EXHIBIT 99.1 Garmin announces third quarter 2026 results Company reports record
EXHIBIT 99.1 Garmin announces third quarter 2026 results Company reports record third quarter operating results and raises full year guidance Schaffhausen, Switzerland / October 28, 2026 / PR Newswire – Garmin ® Ltd. (NYSE: GRMN), today announced results for the third quarter ended September 26, 2026. Highlights include: • Record consolidated revenue of $1.99 billion, a 12% increase compared to the prior year quarter • Gross and operating margins expanded to 63.3% and 30.8% respectively, compared to the prior year quarter • Record operating income of $612 million, a 34% increase compared to the prior year quarter • GAAP EPS of $2.80 and pro forma EPS (1) of $2.76, representing a 39% increase in pro forma EPS compared to the prior year quarter • Named 2026 Manufacturer of the Year by the National Marine Electronics Association for the 12 th consecutive year, and received six Product of Excellence awards • Launched the fēnix ® 9 and fēnix 9 Pro adventure watch series, expanding our flagship performance smartwatch lineup • Recently announced the delivery of our 1,000th G1000 ® integrated flight deck retrofit for King Air aircraft making this one of the most successful retrofit flight deck programs in aviation history • Announced that more than 2,500 aircraft are equipped with the revolutionary Garmin Autoland system, the world’s first and only certified autonomous system designed to activate during an emergency to safely fly and land an aircraft without human interaction
“We achieved another quarter of record operating results driven by strength across markets and product categories, with meaningful contributions from recently launched products. Our results were further enhanced by strong operational execution resulting in record consolidated gross margin and impressive operating profit leverage. We are raising our 2026 outlook based on the results we have achieved so far and the momentum we are experiencing as we enter the important holiday selling season.” - Cliff Pemble, President and Chief Executive Officer of Garmin Ltd.
Revenue from the fitness segment increased 16% in the third quarter with growth led by strong demand for wearables. Gross and operating margins were 63% and 33%, respectively, resulting in $231 million of operating income. During the quarter, we launched the CIRQA™ Smart Band, a screenless wearable offering rich wellness and fitness insights that expands our addressable market for wellness devices. In addition, we recently announced the next generation of Edge®cycling computers with the Edge 1060 featuring a built-in microphone and speaker for hands-free voice control capability and the Edge Explore 3 series, an easy-to- use bike computer for riders of all levels.
Revenue from the outdoor segment increased 20% in the third quarter with growth primarily driven by adventure watches. Gross and operating margins were 68% and 39%, respectively, resulting in $233 million of operating income. During the quarter, we launched the fēnix 9 and fēnix 9 Pro series, with an all-titanium watch case option and the largest available AMOLED screen in our flagship adventure watch lineup. Also during the quarter, we launched the all-new Garmin DriveTMGPS navigators with high-resolution ultrawide format displays and an elevated user experience.
Revenue from the aviation segment increased 5% in the third quarter with growth primarily driven by OEM product categories. Gross and operating margins were 78% and 26%, respectively, resulting in $66 million of operating income. During the quarter, we unveiled the G2000®PRIME, bringing PRIME flight deck functionality to the high-performance piston and electric aircraft market. Also during the quarter, we announced the certification of an all-glass retrofit cockpit for the original Cessna CitationJet. Pilatus Aircraft and Epic Aircraft recently announced the certification of Garmin Autoland on the PC-12 Pro and the e1000 airplanes, respectively. We also made important updates to Garmin Pilot™, adding SmartCharts coverage for Canada and Mexico, as well as Mobile Clearance Delivery which allows pilots to obtain clearances electronically through the Garmin Pilot app.
Revenue from the marine segment increased 16% in the third quarter with broad- based growth across multiple categories, led by the sonar product category. Gross and operating margins were 64% and 30%, respectively, resulting in $94 million of operating income. During the quarter, we launched the next generation LiveScopeTM2, delivering live sonar images with improved range and clarity. Also during the quarter, we expanded our sailboat product lineup with the GMITM40 instrument display and the SmartDrive™ brushless linear steering actuator. We also launched the JL Audio A60 head unit series, and M200 speaker systems.
Revenue from the auto OEM segment decreased 20% during the third quarter primarily due to domain controllers. Gross margin was 16% and we recorded an operating loss of $12 million in the quarter. Additional Financial Information: The consolidated third quarter gross margin expanded 420 basis points to 63.3%, compared to the prior year quarter, with higher margins across all segments. The consolidated gross margin increase was primarily attributable to favorable segment mix, lower product cost, and approximately $33 million in refunds of previously paid tariffs. Total operating expenses in the third quarter were $646 million, a 10% increase over the prior year. Research and development increased 9% driven primarily by personnel- related costs. Selling, general and administrative expenses increased 10%, driven primarily by personnel-related costs and advertising expenses. The effective tax rate in the third quarter was 18.1%, compared to an effective tax rate of 21.2% in the prior year quarter. The decrease in the effective tax rate is primarily driven by an increase in expected U.S. deductions due to certain provisions of the U.S. tax legislation enacted in 2025 that became effective in 2026. In the third quarter of 2026, we generated operating cash flows of $394 million and free cash flow (1) of $293 million. We paid a quarterly dividend of $202 million and repurchased $41 million of the Company’s shares within the quarter, leaving approximately $407 million remaining as of September 26, 2026 in the $500 million share repurchase program authorized through December 2028. We ended the quarter with cash and marketable securities of approximately $4.1 billion. (1) See attached Non-GAAP Financial Information for discussion and reconciliation of non-GAAP financial measures, including pro forma effective tax rate and free cash flow. Fiscal Year 2026 Guidance: Based on our performance in the first three quarters of 2026 and our positive outlook for the remainder of the year, we are raising our full year 2026 guidance. We now anticipate revenue of approximately $8.15 billion and pro forma EPS of $10.80 based on gross margin of 61.0%, operating margin of 29.0% and a full year tax rate of 16.5% (see attached discussion on Forward-looking Financial Measures). Dividend Recommendation: At the 2026 annual shareholders’ meeting, Garmin shareholders, in accordance with Swiss corporate law, approved a cash dividend in the total amount of $4.20 per share, payable in four equal installments on dates to be determined by the Board in its discretion. The first and second payments were made on June 26, 2026 and September 25, 2026. The Board of Directors has established December 24, 2026, as the payment date for the next dividend installment of $1.05 per share with a record date of December 11, 2026. The Board currently anticipates the scheduling of the remaining quarterly dividend installment as follows:
Webcast Information/Forward-Looking Statements: The information for Garmin Ltd.’s earnings call is as follows:
When: Wednesday, October 28, 2026 10:30 a.m. Eastern ───────────────────────────────────────────────────────────────────── Where: Join a live stream of the call at the following link https://investors.garmin.com/news-and-events/default.aspx
An archive of the live webcast will be available until October 27, 2027 on the Garmin website at www.garmin.com. To access the replay, click on the Investors link and click over to the News & Events page. This release includes projections and other forward-looking statements regarding Garmin Ltd. and its business that are commonly identified by words such as “anticipates,” “would,” “may,” “expects,” “estimates,” “plans,” “intends,” “projects,” and other words or phrases with similar meanings. Any statements regarding the Company’s expected fiscal 2026 GAAP and pro forma estimated earnings, EPS, and effective tax rate, and the Company’s expected segment revenue growth rates, consolidated revenue, gross margins, operating margins, tariffs and other global trade related impacts, potential future acquisitions, share repurchase programs, currency movements, expenses, pricing, new product launches, market reach, statements relating to possible future dividends, and the Company’s plans and objectives are forward-looking statements. The forward-looking events and circumstances discussed in this release may not occur and actual results could differ materially as a result of risk factors and uncertainties affecting Garmin, including, but not limited to, the risk factors that are described in the Annual Report on Form 10-K for the year ended December 27, 2025 filed by Garmin with the Securities and Exchange Commission (Commission file number 001-41118). A copy of Garmin’s 2025 Form 10-K can be downloaded from https://investors.garmin.com/financials/sec-filings/default.aspx. All information provided in this release and in the attachments is as of September 26, 2026. We undertake no duty to update this information unless required by law. This release and the attachments contain non-GAAP financial measures. A reconciliation to the nearest GAAP measure and a discussion of the Company’s use of these measures are included in the attachments. Garmin, the Garmin logo, the Garmin delta, Edge, fēnix, G1000, G2000, and JL Audio are trademarks of Garmin Ltd. or its subsidiaries and are registered in one or more countries, including the U.S. CIRQA, Garmin Drive, Garmin Pilot, SmartDrive, GMI, and LiveScope are trademarks of Garmin Ltd. or its subsidiaries. All other brands, product names, company names, trademarks and service marks are the properties of their respective owners. All rights reserved.
Investor Relations Contact: Media Relations Contact: Teri Seck Krista Klaus +1 913 397 8200 +1 913 397 8200 investor.relations@garmin.com media.relations@garmin.com
Garmin Ltd. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) (In thousands) Assets Current September December 27, assets: 26,2026 2025 ────────────────────────────────────────────────────────────────────────────── Cash and cash $ 2,039,779 $ 2,278,646 equivalents Marketable 299,693 459,202 securities Accounts receivable, 1,137,167 1,253,015 net Inventories 2,251,741 1,772,257 Deferred 12,508 17,538 costs Prepaid expenses and other 742,631 467,558 current assets Total current 6,483,519 6,248,216 assets Property and equipment, 1,496,143 1,375,348 net Operating lease 207,636 196,183 right-of-use assets Noncurrent marketable 1,727,086 1,396,929 securities Deferred income tax 704,893 718,094 assets Noncurrent deferred 3,918 4,373 costs Goodwill 978,557 760,241 Other intangible 270,875 198,362 assets, net Other noncurrent 121,156 95,923 assets Total assets $ 11,993,783 $ 10,993,669 Liabilities and Stockholder… Equity Current liabilities: Accounts $ 500,671 $ 347,493 payable Salaries and benefits 256,762 228,267 payable Accrued warranty 76,874 72,921 costs Accrued sales 113,724 153,193 program costs Other accrued 271,233 257,651 expenses Deferred 119,858 105,646 revenue Income taxes 384,351 381,549 payable Dividend 404,779 173,351 payable Total current 2,128,252 1,720,071 liabilities Deferred income tax 116,224 109,701 liabilities Noncurrent income taxes 3,325 3,596 payable Noncurrent deferred 22,400 22,277 revenue Noncurrent operating 173,491 164,835 lease liabilities Other noncurrent 565 625 liabilities Stockholder… equity: Common shares, $0.10 par value (194,901 and 194,901 shares 19,490 19,490 authorized andissued; 192,757 and 192,620 shares outstanding) Additional paid-in 2,425,759 2,368,670 capital Treasury shares (2,144 and (468,628 ) (406,423 ) 2,281 shares) Retained 7,648,939 6,970,182 earnings Accumulated other comprehensi… (76,034 ) 20,645 income (loss) Total stockholder… 9,549,526 8,972,564 equity Total liabilities and $ 11,993,783 $ 10,993,669 stockholder… equity
Garmin Ltd. and Subsidiaries Condensed Consolidated Statements of Cash Flows (Unaudited) (In thousands) 39-Weeks Ended Operating September 26, September 27, Activities: 2026 2025 ────────────────────────────────────────────────────────────────────────────── Net income $ 1,488,660 $ 1,135,206 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 122,519 115,633 Amortization 26,692 26,874 (Gain) loss on sale or disposal of (639 ) 375 property and equipment Unrealized foreign (7,347 ) (37,606 ) currency gains Deferred 33,523 19,324 income taxes Stock compensation 133,526 125,003 expense Realized loss on marketable 587 857 securities Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable, net of 102,946 68,818 allowance for doubtful accounts Inventories (488,774 ) (324,880 ) Other current and (266,274 ) (18,466 ) noncurrent assets Accounts 156,023 (7,531 ) payable Other current and 5,978 1,944 noncurrent liabilities Deferred 3,642 (11,603 ) revenue Deferred 5,486 8,703 costs Income taxes 16,851 (23,077 ) Net cash provided by 1,333,399 1,079,574 operating activities Investing activities: Purchases of property and (294,982 ) (146,273 ) equipment Purchase of marketable (632,001 ) (724,091 ) securities Redemption of marketable 403,842 531,804 securities Net payments for (320,588 ) (175,655 ) acquisitions Other investing 2,388 387 activities, net Net cash used in investing (841,341 ) (513,828 ) activities Financing activities: Dividends (578,474 ) (490,919 ) Proceeds from issuance of treasury 31,425 29,065 shares related to equity awards Purchase of treasury shares (47,069 ) (33,476 ) related to equity awards Purchase of treasury shares under (123,206 ) (130,149 ) share repurchase plan Net cash used in financing (717,324 ) (625,479 ) activities Effect of exchange rate changes on (13,570 ) 53,125 cash and cash equivalents Net decrease in cash, cash equivalents, (238,836 ) (6,608 ) and restricted cash Cash, cash equivalents, and restricted 2,279,360 2,080,154 cash at beginning of period Cash, cash equivalents, and $ 2,040,524 $ 2,073,546 restricted cash at end of period
Garmin Ltd. and Subsidiaries Net Sales, Gross Profit and Operating Income by Segment (Unaudited) (In thousands)
Non-GAAP Financial Information To supplement our financial results presented in accordance with GAAP, this release includes the following measures defined by the Securities and Exchange Commission as non-GAAP financial measures: pro forma effective tax rate, pro forma net income (earnings) per share and free cash flow. These non-GAAP measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and may be different from non-GAAP measures used by other companies, limiting the usefulness of the measures for comparison with other companies. Management believes providing investors with an operating view consistent with how it manages the Company provides enhanced transparency into the operating results of the Company, as described in more detail by category below. The tables below provide reconciliations between the GAAP and non-GAAP measures. Pro forma effective tax rate The Company’s income tax expense is occasionally impacted by discrete tax items that are not reflective of income tax expense incurred as a result of current period earnings. Therefore, management believes the effective tax rate and income tax provision before the effect of certain discrete tax items are important measures to permit investors' consistent comparison between periods. In the first three quarters of 2026 and 2025 there were no such discrete tax items identified. Pro forma net income (earnings) per share Management believes net income (earnings) per share before the impact of foreign currency gains or losses and certain discrete income tax items, as discussed above, is an important measure to permit a consistent comparison of the Company’s performance between periods.
Free cash flow Management believes free cash flow is an important liquidity measure because it represents the amount of cash provided by operations that is available for investing and defines it as operating cash flows less capital expenditures for property and equipment. Management believes excluding purchases of property and equipment provides a better understanding of the underlying trends in the Company’s operations and allows more accurate comparisons of the Company’s results between periods. This metric may also be useful to investors but should not be considered in isolation as it is not a measure of cash flow available for discretionary expenditures. The most comparable GAAP measure is net cash provided by operating activities.
Forward-looking Financial Measures The forward-looking measures in our 2026 guidance include certain economic assumptions such as foreign currency exchange rates and tariffs which are fluid and can rapidly change favorably or unfavorably. The forward-looking financial measures in our 2026 guidance provided above do not consider the potential future net effect of foreign currency exchange gains and losses, certain discrete tax items and any other impacts that may be identified as pro forma adjustments in calculating the non- GAAP measures described above. The estimated impact of foreign currency gains and losses cannot be reasonably estimated on a forward-looking basis due to the high variability and low visibility with respect to non-operating foreign currency exchange gains and losses and the related tax effects of such gains and losses. The impact on diluted net income per share of foreign currency gains and losses, net of tax effects, was $0.04 per share for the 39-week period ended September 26, 2026. At this time, management is unable to determine whether or not significant discrete tax items will occur in fiscal 2026, estimate the impact of any such items, or anticipate the impact of any other events that may be considered in the calculation of non-GAAP financial measures.
Full text with the tables
EXHIBIT 99.1 Garmin announces third quarter 2026 results Company reports record
third quarter operating results and raises full year guidance Schaffhausen,
Switzerland / October 28, 2026 / PR Newswire – Garmin ® Ltd. (NYSE: GRMN), today
announced results for the third quarter ended September 26, 2026. Highlights
include: • Record consolidated revenue of $1.99 billion, a 12% increase compared
to the prior year quarter • Gross and operating margins expanded to 63.3% and
30.8% respectively, compared to the prior year quarter • Record operating income
of $612 million, a 34% increase compared to the prior year quarter • GAAP EPS of
$2.80 and pro forma EPS (1) of $2.76, representing a 39% increase in pro forma
EPS compared to the prior year quarter • Named 2026 Manufacturer of the Year by
the National Marine Electronics Association for the 12 th consecutive year, and
received six Product of Excellence awards • Launched the fēnix ® 9 and fēnix 9
Pro adventure watch series, expanding our flagship performance smartwatch lineup
• Recently announced the delivery of our 1,000th G1000 ® integrated flight deck
retrofit for King Air aircraft making this one of the most successful retrofit
flight deck programs in aviation history • Announced that more than 2,500
aircraft are equipped with the revolutionary Garmin Autoland system, the world’s
first and only certified autonomous system designed to activate during an
emergency to safely fly and land an aircraft without human interaction
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Executive Overview from Cliff Pemble, President and Chief Executive Officer:
“We achieved another quarter of record operating results driven by strength
across markets and product categories, with meaningful contributions from
recently launched products. Our results were further enhanced by strong
operational execution resulting in record consolidated gross margin and
impressive operating profit leverage. We are raising our 2026 outlook based on
the results we have achieved so far and the momentum we are experiencing as we
enter the important holiday selling season.” - Cliff Pemble, President and Chief
Executive Officer of Garmin Ltd.
Fitness:
Revenue from the fitness segment increased 16% in the third quarter with growth
led by strong demand for wearables. Gross and operating margins were 63% and
33%, respectively, resulting in $231 million of operating income. During the
quarter, we launched the CIRQA™ Smart Band, a screenless wearable offering rich
wellness and fitness insights that expands our addressable market for wellness
devices. In addition, we recently announced the next generation of Edge®cycling
computers with the Edge 1060 featuring a built-in microphone and speaker for
hands-free voice control capability and the Edge Explore 3 series, an easy-to-
use bike computer for riders of all levels.
Outdoor:
Revenue from the outdoor segment increased 20% in the third quarter with growth
primarily driven by adventure watches. Gross and operating margins were 68% and
39%, respectively, resulting in $233 million of operating income. During the
quarter, we launched the fēnix 9 and fēnix 9 Pro series, with an all-titanium
watch case option and the largest available AMOLED screen in our flagship
adventure watch lineup. Also during the quarter, we launched the all-new Garmin
DriveTMGPS navigators with high-resolution ultrawide format displays and an
elevated user experience.
Aviation:
Revenue from the aviation segment increased 5% in the third quarter with growth
primarily driven by OEM product categories. Gross and operating margins were 78%
and 26%, respectively, resulting in $66 million of operating income. During the
quarter, we unveiled the G2000®PRIME, bringing PRIME flight deck functionality
to the high-performance piston and electric aircraft market. Also during the
quarter, we announced the certification of an all-glass retrofit cockpit for the
original Cessna CitationJet. Pilatus Aircraft and Epic Aircraft recently
announced the certification of Garmin Autoland on the PC-12 Pro and the e1000
airplanes, respectively. We also made important updates to Garmin Pilot™, adding
SmartCharts coverage for Canada and Mexico, as well as Mobile Clearance Delivery
which allows pilots to obtain clearances electronically through the Garmin Pilot
app.
Marine:
Revenue from the marine segment increased 16% in the third quarter with broad-
based growth across multiple categories, led by the sonar product category.
Gross and operating margins were 64% and 30%, respectively, resulting in $94
million of operating income. During the quarter, we launched the next generation
LiveScopeTM2, delivering live sonar images with improved range and clarity. Also
during the quarter, we expanded our sailboat product lineup with the GMITM40
instrument display and the SmartDrive™ brushless linear steering actuator. We
also launched the JL Audio A60 head unit series, and M200 speaker systems.
Auto OEM:
Revenue from the auto OEM segment decreased 20% during the third quarter
primarily due to domain controllers. Gross margin was 16% and we recorded an
operating loss of $12 million in the quarter.
Additional Financial Information: The consolidated third quarter gross margin
expanded 420 basis points to 63.3%, compared to the prior year quarter, with
higher margins across all segments. The consolidated gross margin increase was
primarily attributable to favorable segment mix, lower product cost, and
approximately $33 million in refunds of previously paid tariffs. Total operating
expenses in the third quarter were $646 million, a 10% increase over the prior
year. Research and development increased 9% driven primarily by personnel-
related costs. Selling, general and administrative expenses increased 10%,
driven primarily by personnel-related costs and advertising expenses. The
effective tax rate in the third quarter was 18.1%, compared to an effective tax
rate of 21.2% in the prior year quarter. The decrease in the effective tax rate
is primarily driven by an increase in expected U.S. deductions due to certain
provisions of the U.S. tax legislation enacted in 2025 that became effective in
2026. In the third quarter of 2026, we generated operating cash flows of $394
million and free cash flow (1) of $293 million. We paid a quarterly dividend of
$202 million and repurchased $41 million of the Company’s shares within the
quarter, leaving approximately $407 million remaining as of September 26, 2026
in the $500 million share repurchase program authorized through December 2028.
We ended the quarter with cash and marketable securities of approximately $4.1
billion. (1) See attached Non-GAAP Financial Information for discussion and
reconciliation of non-GAAP financial measures, including pro forma effective tax
rate and free cash flow. Fiscal Year 2026 Guidance: Based on our performance in
the first three quarters of 2026 and our positive outlook for the remainder of
the year, we are raising our full year 2026 guidance. We now anticipate revenue
of approximately $8.15 billion and pro forma EPS of $10.80 based on gross margin
of 61.0%, operating margin of 29.0% and a full year tax rate of 16.5% (see
attached discussion on Forward-looking Financial Measures). Dividend
Recommendation: At the 2026 annual shareholders’ meeting, Garmin shareholders,
in accordance with Swiss corporate law, approved a cash dividend in the total
amount of $4.20 per share, payable in four equal installments on dates to be
determined by the Board in its discretion. The first and second payments were
made on June 26, 2026 and September 25, 2026. The Board of Directors has
established December 24, 2026, as the payment date for the next dividend
installment of $1.05 per share with a record date of December 11, 2026. The
Board currently anticipates the scheduling of the remaining quarterly dividend
installment as follows:
Dividend Date Record Date $’s per share
March 26, 2027 March 12, 2027 $1.05
Webcast Information/Forward-Looking Statements: The information for Garmin
Ltd.’s earnings call is as follows:
When: Wednesday, October 28, 2026 10:30 a.m. Eastern
─────────────────────────────────────────────────────────────────────
Where: Join a live stream of the call at the following link
https://investors.garmin.com/news-and-events/default.aspx
An archive of the live webcast will be available until October 27, 2027 on the
Garmin website at www.garmin.com. To access the replay, click on the Investors
link and click over to the News & Events page. This release includes projections
and other forward-looking statements regarding Garmin Ltd. and its business that
are commonly identified by words such as “anticipates,” “would,” “may,”
“expects,” “estimates,” “plans,” “intends,” “projects,” and other words or
phrases with similar meanings. Any statements regarding the Company’s expected
fiscal 2026 GAAP and pro forma estimated earnings, EPS, and effective tax rate,
and the Company’s expected segment revenue growth rates, consolidated revenue,
gross margins, operating margins, tariffs and other global trade related
impacts, potential future acquisitions, share repurchase programs, currency
movements, expenses, pricing, new product launches, market reach, statements
relating to possible future dividends, and the Company’s plans and objectives
are forward-looking statements. The forward-looking events and circumstances
discussed in this release may not occur and actual results could differ
materially as a result of risk factors and uncertainties affecting Garmin,
including, but not limited to, the risk factors that are described in the Annual
Report on Form 10-K for the year ended December 27, 2025 filed by Garmin with
the Securities and Exchange Commission (Commission file number 001-41118). A
copy of Garmin’s 2025 Form 10-K can be downloaded from
https://investors.garmin.com/financials/sec-filings/default.aspx. All
information provided in this release and in the attachments is as of September
26, 2026. We undertake no duty to update this information unless required by
law. This release and the attachments contain non-GAAP financial measures. A
reconciliation to the nearest GAAP measure and a discussion of the Company’s use
of these measures are included in the attachments. Garmin, the Garmin logo, the
Garmin delta, Edge, fēnix, G1000, G2000, and JL Audio are trademarks of Garmin
Ltd. or its subsidiaries and are registered in one or more countries, including
the U.S. CIRQA, Garmin Drive, Garmin Pilot, SmartDrive, GMI, and LiveScope are
trademarks of Garmin Ltd. or its subsidiaries. All other brands, product names,
company names, trademarks and service marks are the properties of their
respective owners. All rights reserved.
Investor Relations Contact: Media Relations Contact:
Teri Seck Krista Klaus
+1 913 397 8200 +1 913 397 8200
investor.relations@garmin.com media.relations@garmin.com
Garm…
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Inco… 728,3… 724,4… 2,199… 2,122…
befo… 1,257… 1,046… 3,562… 2,998…
inco… 312,9… 286,4… 912,6… 831,2…
taxes 333,2… 303,2… 990,5… 904,8…
Inco… 646,1… 589,6… 1,903… 1,736…
tax 611,6… 456,8… 1,658… 1,261…
prov… 36,357 32,085 110,5… 94,316
Net 9,788 20,334 10,417 21,582
inco… 13-We… 3,329 598 39-We… 4,970 1,329
Net Ended 49,474 53,017 Ended 125,8… 117,2…
inco… Septe… 661,1… Septe… 509,8… Septe… 1,784… Sept… 1,379…
per 26, 119,4… 27, 108,2… 26, 296,0… 27, 243,9…
shar… 2026 541,6… 2025 401,6… 2026 1,488… 2025 1,135…
──────────────────────────────────────────────────────────────────────────────
Basic $ 2.81 $ 2.09 $ 7.72 $ 5.90
Dilu… $ 2.80 $ 2.08 $ 7.69 $ 5.87
Weig…
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shar…
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Basic 192,8… 192,4… 192,7… 192,5…
Dilu… 193,6… 193,5… 193,5… 193,5…
Garmin Ltd.
and
Subsidiaries
Condensed
Consolidated
Balance
Sheets
(Unaudited)
(In
thousands)
Assets
Current September December 27,
assets: 26,2026 2025
──────────────────────────────────────────────────────────────────────────────
Cash and
cash $ 2,039,779 $ 2,278,646
equivalents
Marketable 299,693 459,202
securities
Accounts
receivable, 1,137,167 1,253,015
net
Inventories 2,251,741 1,772,257
Deferred 12,508 17,538
costs
Prepaid
expenses and
other 742,631 467,558
current
assets
Total
current 6,483,519 6,248,216
assets
Property and
equipment, 1,496,143 1,375,348
net
Operating
lease 207,636 196,183
right-of-use
assets
Noncurrent
marketable 1,727,086 1,396,929
securities
Deferred
income tax 704,893 718,094
assets
Noncurrent
deferred 3,918 4,373
costs
Goodwill 978,557 760,241
Other
intangible 270,875 198,362
assets, net
Other
noncurrent 121,156 95,923
assets
Total assets $ 11,993,783 $ 10,993,669
Liabilities
and
Stockholder…
Equity
Current
liabilities:
Accounts $ 500,671 $ 347,493
payable
Salaries and
benefits 256,762 228,267
payable
Accrued
warranty 76,874 72,921
costs
Accrued
sales 113,724 153,193
program
costs
Other
accrued 271,233 257,651
expenses
Deferred 119,858 105,646
revenue
Income taxes 384,351 381,549
payable
Dividend 404,779 173,351
payable
Total
current 2,128,252 1,720,071
liabilities
Deferred
income tax 116,224 109,701
liabilities
Noncurrent
income taxes 3,325 3,596
payable
Noncurrent
deferred 22,400 22,277
revenue
Noncurrent
operating 173,491 164,835
lease
liabilities
Other
noncurrent 565 625
liabilities
Stockholder…
equity:
Common
shares,
$0.10 par
value
(194,901
and 194,901
shares 19,490 19,490
authorized
andissued;
192,757 and
192,620
shares
outstanding)
Additional
paid-in 2,425,759 2,368,670
capital
Treasury
shares
(2,144 and (468,628 ) (406,423 )
2,281
shares)
Retained 7,648,939 6,970,182
earnings
Accumulated
other
comprehensi… (76,034 ) 20,645
income
(loss)
Total
stockholder… 9,549,526 8,972,564
equity
Total
liabilities
and $ 11,993,783 $ 10,993,669
stockholder…
equity
Garmin Ltd.
and
Subsidiaries
Condensed
Consolidated
Statements of
Cash Flows
(Unaudited)
(In
thousands) 39-Weeks Ended
Operating September 26, September 27,
Activities: 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net income $ 1,488,660 $ 1,135,206
Adjustments
to reconcile
net income to
net cash
provided by
operating
activities:
Depreciation 122,519 115,633
Amortization 26,692 26,874
(Gain) loss
on sale or
disposal of (639 ) 375
property and
equipment
Unrealized
foreign (7,347 ) (37,606 )
currency
gains
Deferred 33,523 19,324
income taxes
Stock
compensation 133,526 125,003
expense
Realized loss
on marketable 587 857
securities
Changes in
operating
assets and
liabilities,
net of
acquisitions:
Accounts
receivable,
net of 102,946 68,818
allowance
for doubtful
accounts
Inventories (488,774 ) (324,880 )
Other current
and (266,274 ) (18,466 )
noncurrent
assets
Accounts 156,023 (7,531 )
payable
Other current
and 5,978 1,944
noncurrent
liabilities
Deferred 3,642 (11,603 )
revenue
Deferred 5,486 8,703
costs
Income taxes 16,851 (23,077 )
Net cash
provided by 1,333,399 1,079,574
operating
activities
Investing
activities:
Purchases of
property and (294,982 ) (146,273 )
equipment
Purchase of
marketable (632,001 ) (724,091 )
securities
Redemption of
marketable 403,842 531,804
securities
Net payments
for (320,588 ) (175,655 )
acquisitions
Other
investing 2,388 387
activities,
net
Net cash used
in investing (841,341 ) (513,828 )
activities
Financing
activities:
Dividends (578,474 ) (490,919 )
Proceeds from
issuance of
treasury 31,425 29,065
shares
related to
equity awards
Purchase of
treasury
shares (47,069 ) (33,476 )
related to
equity awards
Purchase of
treasury
shares under (123,206 ) (130,149 )
share
repurchase
plan
Net cash used
in financing (717,324 ) (625,479 )
activities
Effect of
exchange rate
changes on (13,570 ) 53,125
cash
and cash
equivalents
Net decrease
in cash, cash
equivalents, (238,836 ) (6,608 )
and
restricted
cash
Cash, cash
equivalents,
and
restricted 2,279,360 2,080,154
cash at
beginning of
period
Cash, cash
equivalents,
and $ 2,040,524 $ 2,073,546
restricted
cash at end
of period
Garmin Ltd. and Subsidiaries
Net Sales, Gross Profit and Operating Income by
Segment (Unaudited)
(In thousands)
1…
E…
S…
2… Au…
2… Fi… Ou… Av… Ma… OEM To…
──────────────────────────────────────────────────────────────────────────────
N… $ 69… $ 59… $ 25… $ 30… $ 13… $ 1…
s…
G… 43… 40… 19… 19… 21… 1…
p…
O…
i… 23… 23… 65… 93… (1… ) 6…
(…
1…
E…
S…
2…
2…
N… $ 60… $ 49… $ 24… $ 26… $ 16… $ 1…
s…
G… 36… 32… 18… 14… 24… 1…
p…
O…
i… 19… 16… 60… 49… (1… ) 4…
(…
3…
E…
S…
2…
2…
N… $ 1,… $ 1,… $ 78… $ 1,… $ 47… $ 5…
s…
G… 1,… 1,… 59… 60… 90… 3…
p…
O…
i… 66… 51… 20… 28… (1… ) 1…
(…
3…
E…
S…
2…
2…
N… $ 1,… $ 1,… $ 71… $ 88… $ 50… $ 5…
s…
G… 94… 93… 53… 49… 83… 2…
p…
O…
i… 46… 45… 17… 19… (3… ) 1…
(…
Ga…
Lt…
and
Su…
Net
Sa…
by
Ge…
(U…
(In
th…
13-… 39-…
End… End…
Sep… Sep… YoY Sep… Sep… YoY
26, 27, 26, 27,
2026 2025 Cha… 2026 2025 Chan…
Net $ 1,9… $ 1,7… 12% $ 5,7… $ 5,1… 13%
sa…
Am… 913… 795… 15% 2,7… 2,4… 12%
EM… 778… 692… 12% 2,2… 1,9… 14%
AP… 294… 282… 4% 846… 762… 11%
Am…
-
No…
Am…
&
So…
Am…
EM…
-
Eu…
Mi…
Ea…
&
Af…
AP…
-
As…
Pa…
&
Au…
Co…
Non-GAAP Financial Information To supplement our financial results presented in
accordance with GAAP, this release includes the following measures defined by
the Securities and Exchange Commission as non-GAAP financial measures: pro forma
effective tax rate, pro forma net income (earnings) per share and free cash
flow. These non-GAAP measures are not based on any comprehensive set of
accounting rules or principles and should not be considered a substitute for, or
superior to, financial measures calculated in accordance with GAAP, and may be
different from non-GAAP measures used by other companies, limiting the
usefulness of the measures for comparison with other companies. Management
believes providing investors with an operating view consistent with how it
manages the Company provides enhanced transparency into the operating results of
the Company, as described in more detail by category below. The tables below
provide reconciliations between the GAAP and non-GAAP measures. Pro forma
effective tax rate The Company’s income tax expense is occasionally impacted by
discrete tax items that are not reflective of income tax expense incurred as a
result of current period earnings. Therefore, management believes the effective
tax rate and income tax provision before the effect of certain discrete tax
items are important measures to permit investors' consistent comparison between
periods. In the first three quarters of 2026 and 2025 there were no such
discrete tax items identified. Pro forma net income (earnings) per share
Management believes net income (earnings) per share before the impact of foreign
currency gains or losses and certain discrete income tax items, as discussed
above, is an important measure to permit a consistent comparison of the
Company’s performance between periods.
(In
tho…
exc…
per 13-W… 39-…
sha… Ended Sept… Sept… End… Sept… Sep…
inf… 2026 26, 2025 27, 2026 26, 2025 27,
──────────────────────────────────────────────────────────────────────────────
GAAP
net $ 541,… $ 401,… $ 1,48… $ 1,1…
inc…
For…
cur…
gai… (9,7… ) (20,… ) (10,… ) (21… )
/
los…
Tax
eff…
of
for… 1,769 4,316 1,728 3,8…
cur…
gai…
/
los…
Pro
for… $ 533,… $ 385,… $ 1,47… $ 1,1…
net
inc…
GAAP
net
inc…
per
sha…
Bas… $ 2.81 $ 2.09 $ 7.72 $ 5.90
Dil… $ 2.80 $ 2.08 $ 7.69 $ 5.87
Pro
for…
net
inc…
per
sha…
Bas… $ 2.77 $ 2.00 $ 7.68 $ 5.80
Dil… $ 2.76 $ 1.99 $ 7.65 $ 5.77
Wei…
ave…
com…
sha…
out…
Bas… 192,… 192,… 192,… 192…
Dil… 193,… 193,… 193,… 193…
(1)
For…
cur…
gai…
and
los…
for
the
Com…
are
dri…
by
mov…
of a
num…
of
cur…
in
rel…
to
the
U.S.
Dol…
and
the
rel…
exc…
rate
imp…
on
the
sig…
cas…
rec…
and
pay…
held
in a
cur…
oth…
than
the
fun…
cur…
at a
giv…
leg…
ent…
How…
the…
is
min…
cash
imp…
from
such
for…
cur…
gai…
and
los…
(2)
The
tax
eff…
of
for…
cur…
gai…
was
cal…
usi…
the
eff…
tax
rat…
of
18.…
and
16.…
for
the
13-…
and
39-…
end…
Sep…
26,
202…
res…
and
21.…
and
17.…
for
the
13-…
and
39-…
end…
Sep…
27,
202…
res…
Free cash flow Management believes free cash flow is an important liquidity
measure because it represents the amount of cash provided by operations that is
available for investing and defines it as operating cash flows less capital
expenditures for property and equipment. Management believes excluding purchases
of property and equipment provides a better understanding of the underlying
trends in the Company’s operations and allows more accurate comparisons of the
Company’s results between periods. This metric may also be useful to investors
but should not be considered in isolation as it is not a measure of cash flow
available for discretionary expenditures. The most comparable GAAP measure is
net cash provided by operating activities.
13-W… 39-…
(In Ended Sept… Sept… End… Sept… Sep…
tho… 2026 26, 2025 27, 2026 26, 2025 27,
──────────────────────────────────────────────────────────────────────────────
Net
cash
pro… $ 393,… $ 485,… $ 1,33… $ 1,0…
by
ope…
act…
Les…
pur…
of (100… ) (60,… ) (294… ) (14… )
pro…
and
equ…
Free
cash $ 293,… $ 425,… $ 1,03… $ 933…
flow
Forward-looking Financial Measures The forward-looking measures in our 2026
guidance include certain economic assumptions such as foreign currency exchange
rates and tariffs which are fluid and can rapidly change favorably or
unfavorably. The forward-looking financial measures in our 2026 guidance
provided above do not consider the potential future net effect of foreign
currency exchange gains and losses, certain discrete tax items and any other
impacts that may be identified as pro forma adjustments in calculating the non-
GAAP measures described above. The estimated impact of foreign currency gains
and losses cannot be reasonably estimated on a forward-looking basis due to the
high variability and low visibility with respect to non-operating foreign
currency exchange gains and losses and the related tax effects of such gains and
losses. The impact on diluted net income per share of foreign currency gains and
losses, net of tax effects, was $0.04 per share for the 39-week period ended
September 26, 2026. At this time, management is unable to determine whether or
not significant discrete tax items will occur in fiscal 2026, estimate the
impact of any such items, or anticipate the impact of any other events that may
be considered in the calculation of non-GAAP financial measures.