台灣國際航電 (GRMN) 2026 Q3 法說會逐字稿

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

各位好。感謝各位加入我們，歡迎參加 Garmin Limited 2026 年第三季財報電話會議。（接線員指示）

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

現在我將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 third 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. This earnings call includes projections and other forward-looking statements regarding Garmin Limited and its business.

各位早安。歡迎各位參加 Garmin Limited 2026 年第三季財報電話會議。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。網路直播的存檔及相關逐字稿也將於我們網站提供。本次財報電話會議包含與 Garmin Limited 及其業務相關的預測與其他前瞻性陳述。

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. 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.

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。本次財報電話會議中討論的前瞻性事件與情況可能不會發生，且受影響 Garmin 的風險因素影響，實際結果可能出現重大差異。

Information concerning these risk factors is contained in our Form 10-K filed with the Securities and Exchange Commission. 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.

關於這些風險因素的資訊載於我們向美國證券交易委員會（SEC）提交的 Form 10-K。今天代表 Garmin Limited 出席簡報的有總裁兼執行長 Cliff Pemble，以及財務長兼財務主管（Treasurer）Doug Boessen。現在我想把電話會議交給 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 12% to nearly $2 billion with gross margin of 63.3%. We experienced a robust expansion in consolidated gross and operating margins, the majority of which is attributable to favorable segment mix and lower product costs.

謝謝你，Teri，各位早安。如同我們今天稍早宣布的，Garmin 在延續長期以來的正向趨勢下，再度繳出破紀錄的一季財務表現。合併營收成長 12% 至接近 20 億美元，毛利率為 63.3%。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事業組合（segment mix）以及較低的產品成本。

Margins also benefited from tariff refunds of $33 million recognized in the third quarter. Even when excluding this benefit, our gross margin performance was impressive by any historical comparison, reflecting the strength of our product lines and the efficiency of our vertically integrated business model. Through strong operational execution, we delivered significant leverage to the bottom line. Operating income increased 34% to $612 million, and pro forma EPS increased 39% to $2.76.

毛利率亦受惠於第三季認列的 3,300 萬美元關稅退稅。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以及垂直整合商業模式的效率。透過強勁的營運執行，我們在損益表底線端實現顯著槓桿效益。營業利益成長 34% 至 6.12 億美元，調整後（pro forma）每股盈餘（EPS）成長 39% 至 2.76 美元。

With most of 2026 behind us and considering the momentum we are experiencing entering the important Q4 holiday season, we anticipate delivering another record year of double digit growth in revenue and profits. We now anticipate revenue of $8.15 billion, an increase of $100 million over the prior guidance and an increase of 12% over the prior year.

隨著 2026 年大部分時間已過，並考量我們在進入重要的第四季假期旺季時所展現的動能，我們預期將再度交出營收與獲利雙位數成長的創紀錄年度表現。我們目前預期營收為 81.5 億美元，較先前指引上調 1 億美元，並較去年成長 12%。

We expect gross margin of 61% for the full year, which assumes higher costs for raw materials, particularly memory, which I will expand upon in a moment. We further expect an operating margin of 29%, an expansion from our prior estimate, and a tax rate of 16.5%, which is unchanged from our prior estimate. These assumptions result in pro forma EPS of $10.80, an increase of $0.80 over the prior guidance and a 26% increase over the prior year.

我們預期全年毛利率為 61%，此假設包含原物料成本上升，尤其是記憶體成本，我稍後會進一步說明。我們亦預期營業利益率為 29%，較先前估計擴張；稅率為 16.5%，與先前估計一致。在上述假設下，調整後（pro forma）每股盈餘為 10.80 美元，較先前指引上調 0.80 美元，並較去年成長 26%。

Before covering segment highlights, I want to provide additional context on supply chain matters. As previously mentioned, our results will soon reflect the higher cost of memory and other raw materials, which have increased significantly since last year, driven by both high demand and limited supplies. Our results have benefited from our safety stock of memory purchased at lower prices. New supplies are being purchased at current market prices, which are significantly higher than last year.

在說明各事業部門重點之前，我想先就供應鏈議題提供更多背景。如先前提到，我們的業績不久將反映記憶體及其他原物料成本上升；自去年以來，在需求強勁與供給有限的推動下，這些成本已大幅增加。我們的業績受惠於以較低價格採購的記憶體安全庫存（safety stock）。新的供應量正以目前市場價格採購，而該價格顯著高於去年。

This represents a headwind going forward and drives higher inventory amounts on our balance sheet. Additionally, our inventory strategy is focused on product availability, which translates to higher inventory levels of certain critical components. From time to time, we make prepayments to secure additional supplies.

這在未來將形成逆風，並使我們資產負債表上的存貨金額提高。此外，我們的存貨策略聚焦於產品供應可得性，這意味著某些關鍵零組件的存貨水位將較高。我們也會不時支付預付款以確保取得額外供應。

While it's too early to offer a comprehensive outlook for 2027, we expect our consolidated gross margin profile will return to a historical range, primarily due to higher memory costs. We believe a return to historical gross margin levels represents impressive performance given the unusual supply chain circumstances affecting many companies.

雖然現在要對 2027 年提出全面展望仍為時過早，但我們預期合併毛利率結構將回到歷史區間，主要原因是記憶體成本較高。我們認為，在影響許多公司的異常供應鏈情況下，毛利率回到歷史水準仍代表相當亮眼的表現。

As we formulate our 2027 plan, we will look for every opportunity to offset this headwind by leaning heavily on our vertical integration and scale of operations, and through strategic and selective mitigations, which we have successfully used in the past. 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 16% to $694 million, a new third-quarter record primarily driven by broad-based wearable growth.

在制定 2027 年計畫時，我們將把握每一個機會，充分運用我們的垂直整合與營運規模，並透過策略性且有選擇性的緩解措施來抵銷這項逆風；這些方法我們過去已成功運用。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幾點說明。先從健身（fitness）部門開始。營收成長 16% 至 6.94 億美元，創下第三季新高，主要由全面性的穿戴式產品成長所帶動。

Gross and operating margins expanded to 63% and 33% respectively, resulting in operating income of $231 million. During the quarter, we launched the CIRQA Smart Band, a screenless wearable offering rich wellness and fitness insights that expands our addressable market for wellness devices. Initial demand for CIRQA has been very strong, and feedback from customers has been positive. We recently announced the next generation Edge cycling computers.

毛利率與營業利益率分別擴張至 63% 與 33%，帶動營業利益達 2.31 億美元。本季我們推出 CIRQA 智慧手環（Smart Band），這是一款無螢幕的穿戴式裝置，提供豐富的健康與健身洞察，擴大我們在健康裝置的可服務市場。CIRQA 的初期需求非常強勁，客戶回饋也相當正面。我們近期也宣布推出新一代 Edge 自行車電腦。

The Edge 1060 features a built-in microphone and speaker for hands-free voice control, and the easy-to-use Edge Explore 3 is designed for riders of all levels. The fitness segment has achieved outstanding performance throughout the year, and we expect this trend to continue in the fourth quarter. We are very pleased with these results and expect that the fitness segment will be the strongest contributor to our full-year consolidated growth.

Edge 1060 具備內建麥克風與喇叭，可進行免持語音控制；而操作簡便的 Edge Explore 3 則是為各種程度的騎士所設計。健身部門全年表現出色，我們預期此趨勢將在第四季延續。我們對這些成果非常滿意，並預期健身部門將成為我們全年合併成長的最大貢獻來源。

Moving to outdoor, revenue increased 20% to $597 million, primarily driven by strong demand for adventure watches following the launch of the fēnix 9 series. Gross and operating margins expanded to 68% and 39% respectively, resulting in operating income of $233 million. During the quarter, we launched the fēnix 9 and the fēnix 9 Pro series with an all-titanium watch case option and the largest available AMOLED screen in our flagship adventure watch lineup.

接著看戶外（outdoor）部門，營收成長 20% 至 5.97 億美元，主要由 fēnix 9 系列推出後，冒險手錶需求強勁所帶動。毛利率與營業利益率分別擴張至 68% 與 39%，帶動營業利益達 2.33 億美元。本季我們推出 fēnix 9 與 fēnix 9 Pro 系列，提供全鈦金屬錶殼選項，並搭載我們旗艦冒險手錶產品線中可提供的最大 AMOLED 螢幕。

We also launched the Garmin Drive navigators that feature high-resolution, ultrawide displays, and an elevated all-new user experience. Looking forward, we expect growth momentum to continue in Q4, primarily driven by the fēnix 9 series, resulting in improved full-year growth rates when compared to 2025. Looking next at aviation, revenue increased 5% to $253 million, with growth primarily driven by OEM product categories.

我們也推出 Garmin Drive 導航機，具備高解析度超寬螢幕顯示，以及全面升級、全新的使用者體驗。展望未來，我們預期第四季成長動能將持續，主要由 fēnix 9 系列帶動，使全年成長率相較 2025 年有所改善。接著看航空（aviation）部門，營收成長 5% 至 2.53 億美元，成長主要由 OEM 產品類別所帶動。

Gross and operating margins expanded to 78% and 26% respectively, resulting in $66 million of operating income. We recently announced that the G1000 integrated flight deck for the iconic King Air aircraft has surpassed 1,000 systems in the field, marking a significant milestone as one of the most successful retrofit flight deck programs in aviation history. We also announced that more than 2,500 aircraft are now equipped with our revolutionary Autoland system.

毛利率與營業利益率分別擴大至78%與26%，帶動營業利益達6,600萬美元。我們近期宣布，針對經典 King Air 飛機的 G1000 整合式飛行甲板在役系統已突破1,000套，達成重要里程碑，成為航空史上最成功的改裝飛行甲板計畫之一。我們也宣布，目前已有超過2,500架飛機配備我們革命性的 Autoland 系統。

Autoland is available in more than 15 models, from piston-powered aircraft to twin-engine jets, bringing added peace of mind to a growing number of pilots and passengers across the aviation industry. Just this quarter, Pilatus Aircraft and Epic Aircraft announced the certification of Garmin Autoland on the PC-12 PRO and the E1000 airplanes. During the quarter, we introduced the G2000 PRIME, bringing PRIME flight deck functionality to the high-performance piston and electric aircraft market.

Autoland 已可用於超過15種機型，從活塞動力飛機到雙引擎噴射機，為航空產業中愈來愈多的飛行員與乘客帶來更安心的保障。就在本季，Pilatus Aircraft 與 Epic Aircraft 宣布 Garmin Autoland 已取得 PC-12 PRO 與 E1000 飛機的認證。本季期間，我們推出 G2000 PRIME，將 PRIME 飛行甲板功能帶入高性能活塞與電動飛機市場。

Also during the quarter, we announced the certification of an all-glass retrofit cockpit for the original Cessna Citation jet. Finally, we made important updates to Garmin Pilot, adding SmartCharts coverage for Canada and Mexico, as well as mobile clearance delivery, which allows pilots to obtain clearances electronically through the Garmin Pilot app. We are pleased with the performance of aviation during the first three quarters of the year, and we expect fourth quarter year-over-year growth to be similar to that of Q3.

同樣在本季，我們宣布原始型 Cessna Citation 噴射機的全玻璃改裝座艙已取得認證。最後，我們對 Garmin Pilot 進行重要更新，新增加拿大與墨西哥的 SmartCharts 覆蓋，並加入行動放行傳遞功能，讓飛行員可透過 Garmin Pilot 應用程式以電子方式取得放行許可。我們對航空業務在今年前三季的表現感到滿意，並預期第四季的年增率將與第三季相近。

Turning to the Marine segment, revenue increased 16% to $310 million, with broad-based growth across multiple product categories led by sonar products following the launch of LiveScope 2 sonar systems. LiveScope is widely considered to be one of the most consequential innovations in modern fishing electronics. LiveScope 2 builds on this legacy of disruptive innovation by offering improved range and unprecedented image clarity.

接著看海事（Marine）部門，營收成長16%至3.10億美元；多個產品類別呈現廣泛成長，其中以聲納產品領軍，主要受惠於 LiveScope 2 聲納系統上市。LiveScope 普遍被視為現代釣魚電子設備中最具影響力的創新之一。LiveScope 2 延續此一顛覆式創新傳承，提供更佳的探測距離與前所未有的影像清晰度。

Gross and operating margins expanded to 64% and 30% respectively, resulting in operating income of $94 million. The primary driver of margin expansion was the tariff refund recognized during the quarter. Although margins improved even when excluding this benefit. During the quarter, we expanded our sailboat product lineup with the GMI 40 instrument display and the SmartDrive steering actuator. We also launched the JL Audio A60 head unit series and the M200 speaker system.

毛利率與營業利益率分別擴大至64%與30%，帶動營業利益達9,400萬美元。利益率擴大的主要推動因素，是本季認列的關稅退稅。即使排除此項利益，利益率仍有所改善。本季期間，我們以 GMI 40 儀表顯示器與 SmartDrive 轉向致動器擴充帆船產品陣容。我們也推出 JL Audio A60 主機系列與 M200 揚聲器系統。

We were recently named Manufacturer of the Year by National Marine Electronics Association for the 12th consecutive year, an honor that is particularly meaningful because it reflects the opinions of the broader NMEA community for innovation, product quality, service, and support. We also received six Product of Excellence awards for multiple product categories as selected by NMEA dealers, certified installers, and industry professionals.

我們近期連續第12年獲全國海事電子協會（NMEA）評選為年度製造商；此項榮譽格外有意義，因為它反映了更廣泛 NMEA 社群對我們在創新、產品品質、服務與支援方面的評價。我們也獲得六項卓越產品獎，涵蓋多個產品類別，係由 NMEA 經銷商、認證安裝商與產業專業人士評選。

We are pleased with the performance of Marine during the first three quarters of the year and believe we are on track to achieve full-year growth that is consistent with the prior year. Moving finally to the Auto OEM segment, revenue decreased 20% to $132 million, primarily driven by domain controllers. Gross margin was 16%, and the operating loss narrowed year over year to $12 million as we shifted R&D resources to other segments.

我們對海事部門在今年前三季的表現感到滿意，並相信我們正按計畫達成與前一年一致的全年成長。最後看汽車 OEM 部門，營收下滑20%至1.32億美元，主要受網域控制器（domain controllers）影響。毛利率為16%，且隨著我們將研發資源轉向其他部門，營業損失較去年同期收斂至1,200萬美元。

We expect fourth quarter revenue to decrease year over year, consistent with Q3, as domain controllers continue to decline as expected. We look forward to the launch of our next major domain controller program with Mercedes-Benz, which we expect will drive significant growth in 2027. Wrapping up, I am very proud of what our team has accomplished.

我們預期第四季營收將如同第三季一樣，較去年同期下滑，因網域控制器將如預期持續下降。我們期待與 Mercedes-Benz 的下一個重大網域控制器專案啟動，預期將在2027年帶動顯著成長。總結來說，我為團隊所完成的成果感到非常自豪。

We delivered strong growth, expanded profitability, we invested in future innovation, and introduced new products across nearly every segment of our business. As we look forward, our product portfolio is very strong, and we are confident in the opportunities that lie ahead. We believe 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. That concludes my remarks.

我們實現強勁成長、擴大獲利能力，投資於未來創新，並在幾乎所有業務部門推出新產品。展望未來，我們的產品組合非常強勁，並對前方的機會充滿信心。我們相信，成功來自於我們致力於打造對客戶不可或缺的產品，並以業界領先的品質、可靠性與創新來支持客戶。以上為我的發言。

Next, Doug will walk you through additional details on our financial results. Doug?

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 begin by reviewing our third quarter financial results. My comments on the balance sheet, cash flow statement, taxes, updated guidance. Posting revenue at $1,986,000 for third quarter, representing a 12% increase year over year. Gross margin was 63.3%, a 420 basis point increase from the prior year quarter. The increase was primarily due to favorable segment mix, lower product costs due to the weakening of the Taiwan dollar, approximately $33 million in refunds of previously paid tariffs.

謝謝你，Cliff。各位早安。我先回顧我們第三季的財務結果。我將說明資產負債表、現金流量表、稅務以及更新後的財測指引。第三季營收為1,986,000美元，較去年同期成長12%。毛利率為63.3%，較去年同期增加420個基點。此一增加主要來自有利的部門組合、因新台幣走弱而降低的產品成本，以及約3,300萬美元的先前已支付關稅退稅。

Operating expense as a percentage of sales was 32.5%, an 80 basis point decrease. Operating income increased 34% to $612 million. Operating margin expanded to 30.8%, a 500 basis point increase compared to prior year quarter. Our GAAP EPS was $2.80. Our pro forma EPS was $2.76. Next, we will look at our third quarter revenue by segment and geography.

營業費用占銷售額比重為32.5%，下降80個基點。營業利益成長34%至6.12億美元。營業利益率擴大至30.8%，較去年同期增加500個基點。我們的 GAAP 每股盈餘（EPS）為2.80美元；備考（pro forma）每股盈餘為2.76美元。接下來，我們將按部門與地區檢視第三季營收。

During the third quarter, we achieved consolidated double-digit growth led by the outdoor segment with 20% growth, followed by the fitness, marine segments with 16% growth. By geography, we achieved growth in all three regions, led by 15% growth in Americas, followed by 12% growth in EMEA, and 4% growth in APAC. APAC sales growth is lower than Americas and EMEA due to the challenging market conditions in China. Excluding China, the APAC sales growth would have been more comparable to the other regions.

第三季我們達成合併雙位數成長，其中以戶外（Outdoor）部門成長20%領先，其次為健身（Fitness）與海事（Marine）部門，皆成長16%。按地區來看，我們在三大區域皆實現成長，其中美洲成長15%領先，其次為 EMEA 成長12%，以及 APAC 成長4%。由於中國市場環境具挑戰性，APAC 的銷售成長低於美洲與 EMEA。若排除中國，APAC 的銷售成長將更接近其他地區。

Looking next at operating expenses. Research and development expenses increased $26 million, approximately 9%, primarily driven by personnel-related expenses. SG&A expenses increased $30 million, approximately 10%, primarily driven by personnel-related expenses and advertising expense. A few highlights on the balance sheet, cash flow statement, and taxes. Ending the quarter with cash and marketable securities of approximately $4.1 billion.

接著看營業費用。研發費用增加2,600萬美元，約9%，主要由人員相關費用所帶動。銷售、一般及行政（SG&A）費用增加3,000萬美元，約10%，主要由人員相關費用與廣告費用所帶動。以下是資產負債表、現金流量表與稅務的幾項重點。本季期末現金與有價證券約為41億美元。

Accounts receivable increased year over year to approximately $1.1 billion on the strong sales in the third quarter. Inventory increased year over year and sequentially to approximately $2.3 billion. We are executing our strategy to increase inventory of certain components to mitigate the risk of supply constraints. Also, the cost of certain components has increased significantly year over year. During the third quarter 2026, we generated free cash flow of $293 million, a $132 million decrease from the prior quarter.

受第三季強勁銷售帶動，應收帳款較去年同期增加至約11億美元。存貨較去年同期及較前一季增加至約23億美元。我們正執行策略，提高特定零組件的存貨水位，以降低供應受限的風險。此外，部分零組件成本較去年同期顯著上升。在2026年第三季，我們創造自由現金流2.93億美元，較前一季減少1.32億美元。

Decrease is primarily due to an increase in on-hand inventory, prepayments of inventory to secure future delivery of strategic components, primarily offset by improved operating results. Capital expenditures for the third quarter 2026 were $101 million, approximately $40 million higher than the prior quarter. We expect full year 2026 free cash flow to approximately $1.1 billion. Capital expenditures approximately $500 million.

下降主要是由於手頭庫存增加、為確保策略性零組件未來交付而進行的庫存預付款所致，但部分被營運成果改善所抵銷。2026年第三季資本支出為1.01億美元，較前一季高出約4,000萬美元。我們預期2026年全年自由現金流約為11億美元。資本支出約5億美元。

Decrease in our free cash flow estimate compared to the previous estimate is primarily due to increase in on-hand inventory, prepayments for inventory. During the third quarter of 2026, we paid dividends of approximately $202 million and purchased $41 million of company stock. At quarter end, we had approximately $407 million remaining in the share repurchase program, authorized through December 2028. For an effective tax rate of 18.1% compared to 21.2% in the prior quarter.

與先前估計相比，我們對自由現金流的估計下降，主要是由於手頭庫存增加及庫存預付款增加。2026年第三季期間，我們支付股利約2.02億美元，並回購公司股票4,100萬美元。截至季末，我們在股票回購計畫中尚餘約4.07億美元額度，該計畫授權至2028年12月。有效稅率為18.1%，相較於前一季的21.2%。

Decrease in effective tax rate is primarily driven by an increase in US deductions due to certain provisions of the US tax legislation enacted in 2025, which became effective in 2026. Turning next to our full year guidance. Based on our performance during the first three quarters of 2026, and our positive outlook for the fourth quarter, we now estimate revenue approximately $8.15 billion compared to our previous guidance of $8.05 billion.

有效稅率下降主要是因為美國扣除額增加，源於2025年通過的美國稅法中若干條款，並於2026年生效。接下來談我們的全年指引。基於2026年前三季的表現，以及對第四季的正向展望，我們目前估計營收約為81.5億美元，高於先前指引的80.5億美元。

The result of year-to-date performance, we have increased our gross margin to approximately 61%, which is 130 basis points higher than our previous guidance, and is 230 basis higher than a full year 2025 gross margin. We expect higher memory costs to impact the fourth quarter, which has been factored in our full year gross margin guidance. We received the majority of our expected tariff refunds, and our updated gross margin guidance only includes the benefit of tariff refunds already recorded in the year-to-date results.

受年初至今表現帶動，我們已將毛利率上調至約61%，較先前指引高出130個基點，亦較2025年全年毛利率高出230個基點。我們預期較高的記憶體成本將影響第四季，且已反映於全年毛利率指引中。我們已收到預期關稅退稅的大部分，而更新後的毛利率指引僅包含已在年初至今結果中入帳的關稅退稅利益。

We expect our operating margin to be approximately 29%, which is 200 basis points higher than our previous guidance. Also, we expect a pro forma effective tax rate of 16.5%, consistent with our previous guidance. The expected pro forma earnings per share is approximately $10.80, per our previous guidance of $10.

我們預期營業利益率約為29%，較先前指引高出200個基點。此外，我們預期備考有效稅率為16.5%，與先前指引一致。預期備考每股盈餘約為10.80美元，高於先前指引的10美元。

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

以上為我們的正式說明。Kristy，請開放電話線進行問答。

(Operator Instructions) Tim Long, Barclays.

(接線員指示) Tim Long，巴克萊。

Thank you. Maybe two, if I could. Could you touch a little bit on some of the newer launches, the fēnix 9 and the CIRQA? Sounds like initial feedback's positive, but could you just kind of give us a sense of how you're viewing the ramp of those products over the next several quarters?

謝謝。如果可以的話，我有兩個問題。能否談一下幾個較新的產品上市，例如 fēnix 9 和 CIRQA？聽起來初期回饋很正面，但能否請你們分享一下，未來幾季你們如何看待這些產品的放量（ramp）進程？

Second, I just did want to follow up on the gross margin. It sounds like this is largely memory, and it's hitting you a little bit later since you had some advanced buys. Maybe as we look into next year, I'm assuming you're talking 58%, 59% as the more historic gross margins. If you could just clarify that and let us know the other puts and takes there. Thank you.

第二個問題，我想追問毛利率。聽起來主要是記憶體因素，而且因為你們先前有提前採購，所以影響稍晚才反映。展望明年，我猜測你們指的是58%、59%這種較符合歷史水準的毛利率。如果可以的話，請釐清並說明其他影響毛利率的正負因素。謝謝。

Hi, Tim. Good morning. In terms of the newer launches, we believe those were very successful. We're still catching up on some of the initial demand, especially on CIRQA, although fēnix is also very strong. We're working hard to fill that backlog of demand we have for those new products. Doug, maybe you can answer the question on the gross margin.

嗨，Tim，早安。就較新的產品上市而言，我們認為非常成功。我們仍在追趕部分初期需求，尤其是CIRQA，雖然 fēnix 也非常強勁。我們正努力消化這些新產品的需求積壓（backlog）。Doug，也許你可以回答毛利率的問題。

Yeah. Maybe I'll talk a little about the gross margins here in the quarter, then we'll expect in Q4, then in the future. In Q3, there's three big drivers of that year-over-year improvement. One of which was favorable segment mix, as Auto OEM is a lower percentage of our total this year versus last year.

好的。我先談一下本季毛利率的情況，接著談我們對第四季以及未來的看法。在第三季，年對年改善主要有三個驅動因素。其中之一是有利的事業組合（segment mix），因為今年汽車OEM占我們總體的比重較去年更低。

The second of which is lower product costs, primarily due to the weakening Taiwan dollar. We did have some benefits relating to tariff refunds. We did receive majority of our tariff refunds. There's some that we'll hopefully receive here in Q4 next year, but we'll record those as they're realized or realizable.

第二個因素是產品成本下降，主要是因為新台幣走弱。我們也獲得了一些與關稅退稅相關的利益。我們確實已收到大部分關稅退稅。仍有一些我們希望能在明年第四季收到，但我們會在其已實現或可實現時予以認列。

The other thing relating to memory costs, we did see a small impact of increased memory costs in Q3, but there will be more impact in Q4, and that's primarily due to our inventory turns from a standpoint. As we get into 2027, there's a lot of moving parts relating to the gross margin from a standpoint. We'll have a segment mix, a situation where we have the ramp of Mercedes coming in, therefore, there'll probably be some unfavorable segment mix.

另外關於記憶體成本，我們在第三季確實看到記憶體成本上升帶來的小幅影響，但第四季影響會更大，這主要與我們的庫存周轉（inventory turns）有關。展望2027年，從毛利率角度來看有很多變動因素。在事業組合方面，隨著Mercedes的放量導入，可能會出現一些不利的事業組合影響。

We'll have the continued higher increased costs of memory that go through there also. But then also, there's a lot of other moving parts in our gross margin between FX, product mix, and such in there from a standpoint. We'll give you a better feel for that when we get into 2027.

此外，記憶體成本持續上升也會反映在其中。但同時，從毛利率角度來看，還有許多其他變動因素，包括匯率（FX）、產品組合等。等我們進入2027年時，會再給你們更清楚的輪廓。

Okay, thank you.

好的，謝謝。

Erik Woodring, Morgan Stanley.

Erik Woodring，摩根士丹利。

Great. Thank you very much for taking my question, guys. Cliff, I'd love to maybe step back from the quarterly results. Could you just maybe riff a little bit on how you're seeing the competitive landscape evolve across the broader wearables market? Traditional smartwatch players kind of increasingly emphasizing fitness and performance.

很好。非常感謝你們回答我的問題，各位。Cliff，我想先從單季結果拉遠一點看。你能否談談你如何看待更廣泛穿戴式裝置市場的競爭態勢演變？傳統智慧手錶玩家似乎愈來愈強調健身與運動表現。

You have new competitors with kind of specialized health and wellness use cases. Just where is Garmin's competitive positioning strengthening? Do you see any areas where you see just greater competitive pressure? Then a quick follow up, please. Thanks so much.

同時也有新競爭者，主打較為專門的健康與福祉使用情境。Garmin的競爭定位在哪些方面正在強化？你是否看到任何領域的競爭壓力正在加大？另外我還有一個簡短追問。非常感謝。

Well, good morning, Erik. It is a very competitive market for sure. It's also a market that's been around a while now, so I think the players are fairly well-entrenched in terms of their positions in the market. I think many of them are catching up to what we've known all along, that health and fitness are very important drivers of interest in wearables.

Erik，早安。這確實是一個競爭非常激烈的市場。這也是一個已經存在一段時間的市場，因此我認為各家在市場中的位置都相當穩固。我認為許多競爭者正在追上我們一直以來所了解的事實：健康與健身是推動穿戴式裝置需求的重要驅動因素。

We're continuing to lead, I believe, in terms of product features and sensor capabilities and the ability to help a user on their journey, whether it's a health and wellness focus or a fitness focus. I believe that trend is very durable.

我相信我們仍持續領先，無論是在產品功能、感測器能力，或是在協助使用者達成其目標的能力上——不論是以健康與福祉為重點，或是以健身為重點。我相信這個趨勢非常持久。

I believe that trend is something that's always going to be of interest to people, especially as there's more and more focus on health and wellness across every level, whether it's from the government side and also cohorts of generations that are more interested in their health. We're very excited about it. We believe there's lots of opportunity ahead of us.

我相信這個趨勢一直都會是人們感興趣的事情，尤其是隨著各個層面對健康與福祉的關注愈來愈高，無論是政府端，或是對自身健康更有興趣的世代族群。我們對此感到非常振奮。我們相信未來在我們面前有很多機會。

Okay, awesome. I appreciate that, Cliff. Thank you. Then maybe this is a Doug question, but if we take a step back, realizing that you guys do keep a lot of safety stock inventory, but we're in probably the most inflationary component environment we've seen in a long time. That's not just memory, but you just expanded aviation gross margins 200 basis points year over year. Marine ex-tariff refunds is up 200 basis points year over year.

好的，太棒了。我很感謝，Cliff。謝謝。那接下來這可能是要問 Doug 的問題，但如果我們退一步來看，考量到你們確實保留了相當多的安全庫存，但我們正處於可能是很長一段時間以來最具通膨性的零組件環境。不只是記憶體，而且你們航空業務的毛利率年增擴張了 200 個基點。海事業務（扣除關稅退稅）的毛利率年增也上升了 200 個基點。

Outdoor and fitness both expanding very strong. When you talk about product cost reductions, can you just maybe be a little bit more specific or granular on exactly not just what is happening, but why this is happening now, why maybe you couldn't execute on this a year or two years ago, just given we're kind of in like it's just very counterintuitive given the environment we're in. Just trying to understand exactly what it is and why now.

戶外與健身兩個部門也都擴張得非常強勁。當你們談到產品成本下降時，能否更具體或更細緻地說明，不只是發生了什麼，而是為什麼現在會發生、以及為什麼在一兩年前你們可能無法做到，因為在我們所處的環境下，這其實相當反直覺。我只是想更清楚了解到底是什麼，以及為什麼是現在。

Yeah.

是的。

Please.

請。

Yeah, maybe I'll start it, and Doug can certainly add to it. But as I mentioned in my remarks, our vertical integration is really paying off, both in terms of our flexibility and ability to bring in the right components and build the right products at the right time. Also the scale is really important. Our volumes have increased a lot, and so we have a lot of scales, which is helping in our overall efficiency.

是的，也許我先開頭，Doug 當然也可以補充。但如同我在發言中提到的，我們的垂直整合確實正在發揮效益，無論是在彈性方面，或是在適當的時間導入正確的零組件、打造正確的產品的能力上。另外，規模也非常重要。我們的出貨量增加了很多，因此我們具備相當的規模，這也有助於提升整體效率。

We did get some benefit from the Taiwan dollar. So, that's part of our product cost, but also our products, many of our new ones especially, are premium in nature and have a lot of desirable features and capability. We're able to command higher margins for those products as well, which become a higher part of our mix.

我們也從新台幣兌美元（台幣匯率）的變動中獲得了一些好處。所以那是我們產品成本的一部分因素，但同時我們的產品，尤其是許多新產品，本質上屬於高階定位，並具備許多受歡迎的功能與能力。我們也能為這些產品取得較高的毛利率，而它們在我們的產品組合中的占比也在提高。

Awesome. Thank you so much, Cliff. Best of luck, guys.

太棒了。非常感謝你，Cliff。祝各位好運。

Thank you.

謝謝。

Joseph Cardoso, JPMorgan.

Joseph Cardoso，摩根大通。

Hi, good morning, and thanks for the question here. Maybe just wanted to start first on fitness. Obviously, you had very strong growth in the quarter, maybe against you guys setting very high standards for yourselves over the last couple of quarters and maybe more robust growth. Just wanted to touch on the trends you're seeing in 3Q and obviously into 4Q today.

嗨，早安，謝謝讓我提問。也許我先從健身業務開始。顯然你們本季成長非常強勁，可能是在過去幾季你們為自己設定了很高的標準、且成長更為強勁的背景之下。想請你談談你們在第三季以及目前進入第四季所看到的趨勢。

Just relative to registration, sell-through, inventory, new users, that whole gambit of kind of KPIs that we all kind of like to hear about. And how are you thinking about maybe the durability here as we're heading into the holiday season? And then I do have a follow up.

特別是相對於註冊數、終端銷售（sell-through）、庫存、新用戶等，我們都很想聽到的那一整套 KPI。以及在進入假期旺季之際，你們如何看待這裡的持續性？另外我還有一個追問。

Yeah, I think in terms of registrations, that is something we watch very closely, and it is really a near real-time pulse on the overall market. Our registrations did outpace our sell-in, so there is some implication there that the channel is de-stocking a little bit, probably because people are getting ready to bring in more stocks for the holiday season. But the demand for our products and the pull-through at the registration level is very strong.

是的，我想就註冊數而言，那是我們非常密切關注的指標，它幾乎是對整體市場的即時脈動。我們的註冊數成長確實超過了我們對通路的出貨（sell-in），因此這可能意味著通路正在稍微去庫存，可能是因為大家在為假期旺季準備導入更多庫存。但對我們產品的需求，以及在註冊層級的拉動（pull-through）都非常強勁。

In terms of durability, again, I have mentioned before that there is a lot of opportunity in this market, and we have demonstrated over the long term that we have delivered strong double-digit growth rates across segments that are highly influenced by wearables, particularly fitness and outdoor. So looking at Q4, we see more of the same of that. Also the feedback from our retailers and their plans are very strong.

就持續性而言，我之前也提過，這個市場有很多機會，而長期以來我們也證明了，我們在高度受穿戴式裝置影響的各個部門，特別是健身與戶外，都能交出強勁的雙位數成長率。因此展望第四季，我們看到的情況大致相同。另外，來自零售商的回饋以及他們的規劃也都非常強勁。

As I mentioned, we have significant backlog we are working to fill for the fourth quarter, and so that is our objective in the coming weeks.

如我所提到的，我們有相當可觀的積壓訂單（backlog）需要在第四季交付，因此這就是我們接下來幾週的目標。

Yeah. Got it. Appreciate the color there, Cliff. Then maybe just switching gears here, wanted to touch on Garmin Connect + traction, and what you are seeing, maybe an update there. Just particularly just given, as we think about when the product was launched and maybe cycling past in a more material way, customers who are enjoying early free trials. How has that trended? Also curious to hear what you guys are seeing around maybe implications around new products potentially having features only available via Connect +, and how you are thinking about the opportunity around that. Thank you.

是的，了解。謝謝你提供的細節，Cliff。那接著換個話題，想談談 Garmin Connect+ 的推進情況，以及你們看到的狀況，請你更新一下。特別是考量到產品推出的時間點，以及可能在更實質的程度上進入下一個階段，那些享受早期免費試用的客戶。這方面的趨勢如何？另外也想了解，你們是否看到新產品可能會有僅透過 Connect+ 才能使用的功能所帶來的影響，以及你們如何看待其中的機會。謝謝。

Yeah. Connect + has outgrown the general rates of the underlying segments where those products can benefit from Connect+ . Of course, that is probably to be understood, because it is growing from a smaller base. But Connect+ has outpaced our expectations and the renewals and the commitments after the free periods have been very strong for those people that sign up for it. Even products that you would not suspect would be of interest for Connect+, particularly CIRQA. People are also signing up for Connect+ to get more out of CIRQA. So we feel very good about Connect+, and we have a long-term roadmap to further expand that. In terms of just offering features of new products only through Connect+, we are already doing that today in terms of features like nutrition, that is available with Connect+.

是的。Connect+ 的成長速度已經超過了那些可受益於 Connect+ 的底層產品部門的整體成長率。當然，這也可以理解，因為它是從較小的基期成長。但 Connect+ 的表現超出我們的預期，而在免費期結束後的續訂與承諾（commitments）對於那些註冊的人來說都非常強勁。甚至是一些你可能不會認為會對 Connect+ 感興趣的產品，特別是 CIRQA，也有人為了從 CIRQA 獲得更多價值而訂閱 Connect+。因此我們對 Connect+ 感到非常樂觀，而且我們有長期的產品路線圖來進一步擴展它。至於僅透過 Connect+ 提供新產品功能這件事，我們今天其實已經在做了，例如營養（nutrition）等功能就是透過 Connect+ 提供。

But in general, our approach to the market has always been to offer rich features on our products that delight our customers and satisfy them, and if they want more, we will offer more with Connect+.

但整體而言，我們一向的市場策略都是在產品上提供豐富的功能，讓客戶感到驚喜並獲得滿足；如果他們想要更多，我們就會透過 Connect+ 提供更多。

Got it. Thanks for the color, Cliff.

了解。謝謝你提供的細節，Cliff。

Thank you.

謝謝。

David MacGregor, Longbow Research.

David MacGregor，Longbow Research。

Yes, good morning, everyone, and thanks for taking the questions. I guess I wanted to just ask about kind of channel inventories and the pre-season sell-in. You kind of touched on this in response to a previous question, but how are you seeing that seasonal sell-in, and do you sense retailers and dealers are maybe just staying lean ahead of the election, or is there some other reason why maybe we're seeing a little bit of an aberration from what's historically been a pattern there?

是的，各位早安，謝謝接受提問。我想我想問的是通路庫存以及旺季前的預先鋪貨（pre-season sell-in）。你在回覆前一個問題時有稍微提到，但你們如何看待這種季節性的鋪貨？你是否感覺零售商與經銷商可能在選舉前刻意維持精實庫存，或是還有其他原因，導致我們看到相較於歷史模式略有些異常？

Yeah, I don't think there's any aberration at all, and I certainly couldn't figure out how to tie it to elections. But as I mentioned in-

是的，我不認為有任何異常，而且我也實在想不出要怎麼把它和選舉連結起來。但如同我在—

Yeah.

是的。

some other comments that retailer interest in Q4 promotions is very strong, and we're working on filling all of their orders for the holiday season.

另外一些評論是，零售商對第四季促銷活動的興趣非常強勁，我們正努力在假期季節期間滿足他們所有的訂單。

Okay. I guess second question, just on timelines. Any update on the manufacturing facility there, and is production still expected to begin in Q3 2027? And I guess, when does the capitalization of costs end and the expensing begin?

好的。我想第二個問題是關於時程。那邊的製造設施有任何更新嗎？生產仍預期在2027年第三季開始嗎？另外，我想問成本資本化何時結束、費用化何時開始？

Yeah, I will maybe make a comment on the timelines, and Doug can respond to the capitalization. We are on track to open the new facility, expected to start producing new products in the first quarter of 2027. It is something we desperately need, as our volumes have basically reached our capacity. We are excited to bring more capacity online.

是的，我可能先就時程做些說明，資本化的部分由Doug回覆。我們按計畫推進新廠啟用，預計在2027年第一季開始生產新產品。這是我們迫切需要的，因為我們的出貨量基本上已達到產能上限。我們很期待把更多產能上線。

Yeah. As relates to when it starts hitting the P&L, when it basically gets into production, that point in time, it will flow through the goods. That point in time.

是的。至於何時開始反映在損益表上，基本上在進入量產時，那個時間點就會透過商品成本反映出來。就在那個時間點。

Q3 2027?

2027年第三季？

Yes.

是的。

Okay, terrific. Thanks very much. Good luck with everything.

好的，太棒了。非常感謝。祝一切順利。

Thank you.

謝謝。

Ivan Feinseth, Tigress Financial Partners.

Ivan Feinseth，Tigress Financial Partners。

All right. Thank you for taking my questions, and congratulations on another record quarter.

好的。謝謝讓我提問，也恭喜再創單季新高。

Thank you.

謝謝。

Starting with the fēnix. What kind of uptake on the fēnix are you seeing from people who are new to Garmin and new to the fēnix, versus people who are upgrading from existing watches? What model have they been upgrading the most from?

先從fēnix談起。你們看到fēnix的採用情況如何：新加入Garmin、第一次使用fēnix的人，與從既有手錶升級的人各占多少？他們最常從哪一款型號升級上來？

In terms of new versus existing, as has been the history of the fēnix launches, initial demand particularly is very strong from existing users who are upgrading mostly from more than one generation old. It can vary. The response has been very positive. Then, of course, as the product makes its way further out into the channel, we start to see more new users come to the platform.

就新用戶與既有用戶而言，如同過去fēnix每次上市的歷史，初期需求特別強勁的主要來自既有用戶升級，而且多半是從一個以上世代之前的產品升級。這會有所不同。市場反應非常正面。當然，隨著產品在通路鋪貨更廣，我們會開始看到更多新用戶加入這個平台。

Based on the fact that you're looking for price increases on components, but I feel you have pricing power. How do you feel about your pricing power, especially considering that a lot of your customers buy really based on features versus price?

基於你們提到零組件可能漲價，但我覺得你們有定價能力。你們如何看待自身的定價能力，尤其考量到很多客戶購買主要是看功能而非價格？

Yeah, I think definitely pricing is something that, when I mention the mitigations that we can use, it's one of the things that we can look at. It's one of the tools that we have. But we don't over-focus on one particular thing, and we try to get the best balance of all the different ways that we can mitigate cost increases in our supply chain in order to achieve an outstanding result. I would probably just remind people that a little more than a year ago now, everyone was faced with higher supply chain costs, really driven by tariffs. That was something that we were able to navigate successfully because of the diversity of our business and our vertical integration and our ability to create products that people want.

是的，我認為定價確實是我們在提到可採取的緩解措施時，其中一項可以考量的事情。這是我們擁有的工具之一。但我們不會過度聚焦在單一項目，而是嘗試在各種可用方式之間取得最佳平衡，以緩解供應鏈成本上升，並達成優異成果。我也想提醒大家，大約一年多前，所有人都面臨供應鏈成本上升，主要是由關稅所驅動。我們之所以能成功因應，是因為我們業務的多元性、垂直整合能力，以及打造消費者想要產品的能力。

You said that you have had strong demand for the CIRQA, but sometimes supply-constrained. Only for $50 more, you could get the Lily with the screen, or even $100 more for the vívoactive. Are you seeing customers who are you getting feedback that they are going into the store, looking at the CIRQA and saying, only for just a little bit more, I can get a lot more functionality? Do you see some upgrades there?

你提到CIRQA需求很強，但有時受供應限制。只要多50美元就能買到有螢幕的Lily，甚至多100美元就能買到vívoactive。你們是否收到回饋說，消費者進店看CIRQA時會想：只要多一點點錢就能得到更多功能？你們有看到一些升級轉換嗎？

Well, I think we certainly see a lot of demand for something like vívoactive. It is a very, very popular product. I think people that are looking at CIRQA are looking at it for a specific reason, which is the screen-less approach, and they want the ability to have flexibility with other devices that they might wear. So, we do not necessarily have strict data points around how it is driving people into other products. But the demand that we have been experiencing for CIRQA is very strong and definitely exceeded our expectations, which is what I like to call a happy problem. We are working hard to expand our production and to fill all of the orders that we have.

我想我們確實看到像vívoactive這類產品有很高需求。它是一款非常、非常受歡迎的產品。我認為會看CIRQA的人是基於特定原因，也就是無螢幕的設計，他們希望能與可能配戴的其他裝置搭配，保有彈性。因此，我們不一定有很明確的數據點能說它如何把人導向其他產品。但我們目前看到CIRQA的需求非常強勁，且明顯超出我們預期；我把這稱為「幸福的煩惱」。我們正努力擴大產能，並滿足所有收到的訂單。

I just have, what kind of feedback are you getting that people are looking at the CIRQA and if they are going for a screen-less product, that people are considering a ring, let us say, versus a watch? Where are people kind of thinking about the functionality of the two?

我還想問，你們收到什麼樣的回饋：人們在看CIRQA時，如果想要無螢幕產品，是否會在戒指（例如）與手錶之間做考量？大家如何思考兩者的功能性？

Yeah, I think, again, it really boils down to personal choice. We are not necessarily hearing people make those kind of trade-offs, at least in ways that we can really dig that signal out of the noise. But I think by offering a broad range of products, that is really been our approach all along, is to have broad ranges of products that allow people to select something that is right for them.

是的，我想再一次，這真的歸結為個人選擇。我們不一定聽到人們以那種方式做取捨，至少沒有到我們能從雜訊中清楚辨識出訊號的程度。但我認為提供廣泛的產品線一直是我們的做法：用多樣化的產品範圍，讓人們能選到適合自己的產品。

I have two other quick questions. On the Autoland hitting 2,500 planes, is that still just original equipment on a brand-new plane, or do you have now an upgrade process that you can retrofit an existing plane?

我還有兩個很快的問題。關於Autoland達到2,500架飛機，這仍然只是在全新飛機上的原廠配備嗎？還是你們現在也有升級流程，可以把既有飛機改裝加裝？

Well, it's really also retrofit because our King Air line includes Autoland option. We're applying Autoland technology to both original equipment as well as retrofit.

嗯，這其實也包含改裝，因為我們的King Air產品線就包含Autoland選配。我們把Autoland技術同時應用在原廠配備以及改裝市場。

Okay. One last quick. When in 2027 will we start to see the impact of Mercedes? Will that be on the 2028 models that come out in late 2027 or on the 2027 models that will start to come out next year?

好的。最後一個很快的問題。在2027年，我們何時會開始看到Mercedes帶來的影響？會反映在2027年末推出的2028年式車款，還是反映在明年開始推出的2027年式車款？

Yeah, I think in terms of precise timelines, I probably can't really say. I would say that it will be early in the year than later. We are basically having to follow, of course, the Mercedes direction in terms of ramp-up and supplies that they need for their new model year. So we're expecting early in the year, but again, something that we're following the orders of Mercedes.

是的，我想就精確時程而言，我可能無法明確說。我會說會是在年初而不是年末。當然，我們基本上必須配合Mercedes在新年式車款的拉升節奏，以及他們所需的供應。所以我們預期會在年初，但同樣地，這取決於我們跟隨Mercedes的訂單安排。

Thank you very much, and hoping for a strong Q4.

非常感謝，也希望第四季表現強勁。

Thank you.

謝謝。

Noah Zatzkin, KeyBanc Capital Markets.

Noah Zatzkin，KeyBanc Capital Markets。

Hi, thanks for taking my questions. I guess just to circle back on tariffs, I think there were $33 million of refunds in the quarter. Would you expect to receive additional refunds in fourth quarter or beyond? Then if you could just provide any thoughts around the run rate impact that you're experiencing and maybe any opportunity for further offset looking to 2027. Thanks.

嗨，謝謝讓我提問。我想再回到關稅議題，我認為本季有3,300萬美元的退稅。你們預期在第四季或之後還會收到額外退稅嗎？另外，若可以的話，請分享你們目前所感受到的常態化（run rate）影響，以及展望到2027年是否還有進一步抵銷的機會。謝謝。

Yeah. We have received the majority of our tariff refunds. We have applied for some of those and defined some of that. It all depends upon how quickly the government process those and receive those. We do have a smaller amount that we still have not received yet, and we do expect to receive either in Q4 or 2027. As the run rate for those, it really depends upon how those are processed through the system.

是的。我們已收到大部分的關稅退稅。其中有一些我們已提出申請並已確認部分金額。這完全取決於政府處理速度，以及我們何時能收到款項。我們仍有一小部分尚未收到，預期會在第四季或 2027 年收到。至於這些的常態化（run rate），主要還是取決於它們在系統中如何被處理。

Thanks. Cliff, maybe just one on Marine, another very strong quarter. Now sitting in the off-season, how are you feeling about the end market, the trajectory there? Any thoughts would be helpful. Thanks.

謝謝。Cliff，關於 Marine 再問一題，這一季表現又非常強勁。現在進入淡季，你對終端市場、以及後續走勢的感受如何？任何看法都會很有幫助。謝謝。

Yeah. If I think about the end market broadly, I would say it is probably a little bit soft right now. It is not necessarily a concern, but the market in general is probably just a tad bit softer. We have still found ways to be successful and grow, again, based on innovation and probably some benefit from people refitting existing boats as opposed to purchasing new boats from time to time. There is still strong demand for the newer boat segment, particularly in the mid-range of the market. There are bright spots there as well. Certainly, I think high fuel prices have probably had more of an impact in Marine than maybe some of the other segments, and people, since it is kind of the off-season now, they are probably in a wait-and-see mode.

是的。如果我從更廣泛的終端市場來看，我會說目前可能稍微偏軟。這不一定令人擔憂，但整體市場大概就是略微走弱一些。我們仍然找到方法取得成功並成長，主要還是靠創新，另外也可能受惠於一些人選擇翻新既有船隻，而不是不時購買新船。較新船型的需求仍然強勁，特別是在市場的中階區段。那裡也有一些亮點。當然，我認為高燃油價格對 Marine 的影響可能比其他一些部門更大；而且因為現在算是淡季，大家可能也處於觀望模式。

Thank you.

謝謝。

Thank you.

謝謝。

Ben Bollin, Cleveland Research.

Ben Bollin，Cleveland Research。

Thank you. Good morning, everyone. I appreciate you taking the question. Cliff, you made a reference to fēnix around refresh and also talked to registration trends. Could you share any perspective on how you think about new users versus refresh opportunity outside of fēnix when you look at Forerunner, vívoactive, and even CIRQA, how it fits in? Just any thoughts on user expansion versus net new, and then I have a follow up for Doug.

謝謝。各位早安。感謝讓我提問。Cliff，你提到 fēnix 的更新（refresh），也談到註冊趨勢。當你看 Forerunner、vívoactive，甚至 CIRQA 這些產品時，能否分享一下你如何看待 fēnix 以外的新用戶與換機（refresh）機會？以及 CIRQA 在其中如何定位？也請談談用戶擴張相對於淨新增（net new）的想法；之後我還有一個問題要問 Doug。

I think the new user profile outside of fēnix is very strong, heavily weighted towards new users. And products like CIRQA, products like vívoactive, the entry-level running products like the Forerunner 70 and 170 all attract significant numbers of new users to the Garmin ecosystem.

我認為在 fēnix 以外的新用戶輪廓非常強勁，而且高度偏向新用戶。像 CIRQA、vívoactive 這類產品，以及入門級跑步產品如 Forerunner 70 和 170，都能吸引大量新用戶進入 Garmin 生態系。

Okay. Doug, I was hoping you could share a little bit about the inventory prepayments. Just any ways to think about the structure of these agreements, how variable, how material, just any flex or how locked in you are, that would be helpful. Thank you.

了解。Doug，我希望你能多分享一點關於庫存預付款（inventory prepayments）。想請教這些協議的結構、變動性、重要性（materiality），以及有多少彈性或你們被鎖定的程度，任何說明都會很有幫助。謝謝。

Yeah. Relating to the inventory prepayments, it is really related to the memory supply constraint situation and just negotiating with those suppliers there and just basically ensuring that we are going to be able to get the supply whenever we need that from a standpoint. So it is kind of on a one-by-one basis, depending upon that situation.

好的。關於庫存預付款，主要是與記憶體供應受限的情況有關，並且是我們與供應商協商的一部分，基本上是為了確保從供應角度來看，我們在需要時能取得供貨。所以這比較是一案一案（one-by-one）處理，取決於當時的情況。

Ronald Epstein, Bank of America, Merrill Lynch.

Ronald Epstein，美國銀行美林（Bank of America, Merrill Lynch）。

Hey, good morning, guys. Maybe just two quick ones. Cliff, in the avionics business, one of the things we have heard is there has been issues across the industry getting printed circuit boards and other components. How have you guys been managing that, and how has it been for avionics, be it that that supply chain is different than your consumer supply chain out of Taiwan?

各位早安。我有兩個簡短問題。Cliff，在航電（avionics）業務方面，我們聽到整個產業在取得印刷電路板（PCB）和其他零組件上遇到問題。你們是如何管理的？對航電業務的影響如何？以及這條供應鏈是否與你們在台灣的消費性產品供應鏈不同？

I think there's definitely second-order effects driven by the memory situation and the overall AI build-out that creates both availability supply issues as well as some pricing issues in other areas. For example, you mentioned PCBs. That's very true, that there's some concerns there, as well as even things you wouldn't think of, like cabling, and being able to find the cable supplies that we need. But I think that's one of the secret sauces of Garmin's business, is leveraging the scale and the relationships we have across the entire business in order to serve the needs of things like aviation, which are more niche-y and lower volume. And we're able to successfully do that by, again, leveraging all of those things in our business to be able to create a good result for aviation.

我認為確實存在由記憶體情況與整體 AI 建置所帶動的第二層效應（second-order effects），這會在其他領域造成供應可得性問題，也帶來一些價格問題。例如你提到的 PCB，確實如此，這方面有一些疑慮；甚至還有一些你想不到的項目，例如線材（cabling），以及我們需要的線材供應是否找得到。但我認為 Garmin 商業模式的一個關鍵優勢（secret sauce），就是運用我們在整體業務上的規模與關係，來滿足像航電這種更利基、量更小的需求。而我們能成功做到這點，是因為再次強調，我們能運用業務中的所有這些要素，為航電創造良好的結果。

Got it. Then maybe just a follow up on a question I asked a couple of years back. Be it that there's been a change in the law, we can no longer import Chinese drones. Given Garmin's expertise in navigation and aviation, is there an opportunity there for Garmin in the drone market?

了解。那我再追問一個我幾年前問過的問題。由於法律變更，我們已無法再進口中國製無人機。考量 Garmin 在導航與航電方面的專長，Garmin 在無人機市場是否有機會？

Well, I think some of the drones you might be referring to are more the consumer drones, and that market is mature and kind of saturated. I think a lot of interest in drones right now, of course, is around military uses, and there's a lot of companies focusing on that. We don't really see that as being our area of total expertise, so we're focused on the markets where we serve, where we feel like there's lots of opportunity to advance technology and innovation.

嗯，我想你所指的一些無人機可能比較偏消費型無人機，而那個市場已經成熟且有些飽和。我認為目前大家對無人機的興趣，當然多集中在軍事用途，且有很多公司正聚焦在那裡。我們不太認為那是我們的核心專長領域，因此我們會專注在我們所服務的市場上，也就是我們認為仍有大量機會推進技術與創新的領域。

Got it. Thank you very much.

了解。非常感謝。

Thank you.

謝謝。

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

目前沒有其他問題。我現在把電話交回給 Teri Seck 做結語。

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

感謝各位今天加入我們。如同以往，Doug 和我都可以接受回電（callbacks），也祝各位有美好的一天。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。