Garmin Raises Dividend 17% and Launches $500M Buyback After 17% Revenue Growth
Garmin reported fourth-quarter revenue of $2.12 billion, up 17% year-over-year, with operating income rising 19% to $614 million and pro forma EPS increasing 16% to $2.79. The company proposed a 17% dividend increase and unveiled a new $500 million share repurchase program.
1. Q4 Financial Highlights
Garmin posted consolidated fourth-quarter revenue of $2.12 billion, a 17% increase year-over-year, and operating income of $614 million, up 19%. Pro forma EPS rose 16% to $2.79 while gross margin held at 59.2%.
2. Full-Year 2025 Results
For fiscal 2025, Garmin achieved record consolidated revenue of $7.25 billion, a 15% gain, and record operating income of $1.88 billion, up 18%. All five business segments delivered annual revenue records, driving pro forma EPS to $8.56, a 16% rise.
3. Capital Allocation
The board approved a 17% increase in the quarterly dividend and announced a $500 million share repurchase program. These initiatives underscore a commitment to returning capital following robust cash flow generation.
4. Segment Performance
The fitness segment led growth with a 42% revenue jump to $765.8 million, fueled by wearables demand and new AI-powered nutrition features. Marine and aviation revenues rose 18% and 16%, respectively, supported by new chartplotters and aviator smartwatch launches.