FootJoy parent Acushnet Co., reported FootJoy Q3 sales increased three percent ($136.7 million) and were flat year-to-date ($500 million) due mainly to the strength of its U.S. business. Acushnet CEO David Maher said growth in the quarter was led by apparel and a “modest increase in footwear as we effectively differentiate our new golf shoe products in a crowded retail environment.”
Maher said he expects the golf shoe industry “will continue to work through” excess footwear inventories for the next few quarters.
“We remain confident that our team will manage through this period while protecting FootJoy’s premium positioning and long-term interests,” Maher said
Meanwhile, across its golf equipment divisions that include FootJoy and Titleist balls, clubs, and gear, Maher told Wall Street analysts in a recent conference call that Acushnet’s inventories are “generally healthy” and within the range of normal, “which we feel good about heading into the holiday and next year.”
The one outlier, Maher said, is footwear.
“The way we think about that, I would say it’s probably 10 percent to 15 percent heavier than where it should be. Again, keep in mind I’m speaking about broader channels, not just our footwear business, but global inventories across channels. So if I look at it as being 10 percent to 15 percent heavier than what it may be… should be… it might have been 15 percent to 20 percent heavier three, four months ago. So, I think it’s working its way through the inventory cycle.”