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Document and Entity Information - shares
shares in Thousands
 6 Months Ended
Jun. 25, 2016
Jul. 25, 2016
Document And Entity Information    
Entity Registrant Name GARMIN LTD  
Entity Central Index Key 0001121788  
Document Type 10-Q  
Trading Symbol GRMN  
Document Period End Date Jun. 25, 2016  
Amendment Flag false  
Current Fiscal Year End Date --12-25  
Entity a Well-known Seasoned Issuer No  
Entity a Voluntary Filer No  
Entity's Reporting Status Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Common Stock, Shares Outstanding   208,077,418
Document Fiscal Period Focus Q2  
Document Fiscal Year Focus 2016  
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Jun. 25, 2016
Dec. 26, 2015
Current assets:    
Cash and cash equivalents $ 801,464 $ 833,070
Marketable securities 252,253 215,161
Accounts receivable, net 510,309 531,481
Inventories, net 508,161 500,554
Deferred costs 46,552 49,176
Prepaid expenses and other current assets 93,848 81,645
Total current assets 2,212,587 2,211,087
Property and equipment, net 450,654 446,089
Marketable securities 1,306,159 1,343,387
Restricted cash 257 259
Noncurrent deferred income tax 118,320 116,518
Noncurrent deferred costs 47,535 38,769
Intangible assets, net 303,348 245,552
Other assets 88,723 97,730
Total assets 4,527,583 4,499,391
Current liabilities:    
Accounts payable 151,904 178,905
Salaries and benefits payable 68,067 70,601
Accrued warranty costs 34,670 30,449
Accrued sales program costs 49,538 67,613
Deferred revenue 150,587 164,982
Accrued royalty costs 44,213 30,310
Accrued advertising expense 24,534 33,547
Other accrued expenses 77,442 74,926
Income taxes payable 24,714 21,674
Dividend payable 384,760 192,991
Total current liabilities 1,010,429 865,998
Deferred income taxes 54,633 56,210
Non-current income taxes 111,664 101,689
Non-current deferred revenue 130,342 128,731
Other liabilities 1,680 1,637
Stockholders' equity:    
Shares, CHF 10 par value, 208,077 shares authorized and issued; 188,877 shares outstanding at June 25, 2016 and 189,722 shares outstanding at December 26, 2015 1,797,435 1,797,435
Additional paid-in capital 73,279 62,239
Treasury stock (445,268) (414,637)
Retained earnings 1,794,792 1,930,517
Accumulated other comprehensive income (1,403) (30,428)
Total stockholders' equity 3,218,835 3,345,126
Total liabilities and stockholders' equity $ 4,527,583 $ 4,499,391
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - SFr / shares
shares in Thousands
Jun. 25, 2016
Dec. 26, 2015
Common shares, authorized 208,077 208,077
Common shares, issued 208,077 208,077
Common shares, outstanding 188,877 189,722
CHF [Member]    
Common shares, par value (in dollars per share) SFr 10 SFr 10
Condensed Consolidated Statements of Income (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Income Statement [Abstract]        
Net sales $ 811,609 $ 773,830 $ 1,435,648 $ 1,359,224
Cost of goods sold 348,651 354,580 632,840 595,852
Gross profit 462,958 419,250 802,808 763,372
Advertising expense 44,252 45,794 76,485 73,466
Selling, general and administrative expense 103,677 97,552 199,287 196,302
Research and development expense 114,355 109,240 222,559 215,242
Total operating expense 262,284 252,586 498,331 485,010
Operating income 200,674 166,664 304,477 278,362
Other income (expense):        
Interest income 8,455 7,420 15,883 15,444
Foreign currency (losses) (5,743) (487) (10,582) (44,751)
Other income (loss) 415 (39) 1,570 698
Total other income (expense) 3,127 6,894 6,871 (28,609)
Income before income taxes 203,801 173,558 311,348 249,753
Income tax provision 42,737 35,805 62,193 45,208
Net income $ 161,064 $ 137,753 $ 249,155 $ 204,545
Net income per share:        
Basic (in dollars per share) $ 0.85 $ 0.72 $ 1.32 $ 1.07
Diluted (in dollars per share) $ 0.85 $ 0.72 $ 1.31 $ 1.07
Weighted average common shares outstanding:        
Basic (in shares) 188,892 191,101 189,195 191,432
Diluted (in shares) 189,356 191,600 189,491 191,939
Dividends declared per share $ 2.04 $ 2.04 $ 2.04 $ 2.04
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Statement of Comprehensive Income [Abstract]        
Net income $ 161,064 $ 137,753 $ 249,155 $ 204,545
Foreign currency translation adjustment 5,896 17,716 12,162 20,471
Change in fair value of available-for-sale marketable securities, net of deferred taxes 7,565 (10,216) 16,864 1,033
Comprehensive income $ 174,525 $ 145,253 $ 278,181 $ 226,049
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Operating Activities:    
Net income $ 249,155 $ 204,545
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation 26,657 24,915
Amortization 14,852 13,215
Loss on sale or disposal of property and equipment 64 420
Provision for doubtful accounts 1,548 (1,499)
Deferred income taxes (6,074) (9,325)
Unrealized foreign currency loss 3,198 59,046
Provision for obsolete and slow moving inventories 15,892 6,569
Stock compensation expense 19,507 14,742
Realized gain on marketable securities (188) (364)
Changes in operating assets and liabilities:    
Accounts receivable 24,415 60,016
Inventories (16,672) (45,635)
Other current and non-current assets (865) (74,725)
Accounts payable (32,291) (7,084)
Other current and non-current liabilities (10,806) (53,808)
Deferred revenue (13,066) (38,836)
Deferred cost (6,089) 6,892
Income taxes payable 10,135 (174,788)
Net cash provided by (used in) operating activities 279,372 (15,704)
Investing activities:    
Purchases of property and equipment $ (28,614) (39,732)
Proceeds from sale of property and equipment 665
Purchase of intangible assets $ (2,831) (1,939)
Purchase of marketable securities (457,433) (480,090)
Redemption of marketable securities 466,526 540,785
Change in restricted cash 2 29
Acquisitions, net of cash acquired (62,137) (12,632)
Net cash (used in) provided by investing activities (84,487) 7,086
Financing activities:    
Dividends paid (193,111) (183,925)
Purchase of treasury stock under share repurchase plan (45,097) (57,295)
Purchase of treasury stock related to equity awards (173) (240)
Proceeds from issuance of treasury stock related to equity awards 8,970 8,560
Tax benefit from issuance of equity awards 2 1,239
Net cash used in financing activities (229,409) (231,661)
Effect of exchange rate changes on cash and cash equivalents 2,918 (17,806)
Net decrease in cash and cash equivalents (31,606) (258,085)
Cash and cash equivalents at beginning of period 833,070 1,196,268
Cash and cash equivalents at end of period $ 801,464 $ 938,183
Basis of Presentation
 6 Months Ended
Jun. 25, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
  1. Basis of Presentation

 

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Additionally, the condensed consolidated financial statements should be read in conjunction with Item 2 of Management's Discussion and Analysis of Financial Condition and Results of Operations, included in this Form 10-Q. Operating results for the 13-week and 26-week periods ended June 25, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016.

 

The condensed consolidated balance sheet at December 26, 2015 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 26, 2015.

 

The Company’s fiscal year is based on a 52-53 week period ending on the last Saturday of the calendar year. Therefore the financial results of certain 53-week fiscal years, and the associated 14-week quarters, will not be exactly comparable to the prior and subsequent 52-week fiscal years and the associated 13-week quarters. The quarters ended June 25, 2016 and June 27, 2015 both contain operating results for 13 weeks. The Company’s fiscal quarter and year ending December 31, 2016 will contain operating results for 14 weeks and 53 weeks, respectively.

 

At the Company’s Annual General Meeting on June 10, 2016, the Company’s shareholders approved the cancellation of 10,000 registered shares of the Company held by the Company (the “Formation Shares”) and the reduction in par value of each share of the Company from CHF 10 to CHF 0.10 and the amendment of the Company’s Articles of Association to effect a corresponding share capital reduction. The Company expects to complete the cancellation of the Formation Shares and the reduction in par value of each share and the corresponding reduction of the Company’s issued share capital by the end of the third quarter of 2016.
Inventories
 6 Months Ended
Jun. 25, 2016
Inventory Disclosure [Abstract]  
Inventories
2. Inventories

 

The components of inventories consist of the following:

 

    June 25,     December 26,  
    2016     2015  
             
Raw materials   $ 167,889     $ 203,173  
Work-in-process     75,985       69,690  
Finished goods     309,898       273,762  
Inventory reserves     (45,611 )     (46,071 )
Inventory, net of reserves   $ 508,161     $ 500,554  
Earnings Per Share
 6 Months Ended
Jun. 25, 2016
Net income per share:  
Earnings Per Share
3. Earnings Per Share

 

The following table sets forth the computation of basic and diluted net income per share:

 

    13-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
Numerator:                
Numerator for basic and diluted net income per share - net income   $ 161,064     $ 137,753  
                 
Denominator:                
Denominator for basic net income per share – weighted-average common shares     188,892       191,101  
                 
Effect of dilutive securities – stock options, stock appreciation rights  and restricted stock units     464       499  
                 
Denominator for diluted net income per share – adjusted weighted-average common shares     189,356       191,600  
                 
Basic net income per share   $ 0.85     $ 0.72  
                 
Diluted net income per share   $ 0.85     $ 0.72  

 

    26-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
Numerator:                
Numerator for basic and diluted net income per share - net income   $ 249,155     $ 204,545  
                 
Denominator:                
Denominator for basic net income per share – weighted-average common shares     189,195       191,432  
                 
Effect of dilutive securities – stock options, stock appreciation rights and restricted stock units     296       507  
                 
Denominator for diluted net income per share – adjusted weighted-average common shares     189,491       191,939  
                 
Basic net income per share   $ 1.32     $ 1.07  
                 
Diluted net income per share   $ 1.31     $ 1.07  

 

There were 3,873 and 3,558 anti-dilutive stock options, stock appreciation rights and restricted stock units (collectively “equity awards”) outstanding during the 13-week periods ended June 25, 2016 and June 27, 2015, respectively.

 

There were 4,231 and 3,598 anti-dilutive equity awards outstanding during the 26-week periods ended June 25, 2016 and June 27, 2015, respectively.

 

There were 11 and 91 shares issued as a result of exercises and releases of equity awards for the 13-week periods ended June 25, 2016 and June 27, 2015, respectively.

 

There were 13 and 128 shares issued as a result of exercises and releases of equity awards for the 26-week periods ended June 25, 2016 and June 27, 2015, respectively.

 

There were 285 employee stock purchase plan (ESPP) shares issued from outstanding Treasury stock during the 13-week and 26-week periods ended June 25, 2016.

 

There were 214 ESPP shares issued from outstanding Treasury stock during the 13-week and 26-week periods ended June 27, 2015.
Segment Information
 6 Months Ended
Jun. 25, 2016
Segment Reporting [Abstract]  
Segment Information
4. Segment Information

 

The Company has identified five reportable segments – Auto, Aviation, Marine, Outdoor and Fitness. The Company’s Chief Operating Decision Maker (CODM) assesses segment performance and allocates resources to each segment individually.

 

Net sales, gross profit, and operating income for each of the Company’s reportable segments are presented below. In 2016 the Company moved action camera related revenue and expenses from the Outdoor segment to the Auto segment, allowing for alignment and synergies with other camera-based efforts occurring within the Auto segment. The overall impact of the move was immaterial. However, action camera related operating results for the 13-weeks and 26-weeks ended June 27, 2015 have been recast to conform to the current year presentation.

 

    Reportable Segments  
                                     
    Outdoor     Fitness     Marine     Auto     Aviation     Total  
                                     
13-Weeks Ended June 25, 2016                                                
                                                 
Net sales   $ 133,096     $ 212,855     $ 111,599     $ 245,728     $ 108,331     $ 811,609  
Gross profit   $ 85,224     $ 119,805     $ 64,515     $ 112,988     $ 80,426     $ 462,958  
Operating income   $ 48,565     $ 53,074     $ 28,548     $ 39,623     $ 30,864     $ 200,674  
                                                 
13-Weeks Ended June 27, 2015                                                
                                                 
Net sales   $ 108,621     $ 158,649     $ 103,713     $ 300,581     $ 102,266     $ 773,830  
Gross profit   $ 66,019     $ 88,458     $ 58,577     $ 131,933     $ 74,263     $ 419,250  
Operating income   $ 37,201     $ 33,070     $ 23,901     $ 45,087     $ 27,405     $ 166,664  
                                                 
26-Weeks Ended June 25, 2016                                                
                                                 
Net sales   $ 229,923     $ 355,273     $ 194,479     $ 441,326     $ 214,647     $ 1,435,648  
Gross profit   $ 144,155     $ 192,100     $ 108,664     $ 199,131     $ 158,758     $ 802,808  
Operating income   $ 76,450     $ 69,647     $ 38,840     $ 58,190     $ 61,350     $ 304,477  
                                                 
26-Weeks Ended June 27, 2015                                                
                                                 
Net sales   $ 181,436     $ 289,644     $ 168,010     $ 519,807     $ 200,327     $ 1,359,224  
Gross profit   $ 115,084     $ 171,534     $ 94,090     $ 236,891     $ 145,773     $ 763,372  
Operating income   $ 60,730     $ 67,709     $ 28,468     $ 67,870     $ 53,585     $ 278,362  

 

Allocation of certain research and development expenses, and selling, general, and administrative expenses are made to each segment on a percent of revenue basis.

 

Net sales and property and equipment, net by geographic area are as follows as of and for the 26-week periods ended June 25, 2016 and June 27, 2015. Note that APAC includes Asia Pacific and EMEA includes Europe, the Middle East and Africa:

 

    Americas     APAC     EMEA     Total  
June 25, 2016                                
Net sales to external customers   $ 724,974     $ 175,226     $ 535,448     $ 1,435,648  
Property and equipment, net   $ 297,609     $ 113,295     $ 39,750     $ 450,654  
                                 
June 27, 2015                                
Net sales to external customers   $ 722,317     $ 154,102     $ 482,805     $ 1,359,224  
Property and equipment, net   $ 287,171     $ 110,524     $ 47,977     $ 445,672  
Warranty Reserves
 6 Months Ended
Jun. 25, 2016
Product Warranties Disclosures [Abstract]  
Warranty Reserves

  5. Warranty Reserves

 

The Company’s products sold are generally covered by a warranty for periods ranging from one to two years. The Company’s estimate of costs to service its warranty obligations are based on historical experience and expectation of future conditions and are recorded as a liability on the balance sheet. The following reconciliation provides an illustration of changes in the aggregate warranty reserve.

 

    13-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
             
Balance - beginning of period   $ 31,407     $ 23,866  
Accrual for products sold during the period     17,860       10,348  
Expenditures     (14,597 )     (8,113 )
Balance - end of period   $ 34,670     $ 26,101  

 

    26-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
             
Balance - beginning of period   $ 30,449     $ 27,609  
Accrual for products sold during the period     30,312       17,090  
Expenditures     (26,091 )     (18,598 )
Balance - end of period   $ 34,670     $ 26,101  
Commitments and Contingencies
 6 Months Ended
Jun. 25, 2016
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
  6. Commitments and Contingencies

 

The Company is party to certain commitments, which include purchases of raw materials, advertising expenditures, investments in certain low income housing tax credit projects, and other indirect purchases in connection with conducting our business. The aggregate amount of purchase orders and other commitments open as of June 25, 2016 was approximately $306,545. We cannot determine the aggregate amount of such purchase orders that represent contractual obligations because purchase orders may represent authorizations to purchase rather than binding agreements. Our purchase orders are based on our current needs and are typically fulfilled within short periods of time.

 

In the normal course of business, the Company and its subsidiaries are parties to various legal claims, investigations and complaints, including matters alleging patent infringement and other intellectual property claims. The Company evaluates, on a quarterly basis, developments in legal proceedings, investigations or claims that could affect the amount of any accrual or disclosure. The assessment regarding whether a loss is probable or a reasonable possibility, and whether the loss or a range of loss is estimable, often involves a series of complex judgments about future events.

 

Management of the Company currently does not believe there is at least a reasonable possibility the Company may have incurred a material loss, or a material loss in excess of recorded accruals, with respect to loss contingencies individually and in the aggregate, for the fiscal quarter ended June 25, 2016. The results of legal proceedings, investigations and claims, however, cannot be predicted with certainty. Although management considers the likelihood to be remote, an adverse resolution of one or more of such matters in excess of management’s expectations could have a material adverse effect on the Company’s results of operations in a particular quarter or fiscal year.

 

The Company settled or resolved certain matters during the fiscal quarter ended June 25, 2016 that did not individually or in the aggregate have a material impact on the Company’s financial condition or results of operations.
Income Taxes
 6 Months Ended
Jun. 25, 2016
Income Tax Disclosure [Abstract]  
Income Taxes
7. Income Taxes

 

The Company’s income tax expense increased from $35,805 to $42,737 for the 13-week period ended June 25, 2016, compared to the 13-week period ended June 27, 2015.  The effective tax rate of 21.0% in the second quarter of 2016 is comparable to the 20.6% in the second quarter of 2015. The increase in the effective tax rate is due to shifts in the projected income mix by jurisdiction for 2016 compared to the same projection at second quarter of 2015. The increase in the effective tax rate was offset by the permanent extension of the U.S. research and development tax credit legislation, which had not yet been extended in the second quarter of 2015.

 

The Company’s income tax expense increased from $45,208 to $62,192 for the first half of 2016, compared to the first half of 2015.  The effective tax rate increased to 20.0% for the first half of 2016, compared to 18.1% in the first half of 2015 primarily due to shifts in the projected income mix by jurisdiction for 2016 compared to the same projection at second quarter of 2015. Additionally, the favorable release of uncertain tax position reserves due to expiration of certain statutes or completion of tax audits was $2,009 lower compared to the first half of 2015. The increase in the effective tax rate was partially offset as a result of the permanent extension of the U.S. research and development tax credit legislation, which had not yet been extended in the second quarter of 2015.
Marketable Securities
 6 Months Ended
Jun. 25, 2016
Marketable Securities [Abstract]  
Marketable Securities
  8. Marketable Securities

 

The Financial Accounting Standards Board ("FASB") ASC topic entitled Fair Value Measurements and Disclosures defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The accounting guidance classifies the inputs used to measure fair value into the following hierarchy:

 

Level 1

Unadjusted quoted prices in active markets for the identical asset or liability

 

   
Level 2 Observable inputs for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability  
   
Level 3 Unobservable inputs for the asset or liability 

 

The Company endeavors to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Valuation is based on prices obtained from an independent pricing vendor using both market and income approaches. The primary inputs to the valuation include quoted prices for similar assets in active markets, quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, and credit spreads.

 

The method described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

 

Available-for-sale securities measured at estimated fair value on a recurring basis are summarized below:

 

    Fair Value Measurements as
of June 25, 2016		  
    Total     Level 1     Level 2     Level 3  
U.S. Treasury securities   $ 28,368     $ -     $ 28,368     $ -  
Agency securities     127,748       -       127,748       -  
Mortgage-backed securities     293,723       -       293,723       -  
Corporate securities     832,515       -       832,515       -  
Municipal securities     197,944       -       197,944       -  
Other     78,114       -       78,114       -  
Total   $ 1,558,412     $ -     $ 1,558,412     $ -  

 

    Fair Value Measurements as
of December 26, 2015		  
    Total     Level 1     Level 2     Level 3  
U.S. Treasury securities   $ 27,731     $ -     $ 27,731     $ -  
Agency securities     208,631       -       208,631     $ -  
Mortgage-backed securities     370,232       -       370,232     $ -  
Corporate securities     648,590       -       648,590     $ -  
Municipal securities     223,562       -       223,562     $ -  
Other     79,802       -       79,802     $ -  
Total   $ 1,558,548     $ -     $ 1,558,548     $ -  

 

Marketable securities classified as available-for-sale securities are summarized below:

 

    Available-For-Sale Securities as
of June 25, 2016		  
    Amortized Cost     Gross Unrealized
Gains		     Gross Unrealized
Losses- OTTI(1)		     Gross Unrealized
Losses- Other(2)		     Estimated Fair Value
(Net Carrying
Amount)		  
U.S. Treasury securities   $ 28,074     $ 293     $ -     $ (0 )   $ 28,367  
Agency securities     127,668       230       (146 )     (4 )     127,748  
Mortgage-backed securities     293,785       1,143       (372 )     (833 )     293,723  
Corporate securities     834,239       3,033       (640 )     (4,116 )     832,516  
Municipal securities     196,492       1,540       (0 )     (88 )     197,944  
Other     78,105       32       (8 )     (15 )     78,114  
Total   $ 1,558,363     $ 6,271     $ (1,166 )   $ (5,056 )   $ 1,558,412  

 

    Available-For-Sale Securities as
of December 26, 2015		  
    Amortized Cost     Gross Unrealized
Gains		     Gross Unrealized
Losses- OTTI(1)		     Gross Unrealized
Losses- Other(2)		     Estimated Fair Value
(Net Carrying
Amount)		  
U.S. Treasury securities   $ 27,772     $ 27     $ -     $ (68 )   $ 27,731  
Agency securities     211,248       105       (2,409 )     (313 )     208,631  
Mortgage-backed securities     376,801       191       (1,210 )     (5,550 )     370,232  
Corporate securities     656,447       179       (1,635 )     (6,401 )     648,590  
Municipal securities     223,991       636       (9 )     (1,056 )     223,562  
Other     79,853       4       (14 )     (41 )     79,802  
Total   $ 1,576,112     $ 1,142     $ (5,277 )   $ (13,429 )   $ 1,558,548  

 

  (1) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.
  (2) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.

 

The Company’s investment policy requires investments to be rated A or better with the objective of minimizing the potential risk of principal loss. The fair value of the securities varies from period to period due to changes in interest rates, in the performance of the underlying collateral and in the credit performance of the underlying issuer, among other factors. The Company does not intend to sell the securities that have a material unrealized loss shown in the table above and it is not more likely than not that the Company will be required to sell the investment before recovery of their amortized costs bases, which may be maturity.

 

 The Company recognizes the credit component of other-than-temporary impairments of debt securities in "Other Income" and the noncredit component in "Other comprehensive income (loss)" for those securities that we do not intend to sell and for which it is not more likely than not that we will be required to sell before recovery. During 2015 and the 26-week period ending June 25, 2016, the Company did not record any material impairment charges on its outstanding securities.

 

 The amortized cost and estimated fair value of the securities at an unrealized loss position at June 25, 2016 were $633,601 and $627,379 respectively. Approximately 30.4% of securities in our portfolio were at an unrealized loss position at June 25, 2016. We have the ability to hold these securities until maturity or their value is recovered. We do not consider these unrealized losses to be other than temporary credit losses because there has been no material deterioration in credit quality and no change in the cash flows of the underlying securities. We do not intend to sell the securities and it is not more likely than not that we will be required to sell the securities; therefore, no material impairment has been recorded in the accompanying condensed consolidated statement of income.

 

The cost of securities sold is based on the specific identification method.

 

The following tables display additional information regarding gross unrealized losses and fair value by major security type for available-for-sale securities in an unrealized loss position as of June 25, 2016 and December 26, 2015:

 

    As of June 25, 2016  
    Less than 12 Consecutive Months     12 Consecutive Months or Longer  
    Gross Unrealized
Losses		     Fair Value     Gross Unrealized
Losses		     Fair Value  
U.S. Treasury securities   $ (0 )   $ 2,000     $ -     $ -  
Agency securities     (37 )     25,333       (113 )     14,886  
Mortgage-backed securities     (416 )     61,305       (789 )     81,949  
Corporate securities     (3,711 )     332,191       (1,045 )     67,796  
Municipal securities     (42 )     13,996       (46 )     9,836  
Other     (8 )     6,164       (15 )     11,923  
Total   $ (4,214 )   $ 440,989     $ (2,008 )   $ 186,390  

 

    As of December 26, 2015  
    Less than 12 Consecutive Months     12 Consecutive Months or Longer  
    Gross Unrealized
Losses		     Fair Value     Gross Unrealized
Losses		     Fair Value  
U.S. Treasury securities   $ (68 )   $ 22,184     $ -     $ -  
Agency securities     (691 )     117,803       (2,031 )     69,418  
Mortgage-backed securities     (4,571 )     263,735       (2,189 )     83,722  
Corporate securities     (6,719 )     521,731       (1,317 )     50,374  
Municipal securities     (1,035 )     116,033       (30 )     6,557  
Other     (29 )     14,666       (26 )     14,927  
Total   $ (13,113 )   $ 1,056,152     $ (5,593 )   $ 224,998  

 

The amortized cost and estimated fair value of marketable securities at June 25, 2016, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.

 

          Estimated  
    Cost     Fair Value  
             
Due in one year or less   $ 252,055     $ 252,253  
Due after one year through five years     1,099,787       1,101,047  
Due after five years through ten years     175,131       174,204  
Due after ten years     31,390       30,908  
    $ 1,558,363     $ 1,558,412  
Share Repurchase Plan
 6 Months Ended
Jun. 25, 2016
Equity [Abstract]  
Share Repurchase Plan
9. Share Repurchase Plan

 

On February 13, 2015, the Board of Directors approved a share repurchase program authorizing the Company to repurchase up to $300,000 of the common shares of Garmin Ltd. The repurchases may be made from time to time as market and business conditions warrant on the open market or in negotiated transactions in compliance with the SEC’s Rule 10b-18. The timing and amounts of any repurchases will be determined by the Company’s management depending on business and market conditions and other factors including price, regulatory requirements and capital availability. The program does not require the purchase of any minimum number of shares and may be suspended or discontinued at any time. The share repurchase authorization expires on December 31, 2016.  As of June 25, 2016, the Company had repurchased 4,292 shares using cash of $176,510.  There remains approximately $123,490 available to repurchase additional shares under this authorization.
Accumulated Other Comprehensive Income
 6 Months Ended
Jun. 25, 2016
Stockholders' Equity Note [Abstract]  
Accumulated Other Comprehensive Income
  10. Accumulated Other Comprehensive Income

 

The following provides required disclosure of changes in accumulated other comprehensive income (AOCI) balances by component for the 13-week and 26-week periods ended June 25, 2016:

  

    13-Weeks Ended June 25, 2016  
    Foreign Currency
Translation
Adjustment		     Gross unrealized
losses on available-
for-sale securities-
OTTI(3)		     Net unrealized gains
(losses) on available-
for-sale securities-
Other(4)		     Total  
Balance - beginning of period   $ (7,841 )   $ (2,685 )   $ (4,338 )   $ (14,864 )
Other comprehensive income before reclassification     5,896       1,519       6,231       13,646  
Amounts reclassified from accumulated other comprehensive income     -       -       (185 )     (185 )
Net current-period other comprehensive income     5,896       1,519       6,046       13,461  
Balance - end of period   $ (1,945 )   $ (1,166 )   $ 1,708     $ (1,403 )

 

    26-Weeks Ended June 25, 2016  
    Foreign Currency
Translation
Adjustment		     Gross unrealized
losses on available-
for-sale securities-
OTTI(3)		     Net unrealized gains
(losses) on available-
for-sale securities-
Other(4)		     Total  
Balance - beginning of period   $ (14,107 )   $ (5,277 )   $ (11,044 )   $ (30,428 )
Other comprehensive income before reclassification     12,162       4,111       13,248       29,521  
Amounts reclassified from accumulated other comprehensive income     -       -       (496 )     (496 )
Net current-period other comprehensive income     12,162       4,111       12,753       29,026  
Balance - end of period   $ (1,945 )   $ (1,166 )   $ 1,708     $ (1,403 )

  

(3) Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other-than-temporarily impaired.

(4) Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other-than-temporarily impaired.

 

The following provides required disclosure of reporting reclassifications out of AOCI for the 13-week and 26-week periods ended June 25, 2016:

 

13-Weeks Ended June 25, 2016
Details about
Accumulated Other
Comprehensive Income
Components		   Amount Reclassified
from Accumulated
Other Comprehensive
Income		     Affected Line Item
in the Statement
Where Net Income
is Presented
           
Unrealized gains (losses) on available-for-sale securities   $ (264 )   Other income (expense)
      449     Income tax (provision) benefit
    $ 185     Net of tax

 

26-Weeks Ended June 25, 2016
Details about
Accumulated Other
Comprehensive Income
Components		   Amount Reclassified
from Accumulated
Other Comprehensive
Income		     Affected Line Item
in the Statement
Where Net Income
is Presented
           
Unrealized gains (losses) on available-for-sale securities   $ 188     Other income (expense)
      308     Income tax (provision) benefit
    $ 496     Net of tax
Recently Issued Accounting Pronouncements
 6 Months Ended
Jun. 25, 2016
Accounting Changes and Error Corrections [Abstract]  
Recently Issued Accounting Pronouncements
  11. Recently Issued Accounting Pronouncements

 

In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), which supersedes previous revenue recognition guidance. ASU 2014-09 requires that a company will recognize revenue at an amount that reflects the consideration to which the company expects to be entitled in exchange for transferring goods or services to a customer. The new standard may be applied retrospectively to each prior period presented or in a modified retrospective approach in which the cumulative effect will be recognized as of the date of adoption. Additional updates to Topic 606 issued by the FASB in 2015 and 2016 include the following: 

 

  • ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date (“ASU 2015-14”), which defers the effective date of the new guidance such that the new provisions will now be required for fiscal years, and interim periods within those years, beginning after December 15, 2017
  • ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (“ASU 2016-08”), which clarifies the implementation guidance on principal versus agent considerations (reporting revenue gross versus net).
  • ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing (“ASU 2016-10”), which clarifies the implementation guidance on identifying performance obligations and classifying licensing arrangements
  • ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients (“ASU 2016-12”), which clarifies the implementation guidance in a number of other areas.

 

The Company is currently evaluating the impact of adopting the new revenue standards on its consolidated financial statements.

 

In January 2016, the FASB issued Accounting Standards Update No. 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). The standard addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. ASU 2016-01 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company is currently evaluating the impact of adopting the new standard on its consolidated financial statements.

 

In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. ASU 2016-02 requires lessees to present a right-of-use asset and a corresponding lease liability on the balance sheet. Lessor accounting is substantially unchanged compared to the current accounting guidance. ASU 2016-02 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. Early adoption is permitted. The Company is currently evaluating the impact of adopting the new standard on its consolidated financial statements.

 

In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”), which is intended to simplify the accounting for share-based payment awards. The standard includes provisions addressing income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. ASU 2016-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. Early adoption is permitted. The Company is currently evaluating the impact of adopting the new standard on its consolidated financial statements.
Inventories (Tables)
 6 Months Ended
Jun. 25, 2016
Inventory Disclosure [Abstract]  
Schedule of inventories

The components of inventories consist of the following:

 

    June 25,     December 26,  
    2016     2015  
             
Raw materials   $ 167,889     $ 203,173  
Work-in-process     75,985       69,690  
Finished goods     309,898       273,762  
Inventory reserves     (45,611 )     (46,071 )
Inventory, net of reserves   $ 508,161     $ 500,554  
Earnings Per Share (Tables)
 6 Months Ended
Jun. 25, 2016
Net income per share:  
Schedule of computation of basic and diluted net income per share

The following table sets forth the computation of basic and diluted net income per share:

 

    13-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
Numerator:                
Numerator for basic and diluted net income per share - net income   $ 161,064     $ 137,753  
                 
Denominator:                
Denominator for basic net income per share – weighted-average common shares     188,892       191,101  
                 
Effect of dilutive securities – stock options, stock appreciation rights and restricted stock units     464       499  
                 
Denominator for diluted net income per share – adjusted weighted-average common shares     189,356       191,600  
                 
Basic net income per share   $ 0.85     $ 0.72  
                 
Diluted net income per share   $ 0.85     $ 0.72  

 

    26-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
Numerator:                
Numerator for basic and diluted net income per share - net income   $ 249,155     $ 204,545  
                 
Denominator:                
Denominator for basic net income per share – weighted-average common shares     189,195       191,432  
                 
Effect of dilutive securities – stock options, stock appreciation rights and restricted stock units     296       507  
                 
Denominator for diluted net income per share – adjusted weighted-average common shares     189,491       191,939  
                 
Basic net income per share   $ 1.32     $ 1.07  
                 
Diluted net income per share   $ 1.31     $ 1.07  
Segment Information (Tables)
 6 Months Ended
Jun. 25, 2016
Segment Reporting [Abstract]  
Schedule of net sales, gross profit, and operating income
    Reportable Segments  
                                     
    Outdoor     Fitness     Marine     Auto     Aviation     Total  
                                     
13-Weeks Ended June 25, 2016                                                
                                                 
Net sales   $ 133,096     $ 212,855     $ 111,599     $ 245,728     $ 108,331     $ 811,609  
Gross profit   $ 85,224     $ 119,805     $ 64,515     $ 112,988     $ 80,426     $ 462,958  
Operating income   $ 48,565     $ 53,074     $ 28,548     $ 39,623     $ 30,864     $ 200,674  
                                                 
13-Weeks Ended June 27, 2015                                                
                                                 
Net sales   $ 108,621     $ 158,649     $ 103,713     $ 300,581     $ 102,266     $ 773,830  
Gross profit   $ 66,019     $ 88,458     $ 58,577     $ 131,933     $ 74,263     $ 419,250  
Operating income   $ 37,201     $ 33,070     $ 23,901     $ 45,087     $ 27,405     $ 166,664  
                                                 
26-Weeks Ended June 25, 2016                                                
                                                 
Net sales   $ 229,923     $ 355,273     $ 194,479     $ 441,326     $ 214,647     $ 1,435,648  
Gross profit   $ 144,155     $ 192,100     $ 108,664     $ 199,131     $ 158,758     $ 802,808  
Operating income   $ 76,450     $ 69,647     $ 38,840     $ 58,190     $ 61,350     $ 304,477  
                                                 
26-Weeks Ended June 27, 2015                                                
                                                 
Net sales   $ 181,436     $ 289,644     $ 168,010     $ 519,807     $ 200,327     $ 1,359,224  
Gross profit   $ 115,084     $ 171,534     $ 94,090     $ 236,891     $ 145,773     $ 763,372  
Operating income   $ 60,730     $ 67,709     $ 28,468     $ 67,870     $ 53,585     $ 278,362  
Schedule of net sales and property and equipment, net by geographic area

Net sales and property and equipment, net by geographic area are as follows as of and for the 26-week periods ended June 25, 2016 and June 27, 2015. Note that APAC includes Asia Pacific and EMEA includes Europe, the Middle East and Africa:

 

    Americas     APAC     EMEA     Total  
June 25, 2016                                
Net sales to external customers   $ 724,974     $ 175,226     $ 535,448     $ 1,435,648  
Property and equipment, net   $ 297,609     $ 113,295     $ 39,750     $ 450,654  
                                 
June 27, 2015                                
Net sales to external customers   $ 722,317     $ 154,102     $ 482,805     $ 1,359,224  
Property and equipment, net   $ 287,171     $ 110,524     $ 47,977     $ 445,672  
Warranty Reserves (Tables)
 6 Months Ended
Jun. 25, 2016
Product Warranties Disclosures [Abstract]  
Schedule of changes in the aggregate warranty reserve

The following reconciliation provides an illustration of changes in the aggregate warranty reserve.

 

    13-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
             
Balance - beginning of period   $ 31,407     $ 23,866  
Accrual for products sold during the period     17,860       10,348  
Expenditures     (14,597 )     (8,113 )
Balance - end of period   $ 34,670     $ 26,101  

 

    26-Weeks Ended  
    June 25,     June 27,  
    2016     2015  
             
Balance - beginning of period   $ 30,449     $ 27,609  
Accrual for products sold during the period     30,312       17,090  
Expenditures     (26,091 )     (18,598 )
Balance - end of period   $ 34,680     $ 26,101
Marketable Securities (Tables)
 6 Months Ended
Jun. 25, 2016
Marketable Securities [Abstract]  
Schedule of available-for-sale securities

Available-for-sale securities measured at estimated fair value on a recurring basis are summarized below:

 

    Fair Value Measurements as
of June 25, 2016		  
    Total     Level 1     Level 2     Level 3  
U.S. Treasury securities   $ 28,368     $ -     $ 28,368     $ -  
Agency securities     127,748       -       127,748       -  
Mortgage-backed securities     293,723       -       293,723       -  
Corporate securities     832,515       -       832,515       -  
Municipal securities     197,944       -       197,944       -  
Other     78,114       -       78,114       -  
Total   $ 1,558,412     $ -     $ 1,558,412     $ -  

 

    Fair Value Measurements as
of December 26, 2015		  
    Total     Level 1     Level 2     Level 3  
U.S. Treasury securities   $ 27,731     $ -     $ 27,731     $ -  
Agency securities     208,631       -       208,631     $ -  
Mortgage-backed securities     370,232       -       370,232     $ -  
Corporate securities     648,590       -       648,590     $ -  
Municipal securities     223,562       -       223,562     $ -  
Other     79,802       -       79,802     $ -  
Total   $ 1,558,548     $ -     $ 1,558,548     $ -  
Schedule of marketable securities classified as available-for-sale securities

Marketable securities classified as available-for-sale securities are summarized below:

 

    Available-For-Sale Securities as
of June 25, 2016		  
    Amortized Cost     Gross Unrealized
Gains		     Gross Unrealized
Losses- OTTI(1)		     Gross Unrealized
Losses- Other(2)		     Estimated Fair Value
(Net Carrying
Amount)		  
U.S. Treasury securities   $ 28,074     $ 293     $ -     $ (0 )   $ 28,367  
Agency securities     127,668       230       (146 )     (4 )     127,748  
Mortgage-backed securities     293,785       1,143       (372 )     (833 )     293,723  
Corporate securities     834,239       3,033       (640 )     (4,116 )     832,516  
Municipal securities     196,492       1,540       (0 )     (88 )     197,944  
Other     78,105       32       (8 )     (15 )     78,114  
Total   $ 1,558,363     $ 6,271     $ (1,166 )   $ (5,056 )   $ 1,558,412  

 

    Available-For-Sale Securities as
of December 26, 2015		  
    Amortized Cost     Gross Unrealized
Gains		     Gross Unrealized
Losses- OTTI(1)		     Gross Unrealized
Losses- Other(2)		     Estimated Fair Value
(Net Carrying
Amount)		  
U.S. Treasury securities   $ 27,772     $ 27     $ -     $ (68 )   $ 27,731  
Agency securities     211,248       105       (2,409 )     (313 )     208,631  
Mortgage-backed securities     376,801       191       (1,210 )     (5,550 )     370,232  
Corporate securities     656,447       179       (1,635 )     (6,401 )     648,590  
Municipal securities     223,991       636       (9 )     (1,056 )     223,562  
Other     79,853       4       (14 )     (41 )     79,802  
Total   $ 1,576,112     $ 1,142     $ (5,277 )   $ (13,429 )   $ 1,558,548  

 

  (1) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.
  (2) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.
Schedule of gross unrealized losses and fair value by major security type

The following tables display additional information regarding gross unrealized losses and fair value by major security type for available-for-sale securities in an unrealized loss position as of June 25, 2016 and December 26, 2015:

 

    As of June 25, 2016  
    Less than 12 Consecutive Months     12 Consecutive Months or Longer  
    Gross Unrealized
Losses		     Fair Value     Gross Unrealized
Losses		     Fair Value  
U.S. Treasury securities   $ (0 )   $ 2,000     $ -     $ -  
Agency securities     (37 )     25,333       (113 )     14,886  
Mortgage-backed securities     (416 )     61,305       (789 )     81,949  
Corporate securities     (3,711 )     332,191       (1,045 )     67,796  
Municipal securities     (42 )     13,996       (46 )     9,836  
Other     (8 )     6,164       (15 )     11,923  
Total   $ (4,214 )   $ 440,989     $ (2,008 )   $ 186,390  

 

    As of December 26, 2015  
    Less than 12 Consecutive Months     12 Consecutive Months or Longer  
    Gross Unrealized
Losses		     Fair Value     Gross Unrealized
Losses		     Fair Value  
U.S. Treasury securities   $ (68 )   $ 22,184     $ -     $ -  
Agency securities     (691 )     117,803       (2,031 )     69,418  
Mortgage-backed securities     (4,571 )     263,735       (2,189 )     83,722  
Corporate securities     (6,719 )     521,731       (1,317 )     50,374  
Municipal securities     (1,035 )     116,033       (30 )     6,557  
Other     (29 )     14,666       (26 )     14,927  
Total   $ (13,113 )   $ 1,056,152     $ (5,593 )   $ 224,998  
Schedule of amortized cost and estimated fair value of marketable securities by contractual maturity

The amortized cost and estimated fair value of marketable securities at June 25, 2016, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.

 

          Estimated  
    Cost     Fair Value  
             
Due in one year or less   $ 252,055     $ 252,253  
Due after one year through five years     1,099,787       1,101,047  
Due after five years through ten years     175,131       174,204  
Due after ten years     31,390       30,908  
    $ 1,558,363     $ 1,558,412  
Accumulated Other Comprehensive Income (Tables)
 6 Months Ended
Jun. 25, 2016
Stockholders' Equity Note [Abstract]  
Schedule of changes in accumulated other comprehensive income (AOCI)

The following provides required disclosure of changes in accumulated other comprehensive income (AOCI) balances by component for the 13-week and 26-week periods ended June 25, 2016:

  

    13-Weeks Ended June 25, 2016  
    Foreign Currency
Translation
Adjustment		     Gross unrealized
losses on available-
for-sale securities-
OTTI(3)		     Net unrealized gains
(losses) on available-
for-sale securities-
Other(4)		     Total  
Balance - beginning of period   $ (7,841 )   $ (2,685 )   $ (4,338 )   $ (14,864 )
Other comprehensive income before reclassification     5,896       1,519       6,231       13,646  
Amounts reclassified from accumulated other comprehensive income     -       -       (185 )     (185 )
Net current-period other comprehensive income     5,896       1,519       6,046       13,461  
Balance - end of period   $ (1,945 )   $ (1,166 )   $ 1,708     $ (1,403 )

 

    26-Weeks Ended June 25, 2016  
    Foreign Currency
Translation
Adjustment		     Gross unrealized
losses on available-
for-sale securities-
OTTI(3)		     Net unrealized gains
(losses) on available-
for-sale securities-
Other(4)		     Total  
Balance - beginning of period   $ (14,107 )   $ (5,277 )   $ (11,044 )   $ (30,428 )
Other comprehensive income before reclassification     12,162       4,111       13,248       29,521  
Amounts reclassified from accumulated other comprehensive income     -       -       (496 )     (496 )
Net current-period other comprehensive income     12,162       4,111       12,753       29,026  
Balance - end of period   $ (1,945 )   $ (1,166 )   $ 1,708     $ (1,403 )

  

(3) Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other-than-temporarily impaired.

(4) Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other-than-temporarily impaired.
Schedule of reporting reclassifications out of AOCI

The following provides required disclosure of reporting reclassifications out of AOCI for the 13-week and 26-week periods ended June 25, 2016:

  

13-Weeks Ended June 25, 2016
Details about
Accumulated Other
Comprehensive Income
Components		   Amount Reclassified
from Accumulated
Other Comprehensive
Income		     Affected Line Item
in the Statement
Where Net Income
is Presented
           
Unrealized gains (losses) on available-for-sale securities   $ (264 )   Other income (expense)
      449     Income tax (provision) benefit
    $ 185     Net of tax

 

26-Weeks Ended June 25, 2016
Details about
Accumulated Other
Comprehensive Income
Components		   Amount Reclassified
from Accumulated
Other Comprehensive
Income		     Affected Line Item
in the Statement
Where Net Income
is Presented
           
Unrealized gains (losses) on available-for-sale securities   $ 188     Other income (expense)
      308     Income tax (provision) benefit
    $ 496     Net of tax
Basis of Presentation (Details Narrative)
shares in Thousands
 6 Months Ended
Jun. 25, 2016
$ / shares
shares
Jun. 25, 2016
SFr / shares
Dec. 26, 2015
SFr / shares
Cancellation of Formation Shares 10,000    
CHF [Member]      
Reduction in par value of each share | $ / shares $ 0.10    
Previous share price | SFr / shares   SFr 10 SFr 10
Inventories (Details) - USD ($)
$ in Thousands
Jun. 25, 2016
Dec. 26, 2015
Inventory Disclosure [Abstract]    
Raw materials $ 167,889 $ 203,173
Work-in-process 75,985 69,690
Finished goods 309,898 273,762
Inventory reserves (45,611) (46,071)
Inventory, net of reserves $ 508,161 $ 500,554
Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Numerator:        
Numerator for basic and diluted net income per share - net income $ 161,064 $ 137,753 $ 249,155 $ 204,545
Denominator:        
Denominator for basic net income per share - weighted-average common shares 188,892 191,101 189,195 191,432
Effect of dilutive securities - stock options, stock appreciation rights and restricted stock units 464 499 296 507
Denominator for diluted net income per share - adjusted weighted-average common shares 189,356 191,600 189,491 191,939
Basic net income per share $ 0.85 $ 0.72 $ 1.32 $ 1.07
Diluted net income per share $ 0.85 $ 0.72 $ 1.31 $ 1.07
Earnings Per Share (Details Narrative) - shares
shares in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Anti-dilutive stock options, stock appreciation rights and restricted stock units 3,873 3,558 4,231 3,598
Shares issued as a result of exercises of equity awards 11 91 13 128
Employee Stock Purchase Plan [Member] | Treasury Stock [Member]        
Number of shares issued 285 214 285 214
Segment Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Net sales $ 811,609 $ 773,830 $ 1,435,648 $ 1,359,224
Gross profit 462,958 419,250 802,808 763,372
Operating income 200,674 166,664 304,477 278,362
Outdoor [Member]        
Net sales 133,096 108,621 229,923 181,436
Gross profit 85,224 66,019 144,155 115,084
Operating income 48,565 37,201 76,450 60,730
Fitness [Member]        
Net sales 212,855 158,649 355,273 289,644
Gross profit 119,805 88,458 192,100 171,534
Operating income 53,074 33,070 69,647 67,709
Marine [Member]        
Net sales 111,599 103,713 194,479 168,010
Gross profit 64,515 58,577 108,664 94,090
Operating income 28,548 23,901 38,840 28,468
Auto [Member]        
Net sales 245,728 300,581 441,326 519,807
Gross profit 112,988 131,933 199,131 236,891
Operating income 39,623 45,087 58,190 67,870
Aviation [Member]        
Net sales 108,331 102,266 214,647 200,327
Gross profit 80,426 74,263 158,758 145,773
Operating income $ 30,864 $ 27,405 $ 61,350 $ 53,585
Segment Information (Details 1) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Dec. 26, 2015
Net sales to external customers $ 811,609 $ 773,830 $ 1,435,648 $ 1,359,224  
Property and equipment, net 450,654 445,672 450,654 445,672 $ 446,089
Americas [Member]          
Net sales to external customers     724,974 722,317  
Property and equipment, net 297,609 287,171 297,609 287,171  
APAC [Member]          
Net sales to external customers     175,226 154,102  
Property and equipment, net 113,295 110,524 113,295 110,524  
EMEA [Member]          
Net sales to external customers     535,448 482,805  
Property and equipment, net $ 39,750 $ 47,977 $ 39,750 $ 47,977  
Segment Information (Details Narrative)
 6 Months Ended
Jun. 25, 2016
Number
Segment Reporting [Abstract]  
Number of reportable segments 5
Warranty Reserves (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]        
Balance - beginning of period $ 31,407 $ 23,866 $ 30,449 $ 27,609
Accrual for products sold 17,860 10,348 30,312 17,090
Expenditures (14,597) (8,113) (26,091) (18,598)
Balance - end of period $ 34,670 $ 26,101 $ 34,670 $ 26,101
Warranty Reserves (Details Narrative)
 6 Months Ended
Jun. 25, 2016
Minimum [Member]  
Product warranty term 1 year
Maximum [Member]  
Product warranty term 2 years
Commitments and Contingencies (Details Narrative)
$ in Thousands
Jun. 25, 2016
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Aggregate amount of purchase orders and other commitments $ 306,545
Income Taxes (Details Narrative) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Income Tax Disclosure [Abstract]        
Income tax expense $ 42,737 $ 35,805 $ 62,193 $ 45,208
Effective income tax rate 21.00% 20.60% 20.00% 18.10%
Uncertain tax position reserves     $ 2,009  
Marketable Securities (Details) - USD ($)
$ in Thousands
Jun. 25, 2016
Dec. 26, 2015
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total $ 1,558,412 $ 1,558,548
U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 28,367 27,731
Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 127,748 208,631
Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 293,723 370,232
Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 832,516 648,590
Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 197,944 223,562
Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 78,114 79,802
Recurring Basis [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 1,558,412 1,558,548
Recurring Basis [Member] | U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 28,368 27,731
Recurring Basis [Member] | Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 127,748 208,631
Recurring Basis [Member] | Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 293,723 370,232
Recurring Basis [Member] | Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 832,515 648,590
Recurring Basis [Member] | Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 197,944 223,562
Recurring Basis [Member] | Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total $ 78,114 $ 79,802
Recurring Basis [Member] | Level 1 [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 1 [Member] | Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 2 [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total $ 1,558,412 $ 1,558,548
Recurring Basis [Member] | Level 2 [Member] | U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 28,368 27,731
Recurring Basis [Member] | Level 2 [Member] | Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 127,748 208,631
Recurring Basis [Member] | Level 2 [Member] | Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 293,723 370,232
Recurring Basis [Member] | Level 2 [Member] | Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 832,515 648,590
Recurring Basis [Member] | Level 2 [Member] | Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total 197,944 223,562
Recurring Basis [Member] | Level 2 [Member] | Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total $ 78,114 $ 79,802
Recurring Basis [Member] | Level 3 [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Recurring Basis [Member] | Level 3 [Member] | Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available-for-sale securities, total
Marketable Securities (Details 1) - USD ($)
$ in Thousands
 6 Months Ended 12 Months Ended
Jun. 25, 2016
Dec. 26, 2015
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost $ 1,558,363 $ 1,576,112
Gross Unrealized Gains 6,271 1,142
Gross Unrealized Losses-OTTI [1] (1,166) (5,277)
Gross Unrealized Losses-Other [2] (5,056) (13,429)
Estimated Fair Value (Net Carrying Amount) 1,558,412 1,558,548
U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 28,074 27,772
Gross Unrealized Gains $ 293 $ 27
Gross Unrealized Losses-OTTI [1]
Gross Unrealized Losses-Other [2] $ 0 $ (68)
Estimated Fair Value (Net Carrying Amount) 28,367 27,731
Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 127,668 211,248
Gross Unrealized Gains 230 105
Gross Unrealized Losses-OTTI [1] (146) (2,409)
Gross Unrealized Losses-Other [2] (4) (313)
Estimated Fair Value (Net Carrying Amount) 127,748 208,631
Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 293,785 376,801
Gross Unrealized Gains 1,143 191
Gross Unrealized Losses-OTTI [1] (372) (1,210)
Gross Unrealized Losses-Other [2] (833) (5,550)
Estimated Fair Value (Net Carrying Amount) 293,723 370,232
Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 834,239 656,447
Gross Unrealized Gains 3,033 179
Gross Unrealized Losses-OTTI [1] (640) (1,635)
Gross Unrealized Losses-Other [2] (4,116) (6,401)
Estimated Fair Value (Net Carrying Amount) 832,516 648,590
Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 196,492 223,991
Gross Unrealized Gains 1,540 636
Gross Unrealized Losses-OTTI [1] 0 (9)
Gross Unrealized Losses-Other [2] (88) (1,056)
Estimated Fair Value (Net Carrying Amount) 197,944 223,562
Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Amortized Cost 78,105 79,853
Gross Unrealized Gains 32 4
Gross Unrealized Losses-OTTI [1] (8) (14)
Gross Unrealized Losses-Other [2] (15) (41)
Estimated Fair Value (Net Carrying Amount) $ 78,114 $ 79,802
[1] Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.
[2] Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.
Marketable Securities (Details 2) - USD ($)
$ in Thousands
 6 Months Ended 12 Months Ended
Jun. 25, 2016
Dec. 26, 2015
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months $ (4,214) $ (13,113)
Fair Value Less than 12 Consecutive Months 440,989 1,056,152
Gross Unrealized Losses 12 Consecutive Months or Longer (2,008) (5,593)
Fair Value 12 Consecutive Months or Longer 186,390 224,998
U.S.Treasury Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months 0 (68)
Fair Value Less than 12 Consecutive Months $ 2,000 $ 22,184
Gross Unrealized Losses 12 Consecutive Months or Longer
Fair Value 12 Consecutive Months or Longer
Agency Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months $ (37) $ (691)
Fair Value Less than 12 Consecutive Months 25,333 117,803
Gross Unrealized Losses 12 Consecutive Months or Longer (113) (2,031)
Fair Value 12 Consecutive Months or Longer 14,886 69,418
Mortgage-Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months (416) (4,571)
Fair Value Less than 12 Consecutive Months 61,305 263,735
Gross Unrealized Losses 12 Consecutive Months or Longer (789) (2,189)
Fair Value 12 Consecutive Months or Longer 81,949 83,722
Corporate Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months (3,711) (6,719)
Fair Value Less than 12 Consecutive Months 332,191 521,731
Gross Unrealized Losses 12 Consecutive Months or Longer (1,045) (1,317)
Fair Value 12 Consecutive Months or Longer 67,796 50,374
Municipal Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months (42) (1,035)
Fair Value Less than 12 Consecutive Months 13,996 116,033
Gross Unrealized Losses 12 Consecutive Months or Longer (46) (30)
Fair Value 12 Consecutive Months or Longer 9,836 6,557
Other [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Gross Unrealized Losses Less than 12 Consecutive Months (8) (29)
Fair Value Less than 12 Consecutive Months 6,164 14,666
Gross Unrealized Losses 12 Consecutive Months or Longer (15) (26)
Fair Value 12 Consecutive Months or Longer $ 11,923 $ 14,927
Marketable Securities (Details 3) - USD ($)
$ in Thousands
Jun. 25, 2016
Dec. 26, 2015
Cost [Abstract]    
Due in one year or less $ 252,055  
Due after one year through five years 1,099,787  
Due after five years through ten years 175,131  
Due after ten years 31,390  
Total 1,558,363 $ 1,576,112
Estimated Fair Value [Abstract]    
Due in one year or less 252,253  
Due after one year through five years 1,101,047  
Due after five years through ten years 174,204  
Due after ten years 30,908  
Total $ 1,558,412 $ 1,558,548
Marketable Securities (Details Narrative)
$ in Thousands
 6 Months Ended
Jun. 25, 2016
USD ($)
Marketable Securities [Abstract]  
Unrealized loss position amortized cost $ 633,601
Unrealized loss position fair value $ 627,379
Percentage of available-for-sale securities in unrealized loss positions 30.40%
Share Repurchase Plan (Details Narrative) - USD ($)
shares in Thousands, $ in Thousands
 6 Months Ended
Feb. 13, 2015
Jun. 25, 2016
Equity [Abstract]    
Stock repurchase program, authorized amount $ 300,000  
Stock repurchase program, expiration date Dec. 31, 2016  
Stock issued for repurchase program, shares   4,292
Stock issued for repurchase program, value   $ 176,510
Remaining stock available under repurchase program   $ 123,490
Accumulated Other Comprehensive Income (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 25, 2016
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent [Roll Forward]    
Balance - beginning of period $ (7,841) $ (14,107)
Other comprehensive income before reclassification $ 5,896 $ 12,162
Amounts reclassified from accumulated other comprehensive income
Net current-period other comprehensive income $ 5,896 $ 12,162
Balance - end of period (1,945) (1,945)
Accumulated Other Comprehensive Income (Loss), Other than Temporary Impairment, Not Credit Loss, Net of Tax, Debt Securities [Roll Forward]    
Balance - beginning of period [1] (2,685) (5,277)
Other comprehensive income before reclassification [1] $ 1,519 $ 4,111
Amounts reclassified from accumulated other comprehensive income [1]
Net current-period other comprehensive income [1] $ 1,519 $ 4,111
Balance - end of period [1] (1,166) (1,166)
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent [Roll Forward]    
Balance - beginning of period [2] (4,338) (11,044)
Other comprehensive income before reclassification [2] 6,231 13,248
Amounts reclassified from accumulated other comprehensive income [2] (185) (496)
Net current-period other comprehensive income [2] 6,046 12,753
Balance - end of period [2] 1,708 1,708
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]    
Balance - beginning of period (14,864) (30,428)
Other comprehensive income before reclassification 13,646 29,521
Amounts reclassified from accumulated other comprehensive income (185) (496)
Net current-period other comprehensive income 13,461 29,026
Balance - end of period $ (1,403) $ (1,403)
[1] Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other-than-temporarily impaired.
[2] Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other-than-temporarily impaired.
Accumulated Other Comprehensive Income (Details 1) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 25, 2016
Jun. 27, 2015
Jun. 25, 2016
Jun. 27, 2015
Other income (expense) $ 3,127 $ 6,894 $ 6,871 $ (28,609)
Income tax (provision) benefit (42,737) $ (35,805) (62,193) $ (45,208)
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | Reclassification From Accumulated Other Comprehensive Income [Member]        
Other income (expense) (264)   188  
Income tax (provision) benefit 449   308  
Net of tax $ 185   $ 496  
2016-07-28 02:39:48,060 [info] Ignoring file cmd.bat of unknown type found in folder or zip. -
2016-07-28 02:39:48,244 [info] Ignoring file grmn-20160625.zip of unknown type found in folder or zip. -
2016-07-28 02:39:48,439 [info] Ignoring file V7.xfr of unknown type found in folder or zip. -
2016-07-28 02:39:48,467 [info] Ignoring file xbrl_preview.txt of unknown type found in folder or zip. -
2016-07-28 02:39:48,483 [info] Ignoring file ~7_xfr.~afc of unknown type found in folder or zip. -
2016-07-28 02:39:51,052 [info] In ''Condensed Consolidated Balance Sheets (Unaudited)'', column(s) 2, 4, 5 are contained in other reports, so were removed by flow through suppression. - grmn-20160625.xml
2016-07-28 02:39:51,054 [info] In ''Condensed Consolidated Statements of Cash Flows (Unaudited)'', column(s) 1, 2 are contained in other reports, so were removed by flow through suppression. - grmn-20160625.xml