Currency-neutral sales for the TaylorMade-adidas Golf business grew 12% to 197 million ($297 mm) in the third quarter from 190 million ($261 mm) in Q3 last year. When measured in euros, sales grew 3.7% for the third quarter. Management noted that the company had expanded its market share in metalwoods to over 30% in the U.S.
SEW spoke with sources at TM-aG who commented that a large portion of the brands success in both Q3 and for the year-to-date can be attributed to Balls and Putters. YTD golf balls sales increased over YTD 2007 as the companys new Burner and TP Series have found success with golfers. The companys recently launched MyTP initiative, which allows golfers to customize their balls, was also called out as helping to drive incremental sales gains.
However, though the Balls program showed growth in a tough economy, it was eclipsed by strong sales of Putters, which nearly doubled. At the heart of this growth is the Rossa Monza Spider, which has made serious inroads with the golf community and has taken share from Callaways Odyssey brand. The Spider was the number 1 selling Putter in Japan, a status the product has held since the spring. Finally, Footwear and Apparel were also said to be performing well in a tough environment, with Footwear especially called out as picking up market share.
TM-aG North America sales were up 9.6% when measured in U.S. dollars to $140 million (93 mm), compared to $128 million (93 mm), in Q3 last year, despite the Maxfli divesture. Sales were flat when measured in euro terms. Europe sales were down 18.2% in euro terms to 18 million ($27 mm) from 22 million ($30 mm) last year. Asia/Pacific sales increased 15.3% in euro terms to 83 million ($125 mm) from 72 million ($99 mm) last year. Sales to Latin America dropped 50.0% to 1 million ($1.5 mm) from 2 million ($2.7 mm) last year. Management raised its sales guidance for the TM-aG business, now expecting high-singles sales growth for the year, up from earlier guidance of mid-singles growth.
