Noah Zatzkin

Cliff said CIRQA demand ran ahead of expectations and the company will be chasing back orders for a while, with early registration tracking very strong and product already reaching customers.

Cliff said Thailand is on track and in the most intense capex phase, finishing near year-end for early-2027 use. The first 400,000 sq ft phase can eventually double Garmin's capacity at a similar or slightly lower cost structure.

Doug confirmed tariffs had unfavorable YoY impact on Q1 since they were not in effect a year ago. Expects continued tariff impact for the remainder of the year. No receivable or benefit for potential refunds has been recorded.

Cliff noted strong builder deliveries contributing to growth alongside retail/aftermarket. Some marine customers starting to express worry about the geopolitical situation but the market overall remains strong with positive new product reception.

Cliff estimated the overall wearables market growing in the mid-single to 10% range. Market share gains are a key driver as Garmin takes share both above and below from different players. Customers recognize value and uniqueness of Garmin features.

Cliff said marine market is finding its footing and incrementally positive entering 2026. Boat shows are very active. Larger boats with more equipment are popular, and Garmin's industry-leading sonar, chartplotters, and mapping continue driving share gains.

Cliff said tariffs mostly stable. All short-term adjustments completed. Now focused on longer-term supply chain optimizations as normal course of business.

Cliff said end market has stabilized and may be on an uptick, especially aftermarket. Consumers resilient. Share gains in chartplotters, trolling motors, audio and cartography contributing.

Cliff explained Q1 benefited from models added in 2024 not yet anniversaried. Growth will moderate as BMW production stabilizes. Carmakers also softening views due to tariff impact on customers.

Cliff said early boat show indications were strong but tariff shock may pause high-end boat and equipment buyers. Factoring in slight softness for transition time.

Cliff said marine is more than half retail aftermarket. Market stabilized but unlikely to snap back to double-digit growth without catalysts. Garmin expects to outperform if market improves.

Asked which tariff recoveries sit in the guide and how the second half looks. Root said the gross range of $75 million-$90 million is unchanged and no further meaningful recoveries are assumed.

Root walked all four quarters and concluded shipments are back-half weighted with a material Q4 step-up against an easy comp.

Root reaffirmed the total but did not split it by quarter, saying the transaction closes across multiple quarters.

Zeitz quantified the reduced loss and burn and was candid that EV adoption is arriving much later than assumed.

Root attributed the guided decline mainly to lower wholesale assets and higher funding costs rather than credit deterioration, noting recent high-quality originations.