UPDATE 4-Garmin's weak holiday forecast sends shares sliding

mercoledì 4 novembre 2009 19:41
 

* Sees holiday unit sales below year ago

* Q3 non-GAAP EPS $1.02 vs est $0.69

* Q3 sales $781.3 mln vs est $703.9 mln

* Fall in average selling price slows

* Shares down 14 percent, reverse early gains (Adds conference call comments; updates shares)

By Savio D'Souza

BANGALORE, Nov 4 (Reuters) - No. 1 U.S. navigation device maker Garmin's (GRMN.O: Quotazione) forecast of a weak holiday quarter fueled concerns about PNDs' long-term survival prospects, sending its shares down almost 14 percent as investors warily eyed Google's entry into the navigation space.

The personal navigation device (PND) market, once controlled by Garmin and TomTom (TOM2.AS: Quotazione), has been hammered by a slump in demand and selling prices for most of this year, and last week Google (GOOG.O: Quotazione) dealt a further blow by unveiling plans to launch free navigation software for smartphones. [ID:nLU565010]

To add to the company's woes, competition from smartphones with navigation aids, such as Research In Motion's RIM.TO BlackBerry, Apple's (AAPL.O: Quotazione) iPhone and offerings from Palm PALM.O and Nokia NOK1V.HE, is increasing.   Continua...