Several industry companies, either public companies themselves or divisions of public companies filed 10-K forms with the SEC over the past few weeks, disclosing a few key details about their respective businesses. Unfortunately, the more detailed pictures were not all bright and positive.


Fortune Brands reported that its Acushnet division realized a 7.0% increase in net sales for the full year 2007 to $1.41 billion from $1.31 billion for 2006. Net sales growth was boosted by a $28 million benefit from the effects of currency translation as well as from growth in all categories, including balls, shoes, clubs, gloves and accessories. On a currency-neutral basis, net sales grew 4.9% for the full year 2007.
Operating income declined slightly for the year on costs associated with international expansion as well as increased research and development expenses. CapEx jumped 180% to $63.0 million from $22.5 million last year.


Golfsmith saw net sales from its proprietary brands increase slightly for the year to $55.4 million from $55.3 million last year. The company saw comparable store sales decline 3.7% for the year to $247.9 million from $257.4 million for 2006. Sales for stores excluded from the comp base jumped 610% to $52.7 million from $7.4 million last year. Sales per square foot decreased 10.7% to $317/sq. ft. from $355/sq. ft. last year.


In North America, sales improved 8.4% to $381.6 million, while international sales increased 13.8% to $6.6 million. The company reported an operating loss of $37.6 million after a profit of 11.0 million last year for North America with a  net loss of $40.7 million widened from a net loss of $8.4 million last year. In international markets, operating profit improved 23.9% to $735,000 as net income increased 17.2% to $546,000.


Ashworth Inc. reported that sales in the company’s domestic segment declined 10.9% to $19.2 million for the year, while loss from operations for the segment widened 50.5% to $6.7 million from the 2006 loss of $4.5 million. For the company’s Gekko division, annual net sales grew 4.6% to $10.9 million from $10.4 million last year, but income from operations decline 71.7% to $185,000 from $653,000 last fiscal year.


The Ashworth UK subsidiary saw net sales decline 45.1% to $2.6 million for the year, while the company switched to an operating loss of $571,000 from income of $80,000 last year. The other international business saw net sales grow 19.8% to $1.7 million as income from operations increased 5.1% to $246,000 for the full year.