Garmin CEO: Nearly Every Business Segment Is Growing

Garmin Ltd. GRMN's third quarter showed momentum across four of its five segments, CEO Cliff Pemble said in a Fox Business interview.

What Happened

Garmin reported a 15% year-over-year increase in revenue as the aviation, fitness, outdoor and marine business units collectively grew at a double-digit rate, Pemble said.

The fitness category remains very competitive, and Garmin stands out by offering different devices to satisfy varying needs and styles, he said.

For example, Garmin sells a watch tailored to golfers with built-in data on tens of thousands of courses.

Another example: Garmin's partnership with KU Medical Center to test its wearable devices to diagnose and monitor heart conditions.

Garmin's Autoland helps pilots land their aircraft in the event a pilot is unable to do so.

"We are a company that builds on niches so we are able to create a very meaningful business on incrementals," the CEO said.

Fitbit Chatter

Garmin's earnings release immediately followed media reports that rival Fitbit Inc FIT is potentially for sale.

The CEO said Garmin has always viewed itself as a standalone company with a structure built for growth, and it hasn't engaged in any takeover talks.

Garmin already boasts a large enough scale in its business, including $3.5 billion in sales and seven factories worldwide that facilitates shipment of 15 million units a year, Pemble said. 

"Our scale is actually very significant."

Garmin shares were down 3.22% at $93.25 at the time of publication. 

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Photo courtesy of Garmin.