OLATHE, Kan. (BRAIN) — Garmin Ltd.'s third quarter results beat Wall Street expectations, with revenue of $722 million for the period, 6 percent over the same period last year.
The company's fitness, outdoor, marine and aviation divisions collectively grew 24 percent and made up 70 percent of total revenue; revenue from Garmin's auto business declined 21 percent.
The company said the fitness segment posted revenue growth of 32 percent in the quarter driven by wrist heart rate wearable devices and cycling products. Gross margin in the segment increased year-over-year to 55 percent, while operating margin improved to 24 percent resulting in a 68 percent growth in operating income.
The company updated its guidance for the full fiscal years, now forecasting sales of $2.95 billion, or about a 5 percent growth. Previously Garmin had forecast 3 percent growth for the year.
