Revenues up
Garmin announced $812 million in revenue for the second quarter of 2016, up 5% from the previous year. Fitness, outdoor, marine and aviation activities grew by 20% compared to the previous quarter and accounted for 70% of total revenues.
Gross margin was 57% and operating margin 24.7%, both up.
Net income for the second quarter of 2016 is estimated at $161.1 million.
A growing marine sector
Garmin Ltd's marine revenues increased by 8% in the second quarter, driven by the launch of new chart readers, fishfinders and sound accessories.
Garmin attributes the growth in the marine segment to market share gains in inland fisheries.
Higher forecasts
The company is raising its forecast for 2016 to $2.9 million from $2.82 million and revenue per share from $2.25 to $2.5 million.
The navy as a solid base
For Cliff Pemble, CEO of Garmin Ltd, the company"achieved significant results in the second quarter of 2016, with each sector delivering solid performance. "Aviation and the navy have ensured growth in revenues and profits
It can be noted that investments in advertising in the marine sector are decreasing, the company preferring to concentrate its efforts on the outdoor and connected equipment sectors, in full expansion.
