Acushnet Holdings Corp. · NYSE:GOLF
Acushnet — Q1 2024 Earnings Presentation
14 slides from Acushnet's earnings presentation, May 7, 2024
Slide 1: First Quarter 2024 Earnings Call
First Quarter 2024 Earnings Call May 7, 2024
Slide 2: Disclaimers: Forward-Looking Statements
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: Q1 2024 Performance
Q1 2024 Performance David Maher President and Chief Executive Officer
Slide 4: Q1 Overview
Q1 OVERVIEW Growth Growth ($ in millions) Q1 2024 Y/Y Y/Y @ CC Net sales $707.6 3.1% 4.0% Adjusted EBITDA(1) $153.7 4.7% Leona Maguire Will Zalatoris Wyndham Clark (1) See Appendix for Adjusted EBITDA reconciliation 4
Slide 5: Q1 Net Sales by Segment
Q1 NET SALES BY SEGMENT Growth Growth ($ in millions) Q1 2024 Y/Y Y/Y @ CC Titleist Golf Balls $208.0 8.3% 9.4% Titleist Golf Clubs $203.9 12.8% 14.0% Titleist Golf Gear $68.2 1.8% 2.4% FootJoy Golf Wear $192.4 (6.3)% (5.7)% 5
Slide 6: Q1 Net Sales by Region
Q1 NET SALES BY REGION Growth Growth ($ in millions) Q1 2024 Y/Y Y/Y @ CC United States $418.2 13.1% 13.1% EMEA $101.7 (3.0)% (5.3)% Japan $37.2 (19.8)% (10.3)% Korea $75.3 (15.4)% (12.0)% Rest of World $75.2 (1.3)% 0.5% 6
Slide 7: Outlook
OUTLOOK • Golf industry on firm footing • US rounds of play up 7% in Q1 2024 • Segment highlights • Comprehensive golf ball launches, strong demand for Pro V1 Loyalty program • Successful Vokey SM10 launch • NA distribution center start up exceeded expectations • Titleist, FootJoy & KJUS products we
Slide 8: Q1 2024 Financial Results
Q1 2024 Financial Results Sean Sullivan Chief Financial Officer
Slide 9: Income Statement Highlights
INCOME STATEMENT HIGHLIGHTS ($ in millions) Q1 2024 Q1 2023 Net sales $707.6 $686.3 Gross profit $377.9 $365.7 GM% 53.4% 53.3% SG&A $236.6 $222.5 R&D $16.5 $14.5 Intangible amortization $3.5 $3.7 Income from operations $121.4 $124.9 Interest expense, net $13.1 $9.9 Other expense, net $0.3 $0.7 Incom
Slide 10: Balance Sheet and Capital Allocation
BALANCE SHEET AND CAPITAL ALLOCATION ($ in millions) As of 3/31/2024 As of 12/31/2023 Unrestricted Cash $47 $64 Total Debt Outstanding $864 $701 (1) Net Leverage Ratio 1.9x 1.9x Inventory $537 $616 (1) Ratio of average adjusted net funded debt for the prior four fiscal quarters to Adjusted EBITDA fo
Slide 11: 2024 Financial Outlook
2024 FINANCIAL OUTLOOK ($ 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 - $405 Adjusted EBITDA Up ~5.0% at the mid-point (1) Change as compared to 2023 11
Slide 12: Q&A
Q&A
Slide 13: Appendix
APPENDIX CLUBGLOVE TPr
Slide 14: Adjusted EBITDA
ADJUSTED EBITDA ($ in millions) Q1 2024 Q1 2023 Net income attributable to Acushnet Holdings Corp. $87.8 $93.3 Interest expense, net 13.1 9.9 Income tax expense 23.4 20.7 Depreciation and amortization 13.8 12.6 Share-based compensation 7.4 7.3 Restructuring costs (1) 7.0 - Transformation costs (2)(3