Let's look at an analogy to answer your question:

You have big beautiful boat. 45 foot trawler with all the bells and whistles. You learn after time, you cannot afford it becuase of fuel consumption, upkeep, marina fees, insurance, etc. Every single month it eats your lunch and you are using all your savings up to support it.

You trade it in on a 30' cuddy cabin. Now you can afford all the expenses within your budget and you are putting money back in your depleted savings account and still have money to fix it up or go places and enjoy the boat.

Now are you going to go back and buy another 45' boat? Not likely. After you get enough of your savings back, might you trade up to a 35' boat? Maybe.

Boats/Employees...

You may not like the analogy, but ask anyone on here that has owned their own business, the analogy is spot-on.


As for the "customer led" statement. That is just marketing spin. Every motor company (cars and motorcycles) are customer led. They are perpetually trying to determine customer tastes, fads and style. Sometimes they guess right and have a huge hit. More often than not they miss. Motor companies spend huge money every day, every year to determine what the customer will buy. Every motor company is exclusivley "customer led" already. Nothing but marketing spin.

 

These press releases are written for max impact. The analyst conferences are where the execs sweat out the details. A workforce reduction for HD had minimal impact on profits and is done a) shut down of Buell ops b) appease analysts regarding coat control.
The massive percentages are easy to express when HD is still recovering from 2009 losses. Each improving Q looks huge as a% year over year.
I need to look at the financials but they have recently and more often restructured debt, and capital investments. I want to know true profit from sales without the accountants spin. Just guessing here.

 

Profit margins on bikes are still falling. From the CFO
"third quarter income from continuing operations improved to $183.6 million, an increase of 95.9%. Similarly, diluted earnings per share rose to $0.78 per share, up from the year ago quarter, which was $0.40 per share. Operating income from the Motorcycle business was up 78% compared to last year's third quarter. The strong increase in the Motorcycle business was driven by increased motorcycle shipments and lower spending on ongoing restructuring activities, partially offset by a lower gross margin as compared to last year."

 

Most interesting comment by HD. A "2020" initiative on retail branding expansion.
In my opinion? Possibly HD motorclothes will be widely available across many retail markets, Walmart Target etc

 

What's all that mean in english, Mi3ninos? I am not a business person or accountant.

 

"Customer led? what the F does that mean? I'm a customer, and I want you to hire back 100 mechanics and assembly people. And make more of the bike in the US.

Anyway, business is business, and I am NOT a businessman. I love to see american businesses make money, but I don't like it when they don't fire people to be profitable, they fire people to be MORE profitable, for their stockholders. Screw the working man...

idk, maybe I'm off base here. If I am, let me know."

yes Camera boy ..way off base.
Do you really think anyone would start/run/manage a company of any sort for the benefit of employees ??
people start /run companies to make a profit.

employees accept a job at a agreed wage/and/or benefits from the job..
unless the employee has ,and uses a stock option then wages received for time worked is all that is in the agreement.

last time I checked this is still a capitalistic country.
Now some people are trying to change that..
See how that has worked for the socialist countries so -far..

 

I have no problem with that. I have a problem with wanting to make more than a decent profit at the expense of the working man.

 

You are way off base....the new CEO came form JCI and he will out source 2-3 times the amount of parts to off shore vendors. With Obamacare and the UAW he won't want to do anything but hang onto cash until everyone sees how this is going to shake out. All you libs are to thank for that....or don't you read anything besides Marx?

 

What is "decent" ??

 

Don't the HD workers have a union (UAW)?? so, I suppose now that the union is not enough? There is a new standard?