This Week in Powersports Business – The week of July 31, 2022

This Week in Powersports Business – The week of July 31, 2022

Here are a few stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – Erik Chase named New Territory Sales Manager for NPA Dallas facility

National Powersports Auctions, NPA, has announced the hiring of Territory Sales Manager for New Mexico, Southern Texas and Louisiana, Erik Chase. Donny Erickson, the previous sales manager for that territory, is not leaving NPA but transferring to another region and is happy to support Erik as the new man for the job.

National Powersports Auctions, NPA, has announced the hiring of Territory Sales Manager for New Mexico, Southern Texas and Louisiana, Erik Chase.

Chase has been riding motorcycles since he was eight years old. He started his powersports career at Central Texas Harley-Davidson in 2015. Over the last five years, Chase was a Pre-Owned Inventory Manager and Salesperson at a dealership in Austin, Texas, where he was responsible for consigning and buying units through NPA. Chase joins NPA with firsthand experience of the benefits NPA delivers.

Chase enjoyed the sales side of the industry and was ready to move up to NPA. “Having worked with NPA for four years, I knew it would be a great fit for my next career step. I’m looking forward to traveling, meeting new people and forging great relationships with different dealerships around the states,” Chase said.

Chase is a welcome addition to the NPA sales team and understands how beneficial the pre-owned market is to a business. “We are lucky to have Erik as part of our national sales team and look forward to the continued growth of the territory,” Mike Murray, Vice President of Sales said.

Dealers can reach Erik at echase@npauctions.com or 737.226.8031.


2 – HardDrive announces new V-Twin Sales Director Marty Norris

Marty Norris has been announced as the Director of V-Twin Sales, bringing 25 years of diverse experience within the V-Twin market to the HardDrive brand.

“In the past I have held positions as a Harley mechanic, shop foreman, service manager, shop owner, distributor rep and the Sales and Marketing manager at NAMZ Custom Cycle Products,” Norris said. “I look forward to putting my experience in the V-Twin field to work to continue to build the HardDrive product offering and team.”

Marty Norris has been announced as the Director of V-Twin Sales, bringing 25 years of diverse experience within the V-Twin market to the HardDrive brand.

“We are excited to have Marty back as our Director of V-Twin Sales here at HardDrive,” Kyle Gills, VP of Field Sales said. “Marty was a valued HardDrive team member in the past and we welcome him back with the additional knowledge and insight he has into the V-Twin Market. HardDrive is a large portion of our growth plan and Marty is the next step in that direction.”

Marty will lead HardDrive regional sales managers and representative force as the company continues to offer service, product and delivery through Western Power Sports and their HardDrive division.   


3 – Harley-Davidson Appoints Rafeh Masood to Board of DirectorsFrom Harley-Davidson, Inc.

Harley-Davidson, Inc. (“Harley-Davidson”) (NYSE: HOG) announced today that its board of directors has appointed Rafeh Masood as a member of the board, effective immediately. Masood currently serves as Executive Vice President (EVP) and Chief Customer Officer at Bed Bath & Beyond Inc. (NASDAQ: BBBY).

“Rafeh joins with exceptional knowledge of digital and omnichannel strategy and operations, which are an important and integral part of our Hardwire strategy,” said Jochen Zeitz, Chairman, CEO and President, Harley-Davidson. “His expertise in all these areas will be most helpful as we focus on our consumer and their relationship with our brand and product, ensuring riders and non-riders alike can engage with Harley-Davidson as they choose.”

Masood joined Bed Bath & Beyond Inc. in May 2020 as EVP and Chief Digital Officer and was appointed to his current role in November 2021, where he oversees marketing, digital and customer experience. Masood previously served as Senior Vice President and Chief Digital Officer at BJ’s Wholesale Club Holdings, Inc. In this role, Masood was responsible for the company’s online and omnichannel business, including strategy, customer experience, and product development. Previously, Masood held leadership roles in customer innovation, technology, operations and procurement at DICK’s Sporting Goods, Sears and BAWAG Group.

“I am honored to join the Board of Directors of Harley-Davidson and help this legendary brand strengthen its relationships with consumers,” said Rafeh Masood. “Jochen and his team continue to bring exceptional vision and innovation to everything they do, and I look forward to working with my fellow Board members to further enhance Harley-Davidson’s reputation as the world’s most desirable motorcycle brand.”

Masood holds a B.S. in Information Systems and an MBA from DePaul University.

About Harley-Davidson

Harley-Davidson, Inc. is the parent company of Harley-Davidson Motor Company and Harley- Davidson Financial Services. Our vision: Building our legend and leading our industry through innovation, evolution and emotion. Our mission: More than building machines, we stand for the timeless pursuit of adventure. Freedom for the soul. Since 1903, Harley-Davidson has defined motorcycle culture with an expanding range of leading-edge, distinctive and customizable motorcycles in addition to riding experiences and exceptional motorcycle accessories, riding gear and apparel. Harley-Davidson Financial Services provides financing, insurance and other programs to help get Harley-Davidson riders on the road. Learn more at www.harley-davidson.com.


4 – Polaris Off-Road 2023 Lineup Highlighted by Rider-Inspired Updates, Dynamic New Trims & Industry-First Connected Vehicle FeaturesFrom Polaris

New RIDE COMMAND+ Enhances the Ownership Experience with Connected Vehicle Features,

 Provides Convenient Access to Vehicle’s Health and Location via Smartphone or Mobile Device

New GENERAL XP 1000 Sport Trim Opens the Door for More Riders to Get In & Experience Adventure;

A Host of Rider-Inspired Updates Allow Riders to Feel the Thrill & Get More Done

MINNEAPOLIS, MN (August 2, 2022) – Polaris Off-Road, the world leader in powersports and innovation, today announced its 2023 lineup, comprising a dynamic mix of rider-inspired vehicle updates, fresh new looks, and the expansion of RIDE COMMAND+ — a mobile-app that builds off its RIDE COMMAND technology to offer industry-first connected vehicle services.

“Over the last year, we’ve accelerated our pursuit to deliver the vehicles and performance our customers ask for. Whether it be the next-level performance capabilities of the RZR Turbo R and RZR Pro R, or the technologically advanced, all-electric RANGER XP Kinetic – we continuously raise the bar and set industry standards,” said Steve Menneto, President of Polaris Off-Road. “As the leader in off-road, we continue to innovate and evolve our lineup to serve a broad array of riders. The 2023 model year lineup is the latest example of our team’s ongoing commitment to answer the call from our riders.”

For thrill-seekers, the 2023 RZR lineup offers an updated color mix and fresh trim offerings, including a meaner, blacked-out take on the dune-dominating RZR Turbo R. For customers hungry for adventure, there’s the all-new GENERAL XP 1000 Sport—delivering strong, powerful trail performance at a great price. Already the ultimate machine for those wanting to get more done on the job, the RANGER XP 1000 Northstar Trail Boss Edition expands its capabilities with a host of work-enhancing new features. And for the ATV community, Sportsman models offer exciting new color options, along with new CV guards on specific models for added durability. 

Continuing its ongoing efforts to enhance the ownership experience, Polaris is significantly expanding its RIDE COMMAND service with the all-new RIDE COMMAND+. Building on RIDE COMMAND’s existing suite of industry-leading features, RIDE COMMAND+ helps riders stay connected to their vehicle through a robust, mobile-enabled service that provides a whole new level of vehicle information, security, and control. RIDE COMMAND+ is accessed through the Polaris app, RIDE COMMAND website, or the in-vehicle display system.

“Pushing forward with industry-first technologies has been a cornerstone of our success,” Menneto continued. “With RIDE COMMAND+, we’re unlocking a new wave of innovation for the off-road market that enables owners to manage and maximize their vehicle and riding experience through connected vehicle technology.”

From the latest technology to updates and enhancements that will appeal to a broad range of off-road riders, the Polaris Off-Road 2023 model year lineup includes:

RIDE COMMAND+

RIDE COMMAND+ features vehicle-to-cellular connectivity that allows riders to conveniently check on the current vehicle’s status, while its Vehicle Health feature will run issue diagnostic reports and monitor fuel/charge levels to confirm the vehicle’s readiness. The RIDE COMMAND+ Vehicle Locator will be an extremely beneficial feature for hunters, or anyone enjoying the outdoors, when having to leave their vehicle parked. The Vehicle Locator feature delivers a pinpoint location to the machine. RIDE COMMAND+ delivers enhanced mobile technology for riders to connect, drive and adventure.

Adding to an already-robust set of offerings, Polaris will continue to expand the RIDE COMMAND+ service with even more industry-leading features using Over the Air (OTA) updates. Coming later in 2022, RIDE COMMAND+ will offer its riders added security with Location and Bump Alerts. Bump Alert, a 24/7 monitoring feature, will send a notification any time the vehicle has been bumped or moved. If moved, the Vehicle Locator feature will provide its latest coordinates. In addition, Polaris will introduce Ride Tracking+, where riders can automatically track their rides using the vehicle’s GPS location without having to use their mobile phone’s data.  After the ride, riders will be able to generate a full report from the day’s ride, including time logged, miles traveled, waypoints and elevation changes. The report is a fun and helpful tool to not only relive the ride, but to plan future trips.

RIDE COMMAND+ will launch standard on all 2023 RANGER XP Kinetic models and all 2023 RANGER XP 1000 Northstar Trail Boss Edition models. The service is available as an accessory add-on for all trims in the following 2023 models: RANGER 1000, RANGER XP 1000, RANGER 570, Sportsman 570, Sportsman 450, Sportsman 850 and Sportsman XP 1000. Polaris plans to further roll out vehicle compatibility for RIDE COMMAND+.

Riders can access the new service via the Polaris mobile app, web, or the in-vehicle, seven-inch touchscreen display system. Riders will receive a 36-month trial of RIDE COMMAND+ when purchasing the stock models standard with the service. Riders adding RIDE COMMAND+ via accessory will receive a 12-month trial. At the conclusion of each trial period, riders can sign up and continue the service for $99/year.  

To activate RIDE COMMAND+, riders must download and login to the Polaris app and add the connected vehicle to their digital garage.

RANGER

RANGER continues to set the bar high with several rider-inspired upgrades across its 2023 lineup.

The 2023 RANGER XP 1000 NorthStar Trail Boss comes packed with new upgrades specifically designed to meet the demands of  hardworking riders. The NorthStar Trail Boss gets a new LED rear work light to illuminate the bed of the vehicle and make it easier to work in low-light conditions. A new 12V cargo box power port provides mobile power for seamless, convenient operation of sprayers. NorthStar Trail Boss also receives a new overhead switch panel so customers can add additional lighting and other accessory switches easier than ever before. Last, this model will come factory-installed with the new RIDE COMMAND+ technology. All other RANGER XP 1000 and 1000 customers can also purchase the new LED rear work light, 12V cargo box power, overhead switch panel as optional accessories.

The 2023 RANGER lineup receives additional upgrades so customers can work and play in total confidence. To improve performance in low-light conditions, RANGER installed LED headlights to all Premium trims, now including the RANGER SP 570 Premium, RANGER 1000 Premium, and RANGER XP 1000 Premium. Additionally, the RANGER SP 570 Premium, RANGER XP 1000 Premium, and RANGER XP 1000 NorthStar will come stock with a USB charging port in the dash so customers can stay connected and charge small electronic devices while on the go.

2023 RANGER Model Lineup:

  • RANGER XP 1000 NorthStar Trail Boss: Starting at $32,399 ($39,099 CAN)
  • RANGER XP 1000 NorthStar: Starting at $27,899 ($33,499 CAN)
  • RANGER 1000 Premium: Starting at $17,899 ($21,599 CAN)
  • RANGER 1000 Premium CREW: Starting at $19,699 ($23,699 CAN)
  • RANGER XP 1000: Starting at $20,299 ($24,499 CAN)
  • RANGER XP 1000 CREW: Starting at $22,099 ($26,199 CAN)
  • RANGER SP 570: Starting at $11,699 ($14,799 CAN)
  • RANGER SP 570 CREW: Starting at $13,499 ($16,999 CAN)

The 2023 RANGER lineup will begin shipping to dealers this fall. To learn more about the 2023 RANGER family, please visit https://ranger.polaris.com/  or join the conversation and follow on Facebook®, Instagram®, YouTube® and Twitter®.

Accessories

For RANGER accessory news, Polaris is launching an all-new Prospector Pro 2.0 track system across all off-road brands. These new tracks are built with flexible sides and a slight curve toward the inside to allow stable handling, a more comfortable ride, precise steering for long-distance riding and long working hours.

Polaris partner Kolpin is also expanding its line of storage solutions to meet more riders’ needs in advance of the upcoming fall and hunt seasons.

RZR

The Polaris RZR lineup continues to push the limits and accelerate beyond the everyday with industry-leading technology, performance and design.

The high-performance, next-level strong RZR Turbo R will feature new black fenders and rockers, plus two new colorways. Whether you’re looking to make a statement on the trail or fly under the radar with a dark and menacing look, the RZR Turbo R can suit either desire as it’s now available in Orange Madness and Matte Onyx Black. The multi-terrain RZR Pro XP also features a rugged design to take on tough terrain, while still providing all-day comfort. In 2023, the RZR Pro XP Premium trim will now feature a PMX head unit by Rockford Fosgate to take your audio experience to the next level.

Full 2023 RZR Model Lineup:

  • Polaris RZR Pro R: Starting at $37,499 ($46,399 CAN), available in 2-seat and 4-seat
  • Polaris RZR Turbo R: Starting at $27,799 ($34,499 CAN), available in 2-seat and 4-seat
  • Polaris RZR Pro XP: Starting at $24,599 ($29,999 CAN), available in 2-seat and 4-seat
  • Polaris RZR XP 1000: Starting at $21,899 ($26,999 CAN), available in 2-seat and 4-seat
  • Polaris RZR Trail S: Starting at $17,899 ($21,399 CAN)
  • Polaris RZR Trail: Starting at $15,499 ($18,499 CAN)

The 2023 RZR Trail, RZR Trail S and RZR XP 1000 will begin shipping to dealers this fall, while the 2023 RZR Pro XP, RZR Turbo R and RZR Pro R will begin shipping this winter. Both the 2023 RZR Pro R and Turbo R models will be available for demos at Trail Hero and Camp RZR later this year. To learn more about the 2023 RZR family, please visit https://rzr.polaris.com/ or join the conversation and follow on Facebook®, Instagram®, YouTube® and Twitter®.

Accessories

Along with the 2023 RZR updates, Polaris is launching a variety of new accessories, including a refresh of the full Pro Armor lighting portfolio. This update brings stronger output, along with an improved design, to all single-row/dual-row light bars and cube spot lights, which have fitment across the four off-road brands. Additionally, some of the products have a new amber lens option, which helps light cut through dust and snow for greater visibility.

Two new Pro Armor wheels are launching for RZR, providing additional customization offerings for riders. These join new size options coming to a handful of existing tire styles.

Lastly, Polaris partner Pro Armor is expanding the lineup of grills and steering wheels, with multiple colors and trim levels to deliver next-level customization to side-by-side riders.

GENERAL

Designed and purpose-built as the ultimate machine for riders and their gear, the Polaris GENERAL is the perfect machine for adventurers seeking new destinations.

New in 2023, Polaris expands its lineup to include the GENERAL XP 1000 Sport, which will be available in both two- and four-seat models. As the entry-level model, this new Sport trim makes GENERAL XP 1000 even more accessible to riders, while still offering the same class-leading capabilities, comfort and style.

2023 GENERAL Model Lineup:

  • GENERAL XP 1000 Ultimate: Starting at $29,299 ($35,999 CAN), available in 2-seat and 4-seat
  • GENERAL XP 1000 Premium: Starting at $26,999 ($33,299 CAN), available in 2-seat and 4-seat
  • GENERAL XP 1000 Sport: Starting at $24,499 ($29,599 CAN), available in 2-seat and 4-seat
  • GENERAL 1000 Sport: Starting at $18,199 ($22,599 CAN), available in White Lightning with new eye catching graphics and a new hood, in 2-seat

The 2023 GENERAL lineup will begin shipping to dealers this fall. To learn more about the 2023 GENERAL family, please visit https://general.polaris.com/ or join the conversation and follow on Facebook®, Instagram®, YouTube® and Twitter®.

Sportsman

Polaris Sportsman, the long-standing No. 1 selling automatic 4×4 ATV, gets exciting new colors on the 450, 570 and 850 lineup for a fresh look and feel. Additionally, 2023 Sportsman 450 and 570 models include redesigned rear rack extenders – making the vehicle more versatile. The rack extender will help riders pack more cargo, while its convenient cargo tie-down anchor will secure items and keep them from sliding off while riding. Building on Sportsman’s legendary toughness, new CV guards were added on the Sportsman 570 EPS and Premium models for added durability and protection in rough terrain.

2023 Sportsman Model Lineup:

  • Sportsman 450: Starting at $6,999 ($8,499 CAN)
  • Sportsman 570: Starting at $7,999 ($9,299 CAN)
  • Sportsman 850: Starting at $10,699 ($12,799 CAN)
  • Sportsman 1000: Starting at $15,499 ($18,499 CAN)

The 2023 Sportsman lineup will begin shipping to dealers this fall. To learn more about the 2023 Sportsman family, please visit https://atv.polaris.com/ or join the conversation and follow on Facebook®, Instagram®, YouTube® and Twitter®.

Youth

With continued commitment to grow the off-road community, the Polaris ORV Youth lineup sets the standard for the next generation of riders. For 2023, Polaris expands its Outlaw 70 EFI lineup with an all-new Limited Edition (LE) trim option in Lime Squeeze, providing stand-out style while still offering class-leading capabilities and comforts in this kid-friendly ATV. The 2023 RANGER 150 EFI utility side-by-side comes equipped with new seat belt and shift boot covers, while also showcasing a new Avalanche Grey color. Parents can still expect the same top-of-the-line safety features in all Youth side-by-sides including helmet-aware technology, digital speed limiting and geofencing, while Youth ATV’s come with an adjustable speed limiter and safety tether.

2023 Youth Model Lineup:

  • Outlaw 70 EFI Limited Edition: Starting at $2,399 ($2,899 CAN)
  • Outlaw 70 EFI: Starting at $2,399 ($2,899 CAN)
  • Outlaw 110 EFI: Starting at $3,599 ($4,299 CAN)
  • Sportsman 110: Starting at $3,599 ($4,299 CAN)
  • Phoenix 200: Starting at $4,499 ($5,199 CAN)
  • RANGER 150 EFI: Starting at $6,299 ($7,299 CAN)
  • RZR 200 EFI: Starting at $6,799 ($7,799 CAN)

The 2023 Polaris Youth lineup will begin shipping to dealers this winter.

To learn more about the Polaris ORV 2023 lineup and to stay up to date on testing and demo opportunities, please visit https://offroad.polaris.com/ or join the conversation and follow on Facebook®, Instagram®, YouTube® and Twitter®.

About Polaris

As the global leader in powersports, Polaris Inc. (NYSE: PII) pioneers product breakthroughs and enriching experiences and services that have invited people to discover the joy of being outdoors since our founding in 1954. Polaris’ high-quality product line-up includes the Polaris RANGER®, RZR® and Polaris GENERAL™ side-by-side off-road vehicles; Sportsman® all-terrain off-road vehicles; military and commercial off-road vehicles; snowmobiles; Indian Motorcycle® mid-size and heavyweight motorcycles; Slingshot® moto-roadsters; Aixam quadricycles; Goupil electric vehicles; and pontoon and deck boats, including industry-leading Bennington pontoons. Polaris enhances the riding experience with a robust portfolio of parts, garments, and accessories. Proudly headquartered in Minnesota, Polaris serves more than 100 countries across the globe. www.polaris.com


5 – Roland Sands Design launches V-twin parts brandFrom Powersports Business

Roland Sands Design has announced the release of the all-new SECTOR Performance Parts Product Line.

Designed, engineered, and manufactured in Long Beach, California, the SECTOR collection from Roland Sands Design is a highly detailed V-twin performance product line. A complete riser offering has been developed, with adjustability, gauge mounts and high-performance finishes tested for durability and long-term quality.

The products have been designed with the racetrack in mind, but also built for the street with the fit, finish and performance expected from RSD. Each product in the all-new collection has a unique design language that pushes the aesthetics of the machine. The all-new SECTOR product line will be launched in various phases starting with the Modular Riser System & Gauge Relocation Systems for HD touring Softail and Sportster fitments. Information about additional parts will drop soon.

“We are beyond stoked to get the SECTOR product to market, it’s been a long time coming,” Roland Sands, president and CEO of RSD said. “We are proud to offer an American made product for American made motorcycles. The SECTOR product line has been designed utilizing our experience on the racetrack and adapted for the street. RSD has a legacy of performance bike builds, racing and parts for V-Twin applications. This is a segment we helped pioneer as a brand and with SECTOR we’re putting the RSD brand at the top of the category.”


6 – ROHVA PROPOSES SAFETY ENHANCEMENTS TO SIDE-BY-SIDESFrom Motorcycle and Powersports News

The member companies of the Recreational Off-Highway Vehicle Association (ROHVA) put consumer safety first. Each company takes pride in producing high-quality, durable products. Each constantly seeks to innovate and improve vehicle safety. As part of these commitments, ROHVA works on the industry’s behalf to maintain voluntary industry-wide safety standards first published in 2011. Most recently, ROHVA has worked closely with the Consumer Product Safety Commission (CPSC) to address rare incidents involving fire and debris penetration hazards. ROHVA is now preparing a revised safety standard that includes new testing methods intended to reduce such risks. ROHVA has shared its detailed plans with CPSC. ROHVA is confident that the proposed revisions will adequately address the safety concerns raised by CPSC. Once the revised voluntary standard takes effect, it should eliminate any basis for CPSC to pursue formal rulemaking on these subjects. ROHVA is opposed to the proposed CPSC rulemaking for this and other reasons and will submit written comments in opposition to CPSC’s rulemaking notice.

ROHVA welcomes all interested parties and members of the public to submit comments concerning their use of and experience with ROVs and to express support for ROHVA’s voluntary standards. Detailed instructions for doing so are available in CPSC’s June 21 rulemaking notice at: https://www.federalregister.gov/public-inspection/2022-15355/safety-standard-for-debris-penetration-hazards.

CPSC expects to release a separate notice in the near future regarding fire hazards.


7 – Ducati deliveries, revenue, operating profit announced for the first half of 2022From Powersports Business

Despite ongoing supply and logistics challenges, Ducati has concluded exceptional results in the semester from January to June 2022. The company’s revenue grew by 5.4%, raising from 514 to 542 million euros. This is the highest figure ever recorded by the motorcycle manufacturer in the first six months of the year.

Operating profit also improved and marks a +14.8% increase, growing from 59 to 68 million euros compared with the same period in 2021.

The Bologna-based motorbike manufacturer delivered a total of 33,265 motorcycles to enthusiast customers, containing a loss in deliveries of – 3.6% compared to the same period in 2021 (34.515). This result was achieved due to great flexibility, constant dialogue with partners and the trade union, despite the difficulties related to the supply crisis.

“2021 was a record year for Ducati with the best result ever in terms of deliveries, revenues and operating profit,” Claudio Domenicali, CEI of Ducati said. “2022 is proving to be a more challenging year: despite strong demand from enthusiasts, as evidenced by the order portfolio which at the end of the first half is up +86% over the same period of 2021, the strong discontinuity in the world of logistics and supply remains. However, we managed to obtain satisfactory results considering the context in which we are operating, especially in terms of revenue, which is the best ever recorded in the first six months of the year. I would like to thank once again all the enthusiasts who continue to choose us, and I personally apologize to all those who had to or will have to wait longer than necessary to receive their bike.”

“The financial performance of Ducati in the first half of 2022 again shows a solid improvement of the company compared to the previous year,” Henning Jens, CFO of Ducati said. “Considering the unpredictable challenges in the supply chain, including significant raw material cost increases and parts shortages, this result proves the high resilience of our financial set up and the flexibility of our operations. With 542 million Euros revenue, we achieved a new record, driven by a very high demand from our customers. Also, based on fixed cost discipline and improved margins, we could even increase Operating Profit from 59 to 68 million euros by 14.8% versus the same period of 2021. Backed by a very solid liquidity position, we will continue our investments in a qualitative growth of Ducati with new attractive premium products.”

Italy is confirmed as the first market for Ducati with 6,028 motorcycles delivered, followed by North America with 5,239 units, Germany with 3,745 motorcycles and France with 2,647. The numbers are significant in China, which reaches +12% with 2,411 motorcycles delivered.

Since its launch in 2020, the Multistrada V4 has had growing success among enthusiasts. Overtime it has been able to live up to the expectations created, establishing itself as an ideal bike for any type of trip and taking a place among the most popular models in the Ducati range. Also, for the first half of 2022, the Multistrada V4 is the most delivered bike with 6,139 units. Next is the Monster, with 4,776 motorcycles delivered and the Scrambler Ducati 800 family with 3,999 motorcycles.

Thanks to its solid financial position, Ducati continues its ambitious development path that will lead the company to improve and grow further, also by means of entry into new market segments, always respecting its values of style, sophistication and performance. All investments for technological development and product and process innovation are self-financed.

The continuous improvement and expansion of the global sales network, with the aim of serving the community of Ducatisti around the world, are also an important part of the company’s growth path. Through the digitization of processes and omnichannel within its dealers, Ducati wants to guarantee its enthusiasts an unforgettable experience that reflects the company’s values. To date, the Ducati network has 797 dealerships in over 90 countries around the world, 21 of which have been opened in the first six months of 2022.


8 – Tyler Schwartzott wins Yamaha U.S. Technician Grand PrixFrom Powersports Business

Tyler Schwartzott won first place in the 2022 Yamaha U.S. Technician Grand Prix, held in Atlanta in June. Schwartzott will continue to compete at the World Technician Grand Prix competition in Japan in October.

READ THE ENTIRE POST HERE – https://powersportsbusiness.com/top-stories/2022/08/03/tyler-schwartzott-wins-yamaha-u-s-technician-grand-prix/


9 – THE FIRST BRP EXPERIENCE CENTER OPENS AT FAIRMONT LE CHÂTEAU MONTEBELLOFrom BRP

Valcourt, Quebec, Canada, July 27, 2022 – BRP (TSX: DOO) (NASDAQ: DOOO) is proud to announce the launch of the very firstBRP Experience Center in its home province of Quebec. The opening of the facility reflects BRP’s commitment to making powersports accessible to all. In partnership with Fairmont Le Château Montebello, the Center will provide adventure enthusiasts with the opportunity to explore uncharted waters, experience the exhilaration of off-roading and have fun in the snow. These unique experiences will leave everyone speechless. The Center is accessible not only to guests of Fairmont Le Château Montebello, but to all who wish to discover or reconnect with the natural beauty of the region.

“The launch of this first BRP Experience Center is part of a global strategy introduced in 2019 that aims to promote access to our products and allow more people to enjoy unique recreational experiences,” said Simon Cazelais, Director of Global Marketing Strategy, and Innovation at BRP. “The Montebello Center is our testing ground. It will allow us to interact directly with adventure enthusiasts to continuously refine our products and services. Ultimately, we hope to roll out this groundbreaking concept around the world by adding more breathtaking destinations!”

A year-round tourist attraction!

The experiences offered will be tailored to the seasons. Several watercraft and motorized vehicles await adventure enthusiasts at Fairmont Le Château Montebello, including Sea-Doo watercraft and the Sea-Doo Switch pontoon, as well as Can-Am off-road ATVs or side-by-side vehicles. The Can-Am on-road Ryker Sport and Can-Am Spyder F3 will then be added to the fleet, followed by Ski-Doo snowmobiles in the winter. Excursions for groups or individuals, for a few hours or a full day, allow you to discover the vast playground available at Fairmont Le Château Montebello. All excursions will be operated by B46 Adventures. In addition to their many years of experience in the wilderness adventure field, all B46 Adventures guides are AEQ certified and always put safety first.

Fairmont Le Château Montebello is a perfect partner for this new adventure thanks to its prime location that allows access to the majestic Ottawa River and amazon trails year-around. For over 90 years, Fairmont Le Château Montebello has been delivering an unrivaled resort experience to visitors. They will now have the added opportunity to discover the region through the BRP Experience Center. Imagine exploring the picturesque trails of the region in a Can-Am Commander XT in the morning and enjoying a beautiful Ottawa River sunset aboard the famous Sea-Doo Switch.

”We are proud to partner with BRP, a world-leader in powersports, thanks to the launch of the first BRP Experience Center at Fairmont Le Château Montebello. This new offering is in line with one of our core objectives to diversify the activities offered to our clients, and to showcase the Outaouais tourism industry,” said Steve Chang, General Manager at Fairmont Le Château Montebello.

BRP has also been offering adventure enthusiasts experiences through a worldwide network of BRP-certified outfitters for more than two years thanks to itsUncharted Society adventures program. With over 100 outfitters and 147 adventures available in the U.S., Canada and Australia, beginners and experts alike can experience powersports and have a truly life-changing adventure. Similar to the BRP Experience Center, this program is designed to provide access to powersports for all adventure enthusiasts, to take them out of their comfort zone and to venture into uncharted territory.

To learn more about the brand new and first BRP Experience Center, visitwww.experiencesbrp.com..

About BRP
We are a global leader in the world of powersports products, propulsion systems and boats built on 80 years of ingenuity and intensive consumer focus. Our portfolio of industry-leading and distinctive products includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on and off-road vehicles, Alumacraft and Quintrex boats, Manitou pontoons and Rotax marine propulsion systems as well as Rotax engines for karts and recreational aircraft. We complete our lines of products with a dedicated parts, accessories and apparel portfolio to fully enhance the riding experience. With annual sales of CA$7.6 billion from over 120 countries, our global workforce includes close to 20,000 driven, resourceful people.

www.brp.com
@BRPNews

Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Alumacraft, Manitou, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners.

About Fairmont
Fairmont Hotels & Resorts is where the intimate equally coexists with the infinite – an unrivaled portfolio of more than 80 extraordinary hotels where grand moments of life, heartfelt pleasures and personal milestones are celebrated and remembered long after any visit. Since 1907, Fairmont has created magnificent, meaningful and unforgettable hotels, rich with character and deeply connected to the history, culture and community of its destinations – places such as The Plaza in New York City, The Savoy in London, Fairmont San Francisco, Fairmont Banff Springs in Canada, Fairmont Peace Hotel in Shanghai, and Fairmont The Palm in Dubai. Famous for its engaging service, awe-inspiring public spaces, locally inspired cuisine, and iconic bars and lounges, Fairmont also takes great pride in its pioneering approach to hospitality and leadership in sustainability and responsible tourism practices. Fairmont is part of Accor, a world leading hospitality group consisting of more than 5,200 properties and 10,000 food and beverage venues throughout 110 countries.

fairmont.com |all.accor.com |group.accor.com


10 – REV’IT! ANNOUNCES PURCHASE OF BESPOKE ITALIAN BRAND VIRCOSFrom Motorcycle and Powersports News

Vircos has been manufacturing custom-tailored leather road racing suits of the highest quality in Italy for more than 30 years. REV’IT! Sport International began its collaboration with Vircos in 2007, a relationship founded on common values with a shared passion for motorcycle racing.

READ THE ENTIRE POST HERE – https://www.motorcyclepowersportsnews.com/revit-announces-purchase-bespoke-italian-brand-vircos/


11 – Fox Factory Holding Corp. Announces Second Quarter Fiscal 2022 Financial ResultsFrom Fox Factory Holding Corp

Fox Factory Holding Corp. (Nasdaq: FOXF) (“FOX” or the “Company”) today reported financial results for the second quarter ended July 1, 2022.

Second Quarter Fiscal 2022 Highlights

  • Sales increased 23.9% to $406.7 million, compared to $328.2 million in the same period last fiscal year
  • Gross profit increased 28.7% to $142.9 million, compared to $111.1 million in the same period last fiscal year. Gross margin percentage increased 120 basis points to 35.1%, compared to 33.9% in the same period last fiscal year; non-GAAP adjusted gross margin percentage increased 120 basis points to 35.3% compared to 34.1% in the same period last fiscal year
  • Net income was $53.5 million, or 13.2% of sales and $1.26 of earnings per diluted share, compared to $44.3 million, or 13.5% of sales and $1.05 of earnings per diluted share in the same period last fiscal year
  • Non-GAAP adjusted net income was $58.6 million, or $1.38 of non-GAAP adjusted earnings per diluted share, compared to $51.0 million, or $1.20 of non-GAAP adjusted earnings per diluted share in the same period last fiscal year
  • Adjusted EBITDA was $88.1 million, or 21.7% of sales, compared to $69.7 million, or 21.2% of sales in the same period last fiscal year

“We are pleased to report another quarter of record revenue and profitability in an increasingly complex and challenging macro business environment. Not only did we surpass the $400.0 million quarterly revenue mark for the first time, but we also delivered record gross margin, EBITDA, and net income,” commented Mike Dennison, FOX’s Chief Executive Officer. “We are still seeing healthy demand across most of our diversified portfolio for the balance of the year. However, the ongoing macroeconomic and geopolitical volatility have caused us to slow both hiring and spending in an effort to stay in front of what will most likely be turbulent months ahead.”

Sales for the second quarter of fiscal 2022 were $406.7 million, an increase of 23.9% as compared to sales of $328.2 million in the second quarter of fiscal 2021. This increase reflects a 28.1% increase in Specialty Sports Group sales and a 20.9% increase in Powered Vehicles Group sales. The increase in Specialty Sports Group sales is driven by continued strong demand in the original equipment manufacturer (“OEM”) channel. The increase in Powered Vehicles Group sales is primarily due to strong performance in our upfitting product lines.

Gross margin was 35.1% for the second quarter of fiscal 2022, a 120 basis point increase from gross margin of 33.9% in the second quarter of fiscal 2021. Non-GAAP adjusted gross margin increased 120 basis points to 35.3% from the same prior fiscal year period, excluding the effects of strategic transformation costs. The increase in gross margin was primarily driven by favorable product mix and improved factory efficiencies. A reconciliation of gross profit to non-GAAP adjusted gross profit and the resulting non-GAAP adjusted gross margin is provided at the end of this press release.

Total operating expenses were $72.5 million for the second quarter of fiscal 2022, compared to $58.4 million in the second quarter of fiscal 2021. Operating expenses increased by $14.1 million primarily due to higher employee related costs, higher insurance and facility-related expenses, and higher commission costs. As a percentage of sales, operating expenses for the second quarter of fiscal 2022 remained unchanged at 17.8%, when compared to the second quarter of fiscal 2021. Non-GAAP operating expenses were $66.5 million, or 16.3% of sales in the second quarter of fiscal 2022, compared to $51.4 million, or 15.7% of sales, in the second quarter of the prior fiscal year. Reconciliations of operating expense to non-GAAP operating expense are provided at the end of this press release.

The Company’s effective tax rate was 18.9% in the second quarter of fiscal 2022, compared to 13.3% in the second quarter of fiscal 2021. The increase in the Company’s effective tax rate was primarily due to the impact of recently finalized U.S. tax regulations which limit the amount of newly generated foreign taxes that are creditable against U.S. income taxes and resulted in an increase in the impact of foreign withholding taxes, net of foreign tax credits; as well as decreased benefits from the effects of stock-based compensation. These increases were partially offset by a lower tax rate on foreign derived intangible income.

Net income in the second quarter of fiscal 2022 was $53.5 million, compared to $44.3 million in the second quarter of the prior fiscal year. Earnings per diluted share for the second quarter of fiscal 2022 were $1.26, compared to earnings per diluted share of $1.05 for the second quarter of fiscal 2021.

Non-GAAP adjusted net income in the second quarter of fiscal 2022 was $58.6 million, or $1.38 of adjusted earnings per diluted share, compared to adjusted net income of $51.0 million, or $1.20 of adjusted earnings per diluted share, in the same period of the prior fiscal year. Reconciliations of net income as compared to non-GAAP adjusted net income and the calculation of non-GAAP adjusted earnings per diluted share are provided at the end of this press release.

Adjusted EBITDA in the second quarter of fiscal 2022 was $88.1 million, compared to $69.7 million in the second quarter of fiscal 2021. Adjusted EBITDA margin in the second quarter of fiscal 2022 was 21.7%, compared to 21.2% in the second quarter of fiscal 2021. Reconciliations of net income to adjusted EBITDA and the calculation of adjusted EBITDA margin are provided at the end of this press release.

First Six Months Fiscal 2022 Results

Sales for the six months ended July 1, 2022 were $784.7 million, an increase of 28.8% compared to the first six months in fiscal 2021. Sales of Specialty Sports and Powered Vehicle products increased 35.2% and 24.1%, respectively, for the first six months of fiscal 2022 compared to the prior year fiscal period.

Gross margin was 33.5% in the first six months of fiscal 2022, a 80 basis point decrease, compared to gross margin of 34.3% in the first six months of fiscal 2021. On a non-GAAP basis, adjusted gross margin was 33.8% in the first six months of fiscal 2022, a 70 basis point decrease, compared to 34.5% in the first six months of fiscal 2021, excluding the effects of strategic transformation costs. The decrease in gross margin for the first six months of fiscal 2022 was primarily driven by continued increases in supply chain related costs, including increased prices for raw materials and freight. Additionally, the completion of the planned shutdown of our Watsonville, California facility and transition of those production lines resulted in inefficiencies as we ramp up our Gainesville, Georgia facility. A reconciliation of gross profit to non-GAAP adjusted gross profit and the resulting non-GAAP adjusted gross margin is provided at the end of this press release.

Net income attributable to FOX stockholders in the first six months of fiscal 2022 was $101.5 million, compared to $82.3 million in the first six months of the prior fiscal year. Earnings per diluted share for the first six months of fiscal 2022 was $2.40, compared to $1.94 in the same period of fiscal 2021.

Non-GAAP adjusted net income in the first six months of fiscal 2022 was $114.4 million, or $2.70 of adjusted earnings per diluted share, compared to $95.5 million, or $2.25 of adjusted earnings per diluted share in the same period of the prior fiscal year. Reconciliations of net income attributable to FOX stockholders to non-GAAP adjusted net income and the calculation of non-GAAP adjusted earnings per share are provided at the end of this press release.

Adjusted EBITDA increased to $159.9 million in the first six months of fiscal 2022, compared to $130.1 million in the first six months of fiscal 2021. Adjusted EBITDA margin decreased to 20.4% in the first six months of fiscal 2022, compared to 21.3% in the first six months of fiscal 2021. Reconciliations of net income to adjusted EBITDA and the calculation of non-GAAP adjusted EBITDA margin are provided at the end of this press release.

Balance Sheet Highlights

As of July 1, 2022, the Company had cash and cash equivalents of $108.6 million compared to $179.7 million as of December 31, 2021. Inventory was $349.1 million as of July 1, 2022, compared to $279.8 million as of December 31, 2021. As of July 1, 2022, accounts receivable and accounts payable were $195.4 million and $161.6 million, respectively, compared to $142.0 million and $100.0 million, respectively, as of December 31, 2021. Prepaids and other current assets were $267.7 million as of July 1, 2022, compared to $123.1 million as of December 31, 2021. The decrease in cash and cash equivalents and increase in prepaids and other assets are primarily due to increased chassis deposits as we work to secure supply for the remainder of the year for our upfitting business. The increase in inventory is due to several factors, including receipt of long lead time items that had been delayed, higher levels of safety stock to mitigate uncertainty, and natural growth to meet anticipated demand. The increases in accounts receivable and accounts payable reflect business growth as well as the timing of vendor payments. Total debt was $410.0 million as of July 1, 2022, compared to $378.5 million as of December 31, 2021, due to increases in working capital.

Fiscal 2022 Guidance

For the third quarter of fiscal 2022, the Company expects sales in the range of $385 million to $405 million and non-GAAP adjusted earnings per diluted share in the range of $1.15 to $1.35.

For the fiscal year 2022, the Company expects sales in the range of $1,535 million to $1,565 million and non-GAAP adjusted earnings per diluted share in the range of $5.00 to $5.30. For purposes of our fiscal 2022 guidance, we expect our full year effective tax rate to be within the range of 11% to 15%.

Non-GAAP adjusted earnings per diluted share exclude the following items net of applicable tax: amortization of purchased intangibles, patent litigation-related expenses, acquisition and integration-related expenses, and strategic transformation costs. A quantitative reconciliation of non-GAAP adjusted earnings per diluted share for the third quarter and full fiscal year 2022 is not available without unreasonable efforts because management cannot predict, with sufficient certainty, all of the elements necessary to provide such a reconciliation.

Conference Call & Webcast

The Company will hold an investor conference call today at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time). The conference call dial-in number for North America listeners is (800) 459-5346, and international listeners may dial (203) 518-9544; the conference ID is FOXFQ222 or 36937222. Live audio of the conference call will be simultaneously webcast in the Investor Relations section of the Company’s website at http://www.ridefox.com. The webcast of the teleconference will be archived and available on the Company’s website.

About Fox Factory Holding Corp. (Nasdaq: FOXF)

Fox Factory Holding Corp. designs and manufactures performance-defining ride dynamics products primarily for bicycles, on-road and off-road vehicles and trucks, side-by-side vehicles, all-terrain vehicles, snowmobiles, specialty vehicles and applications, motorcycles, and commercial trucks. The Company is a direct supplier to leading powered vehicle OEMs. Additionally, the Company supplies top bicycle OEMs and their contract manufacturers, and provides aftermarket products to retailers and distributors.

FOX is a registered trademark of Fox Factory, Inc. NASDAQ Global Select Market is a registered trademark of The NASDAQ OMX Group, Inc. All rights reserved.

Non-GAAP Financial Measures

In addition to reporting financial measures in accordance with generally accepted accounting principles (“GAAP”), FOX is including in this press release “non-GAAP adjusted gross profit,” “non-GAAP adjusted gross margin,” “non-GAAP operating expense,” “non-GAAP adjusted net income,” “non-GAAP adjusted earnings per diluted share,” “adjusted EBITDA,” and “adjusted EBITDA margin,” all of which are non-GAAP financial measures. FOX defines non-GAAP adjusted gross profit as gross profit margin adjusted for certain strategic transformation costs. Non-GAAP adjusted gross margin is defined as non-GAAP adjusted gross profit divided by total sales. FOX defines non-GAAP operating expense as operating expense adjusted for amortization of purchased intangibles, patent litigation-related expenses, acquisition and integration-related expenses, and strategic transformation costs. FOX defines non-GAAP adjusted net income as net income adjusted for amortization of purchased intangibles, patent litigation-related expenses, acquisition and integration-related expenses, and strategic transformation costs, all net of applicable tax. These adjustments are more fully described in the tables included at the end of this press release. Non-GAAP adjusted earnings per diluted share is defined as non-GAAP adjusted net income divided by the weighted average number of diluted shares of common stock outstanding during the period. FOX defines adjusted EBITDA as net income adjusted for interest expense, net other expense, income taxes, amortization of purchased intangibles, depreciation, stock-based compensation, patent litigation-related expenses, acquisition and integration-related expenses, and strategic transformation costs that are more fully described in the tables included at the end of this press release. Adjusted EBITDA margin is defined as adjusted EBITDA divided by sales.

FOX includes these non-GAAP financial measures because it believes they allow investors to understand and evaluate the Company’s core operating performance and trends. In particular, the exclusion of certain items in calculating non-GAAP adjusted gross profit, non-GAAP operating expense, non-GAAP adjusted net income and adjusted EBITDA (and accordingly, non-GAAP adjusted gross margin, non-GAAP adjusted earnings per diluted share and adjusted EBITDA margin) can provide a useful measure for period-to-period comparisons of the Company’s core business. These non-GAAP financial measures have limitations as analytical tools, including the fact that such non-GAAP financial measures may not be comparable to similarly titled measures presented by other companies because other companies may calculate non-GAAP adjusted gross profit, non-GAAP adjusted gross margin, non-GAAP operating expense, non-GAAP adjusted net income, non-GAAP adjusted earnings per diluted share, adjusted EBITDA and adjusted EBITDA margin differently than FOX does. For more information regarding these non-GAAP financial measures, see the tables included at the end of this press release.

FOX FACTORY HOLDING CORP.
Condensed Consolidated Balance Sheets
(in thousands, except per share data)

As ofAs of
July 1,December 31
20222021
(unaudited)
Assets
Current assets:
Cash and cash equivalents$108,637$179,686
Accounts receivable (net of allowances of $322 and $410 at July 1, 2022 and December 31, 2021, respectively)195,449142,040
Inventory349,050279,837
Prepaids and other current assets267,723123,107
Total current assets920,859724,670
Property, plant and equipment, net194,601192,003
Lease right-of-use assets42,60638,752
Deferred tax assets44,17634,998
Goodwill323,965323,299
Intangibles, net186,074197,021
Other assets5,9424,986
Total assets$1,718,223$1,515,729
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable$161,614$99,984
Accrued expenses110,846112,378
Current portion of long-term debt17,500
Total current liabilities272,460229,862
Line of credit410,000
Long-term debt, less current portion360,953
Other liabilities33,83630,832
Total liabilities716,296621,647
Stockholders’ equity
Preferred stock, $0.001 par value — 10,000 authorized and no shares issued or outstanding as of July 1, 2022 and December 31, 2021
Common stock, $0.001 par value — 90,000 authorized; 43,153 shares issued and 42,263 outstanding as of July 1, 2022; 43,010 shares issued and 42,120 outstanding as of December 31, 20214242
Additional paid-in capital347,439344,119
Treasury stock, at cost; 890 common shares as of July 1, 2022 and December 31, 2021(13,754)(13,754)
Accumulated other comprehensive income7,8534,876
Retained earnings660,347558,799
Total stockholders’ equity1,001,927894,082
Total liabilities and stockholders’ equity$1,718,223$1,515,729

FOX FACTORY HOLDING CORP.
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(unaudited)

For the three months endedFor the six months ended
July 1,July 2,July 1,July 2,
2022202120222021
Sales$406,705$328,164$784,682$609,300
Cost of sales263,761217,076521,478400,288
Gross profit142,944111,088263,204209,012
Operating expenses:
Sales and marketing24,17517,84046,76434,698
Research and development14,21411,21626,85621,092
General and administrative28,44424,22654,01144,595
Amortization of purchased intangibles5,6365,08310,94310,048
Total operating expenses72,46958,365138,574110,433
Income from operations70,47552,723124,63098,579
Interest and other expense, net:
Interest expense1,6971,5983,6744,502
Other expense, net2,816834,5081,042
Interest and other expense, net4,5131,6818,1825,544
Income before income taxes65,96251,042116,44893,035
Provision for income taxes12,4646,76714,90010,774
Net income$53,498$44,275$101,548$82,261
Earnings per share:
Basic$1.27$1.05$2.41$1.96
Diluted$1.26$1.05$2.40$1.94
Weighted-average shares used to compute earnings per share:
Basic42,21842,02842,18141,940
Diluted42,35242,36742,36742,355

FOX FACTORY HOLDING CORP.
NET INCOME TO NON-GAAP ADJUSTED NET INCOME RECONCILIATION
AND CALCULATION OF NON-GAAP ADJUSTED EARNINGS PER SHARE
(In thousands, except per share data)
(Unaudited)

The following table provides a reconciliation of net income, the most directly comparable financial measure calculated and presented in accordance with GAAP, to non-GAAP adjusted net income (a non-GAAP measure), and the calculation of non-GAAP adjusted earnings per share (a non-GAAP measure) for the three and six months ended July 1, 2022 and July 2, 2021. These non-GAAP financial measures are provided in addition to, and not as alternatives for, the Company’s reported GAAP results.

For the three months endedFor the six months ended
July 1,July 2,July 1,July 2,
2022202120222021
Net income$53,498$44,275$101,548$82,261
Amortization of purchased intangibles5,6365,08310,94310,048
Patent litigation-related expenses132158201468
Other acquisition and integration-related expenses (1)2101,7371,2983,152
Strategic transformation costs (2)6637812,3391,289
Tax impacts of reconciling items above (3)(1,498)(1,045)(1,891)(1,732)
Non-GAAP adjusted net income$58,641$50,989$114,438$95,486
Non-GAAP adjusted EPS
Basic$1.39$1.21$2.71$2.28
Diluted$1.38$1.20$2.70$2.25
Weighted average shares used to compute non-GAAP adjusted EPS
Basic42,21842,02842,18141,940
Diluted42,35242,36742,36742,355

(1) Represents various acquisition-related costs and expenses incurred to integrate acquired entities into the Company’s operations.

(2) Represents costs associated with various strategic initiatives including the expansion of the Powered Vehicles Group’s manufacturing operations. For the three and six month periods ended July 1, 2022, $663 and $2,339 is classified as costs of sales, respectively. For the three and six month periods ended July 2, 2021, $781 and $1,289 is classified as cost of sales, respectively.

(3) Tax impact calculated based on the respective year to date effective tax rate.

FOX FACTORY HOLDING CORP.
NET INCOME TO ADJUSTED EBITDA RECONCILIATION AND
CALCULATION OF NET INCOME MARGIN AND ADJUSTED EBITDA MARGIN
(In thousands)
(Unaudited)

The following tables provide a reconciliation of net income, the most directly comparable financial measure calculated and presented in accordance with GAAP, to adjusted EBITDA (a non-GAAP measure), and the calculations of net income margin and adjusted EBITDA margin (a non-GAAP measure) for the three and six months ended July 1, 2022 and July 2, 2021. These non-GAAP financial measures are provided in addition to, and not as alternatives for, the Company’s reported GAAP results.

For the three months endedFor the six months ended
July 1,July 2,July 1,July 2,
2022202120222021
Net income$53,498$44,275$101,548$82,261
Provision for income taxes12,4646,76714,90010,774
Depreciation and amortization12,56311,06224,41021,031
Non-cash stock-based compensation4,0613,3747,0905,868
Patent litigation-related expenses132158201468
Other acquisition and integration-related expenses (1)2101,5761,1842,831
Strategic transformation costs (2)6637812,3391,289
Interest and other expense, net4,5131,6818,1825,544
Adjusted EBITDA$88,104$69,674$159,854$130,066
Net Income Margin13.2%13.5%12.9%13.5%
Adjusted EBITDA Margin21.7%21.2%20.4%21.3%

(1) Represents various acquisition-related costs and expenses incurred to integrate acquired entities into the Company’s operations, excluding $114 in stock-based compensation for the six month period ended July 1, 2022, and $161 and $321 of stock-based compensation for the three and six month periods ended July 2, 2021, respectively.

(2) Represents costs associated with various strategic initiatives including the expansion of the Powered Vehicles Group’s manufacturing operations. For the three and six month periods ended July 1, 2022, $663 and $2,339 is classified as costs of sales, respectively. For the three and six month periods ended July 2, 2021, $781 and $1,289 is classified as cost of sales, respectively.

FOX FACTORY HOLDING CORP.
GROSS PROFIT TO NON-GAAP ADJUSTED GROSS PROFIT RECONCILIATION AND
CALCULATION OF GROSS MARGIN AND NON-GAAP ADJUSTED GROSS MARGIN
(In thousands)
(Unaudited)

The following table provides a reconciliation of gross profit to non-GAAP adjusted gross profit (a non-GAAP measure) for the three and six months ended July 1, 2022 and July 2, 2021, and the calculation of gross margin and non-GAAP adjusted gross margin (a non-GAAP measure). These non-GAAP financial measures are provided in addition to, and not as alternatives for, the Company’s reported GAAP results.

For the three months endedFor the six months ended
July 1,July 2,July 1,July 2,
2022202120222021
Sales$406,705$328,164$784,682$609,300
Gross Profit$142,944$111,088$263,204$209,012
Strategic transformation costs (1)6637812,3391,289
Non-GAAP Adjusted Gross Profit$143,607$111,869$265,543$210,301
Gross Margin35.1%33.9%33.5%34.3%
Non-GAAP Adjusted Gross Margin35.3%34.1%33.8%34.5%

(1) Represents costs associated with various strategic initiatives including the expansion of the Powered Vehicles Group’s manufacturing operations.

FOX FACTORY HOLDING CORP.
OPERATING EXPENSE TO NON-GAAP OPERATING EXPENSE RECONCILIATION AND
CALCULATION OF OPERATING EXPENSE AND NON-GAAP OPERATING EXPENSE AS A PERCENTAGE OF SALES
(In thousands)
(Unaudited)

The following tables provide a reconciliation of operating expense to non-GAAP operating expense (a non-GAAP measure) and the calculations of operating expense as a percentage of sales and non-GAAP operating expense as a percentage of sales (a non-GAAP measure), for the three and six months ended July 1, 2022 and July 2, 2021. These non-GAAP financial measures are provided in addition to, and not as an alternative for, the Company’s reported GAAP results.

For the three months endedFor the six months ended
July 1,July 2,July 1,July 2,
2022202120222021
Sales$406,705$328,164$784,682$609,300
Operating Expense$72,469$58,365$138,574$110,433
Amortization of purchased intangibles(5,636)(5,083)(10,943)(10,048)
Patent litigation-related expenses(132)(158)(201)(468)
Other acquisition and integration-related expenses (1)(210)(1,737)(1,298)(3,152)
Non-GAAP operating expense$66,491$51,387$126,132$96,765
Operating expense as a percentage of sales17.8%17.8%17.7%18.1%
Non-GAAP operating expense as a percentage of sales16.3%15.7%16.1%15.9%

(1) Represents various acquisition-related costs and expenses incurred to integrate acquired entities into the Company’s operations.

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this press release including earnings guidance may be deemed to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends that all such statements be subject to the “safe-harbor” provisions contained in those sections. Forward-looking statements generally relate to future events or the Company’s future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “may,” “might,” “will,” “would,” “should,” “expect,” “plan,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “believe,” “estimate,” “predict,” “likely,” “potential” or “continue” or other similar terms or expressions and such forward-looking statements include, but are not limited to, statements about the impact of the global outbreak of COVID-19 on the Company’s business and operations; the Company’s continued growing demand for its products; the Company’s execution on its strategy to improve operating efficiencies; the Company’s optimism about its operating results and future growth prospects; the Company’s expected future sales and future non-GAAP adjusted earnings per diluted share; and any other statements in this press release that are not of a historical nature. Many important factors may cause the Company’s actual results, events or circumstances to differ materially from those discussed in any such forward-looking statements, including but not limited to: the Company’s ability to complete any acquisition and/or incorporate any acquired assets into its business; the Company’s ability to maintain its suppliers for materials, product parts and vehicle chassis without significant supply chain disruptions; the Company’s ability to improve operating and supply chain efficiencies; the Company’s ability to enforce its intellectual property rights; the Company’s future financial performance, including its sales, cost of sales, gross profit or gross margin, operating expenses, ability to generate positive cash flow and ability to maintain profitability; the Company’s ability to adapt its business model to mitigate the impact of certain changes in tax laws; changes in the relative proportion of profit earned in the numerous jurisdictions in which the Company does business and in tax legislation, case law and other authoritative guidance in those jurisdictions; factors which impact the calculation of the weighted average number of diluted shares of common stock outstanding, including the market price of the Company’s common stock, grants of equity-based awards and the vesting schedules of equity-based awards; the Company’s ability to develop new and innovative products in its current end-markets and to leverage its technologies and brand to expand into new categories and end-markets; the Company’s ability to increase its aftermarket penetration; the Company’s exposure to exchange rate fluctuations; the loss of key customers; strategic transformation costs; the outcome of pending litigation; the possibility that the Company may not be able to accelerate its international growth; the Company’s ability to maintain its premium brand image and high-performance products; the Company’s ability to maintain relationships with the professional athletes and race teams that it sponsors; the possibility that the Company may not be able to selectively add additional dealers and distributors in certain geographic markets; the overall growth of the markets in which the Company competes; the Company’s expectations regarding consumer preferences and its ability to respond to changes in consumer preferences; changes in demand for high-end suspension and ride dynamics products; the Company’s loss of key personnel, management and skilled engineers; the Company’s ability to successfully identify, evaluate and manage potential acquisitions and to benefit from such acquisitions; product recalls and product liability claims; the impact of change in China-Taiwan relations on our business, our operations or our supply chain, the impact of the Russian invasion of Ukraine on the global economy, energy supplies and raw materials; future economic or market conditions; and the other risks and uncertainties described in “Risk Factors” contained in its Annual Report on Form 10-K for the fiscal year ended December 31, 2021 and filed with the Securities and Exchange Commission on February 24, 2022, or Quarterly Reports on Form 10-Q or otherwise described in the Company’s other filings with the Securities and Exchange Commission. New risks and uncertainties emerge from time to time and it is not possible for the Company to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this press release. In light of the significant uncertainties inherent in the forward-looking information included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the Company’s expectations, objectives or plans will be achieved in the timeframe anticipated or at all. Investors are cautioned not to place undue reliance on the Company’s forward-looking statements and the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

CONTACT:

Fox Factory Holding Corp.

Vivek Bhakuni
Sr. Director of Investor Relations and Business Development
706-471-5241
vbhakuni@ridefox.com


12 – BRP Acquires Majority Stake in German-Based Pinion to Spur the Development of New Urban Mobility SolutionsFrom BRP Inc.

BRP Inc. (TSX: DOO, NASDAQ: DOOO) is pleased to announce the acquisition of an 80% stake in Pinion GmbH, a pioneer in gearbox technology based in Denkendorf, Germany. Driven by a passion to shape sustainable mobility, Pinion’s team of over 60 full-time employees designs, develops, assembles, and sells mechanical gearboxes for traditional and electric bicycles. The company’s leading gearboxes are modeled after automobile transmission technology and offer unique cycling dynamics and unparalleled shifting performance.

“Beyond our existing powersports and marine products, we are expanding our addressable market and entering untapped categories such as urban mobility and services,” said José Boisjoli, President and CEO of BRP. “This acquisition is strategic for us as it enables BRP to leverage Pinon’s unique, state-of-the-art technology in order to spur the development of new electric human assisted products. We are pleased to welcome the Pinion team.”

Pinion was founded in 2008 by Christoph Lermen and Michael Schmitz, two automotive engineers. Both Co-Founders and Managing Directors will remain shareholders of Pinion, as will Managing Director and shareholder Thomas Raith. All three leaders will continue to shape the company’s path to success and play a key role in its strategic direction alongside Pinion’s highly skilled employees. Offices will be maintained in Germany.

Christoph Lermen, Co-Founder and Managing Director, Pinion GmbH, added: “BRP’s culture of relentless innovation and focus on R&D mirrors our own. We are proud to join such a respected company and look forward to breaking new ground with them. Together, we will continue providing class-leading Pinion gearbox technology to our 100+ valued bicycle manufacturers while at the same time expanding our offering and developing next-generation drive solutions.”

This announcement follows BRP’s acquisition of Great Wall Motor Austria GmbH, a leading EV R&D centre based in Kottingbrunn, Austria, specializing in e-drive systems and transmissions, solidifying BRP’s expertise in electric powertrain technology for existing product lines and upcoming product introductions.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

Certain information included in this release, including, but not limited to, the anticipated benefits associated with this acquisition, statements relating to the integration of Pinion GmbH in the Company’s business, and the Company’s plans for existing product lines and upcoming product introductions, the Company’s business and strategic plans, and other statements that are not historical facts, are “forward-looking statements” within the meaning of Canadian and United States securities laws. Forward-looking statements are typically identified by the use of terminology such as “may”, “will”, “would”, “should”, “could”, “expects”, “forecasts”, “plans”, “intends”, “trends”, “indications”, “anticipates”, “believes”, “estimates”, “outlook”, “predicts”, “projects”, “likely” or “potential” or the negative or other variations of these words or other comparable words or phrases. Forward looking statements, by their very nature, involve inherent risks and uncertainties and are based on several assumptions, both general and specific. BRP cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of BRP to be materially different from the outlook or any future results or performance implied by such statements. Further details and descriptions of these and other factors are disclosed in BRP’s annual information form dated March 24, 2022.

About BRP

We are a global leader in the world of powersports products, propulsion systems and boats built on 80 years of ingenuity and intensive consumer focus. Our portfolio of industry-leading and distinctive products includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on and off-road vehicles, Alumacraft and Quintrex boats, Manitou pontoons and Rotax marine propulsion systems as well as Rotax engines for karts and recreational aircraft. We complete our lines of products with a dedicated parts, accessories and apparel portfolio to fully enhance the riding experience. With annual sales of CA$7.6 billion from over 120 countries, our global workforce includes close to 20,000 driven, resourceful people.

www.brp.com
@BRPNews

Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Alumacraft, Manitou, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners.


This Week in Powersports Business – The week of July 24, 2022

This Week in Powersports Business – The week of July 24, 2022

Here are a few stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – Harley-Davidson’s Production Shutdown Could Wreck its Profits for 2022 – From Jalopnik

Harley-Davidson is likely looking at missed profits following a brief production halt that suspended the company’s plants in Pennsylvania and Wisconsin. On May 19, Harley said it would stop making its gasoline-powered motorcycles for two weeks citing regulatory compliance issues. But that short period of time is now expected to affect the company’s profits for the entire fiscal year, according to Reuters.

The motorcycle manufacturers’s compliance woes and subsequent production stoppage extended its backlog of deliveries, making it difficult to sell the company’s most lucrative models. Harley dealers told Reuters “[it’s] hard to sell someone a $40,000 bike that we don’t have in front of us.”

READ THE ENTIRE POST HERE – https://jalopnik.com/harley-davidsons-production-shutdown-could-wreck-its-pr-1849328131


2 – PRO ARMOR ENTERS SNOW ACCESSORY MARKET, TEAMS UP WITH TOP ATHLETES – From Motorcycle & Powersports News

Pro Armor has announced its expansion into the snow accessory market, beginning in the 2022-‘23 season. The product portfolio will initially be geared towards the mountain rider segment of the market, who have a similar mindset as the Side-by-Side rider Pro Armor has successfully supported for decades.

This launch will be coupled with partnerships with top snowmobile athletes in the sport – including Chris Burandt, Dan Adams, Bret Rasmussen, and Matt Entz – who will help drive intuitive product design, the highest levels of testing and validation, and ultimately, better accessories to help riders go farther, higher, and deeper than they ever thought possible.

“Our goal is to expand the Pro Armor footprint into the snow market while staying true to the brand’s DNA by launching accessories for the high-performance, backcountry sled rider,” said Andy Kroll, president of Pro Armor and former brand manager for Polaris snowmobiles. “Pro Armor has been delivering accessory solutions to riders for over 20 years, first to quad riders, more recently to Side-by-Side riders, and now to back country snow riders as well. Helping riders elevate their style and performance is in our DNA, and we’re excited to bring this passion to the snow community as well.”

The capabilities at Pro Armor extend from design all the way through manufacturing and distribution, to allow riders to fully customize their ride from top to bottom. Pro Armor’s goal is to help make riders’ vehicles an extension of who they are and help them write the next story in their epic adventures.

For more info: www.proarmor.com/en-us/snow/

Pro Armor Partners with Bret Rasmussen

Pro Armor is pleased to announce its newest partnership with Matt Entz. Matt has a lifelong passion for snowmobiling and has successfully translated that into a professional career as a rider and instructor. Enjoying mountain riding from a young age, Matt has the experience to lend product knowledge and innovative ideas for development to the new Pro Armor portfolio of snow accessories.

“Our partnership with Matt has been a valuable resource with regards to incorporating his on-snow experience with various products and utilizing this to further improve on product design, development and testing, which ultimately leads to better solutions for our customers.” said Andy Kroll, President of Pro Armor.

The partnership with Matt will integrate product development and design with the highest levels of testing and validation.

Matt is eager to be working with the team at Pro Armor and continuing the partnership for seasons to come, stating that “it’s awesome to see Pro Armor entering the snowmobile world and I’m excited to partner with them! We have used their products for years on RZRs for our summer business. I have always appreciated the quality of their parts and love the aggressive styling. Really looking forward to their new line of snowmobile products and what’s to come in the future. I love being involved in all phases from sharing ideas for development, testing, and putting the final product to use.”

Pro Armor is thrilled to announce its newest partnership with Bret Rasmussen. As one of the true pioneers of snowmobiling, Bret is one of the most recognizable names in the industry and brings a lifetime of experience, product knowledge and innovative ideas to lend to the new Pro Armor portfolio of snow accessories.

“We at Pro Armor could not be more excited to be partnering with Bret, as he brings such an extensive legacy, wealth of knowledge and the utmost respect within the snow community to us as we expand into the snow market this upcoming season,” said Andy Kroll, President of Pro Armor.

The partnership with Bret will integrate product development and design with the highest levels of testing and validation.  Bret is already diving right in, stating that “I am eager to begin working with the team at Pro Armor, taking advantage of their resources and practical experience in off road vehicle accessories. Together we will continue the highest in quality and functionality in snowmobile performance parts, providing riders the opportunity to personalize and improve their ride, enhancing their own ride style.”

PRO ARMOR ANNOUNCES PARTNERSHIP WITH MATT ENTZ

Pro Armor is pleased to announce its newest partnership with Matt Entz. Matt has a lifelong passion for snowmobiling and has successfully translated that into a professional career as a rider and instructor. Enjoying mountain riding from a young age, Matt has the experience to lend product knowledge and innovative ideas for development to the new Pro Armor portfolio of snow accessories.

“Our partnership with Matt has been a valuable resource with regards to incorporating his on-snow experience with various products and utilizing this to further improve on product design, development and testing, which ultimately leads to better solutions for our customers.” said Andy Kroll, President of Pro Armor.

The partnership with Matt will integrate product development and design with the highest levels of testing and validation.

Matt is eager to be working with the team at Pro Armor and continuing the partnership for seasons to come, stating that “it’s awesome to see Pro Armor entering the snowmobile world and I’m excited to partner with them! We have used their products for years on RZRs for our summer business. I have always appreciated the quality of their parts and love the aggressive styling. Really looking forward to their new line of snowmobile products and what’s to come in the future. I love being involved in all phases from sharing ideas for development, testing, and putting the final product to use.”

PRO ARMOR ANNOUNCES PARTNERSHIP WITH DAN ADAMS

Pro Armor is eager to announce its newest partnership with Dan Adams, his NXT LVL Riding Clinics and NXT LVL Brand. Dan has been a professional snowmobile rider since his late teens and through his NXT LVL Riding Clinics, he teaches snowmobilers from all over the world the fundamentals of off trail mountain riding. As one of the top athletes in the world of mountain and backcountry snowmobiling, Dan has a wealth of experience, product knowledge and innovative ideas to bring to the new Pro Armor portfolio of snow accessories.

“Bringing Dan on board is a huge win for Pro Armor and gives us an expert in the community to help guide better product design and testing, ultimately leading to better solutions for backcountry riders,” said Andy Kroll, President of Pro Armor.

The partnership with Dan will integrate product development and design with the highest levels of testing and validation. Expect a premium line of co-branded accessories featuring Dan’s NXT LVL brand tied in with Pro Armor Snow.

Dan is looking forward to getting things started in a fast-paced environment, stating that “partnering with the team at Pro Armor allows me to support what I see as a premium aftermarket brand breaking into the snow industry at full throttle. I am excited to lend my experience in helping build the highest quality of snow accessories through product design and development.”

PRO ARMOR ANNOUNCES PARTNERSHIP WITH CHRIS BURANDT

Pro Armor is excited to announce its newest partnership with Chris Burandt. From growing up on snowmobiles to pushing boundaries in the backcountry, Chris has truly seen and excelled at everything that can be done on a sled. By means of his extensive career and on-snow experience, Chris lends his immense product knowledge and innovative ideas to the new Pro Armor portfolio of snow accessories.

“Aligning with Chris as we launch Pro Armor Snow allows us to tap into one of the premier riders in the sport. We know Chris would never put anything on his sled that was not of the utmost premium quality, and that is exactly what we strive to deliver,” said Andy Kroll, President of Pro Armor.

The partnership with Chris will integrate product development and design with the highest levels of testing and validation. Expect a premium line of co-branded accessories featuring Chris’s personal brand tied in with Pro Armor Snow in the future.

The wheels are already turning in Chris’s head regarding new product, stating that “This opportunity to partner with Pro Armor will allow me to continue bringing innovative products to the industry.  As it has been from the beginning, my main agenda of reducing weight and increasing sled performance will be at the forefront all while adding signature styles and custom looks.  Lots of fun things up ahead…stay tuned!”


3 – HARLEY-DAVIDSON DELIVERS SECOND QUARTER FINANCIAL RESULTSFrom Harley-Davidson

MILWAUKEE, July 28, 2022 /PRNewswire/ — Harley-Davidson, Inc. (“Harley-Davidson”) (NYSE:HOG) today reported second quarter results.

“Reaffirming our guidance for the year, despite the production suspension, demonstrates the effectiveness of our Hardwire strategy and the power of our brand.” said Jochen Zeitz, Chairman, CEO and President, Harley-Davidson. “Now with the suspension being behind us, we are fully focused on mitigating the impacts of the volume loss with the ambition to deliver on our Hardwire II goals, in year two of our five-year strategy.”

Second Quarter 2022 Summary of Results

  • Global motorcycle shipments were adversely impacted (down 15 percent in Q2) by the approximately two-week production suspension caused by a regulatory compliance matter at a third-party supplier
  • HDMC Revenue down 5 percent with global pricing and growth within Apparel offsetting much of the negative impact from the temporary production suspension
  • HDMC Operating Income margin of 15.1 percent, was up 1.2 points versus last year; pricing, lower operating expense and lower EU tariffs offset the impact of the suspension
  • HDFS Operating Income decline of 9 percent was driven by the continued normalization of credit losses in-line with expectations
  • GAAP diluted EPS of $1.46 was up 10 percent vs last year; Harley-Davidson repurchased $64 million of shares (or 1.7 million shares) on a discretionary basis in Q2
  • The Company reaffirms its full-year 2022 outlook
  • Merger transaction between LiveWire and AEA-Bridges Impact Corporation now expected to list at the NYSE in late September

Second Quarter 2022 Results

Harley-Davidson, Inc. Consolidated Financial Results 

 $ in millions (except EPS)2nd quarter
20222021Change
Revenue$1,469$1,532(4 %)
Operating Income$278$280(1 %)
Net Income$216$2065 %
GAAP Diluted EPS$1.46$1.3310 %

Consolidated revenue was down 4 percent in the second quarter versus Q2 2021 driven primarily by HDMC revenue down 5 percent. The revenue decline was driven by the production suspension in the second half of May. Consolidated operating income decline of 1 percent reflects 3 percent growth at HDMC and a decline of 9 percent at HDFS due to an expected higher provision for credit losses as the credit environment normalizes.

HDMC Results: Motorcycles and Related Products

 $ in millions2nd quarter
20222021Change
Motorcycle Shipments (thousands)48.256.7(15 %)
Revenue$1,266$1,332(5 %)
   Motorcycles$940$1,030(9 %)
   Parts & Accessories$215$223(4 %)
   Apparel$77$5639 %
   Licensing$12$933 %
   Other$23$1556 %
Gross Margin30.5 %30.6 %0 pts.
Operating Income$192$1863 %
Operating Margin15.1 %14.0 %1.2 pts.

Global motorcycle shipments were adversely impacted by the production suspension. HDMC Revenue was down 5 percent as a result, with global pricing across Motorcycles, Parts & Accessories, and Apparel partially offsetting the decline in wholesale shipments of 15 percent.

Second quarter gross margin was flat compared to Q2 prior year. Global pricing and mix contributed approximately 6 points of margin benefit and more than offset cost inflation; Second quarter operating margin improved to 15.1% from 14.0% in Q2 prior year. The +1.2 points improvement was driven by global pricing, lower EU tariffs and reduced operating expenses.

Harley-Davidson Retail Motorcycle Sales

 Motorcycles (thousands) 2nd quarter
20222021Change
North America34.948.2(28 %)
EMEA8.710.2(15 %)
Asia Pacific 6.06.01 %
Latin America0.80.9(8) %
Worldwide Total50.565.3(23 %)

Global retail motorcycle sales in the second quarter were down 23 percent versus prior year, results were adversely impacted by lower inventory and the production suspension.  

HDFS Results: Financial Services

 $ in millions2nd quarter
20222021Change
Revenue$203$2011 %
Operating Income$86$95(9 %)

HDFS’ operating income decline of $9 million versus Q2 2021 was driven by a higher provision for credit losses. The increase in the provision was due to actual retail credit losses moving towards normalized levels. Total quarter ending financing receivables were $7.1B, which was up 3% versus prior year.

Other Results

  • Harley-Davidson generated $244 million of cash from operating activities year-to-date. Cash and cash equivalents were $2.2 billion at the end of the second quarter, up $453 million compared to the end of the prior year second quarter. The increase was primarily from increases at HDFS following a securitized debt issuance in June 2022.
  • Tax Rate – The Company’s second quarter effective tax rate was 22 percent.
  • Dividends – The Company paid cash dividends of $0.1575 per share in Q2 2022.
  • In Q2 The Company repurchased $64 million of shares (or 1.7 million shares); YTD the Company repurchased $312 million of shares (or 8.0 million shares)

2022 Outlook

For the full year 2022, the Company reaffirms its initial guidance and continues to expect:

  • HDMC revenue growth of 5 to 10%
  • HDMC operating income margin of 11 to 12%
  • HDFS operating income to decline by 20 to 25%
  • Capital investments of $190 million to $220 million

The outlook continues to assume that manufacturing, logistics and material costs moderately improve in the back-half of the year as overall operations performance stabilizes and we get beyond the peak levels of inflation experienced in 2021.

The Company’s cash allocation priorities are to fund growth through The Hardwire initiatives, pay dividends, and execute discretionary share repurchases.

Update on LiveWire Transaction
On December 13, 2021, Harley-Davidson and AEA-Bridges Impact Corp. (“ABIC”) (NYSE: IMPX), a special purpose acquisition company with a dedicated sustainability focus, sponsored by executives of AEA Investors and Bridges Fund Management, announced a definitive business combination agreement under which ABIC will combine with LiveWire, Harley-Davidson’s electric motorcycle division, to create a new publicly traded company. Its common stock is expected to be listed on the New York Stock Exchange under the symbol “LVW”.

As part of LiveWire’s journey to become the first publicly traded all electric motorcycle company in the U.S., yesterday the SEC declared our S-4 registration statement effective. Due to quarterly fiscal accounting, we now expect that LiveWire will go public on September 26th, which will be the start of both LiveWire and Harley-Davidson’s fiscal fourth quarter. As part of this process, we expect that ABIC will hold its shareholder meeting to approve the business combination on September 16th.

Company Background
Harley-Davidson, Inc. is the parent company of Harley-Davidson Motor Company and Harley-Davidson Financial Services. Our vision: Building our legend and leading our industry through innovation, evolution and emotion. Our mission: More than building machines, we stand for the timeless pursuit of adventure. Freedom for the soul. Our ambition is to maintain our place as the most desirable motorcycle brand in the world. Since 1903, Harley-Davidson has defined motorcycle culture by delivering a motorcycle lifestyle with distinctive and customizable motorcycles, experiences, motorcycle accessories, riding gear and apparel. Harley-Davidson Financial Services provides financing, insurance and other programs to help get riders on the road.  www.harley-davidson.com.  

Webcast
Harley-Davidson will discuss its financial results and outlook on an audio webcast at 8:00 a.m. CT today. The webcast login and supporting slides can be accessed at http://investor.harley-davidson.com/news-and-events/events-and-presentations. The audio replay will be available by approximately 10:00 a.m. CT.

Cautionary Note Regarding Forward-Looking Statements

The Company intends that certain matters discussed in this press release are “forward-looking statements” intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements can generally be identified as such because the context of the statement will include words such as the company “believes,” “anticipates,” “expects,” “plans,” “may,” “will,” “estimates,” “targets,” “intend,” “is on-track,” “forecasting,” or words of similar meaning. Similarly, statements that describe or refer to future expectations, future plans, strategies, objectives, outlooks, targets, guidance, commitments or goals are also forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially, unfavorably or favorably, from those anticipated as of the date of this press release. Certain of such risks and uncertainties are described below. Shareholders, potential investors, and other readers are urged to consider these factors in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements included in this press release are only made as of the date of this press release, and the Company disclaims any obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.

Important factors that could affect future results and cause those results to differ materially from those expressed in the forward-looking statements include, among others, the following: (I) the COVID-19 pandemic, including the length and severity of the pandemic across the globe and the pace of recovery following the pandemic and (II) the Company’s ability to: (A) execute its business plans and strategies, including The Hardwire, including each of the pillars and the evolution of LiveWire as a standalone brand, including the proposed separation of LiveWire into a separate business of the Company through the combination of LiveWire with AEA-Bridges Impact Corp. (ABIC), which includes the risks noted below; (B) manage supply chain and logistic issues, including quality issues, availability of semiconductor chip components and the ability to find alternative sources of those components in a timely manner, unexpected interruptions or price increases caused by supplier volatility, raw material shortages, war or other hostilities, including the conflict in Ukraine, or natural disasters, and longer shipping times and increased logistics costs, including by successfully implementing pricing surcharges; (C) realize the expected business benefits from the combination of LiveWire with ABIC, which may be affected by, among other things: (i) the ability of LiveWire to: (1) execute its plans to develop, produce, market, and sell its electric vehicles; (2) achieve profitability, which is dependent on the successful development and commercial introduction and acceptance of its electric vehicles, and its services, which may not occur; (3) adequately control the costs of its operations as a new entrant into a new space; (4) develop, maintain, and strengthen its brand; (5) execute its plans to develop, produce, market, and sell its electric vehicles; and (6) effectively establish and maintain cooperation from its retail partners, largely drawn from the Company’s traditional motorcycle dealer network, to be able to effectively establish or maintain relationships with customers for electric vehicles; (ii) competition; and (iii) other risks and uncertainties indicated from time to time in the final prospectus of ABIC, including those under “Risk Factors” therein, and other documents filed or to be filed with the SEC by the Company, LW EV Holdings, Inc. (HoldCo) or ABIC; (D) accurately analyze, predict and react to changing market conditions and successfully adjust to shifting global consumer needs and interests; (E) successfully access the capital and/or credit markets on terms that are acceptable to the Company and within its expectations; (F) successfully carry out its global manufacturing and assembly operations; (G) develop and introduce products, services and experiences on a timely basis that the market accepts, that enable the Company to generate desired sales levels and that provide the desired financial returns, including successfully implementing and executing plans to strengthen and grow its leadership position in Grand American Touring, large Cruiser and Trike, and grow its complementary businesses; (H) perform in a manner that enables the Company to benefit from market opportunities while competing against existing and new competitors; (I) manage the regulatory compliance matter relating to a third-party supplier’s component part in a manner that avoids additional costs or recall expenses that are material; (J) successfully appeal: (i) the revocation of the Binding Origin Information (BOI) decisions that allowed the Company to supply its European Union (EU) market with certain of its motorcycles produced at its Thailand operations at a reduced tariff rate and (ii) the denial of the Company’s application for temporary relief from the effect of the revocation of the BOI decisions; (K) manage and predict the impact that new, reinstated or adjusted tariffs may have on the Company’s ability to sell products internationally, and the cost of raw materials and components, including the temporary lifting of the Section 232 steel and aluminum tariffs and incremental tariffs on motorcycles imported into the EU from the U.S., between the U.S. and EU, which expires on December 31, 2023; (L) prevent, detect, and remediate any issues with its motorcycles or any issues associated with the manufacturing processes to avoid delays in new model launches, recall campaigns, regulatory agency investigations, increased warranty costs or litigation and adverse effects on its reputation and brand strength, and carry out any product programs or recalls within expected costs and timing; (M) manage the impact that prices for and supply of used motorcycles may have on its business, including on retail sales of new motorcycles; (N) successfully manage and reduce costs throughout the business; (O) manage through changes in general economic and business conditions, including changing capital, credit and retail markets, and the changing domestic and international political environments, including as a result of the conflict in Ukraine; (P) continue to develop the capabilities of its distributors and dealers, effectively implement changes relating to its dealers and distribution methods and manage the risks that its dealers may have difficulty obtaining capital and managing through changing economic conditions and consumer demand; (Q) continue to develop and maintain a productive relationship with Zhejiang Qianjiang Motorcycle Co., Ltd. and launch related products in a timely manner; (R) maintain a productive relationship with Hero MotoCorp as a distributor and licensee of the Harley-Davidson brand name in India; (S) successfully maintain a manner in which to sell motorcycles in China and the Company’s Association of Southeast Asian Nations (ASEAN) countries that does not subject its motorcycles to incremental tariffs; (T) manage its Thailand corporate and manufacturing operation in a manner that allows the Company to avail itself of preferential free trade agreements and duty rates, and sufficiently lower prices of its motorcycles in certain markets; (U) accurately estimate and adjust to fluctuations in foreign currency exchange rates, interest rates and commodity prices; (V) retain and attract talented employees, and eliminate personnel duplication, inefficiencies and complexity throughout the organization; (W) prevent a cybersecurity breach involving consumer, employee, dealer, supplier, or Company data and respond to evolving regulatory requirements regarding data security; (X) manage the credit quality, the loan servicing and collection activities, and the recovery rates of Harley-Davidson Financial Services Inc.’s loan portfolio; (Y) adjust to tax reform, healthcare inflation and reform and pension reform, and successfully estimate the impact of any such reform on the Company’s business; (Z) manage through the effects inconsistent and unpredictable weather patterns may have on retail sales of motorcycles; (AA) implement and manage enterprise-wide information technology systems, including systems at its manufacturing facilities; (BB) manage changes and prepare for requirements in legislative and regulatory environments for its products, services and operations; (CC) manage its exposure to product liability claims and commercial or contractual disputes; (DD) continue to manage the relationships and agreements that the Company has with its labor unions to help drive long-term competitiveness; (EE) achieve anticipated results with respect to the Company’s pre-owned motorcycle program, Harley-Davidson Certified, and the Company’s H-D1 Marketplace; (FF) accurately predict the margins of its Motorcycles and Related Products segment in light of, among other things, tariffs, the cost associated with product development initiatives and the Company’s complex global supply chain; and (GG) optimize capital allocation in light of the Company’s capital allocation priorities.

The Company’s ability to sell its motorcycles and related products and services and to meet its financial expectations also depends on the ability of the Company’s dealers to sell its motorcycles and related products and services to retail customers. The Company depends on the capability and financial capacity of its dealers to develop and implement effective retail sales plans to create demand for the motorcycles and related products and services they purchase from the Company. In addition, the Company’s dealers and distributors may experience difficulties in operating their businesses and selling Harley-Davidson motorcycles and related products and services as a result of weather, economic conditions, the impact of the COVID-19 pandemic, or other factors.

In recent years, Harley-Davidson Financial Services Inc. has experienced historically low levels of retail credit losses, but there is no assurance that this will continue. The Company believes that Harley-Davidson Financial Services Inc.’s retail credit losses will increase over time due among other things to factors that have contributed recently to low levels of losses, including the favorable impact of recent federal stimulus payments that will not recur and the conflict in Ukraine.

The Company’s operations, demand for its products, and its liquidity could be adversely impacted by work stoppages, facility closures, strikes, natural causes, widespread infectious disease, terrorism, war or other hostilities, including the conflict in Ukraine, or other factors. Refer to “Risk Factors” under Item 1A. Risk Factors of the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 as well as Item 1A. Risk Factors of the Company’s Quarterly Report on Form 10-Q for the quarter ended March 27, 2022 for a discussion of additional risk factors and a more complete discussion of some of the cautionary statements noted above.

View original content to download multimedia:https://www.prnewswire.com/news-releases/harley-davidson-delivers-second-quarter-financial-results-301594968.html

SOURCE Harley-Davidson, Inc.


4 – R&G ANNOUNCES NEW PARTNERSHIP WITH BRANDS THAT SHINEFrom Motorcycle and Powersports News

R&G, a global leader in motorcycle crash protection, announced a new partnership with Brands That Shine. The company will work to further boost the growth of R&G in the U.S. through increased dealer support and a heightened presence at the track.

The move marks a significant step forward for the British brand as it expands its reach across the U.S. market, with Brands That Shine opening channels and boosting dealer awareness to grow the business in the U.S.

Commenting on the announcement, Simon Hughes, R&G’s managing director, said, “We are really excited to be working with Brands That Shine. Jessica’s expertise in relationship building, brand awareness and creative marketing perfectly complements the emerging growth sectors for R&G. I believe this is an important step in continuing the expansion of our brand presence in the U.S. with a long-term strategic partnership.”

Jessica Shine, founder of Brands That Shine, added, “Our goal has always been to provide the best possible products and aftersales support for our dealers while giving our brand partners the focus and attention they deserve. R&G has offered us the opportunity to promote a range of outstanding products suited to our customer base, which are not only market leading but also fit into our long-term vision. I look forward to seeing what the future holds for both parties as a result of this great partnership.”

Founded in 1999, R&G is a world leader in damage protection and styling accessories for motorcycles. For over two decades, R&G has protected hundreds of thousands of road riders and racers from expensive damage when the worst happens. With thousands of applications for hundreds of bikes, R&G products have been used in racing championships across the globe, including British Superbikes, MotoAmerica and Australian Superbikes.

R&G is an official partner of the 2022 MotoAmerica Championship as well as sponsoring two teams in the Series: Team Hammer and Tom Wood Powersports. MotoAmerica has also given its official approval for R&G Engine Case Covers, Lever Guards and Tank Sliders.

Alongside providing essential crash protection products, such as Aero Frame Sliders, Engine Case Covers, Crash Bars and Fork Protectors, R&G also offers a host of accessories, such as Exhaust Hangers and Fender Eliminators.

R&G will be attending AIMEXPO 2023 (Feb. 15-17, 2023, Las Vegas) where visitors to booth 4084 will be able to see the firm’s range of products first hand.


5 – Polaris Inc. Declares Regular Cash DividendFrom Polaris Inc.

 Polaris Inc. (NYSE: PII) announced today that its Board of Directors has declared a regular quarterly cash dividend of $0.64 per share payable on September 15, 2022 to shareholders of record at the close of business on September 1, 2022.

About Polaris

As the global leader in powersports, Polaris Inc. (NYSE: PII) pioneers product breakthroughs and enriching experiences and services that have invited people to discover the joy of being outdoors since our founding in 1954. Polaris’ high-quality product line-up includes the Polaris RANGER®, RZR® and Polaris GENERAL™ side-by-side off-road vehicles; Sportsman® all-terrain off-road vehicles; military and commercial off-road vehicles; snowmobiles; Indian Motorcycle® mid-size and heavyweight motorcycles; Slingshot® moto-roadsters; Aixam quadricycles; Goupil electric vehicles; and pontoon and deck boats, including industry-leading Bennington pontoons. Polaris enhances the riding experience with a robust portfolio of parts, garments, and accessories. Proudly headquartered in Minnesota, Polaris serves more than 100 countries across the globe. www.polaris.com


6 –

This Week in Powersports Business – The week of July 17, 2022

This Week in Powersports Business – The week of July 17, 2022

Here are a few stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – American Landmaster Launches 2022 Lithium-Ion 4×4 UTV Side-By-Side

American Landmaster has announced the release of their new 2022 Landmaster EV 4X4 Lithium-Ion UTV side-by-side. Authorized American Landmaster dealers will have the new EV 4X4 machines available in their showroom starting September 2022.

The all-new Landmaster EV 4×4 is built on the same chassis as the original, first-of-its-kind EV lithium side x side, launched in 2021, including fully independent L-ROSS suspension, automotive grade ball joints & bushings, and weather-sealed electrical connectors. According to David Piercy, Director of Marketing for American Landmaster, “Two years ago, we created the first-ever, purpose-built Lithium-Ion utility vehicle, and we are extremely excited to continue the growth of this category with our 2022 EV Lithium 4X4 line-up.”

The 2022 Landmaster EV 4X4 will continue to drive innovation in the lithium utility vehicle sector with a best-in-class 160 amp-hour power plant, super duty 4WD transaxle, and on-demand 4WD coupled with a rear locking differential. The vehicle is capable of up to 50miles on a single charge, opportunity charging for 10 minutes, 20 minutes, or an hour, and can be fully recharged in less than 8 hours. An on-board charger, low maintenance battery, and on-dash battery storage switch are all standard features designed to create a best-in-class ride experience, whether hunting, trail riding, or working in various commercial applications.

“The Landmaster EV 4×4 is perfectly suited for job sites in the commercial space due to its minimal labor & maintenance costs, combined with emission-free and extremely low noise levels.” Comments Andy Carney, Director of Commercial Sales for American Landmaster. The Landmaster EVs also come equipped with several standard safety features including: 4-wheel hydraulic disk brakes, full access to speed control, 4-wheel parking brake lock, ROPS certified cage, 3-point seatbelts, and an entire range of common commercial safety accessories.

EV 4X4 LITHIUM – SPEC’S

The standard suspension system will provide 500 lbs bed capacity, while the optional HD suspension system will provide up to 700 lbs bed capacity. The EV 4X4 is capable of towing up to 1,500 lbs, with a total vehicle capacity of up to 1,100 lbs. Optional accessories will include a 3,000lb electric winch, HD oversized steel cargo bed, steel-framed weather enclosure, hunting/cruising/commercial packages, and a rear cargo bed/flip seat to provide seating for up to (4) people.

According to Andrew Flood, Director, Eastern Regional Sales, “The hunting community has been ready for a fully functional lithium powered 4wd side x side for a long time. We have taken our experience with the original EV 2WD, along with the voice of the customer and dealer input, and created the best, dollar-for-dollar, Lithium-Ion 4X4 available.”

FACTORY-INSTALLED VEHICLE PACKAGES AVAILABLE FOR THE EV

UNTAMED

The Untamed package is designed for the outdoor enthusiast, providing an extreme array of outdoor & hunting gear. Electronic power steering, rear gun racks, front hood rack, custom Desert Tan or OD Green frame & dashboard, roof, and windshield are just some of the features for this package.

CRUISER

The Cruiser package is set up for the recreational adventure seeker, complete with electronic power steering, locking center console, split windshield, 25″ Premium road and turf tires, and a USB port to charge cell phones & tablets.

COMMERCIAL

The Commercial safety kit includes a strobe light, horn, back up alarm, and brake lights. Coupled with the standard ROPS Roll Over protection cage, 4-wheel hydraulic disc brakes, 4-wheel parking brake lock, zero-watering lithium batteries, zero fumes/low noise and 3-point seat belts standard, nearly all worksite safety protocols can be satisfied.

Landmaster Lithium ion EV 4x4 UTV

Corporate Information: At American Landmaster we’re building high quality, American Made UTVs at an incredible value for our customers. Our UTVs are built from the ground up in Columbia City, IN. American Landmaster’s mission is to serve your family or business with a UTV that brings others together and accomplishes what you need.

For more information about our units, visit AmericanLandMaster.com. Headquarters and retail showroom are located at 2499 S. 600 E. Suite 102, Columbia City, IN 46725.


2 – KTM hosts REV Dealer Summit in CharlotteFrom Powersports Business

Dealerships have been posting for the last few days from something called the KTM Husqvarna GasGas REV Dealer Summit in Charlotte. It appears from afar to set the mark for the largest 2022 OEM dealer event of its kind, which is a fantastic sign of the elevated status of the partnership between the KTM brands and their dealerships.

READ MORE HERE – https://powersportsbusiness.com/top-stories/2022/07/19/ktm-hosts-rev-dealer-summit-in-charlotte/


3 – KTM AG PRESENTS ITS GROWING RANGE OF ELECTRIC SPORTMINICYCLES AT THE NORTH AMERICA DEALER SUMMITFrom KTM AG

Charlotte, NC, July 20, 2022 – KTM AG, Europe’s leading manufacturer of powered two-wheelers with its motorcycle brands KTM, Husqvarna Motorcycles and GASGAS, presented its comprehensive electric sportminicycle lineup at its KTM North America Dealer Summit in Charlotte, North Carolina last weekend.

The current range offers electric bikes for young riders with different skill sets, from first balance bikes to advanced competition models. In 2022, the range has been expanded with the addition of the new SX-E 3, EE 3 and MC-E 3, which bridge the gap between the group’s electric balance bikes and the advanced SX-E 5, EE 5 and MC-E 5 models. By the middle of this decade, the electric lineup will feature more than 20 electric offroad motorcycles from all brands, ranging from beginner to competition-level models, aimed at young talents who are taking the future of motorsports to the next level.

With decades of expertise in the engineering and manufacturing of motorcycles, KTM AG is carefully assessing the opportunities for electric mobility and developing products that are sustainable both ecologically as well as economically.

“Everyone is talking about e-mobility these days. At KTM AG we are constantly pursuing developments in this field, living up to our responsibility as an innovative, sustainable company,” says Hubert Trunkenpolz, Chief Marketing Officer at KTM AG. “We strongly believe that e-mobility plays a role when it comes to short distance, urban mobility and small engine size. In the offroad segment, we need to consider the circumstances on the tracks, such as limited availability to charge big batteries.”

Strong dealer partnerships is one of the main pillars of success for KTM AG. As the world’s market leader in offroad competition motorcycles, the company is a solid partner to its global dealership network. KTM AG is committed to meeting the high expectations of riders and dealers as well as society, as a reliable manufacturer in the powered two-wheeler industry.

“Our relationships with our dealers, their feedback and input have always been invaluable to us. That’s why we are proud to present our range of electric motorcycles for the youngest riders for the first time here in the world’s biggest offroad motorcycle market. It was great to spend a couple of days together with our partners, riding the newest generation of motorcycles and sharing our vision and plans for the future,” says Florian Kecht, Chief Sales Officer at KTM AG“We are committed to the brick-and-mortar business and will continue to supply our dealers with a wide, best-in-class product range that meets the expectations of all our stakeholders, now and in the future.”

About KTM AG
KTM AG is Europe’s leading powered two-wheeler (PTW) manufacturer. With its KTM, Husqvarna Motorcycles and GASGAS motorcycle brands, it ranks among the European technology and market leaders, particularly in the premium motorcycle segment. In addition to combustion engine vehicles, its product portfolio includes vehicles with innovative electric drives, making KTM AG an industry pioneer in two-wheel e-mobility as well.


4 – Twisted Throttle LLC Joins Vision XFrom Twisted Throttle LLC

Twisted Throttle and its house brands, DENALI Electronics and DRYSPEC, have joined the Vision X group effective July 1, 2022.

For more than a decade, Vision X has been the contract manufacturer of lamps designed by DENALI Electronics. By joining the Vision X team, DENALI gains increased access to technology, manufacturing capabilities, and global market access.

“We originally selected Vision X as the manufacturer of lamps for DENALI Electronics due to their products’ outstanding quality and durability. Their industrial products were developed to withstand the abuse of the harshest environments in the world, including the vibration and hot, corrosive environments encountered in Australian mines, the freezing temperatures of Alaskan winters, and even the rigors of applications in NASA’s space program. We took that build quality and applied it to building high-performance lighting in complete plug-n-play vehicle-specific kits for motorcycles. The combination of our companies will allow us to scale our design approach to many more vehicle types. We are excited about what this means for our customers and the opportunities for growth moving forward.”​

-Erik Stephens, CEO & Founder of DENALI Electronics and Twisted Throttle

The leadership team and staff of Twisted Throttle and DENALI Electronics will remain in place, as will Twisted Throttle’s commitment to its existing customers, brands, and websites. The group will now have warehouse facilities in both Washington and Rhode Island, increasing delivery speed to all North American customers.

“DENALI and Twisted Throttle are highly complementary to Vision X with established product development, e-commerce, marketing, and distribution teams. We look forward to accelerating each other’s business growth.”

-Tony Georgitsis, President of Vision X

About Vision X:

Vision X, a division of Brown & Watson International, is located in Auburn, Washington, in the Greater Seattle Area. Established in 1997, Vision X Lighting’s products have consistently astounded customers with their lighting’s ability to perform in harsh environments and unbeatable light output. The engineering, product development, and marketing are conducted from the Vision X USA office, while Vision X Asia is home to the manufacturing, testing, and inventory logistics departments of Vision X Global Lighting. Today, Vision X Lighting has strong partnerships spanning across the globe where they continue to develop the most advanced lighting products in the world. https://visionxusa.com

About DENALI Electronics:

DENALI offers complete vehicle-specific solutions for LED lighting and electrical accessories for the motorcycle, powersports, and automotive industries. Safety is our number one priority. No matter your vehicle, DENALI LED lighting will help you see and be seen. https://denalielectronics.com/

About Twisted Throttle LLC:

Founded in 2002, Twisted Throttle is your one-stop shop for bolt-on adventure and sport motorcycle accessories from your favorite brands like DENALI, DrySpec, R&G, Barkbusters, Givi, MRA Windshields, and Kaoko. Whether you just bought a brand new model or picked up a project bike to get running again, Twisted Throttle is the place to find the add-ons you need; premium LED lighting, hard and soft luggage, protection parts, and more! https://www.twistedthrottle.com/


5 – Tucker Powersports, Kuryakyn and BikeMaster to have Huge Presence at Sturgis Motorcycle RallyFrom Tucker Powersports

Tucker Powersports, the nation’s premier powersports product distributor, and its Kuryakyn and TwinPower brands will roll into South Dakota next month for the Sturgis motorcycle rally for the largest rally program the company has ever executed. Rally attendees will see the three brands at multiple locations in the Sturgis area with a crew of employees ready to serve customers at the event.

At the Buffalo Chip campground, the company has signed a multi-year deal with the Chip’s Fozzy’s Cycle Shop, an on-site motorcycle repair facility. Fozzy’s is a Tucker dealer and will be able to offer the distributor’s full range of parts, accessories and apparel. The relationship with the Buffalo Chip extends the brands’ visibility to two additional display locations at the campground and numerous other branding opportunities.

In the city of Sturgis, Kuryakyn and TwinPower will have nearly 4,000 square feet of display space outside the J&P Cycles Store on Lazelle Street, the main route through the city. J&P will provide retail support and technicians will be available for customers who want to purchase products and have them installed immediately.

Tucker will send a full crew of employees to staff the event for the duration of the rally, which is the biggest manpower commitment that the company has ever made to a consumer event.

“The Kuryakyn brand has been known for its presence at the top rallies in the country. We’re happy to continue that tradition and to add the great products from TwinPower to the mix as well,” said Tucker’s Vice President of Sales Brad Turner.

The company’s Sturgis Rally events will run at all locations from Friday, August 5 through Saturday, August 13.

ABOUT TUCKER POWERSPORTS  

Featuring the most powerful portfolio of parts, accessories and apparel brands in the powersports industry, Tucker distributes top brands and offers its own brands, including Answer, Biker’s Choice, BikeMaster, Bully Locks, CoverMax, DragonFire Racing, FirstGear, Kuryakyn, ProTaper/ProTaper Sport, QuadBoss, Speed and Strength, and TwinPower.

ABOUT KURYAKYN 

Since 1979 Kuryakyn has been delivering quality parts to motorcyclists around the world. Known for its extensive lineup of custom and performance accessories, Kury has now become a leader in motorcycle and UTV bags, LED lighting and audio components.

ABOUT TWINPOWER 

Since 1982, TwinPower has been designing and producing quality parts and accessories for the American V-Twin enthusiast. Driven by the same passion that fuels the American V-Twin scene, TwinPower is relentless in its pursuit of quality, functionality, and value. The TwinPower team will not offer a Twin Power product to its customers unless they are proud to sport it on one of their own rides.


6 – July 16, 2022: New Set Up in Kazakhstan – Almost Ready To Go – From Ural Motorcycles

The process of setting up our new assembly facility is very near completion (!) We are now in the last phase of the set up: bringing in the necessary pieces of assembly equipment and filling warehouse shelves with parts and components.

We’re moving some old (refurbished) assembly fixtures from Irbit, however most of the equipment, hand tools, work benches, test stands, compressors, quality control “tunnel” and other pieces are brand new.

The trial shipment of spare parts has successfully made its way from Kazakhstan to IMWA in Redmond. Factory is now putting together two large air shipments to fulfill backorders and warranties, and also gearing up to restore “normal” way of supplying parts to our distributors with the shipments of bikes.

We received the first two shipments of production parts from our Asian suppliers in Petropavlovsk last week. There are more production parts on their way to Kazakhstan from other Asian suppliers, as well as from Europe. We’re very close to completely restoring all incoming logistics.

Most importantly: the first truck with motorcycle assembly sets has arrived at IMZ-Kazakhstan from Irbit. We’re expecting the second shipment from Irbit to arrive in Kazakhstan next week. The team of workers from Irbit is going to Petropavlovsk to assist with the assembly of the first shipments of bikes in the next few days.

If everything goes well, we expect the first shipment of bikes from our new assembly shop to depart around July 25th. It will be heading to the US with ETA sometime early to mid-September. Following production orders are booked for Japan, Australia and Europe.

Wish us luck and follow us on social media channels for updates.

We thank you for being there for us, stay tuned for more developments!

Ride safe and be well!

The Team at Ural


7 – DEI names Matthew Botos as Lead Engineer and DesignerFrom Powersports Business

Matthew Botos has been announced as Lead Engineer and Designer at Design Engineering Inc. Botos joined the DEI team May 10 and is responsible for designing and engineering new products and improving current products. He has been designing new products and taking them to market for 16 years and brings extensive experience in mechanical engineering, computer-aided design, computer-numerical control (CNC) machining and information technology to his new role. Additionally, Botos has manufactured parts for the aftermarket electric motorcycle sector, specifically the Sur-Ron.

Matthew Botos has been announced as Lead Engineer and Designer at Design Engineering Inc.

He has a love for motorcycles that began at an early age and is excited to continue DEI’s commitment to providing customers with the highest-quality heat and sound insulation products on the market. “Working at DEI is a perfect fit for my passions,” said Botos. “The sky is the limit for companies like DEI who have the foresight and flexibility to adapt in an ever-changing world.”

“It’s great to have Matt on the team and we’re thrilled to work with him on developing new products,” said John Gabriel, Division Manager of DEI Powersports.

Botos has been riding dirt bikes and motorcycles since he was 10 years old and currently rides a 2016 KTM 350 SX-F. His motorsports interest is primarily focused on motocross, and he has a fondness for electric motorcycles.


This Week in Powersports Business – The week of July 10, 2022

This Week in Powersports Business – The week of July 10, 2022

Here are a couple of stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – PARTS UNLIMITED ANNOUNCES NEW SOUTHEAST REGIONAL SALES MANAGER

Parts Unlimited is proud to welcome back Tim Bowen as the Regional Sales Manager for the Southeast region.

Tim has a long history with Parts Unlimited as a previous Sales Rep and Regional Manager for 27 years.  He has been in the industry for over 49 years at dealership/distributor levels and has ridden and raced enduros and hare scrambles most of his life.  Currently, he rides mostly MTB and E-MTB.  Tim works many industry events to give back and grow the sport he loves. 

In his spare time, Tim also enjoys golf and bowling.  Welcome back, Tim!


2 – Suzuki Named Associate Sponsor of 2022 AMA Vintage Motorcycle DaysFrom the American Motorcyclist Association

The American Motorcyclist Association is pleased to announce that Suzuki Motor USA will be the Associate Sponsor of the 2022 AMA Vintage Motorcycle Days presented by Royal Enfield, which takes place July 22-24 at the Mid-Ohio Sports Car Course in Lexington, Ohio.

“Suzuki is happy to sponsor AMA Vintage Motorcycle Days. With legendary Suzuki world champion Kevin Schwantz as Grand Marshal, we are thrilled to join the AMA in honoring Kevin as he leads this important motorcycle event,” said Kerry Graeber, Suzuki’s Vice President, Division Manager, Sales and Marketing. “2022 is shaping up to be an excellent year for Suzuki in the United States, with landmark new products like the all-new Hayabusa sport bike and the sport touring GSX-S1000GT+. We look forward to AMA Vintage Motorcycle Days as a celebration of Suzuki’s heritage and as a great opportunity to showcase the excitement Suzuki offers riders today.”

Suzuki Motor Co.’s roots reach back to loom-making in the early 1900s, and by the 1930s it built its first car, and by the early 1950s was building engines for bicycles. Its first motorcycle was the 1954 Colleda, and by the 1960s Suzuki was winning at the Isle of Man and capturing five Grand Prix world titles in the 50cc and 125cc divisions. In the 1970s it was Joel Robert and Roger DeCoster winning multiple world motocross championships with Suzuki, with the 1980s bringing the world-renowned and legendary GSX-R750 and GSX-R1100 to market.

“It’s impossible to quantify the impact Suzuki has had on the motorcycling world since the 1950s,” said AMA Editorial Director Mitch Boehm – who owns a couple of Suzuki GS1000S machines himself. “From the X6 Hustler to the GT750 water buffalo to the GSX-Rs and to today’s new Hayabusa and GSX-S1000GT+ sport tourer, Suzuki has been at the forefront of technology and design, and having them display new and legendary bikes at VMD will be a treat.”

AMA Motorcycle Hall of Famer and 500cc World Champion Kevin Schwantz will serve as Grand Marshal for 2022 AMA Vintage Motorcycle Days. Along with signing autographs and speaking to enthusiasts from the AMA Soundstage, the legendary rider will participate in a Lap for History each day.

The three-day event also includes all the vintage-oriented happenings classic-bike fans love, including bike shows, Hall of Fame activities, Wall of Death motorcycle stunt show, shows by Moto Motion, special seminars by industry leaders and legends, and the largest motorcycle swap meet in North America.

AMA Vintage Motorcycle Days also features vintage roadracing and off-road racing in multiple disciplines. Those who want to register to race or learn more can visit VintageMotorcycleDays.com/page/racing/.

Tickets to AMA Vintage Motorcycle Days may be purchased at MidOhio.com or at the gate.

To learn more about Suzuki, visit SuzukiCycles.com.

For more information visit VintageMotorcycleDays.com, sign up for the AMA VMD newsletter or follow #AMAVMD on social media channels.

About the American Motorcyclist Association

Founded in 1924, the AMA is a not-for-profit member-based association whose mission is to promote the motorcycle lifestyle and protect the future of motorcycling. As the world’s largest motorcycling rights and event sanctioning organization, the AMA advocates for riders’ interests at all levels of government and sanctions thousands of competition and recreational events every year. Besides offering members money-saving discounts on products and services, the AMA also publishes American Motorcyclist, a recently revitalized and monthly full-color magazine (and digital version of same) that covers current events and motorcycle history with brilliant photography and compelling writing. American Motorcyclist is also North America’s largest-circulation magazine. Through the AMA Motorcycle Hall of Fame in Pickerington, Ohio, the AMA honors the heroes and heritage of motorcycling. For more information, visit AmericanMotorcyclist.com.


3 – Investment firm discloses stake in PolarisFrom Powersports Business

Capital World Investors has filed a a 13G form with the Securities and Exchange Commission (SEC) disclosing ownership of shares of Polaris Industries, Inc., according to a report on fintel.io.

Read the report at the link below.
https://fintel.io/news/capital-world-investors-discloses-stake-in-pii-polaris-industries-inc-0.2611833833987556


4 – Taiga Begins Deliveries of Its Orca Electric PWCFrom Motorcycle & Powersports News

Taiga Motors Corp. has announced it initiated deliveries of its Orca personal watercraft. Taiga’s 2022 Orca marks its world’s first electric personal watercraft sale, as the company continues to ramp up production, furthering its legacy of being a pioneer in the electric powersports industry.

“This is a significant moment for the Taiga team, because not only are we kicking off summer with Orca deliveries, but we are proudly marking the milestone of the first-ever mass-produced electric watercraft available to consumers,” said Samuel Bruneau, Taiga CEO. “Years of engineering and testing of our revolutionary electric powertrain platform in snow and water has now come full circle, truly changing how people connect with the outdoors.”

Taiga developed the world’s first performance-focused, commercial, electric, off-road powertrain, pioneering cutting-edge technology to electrify the off-road segment — first installed into its snowmobiles, then adapted and fine-tuned for the Orca personal watercraft. Orca quietly powers through water with up to 120 kilowatts and peak torque from 0 rpm. Orca delivers reliable, linear power for precise performance and ultimate thrills of gliding through the water.

Orca redefines the personal watercraft experience with silent operation, powerful efficiency, no engine maintenance and intelligent connectivity. The Orca Carbon model features a unique carbon fiber composite hull hydrodynamically engineered for dynamic handling with leading power-to-weight ratio and stunning customizable color/finish combinations.

Taiga’s deliveries of the Orca personal watercraft are another achievement in its ongoing mission to electrify the off-road segment, the most challenging and demanding vehicle category. Taiga initiated North American deliveries of its Nomad snowmobile in March, made its European debut in April, and supplied units to Québec’s Parks and Wildlife Reserve Agency, Sépaq in May. Taiga was also recently named Fast Company’s 2022 Best World Changing Idea Overall in North America.  

The Honourable François-Philippe Champagne, minister of innovation, science and industry Canada, congratulated Taiga for this achievement: “Our government has always been a champion for a greener economy. This’s why, last year, we recognized the leading role Taiga is playing in the electrified powersports industry and stepped up to support the manufacturing of their electric vehicles. I’m very pleased to see this Canadian company beginning deliveries of their first-ever electric personal watercraft. We will continue to support Canadian businesses that are on the cutting-edge of green innovation — it’s good for the economy, the environment and Canadians.” 

Pierre Fitzgibbon, minister of economy and innovation for Quebec said, “Taiga is focusing on innovation by allowing users to practice their favorite activity without polluting with this new electric watercraft. For 100 years now, we have been innovating in Quebec by creating off-road vehicles. I am proud that we continue in this direction today with their electrification.”


5 – Volcon Stag preorders exceed $70 million of potential revenueFrom Powersports Business

Volcon Inc. opened pre-production orders for its dealers Monday, June 27 for the Stag, its first all-wheel drive, fully electric UTV. The first all-electric off-road company has received thousands of non-binding pre-production orders which, if ultimately finalized, would result in more than $70 million worth of revenue for the company following delivery.

With an MSRP of $39,999, dealers were required to submit purchase orders directly through Volcon’s sales representatives. The company will continue to accept orders for 2023 model year production from dealers until sold out, at which point Volcon will accept waitlist orders. Pre-orders of the Stag are non-binding and cancellable prior to delivery.  

Volcon Inc. opened pre-production orders for its dealers Monday, June 27 for the Stag, its first all-wheel drive, fully electric UTV.

“We made a conservative estimate concerning sales volumes, having worked closely with our sales and marketing team to identify sales targets for 2023. While we felt confident in our ability to reach our pre-order targets, we’ve been pleasantly surprised to find we are achieving those targets at a faster pace than we had planned,” said Jordan Davis, Volcon, Inc. CEO. “Dealer acceptance has been strong, and it’s clear to us that the powersports community is ready for high performing electric off-road vehicles. The Stag fulfills that desire perfectly.”

On the heels of the better than anticipated pre-order volume, the company has already begun looking at additional solutions to overcome supply chain constraints; however, no assurances can be made that such solutions will be available to the company on economic terms, or at all. 

“The Stag has always been core to the vision of what Volcon could become. That vision has become a reality with the launch this past week,” said Christian Okonsky, co-founder and chief technology officer at Volcon. “The excitement around the Stag has been awesome to watch, and the dealer interest, via their pre-orders, supports the efforts we have made to design and engineer the Stag and build our brand. This is all the more reason for us to continue to pursue leading edge technology solutions by partnering with reputable suppliers, whether it be in drive trains, suspension components, or tires. We’re looking forward to, and deeply focused on, solidifying and deepening our relationships within our supply base and the broader powersports industry.”


6 – ENDING MOTOGP™ AND EWC FACTORY PARTICIPATION AT THE END OF THE 2022 SEASONFrom Suzuki

Team Suzuki Press Office – July 13.

Suzuki Motor Corporation and Dorna have come to an agreement to terminate Suzuki’s participation in MotoGP at the end of the 2022 season. Suzuki will also terminate its factory participation in the World Endurance Championship (EWC) at the end of the 2022 season.

We will continue to race in the 2022 MotoGP and EWC championships, maintaining our maximum efforts to win the remaining races. We aim to continue our support for our customers’ racing activities through our global distributor network.

We would like to express our deepest gratitude to all Suzuki fans who have given us their enthusiastic support and to all those who have supported Suzuki’s motorcycle racing activities for many years.

Quote from Toshihiro Suzuki, Representative Director and President

“Suzuki has decided to end the participation of MotoGP and EWC in the face of the need to re-allocate resources on other initiatives for sustainability. Motorcycle racing has always been a challenging place for technological innovation, including sustainability, and human resource development. This decision means that we will take on the challenge to build the new motorcycle business operation by redirecting the technological capabilities and human resources we have cultivated through the motorcycle racing activities to investigate other routes for a sustainable society.

“I would like to express my deepest gratitude to all our fans, riders and all stakeholders who joined us and enthusiastically supported us from the development stage since we returned to MotoGP racing.

“I will continue to do my best to support Alex Rins, Joan Mir, Team SUZUKI ECSTAR and YOSHIMURA SERT MOTUL to compete competitively until the end of the season.

“Thank you for your kind support.”


7 – National Powersport Auctions expand RV and Marine services nationwide

National Powersport Auctions, NPA, is America’s leading provider of powersports remarketing and auction services. NPA has expanded its designated recreational vehicles and marine services across the nation and is now NPA RV+Marine.

“NPA is excited about broadening our remarketing services to RV and Marine lenders and dealers. We are taking our proven system and evolving it for RV and Marine inventory,” said Jim Woodruff, NPA CEO. The NPA RV+Marine remarketing business will offer the same suite of comprehensive services as their powersports group. NPA’s dedicated RV and Marine team specialize in valuations, logistics, reconditioning, and selling options across the United States. NPA RV+Marine is where dealers, lenders, and financial institutions exchange units and fill inventory demand through live and simulcast auctions, and online auctions 24/7.

NPA’s commitment to better serve the RV and Marine industry was solidified last year with the construction of a new 140,000 sq. ft. Florida facility on 45 acres specifically designed to store and process marine and RV inventory. In addition to the state-of-the-art warehouse, NPA hired industry veteran Matt Amata as Vice President of NPA’s RV and Marine Sales. Amata will be responsible for the growth and expansion of NPA’s RV and Marine business nationwide.

Amata has been involved in the marine industry for more than 20 years, serving as President of National Liquidators for the last decade. “NPA’s values, integrity, investments in infrastructure, technology, training, and unparalleled customer service have consistently set them apart as leaders in the industry. While NPA has been present in the RV and Marine space for over two decades, they are committing all the resources needed to grow and expand this market. I am thrilled to lead that charge,” exclaimed Amata.

Expanding RV and Marine puts NPA in the driver’s seat to accommodate existing clients better as well as bring in new business. NPA has the tools and resources to assist both buyers and sellers of RV and Marine inventory.

Good remarketing times are on the horizon. Go RVing reports that RV ownership was at a record high, with 11.2 million households owning an RV in 2021. According to The National Marine Manufacturers Association, an estimated 100 million Americans go boating each year. NPA is positioned to supply the growing remarketing demand for powersports, RV, and marine vessels now and in the future.


8 – Triumph Motorcycles reveals TE-1 final prototype testing results

Triumph’s TE-1 electric development project has been announced officially complete. The final prototype test results exceed the project objectives and demonstrate the incredible success of the unique collaboration.

triumph
Triumph’s TE-1electric development project has been announced officially complete.
  • 100 Mile Range

Significantly exceeding the real-world range of the equivalent electric motorcycles available today, with a category-leading 100-mile (161 km) range, based on live
testing and official projections

  • 175 HP Peak Power (130 kW / 177PS)

3.6 seconds 0-60mph, and an outstanding 6.2 seconds 0-100mph

  • 20-minute charge time (0-80%)

A game-changing outcome, faster than today’s equivalent electric motorcycles

  • 485 lbs, with an incredible power-to-weight ratio

Up to 25% lighter than comparable electric motorcycles currently available

  • Stunning final prototype that demonstrates Triumph’s class-leading USPs and hints at the exciting future to come for Triumph fans across the world

Pure, unique, and characterful new electric-Triumph soundtrack that builds to a hair-raising crescendo

The ergonomics, geometry, and weight distribution of a Speed Triple, with the scale and visual impact of a Street Triple

Triumph’s signature thrilling feel and neutral handling, with the throttle and torque delivery map equivalent to a Speed Triple 1200 RS

A style and presence that is 100% Triumph, with signature design DNA

The unique collaboration consisted of Triumph Motorcycles, Williams Advanced Engineering, Integral Powertrain Ltd, and WMG, University of Warwick, funded by the Office for Zero Emission Vehicles through Innovate UK. Their objective was to create ground-breaking developments in specialist electric motorcycle engineering and innovative integrated technology design.

The extensive live testing program, which involved numerous assessments of the bike’s performance on the rolling road, as well as on track, provided vital direction into the final set-up and calibration of the TE-1 prototype demonstrator, which has now delivered on all its targets and objectives.

Project Phase Four Complete

Now officially complete, the live testing phase of the Triumph TE-1 project has seen the prototype demonstrator exceed expectations and achieve some incredible outcomes, delivering on all project objectives of accelerating electric motorcycle development and innovation, setting new standards for the sector overall, including final battery and range performance. The expertise and capabilities developed throughout the project now pave the way for the exciting electric future to come from Triumph Motorcycles.

Category-leading 100 Mile range

Exceeding the real-world range of the equivalent electric motorcycles available today, the Triumph TE-1 prototype has achieved all project targets with regards to the energy capacity of the Williams TE-1 project developed battery, with an incredible 100-mile (161 km) range, based on official testing and projections.

Regenerative braking has been successfully implemented for TE-1, with scope for further optimization, as well as greater efficiencies in the motor generator unit and transmission, which could improve the range further for the future of Triumph electric motorcycles.

Performance that matches the Speed Triple 1200, with an even faster 0-100mph

With a level of performance similar to the current Speed Triple 1200, the TE-1 prototype delivers an impressive 175 hp (130kW / 177PS) peak power, as well as peak torque of 80-lb.-ft. (109Nm), for instant responsiveness, smooth controlled power all the way up through the rev range, and a completely exhilarating ride.

The TE-1 has also achieved an incredible standing start acceleration official test result of 3.6 seconds 0-60mph and 6.2 seconds 0-100mph.

With further refinement of the electronics, including the traction control system and front wheel lift control, the team responsible for delivering the TE-1 project anticipate that performance could be enhanced further, harnessing the full torque potential to enable even quicker standing start acceleration.

Daytona 200 Champion Brandon Paasch participated in the final testing phase, both in engine performance evaluation and with the final set-up of the prototype through track testing

“The throttle response on the TE-1 is kind of incredible, it’s very torquey and when you first touch the throttle it’s instant power, which is obviously what I love as a motorcycle racer – I love when it’s super-torquey and picks up right away, so for me it was a really great experience”, said Brandon Paasch, Daytona 200 2021 champion. “I got to peg this thing all the way from zero to 100% throttle and it’s unbelievably quick, it pulls like crazy.”

Game-changing 20-minute charge time

Advances in battery and charging technologies that have been developed as part of the Triumph TE-1 project, in collaboration with Williams Advanced Engineering (WAE), have resulted in a game-changing 20-minute charge time (0-80%), successfully delivering against the ambitious targets laid out by Innovate UK, the government’s research and innovation agency that supports business led R&D funding and UK business growth.

485 pound overall weight

With an overall weight of 485 pounds (220kg), the TE-1 prototype is lighter than the equivalent electric bikes available currently, by up to 25%, giving it an incredible power-to-weight ratio. Having a physical size and scale comparable to a Street Triple, but with the ergonomics, geometry and weight distribution of a Speed Triple, the TE-1 delivers a completely thrilling ride, while being confidence-inspiring, nimble, and compact.

“I wish I’d had this at Daytona, that acceleration in this chassis, and how it corners – wow!” said Paasch. “I think this would be a really nice motorcycle to ride on the street, just based on how nimble and agile it is, and how light it feels.”

Triumph’s signature thrilling feel and neutral, confidence-inspiring handling

With a throttle action and torque delivery map directly engineered from a Speed Triple 1200 RS, the track testing and dynamic rider assessments on the TE-1 prototype demonstrator deliver a level of handling that matches Triumph’s current triple cylinder internal combustion sports performance motorcycles.

The TE-1’s exhilarating level of performance and acceleration, combined with its engaging and dynamic riding package, result in a bike that delivers all of Triumph’s signature feel, and world-renowned neutral handling – a smooth, predictable ride, that is agile and nimble, great in the corners, with a controllable power that incites confidence and guarantees fun.

A pure, unique, and characterful new electric-Triumph soundtrack that builds
to a hair-raising crescendo

Distinctive and thrilling soundtrack, building to the most spine-tingling crescendo – the Triumph TE-1 prototype’s pure and distinctive sound is considered to be one of the most appealing and exciting, thanks to its unique helical gear pair primary transmission.

With noise levels tested at Mira’s external noise measurement facility, the TE-1 successfully achieved all noise standards set by the R41 homologation tests for wide open throttle, cruising and urban.

A style and presence that is 100% Triumph, with signature design DNA

Instantly recognizable as a Triumph, the TE-1 prototype’s muscular presence utilizes signature design cues from the brand’s iconic modern history of performance motorcycles, while clearly being a bike of the future. Now updated with its final body panels and paint scheme, the prototype demonstrator brings a style and presence that is 100% Triumph, with all the brand’s signature design DNA, from its aluminum frame to its distinctive twin headlights and head-down focused stance and poise.

Project TE-1 Completion

“We have already seen an incredibly positive reaction to the TE-1 prototype from motorcyclists all around the world, where many people are telling us that for the first time, they are seeing an electric motorcycle as desirable, and something that they would genuinely want to own,” said Steve Sargent Triumph Motorcycles Chief Product Officer. “Being the first step in our journey towards developing our future approach to electric powertrain technology, the TE-1 prototype and the incredible results it has achieved in its intensive testing program has provided crucial insights and capabilities that will ultimately guide our future development. Of course, the final production motorcycle will not be exactly what you see here today, but rest assured, the models we do develop will encompass all its learnings and its exciting dynamic spirit.”

Overall, the key objective of the TE-1 project has always been focused on developing electric motorcycle capability, to provide an input into Triumph’s future electric motorcycle offering, driving innovation, capability, and new intellectual property, and enhancing the credibility and profile of British industry and design.

The achievements in the live testing phase, exceeding current benchmarks and targets, provide a platform with great potential for future development in electric motorcycle performance.

“We are incredibly proud to be able to share such positive outcomes from the completion of Project Triumph TE‑1, where the prototype demonstrator has exceeded many of our initial targets and expectations,” said Nick Bloor, Triumph Motorcycles CEO. “Everyone on the team is thrilled with the results we have achieved with our partners, and how the outcomes of the project will feed into the electric future to come from Triumph.”

Williams Advanced Engineering (WAE)

“WAE are delighted to have been involved in this exciting program to deliver the TE-1 prototype,” said Dyrr Ardash, Head of Strategic Partnerships at Williams Advanced Engineering. “Since its conception in 2018, all the partners have worked with collaboration, innovation, and passion to bring the boundary breaking prototype to life. It is pleasing to hear positive rider comments which confirm that the dynamics of the bike are aligned with Triumph’s DNA. This has been underpinned by the class leading Battery and Control System that WAE has produced within a lightweight and integrated package. This core WAE technology has allowed us to exceed performance and charging targets for the battery which we look forward to seeing in future powertrains.”

Integral Powertrain Ltd.’s E-Drive Division

“We’re delighted to see the final TE-1 motorcycle testing phase completed and with that, further validation of the performance and efficiency of our Scalable Ultra-Integrated Motor and Inverter.” Said Andrew Cross, Integral Powertrain Ltd. Chief Manager. “For the TE-1 application, the motor has achieved peak and continuous power densities of 13kW/kg and 9kW/kg respectively; 60% higher than APC technology roadmap targets for 2025. All this has been achieved using materials and processes compatible with volume automotive production and on a length scalable motor platform. The motor scalability concept deployed on TE-1 has provided a springboard for a new scalable motor architecture, to be announced later this year, which will provide similar performance levels but much greater manufacturing scale than previously.

The ultra-integrated inverter concept, also scalable such that the number of Silicon-Carbide power stages increases for larger diameter motors has really delivered on performance (capable of >500kW) and gives us the opportunity to optimize for production or meet much higher power requirements.

We’re really proud to have been a key part of this exciting project which has been a landmark for electric motorcycles and British industry.”

WMG, University of Warwick

“To meet our ambitious emission reduction targets in the UK we will have to rethink the way we travel, not only transitioning from ICE to electric propulsion vehicles, but also encouraging a modal shift away from private cars,” said Professor David Greenwood, University of Warwick CEO and WMG centre High Value Manufacturing Catapult. “Electric two wheelers have a pivotal role to play in the transport revolution as a zero-tailpipe emission option.

In our partnership with Triumph, WMG used our research experience in electrification to demonstrate manufacturers can deliver products with a lower emission burden as well as outstanding performance-offering customers an EV that is great fun to ride.”


9 – AMA Announces Additional Sponsors for 2022 AMA Vintage Motorcycle Days

With less than a week until the start of the 2022 AMA Vintage Motorcycle Days presented by Royal Enfield, EBC Brakes has been named the Official Brakes Sponsor, while Fasthouse takes the title of Official Apparel for the July 22-24 event at Mid-Ohio Sports Car Course in Lexington, Ohio.

EBC Brakes is an independently owned and managed leader in the brake market. With two specialist factories in the United States and United Kingdom, EBC Brakes produces the largest range of brake pads and brake discs in the world.

Focusing on the roots of motorcycling while feeding the passion of today, Fasthouse is a lifestyle brand that focuses on manufacturing off-road and mountain bike riding gear and casual wear.

“It’s great to have both EBC Brakes and Fasthouse on board as we celebrate the 30th running of VMD,” said AMA Editorial Director Mitch Boehm. “A lot goes into making this event special, and with the help of our sponsors, this year’s VMD is looking like it’ll be better than ever.”

AMA Motorcycle Hall of Famer and 500cc World Champ Kevin Schwantz will serve as Grand Marshal for 2022 AMA Vintage Motorcycle Days. Along with signing autographs and speaking to enthusiasts from the AMA Soundstage, the legendary rider will participate in a Lap For History each day.

The three-day event will also include all the vintage-oriented happenings classic-bike fans love, including Hall of Fame activities, the AMA Hall of Fame Bike Show, Wall of Death and Moto Motion stunt shows, and more. Add to that the scenic and expansive Mid-Ohio grounds, plenty of food and refreshments, camping and vintage motorcycles for as far as the eye can see, and it’s easy to see why AMA VMD is one of the biggest and best events in all of motorcycling.

AMA Vintage Motorcycle Days features vintage roadracing and off-road racing in multiple disciplines, too. Those interested in registering to race or learning more can go to VintageMotorcycleDays.com/page/racing/.

For more information on EBC Brakes, visit EBCBrakes.com.

Additional information about Fasthouse can be found at Fasthouse.com.

For more information visit VintageMotorcycleDays.com, sign up for the AMA VMD newsletter or follow #AMAVMD on social media channels. Tickets can be purchased at MidOhio.com/tickets or at the gate.


10 – Dainese announces partnership with MomodesignFrom Powersports Business

Dainese has announced its partnership with the Italian Momodesign brand, which will offer Dainese’s advanced expertise, technologies and materials blended with Momodesign’s distinctive, contemporary, and metropolitan style. The agreement involves creating a new range of apparel, footwear, helmets and accessories dedicated to urban mobility and the outdoors.

The partnership between Dainese and Momodesign springs from a desire to address contemporary urban individuals who bring high intensity to their life in the city, and who need the freedom to get around by motorbike, bicycle, and the micro-mobility vehicles of the future. These are savvy, demanding consumers, searching for a casual look that’s right for every urban and outdoor context, with technology and functionality built-in for taking on every situation confidently and in style. ​ 

“Dainese and Momodesign share a common goal to spread Italian design and quality worldwide, offering support among the challenges of modern urban mobility,” said Cristiano Silei, CEO of Dainese. “I welcome the partnership with this prestigious brand with great enthusiasm, and I’m sure that our brands, united by shared values, will enhance the range that we offer our customers still further.” 

“Innovation and style have always underpinned Momodesign’s strategy,” said Paolo Cattaneo, Managing Director of Momodesign. “We are proud to be able to collaborate with Dainese, a leading global company that will be able to add even more value to our identity with the development of the brand at an international level. I have always had a clear vision for our brand and its unique DNA. Now, this collaboration will mean that Momodesign can express its full potential. It’s a vision that translates into an idea of the future, where urban mobility will be increasingly important and young people the major players. At such a particular time in history, when urban mobility represents an opportunity for development and consumer expectations are evolving at an unrelenting pace, collaboration with Dainese is fundamental. They can boast of a culture of innovation, experimentation, and safety. We’ll put 100 percent of our effort into this project, through the skills of our team and the expertise of the Style Center. Dainese and Momodesign – two companies with deep roots in Italy that share an unmatched cultural approach.” ​
​​
​The Momodesign brand licensing agreement on the part of Dainese will result in new collections of apparel, footwear, helmets and accessories dedicated to urban and outdoor use. The products, designed by the Momodesign style center and engineered and manufactured by Dainese, will be available at Dainese stores worldwide, online and in selected sales outlets.


11 – CFMOTO introduces revamped headquarters operationsFrom Powersports Business

CFMOTO provides a closer look at its headquarters buildings after 33 years in business in Hangzhou, China, in a recent Instagram post. The post features impressive images from inside the campus. And we found a few old-school snaps just for fun!

READ THE ENTIRE POST – https://powersportsbusiness.com/top-stories/2022/07/14/cfmoto-introduces-revamped-headquarters-operations/


12 – E-Bike Category Manager named for Parts UnlimitedFrom Powersports Business

Parts Unlimited has announced the promotion of Mike Ralph, who has accepted the E-Bike Category Manager position.

Ralph joined LeMans Corporation a few months prior as the first specific hire in the E-Bike category as a Key Account Representative and as a Product Specialist. As the electric industry has expanded, so has the need for a category manager. Ralph has several years of management experience related to bicycles and other wheeled sports. He is an E-bike enthusiast, Vespa rider and he has owned various dual-sport and street bikes. In his spare time, Ralph enjoys camping, kayaking, jogging, visiting theme parks, taking family trips and playing with is four dogs.

Parts Unlimited has announced the promotion of Mike Ralph, who has accepted the E-Bike Category Manager position.

13 – Arrowhead Engineered Products announces agreement to acquire European distributorFrom Powersports Business

Arrowhead Engineered Products has entered into an agreement to acquire all of Bihr equity. Arrowhead has been a shareholder of Bihr, which is a leading European distributor of parts, accessories and rider equipment for motorcycles, quads/ATVs, bicycles and scooters.

This transaction is subject to Works Council consultation and relevant regulatory review and approval. The anticipated closing is the third quarter of 2022. Headquartered in Kontich, Belgium, Bihr is present in 20 countries and wholesales 350 brands and over 200,000 SKUs to a network of 15,150 retail dealers.

Alcopa, with other shareholders, invested in Bihr in 2010 and spearheaded the company’s European development from its origins in France. They have been convinced by the strong rationale behind the acquisition by Arrowhead, which will create a truly global leader in a consolidating industry. This will generate a wealth of growth opportunities for Bihr, its customers, and its employees.

The combined power of Bihr and their 24-hour European delivery time with Arrowhead’s ever-expanding brands, global distribution footprint and growth strategy will create a powerful team giving dealers a wider selection of readily available products.


This Week in Powersports Business – The week of July 3, 2022

This Week in Powersports Business – The week of July 3, 2022

Here are a couple of stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – Vista Outdoor Enters into Definitive Agreement to Acquire Fox Racing

Vista Outdoor Inc. (“Vista Outdoor”) (NYSE: VSTO), the parent company of 39 renowned brands that design, manufacture and market sporting and outdoor products to consumers around the globe, today announced that it has entered into a definitive agreement to acquire Irvine, Calif.-based Fox Racing, a global icon in performance motocross, mountain bike and lifestyle gear for adventure seekers. The purchase price is $540 million, with the potential for an additional $50 million earnout based on Fox Racing’s financial performance.

For 50 years, Fox Racing has been a leading voice in the motocross and adventure community, with a dedicated consumer following and talented group of employees that embody the brand’s mission to “honor yesterday, conquer today, and invent tomorrow.” Fox Racing’s deep history of producing innovative gear that enables racers and explorers to reach new heights aligns perfectly with Vista Outdoor’s existing portfolio of leading outdoor brands. Fox Racing grew net sales by a compound annual growth rate of approximately 20% from calendar year 2019 to 2021 and is expected to grow in excess of that in calendar year 2022.

“Over the last four years, we have built a diversified portfolio of iconic outdoor brands led by a proven leadership team that continues to execute well and drive strong results for our shareholders,” said Chris Metz, Vista Outdoor CEO. “With the acquisition of Fox Racing, we are continuing the successful implementation of our strategy to use accretive acquisitions to expand our leadership position and ability to capitalize on long-term growth opportunities in outdoor recreation. The Fox Racing acquisition meets all of our financial and strategic acquisition criteria, even before taking into account potential benefits from combining Fox Racing with our existing business. I am pleased that we have been able to continue to add category-leading brands like Fox Racing to our portfolio while maintaining a strong balance sheet and reinvesting in our existing business to drive organic growth.

“Fox Racing is an ideal fit for our portfolio with a reputation for high quality helmets, protective gear and apparel for motocross and mountain biking. Motocross and mountain biking are growing and familiar categories for Vista Outdoor. Fox Racing is synergistic to our existing action sports business unit, which includes Bell Helmets, Giro, Blackburn, Krash, Copilot and Raskullz. The addition of Fox Racing to our portfolio will allow us to target multiple consumer demographics across mountain and road biking, skiing/snowboarding, and powersports. We expect that Fox Racing and our legacy teams will find multiple opportunities to leverage core competencies, enhance supply chain efficiency and resiliency, and better serve our customers and consumers to drive future growth. We believe that the combined platform will make each business stronger and more profitable tomorrow than they are today, while allowing us to continue to deliver long-term returns for shareholders. Following our separation, which was previously announced on May 5th, we expect to be one of the largest outdoor recreation companies in the industry,” concluded Metz.

Jeffrey McGuane, CEO of Fox Racing, will continue to lead the company following the closing of the acquisition, as will all of Fox Racing’s leadership team.

“We’re excited to join the Vista Outdoor family,” McGuane said. “Together we can leverage the heritage of our leading brands, enjoy new supply chain synergies, expand our deep and established channels and target an expanded customer base. Combined with enhanced access to capital for innovation and scale, we believe this transaction is a win-win for all involved. Vista Outdoor’s leadership team has proven they have an effective, repeatable acquisition model, making Vista Outdoor the clear acquirer of choice for Fox Racing. It is not often that an acquired company can remain true to its culture and customer base, while also tapping into the benefits of Vista Outdoor’s Centers of Excellence, vast retail partnerships, innovation engines and a leadership team that enables a founder’s mentality and results-driven culture. Needless to say, we are thrilled about this next chapter for Fox Racing.”

Fox Racing will be part of Vista Outdoor’s Outdoor Products segment and will be included in the new Outdoor Products Company upon the completion of the previously announced separation.

Details on the Proposed Transaction

Vista Outdoor has agreed to pay a gross purchase price of $540 million, subject to certain customary closing adjustments and not including contingent incentives of up to $50 million, upon the achievement of certain EBITDA targets. For calendar year 2022, Fox Racing’s full-year net sales and adjusted EBITDA are expected to be approximately $350 million and $55 million, respectively. Vista Outdoor expects the transaction to be immediately accretive to earnings, excluding transaction costs, transition costs and inventory step-up.

Vista Outdoor expects to finance this acquisition through a combination of a $600 million asset-based revolving credit facility, which will replace Vista Outdoor’s existing asset-based revolving credit facility, and a $350 million secured term loan facility. Vista Outdoor expects to close the transaction in the second fiscal quarter of FY 2023, subject to the receipt of regulatory approvals and other customary closing conditions. Following the closing of this transaction, Vista Outdoor’s leverage ratio is expected to be below 1.5 times, well within the target leverage ratio of one to two times.

Vista Outdoor will provide updated fiscal 2023 guidance when it reports first quarter fiscal 2023 earnings on July 28, 2022, which is in line with historical cadence.

Robert W. Baird & Co. served as financial advisor and Ropes & Gray LLP served as legal advisor to Fox Racing.

Morgan Stanley & Co. LLC served as financial advisor and Reed Smith LLP served as legal advisor to Vista Outdoor in connection with the transaction. JPMorgan Chase Bank, N.A. is also providing financing advice to Vista Outdoor and together with Capital One, N.A. are serving as joint lead arrangers and bookrunners and Cravath, Swaine & Moore LLP served as legal advisor to Vista Outdoor in connection with the financing for the transaction.

Additional Materials

For additional information about Fox Racing and the definitive agreement, please view the Fox Racing Acquisition Presentation by clicking here, and the Fox Racing Acquisition Infographic by clicking here.

Vista Outdoor plans to report its first quarter fiscal year 2023 financial results on Thursday, July 28, 2022, at 5:00 a.m. EDT. In addition to the results, which will be published on Vista Outdoor’s website, the company expects to discuss its outlook and financial guidance and may discuss matters of strategy during the earnings conference call which will be held at 9:00 a.m. EDT.

Please refer to our press release titled ‘Vista Outdoor to Release First Quarter Fiscal 2023 Financial Results’ for the earnings webcast and replay information.

About Fox Racing

Since 1974, when Geoff Fox first introduced the world to our iconic logo, Fox Racing has been all about family. Not just in name—a legacy that continues to this day—but the idea of celebrating and sharing the passion of life on two wheels with the world. This is what drives us, inspires us, and keeps us close. Because “skulk” is more than just a word for a family of foxes—it’s the adventure, the fidelity of friends, and everything that happens along the way.

About Vista Outdoor Inc.

Vista Outdoor (NYSE: VSTO) is the parent company of more than three dozen renowned brands that design, manufacture and market sporting and outdoor products. We serve a broad and diverse range of consumers around the globe, including outdoor enthusiasts, golfers, cyclists, backyard grillers, campers, hunters, recreational shooters, athletes, as well as law enforcement and military professionals. Our reporting segments, Outdoor Products and Sporting Products, provide these consumers with a wide range of performance-driven, high-quality and innovative outdoor and sporting products. Our operating model leverages shared resources across brands to achieve levels of excellence and performance that would be out of reach for any one brand on its own. Brands include Remington Ammunition, Bushnell, CamelBak, Bushnell Golf, Foresight Sports, Fiber Energy Products, Bell Helmets, Camp Chef, Giro, QuietKat, Stone Glacier, Federal Ammunition and more. Vista Outdoor products are sold at leading retailers and distributors across North America and worldwide. For news and information, visit our website at www.vistaoutdoor.com.

Forward-Looking Statements

Certain statements in this press release and other oral and written statements made by Vista Outdoor from time to time are forward-looking statements, including those that discuss, among other things: Vista Outdoor’s plans, objectives, expectations, intentions, strategies, goals, outlook or other non-historical matters; projections with respect to future revenues, income, earnings per share or other financial measures for Vista Outdoor; and the assumptions that underlie these matters. The words ‘believe’, ‘expect’, ‘anticipate’, ‘intend’, ‘aim’, ‘should’ and similar expressions are intended to identify such forward-looking statements. To the extent that any such information is forward-looking, it is intended to fit within the safe harbor for forward-looking information provided by the Private Securities Litigation Reform Act of 1995. Numerous risks, uncertainties and other factors could cause Vista Outdoor’s actual results to differ materially from expectations described in such forward-looking statements, including the following: impacts from the COVID-19 pandemic on Vista Outdoor’s operations, the operations of our customers and suppliers and general economic conditions; general economic and business conditions in the United States and Vista Outdoor’s other markets outside the United States, including conditions affecting employment levels, consumer confidence and spending, conditions in the retail environment, and other economic conditions affecting demand for our products and the financial health of our customers; Vista Outdoor’s ability to attract and retain key personnel and maintain and grow its relationships with customers, suppliers and other business partners, including Vista Outdoor’s ability to obtain acceptable third party licenses; Vista Outdoor’s ability to adapt its products to changes in technology, the marketplace and customer preferences, including our ability to respond to shifting preferences of the end consumer from brick and mortar retail to online retail; Vista Outdoor’s ability to maintain and enhance brand recognition and reputation; others’ use of social media to disseminate negative commentary about us and boycotts; reductions in or unexpected changes in or our inability to accurately forecast demand for ammunition, accessories or other outdoor sports and recreation products; risks associated with Vista Outdoor’s sales to significant retail customers, including unexpected cancellations, delays and other changes to purchase orders; supplier capacity constraints, production disruptions or quality or price issues affecting Vista Outdoor’s operating costs; Vista Outdoor’s competitive environment; risks associated with diversification into new international and commercial markets including regulatory compliance; changes in the current tariff structures; the supply, availability and costs of raw materials and components; increases in commodity, energy and production costs; changes in laws, rules and regulations relating to Vista Outdoor’s business, such as federal and state ammunition regulations; Vista Outdoor’s ability to realize expected benefits from acquisitions and integrate acquired businesses; Vista Outdoor’s ability to execute our strategic transformation plan, including our ability to realize expected benefits from the successful divestiture of non-core brands and profitability improvement initiatives; Vista Outdoor’s ability to take advantage of growth opportunities in international and commercial markets; foreign currency exchange rates and fluctuations in those rates; the outcome of contingencies, including with respect to litigation and other proceedings relating to intellectual property, product liability, warranty liability, personal injury and environmental remediation; risks associated with cybersecurity and other industrial and physical security threats; capital market volatility and the availability of financing; changes to accounting standards or policies; and changes in tax rules or pronouncements. You are cautioned not to place undue reliance on any forward-looking statements we make. Vista Outdoor undertakes no obligation to update any forward-looking statements except as otherwise required by law. For further information on factors that could impact Vista Outdoor, and statements contained herein, please refer to Vista Outdoor’s filings with the Securities and Exchange Commission.

Altamont Capital Partners Announces Definitive Agreement to Sell Fox Racing to Vista Outdoor

Altamont Capital Partners announced today that it has entered into a definitive agreement to sell Fox Racing, a leading global performance motocross, mountain bike and lifestyle gear brand, to Vista Outdoor Inc. (NYSE: VSTO). Altamont originally invested in Fox via majority recapitalization in 2014.

“Altamont has been proud to partner with the Fox Racing team to build upon the legacy and leadership of the brand,” said Altamont Capital Partners Co-Founder and Managing Director Keoni Schwartz. “Altamont believes in making purposeful, long-term investments that allow us to build strong businesses through collaborative work with our partners. We are grateful for the leadership of CEO Jeff McGuane and all the efforts of the entire Fox Racing family. We are proud of what we accomplished together over the course of our partnership.”

Kabir Mundkur, a Principal at Altamont, added, “Fox Racing has long been recognized as an iconic outdoor brand. We saw an opportunity to support continued innovation, invest in strategic distribution and enhance brand engagement. We are confident that Fox Racing is well positioned for continued success in this next chapter of growth.”

“Our partnership with Altamont has been crucial in strengthening our brand, driving growth, and building on a successful legacy that dates back to 1974,” said Fox Racing CEO Jeff McGuane. “Altamont has been a great partner supporting our business and our employees and has put us in a position for continued success going forward. We’re grateful to Altamont for their support and excited for the future as part of the Vista Outdoor family.”

Through its partnership with Altamont, Fox Racing’s projected revenue will reach approximately $350 million in calendar year 2022. Fox Racing grew net sales by a compound annual growth rate of approximately 20 percent from calendar year 2019 to 2021 and is expected to exceed that number this year. The terms of the sale were disclosed at $540 million with an additional $50 million in potential earnout. The transaction is expected to close in the third quarter of calendar year 2022.

Robert W. Baird & Co. acted as financial advisor and Ropes & Gray provided legal advice to Fox Racing and Altamont Capital Partners on the transaction. Morgan Stanley & Co. LLC served as financial advisor and Reed Smith LLP served as legal advisor to Vista Outdoor in connection with the transaction.

About Altamont Capital Partners

Altamont Capital Partners is a private investment firm based in the San Francisco Bay Area with more than $4.5 billion of assets under management. Altamont is focused on investing in middle-market businesses where it can partner with leading management teams to help its portfolio companies reach their full potential. The firm’s principals have significant experience building business success stories across a range of industries, including financial services, healthcare, business services, consumer/retail, and industrials.

About Fox Racing

Since 1974, when Geoff Fox first introduced the world to our iconic logo, Fox Racing has been all about family. Not just in name—a legacy that continues to this day—but the idea of celebrating and sharing the passion of life on two wheels with the world. This is what drives us, inspires us, and keeps us close. Because “skulk” is more than just a word for a family of foxes—it’s the adventure, the fidelity of friends, and everything that happens along the way.

About Vista Outdoor Inc. Vista Outdoor (NYSE: VSTO) is the parent company of more than three dozen renowned brands that design, manufacture and market sporting and outdoor products. We serve a broad and diverse range of consumers around the globe, including outdoor enthusiasts, golfers, cyclists, backyard grillers, campers, hunters, recreational shooters, athletes, as well as law enforcement and military professionals. Our reporting segments, Outdoor Products and Sporting Products, provide these consumers with a wide range of performance-driven, high-quality and innovative outdoor and sporting products. Our operating model leverages shared resources across brands to achieve levels of excellence and performance that would be out of reach for any one brand on its own. Brands include Remington Ammunition, Bushnell, CamelBak, Bushnell Golf, Foresight Sports, Fiber Energy Products, Bell Helmets, Camp Chef, Giro, QuietKat, Stone Glacier, Federal Ammunition and more. Vista Outdoor products are sold at leading retailers and distributors across North America and worldwide. For news and information, visit our website at www.vistaoutdoor.com.


2 – Nic Moncher joins Hoosier Racing Tire as the New Head of Marketing – From Hoosier Tires

Hoosier Racing Tire, the world’s largest manufacturer of racing tires, welcomes Nic Moncher to head up the newly established marketing department.

Nic will be responsible for developing business plans that support the company’s strategic targets, supporting sales concepts and expanding promotional marketing strategies to drive growth. In addition, he will help with overall brand development and strengthening of the brand in the global marketplace.

Nic_Moncher_headshot
Nic Moncher

Nic holds a degree in Business Management with a concentration in Marketing and Communications from Belmont Abbey College. He also brings many years of marketing experience in the racing industry working with several major racing teams based in North Carolina.

“I am excited about the appointment of Nic. I am convinced he will further advance our marketing vision and ambitious growth plan,” said Joerg Burfien, President and CEO of Hoosier Racing Tire Corp. “Nic’s history in the motorsports industry and passion for racing is the perfect combination to accelerate our brand development and marketing initiatives.”

“I’m honored to be joining the Hoosier Racing Tire family and becoming part of the world’s largest manufacturer of racing tires,” said Nic Moncher. “Over the years their storied brand has become synonymous with racing. I am excited about having the opportunity to drive this brand globally.”

Today, Hoosier Racing Tire is the largest race tire manufacturer in the world, producing over 1,000 different tire specifications. The company has its own state-of-the-art, fully integrated production facilities, recently adding a high-tech mixing plant, with enough capacity to produce not only for Hoosier Racing Tire, but to have the ability to produce rubber for additional entities as well as a model sales and distribution network. With hundreds of race winners crowned annually. Our mission is to fuel passion, pride and success.

For more information on Hoosier racing tires, contact your nearest Hoosier Racing Tire Distributor. A complete list of locations can be found at www.hoosiertire.com. Follow us on Facebook and Instagram.

TIRES DESIGNED FOR CHAMPIONS

Hoosier Racing Tire is the largest race tire manufacturer in the world. Hoosier has grown to produce over 1,000 different types of race tires. The company has its own 300-mph test wheel; a technology center; state-of-the-art, fully-integrated production facilities recently adding a high-tech mixing plant, with enough capacity to produce not only for Hoosier Racing Tire, but to have the ability to produce rubber for additional entities as well as a model sales and distribution network. Hoosier Racing Tire is a 100% subsidiary of Continental AG.

Continental develops pioneering technologies and services for sustainable and connected mobility of people and their goods. Founded in 1871, the technology company offers safe, efficient, intelligent and affordable solutions for vehicles, machines, traffic and transportation. In 2020, Continental generated sales of €37.7 billion and currently employs more than 192,000 people in 58 countries and markets. On October 8, 2021, the company celebrated its 150th anniversary.


3 – Gold Wing Road Riders Association closing after 45 yearsFrom Powersports Business

Founders of the Gold Wing Road Riders Association, Paul Hildebrand and Shirley Stevens-Garcia, announced that the organization will be closing July 31. The announcement was made during the GWRRA annual Wing Ding opening ceremonies. American Honda is saddened by the news and thanks the GWRRA for its dedication to one of Honda’s most iconic models. In the interim, it will offer prorated refunds on prepaid memberships.

Founded in 1977, the GWRRA grew through the heyday of motorcycle touring to the point that it eventually had approximately 80,000 members in 53 countries, and with over 800 active chapters managed by 4,000 volunteer leaders. Headquartered in Phoenix, Arizona, the GWRRA has called itself “the world’s largest single-marque social organization for owners of Honda Gold Wing/Valkyrie motorcycles,” and it adopted the motto “Friends for Fun, Safety and Knowledge.”

A dedicated, family-like group that published its own magazine (Wing World, whose September issue will be the last), the GWRRA worked hard to improve the image of motorcycling. It prided itself in being a not-for-profit, nonreligious, and non-political organization, whose members have covered a broad spectrum of backgrounds, but who were unified by a love for owning and riding Honda’s legendary touring model, the Gold Wing.

“We would like to thank our members, vendors and advertisers for 45 years of unwavering support,” said Abel Gallardo, COO of GWRRA. “We truly could not have made it this far without all of you. To our rider-education program, we cannot begin to place a number on the lives touched by your efforts. To our leadership-training and motorist-awareness programs, thank you for educating our members, officers and public to keep our riders safe and enjoying the ride.”

“For nearly five decades, the GWRRA has set the powersports standard for a grassroots organization based on a single model, and Honda will be forever grateful for the enthusiasm the club’s members demonstrated and generated for the Gold Wing,” said Bill Savino, American Honda Senior Manager of Customer Engagement. “While the GWRRA’s closure is undeniably the end of an era, we want to make sure their members and all Gold Wing enthusiasts know that Honda remains committed to the Gold Wing model and these customers for years to come.”


4 – American Honda Salutes 45 Years of GWRRAFrom American Honda

ALPHARETTA, GA – July 7, 2022

  • Gold Wing Road Riders Association to shut doors
  • Announcement made at final edition of Wing Ding

Gold Wing Road Riders Association founders Paul Hildebrand and Shirley Stevens-Garcia announced last week during Wing Ding opening ceremonies that the organization will be closing. American Honda is saddened by the news and thanks the GWRRA for its dedication to one of Honda’s most iconic models.

Founded in 1977, the GWRRA grew through the heyday of motorcycle touring to the point that it eventually had approximately 80,000 members in 53 countries, and with over 800 active chapters managed by 4,000 volunteer leaders. Headquartered in Phoenix, Arizona, the GWRRA has called itself “the world’s largest single-marque social organization for owners of Honda Gold Wing/Valkyrie motorcycles,” and it adopted the motto “Friends for Fun, Safety and Knowledge.” A dedicated, family-like group that published its own magazine (Wing World, whose September issue will be the last), the GWRRA worked hard to improve the image of motorcycling and prided itself in being a not-for-profit, nonreligious, non-political organization whose members covered a broad spectrum of backgrounds, but who were unified by a love for owning and riding Honda’s legendary touring model, the Gold Wing.

“We would like to thank our members, vendors and advertisers for 45 years of unwavering support,” said Abel Gallardo, COO of GWRRA. “We truly could not have made it this far without all of you. To our rider-education program, we cannot begin to place a number on the lives touched by your efforts. To our leadership-training and motorist-awareness programs, thank you for educating our members, officers and public to keep our riders safe and enjoying the ride.”

The GWRRA will officially close on July 31. In the interim, it will offer prorated refunds on prepaid memberships.

“For nearly five decades, the GWRRA has set the powersports standard for a grassroots organization based on a single model, and Honda will be forever grateful for the enthusiasm the club’s members demonstrated and generated for the Gold Wing,” said Bill Savino, American Honda Senior Manager of Customer Engagement. “While the GWRRA’s closure is undeniably the end of an era, we want to make sure their members and all Gold Wing enthusiasts know that Honda remains committed to the Gold Wing model and these customers for years to come.”

About American Honda

American Honda Motor Co., Inc., is the sole distributor of Honda motorcycles, scooters, ATVs and Side-by-Sides in the United States. American Honda’s Powersports Division conducts the sales, marketing and operational activities for these products through independent authorized Honda retail dealers. For more information on Honda products, go to powersports.honda.com.


5 – BRP Entered into a Definitive Agreement to Acquire Great Wall Motor Austria – Reinforcing its Know-How in Electric Vehicles TechnologyFrom BRP, Inc.

VALCOURT, QUEBEC, CANADA – July 7, 2022 – BRP (TSX: DOO, NASDAQ: DOOO) announced today that it has entered into a definitive agreement to acquire Great Wall Motor Austria GmbH, a subsidiary of Great Wall Motor based in Baoding, China. This leading EV R&D centre based in Kottingbrunn, Austria, specializes in e-drive systems and transmissions and currently employs highly skilled individuals who will receive ongoing employment as part of this agreement.

“We look forward to welcoming the 53 very qualified and experienced engineers, technicians and professionals as we continue reinforcing our EV expertise required to deploy our ambitious strategy. This acquisition will further strengthen our know-how in e-motor, inverter hardware and software development”, said Thomas Uhr, Chief Technology Officer of BRP.

Located near Vienna, Austria, this new EV R&D hub is ideally situated to attract top talent from nearby universities and research centres.

The transaction is subject to customary closing conditions, including the receipt of Austrian regulatory approvals and is expected to close by the end of Q2 this fiscal year.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

Certain information included in this release, including, but not limited to, statements relating to the completion of the acquisition of Great Wall Motor Austria GmbH, the anticipated benefits associated with the completion of this acquisition, the receipt of all requisite approvals to complete the acquisition, the closing date of the acquisition and the Company’s business and strategic plans, and other statements that are not historical facts, are “forward-looking statements” within the meaning of Canadian and United States securities laws. Forward-looking statements are typically identified by the use of terminology such as “may”, “will”, “would”, “should”, “could”, “expects”, “forecasts”, “plans”, “intends”, “trends”, “indications”, “anticipates”, “believes”, “estimates”, “outlook”, “predicts”, “projects”, “likely” or “potential” or the negative or other variations of these words or other comparable words or phrases. Forward looking statements, by their very nature, involve inherent risks and uncertainties and are based on several assumptions, both general and specific. BRP cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of BRP to be materially different from the outlook or any future results or performance implied by such statements. Further details and descriptions of these and other factors are disclosed in BRP’s annual information form dated March 24, 2022.

About BRP

We are a global leader in the world of powersports products, propulsion systems and boats built on 80 years of ingenuity and intensive consumer focus. Our portfolio of industry-leading and distinctive products includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on and off-road vehicles, Alumacraft and Quintrex boats, Manitou pontoons and Rotax marine propulsion systems as well as Rotax engines for karts and recreational aircraft. We complete our lines of products with a dedicated parts, accessories and apparel portfolio to fully enhance the riding experience. With annual sales of CA$7.6 billion from over 120 countries, our global workforce includes close to 20,000 driven, resourceful people.

www.brp.com
@BRPNews

Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Alumacraft, Manitou, Quintrex and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners.


6 – Texas UTV market attracts new distribution centerFrom Powersports Business

A manufacturer’s new regional distribution center in Gainesville, Texas, will check in at 54,000 square-feet to meet demands of side-by-side and tractor sales in the state.

“This investment demonstrates Yanmar’s continuing commitment to the important Texas market,” said Yanmar America president, Jeff Albright. “With this new regional distribution center, Yanmar America is committed to offering exceptional purchase and ownership experiences to our customers and we will continue to support our dealer partners to provide parts and service support.”

READ THE ENTIRE POST HERE – https://powersportsbusiness.com/top-stories/2022/07/07/texas-utv-market-attracts-new-distribution-center/


This Week in Powersports Business – The week of June 26, 2022

This Week in Powersports Business – The week of June 26, 2022

Here are a couple of stories that came across my desk that I think are relevant and interesting to the powersports business community.


1 – U.S. PWC May retail registrations declined vs. May 2021: SSI – From Powersports Business

BMO Capital Markets analyst Gerrick Johnson has provided Powersports Business with a research note following the release of preliminary data from Statistical Surveys Inc. (SSI).

“Preliminary data from Statistical Surveys (SSI) indicates May U.S. boat industry retail registrations declined -17% y/y (against a -7% comparison). Registrations also declined -23% on a two-year basis and -17% versus 2019. On a sequential basis, versus April, total registrations increased +21% owing to normal seasonality.

READ THE ENTIRE POST HERE – https://powersportsbusiness.com/top-stories/2022/06/28/u-s-pwc-may-retail-registrations-declined-vs-may-2021-ssi/


2 – Tucker Powersports Looks at Impact on Dealers After Federal Trade Commission Action Against Harley-Davidson From Tucker Powersports

FORT WORTH, TX – June 28, 2022 

Background: The Federal Trade Commission announced a complaint against Harley-Davidson on June 23, 2022, ordering the company to “fix warranties by removing illegal terms and recognizing the right to repair, come clean with customers, and ensure that dealers compete fairly with independent third-parties.” 

Link to Federal Trade Commission Press Release: https://www.ftc.gov/news-events/news/press-releases/2022/06/ftc-takes-action-against-harley-davidson-westinghouse-illegally-restricting-customers-right-repair-0

Statement from Marc McAllister, President and CEO of Tucker Powersports

“The announcement from the FTC has a tremendous impact on dealerships, independent shops and consumers.  All dealerships in the US, including Harley shops, will benefit from being able to offer their customers more choices. Ultimately, this means that consumers get to choose the products that are right for their bike and their riding, not what was right for the manufacturer. At Tucker, we will continue to offer our dealers great replacement parts and accessories that they can now consider for every one of their customer’s bikes.”

About Tucker Powersports

Featuring the most powerful portfolio of parts, accessories and apparel brands in the powersports industry, Tucker distributes top brands and offers its own brands, including Answer, Biker’s Choice, BikeMaster, Bully Locks, CoverMax, DragonFire Racing, Kuryakyn, First Gear, ProTaper/ProTaper Sport, QuadBoss, Speed and Strength, and TwinPower.


3 – BMW MOTORRAD USA AND CALIFORNIA SUPERBIKE SCHOOL RENEW RELATIONSHIP From Motorcycle & Powersports News

BMW Motorrad USA announced its renewed relationship with long time partner The California Superbike School. BMW Motorrad USA and the California Superbike school enter their 13th year of collaboration, providing student riders with the opportunity to learn and improve their skills on one of the school’s 31 advanced BMW S 1000 RR motorcycles. California Superbike school itself celebrates 42 years of helping thousands of students of all skill levels become better and safer riders not only on the track but, more importantly, on the street. 

READ THE ENTIRE POST HERE – https://www.motorcyclepowersportsnews.com/bmw-motorrad-usa-california-superbike-school-renew-relationship/


4 – BRANDS THAT SHINE TO GROW SBS PRESENCE IN THE U.S. – From Motorcycle & Powersports News

SBS is enforcing its presence in the U.S. with a new partnership with Brands That Shine, the sales accelerator for quality brands worldwide.

A key motivation for SBS to engage in this partnership is the dedicated passion for motorcycles and equipment with which the Brands That Shine organization, with lead brand ambassador Jessica Shine, drives around making dealership visits throughout the U.S. The goal is to assist and grow sales of present distributor sales reps.

READ THE ENTIRE POST HERE – https://www.motorcyclepowersportsnews.com/brands-that-shine-grow-sbs-presence-us/


5 – American Motorcyclist Association Welcomes Michael KulaFrom American Motorcyclist Association

The American Motorcyclist Association (AMA) has tapped longtime industry veteran Michael Kula as its Manager of Business Development. Kula, whose career spans three decades in the motorcycle industry in sales, advertising and public relations, has spent the last seven-and-a-half years as Sales Director for EPG Media/Rider Magazine.

220629 Michael Kula - AMA Manager of Business Development

Before that he spent time with Bonnier Corporation and VerticalScope in various sales roles. Kula spent nearly 13 years with Marshall Advertising working on the Yamaha Motorcycle account, and also worked with PR firm Paine & Associates on the Suzuki Motorcycles account. Kula will focus his efforts primarily on partnership and marketing initiatives.

“There’s a lot of exciting stuff happening at the AMA,” Kula said. “The magazine has been revitalized and is now the largest-circulation motorcycle publication in North America; there’s a brand-new website in the offing; the organization’s social media efforts are buzzing; and the AMA’s events, led by AMA Vintage Motorcycle Days in July, are impressive, so I’m very excited to be joining the team.”

Kula will report to AMA Communications and Editorial Director Mitch Boehm and will continue to be based in Southern California.

“We’re very happy to have Michael Kula join the AMA team,” said Boehm. “He’s an industry pro and a guy with the high level of sales and marketing expertise we need to help promote our event and media assets — which are world-class — and strengthen membership. We’ve got a lot of exciting new things percolating at the AMA, and Michael will be a key factor in helping us get where we’re headed as the AMA approaches its 100th Anniversary in 2024.”

Mr. Kula can be reached at mkula@ama-cycle.org.


6 – Volcon Debuts Its All-Wheel Drive, Fully Electric UTV, The Stag – Opens Pre-Orders

WITH CLASS-LEADING 125 HP AND 265 LB-FT OF TORQUE, THE VOLCON STAG WILL OFFER EXHILARATING PERFORMANCE AND AN UNMATCHED DRIVING EXPERIENCE. INCORPORATING THE OPTIONAL PADDLE SHIFTERS WITH OVERBOOST MODE THE STAG’S ELECTRIC POWER PLANT WILL PRODUCE A BLISTERING OUTPUT EXCEEDING 140 HP.

Austin, TX | July 1, 2022: Volcon Inc. (NASDAQ: VLCN), (“Volcon” or the “Company”), the first all-electric, off-road powersports company, is redefining the off-road experience with the reveal of the Volcon Stag today. Built by enthusiasts for enthusiasts, the Stag is purpose-built with today’s leading technologies. Beginning now, powersports enthusiasts, outdoor adventurers, and hard-working professionals alike will be able to reserve their very own Stag by visiting www.volcon.com/stag

“We envisioned the Volcon Stag to be the most cutting-edge off-road vehicle in its class. Utilizing the latest EV drivetrain technologies, and keeping our focus on performance and user experience have led us to launch what we believe is a UTV that will provide an experience unmatched by any other UTV in its class,” said Jordan Davis, Volcon CEO. “We believe the near-silent drivetrain, class-leading horsepower and torque, and an amazing driver interface are going to revolutionize the powersports industry. The anticipation leading up to the launch here at Volcon has been palpable, and we are so excited to be opening up reservations for the Stag today!”

With class-leading 125 hp and 265 lb-ft of torque, the Volcon Stag will offer exhilarating performance and an unmatched driving experience. Incorporating the optional paddle shifters with overboost mode the Stag’s electric power plant will produce a blistering output exceeding  140 hp.

Selectable driving modes will optimize performance and range according to the driver’s needs. ECO mode will maximize range with smooth power delivery, while Sport mode will provide a more aggressive throttle response for quicker acceleration. In Tow mode, the vehicle’s maximum speed will be restricted to build torque progressively for more control while pulling a trailer or other towable accessory. The Stag’s 7.2 kW onboard charger will allow the vehicle to be charged in less than 6 hours when using Level 2 charging.

The 4WD system, activated on-demand, will enhance the Stag’s off-road capability in any terrain by automatically engaging the front wheels whenever the rear wheels lose traction and by managing the power distribution between wheels assuring better stability when cornering. Additionally, Crawl mode will allow the vehicle to move slowly without using the throttle so the driver can manage the speed just by using the brakes.

The Stag’s driver-centric cockpit is developed with two innovative displays that deliver unparalleled Human machine integration, providing full command and control of the vehicle. 

Sharing the user experience will be made easier than ever before by capturing and creating content with two built-in cameras and additional cameras planned to be available as accessories in the future. The Stag will come with onboard computing hardware to process video clips of the action and a special rail for additional camera mounts, making every experience a shareable one. Its unique features make it easy for the driver to interact with friends and community in real-time with access to social media and other sharing platforms using the Volcon App and a Sim Card (where cell service is available, based on the user’s cellular service plan and coverage).

The main dashboard will display essential information such as speed, battery charge, driving mode, brake regeneration, and energy consumption, while the large central display will be equipped with camera view, a route planner, off-road gauges, device connectivity (where cell service is available, based on the user’s cellular service plan and coverage), and info about the vehicle status, providing details for both rider and passengers.

Driver and passenger enjoyment were top of mind as the Stag’s cockpit, rear seating, and cargo area  are designed to accommodate up to four people, and gear for their adventure, without compromising leg room or comfort. For additional cargo space, the rear seats will fold down to expand the cargo space to over 26 cu ft. With 1,550 lbs of payload and 2,000 lbs of max towing capacity (with towing mode selected), the Stag will be ready for a hard day’s work or exploration in the back forty.

The Stag’s suspension will include fully adjustable shocks, specially designed to ensure great handling. The batteries and motor position contribute to a low center of gravity, which significantly improves stability when cornering and offers a better ride experience in over any terrain. 

High-performance BF Goodrich Mud-Terrain T/A KM3® tires come standard and are designed to enhance electric UTV vehicle performance, resulting in improved range for even more adventure. 

A complete line of accessories will be available to build a machine that fits a wide variety of user needs, including half and full windshields, hard storage, soft storage, winch mounting, front bumper options, sound systems, and additional lighting. 

Stag Specs

  • Horsepower: 125 / above 140 hp*
  • Torque: 265 lb-ft
  • Range: above 100 miles
  • Charge Time: less than 6 hours** 
  • Motor: 107 kW
  • Battery: 42 kWh
  • Top Speed: 80 mph
  • Payload: 1,550 lbs
  • Bed Volume: 13.4 / 26.7*** cu-ft
  • Wheel Base: 121″
  • Vehicle Width: 64″
  • Towing: 2,000lbs****
  • Capacity: 4 people
  • Drivetrain: 4WD on demand

* with optional power boost

** with level 2 charging

*** with rear seats folded

**** with Tow Mode engaged

All components, having already been thoroughly tested and validated, will offer Volcon UTV buyers peace of mind and confidence in knowing the drivetrain is backed by world-class research and development. Volcon believes the Stag will deliver a unique driving experience, combining performance and excitement that only an EV can provide, with innovative technology and connectivity, and flexible utility that will make the vehicle perfect for adventure and work.

Volcon expects to begin delivering the Stag to dealers for customer purchase in Summer 2023, with Starting MSRP of $39,999 USD.

Reserve your Stag today by visiting: www.volcon.com/stag

About Volcon, Inc

Volcon Inc. is the first all-electric powersports company producing high-quality off-road vehicles. Based in Round Rock, Texas, Volcon joins many major electric vehicle manufacturers near Austin, Texas, an area that is poised to become the electric vehicle capital of the world.

Volcon was founded with the mission to enhance the outdoor experience while reducing the industry’s environmental footprint so that adventurers and workers alike can enjoy the outdoors and preserve it for generations to come. Volcon produces all-electric, off-road vehicles designed to elevate the adventure experience and help people get things done at work and on the home front.

Volcon Contacts

For Media: media@volcon.com 

For Dealers: dealers@volcon.com

For Investors: investors@volcon.com 

For Marketing: marketing@volcon.com        

For more information on Volcon or to learn more about its complete motorcycle and side-by-side line-up, visit: www.volcon.com

Forward-Looking Statements

Some of the statements in this release are forward-looking statements, which involve risks and uncertainties. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. The Company has attempted to identify forward-looking statements by terminology including ”believes,” ”estimates,” ”anticipates,” ”expects,” ”plans,” ”projects,” ”intends,” ”potential,” ”may,” ”could,” ”might,” ”will,” ”should,” ”approximately” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors. Any forward-looking statements contained in this release speak only as of its date. The Company undertakes no obligation to update any forward-looking statements contained in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events. More detailed information about the risks and uncertainties affecting the Company is contained under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K and subsequently filed Quarterly Reports on Form 10-Q filed with the SEC, which are available on the SEC’s website, www.sec.gov.