{"id":370741,"date":"2018-07-25T05:52:18","date_gmt":"2018-07-25T04:52:18","guid":{"rendered":"http:\/\/rinf.com\/alt-news\/newswire\/prison-planet-com-harley-cuts-profit-margin-forecast-blames-tariffs\/"},"modified":"2018-07-25T05:52:18","modified_gmt":"2018-07-25T04:52:18","slug":"prison-planet-com-harley-cuts-profit-margin-forecast-blames-tariffs","status":"publish","type":"post","link":"http:\/\/rinf.com\/alt-news\/newswire\/prison-planet-com-harley-cuts-profit-margin-forecast-blames-tariffs\/","title":{"rendered":"Prison Planet.com \u00bb Harley Cuts Profit Margin Forecast, Blames Tariffs"},"content":{"rendered":"<div>\n<p>      <!-- START CONTENT --><\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/news\/2018-07-24\/harley-cuts-profit-margin-forecast-blames-tariffs\"><strong>Zero Hedge<\/strong><\/a><br \/>July 24, 2018<\/p>\n<p><strong>Harley-Davidson is about to get some more angry tweets from Donald Trump.<\/strong><\/p>\n<p>This morning the iconic motorbike maker reported numbers that beat on the top and bottom line, with Q2 adj. EPS of $1.52, vs exp. $1.41, while motorcycle\/related products revenue in the quarter was $1.53 billion, also above the 1.42 billion estimate.<\/p>\n<p>More troubling was the news that 2Q motorcycle shipments of 72,593 declined 11.3% in the quarter.<\/p>\n<p>But the big problem, and what will likely provoke Trump\u2019s fury, is that HOG said its operating margin would drop to between 9 and 10% in 2018; the reason? <strong>Tariffs, <\/strong>to wit:<\/p>\n<blockquote>\n<p>Motorcycles segment operating margin as a percent of revenue to be approximately 9 to 10 percent given the expected impact of tariffs in 2018<\/p>\n<\/blockquote>\n<p>Previously, the company had been projecting a margin of as much as 10.5%.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/hog%20margin.jpg?itok=42O3G0zH\" data-image-external-href=\"\" data-image-href=\"http:\/\/www.prisonplanet.com\/sites\/default\/files\/inline-images\/hog%20margin.jpg?itok=42O3G0zH\" data-link-option=\"0\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/hog%20margin.jpg\" srcset=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/styles\/inline_image_desktop\/public\/inline-images\/hog%20margin.jpg?itok=42O3G0zH 1x\" alt=\"\" width=\"500\" height=\"357\" data-entity-type=\"file\" data-entity-uuid=\"c933d705-1982-429b-a761-906037acf03a\" data-responsive-image-style=\"inline_images\"\/><\/a><\/p>\n<p>As part of its outlook, the company also said that motorcycle shipments to be approximately 231,000 to 236,000 motorcycles. In the third quarter, the company expects to ship approximately 45,500 to 50,500 motorcycles<\/p>\n<p>Even before it indirectly blamed Donald Trump\u2019s policies for its woes, Harley got caught in the crossfire of Trump\u2019s trade war last month when it announced plans to shift some U.S. production overseas to sidestep higher tariffs imposed by the European Union.<\/p>\n<p>In response, Trump attacked the company, claiming it was using the levies as an excuse to send jobs overseas (Harley had previously announced plans to close a factory in Missouri and build one in Thailand). As <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-07-24\/harley-cuts-profit-margin-forecast-for-this-year-on-tariff-hit\">Bloomberg notes<\/a>, as a result of the EU\u2019s retaliatory tariffs, it will cost about $2,200 extra per motorcycle shipped to Harley\u2019s second-biggest market, the company disclosed in a June 25 filing. The manufacturer hasn\u2019t specified which of its overseas plants will begin producing bikes for European riders.<\/p>\n<p>Fast forward to today, when the company is telling its shareholders to blame Trump&#8230;<\/p>\n<\/div>\n<p><a href=\"https:\/\/www.prisonplanet.com\/harley-cuts-profit-margin-forecast-blames-tariffs.html\">Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Zero HedgeJuly 24, 2018 Harley-Davidson is about to get some more angry tweets from Donald Trump. This morning the iconic motorbike maker reported numbers that beat on the top and bottom line, with Q2 adj. EPS of $1.52, vs exp. $1.41, while motorcycle\/related products revenue in the quarter was $1.53 billion, also above the 1.42 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[519],"tags":[],"class_list":{"0":"post-370741","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-newswire"},"_links":{"self":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/370741","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/comments?post=370741"}],"version-history":[{"count":0,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/posts\/370741\/revisions"}],"wp:attachment":[{"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/media?parent=370741"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/categories?post=370741"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/rinf.com\/alt-news\/wp-json\/wp\/v2\/tags?post=370741"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}