Callaway Golf Company returned to the black for the first time since 2008 when it today reported 2014 earnings of $16 million on sales of $887 million versus $843 million in 2013.
Most of the equipment company’s earnings success came in the first quarter of 2014 when it reported earnings of $55 million (on $352 million in sales) thanks to a plethora of Q1 product introductions.
Conversely, Callaway reported a loss of $42 million in Q4 of 2014 on sales of $135 million vs. $127 million and a loss of $49 million in Q4 of 2013.
In its core metal woods business, Callaway reported 2014 sales of $269.5 million – an eight percent increase over metal woods sales in 2013.
“We are pleased with our results for 2014,” Callaway President Chip Brewer said. “Our return to profitability has clearly benefitted from the many actions we have taken during the last few years to improve our operating efficiencies, as evidenced in part by our 300+ basis point improvement in gross margins in 2014. Also, our continued emphasis on cost management has allowed us to increase our investments in tour and marketing and still hold our operating expenses essentially flat with 2013. All in all, we are pleased with how our turnaround has progressed thus far.”