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Derivative Financial Instruments and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instrument Fair Value

The notional and fair values of the Company's derivative financial instruments under ASC Topic 815 were as follows (in thousands):

			Derivative Financial Instruments Designated as Cash Flow Hedging Instruments
			June 30, 2024																		December 31, 2023																		June 30, 2023
			Notional Value						Assets						Liabilities(a)						Notional Value						Assets(b)						Liabilities(a)						Notional Value						Assets(b)						Liabilities(a)
Foreign currency contracts			$	451,331					$	8,789					$	1,069					$	540,088					$	3,529					$	9,194					$	484,914					$	6,612					$	8,324
Commodity contracts			698						18						20						642						—						134						875						—						127
Cross-currency swaps			1,420,560						—						33,206						1,420,560						15,080						3,160						1,420,560						5,539						20,104
			$	1,872,589					$	8,807					$	34,295					$	1,961,290					$	18,609					$	12,488					$	1,906,349					$	12,151					$	28,555
			Derivative Financial Instruments Not Designated as Hedging Instruments
			June 30, 2024																		December 31, 2023																		June 30, 2023
			Notional Value						Assets(c)						Liabilities						Notional Value						Assets(c)						Liabilities						Notional Value						Assets(c)						Liabilities
Commodity contracts			$	3,750					$	9					$	160					$	5,637					$	—					$	318					$	9,453					$	7					$	795
Interest rate caps			430,005						260						—						617,859						464						—						823,912						2,666						—
			$	433,755					$	269					$	160					$	623,496					$	464					$	318					$	833,365					$	2,673					$	795

(a)Includes $5.3 million and $20.1 million of cross-currency swaps recorded in Other long-term liabilities as of June 30, 2024 and June 30, 2023, respectively, with all remaining amounts recorded in Accrued liabilities.

(b)Includes $15.1 million and $5.5 million of cross-currency swaps recorded in Other long-term assets as of December 31, 2023 and June 30, 2023 with all remaining amounts recorded in Other current assets.

(c)Includes $0.3 million, $0.5 million, and $2.7 million of interest rate caps recorded in Other long-term assets as of June 30, 2024, December 31, 2023, and June 30, 2023 respectively, with all remaining amounts recorded in Other current assets.

Schedule of Gain/(Loss) on Derivative Cash Flow Hedges Reclassified From AOCI Into Income

The amounts of gains and losses related to the Company's derivative financial instruments designated as cash flow hedges were as follows (in thousands):

			Gain/(Loss) Recognized in OCI																								Gain/(Loss) Reclassified from AOCL into Income
			Three months ended												Six months ended												Three months ended												Six months ended
			June 30, 2024						June 30, 2023						June 30, 2024						June 30, 2023						June 30, 2024						June 30, 2023						June 30, 2024						June 30, 2023
Foreign currency contracts			$	6,875					$	5,671					$	22,781					$	3,965					$	3,447					$	(2,067)					$	6,969					$	4,223
Commodity contracts			(10)						(107)						(113)						(416)						(93)						(320)						(244)						(699)
Cross-currency swaps			(6,682)						20,130						(45,126)						21,546						(10,413)						3,220						(42,146)						24,845
Treasury rate lock contracts			(4,293)						—						(4,293)						1,139						(41)						(203)						(37)						(269)
Swap rate lock contracts			—						—						—						(1,780)						(148)						73						(296)						68
			$	(4,110)					$	25,694					$	(26,751)					$	24,454					$	(7,248)					$	703					$	(35,754)					$	28,168

The location and amount of gains and losses recognized in income related to the Company's derivative financial instruments designated as cash flow hedges were as follows (in thousands):

			Motorcycles and related products cost of goods sold						Selling, administrative & engineering expense						Interest expense						Financial services interest expense
			Three months ended June 30, 2024
Line item on the Consolidated statements of operations in which the effects of cash flow hedges are recorded			$	924,012					$	304,008					$	7,680					$	93,741
Gain/(loss) reclassified from AOCL into income:
Foreign currency contracts			3,447						—						—						—
Commodity contracts			(93)						—						—						—
Cross-currency swaps			—						(10,413)						—						—
Treasury rate lock contracts			—						—						(91)						50
Swap rate lock contracts			—						—						—						(148)
			Three months ended June 30, 2023
Line item on the Consolidated statements of operations in which the effects of cash flow hedges are recorded			$	790,628					$	290,274					$	7,696					$	86,005
Gain/(loss) reclassified from AOCL into income:
Foreign currency contracts			(2,067)						—						—						—
Commodity contracts			(320)						—						—						—
Cross-currency swaps			—						3,220						—						—
Treasury rate lock contracts			—						—						(90)						(113)
Swap rate lock contracts			—						—						—						73

			Motorcycles and related products cost of goods sold						Selling, administrative & engineering expense						Interest expense						Financial services interest expense
			Six months ended June 30, 2024
Line item on the Consolidated statements of operations in which the effects of cash flow hedges are recorded			$	1,947,693					$	597,105					$	15,359					$	182,480
Gain/(loss) reclassified from AOCL into income:
Foreign currency contracts			6,969						—						—						—
Commodity contracts			(244)						—						—						—
Cross-currency swaps			—						(42,146)						—						—
Treasury rate lock contracts			—						—						(182)						145
Swap rate lock contracts			—						—						—						(296)
			Six months ended June 30, 2023
Line item on the Consolidated statements of operations in which the effects of cash flow hedges are recorded			$	1,797,929					$	576,137					$	15,416					$	159,554
Gain/(loss) reclassified from AOCL into income:
Foreign currency contracts			4,223						—						—						—
Commodity contracts			(699)						—						—						—
Cross-currency swaps			—						24,845						—						—
Treasury rate lock contracts			—						—						(181)						(88)
Swap rate lock contracts			—						—						—						68

Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The amount of gains and losses recognized in income related to derivative financial instruments not designated as hedging instruments were as follows (in thousands). Gains and losses on foreign currency contracts and commodity contracts were recorded in Motorcycles and related products cost of goods sold. Gains and losses on interest rate caps were recorded in Selling, administrative & engineering expense.

			Amount of Gain/(Loss) Recognized in Income
			Three months ended												Six months ended
			June 30, 2024						June 30, 2023						June 30, 2024						June 30, 2023
Foreign currency contracts			$	779					$	(310)					$	2,694					$	(937)
Commodity contracts			(184)						(1,278)						(193)						(1,377)
Interest rate caps			(68)						1,252						(205)						294
			$	527					$	(336)					$	2,296					$	(2,020)

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Tabular disclosure of gain (loss) on derivative and nonderivative instruments designated and qualifying as cash flow hedge recorded in accumulated other comprehensive income (AOCI) and reclassified into earnings.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 815
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 4C
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480434/815-10-50-4C

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Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

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-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-Publisher FASB
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Tabular disclosure of derivative instrument not designated or qualifying as hedging instrument.

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-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-Subparagraph (e)
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480434/815-10-50-4CC

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