Acushnet : 2Q2023 Press Release

Acushnet Holdings Corp. Announces

Second Quarter and Year-to-Date 2023 Financial Results

Second Quarter and Year-to-Date 2023 Financial Results

• Second quarter net sales of $689.4 million, up 4.7% year over year, up 6.4% in constant currency
• Year-to-datenet sales of $1,375.7 million, up 8.8% year over year, up 11.6% in constant currency
• Second quarter net income attributable to Acushnet Holdings Corp. of $74.7 million, up 12.3% year over year
• Year-to-datenet income attributable to Acushnet Holdings Corp. of $167.9 million, up 13.8% year over year
• Second quarter Adjusted EBITDA of $132.1 million, up 24.0% year over year
• Year-to-dateAdjusted EBITDA of $278.8 million, up 23.1% year over year

FAIRHAVEN, MA - August 3, 2023 - Acushnet Holdings Corp. (NYSE: GOLF) ("Acushnet" or, the "Company"), the global leader in the design, development, manufacture and distribution of performance-driven golf products, today reported financial results for the three and six months ended June 30, 2023.

"Acushnet continues to build momentum as our team delivered a 6.4% constant currency sales increase in the quarter, led by double digit gains in Titleist golf balls and golf clubs. We are pleased with golfer response to our latest product launches, especially new Pro V1 golf balls and TSR drivers. Recent Major wins by Titleist and FootJoy brand ambassadors Wyndham Clark and Brian Harman at the U.S. Open and Open Championship help to validate our product performance stories while generating positive energy for our brands," said David Maher, Acushnet's President and Chief Executive Officer. "Underscoring our enthusiasm is strong participation and interest in the sport of golf, particularly in the U.S., where rounds of play were up over 5% year-to-date."

"As we look ahead to the second half of the year, we are excited to launch new T-Series irons later this summer and a wide assortment of new products from FootJoy and KJUS for the Fall and Winter seasons," continued Mr. Maher. "Our outlook reflects confidence in our team's ability to develop and deliver high performance products and services to dedicated golfers around the world and continued investments in Titleist golf balls and golf clubs, while tempered somewhat by elevated marketplace inventories in the footwear category. Our talented team of Acushnet associates remains focused on executing our long-term strategies and striving to deliver long-term value for our shareholders."

1

Summary of Second Quarter 2023 Financial Results

		Three months ended		Increase/(Decrease)		Constant Currency
		June 30,			Increase/(Decrease)
(in millions)		2023			2022		$	change		% change		$	change		% change
Net sales	$	689.4	$	658.6	$	30.8	4.7 %	$	42.2	6.4 %
Net income attributable to Acushnet Holdings Corp.	$	74.7	$	66.5	$	8.2	12.3 %
Adjusted EBITDA	$	132.1	$	106.5	$	25.6	24.0 %

_______________________________________________________________________________________

Consolidated net sales for the quarter increased 4.7%, or 6.4% on a constant currency basis, primarily driven by higher sales volumes in Titleist golf balls and Titleist golf clubs, partially offset by lower sales volumes in FootJoy golf wear, mainly footwear. A decline in sales volumes of products that are not allocated to one of our four reportable segments also contributed to the change in net sales.

On a geographic basis, higher net sales in the United States were largely driven by increases of 23.0% in Titleist golf balls and 25.9% in Titleist golf clubs, primarily due to higher sales volumes of Pro V1 and Pro V1x golf balls and TSR drivers, fairways and hybrids and Scotty Cameron Super Select putters. This increase was partially offset by a decrease of 5.1% in FootJoy golf wear primarily due to lower sales volumes in footwear, partially offset by higher sales volumes in apparel.

Net sales in regions outside the United States decreased 6.3%, or 2.5% on a constant currency basis. In Korea, net sales decreased primarily due to lower sales volumes of products that are not allocated to one of our four reportable segments and lower sales volumes in FootJoy golf wear, partially offset by sales volume increases in Titleist golf balls and Titleist golf clubs. In EMEA, net sales decreased primarily due to lower sales volumes in FootJoy golf wear, partially offset by higher sales volumes in Titleist golf balls. In Japan, net sales decreased primarily due to lower sales volumes in Titleist golf clubs and FootJoy golf wear. In Rest of World, net sales increased across all reportable segments.

Segment specifics:

• 18.0% increase in net sales (19.8% increase on a constant currency basis) of Titleist golf balls primarily due to higher sales volumes and higher average selling prices of our Pro V1 and Pro V1x golf balls launched in the first quarter of 2023.
• 14.5% increase in net sales (16.3% increase on a constant currency basis) of Titleist golf clubs largely due to higher sales volumes of our latest generation of TSR drivers, fairways and hybrids and Scotty Cameron Super Select putters, partially offset by lower sales volumes of second model year irons and wedges.
• 1.2% increase in net sales (2.9% increase on a constant currency basis) of Titleist golf gear largely due to higher average selling prices across all product categories, partially offset by lower sales volumes in headwear.
• 11.1% decrease in net sales (9.5% decrease on a constant currency basis) in FootJoy golf wear primarily due to lower sales volumes in footwear, partially offset by higher sales volumes in apparel.

2

Net income attributable to Acushnet Holdings Corp. increased 12.3% to $74.7 million, year over year, primarily as a result of an increase in income from operations, partially offset by increases in interest expense and income tax expense.

Adjusted EBITDA was $132.1 million, up 24.0% year over year. Adjusted EBITDA margin was 19.2% for the second quarter versus 16.2% for the prior year period.

Summary of First Six Months 2023 Financial Results

		Six months ended		Increase/(Decrease)		Constant Currency
		June 30,			Increase/(Decrease)
(in millions)		2023			2022		$	change		% change		$	change		% change
Net sales	$	1,375.7	$	1,264.7	$	111.0	8.8 %	$	146.3	11.6 %
Net income attributable to Acushnet Holdings Corp.	$	167.9	$	147.5	$	20.4	13.8 %
Adjusted EBITDA	$	278.8	$	226.5	$	52.3	23.1 %

_______________________________________________________________________________________

Consolidated net sales for the first six months increased 8.8%, or 11.6% on a constant currency basis, primarily driven by higher sales volumes in Titleist golf balls, Titleist golf clubs and Titleist golf gear. A decline in sales volume of products that are not allocated to one of our four reportable segments also contributed to the change in net sales.

On a geographic basis, net sales in the United States were higher driven by increases of 23.0% in Titleist golf balls, 22.9% in Titleist golf clubs, 26.9% in Titleist golf gear and 7.8% in FootJoy golf wear, all primarily driven by higher sales volumes.

Net sales in regions outside the United States were down 2.2%, or up 3.5% on a constant currency basis. On a constant currency basis, net sales increased in Rest of World and Japan, offset in part by a decrease in EMEA. In Rest of World, net sales increased across all reportable segments. In Japan, net sales increased in Titleist golf balls and Titleist golf gear, partially offset by net sales decreases in Titleist golf clubs and FootJoy golf wear. In EMEA, net sales decreased in FootJoy golf wear, partially offset by net sales increases in all other reportable segments. In Korea, net sales remained flat, primarily due to higher sales volumes of Titleist golf gear, Titleist golf clubs and Titleist golf balls, largely offset by lower sales volumes of products that are not allocated to one of our four reportable segments and lower sales volumes in FootJoy golf wear.

Segment specifics:

• 17.7% increase in net sales (20.2% increase on a constant currency basis) of Titleist golf balls primarily driven by higher sales volumes and higher average selling prices of Pro V1 and Pro V1x golf balls launched in the first quarter of 2023.
• 13.5% increase in net sales (16.3% increase on a constant currency basis) of Titleist golf clubs largely due to higher sales volumes of our latest generation TSR drivers, fairways and hybrids and Scotty Cameron Super Select putters, partially offset by lower sales volumes of second model year wedges and irons.

3

• 20.8% increase in net sales (24.1% increase on a constant currency basis) of Titleist golf gear primarily driven by higher sales volumes across all product categories reflecting improvements in supply chain and fulfillment constraints versus their impact in the first quarter of 2022 and higher average selling prices across all product categories.
• 3.2% decrease in net sales (0.4% decrease on a constant currency basis) in FootJoy golf wear primarily due to a sales volume decline in footwear, partially offset by increased sales volumes in apparel.

Net income attributable to Acushnet Holdings Corp. increased 13.8% to $167.9 million, year over year, primarily as a result of an increase in income from operations, partially offset by increases in interest expense and income tax expense.

Adjusted EBITDA was $278.8 million, up 23.1% year over year. Adjusted EBITDA margin was 20.3% for the first six months versus 17.9% for the prior year period.

Cash Dividend and Share Repurchase

Acushnet's Board of Directors today declared a quarterly cash dividend of $0.195 per share of common stock. The dividend will be payable on September 15, 2023 to shareholders of record on September 1, 2023. The number of shares outstanding as of July 28, 2023 was 66,542,551.

During the quarter, the Company repurchased 482,500 shares of common stock on the open market at an average price of $49.72 for an aggregate of $24.0 million. On June 9, 2023, the Company entered into a new agreement with Magnus Holdings Co., Ltd. ("Magnus"), a wholly owned subsidiary of Fila Holdings Corp., to purchase from Magnus an equal amount of its common stock as it purchases on the open market over the period of time from June 12, 2023 through October 27, 2023, up to an aggregate of $100.0 million, at the same weighted average per share price.

2023 Outlook

The Company now expects full-year 2023 consolidated nets sales to be approximately $2,350 to $2,400 million, compared to its previous range of $2,325 to $2,375 million. On a constant currency basis, consolidated net sales are still expected to increase 5.0% to 7.2%. The Company now expects full-year 2023 Adjusted EBITDA to be approximately $355 to $375 million, compared to $345 to $365 million. The Company's outlook assumes no additional supply chain disruptions or changes in the impact of foreign currency. The Company plans to share additional details of the 2023 Outlook during its investor conference call.

Investor Conference Call

Acushnet will hold a conference call at 8:30 am (Eastern Time) on August 3, 2023 to discuss the financial results and host a question and answer session. A live webcast of the conference call will be accessible at www.AcushnetHoldingsCorp.com/ir. A replay archive of the webcast will be available shortly after the call concludes.

4

About Acushnet Holdings Corp.

We are the global leader in the design, development, manufacture and distribution of performance-driven golf products, which are widely recognized for their quality excellence. Driven by our focus on dedicated and discerning golfers and the golf shops that serve them, we believe we are the most authentic and enduring company in the golf industry. Our mission - to be the performance and quality leader in every golf product category in which we compete - has remained consistent since we entered the golf ball business in 1932. Today, we are the steward of two of the most revered brands in golf - Titleist, one of golf's leading performance equipment brands, and FootJoy, one of golf's leading performance wear brands. Additional information can be found at www.acushnetholdingscorp.com.

5