The impact of incremental tariffs amounted to $21 million in the first quarter of 2018. The impact of incremental tariffs included incremental European Union and China tariffs imposed on the company’s products shipped from the US and incremental US tariffs on certain items imported from certain international markets. Incremental tariff costs excluded incremental metals cost resulting from the US steel and aluminum tariffs.
For the full-year 2019, the Milwaukee-based firm expects motorcycle shipments to be in the range of 217,000 to 222,000 motorcycles. In the second quarter, the company expects to ship approximately 65,500 to 70,500 motorcycles.
Revenue from the Motorcycles segment was down 12% in the first quarter, hurt by lower shipments. This segment’s operating income decreased due to lower revenues, unfavorable product mix and increased tariffs.
HOG stock, which dropped 2.86% at $39.72 yesterday, has increased 16% since the beginning of this year and dropped 3% in the past 12 months.