Throughout this discussion, we will make reference to non-GAAP financial measures, including items such as net sales on a constant currency basis and adjusted EBITDA. As a result of this commitment, our return rate is one golf ball out of every 16 million Pro V1s produced. First, for the quarter, Acushnet delivered worldwide net sales of $658 million, a 5% constant currency increase over last year, with gains across all segments. Year-to-date, sales of $2.08 billion were up 4%, and adjusted EBITDA of $401 million was up 2% compared to last year.
Getting to our segment results, you see the continued global momentum within Titleist Golf Equipment, which has grown 5% in both the quarter and year-to-date. Key drivers have been the year-to-date growth of our Pro V1 franchise in all regions and the very successful launch of new Titleist T-Series irons and limited edition Vokey SM10 wedges in Q3. Within gear, the company's travel brands have increased 20% year-to-date, with especially strong growth from our Links & Kings and Club Glove brands. FootJoy is benefiting from the success of our Premiere and HyperFlex footwear models, fewer footwear closeouts, and steady glove growth.
Finally, net sales of products not allocated to a reportable segment were up nicely in the quarter, with continued momentum and double-digit growth from shoes led by outsized gains across their golf business. market continues to be strong, up 6% with growth across all segments led by Titleist Golf Equipment. Third quarter net sales were up 5%, while adjusted EBITDA was $119 million, up $11 million from last year's third quarter. For the first 9 months of 2025, net sales increased 4% and adjusted EBITDA increased 2% as compared to the same period last year.
| Metric | Period | Current guidance |
|---|---|---|
| Full-year 2025 revenue (reported) | FY2025 | $2.52 billion-$2.54 billion, representing 2.6%-3.4% growth (reported and constant currency now aligned), ~3% at midpoint |
| Full-year 2025 adjusted EBITDA | FY2025 | $405 million-$415 million |
| FX impact on full-year revenue | FY2025 | now expected to be negligible, so reported and constant currency growth ranges are aligned |
| Second-half revenue growth outlook | H2 2025 | reaffirmed low single-digit growth across all reportable segments; implied Q4 revenue ~$448 million (high single-digit growth over Q4 2023) |
| Incremental full-year gross tariff costs | FY2025 | $30 million (about $5 million lower on timing shifts), including a $15 million gross tariff headwind in Q4; still expect to offset a meaningful portion |
| 2026 gross tariff cost outlook | FY2026 | just north of $70 million total if nothing changes (~$40+ million incremental to 2025); expect to mitigate a meaningful portion |
| Full-year capital expenditures | FY2025 | approximately $75 million ($51 million spent through 9 months) |
| Q4 restructuring charge (voluntary retirement program) | Q4 2025 | approximately $5 million further charge expected |
| Metric | YoY | Note |
|---|---|---|
| Consolidated net sales | +5% constant currency ($658 million) | gains across all segments led by Titleist Golf Equipment and strong rounds of play |
| Titleist Golf Equipment net sales | +5% (quarter and YTD) | Pro V1 franchise growth in all regions plus successful T-Series irons and Vokey SM10 wedge launches |
| Golf gear net sales | +13% (quarter), +8% YTD | steady flow of compelling products, expanding custom capabilities, and travel brands (Links & Kings, Club Glove) up 20% YTD |
| FootJoy net sales | +3% | success of Premiere and HyperFlex footwear, fewer closeouts, steady glove growth, and resilient apparel |
| Products not allocated to a reportable segment | up nicely, double-digit growth from shoes | outsized gains across the golf shoe business |
| U.S. net sales | +6% | growth across all segments led by Titleist Golf Equipment |
| EMEA net sales | +14% (quarter), +8% YTD | rounds of play up high single digits on favorable weather comps and strong fitting activation |
| Japan net sales | -13% (quarter), -7% YTD | footwear/apparel softness and FootJoy repositioning; equipment healthy |
| Korea net sales | +3% | strength in Titleist Golf Equipment led by golf balls, partly offset by premium apparel correction |
| Rest of World net sales | +5% (quarter), +3% YTD | not specified beyond regional performance |
| Gross profit | +$15 million ($319 million) | higher average selling prices, higher sales volumes, and favorable FootJoy mix shift across all three segments |
| Gross margin | 48.5%, down 50 bps | headwind from higher tariff costs (~$10 million incremental in the quarter) |
| Adjusted EBITDA | +10% (up $11 million to $119 million) | sales growth and gross profit gains across segments |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| Structural health of golf and rounds of play | weather-induced slow start to the year in the U.S. | rounds accelerated in Q3, worldwide 2025 rounds expected to match or exceed the 2024 record; engaged, healthy consumer with U.S. and EMEA momentum offsetting Japan/Korea softness | — |
| Two-year product cadence in equipment | — | equipment performance (balls and clubs) should be judged on a two-year lifecycle; 2025 comps against 2024 metals launch, so Q4 is best compared to Q4 2023, not deceleration | — |
| Tariff mitigation strategy | ~$35 million estimated full-year gross tariff cost | trimmed to $30 million for 2025 ($15 million in Q4); 2026 gross tariffs seen north of $70 million, with meaningful mitigation via vendor sharing and supply-chain changes | — |
| Fitting network and product-development investments | investments made in 2024-2025 to strengthen golf equipment development and manufacturing | these investments are driving current growth and blended-set sales; expanded fitting across balls, clubs, and now footwear (FitLab), especially in EMEA | — |
| Capital allocation and shareholder returns | — | returned ~$230 million YTD ($188 million buybacks, $42 million dividends), declared $0.235/share quarterly dividend; net leverage of 2x supports disciplined strategy | — |