Garmin Ltd. and Subsidiaries

Condensed Consolidated Statements of Cash Flows (Unaudited)

(In thousands)

39-Weeks Ended

September 24,
2022

September 25,
2021

Operating Activities:

Net income

$

680,313

$

796,064

Adjustments to reconcile net income to net cash provided by

   operating activities:

Depreciation

88,005

75,272

Amortization

34,349

38,485

(Gain) loss on sale or disposal of property and equipment

(1,652)

246

Unrealized foreign currency losses

45,498

24,390

Deferred income taxes

(101,133)

8,358

Stock compensation expense

57,871

68,656

Realized loss (gain) on marketable securities

982

(513)

Changes in operating assets and liabilities, net of acquisitions:

Accounts receivable, net of allowance for doubtful accounts

156,666

197,024

Inventories

(442,312)

(357,387)

Other current and noncurrent assets

29,299

(31,398)

Accounts payable

(64,199)

57,602

Other current and noncurrent liabilities

(84,287)

(39,941)

Deferred revenue

(3,299)

(6,914)

Deferred costs

3,426

7,547

Income taxes

20,067

5,974

Net cash provided by operating activities

419,594

843,465

Investing activities:

Purchases of property and equipment

(184,928)

(187,960)

Proceeds from sale of property and equipment

1,693

26

Purchase of intangible assets

(1,411)

(1,408)

Purchase of marketable securities

(1,044,942)

(1,081,789)

Redemption of marketable securities

923,894

975,318

Acquisitions, net of cash acquired

(13,455)

(15,893)

Net cash used in investing activities

(319,149)

(311,706)

Financing activities:

Dividends

(399,074)

(362,602)

Proceeds from issuance of treasury stock related to equity awards

41,052

35,733

Purchase of treasury stock related to equity awards

(14,750)

(17,636)

Purchase of treasury stock under share repurchase plan

(105,206)

—

Net cash used in financing activities

(477,978)

(344,505)

Effect of exchange rate changes on cash and cash equivalents

(38,265)

(6,172)

Net (decrease) increase in cash, cash equivalents, and restricted cash

(415,798)

181,082

Cash, cash equivalents, and restricted cash at beginning of period

1,498,843

1,458,748

Cash, cash equivalents, and restricted cash at end of period

$

1,083,045

$

1,639,830