Garmin Reports 20% Revenue Growth to $1.81 Billion in Latest Quarter

Garmin Ltd. reported significant financial growth in its latest quarterly results, with net sales reaching $1.81 billion for the 13-week period ending June 28, 2025, a 20% increase from $1.51 billion in the same period last year. The company's net income also saw a substantial rise, climbing to $400.8 million, compared to $300.6 million in the prior year, marking a 33% increase. For the first half of 2025, Garmin's total revenue was $3.35 billion, up 16% from $2.89 billion in the first half of 2024, while net income for the period rose to $733.6 million from $576.6 million.

The growth in revenue was driven by strong performance across several segments, particularly in fitness and outdoor products, which accounted for 33% and 27% of total sales, respectively. The fitness segment alone saw a 41% increase in sales, attributed to heightened demand for advanced wearables. Other segments, including aviation and marine, also contributed to the overall growth, with increases of 14% and 10%, respectively. The company reported total unit sales of 5,203 in the second quarter, up from 4,655 a year earlier, although the revenue growth was influenced by shifts in product mix.

Garmin's operational expenses increased, with research and development costs rising by 14% to $276.7 million, reflecting the company's commitment to innovation. Selling, general, and administrative expenses also grew by 15% to $318.1 million. Despite these increases, total operating income for the quarter surged by 38% to $472.3 million, driven by improved gross margins across all segments, particularly in fitness and outdoor products. The overall gross profit increased by 24% to $1.07 billion, with a consolidated gross margin of 59%, up from 57% in the previous year.

In terms of strategic developments, Garmin completed the acquisition of MYLAPS, a company specializing in sports timing and performance analysis, although the financial impact of this acquisition was not material. The company continues to focus on expanding its product offerings and enhancing its market presence, particularly in the fitness and outdoor segments. As of June 28, 2025, Garmin reported total assets of $10.32 billion, with cash and cash equivalents amounting to approximately $2.07 billion.

Looking ahead, Garmin anticipates continued growth driven by strong demand for its products and strategic investments in research and development. The company is also evaluating the potential impacts of recent U.S. tax legislation enacted on July 4, 2025, which may affect its tax obligations in the coming years. Overall, Garmin's robust financial performance and strategic initiatives position it well for future growth in a competitive market.