Garmin Ltd (NYSE:GRMN) reported fiscal first-quarter 2024 revenue growth of 20% year-on-year to $1.38 billion, beating the consensus of $1.25 billion.

The GPS navigation and wearable technology company's proforma EPS of $1.42 beat the consensus of $1.01.

Segments: Revenue from Fitness grew by 40% year over year to $342.89 million, with growth across all categories led by strong demand for advanced wearables.

Outdoor revenue improved by 11% year over year to $366.19 million, primarily due to growth in wearables. Aviation revenue grew by 2% year over year to $216.86 million, primarily due to growth in OEM product categories.

Marine revenue increased by 17% Y/Y to $326.74 million due to contributions from the acquisition of JL Audio. Auto OEM grew 58% Y/Y to $128.97 million, primarily due to increased shipments of domain controllers to BMW.

The gross margin improved by 120 bps to 58.1%. The operating margin climbed to 21.6% from 17.2% a year ago.

Garmin generated $402.14 million in free cash flow for the quarter versus $232.4 million a year ago. It held $3.3 billion in cash and equivalents as of March 30, 2024.

Dividend: The Board intends to recommend a cash dividend of $3.00 per share, payable in four equal installments.

FY24 Outlook: Garmin reiterated a revenue outlook of $5.75 billion versus the consensus of $5.73 billion.

Garmin maintained a proforma EPS of $5.40 against the consensus of $5.39.

Garmin stock gained 47% in the last 12 months. Investors can gain exposure to the stock via Global X Internet Of Things ETF (NASDAQ:SNSR) and Procure Space ETF (NASDAQ:UFO).

Price Action: GRMN shares traded higher by 8.82% at $157.21 at the last check Wednesday.

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