Garmin announced its second-quarter results, reporting global revenue of $955 million, a 7% increase compared to the same period of the previous year.
Special mention should be made of the combined growth of 12% in the aviation, nautical, fitness and outdoor sectors compared to the same quarter of 2018. Salvador Alcover, general manager of Garmin Iberia, states, “ We are very pleased to have achieved record revenue and profit figures in our second quarter of 2019, with three of our five segments showing double-digit revenue growth rates. These results give us confidence that we will be able to increase our 2019 revenue .”
By sector, the aviation segment recorded a 20% growth in revenue in the second quarter, with contributions from the replacement and OEM categories. Gross and operating margins were 75% and 36%, respectively, resulting in a 27% growth in operating profit.
Revenue from the maritime segment grew 13% this quarter, driven by strong demand for chartplotters and Panoptix LiveScope sonars. Gross and operating margins improved to 61% and 28%, respectively, resulting in strong operating profit growth.
Regarding the fitness segment, revenue grew 12% in the quarter, driven by the recent acquisition of Tacx. Gross and operating margins were 54% and 20%, respectively.
Revenue from the Outdoor segment grew 4% in the quarter, driven by golf and inReach product offerings. Gross and operating margins remained strong at 64% and 34%, respectively.
Finally, the Automotive segment declined 13% in the quarter, due to the continued market contraction. Gross and operating margins improved to 48% and 16%, respectively.
