Acushnet Holdings Corp. · NYSE:GOLF
Acushnet — Q3 2023 Earnings Presentation
14 slides from Acushnet's earnings presentation, Nov 2, 2023
Slide 1: Third Quarter 2023 Earnings Call
Third Quarter 2023 Earnings Call November 2, 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: Q3 and YTD 2023 Performance
Q3 and YTD 2023 Performance David Maher President and Chief Executive Officer
Slide 4: Q3 and YTD Overview
Q3 AND YTD OVERVIEW Growth Growth Growth Growth ($ in millions) Q3 2023 YTD 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC Net sales $593.4 6.3% 6.0% $1,969.0 8.0% 9.9% Adjusted EBITDA(1) $98.8 14.2% $377.6 20.6% Brian Harman Emily Pedersen Open Champion Matt Fitzpatrick (1) See Appendix for Adjusted EBITDA reconci
Slide 5: Q3 and YTD Net Sales by Segment
Q3 AND YTD NET SALES BY SEGMENT Growth Growth Growth Growth ($ in millions) Q3 2023 YTD 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC Titleist Golf Balls $192.6 6.3% 6.2% $622.1 13.9% 15.5% Titleist Golf Clubs $181.0 17.6% 17.9% $549.8 14.8% 16.8% Titleist Golf Gear $47.7 (19.4)% (19.9)% $184.6 7.0% 9.0% FootJoy G
Slide 6: Q3 and YTD Net Sales by Region
Q3 AND YTD NET SALES BY REGION Growth Growth Growth Growth ($ in millions) Q3 2023 YTD 2023 Y/Y Y/Y @ CC Y/Y Y/Y @ CC United States $352.5 7.6% 7.6% $1,123.8 15.4% 15.4% EMEA $75.6 7.1% 1.6% $266.5 (3.0)% (1.2)% Japan $39.0 13.4% 19.2% $118.2 (0.3)% 8.7% Korea $65.7 (6.0)% (7.9)% $241.3 (5.0)% (1.8)
Slide 7: Outlook
OUTLOOK • Commitment to product and service excellence • Continued momentum of Titleist, FootJoy and KJUS brands • Key investments across segments • Vibrant golf participation • Successful T-Series irons launch • Well positioned heading into 2024 7
Slide 8: Q3 and YTD 2023 Financial Results
Q3 and YTD 2023 Financial Results Sean Sullivan Chief Financial Officer
Slide 9: Income Statement Highlights
INCOME STATEMENT HIGHLIGHTS ($ in millions) Q3 2023 Q3 2022 YTD 2023 YTD 2022 Net sales $593.4 $558.2 $1,969.0 $1,822.9 Gross profit $308.5 $295.0 $1,042.7 $955.6 GM% 52.0% 52.8% 53.0% 52.4% SG&A $210.2 $202.4 $674.7 $637.3 R&D $16.2 $14.6 $47.3 $42.5 Intangible amortization $3.5 $1.9 $10.7 $5.9 Inc
Slide 10: Balance Sheet and Capital Allocation
BALANCE SHEET AND CAPITAL ALLOCATION ($ in millions) As of 9/30/2023 As of 12/31/2022 Unrestricted Cash $55 $57 Total Debt Outstanding $593 $568 Net Leverage Ratio 1.6x 1.4x Inventory $529 $675 ($ in millions) 9 months ended 9/30/2023 9 months ended 9/30/2022 Cash Flows from Operations $297 $(59) Ca
Slide 11: 2023 Financial Outlook
2023 FINANCIAL OUTLOOK ($ in millions) 2023 Outlook (1) $2,350 - $2,400 Net Sales Up ~4.6% at the mid-point Increase by ~5.0% to 7.2% Net Sales @ CC Up ~6.1% at the mid-point $365 - $375 Adjusted EBITDA Up ~9.3% at the mid-point (1) Change as compared to 2022. 11
Slide 12: Q&A
Q&A
Slide 13: Appendix
APPENDIX
Slide 14: Adjusted EBITDA
ADJUSTED EBITDA ($ in millions) Q3 2023 Q3 2022 YTD 2023 YTD 2022 Net income attributable to Acushnet Holdings Corp. $57.3 $51.8 $225.2 $199.3 Interest expense, net 9.4 4.5 30.2 7.9 Income tax expense 11.3 15.8 52.7 52.8 Depreciation and amortization 12.8 10.2 38.2 30.9 Share-based compensation 5.3