After punitive tariffs and boycott calls from US President Trump, motorcycle icon Harley-Davidson does not come out of the crisis. The company’s share sinks.
Fourth quarter sales decreased 8.5 percent year over year to $ 874 million, the company said in Milwaukee on Tuesday. Harley-Davidson continues to groan under that instigated by the US government trade dispute with China and the EU, which has led to high import duties on the manufacturer’s products.
But also in the US home market and in Canada, significantly less was sold in the United States the sales rate dropped to its lowest level in several years. Although profits increased from $ 0.5 million to $ 13.5 million, this was mainly due to the high costs in the previous year. Analysts had expected significantly better numbers. The results were not well received by investors. The stock clearly fell into the red.
Future plans for 2020
“We see 2020 as a crucial year for Harley-Davidson change,” said CEO Matt Levatich. The company is suffering from an aging clientele and conflicts with supporters of the US President Donald Trump, This had attacked Harley-Davidson because of production relocations abroad, which led to calls for boycotts. The company now wants to get the curve with electric motorcycles that should appeal to younger buyer groups.
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