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Jun 30, 2024

Topgolf Callaway Q2 2024 Earnings Report

Topgolf Callaway Brands' second quarter performance was mixed, with revenue decline offset by strategic progress.

Key Takeaways

Topgolf Callaway Brands reported a decrease in consolidated revenues by 1.9% year-over-year, but Q2 Net Income of $62 million, Non-GAAP Net Income of $83 million, and Adjusted EBITDA of $206 million exceeded expectations. The company is conducting a strategic review of Topgolf, exploring options to enhance shareholder value, including organic growth strategies and a potential spin-off.

Net income, non-GAAP net income, and adjusted EBITDA surpassed expectations.

Consolidated revenues decreased by 1.9% year-over-year.

Full-year revenue and adjusted EBITDA outlook lowered.

Strategic review of Topgolf is underway, considering organic and inorganic alternatives.

Total Revenue
$1.16B
Previous year: $1.18B
-1.9%
EPS
$0.42
Previous year: $0.39
+7.7%
Gross Profit
$731M
Previous year: $740M
-1.2%
Cash and Equivalents
$312M
Previous year: $192M
+62.6%
Free Cash Flow
$141M
Previous year: -$10.9M
-1391.7%
Total Assets
$9.1B
Previous year: $8.96B
+1.5%

Topgolf Callaway

Topgolf Callaway

Topgolf Callaway Revenue by Geographic Location

Forward Guidance

Topgolf Callaway Brands provided its outlook for the full year 2024, anticipating net revenues between $4,200 million and $4,260 million, and adjusted EBITDA between $570 million and $590 million. They also provided guidance for Q3 2024, expecting net revenues of $970 - $990 million and adjusted EBITDA of $95 - $105 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income