Business Segments

3 Months Ended

Mar. 31, 2019

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



	Three months ended
	March 31, 2019		April 1, 2018
Motorcycles net revenue	$	1,195,637	$	1,363,947
Gross profit	347,439		473,773
Selling, administrative and engineering expense	225,428		254,093
Restructuring expense	13,630		46,842
Operating income from Motorcycles	108,381		172,838
Financial Services revenue	188,743		178,174
Financial Services expense	130,012		114,595
Operating income from Financial Services	58,731		63,579
Operating income	$	167,112	$	236,417