Acushnet, the parent company of Titleist and FootJoy, today reported Q4 sales of $420.5M, and earnings of $21.6M. The reported sales were a 14-percent increase over the same reporting period of 2019, while the earnings increased by 21-percent over Q4 of 2019. The numbers exceeded Wall Street forecasts of $358.8 million.
Full 2020 earnings dropped 21-percent to $96M, while annual sales saw a decline of four-percent to $1.6B.
Ball sales in Q4 increased by three-percent vs. Q4 of 2020 to $119M. Overall ball sales in 2020 were $508M, a drop of eight-percent vs. 2019.
The Fairhaven, Massachusetts-based company, which trades under the symbol GOLF, said it had profit of 29 cents per share. When adjusted for non-recurring costs, and restructuring costs, it came to 39 cents per share. These results also exceeded Street expectations. According to investment research firm Zacks, the earnings were expected to come in at 13 cents per share.
Acushnet Co., CEO David Maher also gave some insight the company’s Indianapolis distribution center that went full operational in Q4 of 2020.
Maher said the new distribution center consolidates many warehousing and distribution activities – led by FootJoy and followed by Titleist Gear. Maher said eCommerce fulfillment and custom embroidery capabilities will be added in the future.
In addition, the Acushnet Co., is planning a five-year, $120 million investment in its golf ball operations and what it calls “precision manufacturing capabilities.’’ Maher said the investment will enhance speed and efficiency of golf ball operations and stretching the company’s custom ball capabilities.