First-quarter profits more than doubled at Garmin Ltd. as revenue rose broadly, including a sales gain of 24 percent in the company's marine segment.
The company reported earnings of $95.5 million, or 49 cents a share, for the quarter that ended March 26, compared with $37.3 million, or 19 cents a share, a year earlier.
Revenue for the quarter was $507.8 million, a gain of 18 percent from $431.1 million in the 2010 quarter.
The results exceeded analysts' expectations and they included a foreign currency gain of $12 million that compared with a loss of $38.2 million in the quarter last year. Excluding the effects of the gain, Garmin earned $83.5 million, or 43 cents a share, compared with $75.5 million, or 38 cents a share, during last year's quarter.
"The first quarter of 2011 provided strong revenue performance as each of our business segments contributed to 18 percent revenue growth," Garmin chairman and CEO Min Kao said in a statement. "We were pleased with the growth of our outdoor, fitness, aviation and marine segments, which combined posted revenue growth of 16 percent and operating income growth of 10 percent. We continue to invest in these segments in order to capitalize on the numerous long-term growth initiatives in each of them."
Marine segment revenue totaled $51 million for the quarter. Kao said marine revenue grew 38 percent sequentially as the boating season approached.
"The boating industry has shown signs of recovery and we are poised to take advantage of that opportunity as boaters prepare for the upcoming season," he added. "Many of the OEM wins that were announced throughout 2010 and at the Miami boat show this winter are beginning to contribute revenue and are expected to allow us to deliver strong growth in revenues and operating income in the segment."