Garmin Growth Explodes – Q3.2024 results show highly positive improvements
Garmin’s fitness division continues to grow, with a QonQ revenue growth of 31%. The outdoor division includes Fenix/Epix sales and shows a marked change compared to the results we saw in the last quarter. This time, growth is a solid 21% improvement. Perhaps last quarter, potential buyers knew the Fenix 8 was coming, and this quarter, they got their chequebooks out in anger!
Looking at regional growth, Asia returned to what might be considered normal growth for Garmin – 18%. However, the change in EMEA is a phenomenal 40%; strangely, the Americas seem dull, with a ‘mere’ 15% growth.
The official company commentary perhaps doesn’t say too much that readers of this blog would be interested in product-wise other than Fenix 8, which appears to be highly profitable for the company.
Fitness:
…during the quarter we announced updates to Garmin Coach, adding training plans for cyclists in addition to the existing training plans for runners, making it easier to prepare for an event, pursue a personal milestone or improve overall fitness.Outdoor:
… Gross and operating margins were 68% and 40%, respectively, resulting in $209 million of operating income. During the quarter, we launched both the highly anticipated fenix 8 series, adding brilliant AMOLED displays, cutting edge features, a built-in speaker, microphone, and an LED flashlight, and the Enduro 3, a lightweight ultraperformance GPS smartwatch purpose-built for ultra-endurance athletes with up to 320 hours of battery life in GPS mode with solar charging. We also launched the inReach Messenger Plus, our first satellite communicator with photo and voice messaging in addition to two-way texting, location sharing and SOS capabilities, expanding our customers’ ability to stay in touch beyond cell service.[Pemble, CEO]
Share Price Growth
Garmin’s share price rose significantly today, well ahead of rises in the wider NASDAQ. I’ve followed Garmin’s share price reaction to its quarterly earnings results for several years, and +20% is by far the most starkly positive reaction I can remember.
Previous Quarter’s View
Here.
Cash
Garmin’s cash position increases every quarter. It now exceeds $2.0 billion, which is an important milestone. Maybe it’s time for them to blow it on a questionable acquisition like Peloton. (A: No!)


Take Out
The markets didn’t like the results of the prior quarters, and the sentiment since then has been negative in many places. However, the current quarter has exceeded everyone’s expectations. I also admit surprise at the apparent mega-success of Fenix 8, an expensive watch if ever there was one.
No surprises here, everybody is complaining about the high price of the Fenix 8, but everybody is buying. Its a awesome Watch and i freaking love it. People just have money to spend!
the stats don’t lie! much of it will be B2B sales to the various channels but even so!!
But you pay for it once, and there is no need for any additional subscription to use all the features.
It’s crazy how popular the Fenix 8 is. The only thing I can think of is these are all folks who are coming from much, much older devices. Or we seriously underestimated how many people out there like to SCUBA dive and talk to their wrists.
I normally buy every new Fenix generation, Fenix 6, 7, 7 Pro, and had been planning to buy 8 when it came out but I was very too underwhelmed by it to bother. I had assumed most others fet the same, but perhaps I was wrong. Or, like I said, maybe most of the F8 buyers are coming from really old devices, not 7 Pros.
Lot of first timers too