tapebrief

GRMN · Q2 2025 Earnings

Bullish

Garmin

Reported July 30, 2025

30-second summary

Garmin delivered $1.82B in Q2 revenue, up 20% YoY, with Fitness exploding 41% to $605M and every segment growing double-digits. Operating margin hit 26% on a 58.8% gross margin, and the company raised FY25 guidance to $7.1B revenue and $8.00 pro forma EPS. With no transcript and no consensus inputs available, this brief works off the press release alone — but the print speaks for itself: a broad-based beat against management's own prior bar.

Headline numbers

EPS

Q2 FY2025

$2.17

Revenue

Q2 FY2025

$1.81B

+20.0% YoY

Gross margin

Q2 FY2025

58.8%

Free cash flow

Q2 FY2025

$0.13B

Operating margin

Q2 FY2025

26.0%

Key financials

Q2 FY2025
MetricQ2 FY2025YoY
Revenue$1.81B+20.0%
EPS$2.17—
Gross margin58.8%—
Operating margin26.0%—
Free cash flow$0.13B—

Guidance

Prior quarter data unavailable — comparison not possible.

Segment performance

Q2 FY2025
SegmentQ2 FY2025YoY
Fitness$0.605B+41.0%
Outdoor$0.49B+11.0%
Aviation$0.249B+14.0%
Marine$0.299B+10.0%
Auto OEM$0.17B+16.0%

Profitability

Q2 FY2025
SegmentQ2 FY2025
Fitness Operating Margin33%
Outdoor Operating Margin32%
Aviation Operating Margin25%
Marine Operating Margin21%
Fitness Gross Margin60%
Outdoor Gross Margin66%
Aviation Gross Margin74%
Marine Gross Margin55%

Other KPIs

Q2 FY2025
SegmentQ2 FY2025YoY
Americas$0.878B+19.0%
EMEA$0.677B+25.0%
APAC$0.259B+16.0%

Management tone

No earnings call transcript was available for this quarter, so tone analysis is not possible. The press release language ("exceeded our expectations," "raising our full year 2025 guidance") is consistent with a confident posture, but a multi-quarter arc read will begin once transcript coverage is wired in.

What to watch into next quarter

Fitness durability — can the segment hold growth above 25% YoY in Q3, or does the +41% Q2 print reflect a product cycle peak (new wearable launches) that fades into H2?

EMEA momentum — EMEA at +25% is outpacing Americas; watch whether this sustains or whether FX tailwinds are flattering the number.

Gross margin trajectory — Q2 came in at 58.8% vs. the FY guide of 58.5%; watch whether H2 mix shift (more Fitness, which carries 60% GM vs. Aviation's 74%) compresses the consolidated rate.

Marine — slowest grower at +10% with the lowest segment operating margin (21%). Watch for any inventory or channel commentary that suggests the slowdown deepens.

Auto OEM scale — $170M is still small but +16% growth matters as a longer-dated optionality story; watch for design-win disclosures.

Sources

  1. Garmin Q2 2025 press release (Form 8-99.1): https://www.sec.gov/Archives/edgar/data/1121788/000095017025099874/grmn-ex99_1.htm

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