Garmin reports Q4, 2021 results

Garmin Ltd. recently announced results for the fourth quarter and fiscal year ended December 25, 2021

“2021 was another remarkable year as demand for our products led to strong double digit annual revenue
growth in each of our five segments,” said Cliff Pemble, president and CEO of Garmin. “We are entering 2022
with a great lineup of recently introduced products and have more exciting product introductions planned
throughout the year. I am very proud of what we have accomplished in 2021 and look forward to the
opportunities and challenges of the new year.”

Revenue from the marine segment grew 14% in the fourth quarter with growth across multiple categories led by
strong demand for chartplotters.

Gross margin and operating margins were 54% and 20%, respectively, resulting in $39 million of operating income.

During the quarter, Garmin launched the new GPSMAP 79 marine handheld series, equipping mariners with easy-to-use navigation tools in the palm of their hand. The company also launched the new GMR Fantom range, the most powerful solid-state dome radars in their class. These high-powered radars offer a broad range from 20 feet to 48 nautical miles, improved target detection and features to enhance situational awareness on the water. Also during the quarter, Garmin’s Surround View Camera System was named the 2021 DAME Design award winner as the industry first intelligent camera system delivering unprecedented situational awareness and convenience on the water.

Total operating expenses in the fourth quarter were $457 million, a 9% increase over the prior year. Research
and development increased by 11%, primarily due to engineering personnel costs. Selling, general and
administrative expenses increased 10%, driven primarily by personnel related expenses and information
technology costs. Advertising expenses were consistent with the prior year quarter.