Garmin Ltd. has recently released its 10-K report, providing detailed insights into the company's financial performance and operations. The company, founded in 1989 and based in Schaffhausen, Switzerland, is a leading global producer of wireless devices, offering a wide range of products such as running and multi-sport watches, cycling products, smartwatch devices, and aviation avionics solutions. Garmin operates in five primary segments: fitness, outdoor, aviation, marine, and auto OEM.
In the 10-K report, Garmin's net sales for the 52-week period ended December 27, 2025, amounted to approximately $7.25 billion, marking a 15% increase from the prior year. The company's total unit sales also saw a significant uptick, rising about 11% to 20.7 million units in 2025 from 18.6 million units in 2024.
The report further details the breakdown of net sales across the company's segments, with fitness accounting for 33% of total net sales in 2025, followed by outdoor at 28%, aviation at 14%, marine at 16%, and auto OEM at 9%. The increase in fitness revenue was primarily attributed to strong demand for wearables, while the growth in outdoor revenue was driven by sales in adventure watches. Additionally, aviation revenue saw an uptick due to sales growth in OEM and aftermarket product categories, while marine revenue increased as a result of sales growth across various product lines.
Garmin's operating income for the 52-week period ended December 27, 2025, stood at 26% of net sales, representing a steady increase from the previous year. The company's gross profit margin, calculated as gross profit as a percentage of net sales, remained stable at 59% for 2025, reflecting the company's effective cost management and product mix strategy.
The 10-K report also delves into the company's critical accounting estimates, including uncertainties related to income tax positions and the impact of sales price variability, particularly associated with foreign currency fluctuations, on gross profit. Additionally, the report provides a detailed breakdown of operating expenses, research and development costs, and selling, general, and administrative expenses, offering investors and stakeholders a comprehensive understanding of Garmin's financial and operational performance.
Today the company's shares have moved -0.38% to a price of $211.80. For the full picture, make sure to review GARMIN's 10-K report.
