The Q3 results indicate increased Gross Margins while decreasing operating expenses. “We are pleased with the continued progress made toward aligning wholesale activity with retail demand, achieving a further 26% reduction in dealer inventory while delivering 5% growth in global retail sales compared with Q3 2025,” said Artie Starrs, President and CEO, Harley-Davidson. “North America sales were up for the 4th consecutive quarter, demonstrating an entrenched foothold in our home market.”
Starrs will join Jay Leno on stage at the SEMA Show for a fire-side chat during the kick-off breakfast and then he will be at The Motor Company’s display in the new Powersports Pavilion in Las Vegas. “We are encouraged by the improvement in our key growth drivers over the quarter. Models like the Super Glide and Deadwood are creating deeper connection between the brand and riders.” And he credits the dealers: “Our dealer network is becoming increasingly profitable, and we are actioning our Back To The Bricks strategy – just one full quarter into execution – in partnership with our dealers.”
By The Numbers
• HDMC revenue of $964 million in the quarter, was down 10% vs. prior year driven by lower shipment volume.
• Third quarter gross margin percentage increased by 173 bps YoY to 28.1%
• Operating expenses continued to remain lower than prior year in the third quarter, coming in 1% lower than a year ago, at $227 million
• HDMC operating income was $44 million in Q3 2026, down 18% YoY.
• HDMC operating income margin was 4.6% in Q3 2026 compared to 5.0% in the prior year.
* Adjusted EBITDA margin improved to 9.7% in Q3 2026 compared to 8.7% in the prior year.
