Adams Golf reported a 9% increase in net sales for the second quarter, largely due to a low to mid double-digit increase in driver and hybrid sales and a low-single-digit increase in sales of irons.
Likewise, net sales within the U.S. and Canada for Adams Golf saw a mid-single digit increase while the company reported a low-single digit increase in international sales compared to the same year-ago period. Increased revenues from hybrids and drivers was 29% and 52%, respectively, driven largely by the popularity of the Insight XTD line of woods and Idea hybrid product line.
“Improving these positions has been a key corporate objective, and were pleased with our progress here. The supply issues for both the Insight XTD hybrid-fairway wood and driver products, which we experienced in the first quarter, were ameliorated in the second quarter,” said Chip Brewer, CEO and president of Adams Golf.
A modest increase in iron sales was generated primarily by sales of the Idea a3/a3OS line of irons, which Brewer says ended the second quarter as the number one brand of irons at off-course golf shops.
“The second quarter was clearly a more satisfying quarter than the first quarter, Brewer said. “Market conditions continued to remain challenging in the second quarter, but the market share of our Idea line of hybrid iron sets and year-over-year strength in our woods lines drove increased revenue growth in the quarter.”
“We remain pleased with our progress in developing our market positions, organization and brand,” Brewer added, “Looking forward, we believe market conditions will likely remain challenging for the balance of 2008, but we believe we have shown that we can continue to make progress towards our growth and brand goals despite tough conditions.”
