NASDAQ$GRMN

Garmin Ltd. · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Garmin reported strong revenue and income, with fitness and marine segments offsetting declines in other areas.

Garmin's Q2 2020 revenue reached $870 million, a 9% decrease year-over-year, with growth in the fitness and marine segments partially offsetting declines in outdoor, aviation, and automotive. The company reported a GAAP EPS of $0.96 and a pro forma EPS of $0.91. They also acquired Firstbeat Analytics.

  • Total revenue was $870 million, a 9% year-over-year decrease.
  • Gross margin was 59.3% and operating margin was 21.7%.
  • GAAP EPS was $0.96 and pro forma EPS was $0.91.
  • Acquired Firstbeat Analytics, a leading provider of physiological analytics technology.

Headline financials

Total Revenue

$870M

Previous: $955M-8.9%
EPS (adj)

$0.91

Previous: $1.16-21.6%
Gross Margin

59.3%

Previous: 60.3%-1.7%
Operating Margin

21.7%

Previous: 26.8%-19.0%
Effective Tax Rate

6.8%

No prior period
Capital Expenditures

-$98.3M

Previous: -$60.5M-62.4%
Free Cash Flow

$85.9M

Previous: $163M-47.3%
Net Income

$184M

Previous: $224M-17.7%
Operating Income

$188M

Previous: $256M-26.5%
Gross Profit

$515M

Previous: $575M-10.4%
Cash & Equivalents

$1.35B

Previous: $820M+65.2%
Total Assets

$6.22B

Previous: $5.52B+12.6%
Stock-Based Comp

$15.9M

Previous: $15.8M+0.6%

Revenue & EPS history

Garmin · Revenue · Quarterly

$870M

Q2 2020-8.9%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Garmin · $870M total across 5 segments · Q2 2020

  • Fitness
    $295M+17.1%
  • Outdoor
    $206M-2.0%
  • Marine
    $158M+4.2%
  • Aviation
    $126M-31.4%
  • Auto OEM
    $85.1M-46.0%

Forward guidance

This release includes 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.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.4%

Avg return

Earnings day

+2.1%

Avg return

5 days after

+3.2%

Avg return

30 days after

51%

37 / 73 earnings

Positive

+19.3%

Q3 2024

Best reaction

-11.5%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.0%-3.7%-5.6%
Q4 2025+9.7%+13.9%+7.1%
Q3 2025-11.5%-15.1%-21.3%
Q2 2025-7.4%-5.8%+1.1%
Q1 2025-8.4%-6.8%-0.6%
Q4 2024+12.6%+3.7%-2.1%
Q3 2024+19.3%+20.4%+27.9%
Q2 2024-4.6%-9.9%+2.2%
Q1 2024+14.4%+16.2%+13.4%
Q4 2023+9.1%+10.2%+20.0%
Q3 2023+11.6%+13.4%+20.6%
Q2 2023-0.0%-0.2%-0.3%
Q1 2023+4.5%+6.6%+9.6%
Q4 2022+7.4%+4.7%+2.1%
Q3 2022+1.2%+3.7%+7.3%
Q2 2022-4.4%-4.1%-10.8%
Q1 2022+0.6%+1.6%-4.1%
Q4 2021-5.5%-4.5%-0.2%
Q3 2021-9.5%-11.8%-13.0%
Q2 2021+3.8%+3.8%+15.7%
Q1 2021-1.7%-2.3%+0.8%
Q4 2020-3.7%-3.6%-5.1%
Q3 2020+2.1%+11.4%+18.7%
Q2 2020+0.7%+0.6%+4.4%
Q1 2020-2.7%-4.4%+8.1%
Q4 2019+2.8%-1.8%-32.0%
Q3 2019+6.6%+7.2%+11.1%
Q2 2019+0.2%-1.6%+6.5%
Q1 2019-8.1%-7.5%-10.8%
Q4 2018+16.1%+17.7%+17.8%
Q3 2018+6.9%+2.9%+5.7%
Q2 2018+3.3%+3.4%+9.1%
Q1 2018+2.3%+0.6%+4.1%
Q4 2017-6.9%-6.5%-11.1%
Q3 2017+4.0%+4.8%+8.2%
Q2 2017+3.7%+4.2%+3.7%
Q1 2017+0.4%+1.4%+3.3%
Q4 2016+3.7%+4.3%+1.3%
Q3 2016-3.4%-2.3%+6.6%
Q2 2016+15.4%+20.2%+8.2%
Q1 2016+2.3%
Q4 2015+15.7%
Q3 2015+1.8%
Q2 2015-1.4%
Q1 2015-4.8%
Q4 2014-10.7%
Q3 2014-5.3%
Q2 2014-4.4%
Q1 2014+3.1%
Q4 2013+9.3%
Q3 2013-2.7%
Q2 2013+7.2%
Q1 2013-1.6%
Q4 2012-10.8%
Q3 2012-2.3%
Q2 2012+4.5%
Q1 2012-3.5%
Q4 2011-1.4%
Q3 2011+4.9%
Q2 2011+0.5%
Q1 2011-0.7%
Q4 2010+1.0%
Q3 2010-3.5%
Q2 2010+2.2%
Q1 2009-10.6%
Q1 2010-2.0%
Q4 2009-7.3%
Q4 2007-7.3%
Q3 2008-10.4%
Q3 2009-10.4%
Q4 2008-3.1%
Q2 2008-3.1%
Q2 2009-3.1%

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