Loading...
•
Dec 28, 2019
Garmin Q4 2019 Earnings Report
Reported strong revenue and operating income growth.
Key Takeaways
Garmin Ltd. reported an 18% increase in total revenue, reaching $1.102 billion in Q4 2019. Operating income increased by 24% to $277 million, and GAAP EPS was $1.89. The company's fitness, aviation, marine, and outdoor segments collectively grew by 24% over the prior year quarter.
Total revenue increased by 18% to $1.102 billion, with fitness, aviation, marine and outdoor collectively increasing 24% over the prior year quarter.
Operating margin improved to 25.1% compared to 23.9% in the prior year quarter.
GAAP EPS was $1.89 and pro forma EPS was $1.29, representing 26% growth over the prior year quarter.
The ForceTM trolling motor and GPSMAP® 86i were awarded the highly competitive DAME design award at METSTRADE
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Garmin expects 2020 revenue of approximately $4.0 billion, with growth in fitness, outdoor, and marine segments partially offset by declines in the auto segment. Full year pro forma EPS is expected to be approximately $4.60, based on gross margin of approximately 59.2%, operating margin of approximately 23.5%, and a pro forma effective tax rate of approximately 10.0%.
Positive Outlook
- Fitness ~10%
- Outdoor ~10%
- Marine ~10%
- Aviation ~0%
- Gross Margin ~59.2%
Challenges Ahead
- Auto ~(5%)
- Operating Margin ~23.5%
- Tax Rate ~10.0%
- EPS ~$4.60
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...