NEW YORK (AP) — Harley-Davidson Inc. plans to cut an unspecified number of jobs and ship fewer motorcycles than it had planned for the year after reporting third-quarter earnings and revenue that fell short of Wall Street expectations.
Its shares tumbled 14 percent in morning trading Tuesday.
The company earned $140.3 million, or 69 cents per share, missing Wall Street expectations. The average estimate of 12 analysts surveyed by Zacks Investment Research was for earnings of 78 cents per share.
The maker of the iconic Harley-Davidson motorcycle reported a slight rise in revenue to $1.14 billion, but that also missed Street forecasts. Ten analysts surveyed by Zacks expected $1.21 billion.
Meanwhile, the company cut its guidance for motorcycle shipments for the year to between 265,000 and 270,000 from prior guidance of between 276,000 and 281,000.
Harley-Davidson also expects expenses of between $30 million and $35 million in the fourth quarter for employee separation and reorganization costs as it reallocates spending.
"Our ongoing commitment to manage supply in line with demand and maintain the premium nature of the brand remains a top priority for Harley-Davidson," said President and CEO Matt Levatich, in a statement.
Its shares dropped $7.83, or 14 percent, to $48.22 in late morning trading Tuesday.