True Temper Sports, Inc. found itself with a 28.5% growth in net sales for the second quarter of 2005, but saw this gain offset by the effects of the company’s acquisition by TTS Holdings, Inc. causing a net income decline for the quarter. Net sales for the second quarter were $32.6 million compared to $25.3 million recorded during 2004. Adjusted EBITDA, which does not reflect the effects of acquisition, increased 31.2%, to $10.2 million from $7.8 million in the second quarter of 2004. Net income, which does reflect the effects of acquisition, decreased to $0.6 million from $1.7 million in 2004.

The Grafalloy ProLaunch shaft delivered record unit volume during the quarter with double-digit sales increases for the fourth consecutive quarter. Adding to these results, the performance sports segment registered a revenue improvement of 32% over the second quarter 2004.

As a result of the company’s transition of composite manufacturing operations to China combined with its focus on working capital and cash management, True Temper was able to make voluntary repayments on its outstanding bank debt of $7.0 million during the quarter. Combined with repayments made during 2004, this now represents nearly a 10% reduction in the company’s overall outstanding bank debt, and has resulted in a significant leverage improvement during 2005.

Commenting on the second half ahead, Scott Hennessy, president and CEO said, “While we do not anticipate top line growth at the same level as the second quarter, we are working to deliver double-digit percentage improvements during both the third and fourth quarters of 2005.”