Callaway Reports Q3 2026 Results with Increased EBITDA Guidance Amid Strategic Margin Expansion
Callaway reported third-quarter revenue of $436.9 million, a 5.6% decrease year-over-year, primarily due to a strategic decision to launch fewer products and exit lower-margin business segments. Despite the revenue dip, adjusted EBITDA rose 17.3% to $35.9 million, driven by significant gross margin expansion of 520 basis points through cost reductions and price increases. The company is successfully executing a deleveraging strategy following its Topgolf stake sale, reducing debt to $76 million. Management raised full-year adjusted EBITDA guidance to a range of $272 million to $280 million, reflecting improved profitability profiles. While golf equipment revenue declined 7.9%, the company saw market share gains in US golf balls and strong performance from its TravisMathew brand.
Tickers: $AAPL $AMZN $GOOG $META $MODG $MSFT $NVDA $TSLA
Topics: debt reduction EBITDA growth gross margin expansion revenue decline share repurchases