Harley Profit Driven by Financial Division

MILWAUKEE ( TheStreet) -- Harley-Davidson ( HOG) said first-quarter earnings soared to $119.3 million, or 51 cents a share, from $33.3 million, or 14 cents a share, a year earlier as worldwide sales of motorcycles rose 3.5% and operating income at its financial division skyrocketed.

Harley-Davidson said operating income from financial services climbed 154.6% from a year earlier.

First-quarter revenue rose to $1.06 billion from $1.04 billion.

Analysts, on average, expected Harley-Davidson to earn 53 cents a share in the quarter.

"We are pleased by the growth of our dealers' new motorcycle sales on a worldwide basis, led by strength in Europe, even as we continue to encounter some headwinds in the U.S. related to the challenging macro-economic conditions," said Harley-Davidson President and CEO Keith Wandell, in a statement Tuesday.

The motorcycle maker said it was "maintaining a cautious outlook for the year."

The company said it expects to ship 215,000 to 228,000 Harley-Davidson motorcycles in 2011, compared to its prior shipment guidance of 221,000 to 228,000 motorcycles. The company said the move is related to "what it believes will be a modest level of supply chain interruption to the xompany arising from the March 11 earthquake and tsunami in Japan."

In the second quarter, Harley-Davidson expects to ship 62,000 to 67,000 motorcycles.

-- Written by Joseph Woelfel

>To contact the writer of this article, click here: Joseph Woelfel

>To submit a news tip, send an email to: tips@thestreet.com.

More from Stocks

Stacey Cunningham: From Intern to Head of the New York Stock Exchange

Stacey Cunningham: From Intern to Head of the New York Stock Exchange

China Gives Tesla, Ford, General Motors and Trump One Awesome Present

China Gives Tesla, Ford, General Motors and Trump One Awesome Present

Oil Prices, China Tariffs, Micron and Kohl's - 5 Things You Must Know

Oil Prices, China Tariffs, Micron and Kohl's - 5 Things You Must Know

The Great American Supermarket No Longer Reigns Supreme

The Great American Supermarket No Longer Reigns Supreme

Kroger CEO: Even in the Age of Amazon, Physical Stores Will Still Be Important

Kroger CEO: Even in the Age of Amazon, Physical Stores Will Still Be Important