New ETF Book by Larry Connors - Click here to read more
In its second quarter, the company posted net income of $161.87 million or $0.81 per share, compared with $256.09 million or $1.19 per share in the same quarter last year. Net sales for the third quarter declined 10% to $781.25 million from $870.35 million in the same quarter last year. Seventeen analysts had a consensus revenue estimate of $703.91 million for the quarter. Garmin's second-quarter net sales were $669.10 million, down 27% from $911.67 million in the prior year second quarter.
Segment-wise, net sales from Outdoor/Fitness increased 11% to $132.17 million from $118.61 million a year ago. Marine generated net sales of $45.43 million, up 3%, from $44.05 million last year. "While we do not expect to post significant growth in this segment until the macroeconomic conditions improve, we do expect that year-over-year revenues have stabilized in the near-term," the company said. Automotive/Mobile segment net sales decreased 13% to $545.71 million from $626.51 million in the same quarter last year. Aviation net sales were $57.95 million, down 29%, compared to $81.19 million in the prior year, as the segment continues to be affected by the difficult economic environment. The company said it does not anticipate growth in the industry until overall market conditions show consistent stabilization. According to the company, North America and Europe continued to experience year-over-year revenue declines while Asia improved from last year. North America revenue was $503 million, down 14%, compared to $585 million a year ago and Europe revenue decreased 4% to $237 million from $247 million last year. Asia revenues increased 8% to $41 million from $38 million in the previous year.
Operating income was $236.88 million, up from $214.36 million in the previous year. Operating margin increased to 30.3% from 24.6% in the year-ago quarter. Gross margin improved to 52.4% from 44.3% in third quarter 2008. Cost of goods sold dropped to $371.51 million from $484.72 million in the year earlier. Total operating expenses increased to $172.86 million from $171.28 million in the comparable quarter a year ago.
Advertising expenses decreased to $45.85 million from $50.74 million in the previous year. Selling, general and administrative expenses increased to $71.5 million from $67.78 million a year ago. Research and development expenses were $55.51 million, up from $52.75 million last year. For the nine-month period, the company's net income declined to $425.54 million or $2.12 per share from $575.11 million or $2.68 per share in the preceding year. Pro Forma net income was $421.85 million or $2.1 per share, compared to net income of $529.94 million or $2.47 per share in the prior year. Net sales for the period dropped to $1.89 billion from $2.44 billion in the same period last year.
Min Kao, chairman and chief executive officer commented, "We saw steady sequential improvement in our consumer segments during the third quarter and are very pleased to return to year-over-year earnings per share growth in the quarter. While revenues fell year-over-year, the rate of decline moderated at 10% but our margin improvements more than offset that decline. We remain focused on efforts to improve productivity and manage expenses as the consumer spending environment continues to recover."
GRMN closed Tuesday's regular trading at $31.41 on the Nasdaq. In the past 52 weeks, the stock has been trading in a range of $14.4- $39.65 on the Nasdaq.
For comments and feedback: contact editorial@rttnews.com Copyright(c) 2009 RTTNews.com, Inc. All Rights Reserved
More News:
Market Updates |
Stock Alerts |
All Trading News |
Stock Index
About TradingMarkets | Contact | Advertise | Careers | Link to Us | Site Map | Help | Terms & Conditions | Privacy Policy | Return Policy | Testimonials | Feedback
The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.
HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.
The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302
© Copyright 2009 The Connors Group, Inc.
