Garmin’s Revenues Down 9%, Led By Sharp Fall In Auto Products
Garmin’s total revenue fell by 9% year-on-year in Q2 2020 to $870 million, despite the brand’s fitness segment increasing by 17%, driven by strong demand for advanced wearables and cycling products.
In that quarter Garmin launched new Edge cycling products that add performance insights, safety and tracking features to monitor health stats and provide training guidance. Garmin also acquired Firstbeat Analytics, which specialises in physiological analytics.
However, the Garmin’s auto segment – which primarily comprises GPS navigators for trucks and cars – declined by 46%, as the COVID-19 lockdowns significantly impacted driving activity.
“Garmin delivered strong second quarter financial results in a period filled with unprecedented challenges,” said Cliff Pemble, President and CEO of Garmin.
“Business conditions rapidly improved from April lows driven by popular fitness, marine, and outdoor products. We believe these results affirm the resilient nature of our business and the strong utility of our products.”
Garmin reported its Q2 earnings yesterday, shortly after it resolved the ransomware attack that brought down its Garmin Connect app and website.