Olathe-based Garmin reports better-than-expected profit and revenue growth

Garmin Ltd. on Wednesday reported a better-than-expected 32 percent increase in first-quarter profit, thanks to revenue growth in four of its five product lines.

The navigation device producer, which maintains its operating headquarters in Olathe, earned $88.1 million for the three months that ended March 26, up from $66.8 million in the first quarter a year ago.

The earnings amounted to 46 cents a share, compared with 35 cents a year earlier. Analysts had expected earnings of 42 cents a share.

Garmin’s quarterly revenue climbed 7 percent from the prior year to $624 million. Gains in fitness, outdoor, aviation and marine business lines offset an 11 percent decline in satellite-based automotive navigational devices.

“We started out 2016 strong with total revenue growth of 7 percent, led by robust double-digit growth in our marine and outdoor segments and high single-digit growth in our fitness and aviation segments,” Cliff Pemble, Garmin’s president and CEO, said in the earnings report.

Garmin also maintained its 2016 financial guidance of earnings amounting to about $2.25 per share and revenue of about $2.82 billion.

Shares in Garmin closed at $43.88, up $1.59, or 3.76 percent.

This story was originally published April 27, 2016 at 9:49 AM with the headline "Olathe-based Garmin reports better-than-expected profit and revenue growth."