Garmin results tops estimates as fitness, aviation sales rise
(Reuters) - Garmin Ltd (GRMN.O) reported a better-than-expected 10 percent rise in quarterly revenue as higher sales of its fitness and aviation devices made up for shrinking sales of personal navigation devices, a market it once dominated.
The company's net income rose to $118.8 million, or 61 cents per share, in the first quarter ended March 29, from $88.7 million, or 45 cents per share, a year earlier.
Pro-forma earnings were 55 cents per share.
Revenue rose to $583.2 million from a year earlier.
Analysts on average had expected earnings of 44 cents per share on revenue of $541 million, according to Thomson Reuters
Sales at the fitness business, which makes products such as GPS-enabled watches to count calories and monitor heart beats, rose 38 percent to $100.3 million.
The unit was the second-largest revenue contributor after the automotive/mobile business, where sales dropped 4 percent.
Sales in the aviation business rose 19 percent to $95.9 million in the quarter. The unit sells products such as audio panels and collision avoidance systems to aircraft makers including Cessna (TXT.N) and Bombardier Inc (BBDb.TO).
Rival TomTom (TOM2.AS) on Tuesday increased its outlook for 2014, boosted by stronger-than-expected results in the first quarter and a one-off tax settlement.
(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Saumyadeb Chakrabarty)