back to the Bricks strategic initiatives, strengthening execution across the business and driving improved profitability. Given this progress, our first-half results and market share gains, we are raising full-year guidance and remain confident in our ability to create long-term value for shareholders.”
Nevertheless, Q2 2026 highlights were patchy. North American retail motorcycle sales of 29,751 units were 3% up year-on-year. But global dealer inventory of new motorcycles ended Q2 17% down year-on-year. Included among them was introduction of a new 2026 Super Glide model in June. However, global shipments from the company’s HDMC manufacturing arm of 39,209 units were 9% up in Q2. On the other hand, net profit attributable to the Harley-Davidson Incorporated (HDI) parent of £68.3m fell by 26% year-on-year, primarily due to a shift by the HDFS finance arm to a “capital light model”.
Evidently, this was partially offset by an HDMC improvement – HDMC revenue of £824.5m had risen by 6% year-on-year.
Beyond that, the picture was less attractive. The HDMC adjusted Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) margin of 10.4% in Q2 2026 compared poorly with 9.3% in Q2 2025. And the HDFS operating profit margin of 18.5% had plunged from 27.1% in Q2 2025. All of this delivered diluted EPS (earnings per share) of £0.56, down by 15% versus Q2 2025.
Worldwide total Harley-Davidson retail motorcycle sales in Q2 grew by 1%. Apart from the already quoted 3% increase in North America, sales in the EMEA region (predominantly Europe) fell by 9% to approximately 7000 units. The touring and sport categories were reportedly positive, but the German market declined. Asia Pacific flatlined at 5000 units, with slightly positive growth from Australia and New Zealand. Latin America improved by 4% to 80 units, with gains in Mexico and a modest decline in Brazil.
Elsewhere in the business, Harley-Davidson Financial Services (HDFS) revenue sank by 55% to £87.8m. Operating profit plunged by 69% to £16.6m. Credit losses were significantly lower, due to the decreased size of the retail loan portfolio and related debt on a year-over-year basis.
$-£ currency translation at forex rates applicable on 23 July