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Additional Balance Sheet and Cash Flow Information
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Additional Balance Sheet and Cash Flow Information Additional Balance Sheet and Cash Flow Information
Investments in marketable securities consisted of the following at December 31 (in thousands): 
20232022
Mutual funds$34,079 $33,071 
Mutual funds, included in Other long-term assets on the Consolidated balance sheets, are carried at fair value with gains and losses recorded in income. Mutual funds are held to support certain deferred compensation obligations.
Inventories, net consisted of the following as of December 31 (in thousands):
20232022
Raw materials and work in process$389,221 $331,380 
Motorcycle finished goods514,964 549,041 
Parts and accessories and apparel150,844 187,039 
Inventory at lower of FIFO cost or net realizable value1,055,029 1,067,460 
Excess of FIFO over LIFO cost(125,078)(116,500)
$929,951 $950,960 
Inventory obsolescence reserves deducted from FIFO cost were $110.2 million and $84.6 million as of December 31, 2023 and 2022, respectively.
Property, plant and equipment, net consisted of the following as of December 31 (in thousands):
20232022
Land and related improvements$66,939 $71,360 
Buildings and related improvements431,215 411,859 
Machinery and equipment1,491,448 1,507,224 
Software722,213 705,013 
Construction in progress243,010 189,492 
2,954,825 2,884,948 
Accumulated depreciation(2,223,101)(2,195,062)
$731,724 $689,886 
Software, net of accumulated amortization, included in Property, plant and equipment, net, was $75.3 million and $59.2 million as of December 31, 2023 and 2022, respectively.
Accrued liabilities consisted of the following as of December 31 (in thousands):
20232022
Payroll, employee benefits and related expenses$101,955 $108,980 
Sales incentive programs116,167 50,298 
Warranty and recalls41,375 46,707 
Interest84,313 55,670 
Tax-related accruals38,219 51,730 
Contract liability
23,357 17,615 
Leases18,685 16,208 
Fair value of derivative financial instruments12,806 26,022 
Other209,982 247,715 
$646,859 $620,945 
Deposits – HDFS offers brokered certificates of deposit to customers indirectly through contractual arrangements with third-party banks and/or securities brokerage firms through its bank subsidiary. The Company had $447.8 million and $317.4 million, net of fees, of interest-bearing brokered certificates of deposit outstanding as of December 31, 2023 and December 31, 2022, respectively. The liabilities for deposits are included in Short-term deposits, net or Long-term deposits, net on the Consolidated balance sheets based upon the term of each brokered certificate of deposit issued. Each separate brokered certificate of deposit is issued under a master certificate, and as such, all outstanding brokered certificates of deposit are considered below the Federal Deposit Insurance Corporation insurance coverage limits.
Future maturities of the Company's certificates of deposit as of December 31, 2023 were as follows (in thousands):
2024$253,720 
202561,002 
202679,678 
202754,158 
Thereafter— 
Future maturities448,558 
Unamortized fees(776)
$447,782 
Operating Cash Flow – The reconciliation of Net income to Net cash provided by operating activities for the years ended December 31, was as follows (in thousands):
202320222021
Cash flows from operating activities:
Net income $695,046 $739,214 $650,024 
Adjustments to reconcile Net income to Net cash provided by operating activities:
Depreciation and amortization158,112 151,942 165,185 
Amortization of deferred loan origination costs85,018 94,914 86,115 
Amortization of financing origination fees13,208 15,105 13,810 
Provision for long-term employee benefits(67,624)(21,891)8,317 
Employee benefit plan contributions and payments(5,736)(14,320)(17,133)
Stock compensation expense82,901 54,353 42,156 
Net change in wholesale finance receivables related to sales(387,743)(198,623)89,001 
Provision for credit losses227,158 145,133 25,049 
Deferred income taxes(30,059)(15,936)(7,672)
Other, net(39,713)(13,027)(9,985)
Changes in current assets and liabilities:
Accounts receivable, net(11,443)(82,385)(53,463)
Finance receivables – accrued interest and other(339)414 13,316 
Inventories, net21,257 (254,170)(207,550)
Accounts payable and accrued liabilities28,570 4,503 173,548 
Other current assets(13,726)(56,765)4,983 
59,841 (190,753)325,677 
Net cash provided by operating activities$754,887 $548,461 $975,701 
Cash paid during the years ended December 31, for interest and income taxes was as follows (in thousands):
202320222021
Interest$290,467 $231,651 $191,663 
Income taxes$237,658 $244,374 $155,579