What guidance did LiveWire Group's management provide for the next earnings period?

What were the key takeaways from LiveWire Group's earnings call?

What is the revenue and EPS growth rate for LiveWire Group year over year?

What is the market's earnings forecast for LiveWire Group next quarter?

Did LiveWire Group beat or miss consensus estimates last quarter?

What is LiveWire Group's gross profit margin?

What factors drove the changes in LiveWire Group's revenue and profit?

What were the key takeaways from LiveWire Group’s earnings call?

- **Dealer Support Actions**: Immediate inventory reduction, promotional programs, and fuel facility guideline flexibility to improve dealer profitability.
- **HDFS Transaction Benefits**: $1.2-1.25 billion cash unlock by 2026, with HDFS operating income growth through servicing fees.
- **Product Strategy**: Affordable entry points (e.g., $99.99 bikes) and the 2026 Sprint model to attract new riders.
- **Tariff Mitigation**: $55-75 million direct costs in 2025, with ongoing efforts to reduce impact.

**【Management Opening Remarks】**
- CEO Ardeep Starrs highlighted the importance of dealer network health, announcing immediate actions to reduce inventory levels, introduce market-responsive promotions, and review fuel facility guidelines to provide dealer flexibility.
- Emphasized dealer profitability as a foundation for long-term success, with a focus on affordability and accessibility in product offerings.

**【CEO Summary Section】**
- Celebrated brand strength, product quality, and dealer network resilience.
- Identified opportunities to balance aspiration with affordability, accelerate product innovation, and improve cost efficiency.
- Highlighted the successful launch of LiveWire's S4 Honcho and its positive market reception.

**【CFO Financial Commentary】**
- **HDFS Transaction**: Sold $6 billion in loans, reducing debt and unlocking $1.2-1.25 billion in discretionary cash by 2026. HDFS operating income expected to grow through servicing fees.
- **Q3 Results**: Consolidated revenue up 17% YoY, driven by HDMC (23% growth). HDMC operating income down 2% due to tariffs and production costs.
- **Tariff Impact**: 2025 direct costs estimated at $55-75 million, with ongoing mitigation efforts.
- **Share Buybacks**: $100 million in Q3, with plans to repurchase $1 billion by 2026.

**【Q&A Highlights】**
- **Inventory Management**: Targeting 20-30% dealer inventory reduction by year-end, with 2026 shipments focused on 2026 models.
- **Promotional Strategy**: Lower APR programs and price tier experiments (e.g., $99.99, $14.99) to drive affordability and traffic.
- **HDFS Normalization**: Post-transaction, operating income expected to grow through servicing fees and origination volumes.
- **Margin Expansion**: Dependent on tariff resolution, inventory reduction, and pricing strategy execution.

LiveWire Group Inc (LVWR) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

LVWR

LVWR fundamentals

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