The United Kingdom has a new law, requiring companies with 250 or more employees to report to the authorities the earnings of its workers, by gender. The topic has been a sticking point in the British news cycle right now, with woman across the company showing median earnings that are 12% lower than men, which is a sizable gap in income equality. Where does the British motorcycle industry falls into place in all this? Well as Visordown initially reported, that is more difficult to say, as it appears that only Triumph Motorcycles meets the reporting criteria, amongst motorcycle manufacturers. Technically, it is two brands that meet reporting criteria for gender pay gap, as Triumph Motorcycles Limited and Triumph Designs Limited split their duties for the British marque.
The end of 2017 is here, which means that we will start to see the results from the year’s sales cycle (don’t expect good news).
As such, one of the first companies to report in is Triumph, which shouldn’t be too surprising, considering that the British brand closes its books at the end of June (it’s actually surprising that Triumph waited so long in reporting these numbers).
From July 1, 2016 to June 30 2017, Triumph Motorcycles sold 63,404 motorcycles to its dealerships making £498.5 million in revenue in the process. From that, Triumph was able to make £24.7 million, before taxes.
These numbers mean that Triumph has seen a 12.7% increase in unit sales to dealerships over the past financial period. It also means that on the money side, Triumph has seen increases of 22% (revenue) and 48% (income, pre-tax), which isn’t too shabby.
There is some big news coming out of the motorcycle industry today, as Triumph and Bajaj have just announced a new global partnership that will see the two brands collaborating on new middleweight motorcycles for the global market. It is still not clear what the fine-print of the deal looks like, but an obvious guess would be that Triumph and Bajaj will co-develop middleweight motorcycles for both emerging and developed markets, with both brands taking advantage of the other’s distribution to reach new untapped customers. If this sounds like a familiar strategy, you would be right, as Bajaj’s deal with Triumph is very similar to the deal the Indian brand struck with KTM. However, in the case of Triumph, Bajaj is not taking an equity stake in the British marque.
The National Highway Traffic Safety Administration (NHTSA) has levied with Triumph Motorcycles with a $2.9 million civil penalty for violations of Safety Act reporting requirements and failure to fully respond to communications from NHTSA.
That sum includes a $1.4 million cash penalty that Triumph must pay to the NHTSA, as well as a $500,000 expenditure in order to meet a series of requirements to improve its safety practices. Triumph could have to pay an added $1 million in penalties should the company violate the consent order or if additional Safety Act violations emerge.
More change is afoot at Triumph Motorcycles North America, as it has come to light that Greg Heichelbech is no longer the CEO of Triumph’s North American operation. Recently named by Powersports Business as the motorcycle industry’s “Executive of the Year” for 2014, Heichelbech’s departure comes after being with Triumph for the past three years.