HARLEY-DAVIDSON INC
For the period ended Dec 31, 2023. Filed Feb 23, 2024.
View on SEC.govAbout this filing
A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2023 · Filed Feb 23, 2024
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
18. Reportable Segments and Geographic Information
- Reportable Segments and Geographic Information
Reportable Segments– The Company operates with three segments: Harley-Davidson Motor Company (HDMC), LiveWire, and Harley-Davidson Financial Services (HDFS). The Company's reportable segments are strategic business units that offer different products and services and are managed separately based on the fundamental differences in their operations.
HDMC designs, manufactures and sells motorcycles and also sells motorcycle parts, accessories, and apparel as well as licenses its trademarks. HDMC’s products are sold to retail customers primarily through a network of independent dealers. HDMC conducts business on a global basis, with sales in the U.S., Canada, Europe/Middle East/Africa (EMEA), Asia Pacific, and Latin America.
LiveWire sells electric motorcycles, electric balance bikes for kids, parts and accessories and apparel in the United States and certain international markets. Electric motorcycles, related parts and accessories and apparel are sold at wholesale to a network of independent dealers and at retail through a company-owned dealer, through online sales and direct to customers through select international partners primarily in Europe. Electric balance bikes and related parts and accessories are sold through independent retail partners and distributors and direct to consumers online.
HDFS is engaged in the business of financing and servicing wholesale inventory receivables and retail consumer loans, primarily for the purchase of Harley-Davidson and LiveWire motorcycles. HDFS also works with certain unaffiliated third parties to provide motorcycle insurance and voluntary protection products to motorcycle owners. HDFS conducts business principally in the U.S. and Canada.
Selected segment information is set forth below for the years ended December 31 (in thousands):
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| HDMC: | |||
| Revenue | $4,844,594 | $4,887,672 | $4,504,434 |
| Gross profit | 1,566,542 | 1,527,873 | 1,299,527 |
| Selling, administrative and engineering expense | 905,391 | 850,786 | 822,720 |
| Operating income | 661,151 | 677,087 | 476,807 |
| LiveWire: | |||
| Revenue | 38,298 | 46,833 | 35,806 |
| Gross profit | (5,956) | 2,904 | (2,574) |
| Selling, administrative and engineering expense | 110,853 | 88,219 | 65,608 |
| Operating loss | (116,809) | (85,315) | (68,182) |
| HDFS: | |||
| Financial services revenue | 953,586 | 820,625 | 796,068 |
| Financial services expense | 718,844 | 503,119 | 381,254 |
| Operating income | 234,742 | 317,506 | 414,814 |
| Operating income | $779,084 | $909,278 | $823,439 |
Additional segment information is set forth below as of December 31 (in thousands):
| HDMC | LiveWire | HDFS | Consolidated | |
|---|---|---|---|---|
| 2023: | ||||
| Assets | $3,644,016 | $266,404 | $8,230,134 | $12,140,554 |
| Depreciation and amortization | $143,355 | $5,832 | $8,925 | $158,112 |
| Capital expenditures | $188,863 | $13,462 | $5,079 | $207,404 |
| 2022: | ||||
| Assets | $3,254,309 | $351,422 | $7,886,745 | $11,492,476 |
| Depreciation and amortization | $138,875 | $4,401 | $8,666 | $151,942 |
| Capital expenditures | $133,191 | $14,081 | $4,397 | $151,669 |
| 2021: | ||||
| Assets | $3,246,340 | $61,952 | $7,742,763 | $11,051,055 |
| Depreciation and amortization | $151,251 | $4,718 | $9,216 | $165,185 |
| Capital expenditures | $106,044 | $9,951 | $4,186 | $120,181 |
Geographic Information–Included in the Consolidated financial statements are the following amounts relating to geographic locations for the years ended December 31 (in thousands):
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| HDMC revenue(a): | |||
| United States | $3,289,227 | $3,253,875 | $2,996,471 |
| EMEA | 637,492 | 693,073 | 703,048 |
| Canada | 220,158 | 216,389 | 182,230 |
| Japan | 200,539 | 175,292 | 150,138 |
| Australia and New Zealand | 127,352 | 147,551 | 134,301 |
| Other countries | 369,826 | 401,492 | 338,246 |
| $4,844,594 | $4,887,672 | $4,504,434 | |
| LiveWire revenue(a): | |||
| United States | 31,483 | 36,256 | 24,633 |
| International | 6,815 | 10,577 | 11,173 |
| $38,298 | $46,833 | $35,806 | |
| HDFS revenue(a): | |||
| United States | $922,758 | $794,912 | $765,917 |
| Canada | 18,220 | 16,276 | 18,613 |
| Europe | 7,343 | 6,071 | 7,464 |
| Other countries | 5,265 | 3,366 | 4,074 |
| $953,586 | $820,625 | $796,068 | |
| Long-lived assets(b): | |||
| United States | $644,620 | $611,421 | $595,375 |
| Thailand | 82,197 | 72,474 | 81,927 |
| Other countries | 4,907 | 5,991 | 6,682 |
| 87,104 | 78,465 | 88,609 | |
| $731,724 | $689,886 | $683,984 | |
(a)Revenue is attributed to geographic regions based on location of customer.
(b)Long-lived assets include all long-term assets except those specifically excluded under ASC Topic 280, Segment Reporting, such as deferred income taxes and finance receivables.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.