HARLEY-DAVIDSON INC
For the period ended Sep 30, 2024. Filed Nov 6, 2024.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Nov 6, 2024
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
6. Additional Balance Sheet and Cash Flow Information
- Additional Balance Sheet and Cash Flow Information
Investments in Marketable Securities –The Company’s investments in marketable securities consisted of the following (in thousands):
| September 30,2024 | December 31,2023 | September 30,2023 | |
|---|---|---|---|
| Mutual funds | $33,816 | $34,079 | $32,664 |
Mutual funds, included in Other long-term assets on the Consolidated balance sheets, are carried at fair value with gains and losses recorded in income. Mutual funds are held to support certain deferred compensation obligations.
Inventories, net –Substantially all inventories located in the U.S. are valued using the last-in, first-out (LIFO) method. Other inventories are valued at the lower of cost or net realizable value using the first-in, first-out (FIFO) method. Motorcycle finished goods inventories include motorcycles that are ready for sale and motorcycles that are substantially complete but awaiting installation of certain components. Inventories, net consisted of the following (in thousands):
| September 30,2024 | December 31,2023 | September 30,2023 | |
|---|---|---|---|
| Raw materials and work in process | $299,296 | $389,221 | $333,107 |
| Motorcycle finished goods | 399,699 | 514,964 | 405,714 |
| Parts and accessories and apparel | 119,260 | 150,844 | 154,640 |
| Inventory at lower of FIFO cost or net realizable value | 818,255 | 1,055,029 | 893,461 |
| Excess of FIFO over LIFO cost | (136,391) | (125,078) | (124,696) |
| $681,864 | $929,951 | $768,765 |
Deposits– HDFS offers brokered certificates of deposit to customers indirectly through contractual arrangements with third-party banks and/or securities brokerage firms through its bank subsidiary. The Company had $549.0 million, $447.8 million, and $478.9 million, net of fees, of interest-bearing brokered certificates of deposit outstanding as of September 30, 2024, December 31, 2023, and September 30, 2023, respectively. The liabilities for deposits are included in Short-term deposits, net or Long-term deposits, net on the Consolidated balance sheets based upon the term of each brokered certificate of deposit issued. Each separate brokered certificate of deposit is issued under a master certificate, and as such, all outstanding brokered certificates of deposit are considered below the Federal Deposit Insurance Corporation insurance coverage limits.
Future maturities of the Company's certificates of deposit as of September 30, 2024 were as follows (in thousands):
| 2024 | $33,551 |
| 2025 | 145,737 |
| 2026 | 236,489 |
| 2027 | 119,281 |
| Thereafter | 15,200 |
| Future maturities | 550,258 |
| Unamortized fees | (1,248) |
| $549,010 |
Operating Cash Flow –The reconciliation of Net income to Net cash provided by operating activities was as follows (in thousands):
| Nine months ended | ||
|---|---|---|
| September 30,2024 | September 30,2023 | |
| Cash flows from operating activities: | ||
| Net income | $563,605 | $671,762 |
| Adjustments to reconcile Net income to Net cash provided by operating activities: | ||
| Depreciation and amortization | 119,568 | 112,592 |
| Amortization of deferred loan origination costs | 54,461 | 65,996 |
| Amortization of financing origination fees | 10,363 | 9,734 |
| Income related to long-term employee benefits | (40,076) | (50,373) |
| Employee benefit plan contributions and payments | (3,781) | (2,668) |
| Stock compensation expense | 39,820 | 64,538 |
| Net change in wholesale finance receivables related to sales | (211,800) | (392,817) |
| Provision for credit losses | 175,017 | 170,496 |
| Deferred income taxes | (1,815) | (8,455) |
| Other, net | 19,557 | (19,738) |
| Changes in current assets and liabilities: | ||
| Accounts receivable, net | (36,529) | (72,084) |
| Finance receivables – accrued interest and other | 2,325 | 2,366 |
| Inventories, net | 253,373 | 160,742 |
| Accounts payable and accrued liabilities | (12,903) | 14,453 |
| Other current assets | (530) | (19,777) |
| 367,050 | 35,005 | |
| Net cash provided by operating activities | $930,655 | $706,767 |
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.