A record number of new golfers will tee off in 2020, and Callaway, a manufacturer of golf balls, clubs, bags and apparel, is thriving.
Callaway announced in May that its first-quarter net sales were $ 652 million, an increase of 47% over the previous year.
“Callaway’s Precovid was already the number one stick brand, calling it putters, drivers and irons,” said Jeffreys analyst Randy Conick. “They outperformed the industry and were second only to Titleist.”
Callaway has also left the fairway. In March, the company completed a merger with Topgolf, a golf entertainment business that combines a virtual driving range with food and cocktails.
Callaway CEO Chip Brewer said: “This is an innovative merger. A golf equipment leader merges with a golf entertainment leader to create an entity that doesn’t really duplicate what currently exists.
Last year, about 37 million players teeed off at golf courses and participated in off-course activities such as driving ranges. Almost one-third of the US population watched, read, and played golf in 2020.
But with the rebounds of cinemas, travel and concerts expected, can golf club makers like Callaway and its rivals Acushnet maintain their momentum?
Why golf club maker Callaway leaves the fairway
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