Harley-Davidson Cuts Outlook as Earnings Jump 30%

Motorcycle maker Harley-Davidson Inc. reports second-quarter net income of $352 million compared with $272 million in the same period in 2013.

Revenue in April-June rose 12% to $2 billion. But second-quarter retail deliveries were flat at 90,200 units.

The Milwaukee-based company insists underlying market fundamentals are unchanged. But it now expects growth in shipments to dealers will grow 3.5%-5.5%, down from the 7%-9% range it forecast earlier.

The new full-year delivery targets are 270,000-275,000 bikes, compared with the previous range of 279,000-284,000 units. Harley-Davidson continues to anticipate a 17.5%-18.5% operating margin.