Callaway Golf Company (CALY) SEC Filings & Earnings Calls

Tariff exposure: $10.8M refund received in Q2; remaining Phase 2 refunds expected in H2; Phase 3 potential ~$7M; total refund potential ~$50M.

“GAAP results include $10.8 million of Phase 1 tariff refunds; expects almost $7 million to apply for in Phase 3; total refund potential approximately $50 million.”

Second half headwinds: fewer new product launches vs 2025, shift of irons launch to 2027, rationalization of lower margin business, less dividend income due to debt repayment.

“Second half results impacted by fewer new product launches compared to 2025, shift of a new irons launch into 2027, rationalization of certain lower margin business, less dividend income.”

Apparel segment decline

“Apparel, Gear and Other net sales decreased to $181.9 million from $188.6 million in Q2 2025”

Equity method investment loss

“Income (loss) from equity method investments ( 1.0 ) —” · word for word

No material risks; debt repayment reduces financial risk.

“Debt repayment reduces leverage and interest expense.”

Activist exit signals potential lack of confidence

“As a result of the transaction described in Item 4 of this Amendment No. 4, on May 21, 2026, each of the Reporting Persons ceased to be the beneficial owner of more than five percent (5%) of the outstanding securities of Issuer.” · word for word

Activist exit signals potential lack of confidence

“As a result of the transaction described in Item 4 of this Amendment No. 4, on May 21, 2026, each of the Reporting Persons ceased to be the beneficial owner of more than five percent (5%) of the outstanding securities of Issuer.” · word for word

No material risks; routine governance event.

“Standard annual meeting and director indemnification.”

Tariff and Trade Policy Risk

“Unfavorable changes in trade or other policies by the U.S. government or foreign governments, including restrictions on imports, increases in U.S. import tariffs, retaliatory tariffs... could have negative economic consequences.” · word for word

Consumer Demand Sensitivity

“Decreases in consumer demand and spending and any severe or prolonged economic downturn could adversely affect results.” · word for word

Supply Chain Disruption

“Delays, difficulties or increased costs in the supply of components needed to manufacture our products or in manufacturing our products, including our dependence on a limited number of suppliers.” · word for word

Macroeconomic uncertainty could impact consumer discretionary spending on golf equipment and apparel.

“Management noted increased macroeconomic uncertainty but stated golf industry and consumer remain healthy.”

PRSU forfeiture risk

“Our rTSR for the three-year performance period fell slightly below threshold, resulting in no payout with respect to these PRSU awards” · word for word

Topgolf separation execution risk

“the extended and uncertain timeline and structure of the Topgolf separation” · word for word

No new risks identified; recast data is informational only.

“Supplemental recast data has no impact on previously consolidated financial statements.”

Tariff cost pressure

“The reciprocal tariffs implemented in 2025 increased the costs for our products, product components and raw materials, a significant amount of which we source from outside the United States, including Vietnam, Taiwan, Mexico, Bangladesh and other regions. ... we do expect tariffs to have a negative impact on our business and results of operations in and beyo” · word for word

Golf ball regulatory change

“This revision to golf ball testing is expected to result in reduced distances for all golfers, which may increase the difficulty of the game, and thereby reduce the enjoyment of golf participants. If, as a result, golf becomes less popular, the number of golf participants and the number of rounds of golf being played may decrease, and sales of our products m” · word for word

Topgolf minority stake risk

“Following our sale of a 60% stake in the Topgolf and Toptracer business in January 2026, we no longer control Topgolf’s day‑to‑day operations or strategic decisions and instead rely on specified governance, consent and information rights. As a result, Topgolf may pursue initiatives or capital structures that differ from our objectives, including acquisitions” · word for word

Incremental tariffs had a 340 bps negative impact on gross margin in Q4.

“340-basis point impact from incremental tariffs on gross margin.” · word for word

Loss of control over Topgolf; reliance on minority stake returns.

“Callaway retains minority interest; future performance dependent on Topgolf's standalone success.”

Transaction closing risk: subject to regulatory approvals and customary conditions; may not close on terms or timing described.

“The transaction is subject to certain regulatory approvals and customary closing conditions, including the expiration or termination of applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act.” · word for word

Consumer demand weakness in products segment

“Net revenues: Products $465.3M vs $564.1M in Q3 2024, a decline of 17.5%.”

High leverage and interest expense

“Interest expense, net $59.2M in Q3 2025 vs $57.7M in Q3 2024.”

Execution risk of Topgolf separation

“There can be no assurance regarding the form and timing of the separation or its completion.” · word for word

Incremental tariffs of $12M in Core business impacting operating income.

“The year-over-year decline in non-GAAP income from operations is attributable to the $12 million in incremental tariffs in the Company’s Core business.” · word for word