Topgolf Callaway Q3 revenue beats expectations on robust gold equipment demand

Callaway Golf

06/11/2025 21:42

Overview

Topgolf Callaway Q3 revenue grows 3% yr/yr, beating analyst expectations

Adjusted EBITDA for Q3 beats consensus, driven by Golf Equipment and Topgolf segments

Company raises full year 2025 revenue and adjusted EBITDA guidance

Outlook

Company raises full-year 2025 revenue guidance to $3.90 bln-$3.94 bln

Topgolf revenue guidance increased to $1.77 bln-$1.79 bln

Full-year Adjusted EBITDA guidance increased to $490 mln-$510 mln

Result Drivers

GOLF EQUIPMENT DEMAND - Strong demand for golf equipment drove revenue growth in the Golf Equipment segment

TOPGOLF VENUE EXPANSION - Addition of six new Topgolf venues and improved traffic trends led to revenue growth

TARIFF IMPACT - Incremental tariffs affected non-GAAP income from operations and Adjusted EBITDA

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$934 mln
$905 mln (10 Analysts)
Q3 Net Income
-$14.70 mln
Q3 Adjusted EBITDA
Beat
$114.40 mln
$88.30 mln (9 Analysts)
Q3 Operating Income
$28.30 mln
Q3 Pretax Profit
-$22.30 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the recreational products peer group is "buy."

Wall Street's median 12-month price target for Topgolf Callaway Brands Corp is $10.50, about 11.8% above its November 5 closing price of $9.26

Press Release: ID:nPn21jt0pa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)