Acushnet Holdings Corp. · NYSE:GOLF
Acushnet — Q4 2023 Earnings Presentation
15 slides from Acushnet's earnings presentation, Feb 29, 2024
Slide 1: Full Year and Fourth Quarter 2023 Earnings Call
Full Year and Fourth Quarter 2023 Earnings Call February 29, 2024
Slide 2: Disclaimers
DISCLAIMERS FORWARD-LOOKING STATEMENTS This presentation includes forward-looking statements that reflect our current views with respect to, among other things, our 2024 outlook, our operations and our financial performance. These forward-looking statements are included throughout this presentation
Slide 3: 2023 Performance
2023 Performance David Maher President and Chief Executive Officer
Slide 4: FY Overview and Net Sales by Segment
FY OVERVIEW AND NET SALES BY SEGMENT Growth Growth ($ in millions) FY 2023 Y/Y Y/Y @ CC Net sales $2,382.0 4.9% 6.2% Adjusted EBITDA(1) $376.1 11.1% Segment net sales Titleist Golf Balls $761.7 12.2% 13.5% Titleist Golf Clubs $658.6 8.0% 9.5% Titleist Golf Gear $216.2 5.5% 7.0% FootJoy Golf Wear $59
Slide 5: FY Net Sales by Region
FY NET SALES BY REGION Growth Growth ($ in millions) FY 2023 Y/Y Y/Y @ CC United States $1,350.0 10.0% 10.0% EMEA $314.7 (2.1)% (1.4)% Japan $149.4 (7.2)% 0.1% Korea $301.8 (3.5)% (1.7)% Rest of World $266.1 7.6% 11.7% 5
Slide 6: Outlook
OUTLOOK • Strong participation and enthusiasm for game • US rounds of play up 4% in 2023 • Segment highlights • New AVX, Tour Soft and TruFeel golf ball models • New Vokey SM10 wedges and Cameron Phantom putters • Club Glove integration • New PRO/SLX and Quantum footwear models • Initiatives • Golf
Slide 7: Q4 and Full Year 2023 Financial Results
Q4 and Full Year 2023 Financial Results Sean Sullivan Chief Financial Officer
Slide 8: Income Statement Highlights
INCOME STATEMENT HIGHLIGHTS ($ in millions) Q4 2023 Q4 2022 FY 2023 FY 2022 Net sales $413.0 $447.4 $2,382.0 $2,270.3 Gross profit $209.8 $223.6 $1,252.5 $1,179.2 GM% 50.8% 50.0% 52.6% 51.9% SG&A $213.4 $196.1 $888.1 $833.4 R&D $17.6 $13.9 $64.8 $56.4 Intangible amortization $3.5 $2.0 $14.2 $7.9 (Lo
Slide 9: Balance Sheet and Capital Allocation
BALANCE SHEET AND CAPITAL ALLOCATION ($ in millions) As of 12/31/2023 As of 12/31/2022 Unrestricted Cash $64 $57 Total Debt Outstanding $701 $568 Net Leverage Ratio 1.9x 1.4x Inventory $616 $675 ($ in millions) 12 months ended 12/31/2023 12 months ended 12/31/2022 Cash Flows from Operations $372 $(6
Slide 10: 2024 Financial Outlook
2024 FINANCIAL OUTLOOK ($ in millions) 2024 Outlook (1) $2,450 - $2,500 Net Sales Up ~3.9% at the mid-point Increase by ~3.2% to 5.3% Net Sales @ CC Up ~4.3% at the mid-point $385 - $405 Adjusted EBITDA Up ~5.0% at the mid-point (1) Change as compared to 2023. 10
Slide 11: Q&A
Q&A
Slide 12: Appendix
APPENDIX CLUBGLOVE TPr
Slide 13: Adjusted EBITDA
ADJUSTED EBITDA ($ in millions) Q4 2023 Q4 2022 FY 2023 FY 2022 Net (loss) income attributable to Acushnet Holdings Corp. $(26.8) $(0.1) $198.4 $199.3 Interest expense, net 11.1 5.4 41.3 13.3 Income tax (benefit) expense (9.7) 1.6 43.0 54.4 Depreciation and amortization 13.2 10.8 51.4 41.7 Share-bas
Slide 14: Q4 and FY Net Sales by Segment
Q4 AND FY NET SALES BY SEGMENT Growth Growth Growth Growth ($ in millions) Q4 2023 FY 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC Titleist Golf Balls $139.6 5.4% 4.9% $761.7 12.2% 13.5% Titleist Golf Clubs $108.8 (16.8)% (17.1)% $658.6 8.0% 9.5% Titleist Golf Gear $31.6 (2.5)% (3.7)% $216.2 5.5% 7.0% FootJoy Gol
Slide 15: Q4 and FY Net Sales by Region
Q4 AND FY NET SALES BY REGION Growth Growth Growth Growth ($ in millions) Q4 2023 FY 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC United States $226.2 (10.8)% (10.8)% $1,350.0 10.0% 10.0% EMEA $48.2 3.2% (2.6)% $314.7 (2.1)% (1.4)% Japan $31.2 (26.4)% (23.8)% $149.4 (7.2)% 0.1% Korea $60.5 3.2% (0.9)% $301.8 (3.5