Harley Davidson Sees Profits Hit by Strong Dollar, Sales Drop

Harley Davidson (HOG) posted a sharp drop in profits on Tuesday as the company faced international headwinds from the strong dollar. The motorcycle maker suffered from sluggish sales, falling behind its cheaper competitors but still managed to beat estimates. The bike maker posted profits of $299.8 million or $1.44 per share, down from last year's $1.62 per share. Revenue was also higher than expected, coming in at $1.82 billion. Analyst had expected earnings of $1.39 on a revenue of $1.7 billion. Shares of Harley Davidson were up around two percent on the earnings news but have dropped roughly 17 percent since the start of the year. Though motorcycle sales were down in most key territories, the Asian Pacific region offered a bright spot, up 16.6 percent from last year's numbers, Canada also performed well with a 9.9 percent sales jump. However, worldwide sales of new vehicles dropped 1.4 percent for the quarter compared with last year's results.