Photo: Harley-Davidson
Just like the rest of companies across the world, Harley-Davidson struggles to deal with the new coronavirus outbreak, especially as its supply chain and day-to-day operations have already been impacted.
The motorcycle maker explains in a regulatory filing that its business has already faced “disruption” due to the pandemic and warns that a bigger impact could be recorded, including not only in terms of sales but also as far as employees are concerned.
However, Harley-Davidson says it’s too soon to estimate how hard the coronavirus outbreak would affect its operations, but it’s already working with all partners to minimize the impact.
“The Company’s ability to supply and sell motorcycles will likely be impacted. The Company does not know how many employees may be affected by COVID-19 or for how long any impacted employees may be unable to work,” Harley-Davidson says.
The company explains in the filing that it expects the new coronavirus outbreak to disrupt its supply chain, close dealers, slow down investments in research and development, and convince customers to hold on to the purchase of new motorcycles. Furthermore, the company says it expects some retail credit customers to be unable to meet their loan obligations on a timely basis.
As a result, Harley-Davidson has decided to withdraw its guidance simply because it’s pretty much impossible to release a forecast at this point.
“The Company expects to provide an update on its liquidity, financial condition and results of operations in its first quarter earnings release and on the related conference call. The Company continues to believe that its overall business strategy and future opportunities remain strong, and its priority is to the health and well-being of its global employees, suppliers, dealers, and customers,” Harley-Davidson notes.
At the time of writing, there are over 550,000 people infected with the new coronavirus worldwide, while the number of those who died after contracting the virus is close to 25,000.
However, Harley-Davidson says it’s too soon to estimate how hard the coronavirus outbreak would affect its operations, but it’s already working with all partners to minimize the impact.
“The Company’s ability to supply and sell motorcycles will likely be impacted. The Company does not know how many employees may be affected by COVID-19 or for how long any impacted employees may be unable to work,” Harley-Davidson says.
The company explains in the filing that it expects the new coronavirus outbreak to disrupt its supply chain, close dealers, slow down investments in research and development, and convince customers to hold on to the purchase of new motorcycles. Furthermore, the company says it expects some retail credit customers to be unable to meet their loan obligations on a timely basis.
As a result, Harley-Davidson has decided to withdraw its guidance simply because it’s pretty much impossible to release a forecast at this point.
“The Company expects to provide an update on its liquidity, financial condition and results of operations in its first quarter earnings release and on the related conference call. The Company continues to believe that its overall business strategy and future opportunities remain strong, and its priority is to the health and well-being of its global employees, suppliers, dealers, and customers,” Harley-Davidson notes.
At the time of writing, there are over 550,000 people infected with the new coronavirus worldwide, while the number of those who died after contracting the virus is close to 25,000.
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