Acushnet Company CEO David Maher recently told Wall Street analysts that the second quarter “will be significantly impacted’’ with this past April being the most challenging for the parent of Titleist and FootJoy. The specific impact won’t be known publicly until the Acushnet Company reports its Q2 earnings in July. But figure that this past April’s sales continued a slowdown started this past March as golf courses and retail stores began to close as a result of the Covid-19 pandemic.
The Acushnet Co., reported Q1 2020 sales at $409 million and earnings of $9 million compared to sales of $434 million and earnings of $36 million in Q1 is 2020.
As always, Maher played any guidance close to the vest, but was upbeat in regards to golf’s post-pandemic recovery – at least in the short term.
“As we now look ahead to the summer months, we expect the golf’s appeal will continue to be robust given its outdoor field to play an embedded ease of social distancing,’’ Maher said. “Along these same lines, we believe the game is well positioned for the post-pandemic world and this bodes well for our business in the long-term.’’
The pace at which consumer spending resumes, Maher said, remains to be seen, as does the degree to which retail activity will be impacted over the course of 2020.
“We are bracing for increased promotional activity in the coming months as stores reopen and the market recovers. And while we look forward to the return of our manufacturing operations, it also remains to be seen to what extent our output levels will be affected by new safety regulations which will be in place for as long as COVID-19 remains a threat. We expect the answers to these questions will become clear in the coming weeks and months.’’