12:36 PM EDT, 07/25/2024 (MT Newswires) -- Harley-Davidson ( HOG ) posted bigger-than-expected gains in second-quarter results on Thursday but lowered the midpoint of its revenue guidance for its core business amid challenging market dynamics.

In its core Harley-Davidson Motor Company segment, revenue rose to $1.35 billion for the three months ended June 30 from $1.2 billion a year ago and topped the $1.27 billion average analyst estimate on Capital IQ. Global motorcycle shipments increased 16%. Worldwide retail motorcycle sales were down 3%.

Consolidated revenue increased to $1.62 billion from $1.45 billion year over year. Harley-Davidson Financial Services revenue grew 10% to $263.5 million. Revenue at Livewire, Harley-Davidson's ( HOG ) electric motorcycle division, dipped 8% to $6.4 million.

GAAP earnings per share advanced to $1.63 from $1.22 in the same period of 2023 and beat the Capital IQ-polled consensus of $1.38. Shares of Harley-Davidson ( HOG ) were up 6.7% in midday trade.

"Despite a challenging market, we are pleased with our second quarter performance, in which we grew our US market share in a declining market, with notable unit growth of more than 11% in the important core category of touring," Chief Executive Jochen Zeitz said in a statement.

Harley-Davidson ( HOG ) now expects fiscal 2024 revenue in its core segment to be down 5% to 9% compared with its forecast in April that Harley-Davidson Motor Company revenue would be flat to down 9%. It lowered the division's operating margin guidance to between 10.6% and 11.6%, compared with 12.6% to 13.6% previously.

The company continues to expect financial services operating income to be flat to up 5% year over year and LiveWire electric motorcycle sales of 1,000 to 1,500 units.

Management remains focused on its five-year Hardwire strategic plan that it launched in 2021 and delivering on its cost productivity goals, Zeitz said.

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