Topgolf Callaway Brands Files Q2 2024 10-Q

TL;DR

TCG Q2 10-Q filed. Financials look solid, check for details.

AI Summary

Topgolf Callaway Brands Corp. filed its 10-Q for the period ending June 30, 2024. The filing details the company's financial performance and position, including its assets, liabilities, and equity. Specific financial figures and operational details are presented within the report, which is crucial for investors and stakeholders to assess the company's health and future prospects.

Why It Matters

This filing provides investors with a detailed look at Topgolf Callaway Brands' financial health and operational performance for the second quarter of 2024, enabling informed investment decisions.

Risk Assessment

Risk Level: medium — 10-Q filings inherently carry medium risk due to the detailed financial information that can reveal performance trends and potential challenges.

Key Numbers

• 20240630 — Reporting Period End Date (Indicates the end of the fiscal quarter covered by the report.)
• 20240807 — Filing Date (The date the 10-Q was officially submitted to the SEC.)

Key Players & Entities

• Topgolf Callaway Brands Corp. (company) — Filer of the 10-Q
• 20240630 (date) — End of the reporting period
• 0000837465 (company) — Central Index Key for Topgolf Callaway Brands Corp.
• 20240807 (date) — Filing date of the 10-Q

FAQ

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-20240630.htm (10-Q) — 2178KB
• secondamendmenttofifthamen.htm (EX-10.1) — 2105KB
• a3modg-exx311q22024.htm (EX-31.1) — 10KB
• a4modg-exx312q22024.htm (EX-31.2) — 10KB
• a5modg-exx321q22024.htm (EX-32.1) — 6KB
• image_3a.jpg (GRAPHIC) — 6KB
• image_5a.jpg (GRAPHIC) — 8KB
• image_6a.jpg (GRAPHIC) — 15KB
• image_7a.jpg (GRAPHIC) — 1KB
• modg-20240630_g1.jpg (GRAPHIC) — 11KB
• 0000837465-24-000069.txt ( ) — 15607KB
• modg-20240630.xsd (EX-101.SCH) — 76KB
• modg-20240630_cal.xml (EX-101.CAL) — 153KB
• modg-20240630_def.xml (EX-101.DEF) — 437KB
• modg-20240630_lab.xml (EX-101.LAB) — 913KB
• modg-20240630_pre.xml (EX-101.PRE) — 717KB
• modg-20240630_htm.xml (XML) — 2640KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) 6 Condensed Consolidated Balance Sheets as of June 30, 2024 and December 31, 2023 6 Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2024 and 2023 7 Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2024 and 2023 8 Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 9 Condensed Consolidated Statements of Shareholders' Equity for the three and six months ended June 30, 2024 and 2023 10 Notes to Condensed Consolidated Financial Statements 11

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 32

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 45

Controls and Procedures

Item 4. Controls and Procedures 46

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 47

Risk Factors

Item 1A. Risk Factors 47

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 47

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 47

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 47

Other Information

Item 5. Other Information 48

Exhibits

Item 6. Exhibits 49 5

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) June 30, 2024 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 311.8 $ 393.5 Restricted cash 0.7 0.8 Accounts receivable, less allowances of $ 11.3 million and $ 11.6 million, respectively 390.4 200.5 Inventories 647.1 794.4 Prepaid expenses 64.7 55.8 Other current assets 198.4 183.1 Total current assets 1,613.1 1,628.1 Property, plant and equipment, net 2,185.0 2,156.5 Operating lease right-of-use assets, net 1,380.1 1,410.1 Trade names and trademarks 1,418.8 1,421.8 Other intangible assets, net 78.7 83.7 Goodwill 1,992.6 1,988.7 Other assets, net 432.1 431.7 Total assets $ 9,100.4 $ 9,120.6 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable and accrued expenses $ 437.8 $ 480.5 Accrued employee compensation and benefits 114.7 113.1 Asset-based credit facilities 45.1 54.7 Operating lease liabilities, short-term 87.3 86.4 Construction advances 15.6 59.3 Deferred revenue 97.4 110.9 Other current liabilities 39.3 42.7 Total current liabilities 837.2 947.6 Long-term debt, net 1,464.5 1,518.2 Operating lease liabilities, long-term 1,414.4 1,433.4 Deemed landlord financing obligations 1,095.7 980.0 Deferred taxes, net 31.3 36.7 Other long-term liabilities 323.8 326.5 Commitments and contingencies (Note 12) Shareholders' equity: Preferred stock, $ 0.01 par value, 3.0 million shares authorized, none issued and outstanding at June 30, 2024 and December 31, 2023 — — Common stock, $ 0.01 par value, 360.0 million shares authorized, and 187.0 million shares issued at both June 30, 2024 and December 31, 2023 1.9 1.9 Additional paid-in capital 3,017.2 3,032.7 Retained earnings 1,016.1 947.5 Accumulated other comprehensive loss ( 49.6 ) ( 47.5 ) Less: Common stock held in treasury, at cost, 3.2 million shares and 3.3 million shares at J

View Full Filing

View this 10-Q filing on SEC EDGAR