Garmin (GRMN) Q3 2026 Earnings
How Did GRMN Stock React to Q3 2026 Earnings?
Did GRMN Beat Earnings? Q3 2026 Results
Yes. Garmin reported Q3 2026 earnings of $2.76 a share on Oct 28, 2026, beating the $2.38 consensus estimate by 15.8%. Revenue was $2.0B against a $2.0B estimate.
Garmin delivered a standout third quarter for the period ended September 26, 2026, posting adjusted EPS of $2.76 against a consensus estimate of $2.38, a beat of 15.80% that extended the company's winning streak to six consecutive quarters of topping analyst expectations. Revenue climbed 12.2% year-over-year to $1.99 billion, edging past the $1.98 billion estimate, while record operating income of $611.65 million reflected a gross margin expansion of 420 basis points to 63.3%, aided in part by approximately $33 million in refunded tariff payments. The Outdoor and Fitness segments were the primary engines of growth, rising 20% and 16% respectively, fueled by strong demand for adventure watches including the newly launched fēnix 9 series and expanding wearable offerings. Auto OEM remained a drag, declining 20% and recording an operating loss, consistent with analyst expectations heading into the print. Looking ahead, Garmin raised its full-year 2026 outlook, now guiding for revenue of approximately $8.15 billion and pro forma EPS of $10.80, citing strong momentum entering the holiday selling season.
- Strong demand for wearables drove Fitness segment growth of 16%
- Adventure watches drove Outdoor segment growth of 20%
- Broad-based growth across marine categories led by sonar products
- OEM product categories drove Aviation segment growth of 5%
- Favorable segment mix, lower product cost, and approximately $33 million in refunds of previously paid tariffs expanded gross margin by 420 basis points
- Lower effective tax rate of 18.1% vs 21.2% driven by U.S. tax legislation provisions effective in 2026
“We achieved another quarter of record operating results driven by strength across markets and product categories, with meaningful contributions from recently launched products. Our results were further enhanced by strong operational execution resulting in record consolidated gross margin and impressive operating profit leverage. We are raising our 2026 outlook based on the results we have achieved so far and the momentum we are experiencing as we enter the important holiday selling season.”
Garmin CEO, on the earnings call
What Is Garmin's Outlook?
Garmin raised its full year 2026 guidance based on performance through the first three quarters and positive outlook for the remainder of the year. The company now anticipates revenue of approximately $8.15 billion and pro forma EPS of $10.80, based on gross margin of 61.0%, operating margin of 29.0%, and a full year tax rate of 16.5%. Management cited momentum entering the important holiday selling season.
GRMN YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $2.0B | $1.8B | +12.2% |
| Gross Profit | $1.3B | $1.0B | +20.2% |
| Operating Income | $611.6M | $456.8M | +33.9% |
| Net Income | $541.7M | $401.6M | +34.9% |
GRMN Revenue by Segment
GRMN Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.