U.S. motorcycle maker Harley-Davidson on Monday reported a 10% rise in first-quarter revenue and raised it full-year forecast for sales growth, on the back of strong demand for its more profitable touring bikes.
The company’s total revenue rose to $1.42 billion in the quarter ended March 28, from about $1.30 billion a year earlier.
Harley, which has struggled to grow sales in the United States, its core market, said it now expects motorcycles business revenue to grow in the range of 30% to 35% in 2021, up from its prior estimate of growth between 20% and 25%.
The company’s shares rose over 7% in pre-market trading.
In February, the motorcycle maker unveiled a new turnaround plan that targets low double-digit earnings growth through 2025.
Since the middle of last year, the Milwaukee, Wisconsin-based company has shifted focus back to big bikes, traditional markets like the United States and Europe, and older and wealthier customers.
Harley’s net income jumped over threefold to $259 million in the first quarter, from $70 million a year earlier.
-Reuters