Schaffhausen, Switzerland - Garmin posted first-quarter gains in revenue and operating income, but net income fell 9 percent to $86.9 million.
Referring to its personal navigation device (PND) sales, the company said "much of our strength was related to global market-share gains" and that, "though pleased with the first-quarter results, we do not expect PND revenue to continue to grow year over year due to industrywide declines."
The company also reported that its PND average selling prices have stabilized and that its U.S. PND market share rose to 66 percent from a year-ago 63 percent.
In North America, overall revenues rose 6 percent to $280 million.
Global sales gains came in the aviation, outdoor, fitness, marine and auto/mobile segments, the latter comprising PNDs and OEM sales of technology to automakers and aftermarket suppliers.
Auto/mobile sales rose 6 percent to $280 million, and segment operating income grew dramatically to $17.9 million from a year-ago $1.6 million. The segment accounted for 50 percent of the quarter's revenues.
Global operating income grew in all segments but marine and aviation, which both posted declining operating income. Overall operating income was up 21 percent to $90.3 million.
The company has been diversifying into new segments, such as automaker sales, as the PND industry has declined.