GOLF

Acushnet’s second quarter results surpassed Wall Street expectations for both revenue and earnings, yet the market responded negatively, likely reflecting concerns raised on the call about the sustainability of recent growth. Management attributed the strong quarter to exceptional demand for Titleist Golf Equipment, particularly the successful early launch of the GTS line, as well as continued traction in premium FootJoy products. CEO David Maher noted, “Our team did a really nice job moving a launch from Q3 into Q2,” highlighting the impact of accelerated product launch timing on this quarter’s performance. Is now the time to buy GOLF? Find out in our full research report (it’s free). Revenue: $820 million vs analyst estimates of $785.9 million (13.8% year-on-year growth, 4.3% beat) Adjusted EPS: $2.19 vs analyst estimates of $1.67 (31% beat) Adjusted EBITDA: $208.6 million vs analyst estimates of $161 million (25.4% margin, 29.6% beat) The company slightly lifted its revenue guidance for the full year to $2.66 billion at the midpoint from $2.65 billion EBITDA guidance for the full year is $460 million at the midpoint, above analyst estimates of $430.8 million Operating Margin: 21.5%, up from 15.2% in the same quarter last year Market Capitalization: $5.20 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Simeon Gutman (Morgan Stanley) asked about the impact of the early GTS club launch on quarterly results and how much sales were pulled forward. CFO Sean Sullivan clarified that while they didn’t quantify the exact amount, the shift was significant and will result in more difficult comparisons for the second half. Mitchell Ingles (Raymond James) pressed for details on the $38 million in tariff refunds and how this reconciles with full-year guidance. Sullivan explained the accounting differences and confirmed that the refunds have all been received, with remaining incentive comp expenses to be recognized in the second half. Mitchell Ingles (Raymond James) followed up by asking about current channel inventory for the GTS launch. CEO David Maher responded that inventory levels are healthy and lead times are a bit longer due to high demand but are being managed effectively. Randal Konik (Jefferies) inquired into FootJoy’s margin trajectory amid premiumization. Maher and Sullivan both emphasized improved product mix and profitability, but also noted ongoing tariff-related headwinds. Gregory Miller (Truist Securities) sought updates on material costs and capacity expansion. Maher stated costs for synthetic rubber and tungsten have stabilized somewhat, and detailed ongoing investments in expanding cast urethane capacity at ball plants. In upcoming quarters, the StockStory team will be watching (1) how effectively Acushnet manages the post-launch slowdown in club sales, (2) the pace and cost efficiency of planned manufacturing capacity expansions, and (3) margin resilience amid lingering input and freight cost pressures. The evolution of consumer demand in key international markets, particularly Asia, will also be critical to monitor. Acushnet currently trades at $89.13, down from $103.15 just before the earnings. Is there an opportunity in the stock? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 8:30 a.m. ET President and Chief Executive Officer - David Maher Chief Financial Officer - Sean Sullivan Director of Investor Relations - Cameron Vollmuth Operator: Hello, everyone. Thank you for joining us, and welcome to the Acushnet Company 2Q '26 Earnings Call. [Operator Instructions] I will now hand the conference over to Cameron Vollmuth, Director of Investor Relations. Please go ahead. Cameron Vollmuth: Good morning, everyone. Thank you for joining us today for Acushnet Holding Corp.'s Second Quarter 2026 Earnings Conference Call. Joining me this morning are David Maher, our President and Chief Executive Officer; and Sean Sullivan, our Chief Financial Officer. Before turning the call over to David, I would like to remind everyone that we will make forward-looking statements on the call today. These forward-looking statements are based on Acushnet's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations. For a list of factors that could cause actual results to differ, please see today's press release, the slides that accompany our presentation and our filings with the U.S. Securities and Exchange Commission. Throughout this discussion, we will make reference to non-GAAP financial measures, including items such as net sales on a constant currency basis and adjusted EBITDA. Explanations of how and why we use these measures and reconciliations of these items to the most directly comparable GAAP measures can be found in the schedules in today's press release, the slides that accompany this presentation and in our filings with the U.S. Securities and Exchange Commission. Please also note that references throughout this presentation to year-on-year net sales increases and decreases are on a constant currency basis unless otherwise stated. As we feel this measurement best provides context as to the performance and trends of our business. And when referring to year-to-date results or comparisons, we are referring to the 6-month period ended June 30, 2026, and the comparable 6-month period in 2025. With that, I'll turn the call over to David. David Maher: Thanks, Cameron, and good morning, everyone. We are pleased to report on Acushnet's strong second quarter and first half results, highlight the investments we are making to strengthen the company for the future and outline the puts and takes within our second half outlook. For the second quarter, Acushnet delivered worldwide net sales of $820 million, a 14% increase over last year, driven by strength and momentum within Titleist Golf Equipment and steady gains from FootJoy and Golf Gear. This growth contributed to a 46% increase in adjusted EBITDA, which, while healthy on its own merits, also reflects the net benefit from tariff refunds. For the first half, Acushnet net sales of $1.57 billion are up 10% over last year with growth in all reportable segments and regions. Adjusted EBITDA of $353 million represents a 25% increase in the period. Fueling these results, the Acushnet team remains focused on the game's avid dedicated golfer and enthused about healthy industry fundamentals and growing participation. First half rounds of play are projected to be up low single digits with growth in the U.S., Japan and Korea, offset by modest declines in Europe, which comped against an outsized weather-related increase in 2025. And as Sean will note, we are making strategic investments in Acushnet's future with focus on golf ball manufacturing and golf club assembly capacity, enhanced customization and automation capabilities and our global technology platforms. Getting to our segment results, you see continued momentum in our Titleist Golf Equipment business, which grew 14% in the first half. Golf Club set the pace, up 43% in the quarter and 24% for the half, led by the successful launch of our new GTS line of metals. Noteworthy is the good work by our team to accelerate product development and production time lines to move this launch from Q3 into the seasonal peak of Q2. And while GTS is the headline within golf clubs, successful new Vokey SM11 wedges and Titleist irons also contributed to our growth in the first half. Titleist golf balls also posted a strong half with revenues up 6%, led by Pro V1 growth on top of the challenging comp against last year's launch volumes. On the PGA Tour, Titleist golf balls have 22 wins to date, 18 more than the nearest competitor as this pyramid of influence validation and success helped to fuel our golf ball momentum in the marketplace. And within the Titleist Golf Equipment segment, we continue to fuel our success and momentum with our strong commitment to fittings and value-added consumer connections across regions. The Acushnet's Golf Gear segment is also in good shape, growing 6% in the half, led by double-digit gains in Titleist gloves, bags and our Club Glove travel brand. And FootJoy delivered 3% growth in the quarter, led by strong footwear sales and is up 1% for the half. FJ's underlying fundamentals continue to strengthen with increased focus on premium performance franchises, Premier, HyperFlex and Pro SL, generating a favorable product mix shift within footwear and similar trends with FJ apparel, which are helping to offset softness in Japan and Korea. And finally, net sales of products not allocated to a reportable segment were up also with continued momentum and growth from shoes in the U.S. and GB&I. Now looking at our business by region on Slide 5. You see that all regions increased on a constant currency basis in the second quarter and first half. Acushnet's U.S. sales were up 15% in the quarter, driven by growth in Titleist Golf Equipment and the benefits from healthy rounds of play and strong engagement from our core dedicated golfer base. EMEA was up 12%, reflecting growth in Titleist Golf Equipment and golf gear. Japan was up 31%, driven by Titleist Golf Equipment, notably golf clubs and continued strength in golf balls. Korea was up 7% in the quarter, also driven by Golf Equipment and the accelerated GTS metals launch and double-digit footwear gains. And Rest of World was up 15% versus last year's second quarter, led by outsized growth in Australia, New Zealand, Southeast Asia and China. And now looking forward to the second half, Acushnet is well positioned for the peak summer playing season, and we point to the overall health of the golf industry and our core consumer as baselines for our outlook. It is worth noting that second half comps will be impacted by the timing shift associated with our GTS launch into Q2 and the upcoming transition within golf balls as we prepare and build inventories to support our 2027 Pro V1 launch. This club timing makes for a meaningful change to our typical club cadence, while the Pro V1 transition is anticipated to unfold similar to prior every other year launches. In summary, golf industry fundamentals are in good shape. Participation is durable and positive trending, and we are pleased with our momentum and new product pipelines as we look to the future. As always, we appreciate the commitment and good work of our associates and supportive partners as we work together to provide golfers with leading product and service experiences. Thanks for your interest this morning. I will now pass the call over to Sean. Sean Sullivan: Thank you, David. Good morning, everyone. We had a solid second quarter and first half to start 2026, driven by continued momentum in Titleist Golf Equipment, including the successful launch of our GTS drivers and fairways. Second quarter net sales were up 14% and adjusted EBITDA was $209 million, up $66 million from last year's second quarter. These results include IEEPA tariff refunds, which represented an approximately $38 million benefit to adjusted EBITDA, net of the impact on incentive compensation. For the first half of 2026, net sales increased 9.5% and adjusted EBITDA increased 25%. Excluding the net refund benefit, adjusted EBITDA increased 12% in the first half, ahead of our expectations of high single-digit growth in both net sales and EBITDA during the first half as second quarter GTS metal shipments were greater than anticipated. Gross profit in the second quarter of $446 million was up $92 million compared to 2025. The increase reflected the portion of the net IEEPA tariff refund recognized in gross profit as well as higher sales volumes and average selling prices in Titleist Golf Equipment, partially offset by approximately $11 million of incremental tariff expense in the quarter versus prior year. Second quarter gross margin of 54.4% was up 520 basis points, while first half gross margin was 50.9%, up 230 basis points versus prior year. Excluding the net tariff refund benefit, first half gross margin was 48.1%, down 50 basis points year-over-year. It's worth noting that the first half tariff expense was approximately $29 million more than the first half of 2025. SG&A expense of $246 million in the quarter increased $24 million from 2025 as we continue to invest in our fitting network, IT systems and A&P to support new product launches and future growth as well as recognizing higher incentive compensation expense related to tariff refunds. Interest expense of $12 million in the quarter was down $3 million due to a decrease in interest rates as well as interest income on tariff refunds, partially offset by an increase in borrowings. Our effective tax rate in Q2 was 23.6%, up from 19.9% last year, primarily driven by changes in our jurisdictional mix of earnings and a reduced income tax benefit related to the U.S. deduction on foreign-derived intangible income. Moving to our balance sheet and cash flow highlights. The strength in our balance sheet and cash flow supports the continued execution of our capital allocation strategy. Our focus remains on investing in the business to support long-term growth and returning capital to shareholders. Our net leverage ratio at the end of Q2 using average trailing net debt was slightly below 2x, lower than the first quarter level of 2.3x and our stated leverage target of 2.25x. Inventories were flat when compared to last year's second quarter, and we remain comfortable with our inventory quality and position. First half cash flow from operations increased $76 million from the first half of 2025, driven in part by tariff refunds received in Q2. Capital expenditures were $37 million in the first half of 2026, up $12 million from last year as we continue to invest strategically in additional golf ball manufacturing capacity and increased club assembly to support the sustained strength of demand for our products around the world. We still expect full year free cash flow to meaningfully improve year-over-year, converting at roughly 40% to 50% of adjusted EBITDA. Through June, we returned roughly $57 million to shareholders with $31 million in cash dividends and $26 million in share repurchases. Today, our Board of Directors declared a quarterly cash dividend of $0.255 per share payable on September 18 to shareholders of record on September 4, 2026. Moving to guidance. We are raising our full year outlook to reflect our solid first half results and the onetime benefit from the net IEEPA tariff refunds. We now expect full year sales to be in the range of $2.65 billion to $2.675 billion, up 4.1% at the midpoint. On a constant currency basis, we are expecting net sales to be up between 3.4% and 4.3%. This outlook reflects continued strength in our Titleist Golf Equipment segment, partially offset by softness in wearables, specifically in Asia. We now expect full year adjusted EBITDA to be $450 million to $470 million. This outlook includes a full-year net IEEPA tariff refund benefit of approximately $30 million. We continue to work on the implementation of our new cloud-based ERP system and still expect full year SG&A growth, excluding incremental ERP expenses to be generally in line with our sales growth projections for the year. As it relates to tariffs, we now expect approximately $54 million of tariff expense in 2026, which is $16 million lower than our original estimate of $70 million. As we discussed last quarter, we expect this benefit to be largely offset by higher product costs and freight costs, primarily driven by energy-related supplier cost increases, including synthetic rubber pricing in golf ball manufacturing and tungsten costs in golf clubs. Looking at the second half, our outlook reflects continued strength throughout our business. That being said, the timing impacts of the accelerated GTS metals launch, which shifted a meaningful amount of Titleist Golf Equipment sales and earnings into the first half, creates a more challenging comparison in the back half of the year. As a result, we expect second half net sales to be down low single digits and adjusted EBITDA to decline when compared to second half of 2025 with the impact more pronounced in the fourth quarter. Overall, we're pleased with our first half execution, the performance of the accelerated GTS metals launch and the position of the business heading into the back half of the year. We remain focused on supporting the dedicated golfer, investing for long-term growth and maintaining a disciplined capital allocation approach. With that, I'll now turn the call over to Cameron for Q&A. Cameron Vollmuth: Thanks, Sean. Ben, could we now open up the lines for questions? Operator: [Operator Instructions] Your first question comes from the line of Simeon Gutman with Morgan Stanley. Simeon Gutman: My first question is, if you look at golf clubs, which grew $82 million in Q2 on constant currency, I don't know if you said this or not or you're willing to quantify, but how much is attributable to the timing of pulled-up launches? And then how do you think about the rest of the business in that regard? Sean Sullivan: Yes, Simeon, it's Sean. We didn't quantify it. Again, we're just highlighting as we did on the last call, the impact. Obviously, very pleased with north of 40% growth in the quarter, certainly a little better than we expected in terms of timing. And as we look into the back half, hopefully, with the guide we've provided, you can understand that at least for clubs, we'll see continued performance in Q3, but the more pronounced comp on clubs will be in Q4, given the accelerated timing if you're comping against the '24 GT launch. Simeon Gutman: Okay. And actually, my follow-up is related to that. And again, I missed some of the prepared remarks, so hopefully, this is not redundant. But if we look -- Q2 was much better on sales in the second half, it looks like it's just a Street modeling issue because you didn't help us figure out what that launch would look like exactly. So can you talk about your plan and the sequencing of the year, second half versus first half? And if any of the pluses or minuses, it sounds like it's all pluses and there's just some timing mismatch in how the Street model, but that's what I'm looking to clarify. Sean Sullivan: Yes. Just to clarify, again, last quarter, given the early performance of the launch, we had guided everybody to the high single digits in terms of revenue growth. So obviously, it delivered better than that on the top line for the company. So again, the timing was slightly better than expected. As we look at the back half of the year, again, we feel very good about the full year outlook in terms of 4.1% at the midpoint, almost 4% constant currency and how that converts. So very pleased. Again, we gave you as much as we thought we could at the time on the first quarter call relative to first half. So to your point, it's just a timing shift where I think the Street consensus had more of a club number in Q3 than what ultimately delivered in Q2 for us. Hopefully, that's helpful. Operator: Your next question comes from the line of Joe Altobello with Raymond James. Mitchell Ingles: This is Mitch Ingles on for Joe Altobello. My first question is on the $38 million of net IEFA tariff refunds in 2Q. You're guiding $30 million for the year. So can you help bridge us between those 2 figures? Sean Sullivan: Sure. Happy to, Mitch. It's just a function of our updated outlook. If we take the $460 million at the midpoint in terms of EBITDA, our incentive plans are tied to adjusted EBITDA. So based on the new outlook for the year, expensing the incremental incentive comp over the 9-month period. So the $38 million reflects what was booked in Q2. The remaining $8 million that nets us to $30 million will flow through in the second half. The good news is all of the tariff refunds were submitted. They've all been received. So I don't expect any incremental refunds in the back half of the year to be material at all. And again, that's a credit to the team in terms of our ability to submit quickly and receive those refunds on a timely basis. But more than you asked, but we will ratably book that incentive comp expense over the back half of the year, which causes the net down to $30 million. Mitchell Ingles: Got it. That's helpful. And then my follow-up is on the DTS launch. How would you characterize the channel inventory today? Do you still say you like where they are right now? David Maher: Yes, I'll take that, Mitch. So it's a good opportunity for us to sort of lean into our custom fitting efforts. So much of what we do in golf clubs nowadays is through custom fitting. And so the idea of channel inventories, they tend to run pretty steady state. The larger question that we think about often is our ability to meet at once's custom demand, which is in good shape. I will say lead times are a little bit longer than our typical lead times, but I think that's just a function of demand. So where we are inventory-wise in the channels, we feel very good about it. And again, part 2 of that is our team is doing a nice job meeting at-once demand from our global fitters. Cameron Vollmuth: Next question, please. Operator: Your next question comes from the line of Randy Konik with Jefferies. Randal Konik: I guess on the quality over quantity theme on FootJoy, continued improvement on ASPs. Just can you give us some perspective on kind of where we are with margins in that business, just kind of where they've kind of peaked out, where they troughed out, where we are today, kind of any opportunity to continue this quality theme of improving out-the-door selling price and just managing the inventories better and better to provide a more profitable segment going forward as you've done in the last few quarters. Just curious on where we are there. David Maher: Yes, Randy, maybe Sean and I will come at this 2 ways. First off, my comments is much about favorable mix shift towards premium performance, both in footwear and apparel. Fewer closeouts and just an overall more premium favorable mix within the segment, which is delivering healthy margin trends with the caveat of tariffs. And if you look at our business and what was hit the hardest, it would clearly be FootJoy. So that's the overall theme when we talk about the structure is improving, and it is. We're -- we've got a bit of a headwind that we've dealt with vis-a-vis tariffs, but the team is doing a nice job moving through that. Again, if there's a common theme within FootJoy, it's -- we're seeing a continued trend and shift towards the more premium end of the line. Sean Sullivan: Yes. And just, Randy, to add to that, and you'll see it when we file the Q. On a reported basis, FootJoy's operating margin improved year-over-year by, I think, 100 basis points in the first half. If you normalize for the refunds and the net tariff refund, I think it actually improved by 170 basis points. So certainly pleased with the operating income margin profile of FootJoy and its improvement. Randal Konik: That's great. And then we all know that the United States is super strong. I think I saw in the release that Korea was slightly positive. I think that area of the world had been down previously. So can you just give us a refresher on international markets, just what you see out there and what you see ahead? David Maher: Yes. So I would say, Korea, Japan, first off, starting with rounds of play, total rounds are up in those markets, which is obviously a positive. The theme we're seeing in '26 mirrors largely what we've seen in the last year or 2. In our case, balls and clubs, the equipment segment has done quite well, where we've seen challenges are wearables, apparel, footwear and also gear. So it's a little bit of a tale of 2 markets in the sense that equipment, strong, healthy, vibrant, growing, and we've seen some challenges across the wearables line. That's played out last year that continues to play out this year. And just by way of calling out Korea, Korea has historically had an outsized apparel market. It's one of the largest apparel markets in the world. So when it rote up, it was a great thing, and it's been correcting for the last year or so. Moving around the board, Europe and for us, you may recall a year ago, rounds of play were up dramatically in the first half and for the year. They had a very mild spring, got off to a fast start. So Europe had a very strong year last year. Rounds are down across the U.K. and the Mainland. But again, net-net, up over its normalized run rate. That said, we're pleased with our business in the region. You saw the numbers and healthy growth across segments but certainly affected by the accelerated driver launch. So yes, we're pleased with business around the world, rounds of play being a key proxy for just the health and state of the game, and we continue to confront and navigate softness in wearables across Japan and Korea. Cameron Vollmuth: Operator, next question, please. Operator: Your next question comes from the line of Gregory Miller with Truist Securities. Gregory Miller: First question, I'd like to ask you about material costs and how they've trended relative to your prior expectations. David Maher: They've moderated a bit, Greg. I think we -- in terms of synthetic rubber, again, still slightly volatile in light of the oil markets. I think the cost of tungsten has moderated slightly. relative to where we were maybe 90 days ago. We continue to see slightly elevated distribution freight in, freight out, et cetera. So continuing to monitor, continuing to manage supply as best we can in light of the macro environment. So it's marginally better than maybe where it was 90 days ago, but still a lot of uncertainty. Gregory Miller: Okay. My second question, I wanted to ask for an update in terms of your CapEx spend as it relates to the plant utilization, given that your ball plants are running at very high capacity levels at this point. I'm just curious if you could provide us the latest in terms of your progress on that front. David Maher: Yes. Yes. And you're right. We are running at near full capacity in our plants. We've been in the midst over really started 4, 5 years ago of adding capacity, notably in cast urethane and converting lines into more cast urethane capacity. So we feel very good about the work we've done in the last 4 or 5 years that have allowed us to deliver the results we're delivering today. But we see in the next year or 2, continued expansion mainly within cast urethane in both our Massachusetts and Thailand ball plants. So I don't see our capacity as a constraint today, and we're optimistic on the good work that's happening. I will just add, it takes a while, right? So when you make the decision to add capacity, it can take 12 to 18 months to get new lines up and running just from a machinery standpoint. So we're far downfield on Wave 1, and we're in flight on Wave 2 in terms of managing and adjusting our capacity with a shift and tilt more towards cast urethane, which, in our case, is the broader Pro V1 lines. Cameron Vollmuth: Operator, next question, please. Operator: Your next question comes from the line of Matthew Boss with JPMorgan. Matthew Boss: So David, could you speak to larger picture health of the golf industry versus company-specific execution? Meaning on the 20% growth in total Golf Equipment, if there's a way to elaborate on underlying demand and reception to the GTS metals launches and performance on the ball side relative to initial plan, I think that, that would be helpful just to pull out any launch timing benefit. And then secondly, any changes at all to your underlying plan in the back half across segments, again, outside of any launch timing shifts? David Maher: Yes. Matt. Here we go. So I'll start with a high-level view of the game. We talked about rounds of play up low single digits, up 4% in the U.S., far and away the largest market. A couple of call-outs that I found interesting vis-a-vis rounds of play would be the National Golf Foundation carves up the country into 8 regions and every region is up year-to-date, which is unusual because typically, you've got an outlier weather pattern that's going to affect one region over another. So I think that speaks to the structural health of the game. The other piece I'd add is they track public and private access, public play, which is about 75% or so of total rounds in the U.S. is up at a greater rate than private play. Again, I think a sign of broad-based health of the game. And then we always track and we pay close attention to just the cost of public play. And you can imagine it's a wide range. It's up about 4% year-to-date. NGF has it at about $47 per round. So, while up, still there's still affordable golf out there. So high level, and that's a U.S.-centric comment. Game is healthy. Now to our business, Matt, obviously, very pleased on many fronts. And I would say the highlights would be in the equipment segment, right? Any time we can grow our ball business on a year following a Pro V1 launch, that's a positive. That's happened this year. Ball sales up 6%. We feel great about that. Really, I called it out in my remarks, the ability and good work of our team to move a launch from Q3 into Q2. On one hand, it sounds simple. It's anything but because it affects product development time lines, supply chains, assembly, et cetera, et cetera. So our team did a really nice job. So very pleased on the ball side of the house, very pleased on the club launch side of the house and the early response. And then separate from that, if I look at our wearables business around the world, FootJoy, Titleist apparel in Asia shoes around the world and gear business, steady with some pockets of softness that I called out. So Matt, that's a very high-level view of our business, and I would lean into we're particularly pleased with the strength and early success of balls and clubs equipment in the first half of the year. Now in terms of what maybe has changed for back half of the year, I think Sean called it out, and we're trying to be very prescriptive to help you do the modeling around what really is the outlier, and that's going to be clubs, right? I think balls, FootJoy, gear, et cetera, should be fairly similar to last year's in terms of their modeling and their growth. The outlier for us in the second half is really a club story, and that's a function of we moved a lot of volume from Q3, Q4 last year into Q2 of this year. So really high level, I gave you a lot of information there. I realize -- any follow-ons to that? Did I get at your question, Matt? Matthew Boss: Yes, you did. The only follow-on is just outside of any timing launches, if we're looking at that Golf Equipment segment in the back half of the year. Just wanted to make sure there wasn't anything outside of launch timing that's changed in your plan. Sean Sullivan: No, Matt, this is Sean. It's largely as we described. It's a shift from Q3 into Q2 for the club business. Everything else is as expected. Operator: There are no further questions at this time. I will now turn the call back to David Maher for closing remarks. David Maher: Thanks, everybody. As always, we appreciate your interest in Acushnet and look forward to following up in following the third quarter. Have a great rest of summer. Operator: This concludes today's call. Thank you for attending. You may now disconnect. Before you buy stock in Acushnet, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Acushnet wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends Acushnet. The Motley Fool has a disclosure policy. Acushnet (GOLF) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Acushnet? Here are five stocks we like better. Acushnet delivered strong second-quarter results: Sales rose 14% year over year to $820 million and adjusted EBITDA increased 46% to $209 million, helped by Titleist equipment momentum, the accelerated GTS metals launch and approximately $38 million in net tariff refunds. Titleist Golf Equipment led growth, with first-half club sales up 24% and second-quarter club sales up 43%. All regions posted constant-currency growth, while U.S. golf rounds increased 4% year to date. The company raised its 2026 outlook to $2.65 billion-$2.675 billion in sales and $450 million-$470 million in adjusted EBITDA, but expects second-half results to decline year over year because GTS shipments moved into the second quarter and preparations begin for the 2027 Pro V1 launch. Fresh Air, Fresh Highs: 3 Premium Outdoor Brands with 2026 Tailwinds Acushnet (NYSE:GOLF) reported higher second-quarter sales and adjusted EBITDA, citing continued momentum in Titleist golf equipment, an accelerated launch of its GTS metals line and a benefit from tariff refunds. The company also raised its full-year outlook, though it expects second-half comparisons to be affected by the timing of golf-club shipments and preparation for a 2027 Pro V1 launch. Worldwide net sales rose 14% year over year to $820 million in the second quarter, while adjusted EBITDA increased 46% to $209 million. For the first six months of 2026, sales increased 10% to $1.57 billion and adjusted EBITDA rose 25% to $353 million, the company said. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling 3 Golf Stocks that Look Tee-rific Chief Financial Officer Sean Sullivan said second-quarter adjusted EBITDA included approximately $38 million in net refunds related to IEEPA tariffs, after accounting for the impact on incentive compensation. Excluding the net refund benefit, first-half adjusted EBITDA increased 12%, ahead of the company’s expectations for high-single-digit growth in sales and EBITDA during the period. President and Chief Executive Officer David Maher said Titleist Golf Equipment remained the primary growth driver. The segment grew 14% in the first half, with golf clubs up 43% in the second quarter and 24% for the first half. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High The growth was led by the launch of the GTS line of metals, which Acushnet moved from a planned third-quarter launch into the seasonally stronger second quarter. Maher said the shift required changes to product-development, supply-chain and assembly timelines. New Vokey Design SM11 wedges and Titleist irons also contributed to first-half growth. Titleist golf-ball revenue rose 6% in the first half, led by Pro V1 sales despite what Maher described as a challenging comparison with the prior-year product launch. He said Titleist golf balls had recorded 22 PGA Tour wins to date, 18 more than the nearest competitor. → No Hangover: Revisiting Microsoft One Week After Earnings Golf Gear sales increased 6% in the first half, led by double-digit gains in Titleist gloves, bags and the Club Glove travel brand. FootJoy sales rose 3% in the second quarter and 1% in the first half, supported by footwear demand. Maher said the FootJoy business has been shifting toward premium-performance footwear franchises including Premiere, HyperFlex and Pro/SL, as well as a more premium apparel mix. Sullivan said FootJoy’s reported operating margin improved by about 100 basis points year over year in the first half. Normalizing for tariff refunds, he said the improvement was about 170 basis points. All regions posted constant-currency growth in the second quarter and first half. U.S. sales rose 15% in the quarter, while sales in Europe, the Middle East and Africa increased 12%. Japan sales rose 31%, Korea sales increased 7%, and rest-of-world sales grew 15%, led by Australia, New Zealand, Southeast Asia and China. Maher said first-half rounds played were projected to increase by low single digits globally. He cited growth in the U.S., Japan and Korea, partly offset by modest declines in Europe following a weather-driven increase in European rounds during 2025. In the U.S., rounds played were up 4% year to date, Maher said. He noted that all eight regions tracked by the National Golf Foundation showed growth, while public-course play was growing faster than private-course activity. Japan and Korea continued to show strength in golf equipment, though wearables such as apparel, footwear and gear remained softer, particularly in Asia. Second-quarter gross profit rose $92 million to $446 million, and gross margin increased 520 basis points to 54.4%. The increase reflected a portion of the tariff-refund benefit, higher Titleist Golf Equipment volumes and higher average selling prices, partly offset by approximately $11 million in incremental tariff expense compared with the prior year. First-half gross margin was 50.9%, up 230 basis points. Excluding the net tariff-refund benefit, first-half gross margin was 48.1%, down 50 basis points from a year earlier. Acushnet incurred approximately $29 million more in tariff expense in the first half than in the comparable 2025 period. Second-quarter selling, general and administrative expense rose $24 million to $246 million as the company invested in its fitting network, information-technology systems and advertising and promotion around product launches. Capital expenditures totaled $37 million in the first half, up $12 million from a year earlier, including investments in golf-ball manufacturing capacity and club assembly. Maher said the company’s ball plants are operating near full capacity, but capacity is not currently a constraint. Acushnet has been expanding cast-urethane capacity in Massachusetts and Thailand, with additional expansion expected over the next one to two years. He said new production lines can take 12 to 18 months to become operational. Through June, Acushnet returned approximately $57 million to shareholders, including $31 million in cash dividends and $26 million in repurchases. The board declared a quarterly dividend of $0.255 per share, payable Sept. 18 to shareholders of record Sept. 4. Acushnet raised its 2026 sales outlook to a range of $2.65 billion to $2.675 billion, representing 4.1% growth at the midpoint. On a constant-currency basis, the company expects sales growth of 3.4% to 4.3%. The company now expects adjusted EBITDA of $450 million to $470 million for the full year, including an estimated $30 million net benefit from IEEPA tariff refunds. It expects about $54 million of tariff expense for 2026, down from its prior estimate of $70 million, though Sullivan said the benefit is expected to be largely offset by higher product and freight costs, including synthetic-rubber and tungsten costs. Acushnet expects second-half sales to decline by low single digits and adjusted EBITDA to fall compared with the second half of 2025. The company said the impact will be more pronounced in the fourth quarter because a meaningful amount of GTS club sales and earnings shifted into the second quarter. Sullivan said that, aside from the launch timing, the company’s underlying outlook for its other businesses remained largely unchanged. Acushnet Holdings Corp., traded on the NYSE under the symbol GOLF, is a leading designer, manufacturer and marketer of golf equipment, footwear, apparel and accessories. The company's portfolio encompasses a range of golf lifestyle products, with a focus on innovation, performance and quality for players of all skill levels. At the core of Acushnet's product lineup is the Titleist brand, globally recognized for its Tour-level golf balls and precision-engineered clubs. FootJoy offers golf shoes, gloves and apparel that blend comfort, style and technical performance, while Scotty Cameron putters and Vokey design wedges cater to players seeking exacting standards in feel and accuracy. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Acushnet Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Acushnet Holdings Corp. recently reported its Q2 2026 results, with sales rising to US$819.95 million and net income reaching US$124.83 million, alongside basic earnings per share from continuing operations of US$2.09, all higher than the same period a year earlier. The company also modestly raised its full-year revenue guidance after beating analyst expectations on both sales and earnings, while continuing to return cash to shareholders through buybacks that have retired roughly 29.33% of shares since 2018. We’ll now examine how this earnings beat and guidance uplift may influence Acushnet’s investment narrative built around resilient golfer demand. Find 49 companies with promising cash flow potential yet trading below their fair value. To own Acushnet, you need to believe in steady golfer demand for premium gear and the company’s ability to turn that into consistent cash generation. The Q2 2026 earnings beat and slightly higher revenue guidance support that narrative for now, while also easing near term concerns about tariff and cost pressures. The main risk remains that demand normalizes faster than expected, which could challenge volumes and pricing power despite recent strength. The most relevant recent announcement here is the update on share repurchases: Acushnet has now bought back about 29.33% of shares under its long running buyback program. That capital return, on top of the strong quarter, amplifies the earnings impact of resilient equipment demand, but it also raises the stakes if golfer interest or spending were to soften from here. Yet even with robust buybacks and rising earnings, investors should be aware of how quickly the picture could change if golfer demand... Read the full narrative on Acushnet Holdings (it's free!) Acushnet Holdings' narrative projects $2.9 billion revenue and $279.5 million earnings by 2029. Uncover how Acushnet Holdings' forecasts yield a $100.40 fair value, a 8% upside to its current price. Two fair value estimates from the Simply Wall St Community span roughly US$100 to US$131 per share, underscoring how far apart individual views can be. Against that backdrop, the latest revenue beat and guidance upgrade put extra focus on whether Acushnet’s current demand strength can persist, so it is worth weighing several different opinions before drawing your own conclusions. Explore 2 other fair value estimates on Acushnet Holdings - why the stock might be worth just $100.40! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your Acushnet Holdings research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision. Our free Acushnet Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Acushnet Holdings' overall financial health at a glance. Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped: Outshine the giants: these 16 early-stage AI stocks could fund your retirement. Capitalize on the AI infrastructure supercycle with our selection of the 55 best 'picks and shovels' of the AI gold rush converting record-breaking demand into massive cash flow. Rare earth metals are the new gold rush. Find out which 28 stocks are leading the charge. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GOLF. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Acushnet Holdings (GOLF) has put fresh numbers on the table. The company released its second quarter 2026 results and confirmed completion of a long running share repurchase program started in 2018. For the quarter ended June 30, 2026, Acushnet Holdings reported sales of US$819.95 million compared with US$720.48 million a year earlier. Net income was US$124.83 million compared with US$75.56 million, with diluted earnings per share from continuing operations at US$2.08 versus US$1.25. Across the first six months of 2026, sales were US$1,572.93 million compared with US$1,423.85 million for the same period in the prior year. Net income for the half year was US$206.25 million compared with US$174.94 million, while diluted earnings per share from continuing operations were US$3.44 versus US$2.87. Alongside the earnings release, the company reported that from April 1 to June 30, 2026 it repurchased 182,231 shares for US$16 million, representing 0.31% of its shares. This tranche completed a program that has retired 19,458,060 shares in total, or 29.33% of the company, at an aggregate cost of US$1,035.22 million since the buyback was announced on June 12, 2018. See our latest analysis for Acushnet Holdings. Acushnet Holdings shares have eased in the short term, with the 1 month share price return down 16.2% and the 7 day return also lower. However, the year to date share price return of 13.62% and 1 year total shareholder return of 25.74% still point to positive longer term momentum. If this earnings move has you thinking about where else growth stories could emerge, it may be worth scanning the market using our screener of 20 top founder-led companies After a strong quarter, Acushnet Holdings now trades at US$93.29, below both analyst targets and some intrinsic value estimates. Is the recent pullback enough to close that gap, or does fair value still sit higher? Compared with Acushnet Holdings last close at $93.29, the most followed narrative points to a fair value of $100.40 based on long term cash flow assumptions and a 7.6% discount rate. Robust cash flow, prudent capital deployment, and ongoing share repurchases and dividends demonstrate balance sheet health and commitment to shareholder returns, supporting long run value considerations for shareholders through total returns and earnings per share. Read the complete narrative. Want to see what is behind that $100.40 fair value for Acushnet Holdings? The narrative leans on measured revenue, firmer margins, and a future earnings multiple that assumes continued demand for premium golf gear. Result: Fair Value of $100.40 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Acushnet Holdings still faces clear pressure points if golfer participation stalls or consumer spending weakens, which could challenge current revenue assumptions and P/E expectations. Find out about the key risks to this Acushnet Holdings narrative. The SWS DCF model presents a different perspective on Acushnet Holdings. At $93.29, the stock is about 28.7% below an estimated future cash flow value of $130.87, indicating a larger discount compared with the more modest 7.1% discount implied by the narrative fair value. Which signal do you put more weight on? Look into how the SWS DCF model arrives at its fair value. If this mix of fair value signals for Acushnet Holdings leaves you on the fence, now is a good time to review the data yourself and consider both the cautious and optimistic perspectives. To help with that, take a closer look at the 2 key rewards and 2 important warning signs If Acushnet Holdings is on your radar, now is the moment to broaden your watchlist with other clear ideas that fit different investing goals. Target stability and income by reviewing companies in the 8 dividend fortresses that may suit a portfolio focused on regular cash returns. Hunt for quality at a discount and see which stocks feature in the screener containing 19 high quality undiscovered gems before they gain broader attention. Prioritise resilience by checking out companies in the 78 resilient stocks with low risk scores that align with a more defensive approach. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GOLF. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Strong Q2 2026 results with net sales up 14% and adjusted EBITDA up 46%, driven by robust demand in Titleist golf equipment. Successful early launch of GTS metals line, shifting sales into Q2 and contributing to a 43% increase in golf club sales for the quarter. Continued momentum in golf balls with Pro V1 growth, supported by 22 PGA Tour wins, far ahead of competitors. Healthy industry fundamentals with rounds of play up low single-digits, including growth in the US, Japan, and Korea. Improved FootJoy operating margin by 100-170 basis points, driven by a favorable premium product mix shift. Strong balance sheet with net leverage below 2x, and increased full-year guidance for sales and adjusted EBITDA. Receipt of $38 million in tariff refunds, boosting cash flow and enabling continued investment in capacity and shareholder returns. Second half net sales expected to decline low single-digits due to the timing shift of GTS launch into Q2, creating challenging comparisons. Ongoing softness in wearables, particularly in Asia (Japan and Korea), impacting overall segment growth. Higher tariff expenses of approximately $54 million in 2026, partially offset by refunds but still a headwind. Increased product and freight costs, including synthetic rubber and tungsten, are expected to offset some tariff benefits. First half gross margin declined 50 basis points excluding tariff refunds, reflecting cost pressures. SG&A expenses increased due to investments in fitting network, IT systems, and higher incentive compensation, pressuring margins. Uncertainty in material costs and freight rates persists, with potential volatility in the second half. Warning! GuruFocus has detected 4 Warning Sign with GOLF. Is GOLF fairly valued? Test your thesis with our free DCF calculator. Q: Can you quantify how much of the Q2 golf club growth of $82 million was due to the pulled-up launch timing, and how should we think about the rest of the business in that regard? A: David Marr (President and CEO) and Sean Sullivan (CFO) noted they did not quantify the exact amount but highlighted that the growth was better than expected. The accelerated GTS metals launch shifted a meaningful amount of sales from Q3 and Q4 into Q2. For the back half, clubs will see continued performance in Q3, but the more pronounced comp will be in Q4 against the 24 GT launch. Q: Can you help bridge the $38 million of net IEPA tariff refunds in Q2 to the $30 million guided for the full year? A: Sean Sullivan (CFO) explained that the $38 million reflects what was booked in Q2, and the remaining $8 million to reach the $30 million net benefit will flow through in the second half. This is because the company will book incremental incentive compensation expense over the back half of the year, tied to the higher adjusted EBITDA outlook. All tariff refunds have been submitted and received, so no incremental refunds are expected in the back half. Q: Following the GTS launch, how would you characterize channel inventory today? A: David Marr (President and CEO) stated that channel inventories tend to run pretty steady state due to the custom fitting model. The larger focus is on meeting custom demand, which is in good shape, though lead times are a bit longer than typical due to demand. The team is doing a nice job meeting demand from global fitters. Q: Can you provide perspective on FootJoy's margins, where they've peaked or troughed, and the opportunity to continue the quality theme of improving out-the-door selling prices? A: David Marr (President and CEO) highlighted a favorable mix shift towards premium performance in both footwear and apparel, with fewer closeouts, delivering healthy margin trends, with the caveat of tariffs. Sean Sullivan (CFO) added that on a reported basis, FootJoy's operating margin improved by 100 basis points year-over-year in the first half, and by 170 basis points when normalizing for the net tariff refund. Q: Can you give a refresher on international markets, particularly Korea and Japan, and what you see ahead? A: David Marr (President and CEO) noted that rounds of play are up in Korea and Japan, which is positive. The equipment segment (balls and clubs) has done quite well, while challenges remain in wearables (apparel, footwear, and gear). Korea has historically had an outsized apparel market that is correcting. Europe had a strong year last year with mild weather, but rounds are down this year, though the business remains healthy with growth across segments. Q: How have material costs trended relative to your prior expectations? A: Sean Sullivan (CFO) stated that synthetic rubber remains slightly volatile in light of oil markets, while tungsten costs have moderated slightly relative to 90 days ago. Distribution and freight costs remain slightly elevated. Overall, the situation is marginally better than 90 days ago, but there is still a lot of uncertainty in the macro environment. Q: Can you provide an update on CapEx and plant utilization, given that ball plants are running at very high capacity levels? A: David Marr (President and CEO) confirmed that plants are running at near full capacity. The company has been adding capacity over the last 4-5 years, notably in cast urethane and converting lines. Over the next year or two, continued expansion is planned within cast urethane in both Massachusetts and Thailand ball plants. Capacity is not a constraint today, but adding new lines takes 12-18 months from a machinery standpoint. Q: Can you speak to the larger picture health of the golf industry versus company-specific execution, and any changes to your underlying plan in the back half across segments? A: David Marr (President and CEO) highlighted that rounds of play are up low single-digits, with the US up 4% and every region in the country up year-to-date, which is unusual. Public play is up at a greater rate than private play, indicating broad-based health. The cost of public play is up about 4% to roughly $47 per round, still affordable. For the company, ball sales are up 6% on a year following a Pro V1 launch, which is positive. The team's ability to move the GTS launch from Q3 into Q2 was a significant execution highlight. For the back half, the outlier is clubs due to the timing shift, while balls, FootJoy, and gear should be fairly similar to last year. Q: Outside of launch timing, is there anything else that has changed in your plan for the golf equipment segment in the back half of the year? A: Sean Sullivan (CFO) confirmed that it is largely as describeda shift from Q3 into Q2 for the clubs business. Everything else is as expected. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Titleist Golf Equipment momentum fueled a 14% first-half revenue increase, led by the successful pull-forward of the GTS metals launch from Q3 into the seasonal peak of Q2. Golf club growth of 43% in the quarter was supported by accelerated product development and production timelines to capture peak seasonal demand. Titleist golf ball revenues rose 6% in the first half, maintaining growth despite a challenging comparison against the prior year's launch volumes. FootJoy fundamentals are strengthening through a deliberate shift toward premium performance franchises like Premier and HyperFlex, improving product mix and margins. Market participation remains healthy with first-half rounds of play projected to be up low single digits globally, despite modest weather-related declines in Europe. Geographic performance was highlighted by 31% growth in Japan and 15% in the U.S., though softness persists in the wearables markets of Japan and Korea. Full-year guidance was raised to reflect strong first-half execution and a $30 million net benefit from IEEPA tariff refunds. Second-half net sales are expected to decline low single digits due to the timing shift of the GTS metals launch into the first half, creating a difficult year-over-year comparison. Management is preparing for a 2027 Pro V1 launch, with inventory building anticipated to follow historical every-other-year patterns. Strategic capital investments are focused on expanding cast urethane golf ball manufacturing capacity in Massachusetts and Thailand to meet sustained demand. The company expects full-year free cash flow to improve meaningfully, converting at approximately 40% to 50% of adjusted EBITDA. Adjusted EBITDA results include a $38 million benefit from IEEPA tariff refunds in Q2, which will be partially offset by incentive compensation expenses in the second half. Full-year tariff expense is now projected at $54 million, lower than the original $70 million estimate, though this benefit is largely offset by rising synthetic rubber and tungsten costs. Ongoing implementation of a new cloud-based ERP system is expected to drive SG&A growth in line with sales projections for the year. Capacity constraints are being addressed through a 12-to-18-month machinery lead time cycle to shift production toward high-demand cast urethane lines. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management clarified that the Q2 outperformance was largely a timing shift of club volume that typically occurs in Q3 and Q4. The fourth quarter is expected to face the most pronounced year-over-year comparison challenge due to this acceleration. FootJoy's operating margin improved by 170 basis points in the first half when normalizing for tariff refunds. The improvement is driven by a 'quality over quantity' approach, focusing on premium performance franchises and reducing reliance on closeout sales. Plants are currently running at near full capacity, prompting a multi-year expansion plan for cast urethane production. Management noted that while capacity is not currently a constraint, they are 'in flight' on a second wave of expansion to support future Pro V1 demand.