Callaway Investment Thesis and Business Transformation Overview
ADJUSTED EBITDA RECONCILIATION (2020 and 2021)
CALLAWAY GOLF COMPANY
Non-GAAP Reconciliation and Supplemental Financial Information
(Unaudited) (In thousands)
Callaway
2021 Trailing Twelve Month Adjusted EBITDA
2020 Trailing Twelve Month Adjusted EBITDA
Quarter Ended
March 31,
2021
June 30,
2021
September 30,
December 31,
Total
2021
2021
March 31,
2020
June 30,
2020
Quarter Ended
September 30,
2020
December 31,
2020
Total
Net income (loss)
Interest expense, net
Income tax provision (benefit)
$
272,461
$
91,744
$
(15,991)
$
(26,226) $ 321,988
$
28,894
$
(167,684) $
52,432
$
(40,576) $
(126,934)
17,457
28,876
28,730
40,502
115,565
9,115
12,163
12,727
12,927
46,932
47,743
(15,853)
66,229
(69,465)
28,654
9,151
(7,931)
5,360
(7,124)
(544)
Depreciation and amortization expense
20,272
43,270
44,377
47,903
155,822
8,997
9,360
10,311
10,840
39,508
JW goodwill and trade name impairment (1)
174,269
174,269
Non-cash stock compensation and stock warrant
expense, net
4,609
11,039
10,832
11,964
38,444
1,861
2,942
3,263
2,861
10,927
Non-cash lease amortization expense
872
2,103
2,792
7,748
13,515
264
207
(99)
(76)
296
Acquisitions & other non-recurring costs, before
taxes(2)
(235,594)
3,274
1,875
1,843
(228,602)
1,516
5,856
4,402
8,607
20,381
Reported Adjusted EBITDA(³)
$
127,820 $
164,453 $
138,844 $
14,269 $
445,386
$
59,798
$
29,182
$
88,396
$
(12,541)
$
164,835
Topgolf pre-merger EBITDA contribution
2,265
for Jan. and Feb. 2021 (3)
2,265
Pro Forma Adjusted EBITDA
$
130,085 $
-
$
-
- $
-
– $
447,651
1.
In 2020, amounts include an impairment charge of $174.3 million related to Jack Wolfskin.
2.
In 2021, amounts include transaction, transition and other non-recurring costs associated with the merger with Topgolf completed on March 8, 2021, the recognition of a $252.5 million gain to step-up the Company's former investment in Topgolf to its fair value in
connection with the merger, and expenses related to the implementation of new IT systems for Jack Wolfskin. In 2020, amounts include costs associated with the Company's transition to its new North America Distribution Center, costs associated with the
acquisition of Topgolf, and the implementation of new IT systems for Jack Wolfskin, as well as severance related to the Company's cost reduction initiatives.
3. Due to the timing of the Topgolf acquisition on March 8, 2021, Callaway's reported full year financial results will only include 10 months of Topgolf results in 2021.
21View entire presentation