Harley-Davidson Inc.'s sales were flat in the second quarter, but the motorcycle maker still reported a 30 percent increase in profits.
While sales fell below expectations, earnings per share exceeded expectations.
Harley's second-quarter profit was $354.2 million, or $1.62 per share — an increase from the $271.7 million, or $1.21 per share, a year earlier.
Wall Street analysts had predicted earnings of about $1.47 per share for the second quarter.
Harley's total revenue grew 12 percent to $2 billion, compared to $1.79 billion a year ago.
The second-quarter results reflect the financial strength of the company and brand, said Chairman, President and CEO Keith Wandell.
Sales: Though the company boosted its profit by selling more bikes to dealers, those dealers didn't report strong retail sales during the last quarter. Dealers worldwide sold 90,218 new Harleys, compared to 90,193 motorcycles during the same quarter a year ago.
U.S. dealers sold 58,225 new Harleys, compared to 58,241 bikes during the same period last year.
During a conference call Tuesday morning, company executives blamed poor weather conditions for the soft sales. They also attributed the flat sales to customers waiting to buy the Street model bikes, which are not made at the company's Springettsbury Township plant.
"U.S. retail Harley-Davidson sales fell short of our expectations in the second quarter," Wandell said.
Shipments: To get supply in line with demand, he said the company is reducing its full-year shipment plan.
Harley-Davidson now expects to ship 270,000 to 275,000 motorcycles this year — a 3.5 to 5.5 percent increase compared to shipments in 2013. That's down from the 7 to 9 percent increase, or 279,000 to 284,000 bikes, the company originally predicted.
What that means for the York County plant is unclear.
Spokeswoman Bernadette Lauer said the company does not provide a breakdown of the number of bikes made at each plant.
"The reduction means that there could be an increase in scheduled down days and a reduction in line rates, but we are still working on the details of how this will be handled at each plant," she said.
— Reach Candy Woodall at firstname.lastname@example.org.