(Reuters) -Harley-Davidson trimmed its income forecast for the yr as sticky inflation and excessive borrowing prices damage demand for bikes in North America, sending the corporate’s shares down 7% earlier than the bell.
Demand for leisure merchandise within the U.S. has been weak as Individuals stay cautious of depleting financial savings and rising bank card debt.
“We’ve labored diligently by means of the quarter to mitigate the affect of excessive rates of interest, and macroeconomic and political uncertainty, that proceed to place stress on our trade and clients, particularly in our core markets,” Harley CEO Jochen Zeitz stated.
Internet revenue attributable to Harley-Davidson (NYSE:) fell to $119 million, or 91 cents per share, within the third quarter, in contrast with $199 million, or $1.38 per share, a yr earlier.
The corporate stated on Thursday it now expects 2024 income from bikes and associated merchandise to be down 14% to 16%, in contrast with its prior forecast of down 5% to 9%.