Harley-Davidson isn’t hiding it: its electric motorcycle brand is on the verge of bankruptcy and may not make it to 2027.

01/11/2026 10:00

Updated to

01/11/2026 10:00

LiveWire, the electric motorcycle brand majority-owned by Harley-Davidson, has officially acknowledged significant doubts about its ability to continue operating in the coming year. This warning comes after it ended the third quarter of 2026 with net losses of $18.6 million, or approximately 16.7 million euros, despite an increase in sales. Its cash reserves have dropped to $39.9 million, and the company has formed a special committee to explore new funding sources, strategic partnerships, and even a potential sale.

LiveWire loses $18.6 million despite selling more electric motorcycles

LiveWire’s financial situation reflects the ongoing challenges faced by the high-performance electric motorcycle industry.

According to the released results, the company sold 241 electric motorcycles in the third quarter, up from 184 units in the same period of 2025. This represents a 31% year-over-year increase. Consolidated revenue, which also includes the STACYC children’s electric bike business, rose by 38% to $7.9 million. However, these business improvements remain insufficient to cover expenses.

LiveWire reported operating losses of $17.5 million and net losses of $18.6 million. Although both figures improved compared to the previous year, the company continues to burn cash at a significant rate.

Its cash reserves dropped from $82.8 million at the end of 2025 to $39.9 million by the end of September 2026, which is approximately 35.8 million euros.

Harley-Davidson may need to reconsider LiveWire’s future

The company itself acknowledged in its financial statement that there are “substantial doubts” about its ability to continue operating for the twelve months following the release of its accounts. This statement does not mean it has announced closure, nor does it imply that Harley-Davidson will necessarily abandon the project.

LiveWire still has the historic American brand as its majority shareholder, but it needs to resolve its funding issues. On October 22, it established a special restructuring committee and appointed Roy Gallagher to oversee the process.

Among the alternatives considered are capital increases, external investments, strategic partnerships, asset sales, and other corporate transactions. The company has also withdrawn its financial forecasts for 2026, which projected operating losses of between 70 and 80 million dollars.

Its cheapest electric motorcycles arrive at the worst financial time

This warning comes at an important stage for the LiveWire lineup. The company is expanding its offerings with the new S4 Honcho, smaller and more affordable electric motorcycles, with U.S. prices announced to be below 5,000 dollars.

It is also developing new off-road models under the DUST series, with a launch scheduled for EICMA 2026. These new models aim to attract buyers who previously found its high-performance motorcycles too expensive.

However, selling more units does not guarantee short-term profitability. LiveWire’s immediate future will depend on its ability to secure sufficient funding to sustain operations and develop new products.

Its situation shows that even having the backing of a historic manufacturer like Harley-Davidson does not guarantee commercial success for a brand focused on electric motorcycles.