Garmin 2003 Annual Report Download - page 4

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Dr. Min H. Kao, CEO & Co-Chairman
Gary L. Burrell, Co-Chairman
From Garmin’s early days as a company, when we started with a handful of engineers and big dreams
for the future of GPS, we have focused on building relationships while making the best products possible.
Because of the consistent support of our investors, distributors, dealers, customers and suppliers, along
with the dedicated service of our associates, Garmin achieved our thirteenth consecutive year of revenue
growth in 2003.
And from the look of things at our Olathe, Kansas facility, it’s obvious that we are preparing for continued
growth. Our just-completed warehouse, which is three times the size of our current warehouse, will soon
be bustling with activity as we expand our operations and increase our capacity to serve Garmin customers
around the world. The remainder of this $60-million dollar expansion will be completed in the fall of 2004
and includes an 8-story office building that will house engineering R&D and a customer call center.
Amidst all the activity on our physical structures, we have been hard at work on the inside — designing
new, innovative products and expanding our distribution channels. Highlights of the year included
completing our first turnkey acquisition of a company, introducing our first PDA product and pioneering
wearable GPS-enabled personal fitness technology. Our commitment to growing our business while
generating profits is evidenced by consistent increases in revenue and net income. And in June of 2003,
we retired all of the company’s long-term debt, which totaled approximately $20 million dollars.
In 2003, we continued our efforts to hire the best and brightest associates. Our acquisition of UPS
Aviation Technologies (now Garmin AT) added 150 skilled aviation pros to our staff. The addition of their
talent base and technology leadership will allow us to devote more resources toward certification efforts
on our groundbreaking G1000 glass cockpit integrated avionics suite while continuing to develop new
avionics products. We hired an additional 100 engineering associates in 2003, which will greatly
enhance our ability to carry out various R&D projects.
While last year was a period of investing in resources to support the company’s growth, 2004 will be a
year where we roll up our sleeves and make the most of those resources while continually growing our
workforce and capabilities. Maintaining Garmin’s leadership position depends on designing cutting-edge
products to serve our existing general aviation and consumer markets as well as new markets for GPS-
enabled devices. To that end, we are currently working on our most aggressive new product introduction
plan in Garmin’s history.
Our satisfaction in the past year’s accomplishments is matched only by our enthusiasm for what lies
ahead. Through the pages of this report, we hope you will get a sense for our commitment to developing
superior products that touch people’s lives.
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