Company reports record results and proposes dividend increase
SCHAFFHAUSEN, Switzerland — (BUSINESS WIRE) — February 17, 2021 — Garmin® Ltd. (NASDAQ: GRMN), today announced results for the fourth quarter and fiscal year ended December 26, 2020.
Highlights for fourth quarter 2020 include:
- Total revenue of $1.35 billion, a 23% increase over the prior year quarter, led by robust growth in the marine, fitness and outdoor segments
- Gross margin of 58.5% compared to 58.0% in the prior year quarter
- Operating margin improved to 27.5% compared to 25.1% in the prior year quarter
- Operating income of $371 million, increasing 34% over the prior year quarter
- GAAP EPS was $1.73 and pro forma EPS(1) was $1.73, representing 34% growth in pro forma EPS over the prior year quarter
- Added pregnancy tracking to Garmin Connect, providing innovative new tools to women who want to remain fit and healthy during pregnancy
- Expanded our reach in the recreational diving market with the launch of the new Descent® Mk2i, our first dive watch featuring air integration in combination with the T1 tank transmitter
- Garmin Autoland was named one of 2020’s greatest innovations by Popular Science and won a Top Flight Award from Aviation International News
- Recently announced the acquisition of substantially all the assets of GEOS Worldwide Limited, a leading provider of emergency monitoring and response services for customers around the globe
Highlights for fiscal year 2020 include:
- Fifth consecutive year of revenue and operating income growth
- Record consolidated revenue of $4.19 billion, an 11% increase
- Gross margin of 59.3% compared to 59.5% in the prior year
- Operating margin of 25.2% consistent with the prior year
- Record operating income of $1.05 billion, increasing 11% over the prior year
- GAAP EPS was $5.17 and pro forma EPS(1) was $5.14, representing 16% growth over the prior year pro forma EPS
(in thousands, except per share data) |
|
13-Weeks Ended |
|
|
52-Weeks Ended |
|
||||||||||||||||||
|
|
December 26, |
|
|
December 28, |
|
|
YoY |
|
|
December 26, |
|
|
December 28, |
|
|
YoY |
|
||||||
|
|
2020 |
|
|
2019 |
|
|
Change |
|
|
2020 |
|
|
2019 |
|
|
Change |
|
||||||
Net sales |
|
$ |
1,351,405 |
|
|
$ |
1,102,233 |
|
|
|
23 |
% |
|
$ |
4,186,573 |
|
|
$ |
3,757,505 |
|
|
|
11 |
% |
Fitness |
|
|
470,811 |
|
|
|
372,520 |
|
|
|
26 |
% |
|
|
1,317,498 |
|
|
|
1,047,527 |
|
|
|
26 |
% |
Outdoor |
|
|
411,935 |
|
|
|
294,819 |
|
|
|
40 |
% |
|
|
1,128,081 |
|
|
|
917,567 |
|
|
|
23 |
% |
Aviation |
|
|
156,969 |
|
|
|
193,143 |
|
|
|
(19 |
)% |
|
|
622,820 |
|
|
|
735,458 |
|
|
|
(15 |
)% |
Marine |
|
|
171,579 |
|
|
|
115,779 |
|
|
|
48 |
% |
|
|
657,848 |
|
|
|
508,850 |
|
|
|
29 |
% |
Auto |
|
|
140,111 |
|
|
|
125,972 |
|
|
|
11 |
% |
|
|
460,326 |
|
|
|
548,103 |
|
|
|
(16 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross margin % |
|
|
58.5 |
% |
|
|
58.0 |
% |
|
|
|
|
|
|
59.3 |
% |
|
|
59.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income % |
|
|
27.5 |
% |
|
|
25.1 |
% |
|
|
|
|
|
|
25.2 |
% |
|
|
25.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP diluted EPS |
|
|
$1.73 |
|
|
|
$1.89 |
|
|
|
(8 |
)% |
|
|
$5.17 |
|
|
|
$4.99 |
|
|
|
4 |
% |
Pro forma diluted EPS (1) |
|
|
$1.73 |
|
|
|
$1.29 |
|
|
|
34 |
% |
|
|
$5.14 |
|
|
|
$4.45 |
|
|
|
16 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See attached Non-GAAP Financial Information for discussion and reconciliation of non-GAAP financial measures, including pro forma diluted EPS |