Harley‑Davidson’s latest quarterly scorecard landed with a thud, as the Milwaukee motorcycle icon posted a steep profit slide while trying to convince Wall Street and hometown dealers that a fresh turnaround plan will get the engines revving again.
The company said first‑quarter net income attributable to Harley‑Davidson dropped to $24.8 million, down from $133.1 million in the same period of 2025, even as leadership doubled down on a dealer‑first strategy aimed at rebuilding sales and margins.
According to Harley‑Davidson, consolidated revenue fell about 12 percent in the quarter. Global motorcycle shipments slipped roughly 3 percent to about 37,300 units, but there was a bright spot at home: North American retail sales climbed 14 percent to 23,803 units. Licensing revenue nearly doubled to about $6 million, and LiveWire revenue rose to roughly $5.1 million, although the electric segment still posted a loss for the quarter.
Back to the Bricks bets on cheaper bikes and dealer muscle
CEO Artie Starrs is hitching Harley’s next chapter to a plan dubbed “Back to the Bricks,” which leans into more affordable models, heavier customization and a sharper focus on dealer profitability. Starrs told Reuters the company plans to roll out a 440cc Sprint priced at roughly $6,000 and bring back the Sportster to court younger riders. The roadmap also includes a target of more than $350 million in HDMC EBITDA by 2027 and more than $150 million in cost cuts.
What it could mean for Milwaukee dealers
Dealers sit squarely at the center of this reset. Harley says it will move in ways designed to let dealers double profitability in 2026 and then double it again by 2029, as wholesale shipments are brought closer in line with actual retail demand. The company pointed to a 22 percent year‑over‑year drop in global dealer inventories as early evidence that the strategy is starting to bite.
Starrs said in a statement that the recent results show Harley’s changes are having a positive impact, while local coverage framed the initiative as a hometown‑driven effort that hands more decision‑making power back to Milwaukee. As reported by the Milwaukee Journal Sentinel, company leaders are pitching the plan as a way to restore both momentum and influence to Harley’s base in the city.
LiveWire grows, but the electric side is still in the red
On the electric front, LiveWire generated about $5.1 million in revenue for the quarter and narrowed its operating loss to roughly $17.7 million, an improvement of about $2 million from a year earlier. The numbers highlight how small LiveWire still is compared with the core HDMC business and why Harley is keeping its recovery focus on higher‑margin parts, accessories and apparel rather than betting the house on EVs just yet. These segment results are detailed in the company’s first‑quarter financial disclosures, according to Harley‑Davidson.
For now, management is holding its full‑year stance while it works through the new strategy, and the message out of Milwaukee is that this is about immediate fixes plus medium‑term rebuilding of volume and margins. Investors and dealers will be watching closely to see how quickly the Sprint and revived Sportster hit showrooms, whether dealer profitability actually climbs as promised and if the broader plan expands Harley’s buyer base instead of just shifting who is already in the saddle. As reported by the Milwaukee Journal Sentinel, the company has cast these moves as a mix of near‑term and medium‑term steps meant to rebuild volumes and margins.
