Garmin, the Switzerland-headquartered navigation, aviation and wearable technology company, delivered a landmark 2025, with full-year revenue climbing 15 percent to $7.25 billion (approximately €6.7 billion) and operating income advancing 18 percent to $1.88 billion – both all-time highs. All five business segments posted record annual revenue, while the company shipped more than 20 million units for the first time in its history.
Diversification strategy delivers record results across all five segments
Opening the earnings call, Cliff Pemble, President and Chief Executive Officer, attributed the performance to a deliberate multi-segment strategy: “2025 was another year of remarkable growth and achievement for Garmin with record consolidated revenue, record revenue in all five of our segments, and record consolidated operating income. We attribute this strong performance to our strategic focus on market diversification and creating superior products that are essential to our customers’ lives.”
Garmin – Full-Year Financial Summary
FY 2025
(52 wks ended
Dec 27, 2025)
FY 2024
(52 wks ended
Dec 28, 2024)
YoY
Change
Net Sales
$7,245,519
$6,296,903
15%
Gross Profit
$4,256,303
$3,696,555
15%
Gross Margin %
58.7%
58.7%
+3bps
Operating Income
$1,876,076
$1,593,994
18%
Operating Margin %
25.9%
25.3%
+59bps
GAAP Diluted EPS
$8.59
$7.30
18%
Pro Forma Diluted EPS
$8.56
$7.39
16%
USD thousands, except per-share data | Source: Garmin Q4 2025 Earnings Press Release
Fitness drives the top line
The Fitness segment was the company’s standout performer. Revenue surged 33 percent to $2.36 billion (approximately €2.18 billion), crossing the $2 billion threshold for the first time. Growth came from strong wearables demand, driven by market share gains and category expansion. Operating income in the segment rose 50 percent year on year to $726 million (approximately €671 million), with operating margin expanding 360 basis points to 31 percent.
Two products – the Venu 4 smartwatch and the Forerunner 970 running watch – received Consumer Electronics Show (CES) 2026 Innovation Awards. The company also enhanced its Connect+ premium subscription platform with AI-based nutrition tracking and insights powered by AI-based active intelligence to help users achieve nutrition goals.
On the earnings call, Pemble confirmed that Fitness is expected to remain the company’s strongest growth driver in 2026, fuelled by demand for the current product line-up and new launches.
Garmin Ltd. – Net Sales by Segment (52 Weeks Ended)
Segment
FY 2025
($’000)
FY 2024
($’000)
YoY
Change
FY 2025
Mix
FY 2024
Mix
Fitness
$2.357.000
$1.774.487
33%
32,5%
28,2%
Outdoor
$2.054.061
$1.961.990
5%
28,3%
31,2%
Marine
$1.182.615
$1.073.192
10%
16,3%
17,0%
Aviation
$987.161
$876.614
13%
13,6%
13,9%
Auto OEM
$664.682
$610.620
9%
9,2%
9,7%
Total Net Sales
$7.245.519
$6.296.903
15%
100,0%
100,0%
USD thousands | Source: Garmin Q4 2025 Earnings Press Release
Outdoor consolidates above $2bn
The Outdoor segment generated $2.05 billion (€1.9 billion) in revenue, up 5 per cent, with operating income of $690 million (€638 million) at a 34 per cent margin. The segment’s growth was driven by adventure watches, with the fēnix 8 series contributing for a full twelve months and the fēnix 8 Pro – featuring integrated satellite messaging – launching in September 2025.
During the fourth quarter, Garmin introduced the inReach Mini 3 Plus, a compact satellite communicator offering voice, text and photo sharing for users beyond cellular coverage. The company said it expects growth in the segment to pick up pace in 2026, supported by what it described as a “significant pipeline” of new product launches.
Aviation and Marine maintain momentum
Aviation revenue rose 13 percent to $987 million, with operating income up 22 percent to $257 million. Growth was broad-based, spanning original equipment manufacturer (OEM) programs and aftermarket products. A notable milestone during Q4: Garmin’s Autoland autonomous landing system was used in a real-world emergency for the first time, automatically returning an aircraft to the ground after rapid depressurization over the Rocky Mountains on Dec. 20, 2025. Marine delivered $1.18 billion in revenue, up 10 per cent, with chartplotters—devices that combine GPS positioning with digital nautical charts to display a vessel’s location on a map in real-time—leading category growth.
Auto OEM: a transition year, with Mercedes-Benz partnership on the horizon
Auto OEM revenue rose 9 per cent to $665 million, driven by BMW domain controller shipments. The segment posted a $49 million operating loss as R&D investment continues ahead of future launches. Revenue is expected to decline in 2026 as BMW volumes peak and legacy programmes wind down. Garmin confirmed Mercedes-Benz as its next major domain controller partner, with production ramping from 2027. The company also announced a collaboration with Meta on AI-powered in-vehicle interaction.
Q4 records set as revenue tops $2bn and EPS hits $2.79
Fourth-quarter sales climbed to $2.12 billion (€1.96 billion) – 17 per cent higher than a year earlier – whilst operating income reached $614 million (€567 million). Both figures set new quarterly records. Pro forma earnings per share for the quarter came in at $2.79 (€2.58), a 16 per cent gain year on year. For the full year, pro forma EPS rose 16 per cent to $8.56 (€7.91), and free cash flow grew by $124 million (€115 million) to $1.36 billion (€1.26 billion).
The Board has proposed a $4.20-per-share annual dividend – up 17 per cent from $3.60 – which shareholders will vote on at the 2026 annual meeting. Directors also approved a $500 million buyback programme running through December 2028.
Market rewards Garmin’s $8bn revenue target
For fiscal 2026, Garmin expects revenue of approximately $7.9 billion (€7.3 billion)—representing roughly 9% growth—with operating income exceeding $2 billion (€1.85 billion) for the first time. Management maintained a gross margin target of approximately 58.5% and an operating margin of 25.5%. The company has proactively increased inventory levels of key components, including memory, to buffer against supply chain cost pressures flagged industry-wide. Boessen concluded: “While no one wishes to see supply chain challenges, we believe we are well prepared.”
At markets opening on Feb. 18, Garmin shares rose surged immediately, closing up 9.4% that same day to reach approximately $237.23 (€219.30)
