Could you have over-filled your engine with oil?
FULL DISCLOSURE: Never checked ignition timing because, to some extent, I knew no adjustment possible, as-built.
NEW DIRECTION: Why have no KLR650 super-tuners experimented with ADVANCING ignition timing? ALTERING the spark advance curve? Given the tons of free additional horsepower available from advancing the exhaust cam, surely ignition timing offers a lucrative field yielding significant power increase.
TRUE ANECDOTE: Early Kawasaki V-Twin ADVs were, "de-tuned" by the factory; ignition timing retarded in hope of reducing accidents from 180-degree wheelies performed by overly-enthusiastic riders. Enterprising entrepreneurs manufactured and marketed "modules" capable of advancing spark to full power available. According to dynamometer runs on my own Prairie 650 (KVF 650) ATV, the gadget really, really WORKED! Up to 10 % additional power at points along the rpm curve; mostly at lower rpm.
CAVEAT: For those bold enough to experiment with advancing timing (by altering pickup coil-flywheel timing lump geometry, or electronically), you MAY have to use high-octane fuel after the modification. Increased fuel mileage might compensate you for the additional cost of the higher-octane fuel.
“You better put down that gun. You got two ways to go, put it down or use it. Even if you tie me, you’re gonna be dead.” "John Russell" (Paul Newman), Hombre