Harley-Davidson Inc (HOG) 2024 Q2 法說會逐字稿

Thank you for standing by, and welcome to the Harley-Davidson 2024 second-quarter investor and analyst conference call. Please be advised that today's conference is being recorded. I would now like to hand the conference over to Shawn Collins. Thank you. Please go ahead.

感謝您的耐心等待，歡迎參加哈雷戴維森 2024 年第二季投資者和分析師電話會議。請注意，今天的會議正在錄製中。我現在想把會議交給肖恩柯林斯。謝謝。請繼續。

Thank you. Good morning. This is Shawn Collins, the Director of Investor Relations at Harley-Davidson. You can access the slides supporting today's call on the internet at the Harley-Davidson Investor Relations website.

謝謝。早安.我是肖恩‧柯林斯 (Shawn Collins)，哈雷戴維森投資者關係總監。您可以在哈雷戴維森投資者關係網站上透過網路存取支援今天電話會議的幻燈片。

As you might expect, our comments will include forward-looking statements that are subject two risks that could cause actual results to be materially different. Those risks include, among others, matters we have noted in today's earnings release and in our latest filings with the SEC.

正如您所料，我們的評論將包括前瞻性陳述，這些陳述面臨兩種可能導致實際結果產生重大差異的風險。這些風險包括我們在今天的財報和向美國證券交易委員會提交的最新文件中指出的事項等。

Joining me for this morning's call are, Harley-Davidson Chief Executive Officer, Jochen Zeitz; also Chief Financial Officer, Jonathan Root, and we have LiveWire, Chief Executive Officer, Karim Donnez.

與我一起參加今天早上電話會議的是哈雷戴維森首席執行官 Jochen Zeitz；還有財務長 Jonathan Root，LiveWire 執行長 Karim Donnez。

With that, let me turn it over to our CEO, Jochen Zeitz. Jochen?

接下來，讓我將其交給我們的執行長 Jochen Zeitz。約亨？

Thank you, Shawn, and good morning, everyone. Thank you for joining us for our Q2 2024 results. In Q2 consolidated revenue was up 12%, driven by revenue growth of 13% at HDMC and 10% at HDFS. Additionally, we saw a strong improvement in earnings per share to $1.63 for the quarter.

謝謝你，肖恩，大家早安。感謝您關注我們的 2024 年第二季業績。在 HDMC 營收成長 13% 和 HDFS 營收成長 10% 的推動下，第二季綜合營收成長了 12%。此外，我們還看到本季每股收益大幅提高至 1.63 美元。

Consolidated operating income in the second quarter was $241 million, up 9% from the prior year, driven largely by an increase of 21% at HDFS. In addition, HDMC operating income was up 2% and the operating loss of LiveWire was $4 million less than a year ago.

第二季綜合營業收入為 2.41 億美元，比上年成長 9%，主要得益於 HDFS 成長 21%。此外，HDMC的營業收入成長了2%，LiveWire的營業虧損比一年前減少了400萬美元。

Through the quarter, we saw the continued impact of the high interest rate environment affecting our industry and in particular big ticket consumer discretionary sectors. Said retail sales of new motorcycles in the US were still slightly positive versus prior year with a varying degree of performance from state-to-state.

在整個季度中，我們看到高利率環境對我們行業，特別是大宗非必需消費品行業的持續影響。據稱，美國新摩托車的零售額與去年相比仍略有增長，但各州的表現有所不同。

Turning to our global performance, it's important to note that we see mixed picture also across our international markets. In EMEA, retail sales declined 1% with certain markets in Central Europe underperforming, while others overperformed. In Asia Pacific, Q2 retail sales declined by 16%, driven by weakness primarily in China. North America, including Canada, was down 1% and Latin America was flat.

談到我們的全球業績，值得注意的是，我們在國際市場上也看到了好壞參半的情況。在歐洲、中東和非洲地區，零售額下降了 1%，其中中歐的某些市場表現不佳，而其他市場則表現出色。在亞太地區，第二季零售額下降了 16%，主要受到中國疲軟的推動。包括加拿大在內的北美地區下降了 1%，而拉丁美洲則持平。

Looking ahead, we are narrowing our retail and wholesale expectations to reflect the current environment. We continue to expect that retail units sold and wholesale unit shipments will be balanced by the end of '24. Dealer inventory should be at similar levels as at the end of last year.

展望未來，我們正在縮小零售和批發預期，以反映當前的環境。我們繼續預計，到 24 年底，零售銷售和批發銷售將達到平衡。經銷商庫存應與去年年底持平。

This implies a reduction in dealer inventory of approximately 30% versus current levels. This should allow our network to take advantage of opportunities in the market. Being mindful and supporting dealer health following the record levels of profitability in '21 and '22, we expect these shipping reductions to positively impact dealer floor plan expenses.

這意味著經銷商庫存比目前水準減少約 30%。這將使我們的網路能夠利用市場機會。在 21 和 22 年創紀錄的盈利水平之後，我們預計這些運輸減少將對經銷商的平面圖費用產生積極影響。

Our performance in the first half of the year continued to be aligned to our Hardwire strategic pillar profit focus with strong mix and notable growth in touring especially CVO models despite the challenging market environment and the overall industry. Building on our commitment to invest in our core categories, we've been extremely pleased with the strong response to our new era of touring motorcycles with our ['24] and Road Glide and CVO offerings.

儘管市場環境和整個行業充滿挑戰，但我們上半年的業績繼續與我們的硬線戰略支柱利潤重點保持一致，強勁的組合和巡演尤其是 CVO 車型的顯著增長。基於我們對核心類別投資的承諾，我們對我們的 ['24] 以及 Road Glide 和 CVO 產品對旅行摩托車新時代的強烈反響感到非常高興。

The product continues to receive strong reception in the market from the industry, customers, dealers and media alike as it grows awareness globally. Additionally, in the US, we saw strong gains in share in the 601+cc market at the backdrop of an overall declining industry in Q2 and year to date, while Harley-Davidson touring being up 5.3-percentage-points in share and over 11% in unit growth.

隨著該產品在全球範圍內的知名度不斷提高，該產品在市場上繼續受到行業、客戶、經銷商和媒體的熱烈歡迎。此外，在美國，在第二季度和今年迄今為止行業整體下滑的背景下，我們看到 601+cc 市場份額強勁增長，而哈雷戴維森旅行車份額增長了 5.3 個百分點，超過 11 個百分點。率%。

As we look at our customer our insights tell us that performance is an increasingly important part of being a Harley-Davidson rider with 44% of riders considering performance to be the most important feature in purchasing, 73% of owners thinking it's important to own it performance related motorcycle and over 80% of owners seeing an increasing attention page performance.

當我們觀察客戶時，我們的洞察告訴我們，性能對於成為哈雷戴維森騎士來說越來越重要，44% 的騎士認為性能是購買時最重要的特徵，73% 的車主認為擁有它很重要性能相關的摩托車，超過80% 的車主看到頁面性能的關注度不斷提高。

Through our involvement in the King of the Baggers racing series with Harley-Davidson riders holding the first and third place and the leadership for this season. We continue to celebrate and emphasize performance as a key differentiator for the additives lineup. This performance angle has continued to be popular with riders as seen by the strong performance of our ST offering.

透過我們參與的 King of the Baggers 賽車系列賽，哈雷戴維森車手獲得了本賽季的第一名和第三名以及領先地位。我們繼續讚揚並強調性能是添加劑系列的關鍵差異化因素。從我們 ST 產品的強勁性能就可以看出，這種性能角度一直受到騎士的歡迎。

In addition, we selectively focus on opportunities in segments that we believe kind of the path to in-market success and profitability, capitalizing our brand strength and product capabilities and selectively complemented with partnerships. Looking our partnership with Hero, we continue to be pleased with the reception that the [expo-40] has received since launch, and we look forward to exploring further opportunities.

此外，我們有選擇地關注我們認為能夠在市場上取得成功和盈利的途徑的細分市場的機會，利用我們的品牌實力和產品能力，並有選擇地與合作夥伴進行補充。展望我們與 Hero 的合作關係，我們對 [expo-40] 自推出以來所受到的歡迎繼續感到滿意，並且我們期待探索更多機會。

LiveWire is pioneering the industry for EV motorcycles. However, we are realistic about the overall environment, especially in the US. As we detailed at the last quarter, we plan to continue to be prudent in our investments and driving cost productivity as LiveWire as you'll hear from Karim. That said, we are also further committing to support Lifeline lowering the breakeven point. We expect further cost reductions to adjust to the overall market environment and to reduce the cash burn of the business in the future.

LiveWire 是電動摩托車產業的先驅。然而，我們對整體環境，尤其是美國的環境，持現實態度。正如我們在上個季度詳細介紹的那樣，我們計劃繼續謹慎投資並提高 LiveWire 的成本生產率，正如您將從 Karim 那裡聽到的那樣。也就是說，我們也進一步致力於支持生命線降低損益平衡點。我們預計未來將進一步降低成本，以適應整體市場環境並減少業務的現金消耗。

I also wanted to highlight the recent Department of Energy grant of $89 million that Harley-Davidson was awarded to invest in our facility in York, Pennsylvania. Supported overall operations as well as the manufacture of EV motorcycles for LiveWire.

我還想強調一下，哈雷戴維森最近獲得了能源部 8,900 萬美元的撥款，用於投資我們位於賓州約克的工廠。支援 LiveWire 的整體營運以及電動摩托車的製造。

This grant is specifically targeted to strengthen the help expand Harley-Davidson manufacturing facility in York, to incorporate new paint and assembly equipment, supporting the manufacturing of all of its motorcycles and training of our union workforce, all while providing meaningful community and workforce enhancements. We look forward to working with the Department of Energy to relicense investment into the York, facility.

這筆補助金專門用於加強幫助擴大哈雷戴維森在約克的製造工廠，納入新的油漆和裝配設備，支持其所有摩托車的製造和培訓我們的工會勞動力，同時提供有意義的社區和勞動力增強。我們期待與能源部合作，重新批准對約克設施的投資。

Harley-Davidson, Financial Services or HDFS delivered a strong quarter with a meaningful $23 million or 10% revenue increase in Q2. This was primarily driven by higher retail and commercial finance receivables as well as higher average yields as the portfolio continued to reset over time.

哈雷戴維森、金融服務或 HDFS 表現強勁，第二季營收成長了 2,300 萬美元，成長 10%。這主要是由於零售和商業金融應收帳款增加以及投資組合隨著時間的推移不斷重置而導致平均收益率上升。

Thanks to growing penetration today, roughly 70% of new and used Harley-Davidson motorcycles are being financed through HDFS in North America. But crucially, HDFS allows us to understand our customers better through the unique insights and customer dynamics that we have access to. One of those insights that I'd like to call out today is our average age customer profile.

由於如今滲透率不斷提高，北美大約 70% 的新車和二手哈雷戴維森摩托車都是透過 HDFS 進行融資的。但至關重要的是，HDFS 使我們能夠透過我們可以獲得的獨特見解和客戶動態更好地了解客戶。我今天想提出的見解之一是我們的平均年齡客戶概況。

As we look back to our HDFS data over the past, we are able to see that the average age of our customers purchasing motorcycle used and new is about 45. This is a fact-based metric that stands in contrast to the narrative that has been perpetuated by some commentators. As you can see in the slide that we provided as part of this presentation, the average age has not moved significantly in the last 10 years and even much beyond.

當我們回顧過去的 HDFS 數據時，我們可以看到購買二手摩托車和新車的客戶的平均年齡約為 45 歲。延續。正如您在我們作為本簡報的一部分提供的幻燈片中所看到的，平均年齡在過去 10 年甚至更長的時間內沒有顯著變化。

In addition, nearly 30% of HDFS loan originations in the past five years were made to customers 35 and younger with 75%, [54%] or under. In the average MSRP in the segments we compete and we continue to expect our customer to age into our products while building brand awareness and desirability starting at a much younger age, helped by all our efforts to build new and keep existing riders riding as part of our Hardwire strategy.

此外，過去五年中近 30% 的 HDFS 貸款發放對像是 35 歲及以下的客戶，其中 75%、[54%] 或以下。在我們競爭的細分市場的平均建議零售價中，我們繼續期望我們的客戶能夠逐漸熟悉我們的產品，同時從更年輕的年齡開始建立品牌知名度和吸引力，這得益於我們為打造新騎手和保持現有騎手作為一部分而做出的所有努力。

With that said, the Hardwire puts customers at the forefront of Harley-Davidson's product and experiences and defines customers as people who've made dream of motorcycling or just learned to ride a Harley-Davidson motorcycle. All the way to riders were deeply passionate about and invested in the Harley-Davidson lifestyle and community.

儘管如此，Hardwire 將客戶置於哈雷戴維森產品和體驗的最前沿，並將客戶定義為那些夢想騎摩托車或剛學會騎哈雷戴維森摩托車的人。一路上，騎士們都對哈雷戴維森的生活方式和社區充滿熱情並投入其中。

Within Harley-Davidson and experiences. We recognize the important role that events play in bringing our community together. This is especially true with our Harley owners group. Earlier this year in [Gallia], Italy, we hosted the 30th European homes rally. This exceeded all our expectations with an estimated 100,000 fans and Harley owners group members attending and over 20,000 motorcycles visiting from Europe and beyond.

在哈雷戴維森和經驗中。我們認識到活動在讓我們的社區團結起來方面發揮著重要作用。對於我們的哈雷車主群體來說尤其如此。今年早些時候，我們在義大利[加利亞]舉辦了第 30 屆歐洲家庭集會。這超出了我們的預期，估計有 10 萬名車迷和哈雷車主團體成員參加，還有來自歐洲及其他地區的 20,000 多輛摩托車參觀。

In addition to the many events happening in lighting season around the world. We also had a significant presence at Laconia and Born-Free celebrating our customers that are typically younger than our average age. Today [ceases] kick off our second annual homecoming festival right here in our hometown.

除了世界各地在燈光季節發生的許多活動外。我們也在 Laconia 和 Born-Free 舉辦了重要活動，慶祝我們的客戶通常比我們的平均年齡年輕。今天[停止]我們的第二屆年度返鄉節在我們的家鄉拉開序幕。

We're excited to welcome our community to Milwaukee. Events will be held across our footprint here in the city at our museum product development center and Juno Avenue headquarters, including Davidson (inaudible) that Harley-Davidson, the foundation formally unveiled just recently. With headliners, including Jelly Roll and the Red Hot Chili Peppers performing at veterans Park. It's going to be a weekend to remember.

我們很高興歡迎我們的社區來到密爾瓦基。我們將在這座城市的博物館產品開發中心和朱諾大道總部舉辦各種活動，包括哈雷戴維森基金會最近剛正式揭幕的戴維森（聽不清楚）。包括 Jelly Roll 和 Red Hot Chili Peppers 在內的頭條新聞在退伍軍人公園表演。這將會是一個值得紀念的周末。

Now before I turn it over to Karim, I'd like to comment briefly on our performance since initiation of the hardware and subsequent halfway too. Despite the challenging environment, we are pleased with the progress we've continued to make in executing our strategy as we progress towards generating value for shareholders over the long term.

現在，在我將其交給卡里姆之前，我想簡要評論一下自硬體啟動以來以及隨後的中途我們的表現。儘管環境充滿挑戰，但我們對在執行策略方面不斷取得的進展感到高興，因為我們在為股東創造長期價值方面取得了進展。

We continue to believe there's meaningful growth potential for the company, and we remain focused on realizing that opportunity. We will continue to pursue delivery of our strategic pillars through payer focus with plans to drive significant productivity across the business. In addition to evaluating and pursuing selective opportunities and continuous product innovation to drive growth and ridership.

我們仍然相信該公司具有有意義的成長潛力，並且我們將繼續致力於實現這一機會。我們將繼續透過以付款人為中心來實現我們的策略支柱，並計劃提高整個企業的生產力。除了評估和尋求選擇性機會和持續產品創新以推動成長和客流量之外。

Through this process, we'll continue to evaluate our decisions when compared to the wider focus on returning surplus capital to our shareholders. With that in mind and consistent with our capital allocation decisions today. Today, we are announcing our plan to repurchase $1 billion in shares.

透過這個過程，我們將繼續評估我們的決策，而不是更廣泛地關注向股東返還剩餘資本。考慮到這一點並與我們今天的資本配置決策保持一致。今天，我們宣布計劃回購 10 億美元的股票。

Details were announced in our press release that went out earlier today. The dividend policy remains unchanged and the company continues to expect the dividend for the remaining quarters of '24 to be in line with Q2 and Q1.

詳細資訊已在我們今天早些時候發布的新聞稿中公佈。股息政策保持不變，公司繼續預計24年剩餘季度的股息將與第二季和第一季保持一致。

And with that, I'll hand it over to Karim.

這樣，我就把它交給卡里姆了。

Thank you, Jochen, good morning, everyone. We're happy to report that LiveWire continuing to attract new riders with a triple digit increase, in LiveWire branded unit sales compared to the second quarter of 2023. Retail sales outpaced wholesale again in the second quarter, making live wire the number one on-road electric motorcycle retailer in the US for the first half of 2024.

謝謝你，Jochen，大家早安。我們很高興地報告，與 2023 年第二季度相比，LiveWire 繼續吸引新乘客，LiveWire 品牌銷量增長了三位數。半年美國公路電動摩托車零售商。

Our market presence continued to grow steadily, especially in Europe, with two models, LiveWire ONE and Denma now in market. In late June, we also launched basic electric balance bag in the EMEA market to broaden our product offerings and reach new customer segments. Additionally, LiveWire operating loss improved by 12% compared to the second quarter of 2023, underscoring the company's approach in reducing costs while expanding its product line and market presence.

我們的市佔率持續穩定成長，尤其是在歐洲，目前市場上有兩種型號：LiveWire ONE 和 Denma。 6 月下旬，我們還在 EMEA 市場推出了基​​本型電動平衡袋，以擴大我們的產品範圍並涵蓋新的客戶群。此外，與 2023 年第二季相比，LiveWire 營運虧損減少了 12%，突顯了該公司在擴大產品線和市場份額的同時降低成本的方法。

Our cascading measures are not just about reducing expenses. They are all about driving efficiency and ensuring that we allocate our resources to the areas that matter most as we continue to work on offering the best value proposition to all our stakeholders considering the current market environment.

我們的級聯措施不僅僅是為了減少開支。它們都是為了提高效率，並確保我們將資源分配到最重要的領域，同時考慮到當前的市場環境，我們將繼續努力為所有利害關係人提供最佳價值主張。

In the second half of 2024, LiveWire remains committed to continuous improvement and innovation from our product development to our manufacturing processes. We are focused on finding smart and effective ways to operate while reinforcing growth, profitability and category leadership as priorities. And as mentioned by Jochen, we are also planning for a significant reduction in cash burn next year with stronger business fundamentals in place and expenses aligned with market reality while continuing to drive awareness and demand. Thank you.

2024年下半年，LiveWire仍致力於從產品開發到製造流程的持續改進和創新。我們專注於尋找明智、有效的營運方式，同時將加強成長、獲利能力和品類領導地位列為優先事項。正如 Jochen 所提到的，我們還計劃明年大幅減少現金消耗，憑藉更強勁的業務基本面和符合市場實際的支出，同時繼續提高意識和需求。謝謝。

And now I hand it over to Jonathan.

現在我把它交給喬納森。

Thank you, Karim, and good morning to all. I plan to start on page 5 of the presentation where I will briefly summarize the consolidated financial results for the second quarter of 2024 and subsequently I will go into further detail on each business segments. As Jochen, already commented consolidated revenue in the second quarter was up 12%, driven by HDMC revenue growth of 13% and HDFS revenue growth of 10%.

謝謝你，卡里姆，祝大家早安。我計劃從簡報的第 5 頁開始，簡要總結 2024 年第二季的合併財務業績，隨後我將進一步詳細介紹每個業務部門。 Jochen 已經表示，在 HDMC 營收成長 13% 和 HDFS 營收成長 10% 的推動下，第二季綜合營收成長了 12%。

Consolidated operating income in the second quarter was $241 million, up 9% from the prior year period, driven largely by an increase of 21% at HDFS. In addition, HDMC operating income was up 2% and the operating loss at the LiveWire segment was an improvement of $4 million compared to a year ago.

第二季綜合營業收入為 2.41 億美元，比去年同期成長 9%，主要得益於 HDFS 成長 21%。此外，與去年同期相比，HDMC 營業收入成長了 2%，LiveWire 部門的營業虧損減少了 400 萬美元。

The consolidated margin in the second quarter was 14.9%, which compares to 15.3% in the prior year period. For HDMC operating income margin was down 155 basis points year over year, and HDFS operating margin was improved by 254 basis points. I plan to go into further detail on each business segment's profit and loss drivers in the next section. Second quarter earnings per share was $1.63, up 34% and compares to $1.22 last year.

第二季的綜合利潤率為 14.9%，而去年同期為 15.3%。 HDMC 的營業利潤率年減 155 個基點，HDFS 的營業利潤率提高了 254 個基點。我計劃在下一節中進一步詳細介紹每個業務部門的損益驅動因素。第二季每股收益為 1.63 美元，較去年的 1.22 美元成長 34%。

As we flip the page to first half results, total consolidated HDI revenue of $3.3 billion was up 4% compared to last year. And the components of this were at HDMC revenue increased by 3% at HDFS revenue increased by 11% and LiveWire revenue declined by 25%. Total consolidated HDI operating income was $504 million, which was $87 million lower than the prior year.

當我們翻到上半年業績時，HDI 綜合收入總額為 33 億美元，比去年增長 4%。其中HDMC營收成長了3%，HDFS營收成長了11%，LiveWire營收下降了25%。綜合 HDI 營業收入總額為 5.04 億美元，較上年減少 8,700 萬美元。

The components of this were at HDMC operating income of $436 million with 18% lower than prior year, reflecting an operating margin of 15.4% in the first half of the year. At HDFS, operating income of $125 million increased by 7% in the first half of the year. And at LiveWire, an operating [loss] of $57 million was in line with our expectations. Year to date, earnings per share was $3.34, up 2% in comparison to $3.27 last year.

其中 HDMC 營業收入為 4.36 億美元，比去年同期下降 18%，反映上半年營業利潤率為 15.4%。 HDFS上半年營業收入1.25億美元，成長7%。 LiveWire 的營運[虧損]為 5,700 萬美元，符合我們的預期。今年迄今，每股收益為 3.34 美元，比去年的 3.27 美元成長 2%。

Let me turn to slide 7, and I will aim to be brief here as Jochen, earlier provided commentary on both Q2 retail performance by region and recent market share highlight. Dealer inventory at the end of Q2 is up from the levels at the end of Q2 2023 and just slightly down versus levels at the end of Q1 2024. We believe current dealer inventory and product availability are in largely healthy positions overall, as we are in the midst of the important summer riding season in North America and Europe.

讓我轉向幻燈片 7，我將在此簡要介紹一下 Jochen，他早些時候對按地區劃分的第二季度零售業績和最近的市場份額亮點進行了評論。第二季末的經銷商庫存高於2023 年第二季末的水平，與2024 年第一季末的水平相比略有下降。 ，因為我們處於正值北美和歐洲重要的夏季騎行季節。

We continue to prioritize availability and inventory of Touring, Trike, [Softail] and CVO motorcycles and ensure our dealers have an appropriate supply. We will talk further about our expectations for both retail and wholesale motorcycles in just a few months.

我們繼續優先考慮 Touring、Trike、[Softail] 和 CVO 摩托車的可用性和庫存，並確保我們的經銷商擁有適當的供應。我們將在短短幾個月內進一步討論我們對零售和批發摩托車的期望。

Looking at revenue, HDMC revenue increased by 13% in Q2. Focusing on the key drivers for the quarter, 11 points of growth came from increased wholesale volume at HDMC, where motorcycle shipments in the quarter were ahead of last year by 16%, whereas Q2 2023 shipments were adversely impacted by an unplanned production suspension at our US manufacturing operations.

從營收來看，HDMC第二季營收成長了13%。關注本季的主要驅動因素，11 個百分點的成長來自HDMC 的批發量增加，該季度的摩托車出貨量比去年同期增長16%，而2023 年第二季度的出貨量受到我們的計劃外生產暫停的不利影響。

Four points of decline came from pricing, which includes the impacts of the pricing surcharge elimination, other pricing actions on 2024 model year and sales incentives for only our model year 2023 motorcycles. Mix contributed seven points of growth as we continued to prioritize our most profitable models and markets. And finally, one point of negative impact came from foreign exchange.

四個點的下降來自定價，其中包括取消定價附加費的影響、對 2024 年車型的其他定價行動以及僅針對我們的 2023 年車型的銷售激勵措施。隨著我們繼續優先考慮最有利可圖的模式和市場，混合貢獻了七個成長點。最後，負面影響之一來自外匯。

In Q2, HDMC gross margin was 32.1%, which compares to 34.8% in the prior year. The decrease of approximately 270 basis points was driven by lower overall pricing, inclusive of the impact of surcharge removal, higher manufacturing and other costs and adverse impacts from foreign exchange. This was partially offset by positive impacts from volume, improved mix and lower raw material prices.

第二季度，HDMC 毛利率為 32.1%，去年同期為 34.8%。下降約 270 個基點是由於整體定價下降，包括附加費取消的影響、製造和其他成本上升以及外匯的不利影響。這部分被銷售、產品組合改善和原材料價格下降的正面影響所抵消。

Let me provide some color on a few of the specific drivers. Pricing had the biggest adverse impact to marketing where we priced the only touring motorcycles strategically and we have additional incentive or promotional spend in Q2 centered on interest rate assistance to consumers, on model year 2023 motorcycles only.

讓我對一些特定的驅動程式進行一些說明。定價對行銷產生了最大的不利影響，我們對唯一的旅行摩托車進行了策略性定價，並且我們在第二季度有額外的激勵或促銷支出，主要集中在對消費者的利率援助上，僅針對2023 年式摩托車。

Improved mix had the biggest positive impact on our margin, where we prioritized the shipment of touring and CVO motorcycles. Lastly, foreign exchange exposure was unfavorable in Q2 with the largest impact seen in the Japanese Yen and Europe. In addition, we experienced around 2% of cost inflation on an annualized basis in Q2.

改進的組合對我們的利潤產生了最大的正面影響，我們優先考慮旅行和 CVO 摩托車的運輸。最後，第二季的外匯曝險不利，其中日圓和歐洲受到的影響最大。此外，第二季的年化成本通膨約為 2%。

On the operating expense side, expenses were $12 million higher relative to prior year due to higher spend on retail marketing and warranty costs. In addition, we had some employee exit charges associated with recent select headcount reductions, primarily at the operating expense level.

在營運費用方面，由於零售行銷和保固成本的支出增加，費用比前一年增加了 1,200 萬美元。此外，我們也收取了一些與最近選擇性裁員相關的員工離職費用，主要是在營運費用水準上。

These moves were made in an effort to increase future OpEx productivity, HDMC operating margin came in at 14.7% in Q2 from 16.2% in the prior year. For the first half of the year HDMC, gross margin was 31.7% which compares to 35.4% in the prior year's period. Operating income was $436 million, which was $94 million or 18% lower than prior year.

這些措施是為了提高未來的營運支出生產力，HDMC 營運利潤率從去年的 16.2% 增加到第二季的 14.7%。今年上半年HDMC的毛利率為31.7%，去年同期為35.4%。營業收入為 4.36 億美元，比上年減少 9,400 萬美元，即 18%。

HDMC operating margin of 15.4% through the first half was 3.8 points lower than prior year. The decrease was due to less favorable pricing, manufacturing and foreign exchange. These effects were partially offset by improved mix and a modest increase in volume. In addition, year to date lower margin reflects the deleverage we experienced in Q1. As a result of Q1 2024 wholesale product, which was produced in Q4 of 2023, where fixed costs per unit were higher due to lower production.

HDMC 上半年營業利潤率為 15.4%，比去年同期低 3.8 個百分點。下降的原因是定價、製造和外匯不利。這些影響被改進的組合和銷量的適度增加部分抵消。此外，今年迄今為止較低的利潤率反映了我們在第一季經歷的去槓桿化。 2024 年第一季批發產品於 2023 年第四季生產，由於產量較低，單位固定成本較高。

Lastly, in the first half, operating expenses were $13 million or 3% higher in line with previous discussion. Before we turn to the next slide, let me give a brief update on our productivity cost program. One of the initiatives identified as part of the Hardwire strategy, where we are driving improvement in productivity to eliminate the $400 million of incremental supply chain costs incurred in 2020.

最後，上半年營運費用為 1,300 萬美元，比之前的討論高出 3%。在我們轉向下一張投影片之前，讓我先簡單介紹一下我們的生產力成本計畫。其中一項措施被確定為 Hardwire 策​​略的一部分，我們正在推動生產力的提高，以消除 2020 年產生的 4 億美元的增量供應鏈成本。

To simplify and provide more transparency, we are now excluding leverage from productivity, while still holding our previously communicated multiyear target of $400 million, which originally included a benefit from leverage of between $50 million and $70 million. Maintaining the $400 million target without the positive impact of leverage is a testament to the confidence we have in our cost reduction programs.

為了簡化並提高透明度，我們現在將槓桿從生產力中排除，同時仍保持先前溝通的 4 億美元的多年目標，其中最初包括 5,000 萬至 7,000 萬美元的槓桿收益。在沒有槓桿的正面影響的情況下維持 4 億美元的目標證明了我們對成本削減計劃的信心。

Excluding leverage, we delivered approximately $24 million in 2022 and $123 million in 2023. In 2024, we've delivered $50 million through Q2.

不包括槓桿，我們在 2022 年交付了約 2,400 萬美元，在 2023 年交付了 1.23 億美元。

Turning to slide 11 now and the Financial Services segment. At Harley-Davidson Financial Services, Q2 revenue increased by $23 million or 10%, driven by higher retail and commercial finance receivables as well as higher average yields as the portfolio continues to reset over time due to higher base rates caused by Fed rate expansion, which were driving higher interest income.

現在轉向投影片 11 和金融服務部分。在哈雷戴維森金融服務公司，第二季營收成長了2,300 萬美元，即10%，這是由於零售和商業金融應收帳款增加，以及由於聯準會升息導致基本利率上升導致投資組合隨著時間的推移而不斷重置，平均收益率也隨之提高，這推動了更高的利息收入。

HDFS operating income was $71 million, up $12 million or up 21% compared to last year. The Q2 increase was driven by higher interest income and a lower provision for credit losses, which were partially offset by increased borrowing costs and higher operating expenses.

HDFS 營業收入為 7,100 萬美元，比去年增加 1,200 萬美元，成長 21%。第二季的成長是由利息收入增加和信貸損失準備金減少所推動的，但藉貸成本增加和營運費用增加部分抵消了這一影響。

Total interest expense was up $8 million or up 9% versus the prior year. The increase was driven by higher cost of funds as lower interest rate debt matured and was replaced with current market rate debt. In Q2, HDFS's annualized retail credit loss ratio was 3.1%, which compares to an annualized retail credit loss ratio of 2.6% in Q2 2023.

利息支出總額比上年增加 800 萬美元，即 9%。這一增長是由於較低利率債務到期並被當前市場利率債務取代而導致資金成本上升。第二季度，HDFS 的年化零售信貸損失率為 3.1%，而 2023 年第二季的年化零售信貸損失率為 2.6%。

The increase in credit losses was driven by several factors relating to the current macro economic environment and the related customer and industry dynamics. In addition, the retail allowance for credit losses for the second quarter came in at 5.4%, up from 5.3% a year ago and at the same level as the 5.4% at the end of Q1 2024.

信貸損失的增加是由與當前宏觀經濟環境以及相關客戶和產業動態相關的多個因素所推動的。此外，第二季零售信貸損失準備金率為 5.4%，高於一年前的 5.3%，與 2024 年第一季末的 5.4% 持平。

This reflects our best estimate of the current and future retail lending environment. Total retail loan originations in Q2 were down 4%, while commercial financing activities were up 52% to $1.4 billion. Total quarter end net financing receivables, including both retail loans and commercial financing was $8 billion, which was up 7% versus prior year.

這反映了我們對當前和未來零售貸款環境的最佳估計。第二季零售貸款發放總額下降 4%，而商業融資活動成長 52%，達到 14 億美元。季末應收融資淨額（包括零售貸款和商業融資）總額為 80 億美元，比去年同期成長 7%。

Turning to slide 12 and the first half results at HDFS. First half revenue increased by $49 million or 11%. HDFS operating income was $125 million, up $8 million or up 7% compared to last year. The first half increase was driven by higher interest income, which more than offset higher borrowing costs, higher provision for credit losses and higher operating expenses.

轉向幻燈片 12 和 HDFS 的前半部分結果。上半年收入增加 4,900 萬美元，即 11%。 HDFS 營業收入為 1.25 億美元，比去年增加 800 萬美元，成長 7%。上半年的成長是由利息收入增加所推動的，這遠遠抵消了借貸成本上升、信貸損失撥備增加和營運費用上升。

For the LiveWire segment, as Karim mentioned. Electric motorcycles revenue increased in the second quarter of 2024 compared to the prior year period due to higher unit sales of EV motorcycles in the quarter. [STACYC] the electric balance bike business revenue was down compared to the prior year, which was expected due to a reduction in third party branded distributor volumes.

正如 Karim 所提到的，對於 LiveWire 部分。由於該季度電動摩托車銷量增加，2024 年第二季電動摩托車收入較上年同期有所成長。 [STACYC] 電動平衡車業務收入較上年下降，這是由於第三方品牌經銷商銷量減少所致。

Selling, engineering and administrative expenses were down $3 million or down 9% in Q2 compared to the prior year. Livewire operating loss of $28 million, $4 million less than a year ago was in line with our expectations, as LiveWire continued to invest in new motorcycle models and also actions initiatives to reduce the overall cost of sales for EV motorcycles.

第二季的銷售、工程和管理費用比去年同期減少了 300 萬美元，即 9%。 Livewire 營運虧損為 2,800 萬美元，比一年前減少 400 萬美元，符合我們的預期，因為 LiveWire 繼續投資新摩托車型號，並採取措施降低電動摩托車的整體銷售成本。

For the first half result of the LiveWire segment revenue was $11 million, down 25% from the prior year as a result of lower revenue at STACYC, the electric balance bicycle business. For the first half of the year, LiveWire sold 275 electric motorcycles, which is a triple digit increase over the prior year period for the period led by our operating loss was $57 million, which was in line with our expectations.

上半年，由於電動平衡自行車業務 STACYC 的收入下降，LiveWire 部門的收入為 1,100 萬美元，比上年下降 25%。今年上半年，LiveWire 銷售了 275 輛電動摩托車，比去年同期成長了三位數，因為我們的營業虧損為 5,700 萬美元，符合我們的預期。

Wrapping up with consolidated Harley-Davidson, Inc. financial results, we delivered $578 million of operating cash flow in the first half of 2024, which was up from $411 million in the same period last year. The increase in operating cash flow was due primarily to positive changes in working capital during the first half of 2024 compared to the first half of 2023, driven by a decrease in inventories during 2024.

總結哈雷戴維森公司的綜合財務業績，我們在 2024 年上半年實現了 5.78 億美元的營運現金流，高於去年同期的 4.11 億美元。營運現金流的增加主要是由於 2024 年上半年的營運資金較 2023 年上半年出現正面變化，而這主要是由於 2024 年庫存減少所致。

These positive impacts were partially offset by higher net cash outflows related to wholesale finance receivable. Total cash and cash equivalents ended at $1.8 billion, which was $327 million higher than at the end of Q2 prior year. This consolidated cash number includes $113 million at LiveWire.

這些正面影響被與批發融資應收款相關的淨現金流出增加部分抵銷。現金和現金等價物總額最終達到 18 億美元，比去年第二季末增加 3.27 億美元。這一綜合現金數字包括 LiveWire 的 1.13 億美元。

Additionally, as part of our capital allocation strategy and in line with our commitment to return capital to our shareholders. In Q2, we bought back $2.9 million shares of our stock at a cost of $102 million. This brings our total amount of shares bought back in the first half of 2024 to $5.5 million shares of Harley-Davidson common stock at a total value of $200 million.

此外，作為我們資本配置策略的一部分，並符合我們向股東返還資本的承諾。第二季度，我們以 1.02 億美元的成本回購了價值 290 萬美元的股票。這使得我們在 2024 年上半年回購的哈雷戴維森普通股總額達到 550 萬美元，總價值達 2 億美元。

This compares to $4.1 million shares at a total value of $156 million in the first half of 2023. We see 2024, not only as a year to balance retail sales and wholesale shipments, but also of the year to improve balance sheet efficiency. As it has become clear, that volume will be toward the lower end of our original expectations planned production cuts in the back half of the year, we'll be more aggressive than the reductions we envisioned for retail sales and wholesale shipments.

相較之下，2023 年上半年的股價為410 萬美元，總價值為1.56 億美元。 。很明顯，這一數量將接近我們下半年計劃減產的最初預期的下限，我們將比我們預期的零售和批發出貨量削減更加積極。

This produces a gross margin headwind in Q3 and Q4 that is greater than we originally estimated, but we believe position of the company more appropriately for 2025, freed up additional cash and reduces obsolescence risk on an ongoing basis. We continue to expect that retail unit sold and wholesale unit shipments will be balanced by the end of 2024, and we now expect retail and wholesale to be in the range of 163,000 to 168,000 units. Retail to be in the range of flat to up 3% for the full year, wholesale shipments to be in the range of down 7% to down 10% for the full year.

這導致第三季和第四季的毛利率逆風大於我們最初估計的，但我們認為該公司的定位更適合 2025 年，釋放額外現金並持續降低過時風險。我們繼續預計，到 2024 年底，零售銷售和批發銷售將達到平衡，目前預計零售和批發銷售將在 163,000 至 168,000 輛之間。全年零售出貨量將持平至成長 3%，批發出貨量將全年下降 7% 至下降 10%。

As we look to guidance for the year. There are a number of elements that remain unchanged from the prior quarters, but there are some changes for HDMC and that is where will begin, we now expect revenue to be down in the range of 5% to 9%, and this has been narrowed from our previous flat to down 9%.

當我們期待今年的指導。有許多要素與前幾季相比保持不變，但 HDMC 發生了一些變化，這就是將從中開始的，我們現在預計收入下降在 5% 至 9% 的範圍內，並且這一範圍已經縮小從之前的持平下降9%。

Operating income margin is now projected to come in between 10.6% and 11.6%, rather than the 12.6% to 13.6% range that we had previously guided to. The downward revision is primarily due to production and wholesale reductions and the impact of leverage.

目前預計營業利潤率將在 10.6% 至 11.6% 之間，而不是我們先前指導的 12.6% 至 13.6% 範圍。向下修正主要是由於產量和批發量的減少以及槓桿的影響。

At HDFS guidance for the full year 2024 remains unchanged, where we expect operating income to be flat to up 5%. At LiveWire guidance for full year 2024 remains unchanged, where we continue to expect to deliver between 1,000 and 1500 electric motorcycle units. And an operating loss in the range of $105 billion to $115 billion. And we continue to expect capital investment in the range of $225 billion to $250 million.

HDFS 2024 年全年指引保持不變，我們預期營業收入將持平至成長 5%。 LiveWire 對 2024 年全年的指導保持不變，我們繼續預計交付 1,000 至 1500 輛電動摩托車。營業虧損在 1,050 億美元至 1,150 億美元之間。我們仍然預期資本投資將在 2,250 億美元至 2.5 億美元之間。

As we look at capital allocation in 2024, our priorities remain to fund profitable growth at the hardwire initiatives, which includes the capital expenditures mentioned previously paying dividends and continuing to execute discretionary share repurchases. As Jochen, touched on and as can be seen from our press release earlier today, we are announcing a new plan to repurchase $1 billion in shares through 2026. We feel this highlights our operating discipline overall cash flow generation and long-term earnings power and is supported by our continued commitment to deliver a 15% operating income margin by the end of 2025.

當我們展望 2024 年的資本配置時，我們的首要任務仍然是為硬體計畫的獲利成長提供資金，其中包括前面提到的支付股利和繼續執行酌情股票回購的資本支出。正如Jochen 所提到的，從我們今天早些時候的新聞稿中可以看出，我們宣布了一項到2026 年回購10 億美元股票的新計劃。現金流產生和長期獲利能力，我們持續承諾到 2025 年底實現 15% 的營業利潤率，這為我們提供了支持。

And with that, we'll open it up to Q&A.

接下來，我們將開放問答環節。

(Operator instructions)

（操作員說明）

Craig Kennison, Baird.

克雷格·肯尼森，貝爾德。

Hey, good morning. Thanks for taking my question. I guess it's a two-parter. First, what does guidance assume for retail in 2024? And then secondly, bigger picture here. This was a big year for innovation, for Harley-Davidson and all the product reviews have been really exceptional, but just not seeing the volume flow through like you might have hoped.

嘿，早安。感謝您提出我的問題。我猜這是一個二人組。首先，2024 年零售業指南有何假設？其次，這裡有更大的圖景。對於哈雷戴維森來說，這是創新的重要一年，所有產品評論都非常出色，但只是沒有像您希望的那樣看到銷售。

What's your bigger-picture assessment of where your consumers that given you really offered a very good product and it hasn't moved the needle as much as maybe you would like.

您對向您提供的消費者是否真正提供了非常好的產品的整體評估是什麼，但它並沒有像您希望的那樣發揮作用。

Yes, Craig, Jochen. I'll take the two questions in terms of retail guidance, we expect a 0% to 3% full year guidance. In terms of innovation, I think it has very much moved the needle, if you look at the how the market has developed. The overall industry has developed in the second half with most industry players being down high single to mid-single digit declines with us, in the US being slightly positive. It certainly has moved the dial significantly.

是的，克雷格，喬亨。我將回答零售指導方面的兩個問題，我們預計全年指導為 0% 至 3%。在創新方面，如果你看看市場的發展情況，我認為它已經取得了很大的進展。整個產業在下半年有所發展，大多數產業參與者都出現了高個位數到中個位數的下降，其中美國的情況略顯樂觀。它確實顯著地改變了錶盤。

So the innovation is working just like with any new motorcycle, it takes time for customers to know about it. We think that about 30% of our engage Harley-Davidson owners are now very aware of our new product, but that leaves about two-thirds of the owners that are not quite well aware of the new bikes yet. And so this product will help our business in years to come, which we're very pleased with.

因此，這項創新就像任何新摩托車一樣，需要時間讓客戶了解它。我們認為，大約 30% 的哈雷戴維森車主現在非常了解我們的新產品，但仍有大約三分之二的車主還不太了解新自行車。因此，該產品將在未來幾年對我們的業務有所幫助，我們對此感到非常滿意。

And as you said, the reception has been extraordinarily positive and it's a product differentiate significantly from our previous touring bikes. And we also have a strong product portfolio innovation platform for the coming years as well.

正如您所說，反應非常積極，這是一款與我們以前的旅行自行車顯著不同的產品。我們也為未來幾年提供了強大的產品組合創新平台。

So I think I've said many times before these bikes that we introduced were initiated with the start of our hardware stage two strategy and the beginning of more products to come over the coming years. But overall exceptional reception, which I think is showing up already considering the industry and how it fared in the second quarter.

因此，我想我已經說過很多次了，我們推出的這些自行車是隨著我們的硬體第二階段策略的開始以及未來幾年更多產品的開始而啟動的。但總體而言，反應非常好，我認為考慮到該行業及其第二季的表現，這一點已經顯現出來。

Thank you.

謝謝。

Alexander Perry, Bank of America.

亞歷山大·佩里，美國銀行。

Hi, thanks for taking my question here. The HPMC Op margin came in nicely despite the gross margin pressure in the quarter. Can you just talk about sort of the second half gross margin assumption? Should we continue to expect pressure from pricing and sales incentives?

您好，感謝您在這裡提出我的問題。儘管本季毛利率面臨壓力，但 HPMC 營運利潤率仍表現良好。您能談談下半年毛利率的假設嗎？我們是否應該繼續預期來自定價和銷售激勵措施的壓力？

And then it looks like you manage the SG&A expense line quite well, just maybe talk about sort of what you're doing in the back half there and what we should expect there? Thank you.

然後看起來你很好地管理了SG&A費用線，也許可以談談你在後半部分所做的事情以及我們應該在那裡期待什麼？謝謝。

All right, hi, Alex. So I'm happy to take that. So I think from an Op margin perspective, overall, we are certainly pleased in terms of where the company is performing, particularly in light of where we are from a production volume perspective, I think we've talked with you a little bit about that previously.

好吧，嗨，亞歷克斯。所以我很樂意接受。因此，我認為從營運利潤率的角度來看，總的來說，我們對公司的表現當然感到滿意，特別是考慮到我們從產量的角度來看，我想我們已經與您討論過這一點之前。

As we think about some of the actions that we've taken as a company, we certainly are making sure that we're kind of moving through the P&L looking at places that we can make sure that we are intelligent and taking cost out of the business in a way that doesn't do anything to harm the long-term nature of the business and really allows us to maximize current results.

當我們思考我們作為一家公司所採取的一些行動時，我們當然會確保我們正在通過損益表尋找我們可以確保我們明智並降低成本的地方。真正使我們能夠最大限度地提高當前成果。

We certainly have kind of instituted a little bit of belt-tightening for 2024. You saw that through the employee related costs that we talked about, as we move through the back half of the year, you obviously see some of that benefit begin to unlock from an OpEx perspective.

我們當然已經在 2024 年採取了一些勒緊褲腰帶的措施。的角度來看。

And then in addition, we have a number of investments that we've made in the manufacturing and cost of sales side in order to make sure that we are working collaboratively with suppliers to reduce and remove costs from motorcycles in a way that obviously is transparent from a consumer perspective. And so as we look at all of that, that's where we updated our overall guide from an OI perspective. And so you see that flow into the decision that we made and what we updated.

此外，我們在製造和銷售成本方面進行了大量投資，以確保我們與供應商合作，以明顯透明的方式降低和消除摩托車成本從消費者的角度來看。因此，當我們審視所有這些內容時，我們從 OI 角度更新了整體指南。所以你會看到我們所做的決定和更新的內容。

Perfect. That's really helpful and best of luck going forward.

完美的。這真的很有幫助，祝你未來好運。

Thank you.

謝謝。

James Hardiman, CITI.

詹姆斯·哈迪曼，CITI。

Hey, good morning. A couple of retail questions. How did that trend over the course of the quarter? I think we've seen across powersports and some sort of tipping point where consumers seem to be pushing back even more so than they were earlier in the year.

嘿，早安。幾個零售問題。本季的趨勢如何？我認為我們已經看到了動力運動和某種轉折點，消費者似乎比今年早些時候更加抵制。

And I guess in the context of your guidance, I think year to date your retail is down about 2% and yet the full year guidance, I think you just said (inaudible) is flat to up three. So it seems to imply retail growth in the second half, help us understand why you feel comfortable with that assumption, particularly as we get further away from the model, your 24 launch?

我想在您的指導背景下，我認為今年迄今為止您的零售業下降了約 2%，但全年指導，我認為您剛才說（聽不清楚）持平至增長 3%。因此，這似乎意味著下半年零售業的成長，請幫助我們理解為什麼您對這個假設感到滿意，特別是當我們距離模型越來越遠時，您的 24 發布？

Yeah, good morning, James. I'll take the first question. The trend of the quarter was extraordinarily consistent. If I look at the US market, we did not trend throughout the quarter any month negative. So very consistent if you look at the three months of Q2.

是的，早上好，詹姆斯。我來回答第一個問題。本季的趨勢非常一致。如果我看看美國市場，整個季度我們並沒有任何一個月出現負面趨勢。如果你看看第二季的三個月，那就非常一致。

Sure, James, I can talk a little bit about kind of our back half view. So as we go through, we take a look at how 2023 developed and then kind of how that flows into 2024 from a year over year comp perspective, our toughest comp as we kind of look back on last year was really around the way that we performed at retail in Q2. As we move into Q3 and Q4, we feel pretty confident in light of just refreshing our guidance and putting that out there.

當然，詹姆斯，我可以談談我們的後半部視圖。因此，在我們回顧過程中，我們會看看2023 年是如何發展的，然後從逐年比較的角度來看，它是如何流入2024 年的，當我們回顧去年時，我們最艱難的比較實際上是圍繞著我們的方式進行的。當我們進入第三季和第四季時，我們對更新我們的指導方針並將其公佈感到非常有信心。

We're pretty pleased at the reaction that we've had from a CVO perspective, certainly pleased with it kind of consumer and dealer reaction to Road Glide. We have good availability of inventory with Trike's and things of that nature. So overall, we actually feel like we're pretty well positioned. If you recall about 12 months ago, we were talking through some challenge that we had from a production disruption standpoint.

從 CVO 的角度來看，我們對大家的反應感到非常滿意，當然也對消費者和經銷商對 Road Glide 的反應感到滿意。我們擁有三輪車和類似物品的充足庫存。總的來說，我們實際上感覺自己處於非常有利的位置。如果你還記得大約 12 個月前，我們正在討論從生產中斷的角度遇到的一些挑戰。

We're really pleased with the work that's being done within our manufacturing and supply chain team. We have a lot of consistency from a manufacturing perspective, that certainly wasn't the case a year ago. So the level of confidence that we have as we look at the comps. And then as we look at the way that we're kind of running internally, you put all of that together and with the dealer network we have a lot of confidence in the numbers that we put forward and what we think the back half of the year will produce.

我們對我們的製造和供應鏈團隊所做的工作非常滿意。從製造角度來看，我們有很大的一致性，而一年前的情況肯定不是這樣。因此，當我們查看比較時，我們的信心程度。然後，當我們審視我們內部運作的方式時，將所有這些放在一起，透過經銷商網絡，我們對我們提出的數字以及我們認為的後半部分充滿信心年將產生。

Got, it. Thanks, guys.

知道了。謝謝，夥計們。

Robin Farley, UBS.

羅賓法利，瑞銀集團。

Great two questions related to retail. One is it looks like your touring market share maybe was down sequentially in Q2 versus Q1. If you could give us a little color on what's going on competitively there that may have caused that shift.

兩個與零售相關的好問題。其一是，您的巡演市場份額在第二季度與第一季相比可能連續下降。如果您能給我們一些關於可能導致這種轉變的競爭情況的資訊。

And then just a follow-up on your comments about retail in Q2, it was sort of consistent given how much disruption there was for sort of the last two months of care like June of last year and June of the prior year. It seems like in June should have had a much better performance year over year and maybe the other two months. So is does that concern you that you didn't see that in June and what would have been probably one of the easiest comps of any month that Harley had? Thanks.

然後，只是您對第二季度零售業評論的後續評論，考慮到去年 6 月和前一年 6 月等最後兩個月的護理造成的干擾程度，這有點一致。看來六月的表現應該比去年同期好得多，也許另外兩個月也應該會有更好的表現。那麼，您是否擔心您在六月沒有看到這一點，而這可能是哈雷在任何一個月中最簡單的比賽之一？謝謝。

Yeah, Robin, thank you, welcome. In terms of market share, our touring market share was very strong in the second quarter. We had a significant increase, as I had mentioned in our press statement in my speech. So significant growth in the overall touring segment in Q2. I'm talking US right now that I'm talking globally, we have to consider that the touring the new touring motorcycles only started flowing into the international markets in May.

是的，羅賓，謝謝你，歡迎你。從市佔率來看，第二季我們的巡迴市佔率非常強勁。正如我在演講中的新聞聲明中提到的，我們的增幅顯著。第二季整個旅遊市場出現了顯著成長。我現在談論的是美國，我談論的是全球，我們必須考慮到新型旅行摩托車五月才開始流入國際市場。

So they had less time to settle in and the touring segment internationally is only 25% of the total, while in the US, it's significantly higher than that. In terms of -- as Jonathan mentioned, our comps in Q2 were much tougher than in the back half because we had positive retail in the second quarter of last year. So we are comping a strong quarter and the production disruption that we've seen pretty much materialized mostly in July of last year.

所以他們安頓下來的時間較少，國際巡迴部分只佔總數的25%，而在美國，這一比例明顯高於此。正如喬納森所提到的，我們第二季的業績比下半年要艱難得多，因為我們去年第二季的零售業績良好。因此，我們預計本季表現強勁，而且我們看到的生產中斷主要發生在去年 7 月。

So it the effect of the of the closure of the manufacturing facility didn't really impact our shipments significantly in the second quarter in June of last year. So we wouldn't have expected that to have materially impacted our comps versus the previous year.

因此，製造工廠關閉的影響並沒有真正對我們去年六月第二季的出貨量產生重大影響。因此，我們沒想到這會對我們的業績與前一年產生重大影響。

So overall, if you look at the entire quarter, you always hope for more, but considering where the industry is. We are very pleased and we've taken significant market share in the touring segment, and I think that's a real positive.

因此，總的來說，如果你縱觀整個季度，你總是希望有更多，但考慮到行業所處的位置。我們非常高興，我們在旅遊領域佔據了很大的市場份額，我認為這是一個真正的積極因素。

Yeah and Robin, the only piece that I would add too, is that we are pretty pleased with what we're seeing in terms of total touring and total CVO volume. So from our perspective, we feel pretty confident in where we are for all of the elements that you can talk about all the reasons that you talked about and the share gains that we're seeing.

是的，Robin，我唯一要補充的一點是，我們對總巡演和 CVO 總量方面所看到的情況非常滿意。因此，從我們的角度來看，我們對我們所處的位置非常有信心，因為您可以談論您所談論的所有原因以及我們所看到的份額收益。

I think one interesting statistic that I'd be happy to throw out here. We talked about average age, right? The 45 with the slide that we provided in our deck. If you look at the HDFS state and the average income, we've actually seen a continuous growth in average income per [holiday] user. So that's a positive sign.

我想我很樂意在這裡拋出一個有趣的統計數據。我們討論了平均年齡，對嗎？ 45 附有我們在甲板上提供的幻燈片。如果您查看 HDFS 狀態和平均收入，我們實際上會看到每個[假期]用戶的平均收入持續成長。所以這是一個正面的訊號。

And the and if you just look at new not just new and used the new customer, a sort of average income is actually 15% higher than five years ago with over $100,000. So we are seeing trending up in the overall average income of our customers, which we consider to be positive.

如果你只看新客戶，而不僅僅是新客戶和舊客戶，你會發現平均收入實際上比五年前高出 15%，超過 10 萬美元。因此，我們看到客戶的整體平均收入呈上升趨勢，我們認為這是正面的。

Right, thank you.

對了，謝謝。

Joe Altobello, Raymond James.

喬·阿爾托貝洛，雷蒙德·詹姆斯。

Thanks, guys. Good morning. So earlier you mentioned that you expect dealer inventory to come down. I think you said 30% in the second half and about flat with last year. When you talk to your dealers, would they like that number to come down even further?

謝謝，夥計們。早安.您之前提到預計經銷商庫存會下降。我想你說下半年是30%，跟去年持平。當您與經銷商交談時，他們是否希望這個數字進一步下降？

Because I'm sure that the dollar value of their inventory is higher and it was pre-COVID typically on a per dealer basis and interest rates are obviously much higher. So I'm curious what you what you're hearing from dealers if they want that number to come down even further in '25?

因為我確信他們庫存的美元價值更高，而且是在新冠疫情之前，通常以每個經銷商為基礎，利率顯然要高得多。所以我很好奇你從經銷商那裡聽到了什麼，如果他們希望這個數字在 25 年進一步下降？

Well, most of our dealers are only starting to see the back of the shipments that are starting to flow into the dealerships in the third quarter. But I'd say overall, we've had a minimal pushback. And if there was a pushback, we would reallocate that product elsewhere, the 30% is a global average, we actually expect the inventory in the US to come down by approximately 35% versus year to date towards the end of the year.

好吧，我們的大多數經銷商才開始看到第三季開始流入經銷商的出貨量。但我想說，總的來說，我們遇到的阻力很小。如果出現阻力，我們會將該產品重新分配到其他地方，30% 是全球平均水平，我們實際上預計到年底美國的庫存將比年初至今下降約 35%。

So the US dealers will actually see a further reduction from our perspective. This is pretty significant and I think the dealers will feel that also it's starting now that the shipments are actually going down significantly. That said, we wanted to be well prepared for our peak season in the coming couple of months, and we are well prepared. We had no production issues significant production issues at all.

所以從我們的角度來看，美國經銷商實際上會看到進一步的減少。這是非常重要的，我認為經銷商也會感覺到，現在出貨量實際上正在大幅下降。也就是說，我們希望為未來幾個月的旺季做好充分準備，我們也已經做好了充分準備。我們沒有任何生產問題，根本沒有重大生產問題。

And so the dealers well stocked, obviously, floor plan is a consideration given the higher interest rates and the higher dollar values, which thankfully HDFS is also able to finance. But overall, we think that the reductions that we are in have implemented already that are going to be visible to our dealers going forward is your are pretty significant with a 35% decline versus current state.

因此，考慮到較高的利率和較高的美元價值，經銷商庫存充足，顯然，平面圖是一個考慮因素，值得慶幸的是 HDFS 也能夠提供融資。但總體而言，我們認為我們已經實施的削減措施對我們的經銷商來說是非常顯著的，與當前狀態相比下降了 35%。

Got it, very helpful. Maybe just to follow up on that. The outlook for retail growth in the second half, maybe give us an idea of what you're seeing in July?

明白了，非常有幫助。也許只是為了跟進。下半年零售成長的前景，或許能讓我們了解一下七月的情況？

Yeah. I mean look, I don't want to really comment on current trading with three weeks and months, although in the second quarter, everything was pretty consistent, we also were lapping a production closedown in July of last year. Everything that we are seeing now has been factored into our full year guidance.

是的。我的意思是，我不想真正評論當前三週和幾個月的交易，儘管在第二季度，一切都非常一致，我們也在去年 7 月關閉了生產。我們現在看到的一切都已納入我們的全年指導中。

But I'd prefer from a year going forward, not to really talk about current trading because it is overall always quite volatile, but rest assured that a current trading has been incorporated in our full-year guidance.

但我希望從未來的一年開始，不要真正談論當前的交易，因為它總體上總是相當不穩定，但請放心，當前的交易已納入我們的全年指導中。

Okay. Thank you.

好的。謝謝。

Brandon Rolle, D.A. Davidson.

布蘭登·羅爾，D.A.戴維森。

Good morning. Thank you for taking my questions. First, just on your dealer network, we picked up on some more dealership closures throughout the quarter. Can you talk about where you feel like your dealer network is right now and how these closures will impact overall of future profitability for HDMC? Thank you.

早安.感謝您回答我的問題。首先，就您的經銷商網路而言，我們發現本季有更多經銷商關閉。您能否談談您對經銷商網路目前的狀況以及這些關閉將如何影響 HDMC 未來的整體獲利能力？謝謝。

Sure, thank you, Brandon. So I'll start and I think from my side from a dealer closure perspective, we certainly look to make sure that we are working to refine the dealer network, get locations set up in the right way and do that in a manner that really allows surrounding dealers all of our entrepreneurial partners to be profitable and really generate a business return that makes sense for them.

當然，謝謝你，布蘭登。因此，我首先從經銷商關閉的角度來看，我們當然希望確保我們正在努力完善經銷商網絡，以正確的方式設置地點，並以真正允許的方式做到這一點圍繞經銷商和我們所有的創業合作夥伴實現盈利，並真正產生對他們有意義的業務回報。

So as we look, I think the a couple of things, one from a Harley-Davidson Motor Company, Harley shareholder standpoint, we certainly are thoughtful in making sure that we have the right locations in place that we're reaching the consumers that we need to and that we have a path toward ensuring that we're fulfilling the needs of our customers and our riders.

因此，就我們而言，我認為有幾件事，其中之一是從哈雷戴維森汽車公司、哈雷股東的角度來看，我們當然會考慮周全，確保我們擁有正確的地點，以便我們能夠接觸到我們想要的消費者。

And then we also look from a dealer lens and really think through from a dealer partner perspective, are we building a network that's profitable, sustainable and there from a long term standpoint, and we feel pretty good about the way that we're partnering with the dealer network and the way that we're allowing them to generate returns over time.

然後，我們也從經銷商的角度出發，真正從經銷商合作夥伴的角度思考，我們是否正在建立一個有利可圖、可持續的網絡，從長遠的角度來看，我們對與他們合作的方式感到非常滿意經銷商網路以及我們允許他們隨著時間的推移產生回報的方式。

So overall, yes, you'll continue to see us be opportunistic in finding the right path from an overall dealer network design standpoint. And we will make sure that we do that in a way that doesn't negatively harm Harley-Davidson shareholders. So we are ensuring that we are really developing the optimal distribution footprint. And then we do that with our dealer partners in mind to ensure that they are generating a return that makes sense for their investments.

因此，總的來說，是的，您將繼續看到我們從整體經銷商網路設計的角度尋找正確的道路。我們將確保這樣做不會對哈雷戴維森股東造成負面傷害。因此，我們確保我們真正開發出最佳的分銷足跡。然後我們會考慮到我們的經銷商合作夥伴，以確保他們產生對其投資有意義的回報。

Great. And just one more question. We receive a lot of incoming questions about maybe your ability to keep innovating obviously, this was a big refresh this year within the touring lineup. But what gives you confidence or what can you leverage from what you've learned this year and to continue innovating and providing new lineups that resonate with your core consumer? Thank you.

偉大的。還有一個問題。我們收到了很多關於您是否有能力持續創新的問題，顯然，這是今年巡迴陣容中的重大更新。但是，是什麼給了您信心，或者您可以從今年學到的知識中利用什麼來繼續創新並提供與核心消費者產生共鳴的新產品線？謝謝。

Yeah. I mean, we have a product portfolio plan that spans over many years, which we've initiated in 2021 with the Hardwire strategy, and that is going to flow into the market in the coming years. So we feel very good about it most importantly, this touring launch is significant.

是的。我的意思是，我們有一個跨越多年的產品組合計劃，我們於 2021 年透過 Hardwire 策​​略啟動了該計劃，並將在未來幾年流入市場。所以我們對此感覺非常好，最重要的是，這次巡演意義重大。

You know that the previous platform had not been updated for well over 10 years, and this product is distinctively different to anything out there. So it makes everything out there. That is not our new touring bikes look, look good dated, and we believe that will help us in years to come. But that said, there's more innovation coming over the next few years. So we feel quite good about the pipeline that we have in place.

您知道，之前的平台已經有 10 多年沒有更新了，而這個產品與現有的任何產品都有明顯的不同。所以它讓一切都在那裡。這不是我們新的旅行自行車的外觀，看起來很過時，我們相信這將在未來幾年對我們有所幫助。但話雖如此，未來幾年將會出現更多創新。因此，我們對現有的管道感到非常滿意。

Great. Than you.

偉大的。比你。

Noah Zatzkin, KeyBanc Capital Markets.

Noah Zatzkin，KeyBanc 資本市場。

Hi. Thanks for taking my questions. Maybe just first on HDFS, how are you guys feeling about the health of the book and then our annualized retail credit losses kind of where you expected them to be right now.

你好。感謝您回答我的問題。也許首先在 HDFS 上，你們對這本書的健康狀況感覺如何，然後我們的年度零售信貸損失與你們現在的預期差不多。

And then second, if you could just kind of touch on maybe any market dynamics and you're seeing that differ overseas and APAC was a bit softer. I think some of the other regions were pretty similar to North America. So any color there would be helpful. Thanks.

其次，如果你能觸及任何市場動態，你會發現海外情況有所不同，亞太地區的情況會比較軟。我認為其他一些地區與北美非常相似。所以任何顏色都會有幫助。謝謝。

(multiple speakers)

（多個發言者）

Sorry, I'm starting form the back. So market dynamics I mentioned Asia, obviously, that one outlier there in terms of in terms of retail declined, significantly impacted by by China. Asia was growing six quarters in a row now it's the fourth quarter down.

抱歉，我從後面開始。因此，我提到亞洲的市場動態，顯然，零售業方面的一個異常現像是受到中國的影響而下降。亞洲連續六個季度成長，現在第四個季度出現下降。

Obviously not pleased with that, but that I can with certainty attribute to the overall difficult market in mind, in particular, in China and in some Southeast Asian markets. So I think that's the if you look at the retail data, that's the one region overall, that had a much tougher time, but also had seen significant growth well before that decline happened.

顯然對此不滿意，但我可以肯定地將其歸因於整體困難的市場，特別是在中國和一些東南亞市場。因此，我認為，如果你看一下零售數據，你會發現整個地區的情況要困難得多，但在下降發生之前就已經出現了顯著的成長。

Okay, all right Noah. And then onto the HDFS side of things. So from an overall HDFS health perspective, you see where we are from an overall allowance standpoint, even compare that back to where we were at time of seasonal. And you can see that we're pretty, we think that we're pretty thoughtful and in a good position from an overall reserve standpoint and well positioned on that front.

好吧，好吧，諾亞。然後是 HDFS 方面。因此，從整體 HDFS 健康狀況的角度來看，您可以從整體津貼的角度看到我們的情況，甚至可以將其與季節性時的情況進行比較。你可以看到我們很漂亮，我們認為我們考慮得非常周到，從整體儲備的角度來看我們處於有利位置，並且在這方面處於有利位置。

As we think about what we're seeing on the delinquency and loss side of the equation, our overall consumer delinquency is a little is a little bit higher than where we would ultimately like it to be. But we feel that the HDFS team is doing a great job of really controlling delinquency and then working with customers and from an And then as you kind of look at how that translates through to a overall loss perspective, losses are broadly in line with sort of a seasonality curve that we would often see, particularly in sort of this credit environment.

當我們思考我們在等式的拖欠和損失方面所看到的情況時，我們的整體消費者拖欠率比我們最終希望的要高一點。但我們認為 HDFS 團隊在真正控制拖欠行為方面做得很好，然後與客戶合作，然後當你看看這如何轉化為整體損失的角度時，損失大致與我們經常看到的季節性曲線，特別是在這種信貸環境中。

When we go off and compare to auto lenders and do some benchmarking there, we actually feel pretty good about the way that the HDFS team is performing the way that that portfolio is performing. The other piece that we always make sure that we take a look at from an HDFS standpoint is. How are things like losses and reserve moving relative to revenue?

當我們與汽車貸款機構進行比較並進行一些基準測試時，我們實際上對 HDFS 團隊的表現與該投資組合的表現感到非常滿意。我們始終確保從 HDFS 的角度來看的另一件事是。損失和準備金等指標相對於收入的變化如何？

And so overall, again, we remain pleased with how the HDFS business in total is performing. And you see that from our guidance where we've affirmed or confirmed our guidance that we started the year with, so broadly in line with where we thought the year would unfold.

因此，總的來說，我們對 HDFS 業務的整體表現仍然感到滿意。從我們的指導中你可以看到，我們已經確認或證實了我們年初的指導，與我們認為今年將展開的方向大致一致。

Noah, just to add on to what I said earlier to answer your question about what are we seeing in various markets. I've mentioned in my speech that we there is no consistency across markets we have. If you take EMEA as reach, you have some markets that are particularly strong such as Spain, Italy, Portugal, and you would have some markets that are not doing so great such as Germany and France.

諾亞，我只是補充我之前所說的，以回答您關於我們在各個市場中看到的情況的問題。我在演講中提到，我們所擁有的各個市場並不一致。如果以歐洲、中東和非洲地區為覆蓋範圍，您會發現一些市場特別強勁，例如西班牙、義大利、葡萄牙，也會有一些表現不佳的市場，例如德國和法國。

And so there is not and then in the US, there's also a year of varying degrees, some markets are up significantly, other markets are down. So there's no consistency overall where every market sort of performs equally, which is quite interesting to see that And much of that we believe also has as it grows in the economic development in some of those markets and states as well.

所以沒有，然後在美國，也有不同程度的一年，有些市場大幅上漲，有些市場下跌。因此，每個市場的表現都不盡相同，這是非常有趣的，我們相信，隨著其中一些市場和州的經濟發展的增長，這種情況也會出現。

Very helpful. Thank you.

非常有幫助。謝謝。

Tristan Thomas-Martin, BMO Capital Markets.

特里斯坦·托馬斯·馬丁，BMO 資本市場。

Good morning. I was wondering, if you can provide a breakdown of how much of your channel inventory is model-year '24s versus '23s? And then I was also kind of wondering what promotional levers you have kind of for the rest of the year, if you do need to provide a little juice to hit your inventory declined targets? Thanks.

早安.我想知道您是否可以詳細說明您的通路庫存中有多少是 24 年代車型與 23 年代車型？然後我還想知道，如果您確實需要提供一點動力來實現庫存下降目標，那麼今年剩下的時間裡您有哪些促銷手段？謝謝。

So as you have probably seen, we are not promoting our '23 model year with the exception of our 399 promotion, which is basically something we've had in market for quite some time. And so there are no more promotions. And the reason for that is because there's minimal levels of inventories of '23s in the market.

因此，正如您可能已經看到的那樣，除了我們的 399 促銷活動之外，我們不會促銷我們的 23 車型年，這基本上是我們在市場上已經存在相當長一段時間的東西。所以沒有更多的促銷活動。原因是市場上 23 年代的庫存水準很低。

That some dealers actually want to have bringing customers into the dealership, but we've stopped promoting model-year '23 for that reason. We are pretty much the only company out there that does not promote 24s. I'm sure you've noticed that as well. We're not going to comment on what's going to happen in the second half. We're obviously watching things carefully, but at this point is no promotions active for model year '24.

一些經銷商實際上希望將客戶帶入經銷店，但出於這個原因，我們已停止促銷 23 年車型。我們幾乎是唯一一家不提倡 24 小時的公司。我相信你也注意到了這一點。我們不會評論下半年會發生什麼。顯然，我們正在仔細觀察事情，但目前還沒有 24 年車型的促銷活動。

If I could just kind of sneak one in there. The average age charts you posted as that in line with where you want it to be and kind of we look out a couple of years, how do you think that's going to trend? Thanks.

如果我能偷偷地放一個進去就好了。您發布的平均年齡圖表與您想要的一致，我們會關注幾年，您認為趨勢會如何？謝謝。

I think, yeah. As an average, I think that's quite healthy considering that the you know, as we've always, as I've always said when you kind of age into into the brand, right? I mean, when I was started writing 16 or 18, I was dreaming of owning a Harley-Davidson, but I couldn't afford it. And so it comes later in life, even if the profile in the US might be a little bit different and you come in a little bit earlier in the US market, but the consistency, I think is fine.

我想，是的。平均而言，我認為這是相當健康的，因為你知道，正如我們一直以來，正如我一直說的，當你逐漸融入這個品牌時，對嗎？我的意思是，當我開始寫《16》或《18》時，我夢想擁有一輛哈雷戴維森，但我買不起。因此，它出現得比較晚，即使在美國的形象可能有點不同，而且你進入美國市場的時間早一些，但我認為一致性很好。

We're happy with that based on the data we have that makes us even younger than some other brands in the market, established brands in the market and the fact that the average income has gone up is also positive. That said, 35 and younger, that's 30% of our loan origination volume. That's considerable 35 and younger and 75% of our customers are under 54.

根據我們掌握的數據，我們對此感到滿意，這使我們比市場上的其他一些品牌、市場上的知名品牌更年輕，而且平均收入上升的事實也是積極的。也就是說，35 歲及以下的人占我們貸款發放量的 30%。 35 歲及以下的客戶數量相當可觀，其中 75% 的客戶年齡在 54 歲以下。

So that is not the issue from our perspective. You always want to trend younger, but you also have to recognize with the premium motorcycle manufacturer with the highest MSRP in the market. And obviously, that has also an effect in terms of the face affordability and what someone can afford at what life stage. And that's what automatically leads leads you to higher average age. Also considering that our bikes are big bikes 601+cc.

所以從我們的角度來看，這不是問題。您總是希望趨向年輕化，但您也必須認識到市場上建議零售價最高的優質摩托車製造商。顯然，這也會對臉部負擔能力以及某人在人生階段的負擔能力產生影響。這自然會導致你的平均年齡更高。另外考慮到我們的自行車是 601+cc 的大型自行車。

So this is not something you necessarily right when you 18 if you can afford it. So I think the consistency in itself and if I expanded that data beyond 10 years, it would actually that curve would stay pretty flat even well beyond the 10 year horizon. You know, I think is an important information for the market that we thought we would share with you.

所以，如果你能負擔得起的話，當你18歲的時候，這不一定是對的。因此，我認為其本身的一致性，如果我將這些數據擴展至 10 年以上，實際上該曲線將保持相當平坦，甚至遠遠超出 10 年範圍。你知道，我認為這是一個對市場很重要的訊息，我們認為我們會與你分享。

Got it. Thank you.

知道了。謝謝。

Frederick Wightman, Wolfe Research.

弗雷德里克懷特曼，沃爾夫研究中心。

Hey, guys. Good morning. I'm wondering if the updated operating margin guidance, if that is really just reflecting the deleverage from a production and a fixed cost absorption perspective or if you're actually earmarking or planning for some incremental dealer support costs.

嘿，夥計們。早安.我想知道更新後的營業利潤率指引是否真的只是反映了生產和固定成本吸收角度的去槓桿化，或者您實際上是在指定或計劃一些增量經銷商支援成本。

I know you've given some specific numbers earlier in the year for dealer support for non-current. But I'm wondering if the plan is the updated margins could include some incremental promo from here too?

我知道您在今年早些時候給出了一些針對非流動經銷商支援的具體數字。但我想知道更新的利潤計劃是否也可以包括這裡的一些增量促銷？

Yeah, okay. So Fred, I'll take that one and I think great question. Thanks for the question. As you go through and you look at that impact from an OI margin perspective, it is primarily due to the impacts of leverage. So as we think about where we are from an overall production perspective, as we talked about, we did make sure that we adjusted guidance for where we're going. We are also being extremely thoughtful in overall inventory levels that we're running.

是啊，好吧。弗雷德，我會接受這個問題，我認為這是一個很好的問題。謝謝你的提問。當你從 OI 保證金的角度來看這種影響時，你會發現它主要是由於槓桿的影響。因此，當我們從整體生產的角度思考我們所處的位置時，正如我們所討論的，我們確實確保調整了我們前進方向的指導。我們對我們正在運行的整體庫存水準也非常深思熟慮。

And so we're working hard to make sure that we're actually kind of moving through company inventory in a way that makes sense. Thinking about where dealer inventory sits, ensuring that our dealers are well positioned to take advantage of retail, but we want to make sure that we are very thoughtful in the levels of inventory they have in light of Fed base rates.

因此，我們正在努力確保我們實際上以有意義的方式處理公司庫存。考慮經銷商庫存的位置，確保我們的經銷商能夠充分利用零售優勢，但我們希望確保我們根據聯準會基本利率對他們的庫存水準進行深思熟慮。

And so as you kind of take that all the way back, to sort of the direct answer to your question. It really is production volume, the impact from leverage that really drives our OI performance. Again, as you heard us touch on to, we actually feel very, very confident in our long-term aligned margin and where we're going. And so you saw our commitment to that from a long-term standpoint too.

因此，當您一路回顧過去時，您可以直接回答您的問題。真正推動我們 OI 績效的其實是產量和槓桿的影響。再次，正如您聽到我們談到的那樣，我們實際上對我們的長期利潤率和我們的發展方向非常非常有信心。因此，您也從長期的角度看到了我們對此的承諾。

Perfect. Thank you.

完美的。謝謝。

Your welcome, thank you.

歡迎您的光臨，謝謝。

There are no further questions at this time. This concludes today's conference call. Thank you all for joining. You may now disconnect.

目前沒有其他問題。今天的電話會議到此結束。感謝大家的加入。您現在可以斷開連線。