Garmin releases fourth quarter earnings

Publish date:
Social count:

Garmin Ltd. grew revenue 3 percent to $888 million in the fourth quarter, with outdoor, fitness, marine and aviation collectively growing 9 percent over the year prior.

Those segments contributed 78 percent of total revenue, the company announced.

“We expect marine to be a growth segment in 2018 as we focus on market share gains and new product innovations,” the company said in a statement.

Total revenue for the year was nearly 3.09 billion, growing 2 percent over fiscal year 2016, with outdoor, fitness, marine and aviation increasing by 9 percent and contributing 76 percent of total revenue.

The marine segment posted strong fourth-quarter revenue growth of 24 percent, which the company attributed to its updated lineup of chartplotters and fishfinders, as well as contributions from its recently-acquired Navionics product line.

Gross margin improved to 55 percent in marine.

During the fourth quarter, the company recorded a one-time accrual for a litigation settlement resulting in an operating loss in the marine segment of 13 percent. Navico and Garmin settled a three-year patent dispute earlier this month.

During the fourth quarter, the Garmin began shipping its new connected offerings in Echomap and Striker product lines, enabling connectivity through its new ActiveCaptain mobile app.

This was the second full year of sales and operating income growth driven by strong sales in our outdoor, aviation and marine segments, said Cliff Pemble, president and chief executive officer of Garmin Ltd.

“Entering 2018, we see additional growth opportunities ahead and we believe that we are well positioned to seize these opportunities with a strong lineup of products,” Pemble said.


MRAA welcomes new partner member

Marina and marine management software provider DockMaster has become the newest partner member of the Marine Retailers Association of the Americas.

Caterpillar to close two facilities

Caterpillar Inc. will close two facilities in Texas and Panama and is considering shutting its engine manufacturing plant in Illinois as part of a strategy to boost profitability and better handle business cycles, according to Reuters.

Brunswick executive honored by Savoy magazine

Danielle Brown, vice president and chief information officer for Brunswick Corp., was recently honored among the "Most Influential Blacks in Corporate America" as chosen by Savoy Magazine, a leading African-American lifestyle publication.