Garmin Ltd
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.67%.
Did GRMN Beat Earnings? Q2 2025 Results
Garmin kicked off the back half of 2025 with a record-breaking second quarter, posting pro forma EPS of $2.17 against a consensus estimate of $1.90, a beat of 14.38%, while revenue of $1.81 billion topped expectations by 6.45% and grew 20.4% year-over-year. The standout driver was the Fitness segment, which surged 41% to $605.42 million on the strength of newly launched wearables including the Forerunner 570, Forerunner 970, Venu X1, and the company's first smart sleep band, the Index Sleep Monitor, collectively pulling overall gross margin to 58.8% from 57.3% a year earlier. Operating income climbed 38% to a record $472.30 million, with operating margin expanding sharply to 26.0% from 22.7%, underscoring the leverage embedded in Garmin's diversified business model. All five segments delivered double-digit growth, and EMEA led geographically with 25% revenue expansion. Encouraged by the strong first-half momentum, management raised its full-year 2025 outlook to approximately $7.10 billion in revenue and pro forma EPS of $8.00.
- Strong demand for advanced wearables driving 41% Fitness segment growth
- Growth in adventure watches in the Outdoor segment
- Both OEM and aftermarket contributions in Aviation
- Chartplotter growth leading Marine segment
- Domain controller growth driving Auto OEM segment
- Gross margin expansion to 58.8% from 57.3%
- Operating margin expansion to 26.0% from 22.7%
- Double-digit revenue growth across all five segments
“We delivered another quarter of outstanding financial results with double-digit growth in every segment, driven by our strong lineup of innovative and highly differentiated products that customers desire. We are very pleased with our results so far in 2025, which have exceeded our expectations and give us confidence to raise our full year guidance.”
Garmin CEO, on the earnings call
Forward Guidance & Outlook
Garmin raised its full year 2025 guidance based on strong first-half performance. The company now anticipates revenue of approximately $7.1 billion and pro forma EPS of $8.00, based on gross margin of 58.5%, operating margin of 24.8%, and a full year tax rate of 17.5%. Management noted the forward-looking measures include economic assumptions around foreign currency exchange rates and tariffs which are fluid and can rapidly change.
GRMN YoY Financials
GRMN Revenue by Segment
GRMN Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.