What happened
Motorcycle maker Harley-Davidson (HOG -0.29%) reported strong third-quarter earnings Wednesday, and its stock revved higher. As of 11:55 a.m. ET, shares were trading near the session's high, up 13%.
So what
Harley-Davidson beat analysts' expectations on both the top and bottom lines with $1.78 in earnings per share and $1.65 billion in sales. Analysts were looking for about $1.40 per share and $1.37 billion in sales. Revenue jumped 21% compared to the prior-year period, while net income soared by 60%. Investors cheered the results, which seem to confirm that the five-year strategic plan the company announced last year is paying dividends.
Image source: Getty Images.
Now what
That plan, named Hardwire, was implemented to highlight the company's famous brand and focus on what it considers its most important products, segments, and geographies. CEO Jochen Zeitz stated the Q3 results showed "solid growth for both revenue and operating income, aligned to our Hardwire strategic initiatives."
Earlier this year, Harley-Davidson announced an unexpected production suspension due to an issue at a supplier. The company has now recovered from that, with global motorcycle shipments growing 19% year over year.
The company also completed the public listing of its electric motorcycle division in the third quarter. LiveWire's debut as a public company raised nearly $300 million in net proceeds. Wednesday's share price surge has moved Harley-Davidson's into the green for 2022, far outpacing the broader market.
