Fortune Brands Inc., the parent of Acushnet Company's golf brands including Titleist, Cobra and FootJoy, reported that sales in its golf segment fell 13.4% in the fourth quarter ended Dec. 31, to $212.2 million from $245.1 million. The golf division showed an operating loss of $18.3 million in the period against a deficit of $6.7 million a year ago.
Fortune Brands said that excluding charges, the year-ago loss for the golf segment would have been $6.1 million.
For the year, revenues in its golf segment dipped 2.6% to $1.37 billion from $1.41 billion. Operating earnings decreased 24.3% to $125.3 million from $165.5 million.
Regarding the golf segment, Bruce Carbonari, chairman and chief executive officer of Fortune Brands said, “Our golf business delivered its second best sales year on record, benefiting from new-product development and double-digit growth in Asian markets. Full-year golf operating income was impacted by brand investment, higher commodities costs and lower volumes. While golf results in the seasonally smallest fourth quarter reflected soft industry demand and adverse operating leverage, we benefited from strong sell-in for new advanced-technology Titleist golf clubs.”
