Topgolf Callaway Brands Corp. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Topgolf Callaway Brands Corp. filed its Q1 2024 10-Q report on May 8, 2024.</b>

AI Summary

Topgolf Callaway Brands Corp. (CALY) filed a Quarterly Report (10-Q) with the SEC on May 8, 2024. The filing is a 10-Q report for Topgolf Callaway Brands Corp. for the period ending March 31, 2024. The company's former names include Callaway Golf Co. and Callaway Golf. The company is incorporated in Delaware and its fiscal year ends on December 31. The business address is 2180 Rutherford Rd, Carlsbad, CA 92008-8815. The filing was submitted on May 8, 2024.

Why It Matters

For investors and stakeholders tracking Topgolf Callaway Brands Corp., this filing contains several important signals. This filing provides investors with the latest financial performance and operational details for Topgolf Callaway Brands Corp. for the first quarter of 2024. Understanding the company's financial health and strategic direction is crucial for investors evaluating their holdings in CALY.

Risk Assessment

Risk Level: low — Topgolf Callaway Brands Corp. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain any immediately alarming information, indicating a low level of immediate risk from this document alone.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the 10-Q to assess the company's performance and outlook.

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed Period of Report)
• 2024-05-08 — Filing Date (Filed as of Date)
• 1231 — Fiscal Year End (Fiscal Year End)

Key Players & Entities

• Topgolf Callaway Brands Corp. (company) — Filer name
• Callaway Golf Co. (company) — Former company name
• Callaway Golf (company) — Former company name
• 2180 Rutherford Rd, Carlsbad, CA 92008-8815 (company) — Business address
• DE (company) — State of incorporation

FAQ

Industry Context

Topgolf Callaway Brands Corp. operates in the sporting goods and golf equipment industry, with a significant presence in golf-related entertainment through its Topgolf segment.

Regulatory Implications

The company is subject to standard SEC reporting requirements for publicly traded companies, including the filing of quarterly (10-Q) and annual (10-K) reports.

What Investors Should Do

1. Analyze the revenue breakdown by segment (Product and Service) for Q1 2024.
2. Examine the balance sheet for changes in assets, liabilities, and equity compared to the previous fiscal year-end.
3. Review the cash flow statement to understand the company's cash generation and usage during the quarter.

Key Dates

• 2024-03-31: Period End Date — End of the reporting quarter for the 10-Q filing.
• 2024-05-08: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This is the first 10-Q filing for the period ending March 31, 2024, following the previous 10-K filing for the fiscal year ending December 31, 2023.

Key Financial Figures

• $0.01 — ange on which Registered Common Stock, $0.01 par value per share MODG The New York S

Filing Documents

• modg-20240331.htm (10-Q) — 1660KB
• a6modg-exx101repricingamen.htm (EX-10.1) — 103KB
• a7modg-exx102firstamendmen.htm (EX-10.2) — 132KB
• a3modg-exx311q12024.htm (EX-31.1) — 10KB
• a4modg-exx312q12024.htm (EX-31.2) — 10KB
• a5modg-exx321q12024.htm (EX-32.1) — 6KB
• modg-20240331_g1.jpg (GRAPHIC) — 11KB
• 0000837465-24-000032.txt (&nbsp;) — 11455KB
• modg-20240331.xsd (EX-101.SCH) — 74KB
• modg-20240331_cal.xml (EX-101.CAL) — 149KB
• modg-20240331_def.xml (EX-101.DEF) — 414KB
• modg-20240331_lab.xml (EX-101.LAB) — 870KB
• modg-20240331_pre.xml (EX-101.PRE) — 681KB
• modg-20240331_htm.xml (XML) — 2095KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) 5 Condensed Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 5 Condensed Consolidated Statements of Operations for the three months ended March 31, 2024 and 2023 6 Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2024 and 2023 7 Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2024 and 2023 8 Condensed Consolidated Statements of Shareholders' Equity for the three months ended March 31, 2024 and 2023 9 Notes to Condensed Consolidated Financial Statements 10

Management ' s Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management ' s Discussion and Analysis of Financial Condition and Results of Operations 31

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 42

Controls and Procedures

Item 4. Controls and Procedures 43

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 44

Risk Factors

Item 1A. Risk Factors 44

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 44

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 44

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 44

Other Information

Item 5. Other Information 45

Exhibits

Item 6. Exhibits 46 4

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) TOPGOLF CALLAWAY BRANDS CORP. CONDENSED CONSOLIDATED BALANCE SHEETS (In millions, except share data) (Unaudited) March 31, 2024 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 233.9 $ 393.5 Restricted cash 0.7 0.8 Accounts receivable, less allowances of $ 11.1 million and $ 11.6 million, respectively 423.9 200.5 Inventories 702.9 794.4 Prepaid expenses 56.8 55.8 Other current assets 175.0 183.1 Total current assets 1,593.2 1,628.1 Property, plant and equipment, net 2,167.6 2,156.5 Operating lease right-of-use assets, net 1,402.8 1,410.1 Other intangible assets, net 80.6 83.7 Trade names and trademarks 1,420.2 1,421.8 Goodwill 1,992.7 1,988.7 Other assets, net 434.9 431.7 Total assets $ 9,092.0 $ 9,120.6 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable and accrued expenses $ 410.5 $ 480.5 Accrued employee compensation and benefits 118.1 113.1 Asset-based credit facilities 52.2 54.7 Operating lease liabilities, short-term 86.7 86.4 Construction advances 61.8 59.3 Deferred revenue 106.7 110.9 Other current liabilities 39.0 42.7 Total current liabilities 875.0 947.6 Long-term debt, net 1,519.2 1,518.2 Operating lease liabilities, long-term 1,430.7 1,433.4 Deemed landlord financing obligations 1,013.7 980.0 Deferred taxes, net 41.9 36.7 Other long-term liabilities 324.5 326.5 Commitments and contingencies (Note 12) Shareholders' equity: Preferred stock, $ 0.01 par value, 3.0 million shares authorized, none issued and outstanding at March 31, 2024 and December 31, 2023 — — Common stock, $ 0.01 par value, 360.0 million shares authorized, and 187.0 million shares issued at both March 31, 2024 and December 31, 2023 1.9 1.9 Additional paid-in capital 3,031.7 3,032.7 Retained earnings 954.0 947.5 Accumulated other comprehensive loss ( 52.1 ) ( 47.5 ) Less: Common stock held in treasury, at cost, 2.9 million shares and 3.3 million shares at

View Full Filing

View this 10-Q filing on SEC EDGAR