Garmin Ltd. reported revenues in its Outdoor/Fitness segment increased 16% to $71 million in the first quarter. Overall, the company reported total revenues grew 35% to $664 million during the quarter. In North America revenue grew 27% to $411 million.
Gross margins in the outdoor/fitness business remained stable at 53%, making it the third most profitable of the four segments. Operating margins, however, declined to 27% from 35% as Garmin discounted some older products to make way for new devices being shipped in the second quarter. The company expects the Colorado series and redesigned Forerunner 405 to perform particularly well based on early feedback.
