NEW YORK — Harley-Davidson Inc. said Tuesday its first-quarter profit fell 72 percent as sales of its high-end bikes remained sluggish.

Harley-Davidson CEO Keith Wandell said the uncertain economy is likely to make business conditions challenging throughout the year.

Still, the Milwaukee company's results beat analysts' forecasts, and investors were cheered by a return to profitability at its financial services unit. The stock gained $2.58, or 7.9 percent, to $35.35 in morning trading.

Harley-Davidson reported a profit of $33.3 million, or 14 cents per share, in the three months ended March 28. That's down from $117.3 million, or 50 cents per share, during the same period last year.

Excluding losses from discontinued operations, the Milwaukee company made 29 cents per share. Revenue during the quarter fell 19 percent to $1.04 billion.

Analysts expected a profit of 22 cents per share on $1.02 billion in revenue. Such estimates typically exclude one-time items.

The company said retail sales of its heavyweight motorcycles fell more than 18 percent worldwide, with sales in the U.S. falling by nearly a quarter. International sales fell a much smaller 2.8 percent.