Acushnet Holdings Corp. reported a solid start to 2026, with net sales of $753 million, reflecting a 5% increase in constant currency, driven by strong performance in its Titleist Golf Equipment and Golf Gear segments. Adjusted EBITDA rose to $145 million, up $6 million year-over-year, despite facing a $17 million headwind from tariffs. The company successfully launched new golf balls and clubs, contributing to a 7% sales increase in the Titleist segment and an 8% rise in Golf Gear sales.
The results are significant for the financial markets as they underscore Acushnet’s ability to navigate tariff challenges while maintaining robust product demand. The anticipated launch of the Titleist GTS metals in June is expected to further boost sales, shifting some revenue from the traditionally weaker Q3 to Q2. However, the gross margin fell to 47.2%, impacted by tariffs, raising concerns about profitability amid rising costs.
A key takeaway for investors is Acushnet’s commitment to maintaining a net leverage ratio below 2.25x while managing inventory effectively ahead of the GTS launch, positioning the company for potential growth in the second half of the year.
Source: fool.com