台灣國際航電 (GRMN) 2026 Q1 法說會逐字稿

Hello, everyone. Thank you for joining us, and welcome to the Garmin Ltd. first-quarter 2026 earnings call. (Operator Instructions) I will now hand the conference over to Teri Seck, Director of Investor Relations. Teri, please go ahead.

各位好。感謝各位加入，歡迎參加 Garmin Ltd. 2026 年第一季財報電話會議。(接線員指示) 現在我將把會議交給投資人關係總監 Teri Seck。Teri，請開始。

Good morning. We'd like to welcome you to Garmin Ltd.'s first-quarter 2026 earnings call. Please note that the earnings press release and related slides are available at Garmin's Investor Relations site on the Internet at www.garmin.com/stock. An archive of the webcast and related transcript will also be available on our website.

早安。歡迎各位參加 Garmin Ltd. 2026 年第一季財報電話會議。提醒各位，財報新聞稿及相關簡報投影片已公布於 Garmin 的投資人關係網站 www.garmin.com/stock。網路直播的存檔與相關逐字稿也將於我們網站提供。

This earnings call includes projections and other forward-looking statements regarding Garmin Ltd. and its business. Any statements regarding our future financial position, revenues, segment growth rates, earnings, gross margins, operating margins, future dividends or share repurchases, market shares, product introductions, foreign currency, tariff impacts, future demand for our products and plans and objectives are forward-looking statements.

本次財報電話會議包含對 Garmin Ltd. 及其業務的預測與其他前瞻性陳述。任何關於我們未來財務狀況、營收、各部門成長率、獲利、毛利率、營業利益率、未來股利或庫藏股買回、市占率、產品推出、外匯、關稅影響、未來產品需求，以及計畫與目標的陳述，均屬前瞻性陳述。

The forward-looking events and circumstances discussed in this earnings call may not occur, and actual results could differ materially as a result of risk factors affecting Garmin. Information concerning these risk factors is contained in our Form 10-K filed with the Securities and Exchange Commission.

本次財報電話會議所討論的前瞻性事件與情況未必會發生，且實際結果可能因影響 Garmin 的風險因素而出現重大差異。有關這些風險因素的資訊載於我們向美國證券交易委員會提交的 Form 10-K。

Presenting on behalf of Garmin Ltd. this morning are Cliff Pemble, President and Chief Executive Officer; and Doug Boessen, Chief Financial Officer and Treasurer.

今天代表 Garmin Ltd. 出席簡報的有：總裁暨執行長 Cliff Pemble，以及財務長兼財務主管 Doug Boessen。

At this time, I would like to turn the call over to Cliff Pemble.

此刻，我想把電話會議交給 Cliff Pemble。

Thank you, Teri, and good morning, everyone. As announced earlier today, Garmin achieved remarkable financial results during the first quarter of 2026 and a continuation of the positive trends we've been experiencing over the long term. Consolidated revenue increased 14% to $1.75 billion, which is a new first-quarter record.

謝謝你，Teri，各位早安。如同我們今天稍早所宣布，Garmin 在 2026 年第一季達成亮眼的財務成果，並延續我們長期以來所見的正向趨勢。合併營收成長 14% 至 17.5 億美元，創下第一季新高紀錄。

We achieved double-digit growth rates in three segments and we experienced strength in many product categories across the business, including wearables, which were a significant contributor to consolidated growth. Gross and operating margins expanded to 59.4% and 24.6%, respectively, resulting in record first quarter operating income of $432 million, up 30% year-over-year and pro forma EPS of $2.08, up 29% year-over-year.

我們在三個事業部門達成雙位數成長，且公司多個產品類別展現強勁動能，其中穿戴式裝置對合併成長貢獻顯著。毛利率與營業利益率分別擴張至 59.4% 與 24.6%，帶動第一季營業利益創新高達 4.32 億美元，年增 30%，擬制每股盈餘（pro forma EPS）為 2.08 美元，年增 29%。

We're off to a great start in 2026, and we are very pleased with our results. As a reminder, the first quarter is typically the lowest seasonal quarter of our financial year. While the initial trends are encouraging, much of the year remains ahead. With this in mind and consistent with our typical practice, we are maintaining the guidance issued in February, and we'll provide updates as the year unfolds.

我們在 2026 年有個很好的開局，對本季表現感到非常滿意。提醒各位，第一季通常是我們財務年度中季節性最低的一季。雖然初期趨勢令人鼓舞，但今年仍有很長一段路要走。基於此，並依循我們一貫作法，我們維持 2 月發布的財測指引，並將隨著年度進展提供更新。

Doug will discuss our financial results in greater detail in a few minutes, but first, I'll provide a few remarks on the performance of each business segment. Starting with Fitness, revenue increased 42% to $547 million, which is a new first-quarter record driven by broad-based growth across all product categories, led by strong demand for advanced wearables. The primary driver of our performance is higher unit volumes, resulting in meaningful market share gains. Gross and operating margins were 62% and 29%, respectively, resulting in operating income of $158 million.

Doug 將在幾分鐘後更詳細說明我們的財務結果，但首先我會就各事業部門的表現做一些說明。先從 Fitness（健身）部門開始，營收成長 42% 至 5.47 億美元，創下第一季新高紀錄，主要受惠於所有產品類別的廣泛成長，其中以高階穿戴式裝置需求強勁領軍。我們表現的主要驅動因素是出貨量提升，帶來顯著的市占率提升。毛利率與營業利益率分別為 62% 與 29%，營業利益為 1.58 億美元。

During the quarter, we launched Varia RearVue 820, our brightest and most powerful radar taillight for cyclists. We expanded on-device messaging for select wearables with a new Connect IQ app that allows customers to read, reply, and react to WhatsApp messages right from their wrist. We also announced that select wearables can now integrate with the highly acclaimed natural cycles birth control and cycle tracking app, empowering women to better understand and manage their reproductive health.

本季我們推出 Varia RearVue 820，這是我們為自行車騎士打造、最明亮且最強大的雷達尾燈。我們也透過新的 Connect IQ 應用程式，為部分穿戴式裝置擴增裝置端訊息功能，讓客戶可直接在手腕上閱讀、回覆並對 WhatsApp 訊息做出反應。此外，我們也宣布部分穿戴式裝置現可整合廣受好評的 Natural Cycles 避孕與生理週期追蹤應用程式，協助女性更了解並管理其生殖健康。

The Fitness segment has achieved outstanding performance over the long term, and we are very pleased with these results. As mentioned in February, we expect that the Fitness segment will be the strongest contributor to 2026 consolidated growth.

Fitness 部門長期以來表現卓越，我們對這些成果感到非常滿意。如同 2 月所提到的，我們預期 Fitness 部門將是 2026 年合併成長的最大貢獻來源。

Moving to Outdoor, revenue decreased 5% to $418 million as we compared against a strong prior year quarter, which included the launch of the Instinct 3 smartwatch family. fenix smartwatches performed well during the quarter, even considering the strong comparable from the prior year. Gross and operating margins were 67% and 28%, respectively, resulting in operating income of $119 million.

接著看 Outdoor（戶外）部門，營收下滑 5% 至 4.18 億美元，主要是因為去年同期基期強勁，當時包含 Instinct 3 智慧手錶系列的上市。即便面對去年強勁的可比基期，fenix 智慧手錶本季仍表現良好。毛利率與營業利益率分別為 67% 與 28%，營業利益為 1.19 億美元。

During the quarter, we released the Approach G82 handheld GPS with a built-in launch monitor and the Approach J1, our first GPS watch, specifically designed for junior golfers. The Approach J1 was created by Garmin associates who through their own experiences, recognize that aspiring junior golfers also want tools designed specifically for them to learn the game and improve performance. I'm proud of the way that our teams lean on their own experiences to bring unique, highly differentiated products to market.

本季我們推出 Approach G82 手持式 GPS，內建揮桿監測器（launch monitor），以及 Approach J1——我們第一款專為青少年高爾夫球手設計的 GPS 手錶。Approach J1 由 Garmin 同仁依其自身經驗所打造，他們理解有志成為高爾夫球手的青少年，也希望擁有專為他們設計、可用來學習並提升表現的工具。我為我們團隊善用自身經驗，將獨特且高度差異化的產品推向市場的方式感到自豪。

Also during the quarter, we launched the zūmo XT3, our newest and most advanced motorcycle-focused GPS device and the Catalyst 2, a compact device for motorsports, that helps high-performance drivers achieve faster times on the track.

同樣在本季，我們推出 zÅ«mo XT3——我們最新且最先進、以機車騎乘為核心的 GPS 裝置；以及 Catalyst 2——一款為賽車運動打造的輕巧裝置，可協助高性能駕駛在賽道上跑出更快圈速。

Looking forward, we expect second-quarter Outdoor performance to be similar to that of Q1. We also expect to achieve stronger performance in the back half of the year due to the timing of product launches, resulting in improved full-year growth when compared to 2025.

展望未來，我們預期第二季 Outdoor 的表現將與第一季相近。我們也預期由於產品上市時程安排，下半年表現將更強，因而在與 2025 年相比時，帶動全年成長表現改善。

Looking next at Aviation, revenue increased 18% to $264 million with growth contributions from both OEM and aftermarket product categories. Gross and operating margins were 75% and 27%, respectively, resulting in operating income of $71 million.

接著看 Aviation（航太）部門，營收成長 18% 至 2.64 億美元，OEM 與售後市場兩大產品類別皆有成長貢獻。毛利率與營業利益率分別為 75% 與 27%，營業利益為 7,100 萬美元。

During the quarter, Daher unveiled their new TBM 980 single-engine turboprop aircraft featuring our G3000 PRIME avionics suite. Also, the HondaJet Elite II was certified by the FAA, becoming the first twin turbine business jet with Garmin Emergency Autoland technology. We are very pleased with the performance of Aviation during the first quarter, and we expect to achieve solid growth throughout the remainder of the year.

本季 Daher 發表其新款 TBM 980 單引擎渦輪螺旋槳飛機，搭載我們的 G3000 PRIME 航電套件。此外，HondaJet Elite II 也獲得 FAA 認證，成為首款搭載 Garmin Emergency Autoland 技術的雙渦輪商務噴射機。我們對航太部門第一季的表現非常滿意，並預期在今年剩餘期間可維持穩健成長。

Turning to the Marine segment, revenue increased 11% to $355 million with broad-based growth across multiple product categories. Gross and operating margins were 56% and 26%, respectively, resulting in operating income of $91 million. The year-over-year margin compression was primarily due to higher tariff costs.

再看 Marine（航海）部門，營收成長 11% 至 3.55 億美元，多個產品類別皆呈現廣泛成長。毛利率與營業利益率分別為 56% 與 26%，營業利益為 9,100 萬美元。年對年毛利率下滑主要是因為關稅成本上升。

During the quarter, we launched a new 360-degree scanning sonar with SPY Pole, allowing anglers to see a bird's eye view of fish and underwater structure in every direction. Also during the quarter, we launched the quatix 8 Pro, our purpose-built nautical smartwatch with inReach technology for two-way satellite and cellular connectivity. Our Marine segment is off to a very good start, and we believe we are on track to achieve growth consistent with the prior year.

本季我們推出搭配 SPY Pole 的新款 360 度掃描聲納，讓釣客能以鳥瞰視角查看各個方向的魚群與水下結構。同樣在本季，我們推出 quatix 8 Pro——專為航海打造的智慧手錶，搭載 inReach 技術，提供雙向衛星與行動網路連線功能。我們的航海部門有個非常好的開局，並相信我們正朝著達成與去年一致的成長目標邁進。

And moving finally to the Auto OEM segment, revenue increased 1% to $170 million, with growth primarily driven by infotainment programs. The segment operating loss narrowed to $6 million due to gross profit improvement and lower R&D expenses.

最後來看汽車 OEM（Auto OEM）部門，營收成長 1% 至 1.70 億美元，成長主要由車載資訊娛樂（infotainment）專案帶動。由於毛利改善及研發費用降低，該部門營業虧損收斂至 600 萬美元。

We continue to achieve important milestones leading up to the launch of our next large scale program with Mercedes-Benz, which we anticipate will drive significant growth starting in 2027 and beyond. As a reminder, we expect Auto OEM revenue to decrease in 2026 as the BMW program has reached peak volumes and as certain legacy programs approach end of life. We also expect the operating loss to narrow compared to 2025, although we are not expecting the segment to be profitable on a GAAP basis for the full year.

我們持續達成多項重要里程碑，為與 Mercedes-Benz 的下一個大型專案上市做準備；我們預期該專案將自 2027 年起及其後帶動顯著成長。提醒一下，我們預期 2026 年 Auto OEM 營收將下滑，因為 BMW 專案已達到峰值出貨量，且部分既有（legacy）專案接近產品生命週期末期。我們也預期相較 2025 年營業虧損將收斂，但不預期該部門全年在 GAAP 基礎下可達獲利。

Wrapping up, we continue to outperform expectations in a business environment characterized by economic whiplash and geopolitical uncertainty. Even in these challenging circumstances, we believe that great products and customer service always win. As strong as our product line currently is, we are planning to launch even more new products throughout the year. including some that represent new categories for Garmin.

總結來說，在經濟劇烈波動與地緣政治不確定性所構成的商業環境中，我們持續表現優於預期。即使在這些具挑戰的情況下，我們相信優秀的產品與客戶服務終將勝出。儘管我們目前的產品線已相當強勁，我們仍計畫在今年推出更多新產品，其中包括一些對 Garmin 而言屬於全新類別的產品。

That concludes my remarks. Next, Doug will walk you through additional details on our financial results. Doug?

以上為我的發言。接下來，Doug 將帶各位了解我們財務結果的更多細節。Doug？

Thanks, Cliff. Good morning, everyone. I'll begin by reviewing our first-quarter financial results, provide comments on the balance sheet, cash flow statement and taxes. Post-revenue of $1.753 billion for the first quarter, representing a 14% increase year-over-year. Gross margin was 59.4%, a 180-basis-point increase in the prior year quarter. The increase was primarily due to favorable foreign currency impacts. Also, for your reference, do not record any benefit or receivable related to any potential refund of previously paid tariffs.

謝謝，Cliff。各位早安。我將先回顧第一季財務結果，並就資產負債表、現金流量表與稅務提供說明。第一季營收為 17.53 億美元，年增 14%。毛利率為 59.4%，較去年同期增加 180 個基點。增加主要來自有利的外匯影響。另外供各位參考，我們未就任何可能退還先前已支付關稅的退款，認列任何利益或應收款項。

Operating expense of incentive sales was 34.8%, a 110-basis-point decrease. Operating income was $432 million, a 30% increase. Operating margin was 24.6%, a 290-basis-point increase for the prior year quarter. Our GAAP EPS was $2.09 and pro forma EPS was $2.08.

營業費用占營收比率為 34.8%，下降 110 個基點。營業利益為 4.32 億美元，成長 30%。營業利益率為 24.6%，較去年同期增加 290 個基點。我們的 GAAP 每股盈餘（EPS）為 2.09 美元，pro forma 每股盈餘為 2.08 美元。

Next, look at first-quarter revenue by segment and geography. During the first quarter, we achieved double-digit growth in three of our five segments, led by the Fitness segment with 42% growth, followed by the Aviation segment with 18% growth, the Marine segment with 11% growth.

接著看第一季按部門與地區劃分的營收。第一季我們在五個部門中的三個達成雙位數成長，其中以 Fitness 部門成長 42% 領先，其次為 Aviation 部門成長 18%，Marine 部門成長 11%。

By geography, we achieved growth in all three regions, led by 25% growth in APAC, followed by 15% growth in EMEA, and 10% growth in Americas. EMEA and APAC regions benefited from favorable foreign currency impacts.

按地區來看，我們在三個區域皆實現成長，其中以亞太（APAC）成長 25% 領先，其次為歐洲、中東與非洲（EMEA）成長 15%，美洲（Americas）成長 10%。EMEA 與 APAC 地區受惠於有利的外匯影響。

Looking next at operating expenses. First-quarter operating expense increased by $59 million or 11%. Research and development increased approximately $28 million. SG&A increased approximately $31 million compared to the prior year quarter. Both the increases were primarily due to personnel-related expenses.

接下來看營業費用。第一季營業費用增加 5,900 萬美元，或 11%。研發費用增加約 2,800 萬美元。SG&A較去年同期增加約 3,100 萬美元。兩者增加主要來自人員相關費用。

A few highlights on the balance sheet, cash flow statement and taxes. End of the quarter with cash and marketable securities of approximately $4.3 billion. Accounts receivable increased year-over-year due to strong sales, but decreased sequentially to $941 million, following a seasonally strong fourth quarter. Inventory increased year-over-year and sequentially to approximately $1.9 billion.

以下是資產負債表、現金流量表與稅務的幾項重點。季末現金及有價證券約 43 億美元。應收帳款因銷售強勁而年增，但在經歷季節性強勁的第四季後，較前一季下降至 9.41 億美元。存貨較去年同期及前一季均增加至約 19 億美元。

During the first quarter 2026, we generated free cash flow of $469 million, a $9 million increase from the prior year quarter. Capital expenditures for the first quarter of 2026 were $67 million, approximately $27 million higher than the prior year quarter.

2026 年第一季我們產生自由現金流 4.69 億美元，較去年同期增加 900 萬美元。2026 年第一季資本支出為 6,700 萬美元，較去年同期高約 2,700 萬美元。

During the first quarter of 2026, paid dividends of approximately $174 million, purchased $40 million of company stock. At quarter end, we had approximately $491 million remaining share repurchase program, which is authorized through December 2028, for an effective tax rate of 14.3%, which is comparable to 14.5% in the prior year quarter.

2026 年第一季期間，我們支付股利約 1.74 億美元，並回購 4,000 萬美元公司股票。季末我們尚有約 4.91 億美元的庫藏股回購額度，該計畫授權至 2028 年 12 月；有效稅率為 14.3%，與去年同期的 14.5% 相近。

Concludes our formal remarks. Ben, can you please open the line for Q&A?

以上為我們的正式發言。Ben，請幫我們開放問答線路好嗎？

(Operator Instructions) Joseph Cardoso, JPMorgan.

(接線員指示) Joseph Cardoso，JPMorgan。

Maybe for my first question, can we just double-click on the performance, the strong performance in the quarter, both from a revenue and gross margin perspective. Cliff, it sounds like you're cautiously optimistic about the year despite sticking to the typical full-year guidance practice here.

我第一個問題，想更深入探討本季的表現，也就是營收與毛利率兩方面的強勁表現。Cliff，聽起來即使你們仍維持一貫的全年財測做法，但對今年仍抱持審慎樂觀。

So maybe can you just touch on what is reinforcing that view, for example, how did demand momentum trend through the quarter and into 2Q to date? And then as you think about the component cost and availability trends that we talked about last quarter, how did that trend through the quarter? And any change in view relative to your ability to navigate those dynamics versus 90 days ago? And then I have a follow-up.

所以想請你談談是什麼因素強化了這個看法；例如，需求動能在本季期間以及截至目前進入第二季（2Q）後的走勢如何？另外，關於我們上季討論的零組件成本與供應可得性趨勢，本季期間的變化如何？相較 90 天前，你們對於因應這些動態的能力看法是否有任何改變？然後我還有一個追問。

Yeah. Joe, I think as I mentioned, we're very pleased with the initial results. Q1 does tend to be our lowest quarter. So we take it as a data point, but we definitely need to see more of the year unfold before we can really start to tweak what our 2026 results expectation will be.

是的。Joe，我想如我先前提到的，我們對初步結果非常滿意。第一季通常是我們全年最低的一季。因此我們把它視為一個數據點，但在真正開始調整我們對 2026 年結果的預期之前，仍需要看到更多年度進展。

In terms of demand trends, they're consistent, continue to be very strong, like we saw in the prior year. Registration rates are continuing to be strong. We have not seen any impact from some of the recent developments in the Middle East and some of the conflict there when it comes to registration rates. In fact, some of them are the strongest that we've been experiencing in the near term. So no worries there for the near term.

就需求趨勢而言，表現一致且持續非常強勁，與去年所見相同。註冊率持續強勁。就註冊率而言，我們尚未看到近期中東局勢發展與當地衝突帶來任何影響。事實上，其中一些指標在近期甚至是我們所見最強的。所以短期內沒有疑慮。

Component costs wise, I would say that right now, we are not experiencing that in our current results. But keep in mind that component costs come through our inventory on the balance sheet. So consequently, as costs change, we'll see some of those go up as the year unfolds. We do have significant safety stock of some components that are under pricing pressure. So I would expect that 2026 is still going to be somewhat muted, and we'll start to see some effect in 2027.

就零組件成本而言，我會說目前我們在當期結果中尚未感受到。但請記住，零組件成本會透過資產負債表上的存貨反映出來。因此，隨著成本變動，我們會在今年進展過程中看到其中一些成本上升的影響。我們對部分面臨價格壓力的零組件備有相當可觀的安全庫存。因此我預期 2026 年的影響仍會相對溫和，而我們將在 2027 年開始看到一些效果。

Got it. Great color there, Cliff. And then maybe for my second one, and this is perhaps a bigger picture question. Over the last six months or so, we've seen a couple of private wearable companies complete successful funding rounds, disclose healthy revenue trends. And I think both are pursuing a somewhat different approach, both in terms of form factors and perhaps a more aggressive push into subscriptions or Hardware-as-a-Service models relative to incumbents like yourselves.

了解。Cliff，這些說明很有幫助。接著第二個問題，這可能是較宏觀的問題。在過去大約六個月，我們看到幾家私人穿戴式裝置公司完成成功的募資輪次，並揭露健康的營收趨勢。我認為兩者都採取了略有不同的策略，不論是在產品外型（form factors）上，或是相較你們這類既有業者，更積極推動訂閱制或「硬體即服務」（Hardware-as-a-Service）模式。

So just given that, maybe just curious to hear your thoughts on how you're assessing the competitive implications just given that different approach being taken by these challengers? And maybe alternatively, do you see this as more of a market expanding dynamic potentially that could open the door for you to evolve how your own monetization approach is taken over time?

所以基於這點，想請教您如何評估這些挑戰者採取不同做法所帶來的競爭影響？另外，您是否認為這更可能是一種擴大市場的動態，進而為您隨時間演進自身變現方式打開空間？

Yeah, I would say that if there's anything that we've learned over the years is that customers want choices when it comes to devices, especially those that they wear. So that's what we're seeing. I think in the market today is an expansion of options for people. And for us, again, we're -- we don't rule anything out. We're open to all kinds of devices and form factors and how we deploy our wearable sensor technology.

是的，我會說，如果我們這些年學到什麼，那就是客戶在裝置選擇上希望有更多選項，尤其是他們會配戴的裝置。所以這就是我們所看到的情況。我認為當前市場是在擴大人們可選擇的方案。而對我們而言，再次強調，我們不排除任何可能。我們對各種裝置與外形規格，以及我們如何部署可穿戴感測器技術，都保持開放態度。

So I would say that, again, we see this as expanded opportunity for everyone. And I would point out that our results also reflect the general increase in the market and awareness and use of wearable devices for both fitness activity as well as wellness monitoring.

所以我會說，我們同樣把這視為對所有人而言的機會擴大。我也要指出，我們的業績表現也反映出市場整體的成長，以及大眾對可穿戴裝置在健身活動與健康監測方面的認知與使用提升。

In terms of subscription-based models, I would remind everyone that we have been expanding our role in subscription-based services for our products and the services that we offer for those with Garmin Connect+ as well as other services that we have in segments across the business. And so it's an area of enhanced focus for us as well.

就訂閱制模式而言，我想提醒大家，我們一直在擴大我們在訂閱型服務中的角色，涵蓋我們的產品以及我們透過 Garmin Connect+ 等所提供的服務，並且在公司各業務分部也有其他服務。因此，這也是我們加強聚焦的領域。

Tim Long, Barclays.

Tim Long，巴克萊。

This is (inaudible) on for Tim Long. Just two quick questions. It sounded like you had strong demand for advanced wearables in the quarter. What are you seeing in the lower tier of the portfolio? Is there anything -- are you seeing a dispersion in customer trends between the two? And then I have a follow-up.

我是代 Tim Long 提問的（聽不清）。兩個簡短問題。聽起來你們本季對高階可穿戴裝置的需求很強。那在產品組合的較低階層，你們看到什麼情況？兩者之間的客戶趨勢是否有任何差異或分化？然後我還有一個追問。

Yeah. So when we talk about advanced wearables, we're really talking about those wearables that have GPS and the ability to download applications and that thing. And really, across our wearable price bands, all of those products pretty much qualify in that category.

是的。所以當我們談到高階可穿戴裝置時，我們主要指的是具備 GPS 以及可下載應用程式等能力的可穿戴裝置。而實際上，在我們各個可穿戴產品的價格帶中，幾乎所有產品都符合這個類別。

It's really the very basic wearable bands, like our vivosmart line that aren't considered advanced wearables, but those are a small part of our portfolio. So within advanced wearables, we have many different price tiers from entry level on through to premium, and we're definitely seeing strong demand, both at the low end and the high end of those ranges.

真正不被視為高階可穿戴裝置的是非常基礎的手環類產品，例如我們的 vivosmart 系列，但那只占我們產品組合的一小部分。因此在高階可穿戴裝置之內，我們有從入門到高端的多個價格層級，我們確實看到在低端與高端區間都呈現強勁需求。

That's helpful. And then just a quick question on the geos. I know the commentary on the call about the FX with EMEA and APAC. But in the Americas business, is there anything to call out in the geo? Anything you're seeing there in customer trends?

這很有幫助。接著想快速問一下地理區域。我知道電話會議中提到外匯對 EMEA 與 APAC 的影響。但在美洲業務方面，有沒有什麼地區面的重點可提？你們在那邊看到任何客戶趨勢嗎？

No, I don't think there's anything particular at this point to call out. There are a lot of dynamics in the geographies right now on the geopolitical spectrum. And so time will tell, but initial indications are that some of the initial bumps that occur whenever there's a big change like that have evened out and people are starting to get back to normal patterns. So right now, I would say, we're encouraged by what we see. But again, it's a very dynamic environment.

沒有，我認為目前沒有特別需要指出的事項。目前各地區在地緣政治層面有很多動態變化。因此還需要時間觀察，但初步跡象顯示，每當出現這種重大變化時的初期波動已經趨於平穩，人們開始回到正常的行為模式。所以目前我會說，我們對所看到的情況感到鼓舞。但同樣地，這是一個非常動態的環境。

David MacGregor, Longbow Research.

David MacGregor，Longbow Research。

I wanted to ask about the new product introduction because it seems as though there was maybe a stronger than normal new product quarter. I wonder if that's true. And if so, can you just talk about the impact on growth and margins from just strictly from new product launches?

我想問新產品導入，因為看起來本季的新產品季度可能比平常更強。我想確認是否如此。如果是的話，能否談談僅就新產品上市本身，對成長與毛利率的影響？

I think we typically release somewhere around 100 new products a year, and we would expect that 2026 is in line with that, if not slightly stronger as we look at some new things. In terms of margin profiles, new products are the ones that come out and they're fresh design, so they have all the latest components and design optimizations that we do.

我想我們通常一年大約會推出 100 款新產品，而我們預期 2026 年也會與此一致，甚至在我們看到一些新事物時可能略強一些。就毛利結構而言，新產品是全新設計，因此會採用最新的元件，以及我們所做的各種設計最佳化。

And they also -- if they have new features and capabilities and segmentation in the market, we can typically bring them out at appropriate prices for their particular competitive landscape. So they can be a margin enhancer. But in general, we rely on new products to really drive revenue growth within the company.

此外，如果它們具備新功能、新能力，並在市場上有更清楚的區隔，我們通常能依其競爭環境，以合適的價格推出。因此它們可能提升毛利。但整體而言，我們仰賴新產品來真正推動公司營收成長。

Right. And just to clarify on that, do we see maybe a slightly larger proportion of the reported revenues being generated from new products versus what we might have otherwise seen in prior years?

了解。再釐清一下，我們是否看到相較於過去幾年，已公布的營收中由新產品所貢獻的比例略高？

No, I would say it's historically consistent with what we've seen. Again, we're very consistent with product introductions, which means that generally, our revenue mix from new products tends to be pretty similar from year to year.

沒有，我會說這與歷史表現一致。同樣地，我們在產品導入上非常一致，這意味著一般而言，我們來自新產品的營收組合每年都相當類似。

Okay. Good. And just as a follow-up, I wonder, you talked about the Auto OEM business and the transition between the BMW and the Mercedes programs. Can you just help us think through how you're thinking about the cadence of revenues in 2026 leading into the ramp of that Mercedes here in 2027?

好的。很好。再追問一下，你提到汽車 OEM 業務，以及 BMW 與 Mercedes 專案之間的轉換。你能否協助我們理解你們如何看待 2026 年的營收節奏，直到 2027 年 Mercedes 專案開始放量爬坡？

As we mentioned in the remarks, we expect that 2026 would be a slightly down year compared to previous year because of the ramp down of the BMW program, which is starting to -- its tail off cycle into phase out. And then 2027 should be a ramp-up year for the Mercedes program.

如同我們在說明中提到的，我們預期 2026 年相較前一年會是略為下滑的一年，原因是 BMW 專案進入降載期，開始進入尾聲並逐步退場。而 2027 年則應會是 Mercedes 專案的放量爬坡年。

You were flat in this quarter. Do you expect to be flat in 2Q and then see that revenue gap become more visible? Or do we see that begin in 2Q?

你們本季持平。你們預期第二季也會持平，然後營收缺口才會更明顯嗎？還是第二季就會開始出現？

Yeah, I would say probably not able to share the specific dynamic of Q2 just yet. But again, for the whole year, we definitely expect the long-term forecast that we're receiving would result in a slightly down year for Auto OEM in 2026.

是的，我會說目前可能還無法分享第二季的具體動態。但同樣地，就全年而言，我們確實預期我們收到的長期預測將使 2026 年汽車 OEM 業務呈現略為下滑的一年。

Congratulations on all the results.

恭喜你們的所有成果。

Ben Bollin, Cleveland Research.

Ben Bollin，Cleveland Research。

I wanted to start, can we discuss a little bit in Aviation. Could you discuss what you're seeing with respect to demand around new deliveries versus the retrofit opportunities? And any thoughts on order volume with bonus depreciation and what that's doing to backlog? And then I have a follow-up.

我想先從航空業務談起，能否稍微討論一下。你能談談你們看到的新機交付需求相較於改裝（retrofit）機會的情況嗎？另外，關於加速折舊（bonus depreciation）對訂單量的影響，以及它對在手訂單（backlog）造成什麼影響，有任何看法嗎？然後我還有一個追問。

Yeah. I think the new deliveries are definitely a strong contributor to the growth, stronger than the aftermarket side, although both contributed to the growth. Aviation aircraft makers are sitting on high backlog still.

是的。我認為新機交付確實是成長的重要貢獻者，且比售後市場端更強，儘管兩者都對成長有所貢獻。航空器製造商目前仍有很高的在手訂單。

And so consequently, their volumes and cadence tend to move slowly as they work through backlog, but their objective is not to clear our backlog. Their objective is to keep feeding backlog and to incrementally grow as well. So in general, we see it as a very healthy cadence in the OEM side of things and have not, at this point, heard of any indications that people are hesitating around the purchase of the aircraft.

因此，他們的產量與出貨節奏往往會在消化在手訂單的過程中緩慢調整，但他們的目標並不是清空我們的在手訂單。他們的目標是持續補充在手訂單，並且也逐步成長。所以整體而言，我們認為 OEM 端的節奏非常健康，而且截至目前，我們尚未聽到任何跡象顯示人們在購買飛機方面有所遲疑。

Okay. The other -- Cliff, you talked a little bit about thoughts on the commodity environment and how that looks this year and even into next. I guess, bigger picture, how are you thinking about the overall balance sheet and working capital strategy with that backdrop? Has it changed? Any thoughts around working capital commits, more strategic procurement, anything along those lines that you guys are thinking about that you can share?

好的。另外一個問題——Cliff，你稍早談到一些你對商品環境的看法，以及今年甚至到明年的走勢。我想從更宏觀的角度來看，在這樣的背景下，你們如何思考整體資產負債表與營運資金策略？有改變嗎？對於營運資金承諾、更具策略性的採購等方面，有沒有任何你們正在思考、可以分享的想法？

Yeah. As it relates to our balance sheet and inventory, we look at inventory really as a business tool for us. Depending upon the situation, we'll look at that to increase our safety stock for key components as such and also obviously, demand of our product, we have to take into consideration. But it's really a key part of our overall operations just to make sure that we use that inventory appropriately to make sure we have products for when the customer needs it as well as to manage our full supply chain, including the commodities out there.

是的。就我們的資產負債表與庫存而言，我們把庫存視為一項業務工具。視情況而定，我們會評估是否提高關鍵零組件的安全庫存，當然也必須把我們產品的需求納入考量。但庫存確實是我們整體營運的關鍵一環，確保我們能適當運用庫存，在客戶需要時有產品可供交付，同時也能管理完整供應鏈，包括外部的商品因素。

Erik Woodring, Morgan Stanley.

Erik Woodring，摩根士丹利。

Can we just get a very high-level view from you on the state of the consumer, specifically the consumer that you guys sell into? Just anything that is changing? I know you mentioned the Middle East conflict hasn't had any impact, but there's just a lot of cross currents in the economy today. So would just love your updated view on the consumer.

能否請你從非常高層次的角度，談談消費者的狀況，特別是你們所服務的那群消費者？有沒有任何正在改變的地方？我知道你提到中東衝突沒有造成影響，但目前經濟裡有很多相互牽動的因素。所以很希望聽到你對消費者的最新看法。

And maybe if you could tie into that, just given your answer to that, maybe is there a specific segment or market where you, maybe, feel incrementally better about the year more than 90 days ago versus anywhere you feel maybe incrementally more cautious? Just if you could maybe put those together and then a quick follow-up, please.

另外，如果可以把這點連結起來：基於你對消費者的看法，是否有某個特定的細分市場或終端市場，讓你相較於90天前對今年的感受更樂觀？或者有哪裡讓你變得更謹慎？如果你能把這些一起說明，然後我再做一個簡短追問，謝謝。

I would say that, Erik, I would say that what we see of the consumer is pretty much the same as what we have seen over the past several quarters. There is a lot of public talk about how consumers are stressed. And certainly, we probably all have to believe that's true.

我會說，Erik，我們看到的消費者狀況，基本上和過去幾個季度看到的差不多。外界有很多公開討論說消費者承受壓力。而且當然，我們大概都得相信這確實是真的。

At the same time, many of the banks and monitors of personal credit usage and spending seem to be very positive. People seem to be shaking off whatever their concerns are that they're voicing. For the customer base that we serve, we tend to serve those that place a high priority on their personal health and wellness as well as products for active lifestyles and mobility. And so we believe we're serving a customer base in a market that's probably a little more resilient than what the average reporting out there is.

同時，許多銀行以及監測個人信用使用與支出的機構，似乎都相當正面。人們看起來正在擺脫他們口頭上表達的那些擔憂。就我們服務的客群而言，我們通常服務的是高度重視個人健康與福祉，以及重視積極生活型態與行動力相關產品的消費者。因此我們相信，我們所服務的客群與市場，可能比外界一般報導所呈現的平均狀況更具韌性。

In terms of segments where we feel better or worse, I would say we're optimistic about all of them. I would say that if there is any area of concern when it comes to oil prices and conflict is that it can tend to give some of those markets like Marine and Aviation, a little more hesitancy as people think about fuel prices and and investments there.

至於哪些細分市場我們感覺更好或更差，我會說我們對所有市場都保持樂觀。如果要說有任何疑慮，當油價與衝突因素出現時，可能會讓像海事與航空這類市場更為猶豫一些，因為人們會考量燃油價格以及相關投資。

The one thing I would think is a positive, even in that backdrop, is that the stock market and the financial markets have been very strong, and so that tends to offset any hesitation. So in general, it's a mixed bag, but I would say the environment and the scenario is really very good considering everything that's going on.

即便在那樣的背景下，我認為一個正面因素是股市與金融市場表現非常強勁，這往往能抵消部分猶豫。所以整體而言是好壞參半，但考量到目前發生的各種事情，我會說環境與情境其實相當不錯。

Okay. That's super helpful. And then just as a quick follow-up, Cliff, you alluded to leveraging your balance sheet in this commodity environment. Is the message that you're sending we will see costs going up in the second half, and therefore, there will be some margin pressure, all else equal? Or given the illusion that cost or given that you're alluding to costs going up, how will you protect margins with higher input costs? I just want to make sure I understand the message as we go into the second half and in 2027.

好的。這非常有幫助。接著一個簡短追問，Cliff，你提到在這個商品環境下運用你們的資產負債表。你想傳達的訊息是：我們會在下半年看到成本上升，因此在其他條件不變下，毛利率會承壓嗎？或者既然你提到成本上升，你們會如何在投入成本提高時保護毛利？我只是想確保我理解你們在進入下半年以及2027年時所傳達的訊息。

Yeah. As we mentioned, our -- we do have a lot of safety stock around some components that we've accumulated. And so the impact on our financials due to higher input costs at this point, we feel are well controlled in 2026, and we've included those in our outlook for our guidance.

是的。如我們提到的，我們針對部分零組件確實累積了不少安全庫存。因此，就目前而言，因投入成本上升對我們財務造成的影響，我們認為在2026年是可控的，而且我們已將其納入展望與指引之中。

We're not at all starting to think about 2027 or issuing guidance from that, but definitely, people should expect that the higher input costs that are rolling their way through our inventory would start to appear more in 2027. So that's what we're seeing.

我們完全還沒有開始思考2027年或就此提供指引，但大家確實可以預期，隨著較高的投入成本逐步透過庫存流轉，這些影響在2027年會更明顯地反映出來。這就是我們目前看到的情況。

I think for our business, definitely, the bill of materials is -- if you look at our margin structure, we have ways that we can offset some increases here and there with efficiencies in other areas. So we're going to work hard to protect those margins. It's not our goal to go backwards. But again, we are facing some headwinds because of the component environment.

我認為就我們的業務而言，物料清單（BOM）——如果你看我們的毛利結構，我們有方法可以透過其他領域的效率提升，來抵消某些環節的成本上升。所以我們會努力保護毛利。我們的目標不是倒退。但再次強調，因為零組件環境，我們確實面臨一些逆風。

Ivan Feinseth, Tigress Financial Partners.

Ivan Feinseth，Tigress Financial Partners。

Congratulations on another great quarter and a great start to the year. The number of new watches that you're making that incorporate inReach and LTE functionality, what percentage of buyers are signing up for a subscription plan?

恭喜又交出一個很棒的季度，也為今年帶來很好的開局。你們推出的、整合 inReach 與 LTE 功能的新款手錶中，有多少比例的買家會訂閱方案？

Yeah. We don't break it out, but the obvious point of those devices with the connectivity hardware is, is to use the services. And one of our key differentiators as a company is especially the inReach service around messaging and SOS services. And so -- so we feel like we have a strong differentiator there that gives a real why Garmin for those product lines. And so I would expect to see more of those kinds of products coming to market in the future.

是的。我們不會把這個數字拆分揭露，但這些具備連線硬體的裝置，其明顯的目的就是使用服務。而我們公司的一個關鍵差異化優勢，特別是 inReach 在訊息傳遞與 SOS 服務方面的服務。因此——我們認為我們在那裡有很強的差異化，能讓這些產品線的消費者有一個很明確的「為什麼選 Garmin」。所以我預期未來會有更多這類產品推向市場。

And then that, including your family of apps, can you give like a big picture of how you see that growing your user base as they use like Messenger and Explorer and those are integrated in more and more products?

另外，包含你們的一系列 App，能否從大方向談談，你們如何看待它們在使用者使用像 Messenger、Explorer 等 App，並且被整合到越來越多產品之後，對擴大使用者基礎的成長作用？

We see people engaging with our apps across the broad spectrum. As you point out, there's several different app properties that we have that people rely on, such as Garmin Connect, of course, is a baseline, but we also have the Golf App. We have Messenger. We have all kinds of apps across our business that interact with our devices. So we see strong engagement from our customers and good feedback from them.

我們看到使用者在非常廣泛的範圍內與我們的 App 互動。如你所說，我們有好幾個不同的 App 產品，使用者會依賴它們；例如 Garmin Connect 當然是基礎，但我們也有 Golf App。我們有 Messenger。我們在各個業務領域都有各式各樣與裝置互動的 App。因此我們看到客戶有很強的使用黏著度，也收到他們很好的回饋。

And then especially in Messenger, as somebody gets a Garmin Watch, they tend to connect with FB friends that weren't using it, but you see the overall growth of Messenger being used. That could be a big driver to more product adoption?

另外特別是 Messenger，當有人買了 Garmin 手錶後，他們往往會去連結那些原本沒在用的 FB 朋友，但你們也看到 Messenger 的整體使用成長。這可能會成為推動更多產品採用的一個重要驅動力嗎？

We see Messenger pulling in not only the Garmin device user that manages the device, but also their friends, which allows them to communicate and, of course, gives us opportunity to expose more people to the Garmin brand.

我們看到 Messenger 不僅吸引管理裝置的 Garmin 裝置使用者，也把他們的朋友帶進來，讓他們能夠溝通，當然也讓我們有機會讓更多人接觸 Garmin 品牌。

And then my second question is how much more robust is the functionality that you provide on board to Mercedes compared to what you you're providing to BMW?

然後我的第二個問題是，相較於你們提供給 BMW 的功能，你們在 Mercedes 車載端所提供的功能強健程度高出多少？

Well, I think you're probably thinking maybe of content or ASP, but I would definitely say that it's a more complex unit and higher ASPs than what we saw with BMW because of its level of integration and also strong volumes. So we expect to see, again, Mercedes to be a strong contributor to scale starting in 2027.

嗯，我想你可能想到的是內容或 ASP，但我肯定會說，因為整合程度更高且出貨量強勁，這是一個更複雜的單元，ASP 也高於我們在 BMW 看到的水準。因此我們預期，Mercedes 將自 2027 年起再次成為規模擴張的重要貢獻者。

Jordan Lyonnais, Bank of America.

Jordan Lyonnais，美國銀行。

On Aviation, could you give a sense of what the size is of the defense and government markets and if that contributed to the gains in the quarter?

關於航空業務，你能否說明國防與政府市場的規模大概有多大，以及這是否對本季的成長有所貢獻？

Well, we tend to sell our products on a commercial off-the-shelf basis to opportunities within government and military. There are some light customizations that we do. But in general, we're selling the same platforms that we sell across commercial as well. It's a smaller part of our overall business, but one of -- that we view as a key opportunity.

嗯，我們通常以商用現成品（COTS）的方式，向政府與軍方的機會銷售我們的產品。我們會做一些輕度的客製化。但整體而言，我們銷售的是與商業市場相同的平台。這在我們整體業務中占比不大，但我們視其為一個關鍵機會之一。

Noah Zatzkin, KeyBanc Capital Markets.

Noah Zatzkin，KeyBanc Capital Markets。

Hoping to get your thoughts on some of the more recent changes in tariff policy and whether or not that's changed your view on the overall tariff impact this year versus last quarter? I think relatedly, maybe how are you thinking about the potential magnitude of refunds that you might be positioned to recoup over time?

想請教你們對近期關稅政策變動的一些看法，以及這是否改變了你們對今年整體關稅影響（相較於上季）的看法？另外相關地，你們如何看待未來可能可逐步追回的退稅金額規模？

Yeah. Regarding tariffs, yeah. First of all, regarding the gross margin, year-over-year, there was an unfavorable impact on tariffs this Q1 versus last year since the tariffs were not in effect of that period of time. As we think about the remainder of the year, we do expect there will be some tariff impact for the remainder of the year, basically at the current trends we're seeing. Obviously, that's evolving, but that's our current opinion.

是的。關於關稅，是的。首先，就毛利率而言，與去年同期相比，本季第一季關稅帶來了不利影響，因為去年同期那段期間關稅尚未生效。展望今年剩餘時間，我們預期在今年其餘期間仍會有一些關稅影響，基本上會依照我們目前看到的趨勢。當然這仍在變化中，但這是我們目前的看法。

As it relates to the refunds, we have not recorded any receivable or benefit for those refund at this point in time. We'll continue to evaluate that and record at the appropriate time, then provide more details when we do record that receivable and benefit.

至於退稅部分，我們目前尚未就該等退稅入帳任何應收款或利益。我們會持續評估，並在適當時點入帳；當我們入帳該應收款與利益時，也會提供更多細節。

Great. And then maybe just one on Marine, another strong quarter there. What are you guys seeing in terms of the underlying trends in the marine end market? And maybe just any color around what do you think is helping to drive what I assume to be share gains there? That would be great.

很好。接著再問一題關於海事（Marine），那邊又是一個強勁的季度。你們在海事終端市場的基本趨勢上看到了什麼？以及能否補充一些看法：你認為是什麼在推動（我猜）你們在那裡的市占提升？那就太好了。

I think for Marine, for us, we saw a particular strength on deliveries to both builders. So they definitely help contribute to the growth that we have in the quarter, although the retail in the aftermarket was also a contributor. I think in general, we're starting to hear some of those customers start to express some worry given the current geopolitical situation.

我想就海事而言，對我們來說，我們看到對兩家造船商的交付特別強勁。因此它們確實有助於本季的成長貢獻，儘管售後市場的零售端也有貢獻。整體來看，我們開始聽到部分客戶在目前地緣政治情勢下表達一些擔憂。

But I think a lot of times that worry takes some time to filter through the market. So we're taking a wait-and-see approach on that. But in general, I would say that the overall market has been very strong, and we've had a very, very positive reaction to our new products, particularly the SPY pole and the 360 Sonar.

但我認為很多時候，這種擔憂需要一些時間才會傳導到市場。所以我們採取觀望的做法。不過整體而言，我會說整個市場一直非常強勁，而我們的新產品也獲得非常、非常正面的反應，特別是 SPY pole 和 360 Sonar。

David MacGregor, Longbow Research.

David MacGregor，Longbow Research。

Just a couple of cleanups. I guess, on operating expenses, dollar expenses are up, but you're leveraging those increases very well. How should we think about the pace of incremental operating expense investment in '26 and '27? And also your ability to continue leveraging those investments at the operating line?

有幾個補充釐清。我想在營業費用方面，費用金額上升，但你們對這些增加的槓桿運用得很好。我們應該如何看待 2026 與 2027 年增量營業費用投資的節奏？以及你們在營業利益線上持續槓桿化這些投資的能力？

Yeah. Regarding operating expenses on a consolidated basis. For the full year, our percentage of sales we expect operating expenses to be relatively consistent year-over-year. So a few things impacting our operating expenses.

是的。關於合併口徑的營業費用。就全年而言，我們預期營業費用占銷售額的比例將與去年同期大致一致。因此有幾個因素影響我們的營業費用。

Obviously, the biggest driver there is personnel-related expenses, really the head count compensation as such, primarily in the R&D side of things, just to fuel our innovation. But a couple of things also in the quarter, one of which was foreign currency, it impacted our top line, their increased staff it also did increase some of our expenses there too.

顯然，最大的驅動因素是人員相關費用，也就是人力編制與薪酬等，主要在研發端，以推動我們的創新。但本季也有幾個因素，其中之一是外匯；它影響了我們的營收，而人員增加也確實使我們那部分的費用有所上升。

Then also, we did have an acquisition of MYLAPS that anniversary-ed this year also from that standpoint and they are annualized. So those are some factors in there. But we expect relatively consistent pace in our operating expenses.

另外，我們先前收購的 MYLAPS 今年也到了併購滿一年的時間點，因此從那個角度來看也已年化。所以這些都是其中的一些因素。但我們預期營業費用的節奏將相對一致。

Flat year-over-year, I guess, is the guidance?

所以指引是年增持平，對嗎？

Consistent growth. Yeah, consistent growth. Yeah.

穩定成長。是的，穩定成長。是的。

Right. And then secondly, just on distribution. Are you seeing any meaningful changes this quarter in the route to market? Any growth in the distribution network to call out and how that may have influenced the reported margins?

了解。第二個問題是關於通路。你們是否看到本季在市場路徑（route to market）上有任何顯著變化？是否有通路網路的擴張值得一提，以及這可能如何影響你們所報告的毛利率？

I would say nothing specific to call out. We have very broad-based distribution across all kinds of retailers and distributors. And so I think the diversity of our go-to-market channels is probably richer for Garmin than any other company out there because of the the broad base of markets we serve as well as the broad product categories that we have within each market.

我會說沒有什麼特別需要指出的。我們在各類零售商與經銷商之間擁有非常廣泛的通路。因此我認為，Garmin 的市場進入通路多元性，可能比任何其他公司都更豐富，因為我們服務的市場基礎廣泛，而且在每個市場內也有廣泛的產品類別。

There are no further questions at this time. I will now turn the call back to Teri Seck for closing remarks. Teri, please go ahead.

目前沒有其他問題。我現在把電話會議交回給 Teri Seck 作結語。Teri，請開始。

Thank you all for joining us today. Doug and I are available for callbacks and we hope you all have a great day. Bye.

感謝各位今天加入我們。Doug 和我都可以接受回電，我們也祝大家有美好的一天。再見。

This concludes today's call. Thank you for attending. You may now disconnect.

今天的電話會議到此結束。感謝各位參與。您現在可以掛線。