Garmin reports 3Q results

Author:
Updated:
Original:

Garmin today announced a drop in total revenue for the third quarter, which ended Sept. 25, but said its marine segment revenue was up 1 percent.

Switzerland-based Garmin reported total revenue of $692 million, down 11 percent from $781 million in the third quarter last year. Marine segment revenue increased 1 percent, to $46 million.

The marine segment posted strong margin performance for the quarter, and operating income grew 33 percent, the company said.

"After a strong second quarter, the industry weakened, as reported by many of our retail and OEM partners. While it is disappointing to see recovery in the industry falter, we are continuing to forge ahead with our growth strategies, as the long-term profit potential for the segment is solid," chairman and CEO Min Kao said in a statement.

"As affirmation of our growing OEM presence, we were selected by the American Boatbuilders Association as a Preferred Supplier of Choice," he added. "This selection improves our standing with 13 member OEMs who collectively produce more than 15 percent of all boats 16 feet or larger in North America."

Garmin reported pro forma earnings of 70 cents a share for the quarter, compared with $1.02 a share for the same period last year.

For the year to date, Garmin reported total revenue of $1.85 billion, down 2 percent from $1.89 billion for the same period last year. In the marine segment, year-to-date revenue increased 13 percent, to $162 million.

For the year, Garmin expects revenue of $2.65 billion to $2.75 billion.

"We anticipate both gross and operating margins to decline from the excellent margins generated in 2009, but at a much slower rate than had been earlier anticipated," the company said. "These factors, combined with the increased effective tax rate, result in a forecasted 2010 EPS of $2.70-$2.90."

Related

Quick Hits: March 3, 2021

RBFF’s Take Me Fishing campaign offers embeddable fishing and boating map

MAN Achieves Emissions Certifications

The engine manufacturer, which also announced an extension of its supply partnership with the Ferretti Group, now meets major emissions standards worldwide.

In-Person Palm Beach Show Approved

The city of West Palm Beach OK’d the permit for the four-day show, which opens March 25 with a host of safety precautions.

Distributor Expands ePropulsion Sales Territory

Mack Boring will now offer ePropulsion’s electric outboards in the entire North American and Central American markets.

Registration Still Open for NMMA Webinar

The March 4 State of the Industry webinar includes the presentation of the Marine Industry Customer Satisfaction Index Awards and the Alan J. Freedman Award.

Rollick Secures $8.5 million in Funding

The market strategists said Web traffic in the third quarter of 2020 was up 245 percent on a year-over-year basis.

Time to Cry Foul Over Erie Canal Changes

An act has been introduced in the waning days of New York’s annual budget process that allows no opportunity for public input.