Accessibility StatementSkip Navigation RAISES FULL YEAR 2025 GUIDANCE HIGHLIGHTS CARLSBAD, Calif., Nov. 6, 2025 /PRNewswire/ -- Topgolf Callaway Brands Corp. (the "Company" or "Topgolf Callaway Brands," "we," "our," "us") (NYSE: MODG) announced its financial results for the third quarter ended September 30, 2025. "We are pleased with our third quarter results, with both revenue and Adjusted EBITDA exceeding our expectations," commented Chip Brewer, President and Chief Executive Officer of Topgolf Callaway B ...

Financial Data and Key Metrics Changes - For Q3 2025, the company generated total revenues of $262.5 million and adjusted operating income of $36.4 million [7] - The Sphere segment generated revenues of $174.1 million, a 37% increase compared to the prior year period, driven by higher revenues from the Sphere Experience [8] - Adjusted operating income for the Sphere segment was $17.1 million, compared to an adjusted operating loss of $26.3 million in the prior year quarter [9] - SG&A expenses decreased by $12.3 million year over year to $92.7 million, reflecting the company's focus on cost efficiencies [9] Business Line Data and Key Metrics Changes - The Sphere Experience saw significant revenue growth, attributed to the strong demand for "The Wizard of Oz," which sold over 1 million tickets and generated over $130 million in ticket sales [8] - MSG Networks generated $88.4 million in revenues, down from $100.8 million in the prior year, reflecting a 13.5% decrease in subscribers [10] Market Data and Key Metrics Changes - The Sphere business had net debt of approximately $205 million as of September 30, with $329 million in unrestricted cash and cash equivalents [10] - MSG Networks had net debt of approximately $144 million, with $200 million outstanding on the MSG Networks term loan [11] Company Strategy and Development Direction - The company is focused on expanding its venue footprint globally, with ongoing discussions for new venues in various markets, including Abu Dhabi [6] - The company is investing in proprietary technology and content, including advanced audio systems and generative AI for original content [5] - Future content plans include an enhanced version of "The Wizard of Oz" and exploring additional projects using AI tools in partnership with Google [6][18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the ongoing success of "The Wizard of Oz" and its potential longevity in the market, comparing it to long-running shows like Cirque du Soleil's "O" [21][27] - The company anticipates continued strong demand for concerts and events at the Sphere, with a robust pipeline of artists wanting to perform [37] - Management noted that the success of "The Wizard of Oz" has increased interest from potential franchisees and partners globally [34] Other Important Information - The company repurchased $50 million worth of Class A Common Stock during the quarter, with approximately $300 million remaining under the current buyback authorization [11] - The company is seeing a double-digit percentage increase in sponsorship and advertising sales, indicating a strong market response [45] Q&A Session Summary Question: Insights on the original content program beyond "Oz" - Management learned that 4D effects are crucial for content success and plans to explore more known movie IPs in future projects [14] Question: Optimizing revenue from "Wizard of Oz" - Management plans to run "Wizard of Oz" until demand falls off and is considering an enhanced version for its anniversary [21] Question: Expectations for the new Sphere venue - Management prefers a capital-free model for new venues but is open to minority investments if it demonstrates confidence in the project [31] Question: Impact of "Wizard of Oz" on franchisee conversations - The success of "Wizard of Oz" has significantly increased interest from potential franchisees and partners [34] Question: Concert demand and capacity in 2026 - Management expects more concerts in 2026 compared to 2025 and is exploring optimal combinations of events to maximize cash flow [38]

Core Insights - Sphere Entertainment Co.'s Las Vegas Sphere has quickly become a prominent landmark on the Strip, showcasing its innovative design and technology [1] Company Overview - Sphere Entertainment Co. operates the Las Vegas Sphere, which has gained significant recognition shortly after its opening [1] Industry Impact - The Las Vegas Sphere represents a shift in entertainment venues, emphasizing advanced technology and immersive experiences that could influence future developments in the industry [1]

Financial Data and Key Metrics Changes - In Q2 2025, comparable store sales decreased by 3% compared to the prior year period, with a noted decline of 2.2% in the first five weeks of the quarter [11][12][14] - Revenue for the quarter was $557 million, with a net income of $11 million or $0.32 per diluted share, and adjusted EBITDA of $130 million, resulting in an adjusted EBITDA margin of 23% [14][15] - The company generated $34 million in operating cash flow during the quarter, ending with $12 million in cash and $443 million in total liquidity [14][15] Business Line Data and Key Metrics Changes - The special events business saw a revenue increase of nearly 10% year-over-year, contributing positively to overall performance [25] - The company opened three new Dave & Buster's stores in Q2 and has a total of eight new store openings year to date, with expectations for 11 new store openings in fiscal 2025 [17][18] Market Data and Key Metrics Changes - The company is focusing on international franchising as a growth driver, with agreements for over 35 additional stores in the coming years [18] - The management noted that the brand's value perception has been a challenge, which they are addressing through simplified marketing messages [38][80] Company Strategy and Development Direction - The new CEO emphasized a focus on reinforcing a guest-first culture, delivering memorable experiences, and driving growth in sales and shareholder value [9][10] - The strategic plan includes improving marketing effectiveness, enhancing food and beverage offerings, and introducing new games to attract customers [26][29] - The company aims to modernize and refresh its units to increase traffic and productivity [27] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic headwinds but expressed confidence in the brand's ability to deliver value and grow even in challenging environments [79] - The CEO believes the stock is undervalued and sees significant upside potential based on achievable financial results [21][32] Other Important Information - The company has implemented a more disciplined approach to capital expenditures, focusing on high-return investments and eliminating ineffective spending [15][23] - A sale-leaseback transaction for real estate assets generated approximately $77 million, enhancing liquidity for future growth initiatives [16][17] Q&A Session Summary Question: Comparable store sales trends in Q3 - Management did not quantify specific numbers but indicated trends are consistent with Q2 [36] Question: Value perception challenges - The company is working on simplifying marketing messages to clarify value for customers [38] Question: Margins and reinvestment needs - Management noted that cost increases were influenced by new units and one-off items, but expects margins to improve in the second half of the year [42][44] Question: Marketing investment needs - The CEO believes current marketing investments are sufficient and will focus on refining the media mix [69] Question: Strategic game pricing changes - The company has simplified game pricing to enhance value perception and increase customer dwell time [60][62] Question: Brand-specific missteps and macro environment - The CEO highlighted the importance of clear communication of value and brand distinctiveness in the current competitive landscape [81]

`` You can find original article here Nrn. Subscribe to our free daily Nrn newsletter. `` `` Dave & Buster's Entertainment Inc. reported a same-store sales decline of 3% in the Aug.5-ended second quarter. `` `` The Coppell, Texas-based owner of Dave & Buster’s and Main Event locations announced quarterly financial results after the market closed on Monday. `` ```` Second quarter revenue was $557.4 million, a .05% increase compared to the second quarter of fiscal 2024. `` `` The company appointed Tarun Lal a ...

Dave & Buster’s Entertainment, Inc. PLAY will release earnings results for the second quarter after the closing bell on Monday, Sept. 15.Analysts expect the Coppell, Texas-based company to report quarterly earnings at 92 cents per share, down from 99 cents per share in the year-ago period. Dave & Buster’s projects to report quarterly revenue of $562.69 million, compared to $557.1 million a year earlier, according to data from Benzinga Pro.On July 15, Dave & Buster’s named Tarun Lal as chief executive office ...

Core Insights - Lucky Strike Entertainment Corporation (LUCK) reported fiscal Q4 results for the April-June period on August 28, indicating weak same-store sales but slightly more positive outlooks for FY2026 [1] Financial Performance - The company experienced weak same-store sales during the reported quarter [1] - Despite the challenges, there are indications of a more optimistic outlook for FY2026 [1] Investment Philosophy - The investment philosophy focuses on identifying mispriced securities by understanding the drivers behind a company's financials, often revealed through a DCF model valuation [1] - This approach allows for a broader assessment of a stock's prospects, considering various investment styles such as value, dividend, or growth investing [1]

Financial Data and Key Metrics Changes - The company updated its tariff cost estimate from $25 million to $40 million, impacting EBITDA [24][25]. - Despite challenges, the EBITDAR margin performance has remained flat year-over-year, indicating strong operational management [50]. Business Line Data and Key Metrics Changes - The golf equipment segment has seen a significant increase in participation, with 1.5 million new golfers in the U.S., the highest growth since 2000 [4][5]. - Same venue sales for Topgolf have faced challenges, with a reported decline of 6% in Q2, but traffic has shown double-digit growth in June and July due to new value propositions [41][36]. Market Data and Key Metrics Changes - The golf industry has experienced a resurgence post-pandemic, with a broader and more diverse customer base, including increased female participation [4][11]. - The corporate event side of Topgolf remains challenged, with companies cutting back on budgets, impacting sales [44][47]. Company Strategy and Development Direction - The company is focusing on innovation and product development, leveraging AI in product design to maintain a competitive edge [17][19]. - A strategic reset for Topgolf is underway, emphasizing value propositions to attract customers and improve same venue sales [41][36]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about consumer trends, noting that the summer performance has been strong and expects this to continue [54]. - The competitive landscape is expected to favor companies with strong supply chains and innovative capabilities, with market share consolidation likely to speed up [63][65]. Other Important Information - The company has diversified its supply chain to mitigate tariff impacts, having moved away from sourcing from China [25][26]. - There are ongoing initiatives to improve operational efficiency and cost structure in response to the current economic environment [27]. Q&A Session All Questions and Answers Question: What are the expectations for the consumer environment in the second half of the year? - Management has seen positive consumer trends and expects this to continue [54]. Question: How has pricing been affected by tariffs? - The company has been strategic in pricing, with no significant impact on the golf equipment side despite some price increases [57][58]. Question: What are the expectations for inventory growth into the second half? - There are no significant changes anticipated in inventory management, with normal practices expected [59]. Question: Are there any disruptions from supply chain uncertainty? - No disruptions are currently seen in the supply chain, with adjustments planned for the long term [60]. Question: How are freight, wages, and materials expected to change into 2026? - No significant changes are anticipated in freight rates, wages, or material costs [61]. Question: What is the outlook for market share consolidation in 2026? - Market share consolidation is expected to speed up, favoring companies with strong supply chains and innovative capabilities [63][65].

Financial Data and Key Metrics Changes - Consolidated revenues for Q2 2025 were $1,110 million, representing a 4% year-over-year decrease, primarily due to decreased revenue in the Active Lifestyle segment [29] - Q2 adjusted EBITDA was $196 million, a 5% year-over-year decrease, mainly due to decreased revenue and incremental tariffs [30] - The company raised its full-year revenue guidance to a range of $3,800 million to $3,920 million, reflecting an increase of over $30 million at the midpoint compared to prior guidance [35] Business Line Data and Key Metrics Changes - Golf equipment revenue for Q2 was approximately flat year-over-year at $412 million, exceeding expectations [30] - Active Lifestyle segment revenue decreased by $36 million year-over-year to $214 million, primarily due to the sale of Jack Wolfskin and soft market conditions [31] - Topgolf Q2 revenue decreased by 2% year-over-year, primarily due to a 6% decline in same venue sales, partially offset by higher revenue from new venues [32] Market Data and Key Metrics Changes - Market conditions in the U.S. for golf equipment remain healthy, with rounds played approximately flat on a playable hour adjusted basis [8] - Conditions in the UK and Northern Europe markets are strong, while Asia and Central Europe are softer year-over-year [9] - The athleisure category in the Active Lifestyle segment is down mid to high single digits during Q2 [11] Company Strategy and Development Direction - The company closed the sale of Jack Wolfskin, enabling greater business focus and financial flexibility for Topgolf [4] - The company is committed to ongoing cost reduction and margin improvement initiatives, which have been beneficial in the current operating environment [6] - The strategic process for Topgolf is ongoing, with both a spin and sale being evaluated, although a spin is now impractical for the second half of the year [15][80] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the golf equipment segment, citing healthy consumer engagement and upcoming product launches [10] - The company is optimistic about the improving trends in same venue sales at Topgolf, driven by value initiatives and enhanced customer experience [12][39] - Management acknowledged the challenges posed by tariffs, increasing the estimated impact from $25 million to $40 million for the year [5][45] Other Important Information - The company reported an increase in available liquidity to $1,160 million as of June 30, 2025, primarily due to cash proceeds from the sale of Jack Wolfskin [32] - Net debt decreased to $2,390 million, down from $2,620 million year-over-year, reflecting improved cash balances [33] - The company expects to be free cash flow positive at both the total company and Topgolf in 2025 [38] Q&A Session Summary Question: Can you talk about the robust process regarding the spin and sale of Topgolf? - Management confirmed that the strategic direction remains unchanged, with only the timing of a potential spin being affected due to leadership changes [42][80] Question: What is the current health of the golf industry and drivers of the improving golf equipment business? - Management noted that the golf equipment business remains healthy, with consumer engagement strong and sell-through up low single digits [49] Question: What were the biggest contributors to the value initiatives at Topgolf? - Management highlighted the success of the Sunday Fun Pass and other value offerings, which significantly increased traffic and improved customer perception [57] Question: Can you provide an update on cost reduction efforts and labor efficiency initiatives? - Management indicated that teams have executed well on cost reduction, with improvements in labor efficiency and service speed contributing to stable margins [66] Question: How is the TravisMathew business trending? - Management reported that while the athleisure market is down, the women's category within TravisMathew continues to perform well [72]

Core Points - Dave & Buster's Entertainment, Inc. announced the granting of stock options and performance stock units to Tarun Lal as part of his inducement to join the company as CEO [1][2] - The awards were approved by the Board under Nasdaq corporate governance rules and were granted on July 15, 2025 [1][2] Summary by Category Stock Options - Mr. Lal was granted a total of 124,766 stock options that will vest annually over three years from the grant date [2] - An additional 124,766 options will vest if the company's stock price doubles before February 1, 2028, contingent on Mr. Lal's continued employment [2] - Further, 83,177 options will vest if the stock price triples before February 1, 2028, also subject to continued employment [2] - An additional 31,191 options will vest annually over three years, conditioned on Mr. Lal purchasing $1,000,000 of the company's common stock by December 31, 2026 [2] Performance Stock Units (PSUs) - Mr. Lal was granted 124,766 PSUs that will be earned upon achieving same store sales growth metrics and will vest annually over two years [2] - Another 124,766 PSUs will be earned and vested based on achieving specific 2027 Adjusted EBITDA, average same store sales growth, and relative TSR metrics [2] Company Overview - Founded in 1982, Dave & Buster's operates 236 venues across North America, offering entertainment and dining experiences [3] - The company has 175 Dave & Buster's branded stores in 43 states, Puerto Rico, and Canada, providing a full menu and various entertainment attractions [3] - Additionally, the company operates 61 Main Event branded stores in 22 states, featuring bowling, laser tag, arcade games, and virtual reality experiences [3]