TLDR:
- Garmin reported Q3 revenue of $1.59B, up 24% year-over-year
- Earnings per share reached $1.99, exceeding analyst estimates of $1.45
- Fitness device sales increased 31% to $464M
- Company raised full-year guidance to $6.85 EPS on $6.12B revenue
- Stock jumped 23% to $204.84 following the announcement
Garmin Ltd. (NYSE: GRMN) reported third-quarter revenue of $1.59 billion, marking a 24% increase from the same period last year. The company’s earnings rose to $1.99 per share, surpassing analyst estimates of $1.45.
The strong performance prompted Garmin to raise its full-year guidance, now expecting earnings of $6.85 per share on revenue of $6.12 billion. Wall Street had previously projected earnings of $6.10 per share on sales of $5.99 billion.

The fitness segment emerged as a key driver of growth, with sales increasing 31% to reach $463.9 million. The segment achieved operating margins of 32%, generating $148 million in operating income.
In the outdoor segment, revenue grew 21% primarily due to increased sales of adventure watches. The segment maintained strong profitability with gross margins of 68% and operating margins of 40%, resulting in $209 million of operating income.
Marine segment revenue increased 22%, boosted by the acquisition of JL Audio. The segment recorded gross margins of 55% and operating margins of 17%, contributing $38 million to operating income.
The auto OEM segment showed substantial growth with a 53% revenue increase, driven by domain controller sales. While gross margins were 20%, the segment nearly reached breakeven with an operating loss of just $1 million.
Aviation segment revenue grew 3%, led by aftermarket product sales. The segment maintained high gross margins of 75% and operating margins of 22%, generating $44 million in operating income.
Overall company gross margins expanded to 60.0%, while operating margins reached 27.6%. Total operating income grew 62% compared to the previous year, reaching $437 million.
Operating expenses increased 12% to $514 million, primarily due to personnel-related costs in research and development and general administrative areas.
The company’s effective tax rate was 17.9%, higher than the previous year’s 8.0% due to increased Swiss tax rates responding to global minimum tax requirements.
Cash flow remained strong, with operating cash flow of $258 million and free cash flow of $219 million during the quarter. The company maintained a solid balance sheet with approximately $3.5 billion in cash and marketable securities.
Garmin continued its shareholder returns, paying a quarterly dividend of $144 million and repurchasing $20 million in shares. The company has $270 million remaining in its share repurchase program, authorized through December 2026.
The board of directors approved the next dividend payment of $0.75 per share, scheduled for December 27, 2024, with a record date of December 13, 2024.
In product developments, Garmin launched several new items during the quarter, including the fēnix 8 series and Enduro 3 adventure watches. The company also introduced the inReach Messenger Plus for satellite communications and new marine products including the Fusion Apollo speaker series.
The company strengthened its marine segment through the strategic acquisition of Lumishore, a marine LED lighting company.
Garmin stock responded positively to the earnings report, rising 23% to $204.84 in morning trading.
CEO Cliff Pemble noted strong momentum heading into the holiday season, citing the company’s differentiated products and successful leverage of growth opportunities across market segments and geographies.
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