The business behind the dividend
| Measure | HOG | Median | Formula |
|---|---|---|---|
| Return on equity | 10.8% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | 6.9% | 10.0% | Operating income ÷ (equity + total debt) |
| Owner earnings | $357.43m | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $415.24m | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | 10.7% | 14.3% | Operating income ÷ revenue |
| Net margin | 9.4% | 10.1% | Net income ÷ revenue |
| Debt to equity | 0.79x | 0.73x | Total debt ÷ shareholders’ equity |
| Interest cover | 11.56x | 4.22x | Operating income ÷ interest expense |
| Current ratio | 2.10x | 1.55x | Current assets ÷ current liabilities |
| Long-term debt to working capital | 0.56x | 1.88x | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 1.68x | 1.66x | Operating cash flow ÷ net income |
| Accruals | -2.9% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 10.8% | 14.4% | 21.7% | 25.5% | 25.5% | 0.1% | 23.5% | 30.0% | 28.3% | 36.0% | 23.5% |
| Return on capital employed | 6.9% | 4.4% | 8.2% | 10.1% | 9.5% | 0.1% | 6.4% | 8.7% | 11.7% | 13.6% | 8.2% |
| Operating margin | 10.7% | 10.0% | 16.0% | 18.4% | 18.1% | 0.3% | 10.4% | 12.5% | 15.6% | 17.4% | 12.5% |
| Net margin | 9.4% | 11.0% | 14.5% | 15.0% | 14.3% | 0.0% | 7.9% | 9.3% | 9.2% | 11.5% | 9.4% |
| Debt to equity | 0.79x | 2.00x | 1.92x | 2.12x | 2.40x | 4.63x | 3.81x | 3.64x | 3.10x | 3.00x | 2.40x |
| Current ratio | 2.10x | 1.40x | 1.53x | 1.34x | 1.36x | 1.47x | 1.31x | 1.25x | 1.23x | 1.35x | 1.35x |
| Cash conversion | 1.68x | 2.34x | 1.07x | 0.74x | 1.50x | — | 2.05x | 2.27x | 1.93x | 1.70x | 1.70x |
How it compares in industrials
Among the 289 industrials companies here measured on free cash flow, Harley-Davidson pays out less than 166 of them. The median for that group is 24.4%, against this company’s 20.8%.
Closest on free cash flow
- ITT (ITT) 20.3%
- Silgan Holdings (SLGN) 20.3%
- Climb Global Solutions (CLMB) 21.1%
- Hub Group (HUBG) 21.1%
Same sector and same denominator, so the figures are comparable. All 348 in industrials →