We expect 2015 revenue of approximately $2.9 billion as growth in the fitness, marine and aviation segments offset ongoing declines in the PND market. This level of revenue assumes a EUR/USD exchange rate of 1.15, which created a material year-over-year headwind when compared to the average rate of 1.33 in 2014. We expect gross margins to remain relatively stable at approximately 56% due to the anticipated segment and product mix. Operating margins are forecasted to decline slightly to 23% due primarily to ongoing research and development investment. Though currency volatility is expected to slow our revenue growth in 2015, we do not want to forgo growth in our R&D investment which could negatively impact both current and future product development plans. With an expected tax rate of 16-17%, we currently forecast 2015 EPS of approximately $3.10.

Dividend Recommendation and Share Repurchase Program:

The board of directors intends to recommend to the shareholders for approval at the annual meeting to be held on June 5, 2015, a cash dividend in the amount of $2.04 per share (subject to possible adjustment based on the total amount of the dividend in Swiss Francs as approved at the annual meeting), payable in four equal installments on dates to be determined by the Board. The Board currently anticipates the scheduling of the dividend in four installments as follows:

Dividend Date

Record Date

$s per share

June 30, 2015

June 16, 2015

$0.51

September 30, 2015

September 15, 2015

$0.51

December 31, 2015

December 15, 2015

$0.51

March 31, 2016

March 15, 2016

$0.51

In addition, the board of directors has established March 31, 2015 as the payment date for the final dividend installment of $0.48 per share, with a record date of March 16, 2015, per the prior approval at the 2014 annual shareholders’ meeting. The first, second and third payments of $0.48 per share were made on June 30, 2014, September 30, 2014, and December 31, 2014, respectively.

On February 13, 2015, our board of directors authorized the Company to repurchase up to $300 million of the Company’s shares as market and business conditions warrant through December 31, 2016. The repurchases may be made from time to time on the open market at prevailing market prices or in negotiated transactions off the market. The Company views the stock repurchase as an appropriate use of cash given the long-term growth prospects of the Company and ongoing free cash flow generation.

Webcast Information/Forward-Looking Statements:

The information for Garmin Ltd.’s earnings call is as follows:

			When:				Wednesday, February 18, 2015 at 10:30 a.m. Eastern
			Where:				http://www.garmin.com/aboutGarmin/invRelations/irCalendar.html
			How:				Simply log on to the web at the address above or call to listen in at 888-461-2011

An archive of the live webcast will be available until March 27, 2015 on the Garmin website at www.garmin.com. To access the replay, click on the Investor Relations link and click over to the Events Calendar page.

This release includes projections and other forward-looking statements regarding Garmin Ltd. and its business. Any statements regarding the Company’s estimated earnings and revenue for fiscal 2015, the Company’s expected segment revenue growth rate, margins, new products to be introduced in 2015 and the Company’s plans and objectives are forward-looking statements. The forward-looking events and circumstances discussed in this release may not occur and actual results could differ materially as a result of risk factors affecting Garmin, including, but not limited to, the risk factors that are described in the Annual Report on Form 10-K for the year ended December 28, 2013 filed by Garmin with the Securities and Exchange Commission (Commission file number 0-31983). A copy of Garmin’s 2013 Form 10-K can be downloaded from http://www.garmin.com/aboutGarmin/invRelations/finReports.html.

Garmin, fēnix and vívofit are registered trademarks and epix and vívoactive are trademarks of Garmin Ltd. or its subsidiaries.All other brands, product names, company names, trademarks and service marks are the properties of their respective owners. All rights reserved.

Garmin Ltd. And Subsidiaries
Condensed Consolidated Statements of Income (Unaudited)
(In thousands, except per share information)
		13-Weeks Ended								52-Weeks Ended
		Dec 27,				Dec 28,				Dec 27,				Dec 28,
		2014				2013				2014				2013
Net sales		$	803,306			$	759,694			$	2,870,658			$	2,631,851
Cost of goods sold			372,458				365,057				1,266,246				1,224,551
Gross profit			430,848				394,637				1,604,412				1,407,300
Advertising expense			54,175				34,922				146,633				112,905
Selling, general and administrative expense			99,119				94,671				372,032				355,440
Research and development expense			101,554				92,573				395,121				364,923
Total operating expense			254,848				222,166				913,786				833,268
Operating income			176,000				172,471				690,626				574,032
Other income (expense):
Interest income			6,803				9,759				35,584				35,271
Foreign currency gains (losses)			15,967				17,258				(4,299	)			35,538
Other			1,126				5,051				1,834				8,717
Total other income (expense)			23,896				32,068				33,119				79,526
Income before income taxes			199,896				204,539				723,745				653,558
Income tax provision (benefit)			(10,349	)			40,954				359,534				41,146
Net income		$	210,245			$	163,585			$	364,211			$	612,412
Net income (loss) per share:
Basic		$	1.10			$	0.84			$	1.89			$	3.13
Diluted		$	1.09			$	0.83			$	1.88			$	3.12
Weighted average common
shares outstanding:
Basic			191,322				195,181				193,106				195,411
Diluted			192,356				196,338				194,165				196,339

Garmin Ltd. And Subsidiaries
Condensed Consolidated Balance Sheets
(In thousands)
		Dec 27,				December 28,
		2014				2013
Assets
Current assets:
Cash and cash equivalents		$	1,196,268			$	1,179,149
Marketable securities		$	167,989				149,862
Accounts receivable, net		$	570,191				564,586
Inventories, net		$	420,475				382,226
Deferred income taxes		$	56,102				69,823
Deferred costs		$	51,336				57,368
Loan receivable			-				137,379
Prepaid expenses and other current assets		$	48,615				55,243
Total current assets			2,510,976				2,595,636
Property and equipment, net			430,887				414,848
Marketable securities			1,407,344				1,502,106
Restricted cash			308				249
Noncurrent deferred income tax			67,712				88,324
Noncurrent deferred costs			36,140				41,157
Intangible assets, net			218,083				219,494
Other assets			21,853				17,789
Total assets		$	4,693,303			$	4,879,603
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable		$	149,094			$	146,582
Salaries and benefits payable			62,764				59,794
Accrued warranty costs			27,609				26,767
Accrued sales program costs			58,934				50,903
Deferred revenue			203,598				256,908
Accrued royalty costs			51,889				64,538
Accrued advertising expense			26,334				19,448
Other accrued expenses			67,780				65,657
Deferred income taxes			17,673				989
Income taxes payable			182,260				38,043
Dividend payable			185,326				175,675
Total current liabilities			1,033,261				905,304
Deferred income taxes			39,497				1,758
Non-current income taxes			80,611				140,933
Non-current deferred revenue			135,130				171,012
Other liabilities			1,437				890
Stockholders' equity:
Shares, CHF 10 par value, 208,077 shares authorized and issued;
191,815 shares outstanding at December 27, 2014
and 195,150 shares outstanding at December 28, 2013			1,797,435				1,797,435
Additional paid-in capital			73,521				79,263
Treasury stock			(330,132	)			(120,620	)
Retained earnings			1,859,972				1,865,587
Accumulated other comprehensive income			2,571				38,041
Total stockholders' equity			3,403,367				3,659,706
Total liabilities and stockholders' equity		$	4,693,303			$	4,879,603

Garmin Ltd. And Subsidiaries
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In thousands)
			52-Weeks Ended
			Dec 27,					Dec 28,
				2014					2013
Operating Activities:
Net income			$	364,211				$	612,412
Adjustments to reconcile net income to net cash
provided by operating activities:
	Depreciation			48,433					48,476
	Amortization			28,582					30,328
	Gain on sale of property and equipment			(306	)				(724	)
	Provision for doubtful accounts			66					1,553
	Deferred income taxes			89,828					7,931
	Unrealized foreign currency gain			573					(40,120	)
	Provision for obsolete and slow moving inventories			25,903					20,891
	Stock compensation expense			24,293					22,592
	Realized gain on marketable securities			(505	)				(5,877	)
Changes in operating assets and liabilities:
	Accounts receivable			(27,398	)				38,589
	Inventories			(76,491	)				(17,593	)
	Other current and non-current assets			627					(22,013	)
	Accounts payable			8,981					18,043
	Other current and non-current liabilities			16,467					(31,775	)
	Deferred revenue			(87,543	)				(16,150	)
	Deferred cost			11,029					(2,204	)
	Income taxes payable			95,961					(34,275	)
Net cash provided by operating activities				522,711					630,084
Investing activities:
Purchases of property and equipment				(73,339	)				(56,083	)
Proceeds from sale of property and equipment				748					885
Purchase of intangible assets				(4,720	)				(1,122	)
Purchase of marketable securities				(1,006,482	)				(909,151	)
Redemption of marketable securities				1,096,676					833,491
Proceeds from repayment (advances) on loan receivable				137,379					(137,369	)
Change in restricted cash				(59	)				587
Acquisitions, net of cash acquired				(18,871	)				(5,680	)
Net cash provided by (used in) investing activities				131,332					(274,442	)
Financing activities:
Dividends paid				(360,075	)				(351,707	)
Purchase of treasury stock under share repurchase plan				(241,578	)				(58,422	)
Purchase of treasury stock related to equity awards				(18,638	)				(24,063	)
Proceeds from issuance of treasury stock related to equity awards				20,753					22,770
Tax benefit from issuance of equity awards				(84	)				4,584
Net cash used in financing activities				(599,622	)				(406,838	)
Effect of exchange rate changes on cash and cash equivalents				(37,302	)				(835	)
Net decrease in cash and cash equivalents				17,119					(52,031	)
Cash and cash equivalents at beginning of period				1,179,149					1,231,180
Cash and cash equivalents at end of period			$	1,196,268				$	1,179,149

Garmin Ltd. And Subsidiaries
Revenue, Gross Profit, and Operating Income by Segment (Unaudited)
		Reporting Segments
								Auto/
		Outdoor		Fitness		Marine		Mobile		Aviation		Total
13-Weeks Ended Dec 27, 2014
Net sales		$116,432		$201,303		$52,460		$339,832		$93,279		$803,306
Gross profit		$71,745		$122,083		$24,612		$147,073		$65,335		$430,848
Operating income/(loss)		$40,709		$57,629		($687)		$57,431		$20,918		$176,000
13-Weeks Ended Dec 28, 2013
Net sales		$126,617		$118,623		$44,583		$382,504		$87,367		$759,694
Gross profit		$78,196		$73,557		$23,542		$154,734		$64,608		$394,637
Operating income		$48,659		$44,224		$2,404		$54,193		$22,991		$172,471
52-Weeks Ended Dec 27, 2014
Net sales		$427,555		$568,440		$248,371		$1,240,377		$385,915		$2,870,658
Gross profit		$266,550		$358,287		$129,710		$569,452		280,413		$1,604,412
Operating income		$151,055		$190,682		$26,232		$215,679		$106,978		$690,626
52-Weeks Ended Dec 28, 2013
Net sales		$410,989		$356,283		$222,928		$1,302,314		$339,337		$2,631,851
Gross profit		$262,529		$222,925		$115,091		$565,083		$241,672		$1,407,300
Operating income		$159,197		$120,250		$18,493		$188,517		$87,575		$574,032

Garmin Ltd. And Subsidiaries
Revenue by Geography (Unaudited)
		13-Weeks Ended										52-Weeks Ended
		Dec 27,			Dec 28,			Yr over Yr				Dec 27,			Dec 28,			Yr over Yr
		2014			2013			Change				2014			2013			Change
Net sales		$	803,306		$	759,694		6	%			$	2,870,658		$	2,631,851		9	%
Americas			448,055			430,099		4	%				1,538,322			1,432,895		7	%
EMEA			272,384			263,063		4	%				1,054,244			955,900		10	%
APAC			82,867			66,532		25	%				278,092			243,056		14	%
EMEA - Europe, Middle East and Africa; APAC - Asia Pacific

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