台灣國際航電 (GRMN) 2026 Q2 法說會逐字稿

Hello, everyone. Thank you for joining us and welcome to the Garmin Limited second-quarter 2026 earnings call. (Operator Instructions)

各位好。感謝各位加入我們，歡迎參加 Garmin Limited 2026 年第二季財報電話會議。(接線員指示)

I will now hand the conference over to Teri Seck, Director of Investor Relations. Please go ahead.

我現在把會議交給投資人關係總監 Teri Seck。請開始。

Good morning. We would like to welcome you to Garmin Limited's second-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/investors. An archive of the webcast and related transcript will also be available on our website.

早安。歡迎各位參加 Garmin Limited 2026 年第二季財報電話會議。請注意，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/investors。網路直播的存檔與相關逐字稿也將於我們的網站提供。

This earnings call includes projections and other forward-looking statements regarding Garmin Limited 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與 Garmin Limited 及其業務相關的預測及其他前瞻性陳述。任何關於我們未來財務狀況、營收、各事業部門成長率、獲利、毛利率、營業利益率、未來股利或庫藏股回購、市占率、產品導入、外匯、關稅影響、對我們產品的未來需求，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 Limited this morning are Cliff Pemble, President and Chief Executive Officer; and Doug Boessen, Chief Financial Officer and Treasurer. At this time, I would like to turn the call over to Cliff Pemble.

今天代表 Garmin Limited 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。現在我把電話會議交給 Cliff Pemble。

Thank you, Teri, and good morning, everyone. As announced earlier today, Garmin achieved another quarter of record-breaking financial results in a continuation of the positive trends we've been experiencing over the long term. Consolidated revenue increased 11% to $2.02 billion. We experienced robust expansion in consolidated gross and operating margins, the majority of which is attributable to favorable product mix. Margins also benefited from a $21 million tariff refund recognized in the second quarter.

謝謝你，Teri，各位早安。如同我們今天稍早所宣布，Garmin 再度締造破紀錄的一季財務成果，延續我們長期以來所經歷的正向趨勢。合併營收成長 11%，達 20.2 億美元。我們的合併毛利率與營業利益率大幅擴張，其中大部分歸因於有利的產品組合。毛利率亦受惠於第二季認列的 2,100 萬美元關稅退稅。

Even when excluding this benefit, our gross margin performance was impressive by any historical comparison, reflecting the strength of our product lines, our vertically integrated business model and exceptional execution by our global team. Operating income increased 30% to $616 million and pro forma EPS increased 29% to $2.81. Our first-half performance exceeded expectations and gives us confidence to raise our full year 2026 guidance. We now expect 2026 revenue of approximately $8.05 billion and pro forma EPS of $10 per share.

即使排除這項利益，我們的毛利率表現以任何歷史比較來看都相當亮眼，反映出我們產品線的實力、垂直整合的商業模式，以及全球團隊卓越的執行力。營業利益成長 30% 至 6.16 億美元，調整後每股盈餘（pro forma EPS）成長 29% 至 2.81 美元。上半年表現優於預期，使我們有信心上調 2026 全年財測。我們目前預期 2026 年營收約 80.5 億美元，調整後每股盈餘為每股 10 美元。

Services have been an area of strategic focus in recent years with each business segment pursuing unique opportunities to grow service revenue over the long term. We recently announced the strategic acquisition of TrainingPeaks and TrainHeroic, which are leading endurance and strength training platforms connecting coaches to athletes who wish to maximize the impact of their training effort.

近年來，服務一直是我們的策略重點，各事業部門皆在追求獨特機會，以推動服務營收的長期成長。我們近期宣布策略性收購 TrainingPeaks 與 TrainHeroic，兩者為領先的耐力與肌力訓練平台，連結教練與希望將訓練成效最大化的運動員。

We are very excited to welcome the TrainingPeaks and TrainHeroic teams to our Fitness segment and look forward to all that we can accomplish together. 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.

我們非常高興歡迎 TrainingPeaks 與 TrainHeroic 團隊加入我們的 Fitness 事業部門，並期待攜手完成更多成果。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提供一些評論。

Starting with Fitness, revenue increased 25% to $757 million, a new second-quarter record, driven by growth across all product categories, led by continued strong demand for advanced wearables. Gross and operating margins expanded to 64% and 37%, respectively, resulting in operating income of $277 million.

先從 Fitness 事業部門開始，營收成長 25% 至 7.57 億美元，創下第二季新高紀錄，成長動能來自所有產品類別，其中以高階穿戴式裝置的持續強勁需求為首。毛利率與營業利益率分別擴張至 64% 與 37%，帶動營業利益達 2.77 億美元。

During the quarter, we launched the Forerunner 70, bringing comprehensive running features and a bright AMOLED display to our entry-level running lineup and the Forerunner 170 with additional running and training features. We also released our global -- annual global running and cycling data report that provides insights into the fitness activities of our customers and their athletic performance.

本季我們推出 Forerunner 70，將完整的跑步功能與明亮的 AMOLED 螢幕帶入入門跑錶產品線，並推出具備更多跑步與訓練功能的 Forerunner 170。我們也發布年度全球跑步與自行車數據報告，提供對客戶健身活動與運動表現的洞察。

More recently, we announced the CIRQA Smart Band, a screenless wearable that offers rich wellness and fitness insights without requiring a subscription, which further expands the addressable market for our wellness devices. The Fitness segment has achieved outstanding performance over the long term. We are very pleased with these results and continue to expect the Fitness segment will be the strongest contributor to 2026 consolidated growth.

近期我們宣布 CIRQA 智慧手環，這是一款無螢幕穿戴裝置，無需訂閱即可提供豐富的健康與健身洞察，進一步擴大我們健康裝置的可觸及市場。Fitness 事業部門長期以來表現卓越。我們對這些成果非常滿意，並持續預期 Fitness 事業部門將是 2026 年合併成長的最大貢獻者。

Moving to Outdoor, revenue decreased 2% to $483 million, primarily due to consumer auto and adventure watch product categories. Gross and operating margins expanded to 69% and 34%, respectively, resulting in operating income of $164 million. The segment delivered improved profitability and operating income growth through favorable product mix and disciplined execution.

接著看 Outdoor 事業部門，營收下滑 2% 至 4.83 億美元，主要受消費者車用與冒險手錶產品類別影響。毛利率與營業利益率分別擴張至 69% 與 34%，帶動營業利益達 1.64 億美元。該事業部門透過有利的產品組合與嚴謹的執行，實現獲利能力提升與營業利益成長。

We recently expanded our golf lineup with the launch of the Approach Z10, a compact laser rangefinder that sends precise distances to compatible devices, bringing a high-fidelity experience to game play. We also published our annual Trends in Golf Data Report, highlighting that participation in the sport is up and players are improving in nearly every shot category. Looking forward, we expect to achieve stronger revenue performance in the back half of 2026 due to the timing of product launches, resulting in improved full-year growth when compared to 2025.

我們近期推出 Approach Z10，擴充高爾夫產品線；這是一款小巧的雷射測距儀，可將精準距離傳送至相容裝置，為實際下場帶來高擬真體驗。我們也發布年度《高爾夫數據趨勢報告》，指出該運動參與度提升，且球員在幾乎所有擊球類別的表現皆有所進步。展望未來，我們預期 2026 年下半年因產品上市時程帶動，營收表現將更強勁，進而使全年成長相較 2025 年有所改善。

Looking next at Aviation, revenue increased 8% to $269 million, reflecting growth in both OEM and aftermarket product categories. Gross and operating margins were 75% and 27%, respectively, resulting in operating income of $72 million.

再看 Aviation 事業部門，營收成長 8% 至 2.69 億美元，反映 OEM 與售後市場兩大產品類別皆成長。毛利率與營業利益率分別為 75% 與 27%，帶動營業利益達 7,200 萬美元。

For the 11th consecutive year, we were named Best Supplier of the Year by Embraer, who recognized us for outstanding performance as a supplier of electrical and electronic systems for their Phenom business jets. This recognition validates the long-term investments we have made to create innovative products and build strong relationships with our customers.

我們連續第 11 年獲 Embraer 評選為年度最佳供應商，表彰我們作為其 Phenom 商務噴射機電氣與電子系統供應商的卓越表現。此項肯定驗證了我們為打造創新產品並與客戶建立穩固關係所做的長期投資。

During the quarter, we launched the D2 Mach 2 Pro, our first aviator smartwatch with inReach technology. We recently announced AXIS, an all-new family of highly integrated and scalable cockpit display solutions for a broad range of certified and experimental aircraft models. AXIS combines navigation, communication and audio functions into a single platform, reducing installation time, complexity and cost while delivering a modern cockpit experience.

本季我們推出 D2 Mach 2 Pro，這是我們首款搭載 inReach 技術的飛行員智慧手錶。我們近期宣布 AXIS，這是一個全新系列的高度整合且可擴充的座艙顯示解決方案，適用於廣泛的認證與實驗機型。AXIS 將導航、通訊與音訊功能整合於單一平台，縮短安裝時間、降低複雜度與成本，同時提供現代化座艙體驗。

AXIS reflects decades of Garmin innovation and sets a new standard for integrated flight displays. We are very pleased with the performance of Aviation during the first half of the year and expect to achieve continued growth throughout the remainder of the year.

AXIS 彰顯 Garmin 數十年的創新成果，並為整合式飛行顯示系統樹立新標準。我們對 Aviation 事業部門上半年的表現非常滿意，並預期在今年剩餘期間持續成長。

Turning to the Marine segment, revenue increased 14% to $341 million, with growth across multiple product categories. Gross and operating margins expanded to 61% and 29%, respectively, resulting in operating income of $100 million. The primary driver of margin expansion was the tariff refund recognized during the quarter, although product margins improved even when excluding this benefit.

接著看 Marine 事業部門，營收成長 14% 至 3.41 億美元，多個產品類別皆有成長。毛利率與營業利益率分別擴張至 61% 與 29%，帶動營業利益達 1 億美元。毛利率擴張的主要驅動因素為本季認列的關稅退稅；即使排除此項利益，產品毛利率仍有所改善。

During the quarter, we launched the Garmin Signal VHF marine radio, which offers a color touchscreen and new features to enhance communication on the water. We recently announced the next-generation LiveScope 2 sonar system, which offers improved range and clarity over previous LiveScope systems.

本季我們推出 Garmin Signal VHF 船用無線電，提供彩色觸控螢幕與新功能，以強化水上通訊。我們近期宣布新一代 LiveScope 2 聲納系統，相較先前的 LiveScope 系統提供更佳的探測距離與清晰度。

LiveScope 2 received the Best Electronics Award at the recent ICAST trade show, validating our superior LiveScope technology and further separating us from others in the market. We are pleased with the performance of Marine during the first half of the year and believe we are on track to achieve full-year growth that is consistent with that of the prior year.

LiveScope 2 在近期的 ICAST 貿易展上榮獲「最佳電子產品獎」，驗證了我們卓越的 LiveScope 技術，並進一步拉開與市場其他競爭者的差距。我們對 Marine 事業在上半年表現感到滿意，並相信我們正朝著達成與前一年一致的全年成長目標邁進。

And moving finally to the Auto OEM segment, revenue increased 1% to $172 million, with growth primarily driven by domain controllers. Gross and operating margins were 22% and 2%, respectively. The gross margin expansion was primarily due to year-to-date cost recoveries that were recognized as revenue during the quarter.

最後談到 Auto OEM 事業部門，營收成長 1% 至 1.72 億美元，成長主要由網域控制器（domain controllers）帶動。毛利率與營業利益率分別為 22% 與 2%。毛利率擴張主要來自年初至今的成本回收，並於本季認列為營收。

Operating income was positive on a GAAP accounting basis at $3 million in the quarter, driven by improved gross profit and lower research and development expenses. While we're excited about the positive quarter, we are expecting revenue to decline and the return to an operating loss in the back half of 2026, leading up to the launch of our next major program with Mercedes-Benz in 2027.

本季依 GAAP 會計基礎計算的營業利益為正，達 300 萬美元，主要受惠於毛利改善及研發費用下降。儘管我們對本季轉正感到振奮，但我們預期 2026 年下半年營收將下滑，並在 2027 年與 Mercedes-Benz 下一個重大專案推出前，營運將回到虧損狀態。

Wrapping up, I'm very proud of what our team has accomplished. We delivered strong growth, expanded profitability, invested in innovation, completed a strategic acquisition and introduced new products across nearly every segment of our business. As we look to the second half of 2026, our product portfolio is strong, and we are confident in the opportunities that lie ahead. We believe our success is driven by our commitment to create products that are essential to our customers and supporting them with industry-leading quality, reliability and innovation.

總結來說，我對團隊的成果感到非常自豪。我們實現強勁成長、擴大利潤率、投入創新、完成一項策略性併購，並在幾乎每個業務部門推出新產品。展望 2026 年下半年，我們的產品組合實力堅強，並對未來機會充滿信心。我們相信成功來自於我們致力打造對客戶至關重要的產品，並以業界領先的品質、可靠性與創新來支持客戶。

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

以上是我的發言。接下來，Doug 將為各位說明我們財務結果的更多細節。Doug？

Thanks, Cliff. Good morning, everyone. I'll begin by reviewing our second-quarter financial results, provide comments on the balance sheet, cash flow statement, taxes and updated guidance. Consolidated revenue of $2.022 billion for the second quarter, representing 11% increase year over year. Gross margin was 62.4%, a 360-basis point increase from the prior-year quarter. Increase was primarily driven by favorable product mix and tariff refunds of approximately $21 million.

謝謝你，Cliff。各位早安。我將先回顧第二季財務結果，並就資產負債表、現金流量表、稅務以及更新後的財測提供說明。第二季合併營收為 20.22 億美元，年增 11%。毛利率為 62.4%，較去年同期提高 360 個基點。提升主要來自有利的產品組合，以及約 2,100 萬美元的關稅退稅。

Operating expense as a percentage of sales was 32%, 80 basis point decrease. Operating income increased 30% to $616 million. Operating margin expanded to 30.4%, 440 basis point increase compared to prior-year quarter. Our GAAP EPS was $2.80. Pro forma EPS of $2.81. Next, we look at our second-quarter revenue by segment and geography.

營業費用占銷售額比重為 32%，下降 80 個基點。營業利益成長 30% 至 6.16 億美元。營業利益率擴張至 30.4%，較去年同期提高 440 個基點。我們的 GAAP 每股盈餘（EPS）為 2.80 美元；Pro forma EPS 為 2.81 美元。接著我們將按事業部門與地區檢視第二季營收。

During the second quarter, we achieved consolidated double-digit growth, led by the Fitness segment with 25% growth, followed by Marine segment with 14% growth. By geography, we achieved growth in all three regions, led by 13% growth in EMEA, followed by 12% growth in Americas and 7% growth in APAC.

第二季我們達成合併營收雙位數成長，其中以 Fitness 事業部門成長 25% 領先，其次為 Marine 事業部門成長 14%。按地區來看，三大區域皆實現成長，其中以 EMEA 成長 13% 領先，其次為 Americas 成長 12%，以及 APAC 成長 7%。

Looking next on operating expenses, research and development expense increased $27 million, approximately 10% while SG&A expenses increased $25 million, approximately 8%. Increases were primarily driven by personnel-related expenses.

接著看營業費用，研發費用增加 2,700 萬美元，約成長 10%；SG&A 費用增加 2,500 萬美元，約成長 8%。增加主要由人員相關費用所帶動。

A few highlights on the balance sheet, cash flow statement and taxes. We ended the quarter with cash and marketable securities of approximately $4.4 billion. Accounts receivable increased both year over year and sequentially to approximately $1.2 billion on the seasonally strong sales in the second quarter. Inventory increased year over year sequentially to approximately $2 billion.

以下是資產負債表、現金流量表與稅務的幾項重點。本季末我們持有的現金及有價證券約為 44 億美元。受第二季季節性強勁銷售帶動，應收帳款較去年同期及較前一季均增加至約 12 億美元。存貨較去年同期及較前一季增加至約 20 億美元。

During the second quarter of 2026, we generated free cash flow of $276 million, $148 million increase from the prior-year quarter. Capital expenditures for the second quarter of 2026 were $128 million, approximately $82 million higher than the prior-year quarter. We expect full-year 2026 free cash flow to be approximately $1.4 billion with capital expenditures of approximately $550 million.

2026 年第二季我們創造自由現金流 2.76 億美元，較去年同期增加 1.48 億美元。2026 年第二季資本支出為 1.28 億美元，較去年同期高約 8,200 萬美元。我們預期 2026 年全年自由現金流約為 14 億美元，資本支出約為 5.5 億美元。

During the second quarter of 2026, we paid dividends of approximately $202 million and purchased $43 million of company stock. At quarter end, we had approximately $448 million remaining share repurchase program authorized through December 2028. For the effective tax rate, was 16.8% compared to 16.5% in the prior-year quarter. Increase in effective tax rate is primarily due to income mix by jurisdiction.

2026 年第二季我們支付股利約 2.02 億美元，並回購 4,300 萬美元公司股票。截至季末，我們仍有約 4.48 億美元的庫藏股回購額度，該計畫已獲授權至 2028 年 12 月。有效稅率為 16.8%，去年同期為 16.5%。有效稅率上升主要因各司法管轄區的所得組合（income mix）變化所致。

Turning next to our full year guidance. Based on our performance during the first half of 2026, our positive outlook for the remainder of the year, we now estimate revenue of approximately $8.05 billion compared to our previous guidance of $7.9 billion. As a result of year-to-date performance, we have increased our gross margin estimate to approximately 59.7% to 120 basis points higher than our previous guidance and is 100 basis points higher than the full-year 2025 gross margin.

接著談全年財測。基於 2026 年上半年表現，以及我們對今年剩餘期間的正向展望，我們目前估計營收約為 80.5 億美元，高於先前指引的 79 億美元。由於年初至今的表現，我們將毛利率估計上調至約 59.7%，較先前指引提高 120 個基點，亦較 2025 年全年毛利率高 100 個基點。

Year-to-date results have not been significantly impacted by higher memory costs. However, we do expect higher memory costs impact the second half, which has been factored into our full-year gross margin guidance.

年初至今的結果並未受到記憶體成本上升的顯著影響。然而，我們確實預期記憶體成本上升將影響下半年，且已反映在我們的全年毛利率指引中。

Updated gross margin guidance does not include any additional benefit related to tariff refunds besides the benefit already recorded in the second quarter. We expect our operating margin to be approximately 27%, 150 basis points higher than our previous guidance. Also, we expect a pro forma effective tax rate of 16.5% from our previous guidance of 16%, increases due to income mix by jurisdiction. We expect the pro forma earnings per share is approximately $10 from our previous guidance, $9.35.

更新後的毛利率指引不包含除第二季已認列利益之外的任何額外關稅退稅效益。我們預期營業利益率約為 27%，較先前指引高 150 個基點。此外，我們預期 Pro forma 有效稅率為 16.5%，高於先前指引的 16%，上升原因為各司法管轄區的所得組合變化。我們預期 Pro forma 每股盈餘約為 10 美元，高於先前指引的 9.35 美元。

This concludes our formal remarks. Rebecca, could you please open the line for Q&A?

以上為我們的正式發言。Rebecca，能否請你開放電話線進行問答？

(Operator Instructions) Erik Woodring, Morgan Stanley.

(接線員指示) Erik Woodring，Morgan Stanley。

Really nice performance and guide. Cliff, congrats on the CIRQA launch last week. Clearly, you're taking kind of the expertise you have broad-based and wrist-based wearables and expanding it to new kind of form factors or adjacencies.

表現與指引都非常亮眼。Cliff，恭喜你們上週推出 CIRQA。很明顯你們正把在廣泛的穿戴式裝置與腕戴式穿戴裝置上的專業能力延伸，並擴展到新的產品形態或相鄰領域。

Just maybe two questions. One, a clarification. Just -- I want to make sure to get the kind of most advanced features -- excuse me, AI software features on the CIRQA. The user still needs a subscription to Connect+. I just want to make sure that's correct.

我這邊可能有兩個問題。第一個是釐清一下。我想確認在 CIRQA 上要使用最先進的功能——不好意思，是 AI 軟體功能——使用者仍需要訂閱 Connect+。我想確認這樣理解是否正確。

And then second, how far are you willing to go when we think about adjacent form factors? Just as I think about the broad wearables market, there are other wearable form factors having success. Is it your intention to expand to other form factors? And just kind of your thoughts on why you would or would not go that direction?

第二個問題是，當我們思考相鄰的產品形態時，你們願意擴展到多遠？就我對整體穿戴式市場的觀察，還有其他穿戴式產品形態也取得成功。你們是否打算擴展到其他產品形態？也請談談你們為何會或不會往那個方向走的想法。

Yes. Thank you, Erik. In terms of CIRQA and the features, what we're trying to communicate there is that CIRQA comes with all of the features that people have expected and get in any Garmin wearable on Garmin Connect.

是的。謝謝你，Erik。就 CIRQA 與其功能而言，我們想傳達的是：CIRQA 具備人們在 Garmin Connect 上、對任何 Garmin 穿戴式裝置所期待並可取得的所有功能。

They can certainly add the additional features of Connect+, including the AI and the nutrition tracking and other features that we'll add in the future. But I think our main point and one of the things that we felt was a unique differentiator for us is the fact that our product is so richly featured right out of the box compared to competitors.

他們當然也可以加購 Connect+ 的額外功能，包括 AI、營養追蹤，以及我們未來會加入的其他功能。但我認為我們的重點之一、也是我們覺得對我們而言很獨特的差異化因素，是相較競品，我們的產品開箱即用就具備非常豐富的功能。

In terms of other form factors, I won't comment specifically on our product roadmap. But as we've demonstrated over time, we tend to move into categories and explore new things. And so our product roadmap is very rich, and I would expect that we'll see additional new product in the future, just like you've always seen from us.

至於其他外形規格（form factors），我不會針對我們的產品路線圖做具體評論。但如同我們長期以來所展現的，我們往往會進入不同類別並探索新事物。因此我們的產品路線圖非常豐富，我也預期未來會看到更多新產品，就像你們一直以來從我們這裡看到的一樣。

Okay. All right. That's helpful. And then maybe just as my follow-up, I guess maybe the broad question is just how sustainable is kind of this broad-based margin expansion that we're seeing? It's incredibly impressive, obviously, even when you exclude the tariff refund. And what I'm really trying to understand is you talk a lot about mix as a tailwind.

好的。好。這很有幫助。接著可能作為我的追問，我想更宏觀地問：我們目前看到這種全面性的毛利率擴張，究竟有多可持續？這非常令人印象深刻，顯然即使排除關稅退稅也是如此。而我真正想理解的是，你們談到「產品組合（mix）」帶來順風。

Can you just be a little bit more specific? When you say mix, is this kind of lower cost products mixing in? Is this higher-priced products mixing in? Is there anything within mix that is kind of notable that you would call out that is more of a sustainable tailwind? I just want to make sure I understand when we're talking about mix, I understand just how sustainable that trend could be as we think not a quarter or beyond, but like one, two, three years beyond where we are from now.

你能否再具體一點？你說的 mix，是指較低成本產品占比提高嗎？還是較高售價產品占比提高？在 mix 裡面，有沒有什麼特別值得點出的、屬於更可持續的順風因素？我只是想確認我理解：當我們談 mix 時，這個趨勢在展望不只是下一季，而是未來一到兩到三年時，可能有多可持續。

With regard to margin, I would say that it's never our strategy to go backwards. But that said, everyone is facing higher costs, especially in the area of memory. And so we recognize that's a headwind. We're going to use the same playbook with memory as we did with tariffs in managing the business and trying to provide outstanding performance. So we don't rule anything out, and we'll continue to leverage everything we have in our toolbox to be able to mitigate the cost of memory.

關於毛利率，我會說我們的策略從來不是倒退。但話說回來，每個人都面臨更高的成本，尤其是在記憶體方面。因此我們也認知到這是一個逆風。我們會用與管理關稅時相同的劇本來管理記憶體，來經營業務並力求提供出色的表現。所以我們不排除任何可能，並會持續運用我們工具箱裡的一切手段，以降低記憶體成本的影響。

In terms of mix, I think it is somewhat of a generic term. On the obvious side of that, it's when we reduce or release new products in our families that come out at higher margins. And so when those new products start to become a greater part of the overall sales mix, we see higher margins in the segments because of that. And then there's also some improvements in the basic product cost side of things as well that we've been able to achieve through our vertical integration and leveraging our scale.

至於 mix，我認為它某種程度上是一個比較籠統的用語。最直觀的部分是：當我們在各產品系列中推出或更新新產品，而這些新產品的毛利率更高。因此當這些新產品在整體銷售組合中的占比提高時，我們就會因而看到各事業部門的毛利率上升。此外，在基礎產品成本方面，我們也透過垂直整合與規模效益取得了一些改善。

David MacGregor, Longbow Research.

David MacGregor，Longbow Research。

This is Joe Nolan on for David. I just wanted to ask a follow-up on the cost there. You talked about memory chips briefly. You guys obviously put up a strong margin performance in 2Q. But can you just talk about how to think about price cost as we move into the second half and you have higher memory chip costs, but if there's any other raw materials or other buckets to keep in mind?

我是代替 David 的 Joe Nolan。我想就成本再追問一下。你們簡單提到記憶體晶片。你們在第二季的毛利率表現顯然很強。但能否談談：進入下半年後，記憶體晶片成本上升時，該如何看待價格與成本的變化？另外是否還有其他原物料或其他成本項目需要留意？

I think we've benefited from having a strategic inventory of memory that we've been using throughout the year. So the higher costs that are in the market today have not yet impacted our financials. We do expect that to start to impact us in the back half, and we've included that in our guidance.

我認為我們受益於先前建立的策略性記憶體庫存，並在今年持續使用。因此，目前市場上的較高成本尚未反映在我們的財務數字上。我們確實預期這會在下半年開始影響我們，並已將其納入我們的財測指引。

But in terms of other components, I think everything is under pressure right now. We're seeing far less attention in some of those other component categories, far less movement, but I think everything is certainly under pressure because of the AI demand.

但就其他零組件而言，我認為現在一切都承受壓力。我們看到在某些其他零組件類別上，市場關注度低很多、波動也小很多，但我認為由於 AI 需求，一切確實都在承受壓力。

But again, we're managing that the same way we manage any other ripple in the dynamics. Again, I would call people's attention to our response around the tariffs and how we've been able to manage the business to be able to provide outstanding performance.

不過，我們仍會用管理任何其他動態波動的方式來管理這件事。同樣地，我會提醒大家注意我們對關稅的應對，以及我們如何管理業務以提供出色表現。

Got it. And then on the Auto OEM business, you have the current air pocket between contracts. Just wondering if you could talk about how to think about second half quarterly cadence on revenues. And just remind us on the timing of the upcoming contract, if anything has changed there?

了解。另外在汽車 OEM 業務方面，你們目前處於合約之間的空窗期。想請教下半年各季營收節奏應如何看待？也請你們再提醒一下即將到來的合約時程，是否有任何變動？

Yes, so we do expect back half revenue to decline versus 2025 as we've reached the peak of our BMW volumes. And we are on track in preparing for the launch of the next program, a major program with Mercedes-Benz in early 2027 as those products start to come off of our production line. So we expect 2027 would be a year that Auto OEM would again return to growth.

是的，我們確實預期下半年營收會較 2025 年下滑，因為我們的 BMW 出貨量已達到高峰。同時，我們正按計畫準備下一個專案的上市——與 Mercedes-Benz 的一個重大專案，預計在 2027 年初，相關產品將開始從我們的產線下線。因此我們預期 2027 年將是汽車 OEM 業務再次回到成長的一年。

Akanksh Chauhan, JPMorgan.

Akanksh Chauhan，JPMorgan。

This is actually Joe Cardoso from JPMorgan. So maybe for my first question, I was just curious, I think late last year, you announced a partnership around health savings accounts. And I'm just curious if you're actually starting to see any tangible traction in terms of that driving any demand across your product portfolio and how you guys are thinking about that opportunity unfolding and whether we could start to see any near-term benefits from that? And then I do have a follow-up.

其實我是 JPMorgan 的 Joe Cardoso。我第一個問題是想請教：我記得你們在去年稍晚宣布了與健康儲蓄帳戶（HSA）相關的合作。我想了解你們是否已經看到一些具體的進展，這是否正在帶動你們產品組合的需求？以及你們如何看待這個機會的發展，是否可能在短期內開始看到一些效益？另外我還有一個追問。

Okay. Sorry, I think the line was a little garbled when you mentioned the partnership. Could you clarify again?

好的。抱歉，我想你提到合作夥伴關係時，線路有點不清楚。你可以再說明一次嗎？

Yes, the HSA reimbursement partnership, I believe, October of last year, maybe you announced some partnerships on that front.

是的，我指的是 HSA 報銷（reimbursement）的合作夥伴關係，我記得是去年 10 月左右，你們可能宣布了這方面的一些合作。

Yes, the Truemed partnership. And that has been a great new distribution channel for our products. And we don't quantify results by customer, but it was a great way to expand our reach, especially for people that want to purchase a high-quality wearable using HSA funds.

是的，Truemed 的合作。那已成為我們產品一個很棒的新通路。我們不會按客戶量化成果，但這確實是擴大觸及面的好方式，特別是對於想用 HSA 資金購買高品質穿戴式裝置的人。

Got it. And then maybe, Cliff, just wanted to get you to talk about the acquisitions you mentioned in your prepared remarks, TrainingPeaks and TrainHeroic. How should we think about these two in terms of your long-term strategy for the company? And how are you thinking about the synergies across these platforms playing out in the context of both your product portfolio as well as potentially Connect+ and how you're thinking about that unfolding for the company?

了解。接著，Cliff，我想請你談談你在事先準備的發言中提到的收購案：TrainingPeaks 和 TrainHeroic。從公司長期策略來看，我們應該如何看待這兩項收購？以及你們如何看待這些平台之間的協同效應，無論是在你們的產品組合，或是可能在 Connect+ 的脈絡下，對公司未來發展會如何展開？

Well, it's early days. And in terms of traditional synergies, we're really not thinking about any of those. The synergies we're thinking about in TrainingPeaks and TrainHeroic really has to do with our product line and the ability to offer what I would call a 360-degree experience for our customers where using our devices, they record information that is then loaded into the training platform, and coaches are able to review that and provide recommendations, which then modifies the behaviors of the users. So we feel like that's a fantastic thing to achieve to be able to give a full experience to our customers of training and improvement.

嗯，現在還在早期階段。就傳統意義上的協同效應而言，我們其實沒有特別朝那個方向思考。我們在 TrainingPeaks 與 TrainHeroic 所思考的協同，主要與我們的產品線有關，以及能為客戶提供我所稱的 360 度體驗：客戶使用我們的裝置記錄資訊，接著上傳到訓練平台，教練可以檢視並提供建議，進而改變使用者的行為。因此我們認為，能夠達成這點非常棒，讓客戶在訓練與提升方面獲得完整體驗。

Noah Zatzkin, KeyBanc Capital Markets.

Noah Zatzkin，KeyBanc 資本市場。

I guess just a follow-up on CIRQA. Any early feedback? I know it's super early from retail partners or consumers you'd like to share. And I noticed on the website -- on your website, it seems as if the product sold out and now the ship wait time is five to eight weeks. So just wondering if that's kind of demand or supply driven or how we should think about that?

我想就 CIRQA 再追問一下。有任何早期回饋嗎？我知道現在還非常早期，但是否有來自零售合作夥伴或消費者的初步反應可以分享。另外我注意到在網站上——在你們的網站上，看起來產品已售罄，現在出貨等待時間是五到八週。所以想請教這是需求帶動還是供應帶動，或我們應該如何看待這件事？

Well, I think it is demand and supply driven, but definitely ahead of anything that we had imagined. We had expected that we would receive a good reception to that product when we introduced it. We had discussions with retailers and things in advance, and they all were very excited about it. But the actual result once we announced the product was very strong, ahead of our expectations. So we will be chasing back orders for a while. But it is early days, but in the first few days of registration tracking, it was very, very strong. So the product is already getting out to customers.

我想這同時是需求與供應所驅動，但確實比我們原先想像的任何情況都要超前。我們原本預期在推出該產品時會獲得良好反響。我們事前也與零售商等進行過討論，他們都非常興奮。但實際上在我們宣布產品後的結果非常強勁，超出我們的預期。因此我們會追趕積壓訂單一段時間。不過現在仍是早期階段，但在最初幾天的註冊追蹤中，表現非常、非常強勁。所以產品已經開始交付到客戶手上。

Great. And maybe just one on the Thailand facility, any updates there? And then maybe just how we should think about the opportunity from a cost perspective and a capacity perspective?

很好。另外想問一下泰國廠的進度，有任何更新嗎？以及從成本與產能的角度，我們應該如何看待那裡的機會？

Yes, so Thailand is on track, and we're in probably the most intense part of our capital expenditures to be able to build and equip that facility. We expect it to be finished towards the end of the year, and we'll start utilizing it in early 2027.

是的，泰國廠按計畫推進，我們目前正處於資本支出最密集的階段，以便建造並配置該設施。我們預期在年底前完工，並在 2027 年初開始投入使用。

Initially, we're building the product or the site out in phases. And so our first phase is about 400,000 square feet, but it can -- in total, has a potential of doubling our capacity across all of Garmin. So we have a lot of room to grow there. The cost structure is probably the same or even slightly less than what we have globally right now. But in general, we're doing this out of the ability to differentiate and kind of give us additional manufacturing options as we diversify our business.

一開始，我們會分階段建置產品／廠區。第一期約 40 萬平方英尺，但整體而言，該基地具備將 Garmin 全體產能翻倍的潛力。因此我們在那裡有很大的成長空間。成本結構大概與我們目前全球的水準相當，甚至可能略低一些。但總體來說，我們這麼做是為了提升差異化，並在業務多元化的同時，為我們提供更多製造選項。

Ivan Feinseth, Tigress Financial Partners.

Ivan Feinseth，Tigress Financial Partners。

Congratulations on the huge results and the increase in guidance. Two questions. My first is on the JL Audio Primacy. What kind of uptake or reception are you seeing on that? And since this is not like a direct-to-consumer product, but it looks like you need professional install, what kind of inquiry are you getting from the professional install community about becoming a dealer for this and getting training and stuff by you to sell it and install it?

恭喜你們取得亮眼成果並上調財測指引。我有兩個問題。第一個是關於 JL Audio Primacy。你們看到的採用情況或市場反應如何？另外，由於這不是直接面向消費者的產品，看起來需要專業安裝；那麼專業安裝社群對於成為經銷商、接受你們的訓練等以便銷售與安裝，詢問度如何？

Yes. We had a good reception to Primacy. We hosted large groups of home audio installers and custom audio outfitters in our facility down in Miramar, Florida, and we had a very good reception to that and very good reviews from them coming out of that. It is a specialty product, highly specialty product. And so it's going to take some time to really see the pull-through of that, but the initial reactions and the feedback we got from people was strong.

是的。Primacy 的市場反應不錯。我們在佛羅里達州米拉馬（Miramar）的設施接待了大批家用音響安裝商與客製音響整合商，他們的反應非常好，離開後給予的評價也很高。這是一款利基產品，非常專業的產品。因此要真正看到其帶動效應還需要一些時間，但我們從大家那裡得到的初期反應與回饋都很強勁。

And my second question on the new AXIS displays, how does that compare to some of the competing products as far as cost and integration? And what kind of reception are you getting to that?

第二個問題是關於新的 AXIS 顯示器：在成本與整合性方面，與競品相比如何？你們目前收到的市場反應如何？

The reception to AXIS is very strong. There's really nothing else like it out on the market, and it has basically been designed to address the ability to lower installation costs to simplify for both OEMs and homebuilders and to provide a level of integration that they just didn't have access to before. So we're very excited about that, and we think it really resets the bar in terms of integrated flight displays.

AXIS 的市場反應非常強勁。市面上真的沒有其他類似產品；它基本上是為了降低安裝成本、簡化 OEM 與住宅建商的安裝流程而設計，並提供他們過去無法取得的整合程度。因此我們對此非常興奮，也認為它在整合式飛行顯示器方面重新樹立了標竿。

Ronald Epstein, Bank of America.

Ronald Epstein，美國銀行。

This is Alex Preston on for Ron this morning. I just wanted to turn to Aviation real quick. And I was wondering if you could talk a little bit about the demand that you're seeing across end markets, right? So it seems that business Aviation has been strong maybe despite some macro concerns. Defense and government platforms have support. Just curious if there's any sort of more detail you could give there?

今天早上由 Alex Preston 代替 Ron 發言。我想快速轉到航空業務。想請你們談談在各終端市場看到的需求情況，好嗎？看起來商務航空即使在一些總體環境疑慮下仍然強勁。國防與政府平台也有支撐。想了解你們是否能提供更進一步的細節？

Yes. I think business Aviation continues to be strong. As you know, OEMs are sitting on pretty much record backlogs as they work through those. So there doesn't appear to be an excess capacity issue. Customers still want these vehicles and appreciate them for what they do. And so the OEM side of things has been going very well.

是的。我認為商務航空仍然強勁。如你所知，OEM 在消化訂單的同時，手上幾乎都有創紀錄的積壓訂單。因此看起來並不存在產能過剩的問題。客戶仍然想要這些飛機，也認同它們所帶來的價值。因此 OEM 端的進展非常順利。

The aftermarket side has been resilient and strong even despite some of the bumps that we've seen in the near term with fuel prices and things like that. But good used airplanes are things that people invest in and they add equipment to. And so that market has been resilient.

售後市場端也展現韌性並保持強勁，即便近期我們看到燃油價格等因素帶來一些波動。但優質的二手飛機仍是人們願意投資的標的，並會加裝設備。因此該市場一直很有韌性。

And sort of, I guess, to follow up, any changes to what you're thinking going forward into the second half, maybe into '27 on those demand drivers?

那我接著追問一下：展望下半年，甚至到 2027 年，你們對這些需求驅動因素的看法有任何改變嗎？

No, really no changes at all. We see things kind of moving as they have been.

沒有，真的完全沒有改變。我們看到各項情況大致仍按既有的方式發展。

We have reached the end of the Q&A session. I will now turn the call back to Teri Seck for closing remarks.

問答環節到此結束。我現在把電話交回給 Teri Seck 作結語。

Thanks to all of you for joining us today. Doug and I are available for callbacks, and we hope you have a great rest of your day. Bye.

感謝各位今天加入我們。Doug 和我都可以接受回電，我們也祝各位今天剩下的時間一切順利。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。感謝各位出席。您現在可以掛線。