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Callaway Golf (CALY)
NYSE:CALY
Earnings Data
Report Date
May 12, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.26Last Year’s EPS
0.11Same Quarter Last Year
Moderate Buy
Based on 7 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlights a strong strategic reset: transformative disposals, substantial debt paydown, a net cash position, continued product leadership, healthy golf participation trends, and measured 2026 guidance centered on margin and cash flow. However, meaningful near-term headwinds exist—primarily tariffs (~$75M cumulative vs 2024), planned revenue reductions from mix/launch cadence changes, and short-term EBITDA pressure. Management emphasizes long-term margin improvement and return of capital while acknowledging near-term tradeoffs.Company Guidance
Strategic Disposals and Debt Reduction
Sold Jack Wolfskin for $290 million and 60% of Topgolf in a transaction valuing Topgolf at approximately $1.1 billion, generating ~ $800 million in cash proceeds; immediately repaid $1.0 billion of Term Loan B debt, resulting in approximately $480 million outstanding debt and ~$680 million in unrestricted cash, putting the company in a net cash positive position.
Return to Pure-Play Golf with Capital Priorities
Re-established Callaway as a pure-play golf company, retaining a 40% minority stake in Topgolf with no future cash obligations; announced a $200 million stock repurchase program and set capital allocation priorities to reinvest in the business, maintain a healthy balance sheet and return capital to shareholders.
Strong Market Fundamentals and Participation Growth
Golf demand remains healthy: U.S. rounds played up 1.2% in 2025; off-course participation up 63% since 2019 (to ~38 million), on-course participation up 20% since 2019 (to ~29.1 million); female on-course participation up 46%, youth (6-17) up 58%, participation by people of color up 61% since 2019.
Product Leadership and Tour Performance
Callaway and Odyssey brands maintained top-2 U.S. market share positions in clubs and balls; recorded strong tour performance with 61 driver, 92 putter and 35 ball wins globally in the past year; launched 2026 Quantum family of woods/irons, Odyssey AI dual putters (Tri-Force Face driver) and Chrome Tour ball iteration with positive early feedback.
Improvement in Equipment Gross Margins Net of Tariffs
Golf Equipment gross margin increased 10 basis points in 2025; excluding tariffs, equipment gross margin would have improved by approximately 189 basis points, demonstrating effective margin initiatives.
Guidance Reflects Profitability and Cash Flow Focus
2026 guidance: revenue $1.98B–$2.05B (slight decrease at midpoint vs prior year), adjusted EBITDA $170M–$195M, expected free cash flow of ~$100M, CapEx $35M–$40M; Q1 2026 revenue guidance $635M–$665M (~+3% year-over-year at midpoint) and Q1 adjusted EBITDA $110M–$125M.
Strong FY Finish and Better-than-Expected Results
Fourth quarter and full year 2025 results exceeded expectations on revenue and adjusted EBITDA; full-year adjusted EBITDA was $222 million (a $39 million decrease year-over-year but better than expectations) and Q1 revenue outlook implies early-year strength.
CALY Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
CALY Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 12, 2026 | $14.82 | $12.59 | -15.05% |
Nov 06, 2025 | $9.27 | $10.60 | +14.35% |
Aug 06, 2025 | $8.79 | $9.56 | +8.76% |
May 12, 2025 | $7.90 | $6.55 | -17.09% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Callaway Golf (CALY) report earnings?
Callaway Golf (CALY) is schdueled to report earning on May 12, 2026, After Close (Confirmed).
What is Callaway Golf (CALY) earnings time?
Callaway Golf (CALY) earnings time is at May 12, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is CALY EPS forecast?
CALY EPS forecast for the fiscal quarter 2026 (Q1) is 0.26.