Business Segments

9 Months Ended

Sep. 25, 2016

Segment Reporting [Abstract]

Business Segments

Business Segments

Harley-Davidson, Inc. is the parent company for the groups of companies doing business as Harley-Davidson Motor Company (HDMC) and Harley-Davidson Financial Services (HDFS). The Company operates in two segments: the Motorcycles & Related Products (Motorcycles) segment and the Financial Services segment. The Company’s reportable segments are strategic business units that offer different products and services and are managed separately based on the fundamental differences in their operations. Selected segment information is set forth below (in thousands):

	Three months ended				Nine months ended
	September 25, 2016		September 27, 2015		September 25, 2016		September 27, 2015
Motorcycles net revenue	$	1,091,630	$	1,140,321	$	4,338,353	$	4,301,674
Gross profit	367,019		394,039		1,564,857		1,631,528
Selling, administrative and engineering expense	258,090		250,974		800,722		762,406
Operating income from Motorcycles	108,929		143,065		764,135		869,122
Financial Services revenue	183,183		177,109		547,505		513,093
Financial Services expense	113,736		104,338		332,114		293,745
Operating income from Financial Services	69,447		72,771		215,391		219,348
Operating income	$	178,376	$	215,836	$	979,526	$	1,088,470