Callaway Golf Company has issued full-year 2026 guidance for net sales of $2.045 billion to $2.070 billion and adjusted EBITDA of $246 million to $260 million, reflecting updated tariff assumptions. The company now incorporates only the Section 301 forced labor tariffs that began on July 25, resulting in an expected full-year gross tariff expense of approximately $43 million, a $7 million improvement from prior guidance. Second-quarter consolidated net sales reached $612 million with adjusted EBITDA of $125 million, both exceeding the midpoint of guidance by $15 million and $22 million respectively, while gross margin rose 460 basis points to 48.5%. Management highlighted a $200 million share repurchase program, with $84 million in buybacks completed through June and $120 million in remaining authorization, alongside the full repayment of $1.2 billion in term loan debt and $258 million in convertible notes. The company also noted strategic initiatives to extend product life cycles and rationalize lower-margin portions of the business, which are expected to pressure second-half results but enhance long-term profitability.
Callaway Golf CompanyGuidance and Q2 results beat expectations, with buybacks and debt repayment signaling financial strength.
