Acushnet Holdings Corp. · NYSE:GOLF
Acushnet — Q2 2023 Earnings Presentation
14 slides from Acushnet's earnings presentation, Aug 3, 2023
Slide 1: Second Quarter 2023 Earnings Call
Second Quarter 2023 Earnings Call August 3, 2023
Slide 2: Disclaimers
DISCLAIMERS FORWARD-LOOKING STATEMENTS The forward-looking statements contained in this presentation are based on management’s current expectations and are subject to uncertainty and changes in circumstances. We cannot assure you that future developments affecting us will be those that we have antic
Slide 3: Q2 and First Half 2023 Performance
Q2 and First Half 2023 Performance David Maher President and Chief Executive Officer
Slide 4: Q2 and H1 Overview
Q2 AND H1 OVERVIEW Growth Growth Growth Growth ($ in millions) Q2 2023 H1 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC Net sales $689.4 4.7% 6.4% $1,375.7 8.8% 11.6% Adjusted EBITDA(1) $132.1 24.0% $278.8 23.1% U.S. Open Champion: Wyndham Clark Leona Maguire Davis Riley (1) See Appendix for Adjusted EBITDA reconc
Slide 5: Q2 and H1 Net Sales by Segment
Q2 AND H1 NET SALES BY SEGMENT Growth Growth Growth Growth ($ in millions) Q2 2023 H1 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC Titleist Golf Balls $237.6 18.0% 19.8% $429.6 17.7% 20.2% Titleist Golf Clubs $188.0 14.5% 16.3% $368.8 13.5% 16.3% Titleist Golf Gear $69.9 1.2% 2.9% $136.9 20.8% 24.1% FootJoy Golf
Slide 6: Q2 and H1 Net Sales by Region
Q2 AND H1 NET SALES BY REGION Growth Growth Growth Growth ($ in millions) Q2 2023 H1 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC United States $401.4 14.2% 14.2% $771.3 19.3% 19.3% EMEA $86.1 (6.3)% (5.1)% $190.9 (6.5)% (2.2)% Japan $32.8 (14.6)% (9.4)% $79.1 (6.1)% 4.4% Korea $86.6 (12.1)% (7.8)% $175.6 (4.7)%
Slide 7: Outlook
OUTLOOK • Continued brand momentum • Resilience of our core consumer, the dedicated golfer • Infrastructure investments in golf balls and golf clubs will position us for sustaining growth • Disciplined approach to capital allocation • Well positioned heading into the back half of the year 7
Slide 8: Q2 and First Half 2023 Financial Results
Q2 and First Half 2023 Financial Results Sean Sullivan Chief Financial Officer
Slide 9: Income Statement Highlights
INCOME STATEMENT HIGHLIGHTS ($ in millions) Q2 2023 Q2 2022 H1 2023 H1 2022 Net sales $689.4 $658.6 $1,375.7 $1,264.7 Gross profit $368.5 $343.6 $734.2 $660.6 GM% 53.5% 52.2% 53.4% 52.2% SG&A $242.0 $239.2 $464.6 $434.9 R&D $16.5 $13.9 $31.0 $27.9 Intangible amortization $3.5 $2.0 $7.2 $3.9 Income f
Slide 10: Balance Sheet and Capital Allocation
BALANCE SHEET AND CAPITAL ALLOCATION ($ in millions) As of 6/30/2023 As of 12/31/2022 Unrestricted Cash $61 $57 Total Debt Outstanding $682 $568 Net Leverage Ratio 1.7x 1.4x Inventory $562 $675 ($ in millions) 6 months ended 6/30/2023 12 months ended 12/31/2022 Cash Flows from Operations $120 $(68)
Slide 11: 2023 Financial Outlook
2023 FINANCIAL OUTLOOK ($ in millions) 2023 Outlook $2,350 - $2,400 Net Sales Up ~4.6% at the mid-point vs. 2022 Increase by ~5.0% to 7.2% Net Sales @ CC when compared to 2022 $355 - $375 Adjusted EBITDA Up ~7.9% at the mid-point vs. 2022 11
Slide 12: Q&A
Q&A
Slide 13: Appendix
APPENDIX
Slide 14: Adjusted EBITDA
ADJUSTED EBITDA ($ in millions) Q2 2023 Q2 2022 H1 2023 H1 2022 Net income attributable to Acushnet Holdings Corp. $74.7 $66.5 $167.9 $147.5 Interest expense, net 10.9 2.1 20.8 3.4 Income tax expense 20.7 16.1 41.5 37.0 Depreciation and amortization 12.7 10.3 25.4 20.7 Share-based compensation 8.8 7