Garmin Ltd. (NYSE:GRMN) Q3 2022 Earnings Conference Call October 26, 2022 10:30 AM ET Company Participants Teri Seck - Director IR Clifton Pemble - President and CEO Doug Boessen - CFO Conference Call Participants Paul Chung - JPMorgan David Macgregor - Longbow Research Ben Bollin - Cleveland Research Ivan Feinseth - Tigers Financial Research Erik Woodring - Morgan Stanley Operator Thank you for standing by and welcome to the Garmin Limited Third Quarter 2022 Earnings Conference Call. At this time, all part ...

Financial Data and Key Metrics Changes - Consolidated revenue for Q2 2022 was $1.24 billion, a decrease of 6% from the previous year [9] - Operating profit was $293 million, down 21% year-over-year, with an operating margin of 23.6% [9][28] - The company anticipates full-year revenue of approximately $5 billion, flat compared to the prior year, and EPS of $4.90, representing a decline of about 16% [13][36] Business Segment Performance - **Fitness**: Revenue decreased 34% to $272 million, with gross and operating margins at 49% and 9%, respectively [14] - **Outdoor**: Revenue increased 18% to $382 million, with strong margins of 66% and 40%, resulting in operating income of $154 million [17] - **Aviation**: Revenue rose 13% to $205 million, with gross and operating margins at 72% and 30%, respectively [19] - **Marine**: Revenue decreased 7% to $243 million, with gross and operating margins at 57% and 28%, respectively [21] - **Auto**: Revenue decreased 6% to $139 million, with a gross margin of 40% and an operating loss of $15 million [24] Market Data and Key Metrics Changes - The Americas region contributed about half of the revenue for the quarter, remaining flat, while EMEA and APAC regions experienced declines due to foreign exchange rates [29] - The company faced significant headwinds from a stronger US dollar, impacting revenue by approximately $57 million [10] Company Strategy and Industry Competition - The company is focused on managing currency fluctuations by increasing prices where possible and introducing innovative products [11] - The diversified business model is seen as a strength, providing opportunities for growth across segments despite current challenges [26] Management's Comments on Operating Environment and Future Outlook - Management acknowledged supply chain constraints and the impact of the COVID-19 pandemic on performance, adjusting expectations for the remainder of the year [12][13] - The company remains optimistic about new product introductions and their potential to drive future growth [15][18] Other Important Information - The effective tax rate for Q2 was 7.6%, down from 14.8% in the prior year, primarily due to income mix by tax jurisdiction [35] - Free cash flow for Q2 was $5 million, a decrease of $115 million from the prior quarter [33] Q&A Session Summary Question: Fitness channel levels and demand feedback - Management noted that inventory levels for cycling computers are fine, but there is a backlog in indoor cycling products due to high retail inventory [40][42] Question: Aviation segment strength and margin outlook - The aviation segment saw growth in both OEM and aftermarket categories, with expectations for continued strength in the second half [44][46] Question: Outdoor business performance and user profile - The outdoor segment is expected to grow 20% for the year, with a healthy channel and a mix of new and upgrade users [48] Question: Inventory levels and holiday season outlook - Management is confident in their inventory strategy, ensuring they can meet demand while managing costs effectively [55][56] Question: Marine segment constraints and backlog - Constraints are primarily due to key components for chart-plotters, but progress is being made in addressing backorders [61] Question: Fitness gross margin expectations - Management indicated that gross margins in fitness may remain in the high 40s due to foreign exchange and freight impacts [65] Question: Expansion into aviation cockpit headsets - Management expressed excitement about the diesel headset and potential opportunities in aviation cockpits [69] Question: Long-term growth opportunities - Management is focused on managing for the long term while navigating current economic challenges [71] Question: Upcoming new product introductions - New products are planned across most segments, with management expressing excitement about future launches [72]

Q2 2022 Earnings July 27, 2022 Safe Harbor Statement These materials include projections and other forward-looking statements regarding Garmin Ltd. and its business that are commonly identified by words such as "anticipates," "would," "may," "expects," "estimates," "plans," "intends," "projects," and other words or phrases with similar meanings. Any statements regarding the Company's expected fiscal 2022 GAAP and pro forma estimated earnings, EPS, and effective tax rate, and the Company's expected segment r ...

Garmin Ltd (NYSE:GRMN) Q1 2022 Earnings Conference Call April 27, 2022 10:30 AM ET Company Participants Teri Seck - Manager, IR Clifton Pemble - President, CEO & Director Douglas Boessen - CFO & Treasurer Conference Call Participants Paul Chung - JPMorgan Chase & Co. William Power - Robert W. Baird & Co. Nikolay Todorov - Longbow Research Jeffrey Rand - Deutsche Bank Benjamin Bollin - Cleveland Research Company Elizabeth Grenfell - Bank of America Merrill Lynch Erik Woodring - Morgan Stanley Operator Good d ...

Q1 2022 Earnings April 27, 2022 Safe Harbor Statement These materials include projections and other forward-looking statements regarding Garmin Ltd. and its business that are commonly identified by words such as "anticipates," "would," "may," "expects," "estimates," "plans," "intends," "projects," and other words or phrases with similar meanings. Any statements regarding the Company's expected fiscal 2022 GAAP and pro forma estimated earnings, EPS, and effective tax rate, and the Company's expected segment ...

Garmin Ltd. (NYSE:GRMN) Q4 2021 Earnings Conference Call February 16, 2022 10:30 AM ET Company Participants Teri Seck – Director-Investor Relations Cliff Pemble – President and Chief Executive Officer Doug Boessen – Chief Financial Officer and Treasurer Conference Call Participants Nik Todorov – Longbow Research Paul Chung – JPMorgan Jeff Harwin – Deutsche Bank Ben Bollin – Cleveland Research Will Power – Baird Erik Woodring – Morgan Stanley Ron Epstein – Bank of America Derek Soderberg – Colliers Securitie ...

GARMIN. Q4 2021 and Fiscal Year Earnings February 16, 2022 Safe Harbor Statement These materials include projections and other forward-looking statements regarding Garmin Ltd. and its business that are commonly identified by words such as "anticipates," "would," "may," "expects," "estimates," "plans," "intends," "projects," and other words or phrases with similar meanings. Any statements regarding the Company's expected fiscal 2022 GAAP and pro forma estimated earnings, EPS, and effective tax rate, and the ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K [☒] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 25, 2021 or [☐] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-41118 GARMIN LTD. (Exact name of registrant as specified in its charter) Switzerland (State or other jurisdiction of incorporation or organi ...

Q3 2021 Earnings October 27, 2021 Safe Harbor Statement These materials include projections and other forward-looking statements regarding Garmin Ltd. and its business that are commonly identified by words such as "anticipates," "would," "may," "expects," "estimates," "plans," "intends," "projects," and other words or phrases with similar meanings. Any statements regarding the Company's expected fiscal 2021 GAAP and pro forma estimated earnings, EPS, and effective tax rate, and the Company's expected segmen ...

Garmin Ltd. (NYSE:GRMN) Q3 2021 Earnings Conference Call October 27, 2021 10:30 AM ET Company Participants Teri Seck - Manager, Investor Relations Cliff Pemble - President and Chief Executive Officer Doug Boessen - Chief Financial Officer and Treasurer Conference Call Participants Paul Chung - JPMorgan Ben Bollin - Cleveland Research Will Power - Baird Ivan Feinseth - Tigress Financial Partners Nik Todorov - Longbow Research Erik Woodring - Morgan Stanley Operator Good day and thank you for standing by. Wel ...