Fortune Brands Inc., parent of Acushnet Company, reported revenues for the second quarter ended June 30 improved 9.1% to $1.90 billion from $1.74 billion a year ago on double-digit sales growth in home and security products and “strong gains” from the company’s spirit and golf brands.
Earnings improved to $229.4 million, or $1.48 per diluted share, compared with earnings of $100.6 million, or 66 cents per share, in the year-ago period. For the Acushnet Co., which includes the FootJoy, Vokey, Scotty Cameron, Pinnacle and Titleist brands, sales surged 6.4% to $389.3 million from $365.8 million on “strong growth” in international markets and double-digit sales gains for the Titleist Pro V1 golf ball and FootJoy shoes. Acushnet divested the Cobra Golf business to Puma.
By business segment within the golf branch, sales of golf balls were up high-single digits, boosted by double digit growth from the Titleist Pro V1.
Along with the Pro V1, management said growth in the golf segment was also driven by new iron launches from Titleist and the new customizable Vokey WedgeWorks. Titleist has also enjoyed success from the Japan-specific launches of a new premium priced driver and golf ball line. The FootJoy brand enjoyed a double digit surge in footwear.
Operating income for the golf business improved by half to $65.4 million from $43.6 million a year ago.
Due to strong Q2 results, Fortune Brands is upping full-year guidance to a range of $2.60 to $2.90 from original forecasts of a range of $2.50 and $2.80 per diluted share.
