Callaway Golf Posts $49M Loss For 2013 Fourth Quarter
Carlsbad-based Callaway Golf Co. on Wednesday reported a loss of $49 million, or 65 cents per diluted share, in the fourth quarter of 2013, and a $19 million loss for last year as a whole, or 31 cents per diluted share.
The fourth quarter figures compare to a $71 million loss in that time period in 2012, which amounted to $1.01 per diluted share. For all of 2012, the maker of golf equipment lost $123 million, or $1.96 per diluted share.
"We are pleased with our financial results during the first full year of our new operating model," said Chip Brewer, the company's president and CEO.
"Despite challenging market conditions throughout much of the year, we were able to grow sales of our current business, on a constant currency basis, by 14 percent."
The company has refocused on golf equipment and performance-enhancing products, changed its approach to sales and marketing, and increased its presence on the PGA tour, Brewer said.
Sales increased by $7 million in the 2013 fourth quarter compared to the same period the year before, according to the company's financial report. For 2013 as a whole, sales were up by $9 million over 2012, to $843 million -- led by a 28 percent increase in sales of its drivers and fairway woods.
Callaway's guidance for 2014 projects sales of $880 to $900 million, based on current foreign exchange rates.
Even with higher expenses for marketing efforts and its increased tour presence, the firm is projecting earnings of 12 cents to 16 cents per diluted share this year.