Garmin has reported its Q1 2024 financial results, surpassing analyst expectations with solid sales revenues of $1.38 billion, up from $1.14 billion the previous year. The company saw significant growth in the fitness category, with a 40% year-on-year increase bringing in $342 million in revenue. The standout product of this period was the Garmin Forerunner 165, a more affordable fitness-focused watch that still offers many features found in higher-end models.
While Garmin watches are known for their design and features, they can often be expensive, with high-end models like the Epix 2 Pro and Fenix 7 Pro costing over $1000. The Forerunner 165, priced at $249, offers many of the essential features needed by athletes and is the first Garmin watch in its price range to feature an OLED screen. Despite using higher-end models, the author states that they are perfectly happy using the Forerunner 165, even after their review period had ended.
The success of the Forerunner 165 raises the question of where Garmin will go next. With OLED screens becoming more common across Garmin’s product line since the 2019 Garmin Venu release, the spread of this technology has reached affordable fitness watches. This could potentially lead to buyers choosing to hold onto their current watches for a longer period of time. The author indicates that they will continue to track Garmin’s future releases and may provide a long-term review of the Forerunner 165.
Overall, Garmin’s Q1 2024 results reflect strong performance in the fitness category, driven by the success of the Garmin Forerunner 165. While Garmin watches are known for their high price tags, the more affordable Forerunner 165 offers a balance of features and cost that has resonated with consumers. The introduction of an OLED screen in a lower-priced model represents a milestone for Garmin and may impact future purchasing decisions for customers.
As Garmin looks to the future, the company will likely continue to innovate and develop new products. The success of the Forerunner 165 demonstrates that there is a demand for more affordable fitness-focused watches with essential features. Customers may now have more options when choosing a Garmin watch, with the Forerunner 165 providing a compelling alternative to higher-end models. With the continued evolution of technology and consumer preferences, Garmin will need to stay competitive and anticipate trends in the wearable tech market.
