0000837465-22-000005 | 10-K | XBRL Viewer

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CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 352,221	$ 366,119
Restricted cash	1,164	0
Accounts receivable, net	105,331	138,482
Inventories	533,457	352,544
Prepaid expenses	54,248	20,318
Other current assets	119,332	35,164
Total current assets	1,165,753	912,627
Property, plant and equipment, net	1,451,402	146,495
Operating lease right-of-use assets, net	1,384,501	194,776
Intangible assets, net	1,528,638	484,339
Goodwill	1,960,070	56,658
Investments in golf-related ventures	39,250	111,442
Other assets	218,166	74,263
Total assets	7,747,780	1,980,600
Current liabilities:
Accounts payable and accrued expenses	491,176	276,209
Accrued employee compensation and benefits	128,867	30,937
Asset-based credit facilities	9,096	22,130
Operating lease liabilities, short-term	72,326	29,579
Construction advances	22,943	0
Deferred revenue	93,873	2,546
Other current liabilities	47,744	29,871
Total current liabilities	866,025	391,272
Long-term liabilities:
Long-term debt, net (Note 7)	1,025,278	650,564
Operating lease liabilities, long-term	1,385,364	177,996
Deemed landlord financing, long-term	132,461	447
Deferred taxes, net	163,591	58,628
Other long-term liabilities	163,986	26,496
Shareholders’ equity:
Preferred stock, $0.01 par value, 3,000,000 shares authorized, none issued and outstanding at December 31, 2021 and 2020	0	0
Common stock, $0.01 par value, 360,000,000 shares authorized, 186,171,615 and 95,648,648 shares issued and outstanding at December 31, 2021 and 2020, respectively	1,862	956
Additional paid-in capital	3,051,604	346,945
Retained earnings	682,165	360,228
Accumulated other comprehensive loss	(27,343)	(6,546)
Less: Common stock held in treasury, at cost, 959,709 and 1,446,408 shares at December 31, 2021 and 2020, respectively	(25,386)	(25,939)
Total shareholders’ equity	3,682,902	675,644
Total liabilities and shareholders’ equity	7,747,780	1,980,600
Deemed Landlord Finance Lease
Long-term liabilities:
Deemed landlord financing, long-term	$ 460,634	$ 0

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Dec. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	3,000,000	3,000,000
Preferred stock, shares outstanding (in shares)	0	0
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	360,000,000	360,000,000
Common stock, shares issued (in shares)	186,171,615	95,648,648
Common stock, shares outstanding (in shares)	186,171,615	95,648,648
Common stock held in treasury (in shares)	959,709	1,446,408

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Total net revenues	$ 3,133,447	$ 1,589,460	$ 1,701,063
Costs and expenses:
Other venue expenses	731,549	0	0
Selling, general and administrative expenses	849,671	542,531	583,540
Research and development expenses	68,000	46,300	50,579
Goodwill and trade name impairment	0	174,269	0
Venue pre-opening costs	9,376	0	0
Total costs and expenses	2,928,732	1,694,975	1,568,395
Income (loss) from operations	204,715	(105,515)	132,668
Interest expense, net	(115,565)	(46,932)	(38,493)
Gain on Topgolf investment	252,531	0	0
Other income, net	8,961	24,969	1,594
Income (loss) before income taxes	350,642	(127,478)	95,769
Income tax provision (benefit)	28,654	(544)	16,540
Net income (loss)	321,988	(126,934)	79,229
Less: Net loss attributable to non-controlling interests	0	0	(179)
Net income (loss) attributable to Callaway Golf Company	$ 321,988	$ (126,934)	$ 79,408
Earnings (loss) per common share:
Basic (in dollars per share)	$ 1.90	$ (1.35)	$ 0.84
Diluted (in dollars per share)	$ 1.82	$ (1.35)	$ 0.82
Weighted-average common shares outstanding:
Basic (in shares)	169,101	94,201	94,251
Diluted (in shares)	176,925	94,201	96,287
Products
Total net revenues	$ 2,058,722	$ 1,589,460	$ 1,701,063
Costs and expenses:
Cost of products	1,136,626	931,875	934,276
Services
Total net revenues	1,074,725	0	0
Costs and expenses:
Cost of services, excluding depreciation and amortization	$ 133,510	$ 0	$ 0

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 321,988	$ (126,934)	$ 79,229
Other comprehensive income (loss):
Change in derivative instruments	9,975	(12,730)	(5,585)
Foreign currency translation adjustments	(29,215)	25,690	(4,751)
Comprehensive income (loss), before income tax on other comprehensive income (loss)	302,748	(113,974)	68,893
Income tax provision (benefit) on derivative instruments	1,557	(2,916)	(1,275)
Comprehensive income (loss)	301,191	(111,058)	70,168
Less: Comprehensive loss attributable to non-controlling interests	0	0	(339)
Comprehensive income (loss) attributable to Callaway Golf Company	$ 301,191	$ (111,058)	$ 70,507

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Cash flows from operating activities:
Net income (loss)	$ 321,988	$ (126,934)	$ 79,229
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	155,822	39,508	34,951
Lease amortization expense	79,952	32,730	30,893
Interest accretion on deemed landlord financing and financing leases	11,566	0	0
Amortization of debt issuance costs	5,297	4,200	3,262
Debt discount amortization	14,049	6,331	0
Inventory step-up on acquisition	0	0	10,885
Impairment loss	0	174,269	0
Deferred taxes, net	8,415	(12,507)	(1,381)
Non-cash share-based compensation	38,685	10,927	12,896
Loss on disposal of long-lived assets	381	336	218
Gain on Topgolf investment	(252,531)	0	0
Gain on conversion of note receivable	0	(1,252)	0
Unrealized net losses on hedging instruments and foreign currency	276	2,750	3,642
Acquisition costs	(16,199)	0	0
Changes in assets and liabilities, net of effects of acquisitions:
Accounts receivable, net	38,185	9,950	(44,476)
Inventories	(177,467)	116,963	(33,952)
Leasing receivables	(22,929)	0	0
Other assets	(51,709)	19,751	(12,124)
Accounts payable and accrued expenses	96,842	(11,484)	34,628
Deferred revenue	24,916	1,313	136
Accrued employee compensation and benefits	53,819	(16,558)	(2,460)
Payments on operating leases	(57,419)	(29,372)	(29,874)
Income taxes receivable/payable, net	8,778	1,979	1,414
Other liabilities	(2,460)	5,338	(1,337)
Net cash provided by operating activities	278,257	228,238	86,550
Cash flows from investing activities:
Cash acquired in merger	171,294	0	0
Capital expenditures	(322,274)	(39,262)	(54,702)
Investments in golf related ventures	(30,000)	(19,999)	(17,897)
Acquisitions, net of cash acquired	0	0	(463,105)
Proceeds from sale of investment in golf-related ventures	19,096	0	0
Proceeds from sales of property and equipment	20	49	38
Net cash used in investing activities	(161,864)	(59,212)	(535,666)
Cash flows from financing activities:
Repayments of long-term debt	(200,693)	(12,437)	(36,685)
Proceeds from issuance of long-term debt	26,175	37,728	493,167
(Repayments of) proceeds from credit facilities, net	(13,034)	(122,450)	105,850
Proceeds from issuance of convertible notes	0	258,750	0
Premium paid for capped call confirmations	0	(31,775)	0
Debt issuance cost	(5,441)	(9,102)	(19,091)
Payment on contingent earn-out obligation	(3,577)	0	0
Repayments of financing leases	(830)	(792)	(706)
Proceeds from lease financing	89,198	0	0
Exercise of stock options	22,270	248	368
Dividends paid	(3)	(1,891)	(3,776)
Acquisition of treasury stock	(38,137)	(22,213)	(28,073)
Purchase of non-controlling interest	0	0	(18,538)
Net cash (used in) provided by financing activities	(124,072)	96,066	492,516
Effect of exchange rate changes on cash and cash equivalents	(752)	(5,639)	(715)
Net (decrease) increase in cash, cash equivalents and restricted cash	(8,431)	259,453	42,685
Cash, cash equivalents and restricted cash at beginning of period	366,119	106,666	63,981
Cash, cash equivalents and restricted cash at end of period	357,688	366,119	106,666
Supplemental disclosures:
Cash paid for income taxes, net	9,383	3,061	9,520
Cash paid for interest and fees	88,604	34,359	32,875
Noncash investing and financing activities:
Issuance of treasury stock and common stock for compensatory stock awards released from restriction	18,532	19,762	20,656
Accrued capital expenditures at period-end	50,205	1,497	3,128
Financed additions of capital expenditures	107,135	0	0
Issuance of common stock in Topgolf Merger	$ 2,650,201	$ 0	$ 0

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Restricted Stock	Options And Restricted Stock	Total Callaway Golf Company Shareholders' Equity	Total Callaway Golf Company Shareholders' Equity Cumulative Effect, Period of Adoption, Adjustment	Total Callaway Golf Company Shareholders' Equity Restricted Stock	Total Callaway Golf Company Shareholders' Equity Options And Restricted Stock	Common Stock	Common Stock Options And Restricted Stock	Additional Paid-in Capital	Additional Paid-in Capital Restricted Stock	Additional Paid-in Capital Options And Restricted Stock	Retained Earnings	Retained Earnings Cumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive (Loss) Income	Treasury Stock	Non-controlling Interest
Balance at beginning of period (in shares) at Dec. 31, 2018									95,649								1,138
Balance at beginning of period at Dec. 31, 2018	$ 734,308				$ 724,574				$ 956		$ 341,241			$ 413,799		$ (13,700)	$ (17,722)	$ 9,734
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Acquisition of treasury stock (in shares)																	(1,690)
Acquisition of treasury stock	(28,073)				(28,073)												$ (28,073)
Exercise of stock options (in shares)																	56
Exercise of stock options	368				368						(560)						$ 928
Compensatory awards released from restriction (in shares)																	1,318
Compensatory awards released from restriction	0				0						(20,656)						$ 20,656
Share-based compensation	12,896				12,896						12,896
Stock dividends (in shares)																	(3)
Stock dividends	0				0						1			(49)			$ 48
Cash dividends	(3,776)				(3,776)									(3,776)
Equity adjustment from foreign currency translation	(4,751)				(4,412)											(4,412)		(339)
Change in fair value of derivative instruments, net of tax	(4,310)				(4,310)											(4,310)
Acquisition of non-controlling interests	18,538				9,322						9,322							9,216
Net income (loss)	79,229				79,408									79,408				(179)
Balance at end of period (in shares) at Dec. 31, 2019									95,649								1,451
Balance at end of period at Dec. 31, 2019	$ 767,353	$ (289)			767,353	$ (289)			$ 956		323,600			489,382	$ (289)	(22,422)	$ (24,163)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible List]	us-gaap:AccountingStandardsUpdate201905Member
Acquisition of treasury stock (in shares)																	(1,181)
Acquisition of treasury stock	$ (22,213)				(22,213)												$ (22,213)
Exercise of stock options (in shares)																	37
Exercise of stock options	248				248						(390)						$ 638
Compensatory awards released from restriction (in shares)																	1,144
Compensatory awards released from restriction	0				0						(19,762)						$ 19,762
Share-based compensation	10,927				10,927						10,927
Stock dividends (in shares)																	(5)
Stock dividends	0				0						3			(40)			$ 37
Cash dividends	(1,891)				(1,891)									(1,891)
Equity adjustment from foreign currency translation	25,690				25,690											25,690
Change in fair value of derivative instruments, net of tax	(9,814)				(9,814)											(9,814)
Equity component of convertible notes, net of issuance costs and tax	57,080				57,080						57,080
Premiums paid for capped call confirmations, net of tax	(24,513)				(24,513)						(24,513)
Net income (loss)	(126,934)				(126,934)									(126,934)
Balance at end of period (in shares) at Dec. 31, 2020									95,649								1,446
Balance at end of period at Dec. 31, 2020	675,644				675,644				$ 956		346,945			360,228		(6,546)	$ (25,939)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issued (in shares)									89,776	188
Common stock issued	2,650,201			$ 0	2,650,201			$ 0	$ 898	$ 2	2,649,303		$ (2)
Acquisition of treasury stock (in shares)																	(1,380)
Acquisition of treasury stock	$ (38,137)				(38,137)						353						$ (38,490)
Exercise of stock options (in shares)	1,436								520								916
Exercise of stock options	$ 22,270				22,270				$ 6		1,777						$ 20,487
Compensatory awards released from restriction (in shares)									39								949
Compensatory awards released from restriction	0				0						(18,532)						$ 18,532
Share-based compensation	38,685		$ 33,051		38,685		$ 33,051				38,685	$ 33,051
Stock dividends (in shares)																	(1)
Stock dividends	0				0						24			(48)			$ 24
Cash dividends	(3)				(3)									(3)
Equity adjustment from foreign currency translation	(29,215)				(29,215)											(29,215)
Change in fair value of derivative instruments, net of tax	8,418				8,418											8,418
Net income (loss)	321,988				321,988									321,988
Balance at end of period (in shares) at Dec. 31, 2021									186,172								960
Balance at end of period at Dec. 31, 2021	$ 3,682,902				$ 3,682,902				$ 1,862		$ 3,051,604			$ 682,165		$ (27,343)	$ (25,386)	$ 0

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Statement of Stockholders' Equity [Abstract]
Cash dividends (in dollars per share)	$ 0.01	$ 0.02	$ 0.04

The Company	12 Months Ended
The Company	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
The Company	Note 1. The Company Callaway Golf Company (the “Company,” “Callaway” or “Callaway Golf”), a Delaware corporation, together with its wholly-owned subsidiaries, is a modern golf and active lifestyle leader that provides world-class golf entertainment experiences, designs and manufactures premium golf equipment, and sells golf and active lifestyle apparel and other accessories through its family of brand names which include Topgolf International, Inc. ("Topgolf"), Callaway Golf, Odyssey, OGIO, TravisMathew and Jack Wolfskin. On March 8, 2021, the Company completed a merger with Topgolf in an all-stock transaction. Under Topgolf, the Company operates state-of-the-art open-air golf and entertainment venues worldwide which provide consumers of all skill-levels an opportunity to participate in a "gamified" version of the sport of golf in an off-course setting utilizing innovative ball-tracking technology. Under its various brand names, the Company designs and manufactures high quality golf clubs and golf balls, as well as premium golf, lifestyle and outdoor apparel, gear and accessories. The Company's family of products are sold in over 120 countries worldwide to a variety of wholesale customers and directly to consumers. The Company also licenses its trademarks and service marks to third parties in exchange for a royalty fee. The Company's products and brands are reported under three operating segments: Topgolf, which includes the operations of the Company's Topgolf business; Golf Equipment, which includes the operations of the Company's golf clubs and golf balls business; and Apparel, Gear and Other, which includes the operations of the Company's soft goods business marketed under the Callaway, TravisMathew and Jack Wolfskin brand names.

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 2. Summary of Significant Accounting Policies

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and its domestic and foreign subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. The Company’s Topgolf subsidiary operates on a 52- or 53-week fiscal year ending on the Sunday closest to December 31. As such, the Topgolf financial information included in the Company's consolidated financial statements for the year ended December 31, 2021 is from March 8, 2021 through January 2, 2022. Additionally, based on the Company's assessment of the combined business, the Company modified the presentation of its consolidated statements of operations for the year ended December 31, 2021 and 2020. For further information about the merger with Topgolf, see Note 6.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States ("GAAP") requires management to make estimates and judgments that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Examples of such estimates include determining the nature and timing of satisfaction of performance obligations as it relates to revenue recognition, the valuation of share-based awards, recoverability of long-lived assets, assessing the fair value of acquired assets and liabilities, assessing intangible assets and goodwill for impairment, determining the incremental borrowing rate for operating and financing leases, in addition to provisions for warranty, expected credit losses, inventory obsolescence, sales returns, future price concessions, and tax contingencies and valuation allowances as well as the estimated useful lives of property, plant and equipment and acquired intangible assets. Actual results may materially differ from these estimates. On an ongoing basis, the Company reviews its estimates to ensure that these estimates appropriately reflect changes in its business or as new information becomes available.

Recent Accounting Standards

In July 2021, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2021-05, “Leases (Topic 842): Lessors - Certain Leases with Variable Lease Payments” which requires lessors to classify and account for a lease with variable lease payments that do not depend on a reference index or a rate as an operating lease if both of the following criteria are met: (1) the lease would have been classified as a sales-type lease or a

direct financing lease in accordance with the classification criteria in Topic 842; and (2) the lessor would have otherwise recognized a day-one loss. The amendments are effective for annual periods beginning after December 15, 2021 with early adoption permitted. The adoption of this ASU will not impact the Company's consolidated financial statements.

In August 2020, FASB issued ASU No. 2020-06, "Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity." This ASU simplifies the accounting for convertible instruments by removing the separation models for (1) convertible debt with a cash conversion feature and (2) convertible instruments with a beneficial conversion feature. As a result, a convertible debt instrument will be accounted for as a single liability measured at its amortized cost. These changes will reduce reported interest expense and increase reported net income for entities that have issued a convertible instrument that was bifurcated according to previously existing rules. Also, this ASU requires the application of the if-converted method for calculating diluted earnings per share and the treasury stock method will be no longer available. The Company has convertible notes with a cash conversion feature that was recognized in equity at the time of issuance (Note 7). As such, the Company will adopt this ASU as of January 1, 2022 under the modified retrospective method of transition. Upon adoption, the Company will (1) derecognize the portion of the cash conversion feature that was accounted for in equity in addition to the remaining unamortized debt discount balance; (2) record a cumulative adjustment in beginning retained earnings representing the reversal of the debt discount amortization recorded in interest expense in prior periods; (3) reclassify the debt issuance costs recorded in equity as an offset to the convertible notes liability, as well as recognize a cumulative adjustment in beginning retained earnings representing the amortization that would have been recognized as interest expense in prior periods; and (4) derecognize the deferred tax liability accounted for in equity and record a cumulative adjustment in beginning retained earnings representing the tax benefit recognized in prior periods. Combined, these adjustments will result in a reduction in additional paid-in capital of $57,080,000, an increase to the convertible debt liability of $57,938,000, a decrease in the deferred tax liability of $13,239,000 and an increase in beginning retained earnings of $12,381,000. In addition, in periods when net income is reported, the Company will use the if-converted method for calculating diluted earnings per share, which will increase net income by the interest expense recognized during the period in connection with the convertible notes, and the diluted share count by approximately 14,700,000 shares.

Adoption of New Accounting Standards

In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires an entity to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC Topic 606. The amendments in this update are effective for fiscal years beginning after December 15, 2022, with early adoption permitted for public organizations whose financial statements have not yet been issued. The Company early adopted this guidance during the year ended December 31, 2021, and derecognized a $3,600,000 deferred revenue haircut with a corresponding increase to Goodwill on its consolidated balance sheet as of December 31, 2021, which was previously included in the liabilities assumed in connection with the Topgolf merger as of March 8, 2021. The Company subsequently recognized $1,300,000 of this deferred revenue in its consolidated statement of operations for the year ended December 31, 2021.

The Company adopted ASU No. 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." This ASU provides optional expedients and exceptions for applying GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference the London Inter-bank Offered Rate ("LIBOR") or another reference rate expected to be discontinued. In January 2021, the FASB issued ASU 2021-01, "Reference Rate Reform (Topic 848): Scope." This ASU clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. This ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. The Company has elected to apply the hedge accounting expedients related to the probability and the assessments of effectiveness of LIBOR-indexed cash flow hedges upon a change in the critical terms of the derivative or the hedged transactions, and upon the end of relief under Topic 848. The Company has elected to continue the method of assessing effectiveness as documented in the original hedge documentation and elects to apply the expedient in Topic 848, which allows the reference rate on the hypothetical derivative to match the reference rate on the hedging instrument. The adoption of this ASU did not have a material impact on the Company's consolidated financial statements and disclosures.

The Company adopted ASU No. 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes." This ASU removes specific exceptions to the general principles in Accounting Standards Codification ("ASC") Topic 740, "Accounting for Income Taxes" and simplifies certain U.S. GAAP requirements. This ASU did not have a material impact on the Company's consolidated financial statements or disclosures.

Significant Accounting Policies

Revenue Recognition

The Company accounts for revenue recognition of products and services in accordance with ASC Topic 606, “Revenue Recognition” (“ASC Topic 606”), "Revenue from Contracts with Customers." See Note 4.

Products Revenue

The Company recognizes revenue from the sale of its golf clubs, golf balls, lifestyle and outdoor apparel, gear and accessories and golf apparel and accessories when it satisfies a performance obligation to a customer, and transfers control of the products ordered to the customer. Control transfers when products are shipped, and in certain cases, when products are received by customers under certain contract terms. In addition, the Company recognizes revenue at the point of sale on transactions with consumers at its retail locations and retail shops within Topgolf locations. Sales taxes, value added taxes and other taxes that are collected in connection with revenue transactions are withheld and remitted to the respective taxing authorities. As such, these taxes are excluded from revenue. The Company elected to account for shipping and handling as activities to fulfill the promise to transfer the good. Therefore, shipping and handling fees that are billed to customers are recognized in revenue and the associated shipping and handling costs are recognized in cost of products as soon as control of the goods transfers to the customer.

The Company, in exchange for a royalty fee, licenses its trademarks and service marks to third parties for use on products such as golf apparel and footwear, practice aids and other golf accessories. Royalty income is recognized over time as underlying product sales occur, subject to certain minimum royalties, in accordance with the related licensing arrangements. Royalty income is included in the Company's Apparel, Gear and Other operating segment.

Revenues from gift cards are deferred and recognized when the cards are redeemed for product purchases. The Company’s gift cards have no expiration date. The Company recognizes revenue from unredeemed gift cards, otherwise known as breakage, when the likelihood of redemption becomes remote and under circumstances that comply with any applicable state escheatment laws. To determine when redemption is remote, the Company analyzes an aging of unredeemed cards (based on the date the card was last used or the activation date if the card has never been used) and compares that information with historical redemption trends. The Company uses this historical redemption rate to recognize breakage on unredeemed gift cards over the redemption period. The Company does not believe there is a reasonable likelihood that there will be a material change in the future estimates or assumptions used to determine the timing of recognition of gift card revenues.

Services Revenue

The Company recognizes revenue from the operation of its Topgolf venues consisting primarily of revenues from food and beverage sales, event deposits, fees charged for gameplay, purchases of game credits and membership fees. In addition, services revenues are recognized through the redemption of gift cards, sponsorship contracts, franchise fees, leasing revenue, the Company’s World Golf Tour ("WGT") digital golf game and non-refundable deposits for venue reservations.

The Company's food and beverage revenue is recognized at the time of sale. Event deposits received from guests attributable to food and beverage purchases are deferred and recognized as revenue when the event is held. Food and beverage revenues are presented net of discounts. All sales taxes collected from guests are excluded from revenue in the consolidated statements of operations and the obligation is included in accounts payable and accrued expenses on the Company’s consolidated balance sheets until the taxes are remitted to the appropriate taxing authorities.

Fees charged for gameplay are recognized at the time of purchase. Event deposits received from guests attributable to gameplay purchases are deferred and recognized as revenue when the event is held. Purchases of game credits are deferred and recognized as revenue when: (i) the game credits are redeemed by the guest; or (ii) the likelihood of the game credits being redeemed by the guest is remote (“game credit breakage”). The Company uses historic game credit redemption

patterns to determine the likelihood of game credit redemption and game credit breakage. Game credit breakage is recorded consistent with the historic redemption pattern.

Membership fees received from guests are deferred and recognized as revenue over the estimated life of the associated membership, which is one year or less.

The Company enters into sponsorship contracts that provide advertising opportunities to market to Topgolf guests in the form of custom displays, lobby displays, digital and print posters and other advertising at Topgolf venues and on Topgolf websites. Sponsorship contracts are typically for a fixed price over a specified length of time and revenue is generally recognized ratably over the contract period unless there is a different predominate pattern of performance.

The Company enters into international development agreements that grant franchise partners the right to develop, open and operate a certain number of venues within a particular geographic area. The franchise partner may be required to pay a territory fee upon entering into a development agreement and a franchise fee for each developed venue. The franchisee will also pay ongoing royalty fees based upon a percentage of sales. The franchise fees are recognized over the franchise term for each venue, which generally ranges from 15 to 20 years. Revenue from sales-based royalties is recognized as the related sales occur.

Leasing revenue is recognized on non-cancelable sales-type lease agreements related to the licensing of Toptracer software and hardware to driving ranges and golf courses.

The Company’s WGT digital golf game is a live service that allows players to play for free via web and mobile gaming platforms. Within the WGT digital golf game, players can purchase virtual currency to obtain virtual goods to enhance their game-playing experience. Revenues from purchases of virtual currency are deferred at the point of purchase and recognized as revenue over the average life of a player, determined using historic gameplay activity patterns.

Variable Consideration

The Company offers certain discounts and promotions on its products and services. The amount of revenue the Company recognizes is based on the amount of consideration it expects to receive from customers. The amount of consideration is the sales price adjusted for estimates of variable consideration, including sales returns, discounts, and allowances as well as sales programs, sales promotions and price concessions that are offered by the Company as described below. These estimates are based on the amounts earned or to be claimed by customers on the related sales and are therefore recorded to the respective net revenue, trade accounts receivable, and sales program liability accounts.

The Company’s primary sales program, the “Preferred Retailer Program,” offers potential rebates and discounts for participating retailers in exchange for providing certain benefits to the Company, including the maintenance of agreed upon inventory levels, prime product placement and retailer staff training. Under this program, qualifying retailers can earn either discounts or rebates based upon the amount of product purchased. Discounts are applied and recorded at the time of sale. For rebates, the Company estimates the amount of variable consideration related to the rebate at the time of sale based on the customer’s estimated qualifying current year product purchases. The estimate is based on the historical level of purchases, adjusted for any factors expected to affect the current year purchase levels. The estimated year-end rebate is adjusted quarterly based on actual purchase levels, as necessary. The Preferred Retailer Program is generally short-term in nature and the actual amount of rebate to be paid under this program is known as of the end of the year and paid to customers shortly after year-end. Historically, the Company's actual amount of variable consideration related to its Preferred Retailer Program has not been materially different from its estimates.

The Company also offers short-term sales program incentives, which include sell-through promotions and price concessions or price reductions. Sell-through promotions are generally offered throughout the product's life cycle of approximately two years, and price concessions or price reductions are generally offered at the end of the product's life cycle. The estimated variable consideration related to these programs is based on a rate that includes historical and forecasted data. The Company records a reduction to product revenues using this rate at the time of the sale. The Company monitors this rate against actual results and forecasted estimates and adjusts the rate as deemed necessary to reflect the amount of consideration it expects to receive from its customers. There were no material changes to the rate during the years ended December 31, 2021, 2020 and 2019. Historically, the Company's actual amount of variable consideration related to these sales programs has not been materially different from its estimates.

The Company records an estimate for anticipated returns as a reduction of sales and cost of sales, and accounts receivable, in the period that the related sales are recorded. Sales returns are estimated based upon historical returns,

current economic trends, changes in customer demands and sell-through of products. The Company also offers certain customers sales programs that allow for specific returns. The Company records a return liability as an offset to accounts receivable for anticipated returns related to these sales programs at the time of the sale based on the terms of the sales program. The cost recovery of inventory associated with this reserve is accounted for in other current assets. Historically, the Company’s actual sales returns have not been materially different from management’s original estimates.

Cost of Products

The Company’s cost of products is comprised primarily of variable costs that fluctuate with sales volumes, including raw materials and component costs, merchandise from third parties, conversion costs including direct labor and manufacturing overhead, and inbound freight, duties, and shipping charges. In addition, cost of products includes retail merchandise costs for products sold in retail shops within Topgolf venue facilities. Fixed overhead expenses include warehousing costs, indirect labor, and supplies, as well as depreciation expense associated with assets used to manufacture and distribute products. In addition, cost of products includes adjustments to reflect inventory at its net realizable value, as well as adjustments for obsolescence and product warranties.

Cost of Services, Excluding Depreciation and Amortization

The Company’s cost of services primarily consists of food and beverage costs and transaction fees with respect to in-app purchases within the Company’s WGT digital golf game. In addition, cost of services includes costs associated with Topgolf's Toptracer license agreements classified as sales-type leases. Food and beverage costs are variable by nature, change with sales volume, and are impacted by product mix and commodity pricing. Cost of services excludes employee costs as well as depreciation and amortization.

Other Venue Expenses

Other venue expenses consist of salaries and wages, bonuses, commissions, payroll taxes, and other employee costs that directly support venue operations, in addition to rent and occupancy costs, property taxes, depreciation associated with venues, supplies, credit card fees and marketing expenses. Other venue expenses include both fixed and variable components and are therefore not directly correlated with revenue.

Venue Pre-Opening Costs

Pre-opening costs primarily include costs associated with activities prior to the opening of a new Company-operated venue and consist of, but are not limited to, labor, rent, occupancy costs, travel and marketing expenses. Pre-opening costs fluctuate based on the timing, size and location of new Company-operated venues.

Selling, General and Administrative Expenses (SG&A)

SG&A expenses are comprised primarily of employee costs, advertising and promotional costs, tour expenses, legal and professional fees, travel expenses, building and rent expenses, depreciation charges (excluding those related to manufacturing, distribution and venue operations), amortization of intangible assets, and other miscellaneous expenses.

Research and Development Expenses

Research and development expenses are comprised of costs to develop or significantly improve the Company's products and technology, which primarily include the salaries and wages of personnel engaged in research and development activities, research costs and depreciation expense. Other than software development costs qualifying for capitalization, research and development costs are expensed as incurred.

Business Combinations

The Company uses its best estimates and assumptions to determine the fair value of tangible and intangible assets acquired and liabilities assumed, as well as the uncertain tax positions and tax-related valuation allowances that are initially recorded in connection with a business combination. These estimates and assumptions are uncertain and may require adjustment. During the measurement period of one year from the acquisition date, the Company continues to collect information and reevaluate these estimates and assumptions, and records adjustments to these estimates to goodwill. Any adjustments to the acquired assets and liabilities assumed that are identified subsequent to the measurement period are recorded in earnings.

Advertising Costs

The Company's primary advertising costs include television, print, Internet, and media placement. The Company’s policy is to expense advertising costs, including production costs, as incurred. Advertising expenses for the years ended December 31, 2021, 2020 and 2019 were $108,399,000, $83,361,000 and $93,331,000, respectively, which is recognized within SG&A expenses on the accompanying consolidated statement of operations.

Cash, Cash Equivalents and Restricted Cash

Cash equivalents are highly liquid investments purchased with original maturities of three months or less. Restricted cash is primarily comprised of deposits associated with gift cards as required under certain statutory mandates, and lender impound reserve accounts for the development of one of the Company’s venues. Long-term restricted cash is included in other assets on the accompanying consolidated balance sheet as of December 31, 2021. The Company had no restricted cash as of December 31, 2020. The following is a summary of cash, cash equivalents and restricted cash as of December 31, 2021 and December 31, 2020 (in thousands):


	Year Ended December 31,
	2021		2020
Cash and cash equivalents	$	352,221	$	366,119
Restricted cash, short-term	1,164		—
Restricted cash, long-term	4,303		—
Total cash, cash equivalents and restricted cash	$	357,688	$	366,119

Inventories

The Company's inventory is recorded at the lower of cost or net realizable value, which includes a reserve for excess, obsolete and/or unmarketable inventory. This reserve is regularly assessed based on current inventory levels, sales trends, and historical experience, as well as management’s estimates of market conditions and forecasts of future product demand, all of which are subject to change. The Company utilizes the standard costing method, determined on the first-in, first-out basis, for its golf equipment inventory and soft goods inventory sold under the TravisMathew, OGIO, Callaway and Jack Wolfskin brands. Golf equipment inventory, which is directly manufactured by the Company, includes finished goods, raw materials, labor and manufacturing overhead costs and work in process. The Company's soft goods product lines, which are manufactured by third-party contractors, primarily include finished good products. Toptracer hardware and software, food and beverage products and Topgolf-specific retail merchandise inventories are stated at weighted average cost.

Property, Plant and Equipment

Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over estimated useful lives generally as follows:


Buildings and improvements			10-40 years
Machinery and equipment			5-10 years
Furniture, computer hardware and equipment			3-5 years
Internal-use software			3-5 years
Production molds			2-5 years

Buildings capitalized in conjunction with Deemed Landlord Financing ("DLF") obligations where the Company is deemed to be the accounting owner are depreciated, less residual value, over the shorter of 40 years or the lease term.

In accordance with ASC Topic 350-40, “Internal-Use Software,” the Company capitalizes certain costs incurred in connection with developing or obtaining internal use software. Costs incurred in the preliminary project stage are expensed. All direct external costs and internal direct labor costs incurred to develop internal-use software during the development stage are capitalized and depreciated using the straight-line method over the remaining estimated useful lives. Costs such as maintenance and training are expensed as incurred. In accordance with ASC Topic 985-20, “Costs of Software to Be Sold, Leased, or Marketed,” costs incurred to establish the technological feasibility of software to be sold, leased, or otherwise marketed are expensed and recorded in research and development expense on the consolidated statements of operations. Once technological feasibility is established, costs are capitalized until the product is available for general use and then depreciated over the estimated useful life. The Company's Internal-Use Software balance as of December 31, 2021 and 2020 was $81,616,000 and $42,082,000, respectively.

The Company recorded depreciation expense of $142,781,000, $34,388,000, and $30,085,000 for the years ended December 31, 2021, 2020, and 2019, respectively.

Leases

The Company leases office space, manufacturing plants, warehouses, distribution centers, Company-operated Topgolf venues, vehicles, and equipment, as well as retail and/or outlet locations related to the TravisMathew and Jack Wolfskin businesses and the apparel business in Japan. Certain real estate leases include one or more options to extend the lease term, options to purchase the leased property at the Company's sole discretion or escalation clauses that increase the rent payments over the lease term. When deemed reasonably certain of exercise, the renewal and purchase options are included in the determination of the lease term and lease payment obligation, respectively. The depreciable life of machinery and equipment, computer equipment and leasehold improvements are limited by the expected lease term unless there is a transfer of title or purchase option reasonably certain of exercise. Certain leases may require an additional contingent rent payment based on a percentage of total gross sales greater than certain specified threshold amounts. The Company recognizes contingent rent expense when it is probable that sales thresholds will be reached during the fiscal year. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants.

Right-of-use ("ROU") assets represent the right to use an underlying asset during the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date of the lease based on the present value of lease payments over the lease term. When readily determinable, the Company uses the rate implicit in the lease agreement in determining the present value of minimum lease payments. If the implicit rate is not provided, the Company uses its incremental borrowing rate based on information available at the lease commencement date, including the lease term. At the commencement of a lease, the ROU asset for operating leases is measured by taking the sum of the present value of the lease liability, initial direct costs (if any) and prepaid lease payments (if any) and deducting lease incentives (if any). After the lease commencement date and over the lease term, lease expense is recognized as a single lease cost on a straight-line basis. Lease agreements related to properties are generally comprised of lease components and non-lease components. Non-lease components, such as common area maintenance charges, property taxes and insurance, are expensed as incurred and recognized separately from the straight-line lease expense. Variable lease payments that do not depend on an index or rate, such as rental payments based on a percentage of retail revenue over contractual levels, are expensed separately as incurred, and are not included in the measurement of the ROU asset and lease liability. Variable lease payments that depend on an index or rate, such as rates that are adjusted periodically for inflation, are included in the initial measurement of the ROU asset and lease liability and are recognized on a straight-line basis over the lease term.

underlying asset should be derecognized. When the application of the sale and leaseback guidance results in a sale, the asset and liability on the Company’s balance sheet are derecognized. When the application of the sale and leaseback guidance results in a failed sale, the asset remains on the Company’s balance sheet and is depreciated over its respective useful life or the lease term, whichever is shorter, and the liability is accounted for as a DLF obligation. These DLF obligations are generally non-cancelable leases with initial terms of 20 years containing various renewal options following the initial term and escalation clauses that increase the payments over the lease term.

With respect to the Company’s Toptracer operations, the Company enters into non-cancelable license agreements that provide software and hardware to driving ranges and golf courses. These license agreements provide the customer the right to use Company-owned software and hardware products for a specified period generally ranging from three to five years. The software and hardware are a distinct bundle of goods that are highly interrelated. At the inception of the arrangement, lease classification is assessed, which generally results in the license agreements being classified as sales-type leases. Upon lease commencement for sales-type leases, revenue is recognized for the software and hardware as a single component, and a leasing receivable is recorded consisting of the present value of payments over the non-cancelable term. Interest income on the leasing receivable is recognized over the lease term. The Company manages its risk on its sales-type leases through pricing and the terms of the leases. Any equipment returned to the Company as a result of a cancellation of a lease may be leased or sold to other customers, therefore risk associated with the Company’s sales-type leases is considered minimal.

Long-Lived Assets and Finite-Lived Intangible Assets

The Company assesses potential impairments of its long-lived assets, namely property, plant and equipment and ROU assets, and acquired intangible assets that are subject to amortization, such as acquired customer and distributor relationships, in accordance with ASC Topic 360 “Impairment or Disposal of Long-Lived Assets” ("ASC Topic 360") whenever events or changes in circumstances indicate that the asset’s carrying value may not be recoverable. An impairment charge would be recognized when the carrying amount of a long-lived asset or asset group is not recoverable and exceeds its fair value. The carrying amount of a long-lived asset or asset group is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset or asset group.

Goodwill and Intangible Assets

The Company's intangible assets, which are comprised of goodwill, trade names, trademarks, service marks, trade dress, customer and distributor relationships, and other intangible assets were acquired in connection with the acquisitions of Odyssey Sports, Inc., FrogTrader, Inc., OGIO, TravisMathew, Jack Wolfskin, Topgolf, and certain foreign distributors.

Costs related to the development, maintenance or renewal of internally developed intangible assets that are inherent in the Company's continuing business that were not acquired as a part of a business combination or asset acquisition, are expensed as incurred.

In accordance with ASC Topic 350, “Intangibles—Goodwill and Other,” goodwill and intangible assets with indefinite lives are not amortized but instead are measured for impairment at least annually or more frequently when events indicate that an impairment exists. The Company calculates impairment as the excess of the carrying value of goodwill and other indefinite-lived intangible assets over their estimated fair value. If the carrying value exceeds the estimate of fair value a write-down is recorded. To determine fair value, the Company uses discounted cash flow estimates, quoted market prices, royalty rates when available and independent appraisals when appropriate.

During 2020, due to the significant disruptions caused by the COVID-19 pandemic on the Company's operations, the Company performed a qualitative assessment considering the macroeconomic conditions caused by the COVID-19 pandemic, and the potential impact on the Company's sales and operating income for the remainder of fiscal 2020 and potentially beyond. As a result, the Company determined that there were indicators of impairment, and proceeded with a quantitative assessment to test the recoverability of goodwill for all of its reporting units, in addition to the recoverability of indefinite-lived intangible assets, consisting primarily of the trade names and trademarks associated with the Company's brands. Based on this assessment, the Company determined that the fair values of the Jack Wolfskin reporting unit and the Jack Wolfskin trade name were less than their carrying values. As a result the Company recognized impairment losses to write-off the goodwill associated with the Jack Wolfskin reporting unit and write-down the trade name associated with the Jack Wolfskin brand name to its new estimated fair value. For further discussion, see Note 9.

Intangible assets that are determined to have definite lives are amortized over their estimated useful lives and are measured for impairment in accordance with ASC Topic 360 as discussed above, only when events or circumstances indicate the carrying value may be impaired. See Note 9 for further discussion of the Company’s intangible assets.

Investments

The Company determines the appropriate classification of its investments at the time of acquisition and reevaluates such classification at each balance sheet date. Investments that do not have readily determinable fair values are stated at cost, and are evaluated for changes in fair value if there is an observable price change in an orderly transaction for an identical or similar investment in accordance with ASU 2016-01 (Subtopic 825-10) "Recognition and Measurement of Financial Assets and Financial Liabilities." The Company monitors investments for impairment whenever events or changes in circumstances indicate that the investment's carrying value may not be recoverable. An impairment charge would be recognized when the carrying amount exceeds its fair value. See Note 10 for further discussion of the Company’s investments.

Foreign Currency Translation and Transactions

A significant portion of the Company’s business is conducted outside of the United States in currencies other than the U.S. dollar. As a result, changes in foreign currency exchange rates can have a significant effect on the Company’s financial results. Revenues and expenses that are denominated in foreign currencies are translated using the average exchange rate for the period. Assets and liabilities are translated at the rate of exchange on the balance sheet date. Gains and losses from assets and liabilities denominated in a currency other than the functional currency of the entity in which they reside are generally recognized currently in the Company's statements of operations. Gains and losses from the translation of foreign subsidiary financial statements into U.S. dollars are included in accumulated other comprehensive income or loss.

Derivatives and Hedging

In order to mitigate the impact of foreign currency translation on transactions and changes in interest rates, the Company uses foreign currency forward contracts and interest rate hedge contracts that are accounted for as designated and non-designated hedges pursuant to ASC Topic 815, “Derivatives and Hedging” (“ASC Topic 815”). ASC Topic 815 requires that an entity recognize all derivatives as either assets or liabilities on the balance sheet, measure those instruments at fair value and recognize changes in fair value in earnings in the period of change unless the derivative qualifies as designated cash flow hedge that offsets certain exposures. Certain criteria must be satisfied in order for derivative financial instruments to be classified and accounted for as a cash flow hedge. Derivatives that are not elected for hedge accounting treatment are recorded immediately in earnings.

The Company would discontinue hedge accounting prospectively (i) if it is determined that the derivative is no longer effective in offsetting changes in the cash flows of a hedged item, (ii) when the derivative expires or is sold, terminated, or exercised, (iii) if it becomes probable that the forecasted transaction being hedged by the derivative will not occur, (iv) if a hedged firm commitment no longer meets the definition of a firm commitment, or (v) if it is determined that designation of the derivative as a hedge instrument is no longer appropriate. The Company estimates the fair value of its foreign currency forward contracts based on pricing models using current market rates. These contracts are classified under Level 2 of the fair value hierarchy. See Note 19 for further discussion of the Company's financial instruments.

Share-Based Compensation

The Company may grant restricted stock units and awards, performance based awards, stock options and stock appreciation rights, and other equity based awards to its officers, employees, consultants and other non-employees who provide services to the Company under its stock incentive plans, The Company accounts for its share-based compensation arrangements in accordance with ASC Topic 718, “Compensation—Stock Compensation,” which requires the measurement and recognition of compensation expense, less a reduction for estimated forfeitures, for all share-based payment awards to employees and non-employees based on estimated fair values. Estimated forfeitures are based on historical forfeiture trends. If actual forfeiture rates are not consistent with the Company’s estimates, the Company may be required to increase or decrease compensation expenses in future periods. Stock awards subject to the achievement of performance measures are accounted for under ASU No. 2014-12, "Compensation—Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period."

Restricted Stock Awards and Restricted Stock Units

The estimated fair value of restricted stock awards and restricted stock units (collectively “restricted stock”) is calculated based on the closing price of the Company's common stock on the date of grant multiplied by the number of

shares of restricted stock granted. Compensation expense, less an estimate for forfeitures, is recognized on a straight-line basis over a vesting period of three to five years from the date of grant.

Performance Based Awards

The Company grants performance based awards ("PRSUs") in which the number of shares ultimately received depends on the Company's performance against specified metrics that are measured from the grant date through the performance period end. Performance measures include adjusted earnings before interest, taxes, depreciation, amortization ("EBITDA"), earnings per share ("EPS"), adjusted pre-tax income ("APTI") and total shareholder return ("rTSR"). The performance period for these awards ranges from three to five years from the date of grant. Performance based awards based on EBITDA, EPS and APTI are initially valued at the Company's closing stock price on the date of grant. The grant date fair value of the PRSUs tied to rTSR is based on a fixed value derived from a Monte Carlo simulation, which utilizes the stock volatility, dividend yield and market correlation of the Company and the Company's peer group, and on the probable achievement of 100% of the rTSR performance goals as determined on the date of grant. Compensation expense for all performance based awards is recognized, net of an estimate for forfeitures, on a straight-line basis over a vesting period of three to five years, and is adjusted according to the anticipated cumulative performance level of achievement over the performance period relative to the grant, which ranges from 0% to 200% of the participant's target award. If the performance goals are not probable of achievement during the performance period, compensation expense is reversed. Awards that do not achieve the minimum cumulative performance threshold over the performance period are forfeited at the end of the specified performance period.

Stock Options

All stock option grants made under the 2004 Incentive Plan are made at exercise prices no less than the Company’s closing stock price on the date of grant. Outstanding stock options generally vest over a three-year period from the grant date and generally expire up to 10 years after the grant date.

The Company records compensation expense for employee stock options based on the estimated fair value of the options on the date of grant using the Black-Scholes option-pricing model. The model uses various assumptions, including a risk-free interest rate, the expected term of the options, the expected stock price volatility, and the expected dividend yield. Compensation expense for employee stock options is recognized over the vesting term and is reduced by an estimate for forfeitures, which is based on the Company’s historical forfeitures of unvested options and awards.

See Note 17 for further discussion of the Company's share based compensation.

Income Taxes

Current income tax expense or benefit is the amount of income taxes expected to be payable or receivable for the current year. A deferred income tax asset or liability is established for the difference between the tax basis of an asset or liability computed pursuant to ASC Topic 740, “Income Taxes” (“ASC Topic 740”), and its reported amount in the financial statements that will result in taxable or deductible amounts in future years when the reported amount of the asset or liability is recovered or settled, respectively. In accordance with the applicable accounting rules, the Company maintains a valuation allowance for a deferred tax asset when it is deemed to be more likely than not that some or all of the deferred tax assets will not be realized. In evaluating whether a valuation allowance is required under such rules, the Company considers all available positive and negative evidence, including prior operating results, the nature and reason for any losses, its forecast of future taxable income, and the dates on which any deferred tax assets are expected to expire. These assumptions require a significant amount of judgment, including estimates of future taxable income. These estimates are based on the Company’s best judgment at the time made based on current and projected circumstances and conditions. For further information, see Note 14.

Pursuant to ASC Topic 740, the Company is required to accrue for the estimated additional amount of taxes for uncertain tax positions if it is deemed to be more likely than not that the Company would be required to pay such additional taxes. The Company is required to file federal and state income tax returns in the United States and various other income tax returns in foreign jurisdictions. The preparation of these income tax returns requires the Company to interpret the applicable tax laws and regulations in effect in such jurisdictions, which could affect the amount of tax paid by the Company. The Company accrues an amount for its estimate of additional tax liability, including interest and penalties in income tax expense, for any uncertain tax positions taken or expected to be taken in an income tax return. The Company reviews and updates the accrual for uncertain tax positions as more definitive information becomes available. Historically,

additional taxes paid as a result of the resolution of the Company’s uncertain tax positions have not been materially different from the Company’s expectations. The Company recognizes interest and/or penalties related to income tax matters in income tax expense. For further information, see Note 14.

Other Income, Net

Other income, net primarily includes gains and losses on foreign currency forward contracts, cross-currency swap contracts and foreign currency transactions. The components of other income, net are as follows (in thousands):


	Years Ended December 31,
	2021		2020		2019
Foreign currency forward contract gain, net	$	14,413	$	2,910	$	6,947
Foreign currency transaction gain (loss), net	(6,368)		9,024		(5,838)
Settlement of cross-currency swap contract (See Note 20)	—		11,046		—
Other	916		1,989		485
	$	8,961	$	24,969	$	1,594

Concentration of Risk

On a consolidated basis, no single customer accounted for more than 10% of the Company’s consolidated revenues in 2021, 2020 or 2019. The Company's top five customers accounted for approximately 13% of the Company's consolidated revenues in 2021, 20% in 2020, and 18% in 2019.

The Company's top five customers specific to the Golf Equipment and Apparel, Gear and Other operating segments represented the following as a percentage of each segment's total net revenues:

•Golf Equipment customers accounted for approximately 24%, 25% and 23% of total consolidated Golf Equipment sales in 2021, 2020, and 2019, respectively; and

•Apparel, Gear and Other customers accounted for approximately 17%, 12% and 11% of total consolidated Apparel, Gear and Other sales in 2021, 2020, and 2019, respectively.

With respect to the Company's trade receivables, the Company performs ongoing credit evaluations of its customers’ financial condition and generally requires no collateral from these customers. The Company maintains reserves for estimated credit losses, which it considers adequate to cover any such losses. At December 31, 2021 and 2020, one customer represented 11% and 16%, respectively, of the Company’s outstanding accounts receivable balance.

Of the Company’s total net revenues, approximately 34%, 51% and 54% were derived from sales outside of the United States in 2021, 2020 and 2019, respectively. As a result of this international business, the Company is exposed to increased risks inherent in conducting business outside of the United States, including (i) adverse changes in foreign currency exchange rates (discussed further below); (ii) increased difficulty in protecting the Company's intellectual property rights and trade secrets; (iii) unexpected government action or changes in legal or regulatory requirements; (iv) social, economic weakness, including inflation, or political instability; (v) increased difficulty in ensuring compliance by employees, agents and contractors with the Company’s policies as well as with the laws of multiple jurisdictions; (vi) increased difficulty in controlling and monitoring foreign operations from the United States; and (vii) increased exposure to interruptions in air carrier or ship services.

The Company is dependent on a limited number of suppliers for its clubheads and shafts, some of which are single sourced. Furthermore, some of the Company’s products require specially developed manufacturing techniques and processes which make it difficult to identify and utilize alternative suppliers quickly. The Company also depends on a single or a limited number of suppliers for the materials it uses to make its golf balls. Many of these materials are customized for the Company.

The Company’s financial instruments that are subject to concentrations of credit risk consist primarily of cash equivalents, trade receivables, foreign currency forward contracts, cross-currency debt swap contracts and interest rate hedge contracts. From time to time, the Company invests its excess cash in money market accounts and short-term U.S. government securities and has established guidelines relative to diversification and maturities in an effort to maintain safety and liquidity. These guidelines are periodically reviewed and modified to take advantage of trends in yields and interest rates.

The Company enters into foreign currency forward contracts for the purpose of hedging foreign exchange rate exposures on existing or anticipated transactions, and interest rate hedge contracts for the purpose of hedging interest rate exposures on its term loan facility. In the event of a failure to honor one of these contracts by one of the banks with which the Company has contracted, management believes any loss would be limited to the exchange rate differential from the time the contract was made until the time it was settled. The Company's hedging contracts are subject to a master netting agreement with each respective counterparty bank and are therefore net settled.

Leases

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Leases

Note 3. Leases

Sales-Type Leases

With respect to the Company's Toptracer operations, the Company enters into non-cancelable license agreements that provide software and hardware to driving ranges and hospitality and entertainment venues, which are classified as sales-type leases.

Leasing revenue attributed to sales-type leases was $34,116,000 for the year ended December 31, 2021 and are included in services revenues within the consolidated statement of operations. There were no revenues attributed to sales-type leases for the years ended December 31, 2020 and 2019. Leasing revenue attributed to sales-type leases consists of the selling price and interest income as follows (in thousands):


	December 31, 2021
Sales-type lease selling price(1)	$	29,789
Cost of underlying assets	(11,862)
Operating profit	$	17,927

Interest income	$	4,327

____________

(1) Selling price is equal to the present value of lease payments over the non-cancelable term.

Leasing receivables related to the Company’s net investment in sales-type leases are as follows (in thousands):


	Balance Sheet Location	December 31, 2021
Leasing receivables, net - short-term	Other current assets	$	12,843
Leasing receivables - long-term	Other assets	44,080
		$	56,923

Operating and Finance Leases

As a lessee, the Company leases office space, manufacturing plants, warehouses, distribution centers, Company-operated Topgolf venues, vehicles, and equipment, as well as retail and/or outlet locations related to the TravisMathew and Jack Wolfskin businesses and the apparel business in Japan. See Note 1 for the Company’s significant accounting polices related to its leasing activities

In response to the COVID-19 pandemic, the Company received certain rent concessions in the form of deferments and abatements on a few of its operating leases. The Company opted to not modify these leases in accordance with the FASB Staff Q&A: ASC Topic 842 and ASC Topic 840: "Accounting For Lease Concessions Related to the Effects of the COVID-19 Pandemic" issued in April 2020, and account for these concessions as if they were made under the enforceable rights included in the original agreement. Rent deferments were recorded as a payable and paid at a later negotiated date. Rent abatements were recognized as reductions in rent expense over the periods covered by the abatement period. The Company received rent deferments of $687,000, which were recorded in accounts payable and accrued expenses in the Consolidated Balance Sheet as of December 31, 2020, and rent abatements of $1,435,000 which were recorded as reductions in rent expense in the Consolidated Statements of Operations for the year ended December 31, 2020. As of December 31, 2021 the Company recorded rent deferments of $3,853,000 of which $3,224,000 was recorded in accrued expenses, and $629,000 was recorded in other long-term liabilities in the consolidated balance sheets. There were no material rent abatements recorded for the year ended December 31, 2021.

Supplemental balance sheet information related to leases is as follows (in thousands):


		December 31,
	Balance Sheet Location	2021		2020
Operating leases:
ROU assets, net	Operating lease right-of-use assets, net	$	1,384,501	$	194,776
Lease liabilities, short-term	Operating lease liabilities, short-term	$	72,326	$	29,579
Lease liabilities, long-term	Operating lease liabilities, long-term	$	1,385,364	$	177,996

Finance Leases:
ROU assets, net,	Other assets	$	129,500	$	1,003
Lease liabilities, short-term	Accounts payable and accrued expenses	$	1,838	$	252
Lease liabilities, long-term	Long-term other	$	132,461	$	447

The components of lease expense are as follows (in thousands):


	Year Ended December 31,
	2021		2020		2019
Operating lease costs	$	146,286	$	42,520	$	38,449
Financing lease costs:
Amortization of right-of-use assets	3,182		870		845
Interest on lease liabilities	4,542		47		83
Total financing lease costs	7,724		917		928
Variable lease costs	6,511		2,473		4,361
Total lease costs	$	160,521	$	45,910	$	43,738

Other information related to leases was as follows (in thousands):


	December 31,
Supplemental Cash Flows Information	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	123,637		$	39,774
Operating cash flows from finance leases	$	2,802		$	47
Operating cash flows from DLF leases	$	17,695		$	—
Financing cash flows from finance leases	$	830		$	792

Lease liabilities arising from new ROU assets:
Operating leases	$	19,625		$	65,547
Finance leases	$	52,742		$	139

Weighted average remaining lease term (years):
Operating leases	14.1			9.8
Finance leases	36.2			3.0

Weighted average discount rate:
Operating leases	5.3		%	5.3		%
Finance leases	5.3		%	3.9		%

Future minimum lease obligations as of December 31, 2021 were as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	138,725	$	15,035
2023	136,064		15,688
2024	133,406		15,429
2025	130,883		15,241
2026	125,796		15,575
Thereafter	1,230,228		629,948
Total future lease payments	1,895,102		706,916
Less: imputed interest	437,412		572,617
Total	$	1,457,690	$	134,299

Lease payments exclude $1,518,384,000 related to 14 non-cancelable leases that have been signed as of December 31, 2021 but have not yet commenced. The Company's minimum capital commitment related to leases, net of amounts reimbursed by third-party real estate financing partners, was approximately $66,000,000 as of December 31, 2021. As the Company is actively involved in the construction of these properties, the Company recorded $208,134,000 in construction costs within property, plant and equipment as of December 31, 2021. Additionally, as of December 31, 2021, the Company recorded $22,943,000 in construction advances from the landlord in connection with properties, which is included on the Company's consolidated balance sheet as of December 31, 2021. The Company will determine the lease classification for properties currently under construction at the end of the construction period. The initial base term upon the commencement of these leases is generally 20 years.

Financing Obligations (Deemed Landlord Financing Obligations)

During 2021, the Company accounted for 29 DLF obligations, each of which represented a failed sale following the application of sale-leaseback criteria within ASC Topic 842, “Leases”. As of December 31, 2021, the Company was the accounting owner of a total of 15 buildings under DLF obligations of which the net book value included in property, plant and equipment on the consolidated balance sheet related to these buildings totaled $521,361,000. DLF obligations included in property, plant and equipment are offset by total DLF obligation liabilities of $461,537,000 on the Company's consolidated balance sheet as of December 31, 2021. Buildings capitalized in conjunction with DLF obligations are depreciated, less residual value, over 40 years or over their estimated useful life, whichever is shorter.

Supplemental balance sheet information related to DLF obligations is as follows (in thousands):


	Balance Sheet Location	December 31, 2021
DLF obligation liabilities, short-term	Accrued expenses	$	903
DLF obligation liabilities, long-term	Deemed landlord financing, long-term	$	460,634

The components of DLF obligation expenses are as follows (in thousands):


	Income Statement Location	December 31, 2021
Amortization of DLF obligations	Amortization expense	$	5,707
Interest on DLF obligations	Interest expense, net	28,039
Total DLF contracts expenses		$	33,746

Payments on DLF obligations represent payments related to interest accretion for the year ended December 31, 2021.


Supplemental Cash Flows Information (dollars in thousands)	December 31, 2021
Operating cash outflows from DLF obligations	$	17,695

Weighted average remaining term (years)	39.0
Weighted average discount rate	9.2		%

Future minimum financing obligations related to DLF obligations as of December 31, 2021 were as follows (in thousands):


2022	$	33,337
2023	36,403
2024	37,585
2025	37,961
2026	38,930
Thereafter	1,916,536
Total future payments	2,100,752
Less: imputed interest	1,639,215
Total	$	461,537

Leases

Note 3. Leases

Sales-Type Leases


	December 31, 2021
Sales-type lease selling price(1)	$	29,789
Cost of underlying assets	(11,862)
Operating profit	$	17,927

Interest income	$	4,327

____________

(1) Selling price is equal to the present value of lease payments over the non-cancelable term.

Leasing receivables related to the Company’s net investment in sales-type leases are as follows (in thousands):


	Balance Sheet Location	December 31, 2021
Leasing receivables, net - short-term	Other current assets	$	12,843
Leasing receivables - long-term	Other assets	44,080
		$	56,923

Operating and Finance Leases

Supplemental balance sheet information related to leases is as follows (in thousands):


		December 31,
	Balance Sheet Location	2021		2020
Operating leases:
ROU assets, net	Operating lease right-of-use assets, net	$	1,384,501	$	194,776
Lease liabilities, short-term	Operating lease liabilities, short-term	$	72,326	$	29,579
Lease liabilities, long-term	Operating lease liabilities, long-term	$	1,385,364	$	177,996

Finance Leases:
ROU assets, net,	Other assets	$	129,500	$	1,003
Lease liabilities, short-term	Accounts payable and accrued expenses	$	1,838	$	252
Lease liabilities, long-term	Long-term other	$	132,461	$	447

The components of lease expense are as follows (in thousands):


	Year Ended December 31,
	2021		2020		2019
Operating lease costs	$	146,286	$	42,520	$	38,449
Financing lease costs:
Amortization of right-of-use assets	3,182		870		845
Interest on lease liabilities	4,542		47		83
Total financing lease costs	7,724		917		928
Variable lease costs	6,511		2,473		4,361
Total lease costs	$	160,521	$	45,910	$	43,738

Other information related to leases was as follows (in thousands):


	December 31,
Supplemental Cash Flows Information	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	123,637		$	39,774
Operating cash flows from finance leases	$	2,802		$	47
Operating cash flows from DLF leases	$	17,695		$	—
Financing cash flows from finance leases	$	830		$	792

Lease liabilities arising from new ROU assets:
Operating leases	$	19,625		$	65,547
Finance leases	$	52,742		$	139

Weighted average remaining lease term (years):
Operating leases	14.1			9.8
Finance leases	36.2			3.0

Weighted average discount rate:
Operating leases	5.3		%	5.3		%
Finance leases	5.3		%	3.9		%

Future minimum lease obligations as of December 31, 2021 were as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	138,725	$	15,035
2023	136,064		15,688
2024	133,406		15,429
2025	130,883		15,241
2026	125,796		15,575
Thereafter	1,230,228		629,948
Total future lease payments	1,895,102		706,916
Less: imputed interest	437,412		572,617
Total	$	1,457,690	$	134,299

Financing Obligations (Deemed Landlord Financing Obligations)

Supplemental balance sheet information related to DLF obligations is as follows (in thousands):


	Balance Sheet Location	December 31, 2021
DLF obligation liabilities, short-term	Accrued expenses	$	903
DLF obligation liabilities, long-term	Deemed landlord financing, long-term	$	460,634

The components of DLF obligation expenses are as follows (in thousands):


	Income Statement Location	December 31, 2021
Amortization of DLF obligations	Amortization expense	$	5,707
Interest on DLF obligations	Interest expense, net	28,039
Total DLF contracts expenses		$	33,746

Payments on DLF obligations represent payments related to interest accretion for the year ended December 31, 2021.


Supplemental Cash Flows Information (dollars in thousands)	December 31, 2021
Operating cash outflows from DLF obligations	$	17,695

Weighted average remaining term (years)	39.0
Weighted average discount rate	9.2		%

Future minimum financing obligations related to DLF obligations as of December 31, 2021 were as follows (in thousands):


2022	$	33,337
2023	36,403
2024	37,585
2025	37,961
2026	38,930
Thereafter	1,916,536
Total future payments	2,100,752
Less: imputed interest	1,639,215
Total	$	461,537

Revenue Recognition

12 Months Ended

Dec. 31, 2021

Revenue Recognition [Abstract]

Revenue Recognition

Note 4. Revenue Recognition

The Company primarily recognizes revenue from the sale of its products and operation of its venues. Revenue from product sales include golf clubs, golf balls, lifestyle and outdoor apparel, gear and accessories, and golf apparel and accessories. The Company sells its products to customers, which include on- and off-course golf shops and national retail stores, as well as to consumers through its e-commerce business and at its apparel retail and venue locations. The Company's product revenues also include royalty income from third parties from the licensing of certain soft goods products. Revenue from services primarily includes venue sales of food and beverage, fees charged for gameplay, and the sale of game credits to guests. Service revenues also include franchise fees from franchised international venues, as well as revenue from gift cards, sponsorship contracts, franchise fees, leasing revenue and non-refundable deposits received for venue reservations. In addition, the Company recognizes service revenues through its online multiplayer WGT digital golf game.

The Company's contracts with customers for its products are generally in the form of a purchase order. In certain cases, the Company enters into sales agreements containing specific terms, discounts and allowances. The Company enters into licensing agreements with certain distributors and, with respect to the Company's Toptracer operations, driving ranges and hospitality and entertainment venues.

The Company has three operating and reportable segments, namely the Topgolf operating segment, the Golf Equipment operating segment and the Apparel, Gear and Other operating segment. On March 8, 2021, the Company completed its merger with Topgolf. The Company’s results of operations, therefore, include the operations of Topgolf from that date forward. Topgolf contributed $1,087,671,000 in net revenues for the year ended December 31, 2021 which includes approximately ten months of revenues since the completion of the merger.

The following table presents the Company's revenue disaggregated by major category and operating and reportable segment (in thousands):


	Year Ended December 31, 2021
	Topgolf		Golf Equipment		Apparel, Gear & Other		Total
Venues	$	1,014,106	$	—	$	—	$	1,014,106
Other business lines	73,565		—		—		73,565
Golf clubs	—		994,479		—		994,479
Golf balls	—		234,696		—		234,696
Apparel	—		—		490,872		490,872
Gear, accessories & other	—		—		325,729		325,729
	$	1,087,671	$	1,229,175	$	816,601	$	3,133,447


	Year Ended December 31, 2020
	Golf Equipment		Apparel, Gear & Other		Total


Golf clubs	$	787,072	$	—	787,072
Golf balls	195,603		—		195,603
Apparel	—		349,272		349,272
Gear, accessories & other	—		257,513		257,513
	$	982,675	$	606,785	$	1,589,460


	Year Ended December 31, 2019
	Golf Equipment		Apparel, Gear & Other		Total


Golf clubs	$	768,310	$	—	$	768,310
Golf balls	210,863		—		210,863
Apparel	—		410,712		410,712
Gear, accessories & other	—		311,178		311,178
	$	979,173	$	721,890	$	1,701,063

The Company sells its golf equipment products and apparel, gear and accessories in the United States and internationally, with its principal international regions being Japan and Europe. On a regional basis, sales of golf equipment are generally higher than sales of apparel gear and other in most regions other than Europe, which has a higher concentration of apparel, gear and other sales as a result of Jack Wolfskin, which is headquartered in Germany. Venues revenue is higher in the United States, as Topgolf has more domestic venues than international. Other business lines revenue is predominantly in the United States and Europe.

The following table summarizes revenue by geographical areas in which the Company operates (in thousands):


	Years Ended December 31,
	2021		2020		2019
Revenue by Major Geographic Region:
United States	$	2,067,070	$	778,600	$	788,232
Europe	499,533		372,957		428,628
Japan	243,848		212,055		246,260
Rest of world	322,996		225,848		237,943
	$	3,133,447	$	1,589,460	$	1,701,063

Product Sales

The Company recognizes revenue from the sale of its products when it satisfies the terms of a performance obligation from a customer, and transfers control of the products ordered to the customer. Control transfers when products are shipped, and in certain cases, when products are received by customers. In addition, the Company recognizes revenue at the point of sale on transactions with consumers at its retail locations. Sales taxes, value added taxes and other taxes that are collected in connection with revenue transactions are withheld and remitted to the respective taxing authorities. As such, these taxes are excluded from revenue. The Company elected to account for shipping and handling as activities to fulfill the promise to transfer the good. Therefore, shipping and handling fees that are billed to customers are recognized in revenue and the associated shipping and handling costs are recognized in cost of goods sold as soon as control of the goods transfers to the customer.

The Topgolf operating segment contributed $12,946,000 in product sales for the year ended December 31, 2021 which are included within the consolidated statements of operations, which include sales of golf clubs, golf balls, apparel and equipment.

Royalty Income

Royalty income is recognized over time in net revenues as underlying product sales occur, subject to certain minimum royalties, in accordance with the related licensing agreements. Royalty income is included in the Company's Apparel, Gear and Other and Topgolf operating segments. Total royalty income for the years ended December 31, 2021, 2020 and 2019 was $68,151,000, $21,838,000 and $22,455,000 respectively.

The Apparel, Gear and Other operating segment includes royalty income from licensing agreements of $30,884,000, $21,838,000 and $22,445,000 for the years ended December 31, 2021, 2020, and 2019, respectively. The Topgolf operating segment includes royalty income from leasing agreements primarily related to Toptracer installations of $37,267,000 for the year ended December 31, 2021.

Deferred Revenue

The Company's deferred revenue balance has historically included revenues from the sale of gift cards. Revenues from gift cards are deferred and recognized when the cards are redeemed. In connection with the merger with Topgolf, completed on March 8, 2021, the Company acquired deferred revenue of $66,196,000 associated with event deposits, memberships, prepaid sponsorships, virtual currency and game credits related to the WGT digital golf game, and gift cards, which are recognized as revenue either over the estimated life of a customer’s membership, historical currency/credit usage trends, when redeemed or once the event or sponsorship occurs, as applicable.

The Company's deferred revenue balance as of December 31, 2020 was $2,546,000, which primarily included deferred revenue from gift cards. During the year ended December 31, 2021, the Company recognized revenues of $370,472,000, which was primarily related to the redemption of event deposits and gift cards at Topgolf, which are typically recognized within a twelve month period of receipt. During the years ended December 31, 2020 and 2019 the Company recognized revenues of $2,840,000 and $3,031,000, respectively, which was primarily related to breakage and unredeemed gift cards. Within the amounts noted as recognized deferred revenue, the Company recognized $32,292,000, $2,840,000, and $3,031,000 of deferred gift card revenue during the years ended December 31, 2021, 2020, and 2019, respectively. Additionally, as of December 31, 2021 and 2020 the Company had $41,967,000 and $2,546,000, respectively,

in accrued deferred revenue related to gift cards in accounts payable and accrued expenses on the accompanying consolidated balance sheets. As of December 31, 2021, the Company's balance for deferred revenue was $93,873,000.

Variable Consideration

The amount of revenue the Company recognizes is based on the amount of consideration it expects to receive from customers. The amount of consideration is the sales price adjusted for estimates of variable consideration, including sales returns, discounts and allowances as well as sales programs, sales promotions and price concessions that are offered by the Company as described below. These estimates are based on the amounts earned or expected to be claimed by customers on the related sales, and are therefore recorded as reductions to sales and trade accounts receivable.

The Company also offers short-term sales program incentives, which include sell-through promotions and price concessions or price reductions. Sell-through promotions are generally offered throughout the product's life cycle, which varies from two to three years, and price concessions or price reductions are generally offered at the end of the product's life cycle. The estimated variable consideration related to these programs is based on a rate that includes historical and forecasted data. The Company records a reduction to net revenues using this rate at the time of the sale. The Company monitors this rate against actual results and forecasted estimates, and adjusts the rate as deemed necessary in order to reflect the amount of consideration it expects to receive from its customers. There were no material changes to the rate related to the short-term sales program incentives during the year ended December 31, 2021. Historically, the Company's actual amount of variable consideration related to these sales programs has not been materially different from its estimates.

The Company records an estimate for anticipated returns as a reduction of product revenues and cost of products, and accounts receivable, in the period that the related sales are recorded. Sales returns are estimated based upon historical returns, current economic trends, changes in customer demands and sell-through of products. The Company also offers certain customers sales programs that allow for specific returns. The Company records a sales return liability as an offset to accounts receivable for anticipated returns related to these sales programs at the time of sale based on the terms of the sales program. The cost recovery of inventory associated with this reserve is accounted for in other current assets. The Company's balance for cost recovery was $25,947,000 and $24,112,000 as of December 31, 2021 and 2020, respectively. The Company's provision for the sales return liability will fluctuate with the seasonality of the business, while actual sales returns are generally more heavily weighted toward the back half of the year as the golf season comes to an end. Historically, the Company’s actual sales returns have not been materially different from management’s original estimates.

The following table provides a reconciliation of the activity related to the Company’s sales return reserve (in thousands):


	Year Ended December 31,
	2021		2020		2019
Beginning balance	$	43,986	$	29,043	$	24,522
Provision	91,007		106,178		95,094
Sales returns	(87,634)		(91,235)		(90,573)

Ending balance	$	47,359	$	43,986	$	29,043

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

+ Details

Estimated Credit Losses

12 Months Ended

Dec. 31, 2021

Credit Loss [Abstract]

Estimated Credit Losses

Note 5. Estimated Credit Losses

The Company's trade accounts receivable are recorded at net realizable value, which includes an appropriate allowance for estimated credit losses, as well as reserves related to product returns and sales programs as described in Note 4. Under ASC Topic 326, the “expected credit loss” model replaces the “incurred loss” model and requires consideration of a broader range of information to estimate expected credit losses over the life of the asset. The Company's prior methodology for estimating credit losses on trade accounts receivable did not differ significantly from the new requirements of ASC Topic 326. Specific allowance amounts are established to record the appropriate provision for customers that have a higher probability of default. An estimate of credit losses for the remaining customers in the aggregate is based upon historical bad debts, current customer receivable balances, age of customer receivable balances, the customers' financial condition, all of which are subject to change. Additionally, the Company’s monitoring activities now considers future reasonable and supportable forecasts of economic conditions to adjust all general reserve percentages as necessary. Balances are written-off when determined to be uncollectible.

Actual uncollected amounts have historically been consistent with the Company’s expectations. The Company's payment terms on its receivables from customers are generally 60 days or less.

The following table provides a reconciliation of the activity related to the Company’s allowance for estimated credit losses (in thousands):


	Years Ended December 31,
	2021		2020		2019
Beginning balance	$	8,841	$	5,992	$	5,610
Adjustment due to the adoption of ASC Topic 326	—		289		—
(Benefit) provision for credit losses	(337)		2,924		1,107
Write-off of uncollectible amounts, net of recoveries	(2,299)		(364)		(725)

Ending balance	$	6,205	$	8,841	$	5,992

- Definition

The entire disclosure for credit loss on financial instrument measured at amortized cost basis, net investment in lease, off-balance sheet credit exposure, and available-for-sale debt security.

+ References + Details

Business Combinations

12 Months Ended

Dec. 31, 2021

Business Combination and Asset Acquisition [Abstract]

Business Combinations

Note 6. Business Combinations

Merger with Topgolf International, Inc.

On March 8, 2021, the Company completed its merger with Topgolf, pursuant to the terms of an Agreement and Plan of Merger, dated as of October 27, 2020 (the “Merger Agreement”). Topgolf is a leading technology-enabled golf entertainment business, with an innovative platform that comprises its state-of-the-art open-air golf and entertainment venues, Toptracer ball-tracking technology and innovative media platform with a differentiated position in eSports. The Company will benefit from a compelling family of brands with reach across multiple channels including retail, venues, e-commerce and digital communities.

Pursuant to the terms of the Merger Agreement, at the closing of the merger, the Company issued approximately 89,776,000 unrestricted and fully vested shares of its common stock to the stockholders of Topgolf (excluding approximately 12,330,000 shares of the Company’s common stock that would have been allocated to the Company in the merger based on the shares of Topgolf held by the Company) for 100% of the outstanding equity of Topgolf, at an exchange ratio based on an equity value of Topgolf of $1,987,000,000 (or $1,748,000,000 excluding Topgolf shares that were held by the Company) and a price per share of the Company's common stock fixed at $19.40 per share (the “Callaway Share Price”). The actual purchase consideration upon the closing of the merger of $3,014,174,000 (or $2,650,201,000 excluding Topgolf shares that were held by the Company) was based on the number of shares of the Company’s common stock issued, multiplied by the closing price of $29.52 of the Company's common stock on March 8, 2021. Additionally, the Company converted certain stock options previously held by former equity holders of Topgolf into options to purchase a number of shares of Callaway common stock, and certain outstanding restricted stock awards of Topgolf, into approximately 188,000 shares of Callaway common stock (together, the "replacement awards"). The Company included $33,051,000 in the consideration transferred in the merger for these replacement awards, which represents the fair value of the vested portion the replacement awards. The unvested portion of these replacement awards related to future services that will be rendered in the post-combination period will be recognized as compensation expense over the remaining vesting period (see Note 16). In addition, the Company converted issued and outstanding warrants to purchase certain preferred

shares of Topgolf into a warrant to purchase a number of shares of Callaway common stock. The fair value of the consideration transferred in the merger related to these warrants totaled $1,625,000. The purchase consideration, together with the fair value of the consideration transferred for outstanding stock awards and warrants totaled $3,048,850,000.

The Company previously held approximately 14.3% of Topgolf's outstanding shares. Immediately following the closing of the merger, the Company's stockholders as of immediately prior to the merger owned approximately 51.3% of the outstanding shares of the combined company, and former Topgolf stockholders, other than Callaway, owned approximately 48.7% of the outstanding shares of the combined company.

The Company allocated the purchase price to the net identifiable tangible and intangible assets acquired and liabilities assumed based on their preliminary estimated fair values as of the date of acquisition. Identifiable intangible assets include the Topgolf trade name, developed technology, Topgolf's investment in Full Swing Golf Holdings, Inc. ("Full Swing"), customer relationships and liquor licenses. The excess of the purchase price over the estimated fair value of the net assets and liabilities was allocated to goodwill. The Company determined the preliminary estimated fair values after review and consideration of relevant information as of the acquisition date, including discounted cash flows, quoted market prices and estimates made by management. The fair values assigned to tangible and intangible assets acquired and liabilities assumed are preliminary based on management's estimates and assumptions and may be subject to change as additional information is received and certain tax returns are finalized. The Company expects to finalize the valuation as soon as practicable, but not later than one year from the acquisition date.

The allocation of the purchase price presented below was based on management's preliminary estimate of the fair values of the acquired assets and assumed liabilities using valuation techniques including income, cost and market approaches. These valuation techniques incorporate the use of expected future revenues, cash flows and growth rates as well as estimated discount rates. Current and noncurrent assets and liabilities are valued at historical carrying values, which approximates fair value, except as described below. The trade name was valued under the royalty savings income approach method, which is equal to the present value of the after-tax royalty savings attributable to owning the trade name as opposed to paying a third party for its use. For this valuation the Company used a royalty rate of 2.5%, which is reflective of royalty rates paid in market transactions, and a discount rate of 7.0% to 8.5% on the future cash flows generated by the net after-tax savings. The fair value of the Topgolf hitting bays, Toptracer ball-tracking technology and the WGT digital game was based on a combination of valuation methodologies, including the residual net income approach, royalty savings income approach and the cost approach. The Company utilized the options pricing model and revenue multiples of comparable companies to determine the fair value of the investment in Full Swing. Customer relationships and liquor licenses were valued using the replacement cost method. The Company amortizes the fair value of the finite-lived intangibles, which include technology and customer relationships, over a period ranging between one and ten years. The estimated fair value of operating leases was determined based on current market terms, which resulted in a net unfavorable adjustment to the right-of-use asset. Property, plant and equipment was valued based on its replacement cost, which resulted in an estimated step-up in value. The estimated fair value of the debt assumed was based on a market credit rating, interest rates and repayment terms, which resulted in an overall decrease in value. In the fourth quarter of 2021, the Company recorded an estimate related to the fair value assessment of ROU assets for the acquired operating and financing leases in addition to deemed landlord financed properties. In this assessment, the Company considered certain critical terms, including extension periods and incremental borrowing rates. This assessment resulted in significant adjustments to the right-of-use and deemed landlord financed assets and the corresponding lease obligations and deemed landlord financed liabilities. As of December 31, 2021, the Company is in the process of finalizing its assessment on certain leases and certain deferred tax related items. Upon the completion of these assessments, the Company may adjust the preliminary purchase price allocation accordingly. After assessing the preliminary fair value of the net assets acquired and liabilities assumed, the Company recorded goodwill of $1,903,883,000, of which the Company attributed $1,340,663,000 to the future revenues and growth potential of the Topgolf business, and $563,220,000 to the synergies the Company anticipates from leveraging the Topgolf business to expand its golf equipment and apparel businesses. For the operating segment allocation of goodwill, see Note 9. As a non-taxable stock acquisition, the Company does not expect the value attributable to the acquired intangibles and goodwill to be tax deductible.

In connection with the merger, during the years ended December 31, 2021 and 2020, the Company recognized transaction costs of approximately $20,416,000 and $8,498,000, respectively, consisting primarily of advisor, legal, valuation and accounting fees. Transaction costs were recorded in selling, general & administrative expenses.

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date based on the preliminary purchase price allocation (in thousands):


	At March 8, 2021
Assets Acquired
Cash		$	171,294
Accounts receivable		10,678
Inventories		13,944
Other current assets		52,233
Property and equipment		1,080,349
Operating lease right-of-use assets		1,329,296
Investments		28,768
Other assets		33,664
Intangibles - trade name		994,200
Intangibles - technology, customer relationships and liquor licenses		81,929
Goodwill		1,340,663
Total assets acquired		5,137,018
Liabilities Assumed
Accounts payable and accrued liabilities		95,799
Accrued employee costs		37,092
Construction advances		40,491
Deferred revenue		66,196
Other current liabilities		7,829
Long-term debt		535,096
Deemed landlord financing		303,037
Operating lease liabilities		1,402,291
Other long-term liabilities		32,025
Deferred tax liabilities		131,532
Net assets acquired		$	2,485,630
Goodwill allocated to other business units		563,220
Total purchase price and consideration transferred in the merger		$	3,048,850

Supplemental Pro-Forma Information (Unaudited)

The following table presents supplemental pro-forma information for the years ended December 31, 2021 and 2020 as if the merger with Topgolf had occurred on January 1, 2020. These amounts have been calculated after applying the Company's accounting policies and are based upon currently available information. For this analysis, the Company assumed that certain gains and costs associated with the merger were recognized as of January 1, 2020, including a gain of $252,531,000 recognized on the Company's pre-acquisition investment in Topgolf, acquisition costs of $28,914,000, the amortization of estimated intangible assets and other fair value adjustments, as well as the tax effect on those costs, and a valuation allowance on certain acquired net operating losses and tax credit carryforwards (see Note 14). Pre-acquisition net revenue and net income (loss) amounts for Topgolf were derived from the books and records of Topgolf prepared prior to the acquisition and are presented for informational purposes only and do not purport to be indicative of the results of future operations or of the results that would have occurred had the acquisition taken place as of the dates noted below.


	Years Ended December 31,
	2021		2020
	(in thousands)
Net revenues	$	3,276,391	$	2,305,654
Net income (loss)	$	72,340	$	(318,762)

Supplemental Information of Operating Results

For the year ended December 31, 2021, the Company's consolidated statements of operations included net revenues related to Topgolf of $1,087,671,000 and a net loss of $29,603,000 for the period beginning March 8, 2021 through January 2, 2022.

Acquisition of JW Stargazer Holding GmbH

In January 2019, the Company completed the acquisition of JW Stargazer Holding GmbH, the owner of the international, premium outdoor apparel, gear and accessories brand, Jack Wolfskin, for €457,394,000 (including cash acquired of €50,984,000) or approximately $521,201,000 (including cash acquired of $58,096,000). The Company financed the acquisition with a Term Loan B facility in the aggregate principal amount of $480,000,000 (see Note 7). This acquisition is expected to further enhance the Company's lifestyle category and provide a platform for future growth in the active outdoor and urban outdoor categories. The financial results of JW Stargazer Holding GmbH have been included in the Company's consolidated financial statements since the date of acquisition.

The Company allocated the purchase price to the net identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the date of acquisition. Valuations of acquired intangible assets and inventory were subject to fair value measurements that were based primarily on significant inputs not observable in the market, and thus represent Level 3 measurements (see Note 19). The excess of the purchase price over the estimated fair value of the net assets and liabilities was allocated to goodwill. The Company recognized goodwill in the amount of $150,180,000 arising from the acquisition, which consists largely of expected synergies from combining the operations of the Company and Jack Wolfskin. As a non-taxable stock acquisition, the value attributable to the acquired intangible assets and goodwill are not tax deductible, and accordingly, the Company recognized a net deferred tax liability of $77,079,000, including tax reserves of $8,281,000 on certain deferred tax assets. All of the goodwill related to the acquisition was assigned to the Apparel, Gear and Other operating segment. During the second quarter of 2020, the Company performed a quantitative assessment of goodwill for its reporting units in response to the disruptions caused by the COVID-19 pandemic and determined that the goodwill associated with the Jack Wolfskin reporting unit was impaired, in addition to the Jack Wolfskin trade name (see Note 9).

In connection with the acquisition, during the year ended December 31, 2019, the Company recognized transaction costs of approximately $9,987,000, of which $6,326,000 was recognized in general and administrative expenses during the twelve months ended December 31, 2019. The remaining $3,661,000 was recognized in general and administrative expenses during 2018. In addition, the Company recorded a loss of $3,215,000 in other income (expense) in the first quarter of 2019 upon the settlement of a foreign currency forward contract to mitigate the risk of foreign currency fluctuations on the purchase price, which was denominated in Euros (EUR).

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date based on the purchase price allocation (in thousands):


	At January 4, 2019
Assets Acquired
Cash	$	58,096
Accounts receivable	26,637
Inventories	94,504
Income tax receivable	6,588
Other current assets	11,483
Property and equipment	20,930
Operating lease right-of-use assets	120,865
Deferred tax assets	2,930
Other assets	23
Intangibles - trade name	239,295
Intangibles - retail partners & distributor relationships	38,743
Goodwill	150,180
Total assets acquired	770,274
Liabilities Assumed
Accounts payable and accrued liabilities	46,124
Income taxes payable, long-term	2,416
Operating lease liabilities	120,524
Deferred tax liabilities	80,009
Net assets acquired	$	521,201

Financing Arrangements

12 Months Ended

Dec. 31, 2021

Debt Disclosure [Abstract]

Financing Arrangements

Note 7. Financing Arrangements

The Company's debt obligations are summarized as follows (in thousands):


	December 31, 2021							December 31, 2020
	Maturity Date	Interest Rate		Unamortized Debt Issuance Costs		Carrying Value		Carrying Value
Short-Term Credit Facilities
U.S. Asset-Based Revolving Credit Facility	May 17, 2024	2.00	%	$	916	$	9,096	$	22,130
2022 Japan ABL Credit Facility	January 21, 2022	1.28	%	—		—		—
				$	916	$	9,096	$	22,130
Balance Sheet Location
Prepaid expenses				$	916	$	—	$	—
Other long-term assets				—		—		—
Asset-based credit facilities				—		9,096		22,130
				$	916	$	9,096	$	22,130

	December 31, 2021							December 31, 2020
	Maturity Date	Interest Rate		Unamortized Original Issuance Discount and Debt Issuance Costs		Carrying Value, net		Carrying Value, net
Long-Term Debt and Credit Facility
Japan Term Loan Facility	July 31, 2025	0.85	%	$	—	$	13,031	$	18,390
Term Loan B Facility	January 4, 2026	4.60	%	15,263		421,537		428,150
Topgolf Term Loan	February 8, 2026	7.00	%	6,272		334,103		—
Topgolf Revolving Credit Facility	February 8, 2024	4.75	%	—		—		—
Convertible Notes	May 1, 2026	2.75	%	64,280		194,470		183,126
Equipment Notes	December 27, 2022 - March 19, 2027	2.36% - 3.79%		—		31,137		31,822
Mortgage Loans	July 1, 2033 - July 29, 2036	9.75% - 11.31%		—		46,407		—
Financed Tenant Improvements	February 1, 2035	8.00	%	—		3,650		3,801
				$	85,815	$	1,044,335	$	665,289
Balance Sheet Location
Other current liabilities				$	3,815	$	19,057	$	—
Accrued expenses				—		—		14,725
Long-term debt				82,000		1,025,278		650,564
				$	85,815	$	1,044,335	$	665,289

Revolving Credit Facilities and Available Liquidity

In addition to cash on hand, as well as cash generated from operations, the Company relies on its U.S. Asset-Based Revolving Credit Facility, 2022 Japan ABL Credit Facility (as defined below) and the Topgolf Revolving Credit Facility to manage seasonal fluctuations in liquidity and to provide additional liquidity when the Company’s operating cash flows are not sufficient to fund the Company’s requirements. As of December 31, 2021, the Company had $9,096,000 outstanding under these facilities and $352,221,000 in cash and cash equivalents. As of December 31, 2021, the Company's available liquidity, which is comprised of cash on hand and amounts available under the Company's revolving credit facilities, after letters of credit and outstanding borrowings, was $752,847,000. As of December 31, 2020, the Company had $22,130,000 outstanding under its U.S. and Japan facilities, and $366,119,000 in cash and cash equivalents. As of December 31, 2020, the Company's available liquidity, which is comprised of cash on hand, including cash received from the issuance of Convertible Senior Notes in May 2020, and amounts available under both facilities, after letters of credit and outstanding borrowings, was $632,233,000.

U.S. Asset-Based Revolving Credit Facility

In May 2019, the Company entered into a Fourth Amended and Restated Loan and Security Agreement with Bank of America N.A. and other lenders, which provides a senior secured asset-based revolving credit facility of up to $400,000,000 (the “ABL Facility”), comprised of a $260,000,000 U.S. facility, a $70,000,000 German facility, a $25,000,000 Canadian facility and a $45,000,000 United Kingdom facility, in each case subject to borrowing base availability under the applicable facility. The amounts outstanding under the ABL Facility are secured by certain assets, including cash (to the extent pledged by the Company), certain intellectual property, certain eligible real estate, inventory and accounts receivable of the Company’s subsidiaries in the United States, Germany, Canada and the United Kingdom. The real estate and intellectual property components of the borrowing base under the ABL Facility are both amortizing. The amount available for the real estate portion is reduced quarterly over a 15-year period, and the amount available for the intellectual property portion is reduced quarterly over a three-year period.

Amounts borrowed under the ABL Facility may be repaid and borrowed as needed. The entire outstanding principal amount (if any) is due and payable on the maturity date. Amounts available under the ABL Facility increase and decrease with changes in the Company’s inventory and accounts receivable balances. During the year ended December 31, 2021, average outstanding borrowings were $20,269,000 and average amount available, after outstanding borrowings and letters of credit, was approximately $295,259,000.

In April 2020, the Company amended the ABL Facility to permit a customary capped call transaction (see “Convertible Senior Notes” below) in connection with the issuance of convertible debt securities by the Company and to permit the Company to incur loans or financial assistance of up to $50,000,000 pursuant to governmental programs enacted due to the COVID-19 pandemic. As of December 31, 2021, the Company had not drawn on these funds. In addition, the ABL Facility imposes restrictions on the amount the Company could pay in annual cash dividends, including certain restrictions on the amount of additional indebtedness and requirements to maintain a certain fixed charge coverage ratio under certain circumstances. In addition, in connection with the merger with Topgolf (see Note 6), the Company amended the ABL Facility to, among other things, permit the consummation of the merger, designate Topgolf and its subsidiaries as excluded subsidiaries under the ABL Facility and amend certain covenants and other provisions to allow the Company to make certain investments in, and enter into certain transactions with Topgolf. Fees in connection with this amendment will be combined with existing debt origination and amendment fees and amortized over the remaining term of the ABL Facility.

The ABL Facility includes certain restrictions including, among other things, restrictions on the incurrence of additional debt, liens, stock repurchases and other restricted payments, asset sales, investments, mergers, acquisitions and affiliate transactions. Additionally, the Company is subject to compliance with a fixed charge coverage ratio covenant of at least 1.0:1.0 during, and continuing 30 days after, any period in which the Company’s borrowing base availability, as amended, falls below 10% of the maximum facility amount or $40,000,000. The Company’s borrowing base availability was above $40,000,000 during the year ended December 31, 2021, and the Company was in compliance with the fixed charge coverage ratio as of December 31, 2021. Had the Company not been in compliance with the fixed charge coverage ratio as of December 31, 2021, the maximum amount of additional indebtedness that could have been outstanding on December 31, 2021 would have been reduced by $40,000,000. As of December 31, 2021, in addition to the fixed charge coverage ratio covenant, the Company was in compliance with all other financial covenants of the ABL Facility.

The interest rate applicable to outstanding loans under the ABL Facility fluctuates depending on the Company’s “availability ratio” which is expressed as a percentage of (i) the average daily availability under the ABL Facility to (ii) the sum of the Canadian, the German, the U.K. and the U.S. borrowing bases, as adjusted. At December 31, 2021 the Company’s trailing 12-month average interest rate applicable to its outstanding loans under the ABL Facility was 3.04%. Additionally, the ABL Facility provides for monthly fees of 0.25% of the unused portion of the ABL Facility.

Fees in connection with the origination of the ABL Facility and prior amendments are amortized in interest expense over the term of the facility.

Japan ABL Facility

In January 2018, the Company renewed its two asset-based loans with the Bank of Tokyo-Mitsubishi UFJ, combining them into one revolving credit facility (as amended, the “2018 Japan ABL Credit Facility”). The 2018 Japan ABL Credit Facility provided a line of credit of up to 4,000,000,000 Yen (or approximately $34,748,000, using the exchange rate in effect as of December 31, 2021) over a three-year term, subject to borrowing base availability under the facility, and

secured by certain assets, including eligible inventory and accounts receivable. The facility also included certain restrictions, including covenants related to certain pledged assets and financial performance metrics, and was subject to an effective interest rate equal to the Tokyo Interbank Offered Rate (“TIBOR”) plus 0.80%, with an expiration in January 2021. In January 2021, the Company refinanced and amended the 2018 Japan ABL Credit Facility (as amended, the “2021 Japan ABL Credit Facility”) to extend the credit facility for an additional one-year term and amended expiration date of January 2022. Under the 2021 Japan ABL Credit Facility, amounts outstanding are secured by certain assets, including eligible inventory and eligible accounts receivable and also includes certain restrictions including covenants related to certain pledged assets and financial performance metrics. The 2021 Japan ABL Credit Facility is subject to an effective interest rate equal to TIBOR plus 1.20%. As of December 31, 2021, there were no amounts outstanding under the 2021 Japan ABL Credit Facility.

In January 2022, the Company refinanced and amended the 2021 Japan ABL Credit Facility (as amended, the “2022 Japan ABL Credit Facility”) to extend the credit facility for an additional three-year term and amend the expiration date to January 2025. The 2022 Japan ABL Credit Facility provides a line of credit to the Company of up to 6,000,000,000 Yen (or approximately $52,110,000 using the exchange rate in effect as of January 31, 2022) subject to borrowing base availability under the facility, and secured by certain assets, including eligible inventory and accounts receivable. The 2022 Japan ABL Credit Facility is subject to an effective interest rate equal to TIBOR plus 0.80%.

Long-Term Debt

Japan Term Loan Facility

In August 2020, the Company entered into a five-year Term Loan facility (the “Japan Term Loan Facility”) between its subsidiary in Japan and Sumitomo Mitsui Banking Corporation (“SMBC”) for 2,000,000,000 Yen (or approximately $17,374,000 using the exchange rate in effect as of December 31, 2021).

As of December 31, 2021, the Company had 1,500,000,000 Yen (or approximately $13,031,000 using the exchange rate in effect as of December 31, 2021) outstanding, of which 400,000,000 Yen (or approximately $3,475,000 using the exchange rate in effect as of December 31, 2021) is reflected in other current liabilities in the accompanying consolidated balance sheets. Total interest expense recognized during the years ended December 31, 2021 and 2020 was 14,511,000 Yen (or approximately $132,000) and 6,226,000 Yen (or approximately $60,000) respectively.

Loans under the Japan Term Loan Facility are subject to a rate per annum of either, at the Company’s option, SMBC TIBOR or TIBOR plus 80 basis points. Principal payments of 100,000,000 Yen (or approximately $868,700 using the exchange rate in effect as of December 31, 2021) are due quarterly, and the facility imposes certain restrictions including covenants to certain financial performance obligations. As of December 31, 2021, the Company was in compliance with these covenants.

Term Loan B Facility

In January 2019, to fund the purchase price of the Jack Wolfskin acquisition, the Company entered into a Credit Agreement (the “Credit Agreement”) with Bank of America, N.A and other lenders party to the Credit Agreement (the “Term Lenders”). The Credit Agreement provides for a Term Loan B facility (the “Term Loan Facility”) in an aggregate principal of $480,000,000, which was issued less $9,600,000 in original issue discount and other transaction fees. Such principal amount may be increased pursuant to incremental facilities in the form of additional tranches of term loans or new commitments, up to a maximum incremental amount of $225,000,000, or an unlimited amount subject to compliance with a first lien net leverage ratio of 2.25 to 1.00. Total interest and amortization expense recognized during the years ended December 31, 2021, 2020 and 2019 was $24,119,000, $25,622,000, and $31,707,000, respectively.

Loans under the Term Loan Facility are subject to interest at a rate per annum equal to either, at the Company's option, the LIBOR rate or the base rate, plus 4.50% or 3.50%, respectively. The Company utilizes an interest rate hedge in order to mitigate the risk of interest rate fluctuations on this facility. See Note 20 for further information on this hedging contract. Principal payments of $1,200,000 are due quarterly, however the Company has the option to prepay any outstanding loan balance in whole or in part without premium or penalty.

Loans outstanding under this facility are guaranteed by the Company's domestic subsidiaries. The loans and guaranties are secured by substantially all the assets of the Company and guarantors.

The Credit Agreement contains a cross-default provision with respect to any indebtedness of the Company as defined in the Credit Agreement, as well as customary representations and warranties and customary affirmative and negative covenants, including, among other things, restrictions on incurrence of additional debt, liens, dividends and other restricted payments, asset sales, investments, mergers, acquisitions and affiliate transactions. Events of default permitting acceleration under the Credit Agreement include, among others, nonpayment of principal or interest, covenant defaults, material breaches of representations and warranties, bankruptcy and insolvency events, certain cross defaults or a change of control. As of December 31, 2021, the Company was in compliance with these covenants.

In connection with the merger with Topgolf (see Note 6), the Company amended the Term Loan Facility with Bank of America, N.A. and the Term Lenders to, among other things, permit the consummation of the Merger and certain other transactions contemplated in the Merger Agreement, designate Topgolf and its subsidiaries as unrestricted subsidiaries under the Term Loan Facility and amend certain covenants and other provisions to allow the Company to make certain investments in, and enter into certain transactions with Topgolf.

Topgolf Credit Facilities

In connection with the merger with Topgolf on March 8, 2021, the Company assumed a $350,000,000 term loan facility (the “Topgolf Term Loan”), and a $175,000,000 revolving credit facility with JPMorgan Chase Bank, N.A (the “Topgolf Revolving Credit Facility”), with JPMorgan Chase Bank, N.A., as Administrative Agent, Swingline Lender and Issuing Bank, RBC Capital Markets, as Syndication Agent, and the other agents, arrangers and lenders party thereto (together, the “Topgolf Credit Facilities”).

Borrowings under the Topgolf Term Loan accrue interest at a rate per annum equal to, at the Company's option, either (i) an alternate base rate determined by reference to the highest of (a) the prime rate of JPMorgan Chase Bank, N.A. (the administrative agent), (b) the federal funds effective rate plus 0.50%, (c) the adjusted one-month LIBOR rate plus 1.00%, and (d) 1.75%, or (ii) an adjusted LIBOR rate (for a period equal to the relevant interest period) (which shall not be less than 0.75%), in each case plus an applicable margin. The applicable margin for loans under the Topgolf Term Loan is 5.25% with respect to alternate base rate borrowings and 6.25% with respect to LIBOR borrowings.

Borrowings under the Topgolf Revolving Credit Facility accrue interest at a rate per annum equal to, at the Company's option, either (i) an alternate base rate determined by reference to the highest of (a) the prime rate of JPMorgan Chase Bank, N.A. (the administrative agent), (b) the federal funds effective rate plus 0.50%, (c) the adjusted one-month LIBOR rate plus 1.00%, and (d) 1.75%, or (ii) an adjusted LIBOR rate (for a period equal to the relevant interest period) (which shall not be less than 0.75%), in each case plus an applicable margin. The applicable rate for the Topgolf Revolving Credit Facility loans is 3.00% with respect to alternate base rate borrowings and 4.00% with respect to LIBOR borrowings subject to two stepdowns of 0.25% per annum upon achievement of specified first lien leverage ratio levels. In addition, the Company is required to pay a commitment fee under the Topgolf Revolving Credit Facility based upon the first lien leverage ratio (as defined in the Amended Credit Agreement) at a rate of up to 0.50% per annum, subject to two stepdowns of 0.13% per annum upon achievement of specified first lien leverage ratio levels. The Company must also pay customary letter of credit fees and agency fees.

The Topgolf Term Loan is payable in quarterly installments of 0.25% of the principal amount per quarter. The remaining unpaid balance on the Topgolf Term Loan, together with all accrued and unpaid interest thereon, is due upon maturity. Outstanding borrowings under the Topgolf Revolving Credit Facility do not amortize and are due and payable upon maturity.

The terms of the Topgolf Credit Facilities require Topgolf to maintain on a quarterly basis a total leverage ratio (measured on a trailing four-quarter basis) less than or equal to 5.50:1.00. On September 17, 2020, prior to the completion of the merger, Topgolf entered into an amendment to the credit agreement (the “Amended Credit Agreement”) to modify the financial covenants and make certain other changes. The Amended Credit Agreement (i) suspends the total leverage ratio financial covenant through and including the fiscal quarter ending on or about March 31, 2022 and (ii) provides for an increased level of 7.75:1.00 for the fiscal quarter ending on or about June 30, 2022, in each case unless the Company elects to restore the 5.50:1.00 total leverage ratio test (and eliminate the restrictions in the Amended Credit Agreement that apply during the period of relief) at an earlier date. Until the Company demonstrates compliance with the 5.50:1.00 total leverage ratio test for the period ending on or about September 30, 2022 (or terminate the period of relief at an earlier date after demonstrating compliance with the 5.50:1.00 total leverage ratio test), the Company is required to maintain unrestricted

cash on hand and/or availability under the Topgolf Credit Facilities of not less than $30,000,000. As of December 31, 2021, the Company was in compliance with these covenants.

The Topgolf Credit Facilities also contains certain customary representations and warranties and affirmative covenants, and certain reporting obligations. The Topgolf Term Loan also contains certain customary representations and warranties and affirmative covenants, and certain reporting obligations.

Convertible Notes

In May 2020, the Company issued $258,750,000 of 2.75% Convertible Senior Notes (the “Convertible Notes”). The Convertible Notes bear interest at a rate of 2.75% per annum on the principal amount, payable semi-annually in arrears on May 1 and November 1 of each year, beginning on November 1, 2020. The Convertible Notes mature on May 1, 2026, unless earlier redeemed or repurchased by the Company or converted. The Convertible Notes are structurally subordinated to all existing and future indebtedness and other liabilities, including trade payables, and (to the extent the Company is not a holder thereof) preferred equity, if any, of the Company’s subsidiaries.

The Company may settle the Convertible Notes through cash settlement, physical settlement, or combination settlement at its election. Therefore, the Convertible Notes were separated into a liability component and an equity component in a manner that reflects the interest cost of a similar nonconvertible debt instrument. At inception, the fair value of the liability component was determined by measuring the fair value of a similar liability that does not have an associated equity component. The carrying amount of the liability component was $194,470,000 and $183,126,000 as of December 31, 2021 and 2020, respectively. The carrying amount of the discount on the Convertible Notes, totaling $59,602,000 as of December 31, 2021, is amortized over the remaining term of approximately 4.3 years. The conversion feature of $76,508,000 was determined by deducting the fair value of the liability component from the initial proceeds ascribed to the Convertible Notes.

The Company incurred $8,527,000 of cost associated with the issuance of the Convertible Notes. These debt issuance costs were allocated between the debt and equity components in proportion to the allocation of the proceeds to those components. As such, $6,006,000 was allocated to the liability component of the Convertible Notes, and $2,521,000 was allocated to the equity conversion feature. The discount on the Convertible Notes as well as the debt issuance costs allocated to the liability component are amortized over the term of the Convertible Notes using the effective interest rate method.

All or any portion of the Convertible Notes may be converted at the conversion rate and at the holders' option on or after February 1, 2026 until the close of business on the second trading day immediately prior to the maturity date. Additionally, all or any portion of the Convertible Notes may be converted at the conversion rate at the holders' option upon the occurrence of certain contingent conversion events, including (i) if the price of the Company’s common stock is more than 130% of the conversion price of the Convertible Notes for any 20 of 30 consecutive trading days ending on the last trading day of the calendar quarter, subsequent to the quarter ending September 30, 2020; (ii) if the trading price of the Convertible Notes, after a consecutive ten trading day period, is less than 98% of the closing price per share of the Company’s common stock multiplied by the conversion rate in effect; (iii) upon the occurrence of certain corporate events or distributions on the Company’s common stock, as described in the Indenture; or (iv) if the Company calls the Convertible Notes for redemption.

Upon conversion, the Company has the option to settle the conversion obligation in any combination of cash and shares. The initial conversion rate is 56.7698 shares of the Company's common stock per $1,000 principal amount of Convertible Notes, which is equal to an initial conversion price of $17.62 per share. At December 31, 2021, the price of the Company's common stock was higher than the initial conversion price. Therefore, the if-converted value of the Convertible Notes exceeded the principal amount.

The Company may redeem all or part of the Convertible Notes (i) on or after May 6, 2023, but before the 40th trading day prior to the maturity date if the last reported sale price of the Company’s common stock exceeds 130% of the conversion price for any 20 of 30 consecutive trading days; (ii) upon a Fundamental Change (where holders can require settlement entirely in cash); or (iii) upon an Event of Default. The Company will also be required to pay additional interest upon (i) failure to timely file with the Commission, (ii) failure to allow the Convertible Notes to be freely tradable, or (iii) upon an Event of Default solely related to failure to timely file with the trustee.

In connection with the pricing of the Convertible Notes on April 29, 2020, the Company paid $31,775,000 to enter into privately negotiated capped call transactions (“Capped Calls”) with Goldman Sachs & Co. LLC, Bank of America, N.A. and Morgan Stanley & Co. LLC as well as with each of the option counterparties. The Capped Calls cover the aggregate number of shares of the Company’s common stock that initially underlie the Convertible Notes, and are expected generally to reduce the potential dilution to the Company’s common stock upon any conversion of the Convertible Notes, and/or offset any cash payments the Company is required to make in excess of the principal amount of converted Convertible Notes, with such reduction and/or offset subject to a cap based on the cap price. The cap price of the Capped Calls is initially $27.10. The Capped Calls are recorded as a reduction to additional paid-in capital and are not accounted for as derivatives.

The Convertible Notes will have an impact on the Company’s diluted earnings per share when the average market price of its common stock exceeds the conversion price of $17.62 per share, as the Company intends to settle the principal amount of the Convertible Notes in cash upon conversion. For the year ended December 31, 2021, the average market price of the Company's common stock was $30.26, which exceeded the conversion price. As such, the Company used the treasury stock method to compute the dilutive shares of common stock related to the Convertible Notes for periods the Company reported net income. Upon conversion, there will be no economic dilution from the Convertible Notes until the average market price of the Company’s common stock exceeds the cap price of $27.10 per share, as exercise of the Capped Calls offsets any dilution from the Convertible Notes from the conversion price up to the cap price. Capped Calls are excluded from the calculation of diluted earnings per share, as they would be anti-dilutive under the treasury stock method.

Equipment Notes

Between December 2017 and December 2021, the Company entered into six long-term financing agreements (the “Equipment Notes”) with Bank of America N.A. and other lenders to invest in its golf ball manufacturing facility in Chicopee, Massachusetts, its North American Distribution Center in Roanoke, Texas, and in corporate IT equipment. The loans are secured by the underlying equipment at each facility and the IT equipment.

During the years ended December 31, 2021. 2020 and 2019, the Company recognized interest expense of $852,000, $880,000 and $463,000, respectively.

The Equipment Notes are subject to compliance with the financial covenants in the Company's ABL Facility. As of December 31, 2021, the Company was in compliance with these covenants.

Mortgage Loans

In connection with the merger with Topgolf on March 8, 2021, the Company assumed three mortgage loans related to the construction of three venues. The loans require either monthly (i) principal and interest payments or (ii) interest-only payments until their maturity dates. For loans requiring monthly interest-only payments, the entire unpaid principal balance and any unpaid accrued interest is due on the maturity date. The mortgage loans are secured by the assets of each respective venue.

The following table presents the Company's combined aggregate amount of maturities for the Company's long-term debt over the next five years and thereafter as of December 31, 2021. Amounts payable under the ABL Facility are excluded from this table as they are short-term in nature. Amounts payable under the Term Loan Facility included below represent the minimum principal repayment obligations. As of December 31, 2021, the Company does not anticipate excess cash flow repayments as defined by the Term Loan Facility.


	(in thousands)
2022	$	22,581
2023	19,961
2024	18,774
2025	15,646
2026	1,006,832
Thereafter	46,356
	1,130,150
Less: Unamortized Original Issuance Discount and Debt Issuance Costs	85,815
	$	1,044,335

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Topic 470
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-Paragraph 1B
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Publisher FASB
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Topic 470
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Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

+ Details

Earnings per Common Share

12 Months Ended

Dec. 31, 2021

Equity [Abstract]

Earnings per Common Share

Note 8. Earnings Per Common Share

Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period.

In periods when net income is reported, diluted earnings per common share takes into account the potential dilution that could occur if outstanding securities were exercised. Dilutive securities are included in the calculation of diluted earnings per common share using the treasury stock method in accordance with ASC Topic 260, “Earnings Per Share.” Dilutive securities include outstanding stock options, restricted stock units and performance share units granted to employees and non-employee directors (see Note 17), as well as common shares underlying convertible notes (see Note 7).

In periods when a net loss is reported or in periods when anti-dilution occurs, weighted-average common shares outstanding—diluted is the same as weighted-average common shares outstanding—basic.

The following table summarizes the computation of basic and diluted earnings per share (in thousands, except per share data):


	Years Ended December 31,
	2021		2020		2019
Earnings per common share—basic
Net income (loss) attributable to Callaway Golf Company	$	321,988	$	(126,934)	$	79,408
Weighted-average common shares outstanding—basic(1)	169,101		94,201		94,251
Basic earnings (loss) per common share	$	1.90	$	(1.35)	$	0.84
Earnings per common share—diluted
Net income (loss)	$	321,988	$	(126,934)	$	79,408
Weighted-average common shares outstanding—basic(1)	169,101		94,201		94,251
Convertible notes weighted-average shares outstanding	5,932		—		—
Outstanding options, restricted stock units and performance share units	1,892		—		2,036
Weighted-average common shares outstanding—diluted	176,925		94,201		96,287
Diluted earnings (loss) per common share	$	1.82	$	(1.35)	$	0.82

____________

(1)In connection with the Topgolf merger on March 8, 2021, the Company issued approximately 89,776,000 of its common stock to the stockholders of Topgolf, and approximately 188,000 of its common stock for restricted stock awards converted in the merger (see Note 16), of which approximately 73,652,000 weighted-average shares for the year ended December 31, 2021 were included in the basic and diluted share calculations based on the number of days the shares were outstanding during the period.

Convertible Notes

In May 2020, the Company issued $258,750,000 of 2.75% Convertible Notes. The Convertible Notes will have an impact on the Company’s diluted earnings per share when the average market price of its common stock exceeds the conversion price of $17.62 per share, as the Company intends to settle the principal amount of the Convertible Notes in cash upon conversion. The Company is required under the treasury stock method to compute the potentially dilutive shares of common stock related to the Convertible Notes for periods the Company reports net income. As of December 31, 2021, the average market price of its common stock exceeded the conversion price per share and, as such, the common shares underlying convertible notes were included in the calculation of diluted earnings per common share for the year ended December 31, 2021 (see Note 7). As a net loss was reported for the year ended December 31, 2020, common shares underlying convertible notes of 663,000 were excluded from the calculation of diluted loss per common share for the period.

Options, Restricted Stock Units and Performance Share Units

For the year ended December 31, 2021, securities outstanding totaling approximately 1,265,000 shares, comprised of stock options and restricted stock units, were excluded from the calculation of dilutive earnings per common share, as they would be anti-dilutive.

As a net loss was reported for the year ended December 31, 2020, common shares underlying options, restricted stock units and performance share units of 1,425,000 were excluded from the calculation of diluted loss per common share for the period.

For the year ended December 31, 2019, there were no securities excluded from the calculation of diluted earnings per common share for the period.

Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 9. Goodwill and Intangible Assets

Changes in the carrying amount of goodwill by operating and reportable segment are as follows (in thousands):


	Topgolf		Golf Equipment		Apparel, Gear and Other		Total
Balance at December 31, 2020	$	—	$	27,025	$	29,633		$	56,658
Acquisitions	1,340,663		504,568		58,652			1,903,883
Impairments	—		—		—			—
Foreign currency translation	—		(471)		—			(471)
Balance at December 31, 2021	$	1,340,663	$	531,122	$	88,285		$	1,960,070

The $1,903,412,000 increase during the twelve months ended December 31, 2021 was primarily due to the addition of $1,903,883,000 in goodwill in connection with the Topgolf merger in March 2021, of which the Company attributed $1,340,663,000 to the Topgolf business, $504,568,000 to the golf equipment business and $58,652,000 to the apparel, gear and other business primarily due to the synergies the Company anticipates from leveraging the Topgolf business to expand its golf equipment and apparel businesses. This increase in goodwill was partially offset by changes in foreign currency rates period over period.

In accordance with ASC Topic 350, “Intangibles—Goodwill and Other,” the Company’s goodwill and non-amortizing intangible assets are subject to an annual impairment test or more frequently when impairment indicators are present. There were no impairment losses recognized during the years ended December 31, 2021 and 2019. During the year ended December 31, 2020, due to the significant disruptions caused by the COVID-19 pandemic on the Company's operations, the Company performed a qualitative assessment considering the macroeconomic conditions caused by the COVID-19 pandemic, and the potential impact on the Company's sales and operating income for fiscal 2020 and potentially beyond. As a result, the Company determined that there were indicators of impairment, and proceeded with a quantitative assessment of goodwill for all reporting.

In performing the quantitative goodwill impairment testing during fiscal 2020, the Company prepared valuations of its reporting units using both a market comparable methodology and an income methodology, and those valuations were compared with the respective carrying values of the reporting units to determine whether any goodwill impairment existed. The Company's reporting units are one level below its reportable segment level. In preparing the valuations, past, present and future expectations of performance were considered, including the impact of the COVID-19 pandemic. This methodology was consistent with the approach used to perform the annual quantitative goodwill assessment in prior years. The weighted average cost of capital used in the goodwill impairment testing ranged between 9.0% and 9.25%, which was derived from the financial structures of comparable companies corresponding to the industry of each reporting unit. There is inherent uncertainty associated with key assumptions used in the Company's impairment testing, including the duration of the economic downturn associated with the COVID-19 pandemic and the estimated recovery period. As a result of the second quarter assessment, the Company determined that the expected decline in revenue due to the impact of COVID-19 contributed to a lower fair value of the Jack Wolfskin reporting unit compared to its carrying value. As such, the Company recognized an impairment loss during the year ended December 31, 2020 of $148,375,000 to write-off the goodwill associated with Jack Wolfskin. The Company determined that the goodwill relating to its other reporting units was not impaired as the fair value significantly exceeded the carrying value.

As of December 31, 2021, the Company’s accumulated impairment loss on goodwill was $148,375,000.

There were no impairment charges recognized on the Company's indefinite-lived intangible assets during the years ended December 31, 2021 and 2019. During the year ended December 31, 2020, in connection with the quantitative assessment performed in 2020, the Company determined that the trade name intangible asset related to Jack Wolfskin was

impaired, and as such recognized an impairment loss of $25,894,000 to write-down the Jack Wolfskin trade name to its new estimated fair value.

The following sets forth the intangible assets by major asset class (dollars in thousands):


	Useful Life (Years)	December 31, 2021
		Gross(1)		Accumulated Amortization		Translation Adjustment		Net Book Value
Indefinite-lived:
Trade name, trademark, trade dress and other	NA	$	1,441,003	$	—	$	(15,820)	$	1,425,183
Liquor licenses	NA	7,756		—		—		7,756
Amortizing:
Patents	2-16	32,041		(31,671)		—		370
Customer and distributor relationships and other	1-10	61,718		(27,405)		(2,335)		31,978
Developed technology	10	69,651		(5,496)		(804)		63,351
Total intangible assets		$	1,612,169	$	(64,572)	$	(18,959)	$	1,528,638


	Useful Life (Years)	December 31, 2020
		Gross		Accumulated Amortization		Net Book Value
Indefinite-lived:
Trade name, trademark, trade dress and other	NA	$	446,803	$	—		$	446,803

Amortizing:
Patents	2-16	31,581		(31,581)			—
Customer and distributor relationships and other	1-10	57,309		(19,773)			37,536

Total intangible assets		$	535,693	(51,354)			$	484,339

____________

(1)The gross balance of intangible assets as of December 31, 2021 includes additions of $1,001,956 and $74,179 in indefinite-lived and amortizing intangible assets, respectively, related to the Topgolf merger that was completed on March 8, 2021.

The Company recognized amortization expense related to intangible assets of $13,041,000, $5,120,000, and $4,866,000 for the years ended December 31, 2021, 2020 and 2019, respectively, which is recorded in selling, general and administrative expenses in the accompanying consolidated statements of operations. Amortization expense related to intangible assets at December 31, 2021 in each of the next five fiscal years and beyond is expected to be incurred as follows (in thousands):


2022	$	13,263
2023	11,695
2024	11,606
2025	11,394
2026	11,348
Thereafter	36,393
	$	95,699

Investments	12 Months Ended
Investments	Dec. 31, 2021
Investments, All Other Investments [Abstract]
Investments	Note 10. Investments Investment in Topgolf Prior to the completion of the merger with Topgolf, the Company had an ownership interest of approximately 14.3% in Topgolf. On March 8, 2021, the Company completed its merger with Topgolf, in which the Company issued shares of its common stock in exchange for 100% of the outstanding equity of Topgolf (see Note 6). As a result of the merger, the Company's shares of Topgolf comprised of common stock and various classes of preferred stock were stepped up to their fair value and applied toward the total purchase consideration in the merger. The fair value adjustment resulted in a gain of $252,531,000. Immediately prior to the merger and at December 31, 2020, the Company's total investment in Topgolf was $111,442,000. The Company accounted for this investment at cost less impairments in accordance with ASU No. 2016-01. Prior to the merger, the Company did not record any impairments with respect to this investment. Investment in Full Swing In connection with the merger with Topgolf, the Company acquired an ownership interest of less than 20.0% in Full Swing, owners of an indoor golf simulation technology that delivers golf ball tracking data and measures ball flight indoors. The fair value of this investment as of the merger date was $27,740,000. During the year ended December 31, 2021, the Company sold a portion of its investment in Full Swing for cash proceeds of approximately $19,096,000. As a result of the sale, the Company has a remaining investment of $9,250,000 in Full Swing, which is reflected within Investments in golf-related ventures on the Company's Consolidated Balance Sheet as of December 31, 2021. Investment in Five Iron Golf In November 2021, the Company completed a $30,000,000 minority investment in Five Iron Golf, an emerging, privately-owned, urban indoor golf and entertainment company that offers golf simulator rentals, golf lessons, custom club fittings, social events and a curated food and beverage menu. As a result of the transaction, the Company now has an ownership interest which is less than 20%, in Five Iron Golf. The investment in Five Iron Golf is accounted for at cost less impairments, adjusted for observable changes in fair value. As of December 31, 2021, there has been no change in the fair value of the investment, which is reflected within Investments in golf-related ventures on the Company's Consolidated Balance Sheet.

Joint Venture	12 Months Ended
Joint Venture	Dec. 31, 2021
Noncontrolling Interest [Abstract]
Joint Venture	Note 11. Joint Venture The Company had a joint venture in Japan, Callaway Apparel K.K., with its long-time apparel licensee, TSI Groove & Sports Co, Ltd., ("TSI") for the design, manufacture and distribution of Callaway-branded apparel, footwear and headwear in Japan. In July 2016, the Company contributed $10,556,000, primarily in cash, for a 52% ownership of the joint venture, and TSI contributed $9,744,000, primarily in inventory, for the remaining 48%. In May 2019, the Company entered into a stock purchase agreement with TSI to acquire the remaining shares comprising the 48% ownership in Callaway Apparel K.K. for 2 billion Yen, or approximately $18,538,000 (using the exchange rate in effect on the acquisition date). The purchase was completed as of May 2019 and, pursuant to the stock purchase agreement, the purchase price was paid in August 2019. During the year ended December 31, 2019 the Company recorded a net loss attributable to the non-controlling interest of $179,000. As of December 31, 2021 and 2020, the Company owned 100% of this entity and controlled all matters pertaining to its business operations and significant management decisions.

Product Warranty

12 Months Ended

Dec. 31, 2021

Guarantees and Product Warranties [Abstract]

Product Warranty

Note 12. Product Warranty

The Company has a stated two-year warranty policy for its golf clubs and certain Jack Wolfskin gear, as well as a limited lifetime warranty for its OGIO line of products. The Company’s policy is to accrue the estimated cost of satisfying future warranty claims at the time the sale is recorded. In estimating its future warranty obligations, the Company considers various relevant factors, including the Company’s stated warranty policies and practices, the historical frequency of claims, and the cost to replace or repair its products under warranty.

The Company’s estimates for calculating the warranty reserve are principally based on assumptions regarding the warranty costs of each product line over the expected warranty period. Where little or no claims experience may exist, the Company’s warranty obligation calculation is based upon long-term historical warranty rates of similar products until sufficient data is available. As actual model-specific rates become available, the Company’s estimates are modified to reflect the range of likely outcomes.

The warranty reserve is included in other current liabilities in the accompanying consolidated balance sheets as of December 31, 2021 and December 31, 2020. The following table provides a reconciliation of the activity related to the Company's warranty reserve (in thousands):


	Year Ended December 31,
	2021		2020		2019
Beginning balance	$	9,364	$	9,636	$	7,610
Provision	9,109		7,926		8,311
Provision liability assumed from acquisition	—		—		2,208
Claims paid/costs incurred	(7,486)		(8,198)		(8,493)
Ending balance	$	10,987	$	9,364	$	9,636

Selected Financial Statement Information

12 Months Ended

Dec. 31, 2021

Disclosure Selected Financial Statement Information [Abstract]

Selected Financial Statement Information

Note 13. Selected Financial Statement Information


	December 31,
	2021		2020
	(in thousands)
Inventories:
Finished goods	$	415,396	$	281,602
Work in process	1,268		1,010
Raw materials	111,658		69,932
Food and beverage	5,135		—
	$	533,457	$	352,544
Other Current Assets:
Credit card receivables	$	31,205	$	2,124
Sales return reserve cost recovery asset	25,947		24,112
VAT/Sales tax receivable	19,519		1,017
Other current assets	42,661		7,911
	$	119,332	$	35,164
Property, plant and equipment, net:
Land	$	134,293	$	7,308
Buildings and leasehold improvements	858,583		100,653
Machinery and equipment	204,269		137,026
Furniture, computer hardware and equipment	211,164		100,558
Internal-use software	81,616		42,082
Production molds	7,979		6,809
Construction-in-process	286,658		13,299
	1,784,562		407,735
Accumulated depreciation	(333,160)		(261,240)
	$	1,451,402	$	146,495






Accounts payable and accrued expenses:
Accounts payable	$	138,677	$	66,282
Accrued expenses	226,840		136,277
Accrued inventory	125,659		73,650
	$	491,176	$	276,209
Accrued employee compensation and benefits:
Accrued payroll and taxes	$	100,842	$	17,009
Accrued vacation and sick pay	21,798		12,887
Accrued commissions	6,227		1,041
	$	128,867	$	30,937

Income Taxes

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Income Taxes

Note 14. Income Taxes

The Company’s income before income tax provision was subject to taxes in the following jurisdictions for the following periods (in thousands):


	Years Ended December 31,
	2021		2020		2019
United States	$	295,322	$	68,916	$	55,352
Foreign	55,320		(196,394)		40,417
	$	350,642	$	(127,478)	$	95,769

The expense (benefit) for income taxes is comprised of (in thousands):


	Years Ended December 31,
	2021		2020		2019
Current tax provision:
Federal	$	2,916	$	1,665	$	1,022
State	2,267		1,467		1,403
Foreign	14,643		5,385		9,933
	19,826		8,517		12,358
Deferred tax expense (benefit):
Federal	11,032		8,579		10,185
State	7,146		5,166		335
Foreign	(9,350)		(22,806)		(6,338)
	8,828		(9,061)		4,182
Income tax provision (benefit)	$	28,654	$	(544)	$	16,540

On March 8, 2021, the Company acquired Topgolf through a non-taxable stock acquisition in a share exchange. The purchase price of Topgolf at acquisition was $3,014,174,000. The Company recorded a deferred tax liability of $250,000,000 related to the acquired intangibles, offset by $118,000,000 of other acquired deferred tax assets, after consideration of acquired valuation allowances.

On January 4, 2019, the Company acquired Jack Wolfskin for $521,201,000 (including cash acquired of $58,096,000) in a taxable stock acquisition. The Company recorded a deferred tax liability of $88,462,000 related to the intangibles upon acquisition in addition to $11,384,000 deferred tax assets acquired (see Note 6). In the second quarter of 2020, due to a decline in projected revenues caused by the COVID-19 pandemic, the Company recognized an impairment charge of $174,269,000 to write down goodwill and trade name associated with Jack Wolfskin (see Note 9). The impaired goodwill was comprised of book basis with no corresponding deferred tax liability. The trade name impairment resulted in a tax benefit recorded for the reduction of $7,900,000 of deferred tax liability previously recorded as part of acquisition accounting.

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2021 and 2020 are as follows (in thousands):


	December 31,
	2021		2020
Deferred tax assets:
Operating loss carryforwards	$	149,895	$	26,919
Tax credit carryforwards	64,250		49,525
ASC Topic 842 lease liability	396,378		52,785
Deemed landlord financing	115,060		—
Other	72,768		53,163
Total deferred tax assets	798,351		182,392
Valuation allowance for deferred tax assets	(120,499)		(21,032)
Deferred tax assets, net of valuation allowance	677,852		161,360

Deferred tax liabilities:
Basis difference related to fixed assets	(105,532)		—
Basis difference related to intangible assets with an indefinite life	(331,130)		(100,062)
ASC Topic 842 ROU assets	(375,697)		(49,910)
Other	(7,920)		(10,281)
Total deferred tax liabilities	(820,279)		(160,253)
Net deferred tax assets (liabilities) are shown on the accompanying consolidated balance sheets as follows:
Non-current deferred tax assets	21,164		59,735
Non-current deferred tax liabilities	(163,591)		(58,628)
Net deferred tax (liabilities)/ assets	$	(142,427)	$	1,107

The net change in net deferred taxes in 2021 of $143,534,000 is primarily comprised of net deferred tax liabilities acquired in the Topgolf transaction.

Deferred tax assets and liabilities result from temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that are anticipated to be in effect at the time the differences are expected to reverse. The realization of the deferred tax assets, including loss and credit carry forwards, is subject to the Company generating sufficient taxable income during the periods in which the temporary differences become realizable. In accordance with the applicable accounting rules, the Company maintains a valuation allowance for a deferred tax asset when it is deemed to be more likely than not that some or all of the deferred tax assets will not be realized. In evaluating whether a valuation allowance is required under such rules, the Company considers all available positive and negative evidence, including prior operating results, the nature and reason for any losses, its forecast of future taxable income, and the dates on which any deferred tax assets are expected to expire. These assumptions require a significant amount of judgment, including estimates of future taxable income. These estimates are based on the Company’s best judgment at the time made based on current and projected circumstances and conditions.

The Company has evaluated all available positive and negative evidence and as a result of the Topgolf merger has determined that a portion of its U.S. deferred tax assets were not more likely than not to be realized. The valuation allowance on the Company's U.S. deferred tax assets as of December 31, 2021 and 2020 relate primarily to the definite-lived federal and state net deferred tax assets and tax credits the Company estimates it may not be able to utilize in future periods. In connection with the purchase accounting related to the merger with Topgolf, the Company also recorded a valuation allowance in goodwill of $67,000,000 against certain Topgolf deferred tax assets acquired in the merger. With respect to Jack Wolfskin and previously existing non-U.S. entities, there continues to be sufficient positive evidence to conclude that realization of its deferred tax assets is more likely than not under applicable accounting rules, and therefore no significant valuation allowances have been established.

As of December 31, 2021, the Company had federal and state income tax credit carryforwards of $56,134,000 and $25,786,000, respectively, which will expire if unused at various dates beginning on December 31, 2027. Such credit carryforwards expire as follows (in thousands):


U.S. foreign tax credit	$	3,165	2027 - 2031
U.S. research tax credit	26,568		2031 - 2041
U.S. business tax credits	26,401		2031 - 2041
State investment tax credits	2,028		Do not expire
State research tax credits - definite lived	1,563		2030 - 2034
State research tax credits - indefinite lived	$	22,195	Do not expire

The Company has recorded a deferred tax asset, before consideration of reflecting the benefit of NOL and interest expense carryforwards. The NOLs and interest expense carryforwards expire as follows (in thousands):


U.S. loss carryforwards - definite lived	$	181,549	2028 - 2037
U.S. interest expense carryforwards - indefinite lived	12,910		Do not expire
U.S. loss carryforwards - indefinite lived	213,743		Do not expire
State loss carryforwards	$	269,930	2022 - 2041

The Company’s ability to utilize its NOLs and credits to offset future taxable income and income tax liabilities may be deferred or limited significantly if the Company were to experience an “ownership change” as such term is used in Sections 382 and 383 of the Code. In general, an ownership change will occur if there is a cumulative change in ownership of the Company’s stock by “5-percent shareholders” (as defined in the Code) that exceeds 50 percentage points over a rolling three-year period. The Company determined that an ownership change with respect to each of the Company and Topgolf likely occurred on the date of the Topgolf merger. As such, each of the Company and Topgolf is likely subject under Sections 382 and 383 of the Code to a limitation on the utilization of its NOLs and credits. However, due to the high threshold of this limitation, it is not expected to have any material impact on the Company. In addition, Topgolf’s NOLs are presently expected to be subject to “separate return limitation year” limitations. Separate return limitation year NOLs can only be used in years that both the consolidated group and the entity that created such NOLs have taxable income, which may limit our ability to utilize Topgolf’s NOLs in the future. Therefore, the Company’s ability to utilize Topgolf tax attributes to offset future taxable income may be deferred or limited significantly.

A reconciliation of the effective tax rate on income or loss and the statutory tax rate is as follows:


	Years Ended December 31,
	2021		2020		2019
Statutory U.S. tax rate	21.0	%	21.0	%	21.0	%
State income taxes, net of U.S. tax benefit	2.1	%	(4.1)	%	1.6	%
Foreign income taxed at other than U.S. statutory rate	(3.3)	%	7.0	%	(5.0)	%
Federal tax credits	(2)	%	2.8	%	(3.5)	%
Goodwill impairment	—	%	(24.5)	%	—	%
Revaluation of Callaway stock attributable to Topgolf merger	(15.1)	%	—	%	—	%
Other non-deductible expenses	0.7	%	(1.7)	%	1.2	%
Non-deductible compensation	1.4	%	(0.7)	%	1.5	%
Stock compensation excess tax benefits	(1.6)	%	1.4	%	(1.5)	%
Foreign derived intangible income deduction	(2.1)	%	1.1	%	(3.2)	%
Impact of uncertain tax positions	(2.2)	%	(1.6)	%	3.7	%
Change in deferred tax valuation allowance	7.8	%	(0.7)	%	0.2	%
Other	1.5	%	0.4	%	1.3	%
Effective tax rate	8.2	%	0.4	%	17.3	%

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):


	2021		2020		2019
Balance at January 1	$	28,302	$	25,993	$	11,832
Additions based on tax positions related to the current year	1,727		3,119		3,224
Additions for tax positions of prior years	526		474		593
Reductions for tax positions of prior years	(936)		(186)		(174)
Settlement of tax audits	(2,665)		—		(7)
Current year acquisitions	6,740		—		11,006
Reductions due to lapsed statute of limitations	(7,046)		(1,098)		(481)
Balance at December 31	$	26,648	$	28,302	$	25,993

As of December 31, 2021, the gross liability for income taxes associated with uncertain tax benefits was $26,648,000. This liability could be reduced by $5,273,000 of offsetting tax benefits associated with the correlative effects of potential transfer pricing adjustments, which was recorded as a long-term income tax receivable, as well as $10,359,000 of deferred taxes. The net amount of $11,016,000, if recognized, would affect the Company’s financial statements and favorably affect the Company’s effective income tax rate.

The Company does not expect changes to the unrecognized tax benefits in the next 12 months to have a material impact on its results of operations or its financial position.

The Company recognizes interest and/or penalties related to income tax matters in income tax expense. The Company recognized a tax benefit of $555,000 and $437,000, and tax expense of $9,000, for the years ended December 31, 2021, 2020, and 2019, respectively. As of December 31, 2021 and 2020, the gross amount of accrued interest and penalties included in income taxes payable in the accompanying consolidated balance sheets was $3,206,000 and $1,232,000, respectively. In connection with the purchase accounting related to the merger with Topgolf, the Company recorded penalties of $2,529,000 which is included in the gross amount of accrued interest and penalties as of December 31, 2021.

The Company or one of its subsidiaries files income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. The Company is generally no longer subject to income tax examinations by tax authorities in its major jurisdictions as follows:


Major Tax Jurisdiction						Years No Longer Subject to Audit
U.S. Federal						2010 and prior
California (U.S.)						2008 and prior
Germany						2013 and prior
Japan						2015 and prior
South Korea						2015 and prior
United Kingdom						2017 and prior

As of December 31, 2021, the Company had $180,218,000 of undistributed foreign earnings and profits. Pursuant to the Tax Act, the Company’s undistributed foreign earnings and profits were deemed repatriated as of December 31, 2017 and subsequent foreign profits are not expected to be subject to U.S. income tax upon repatriation. The Company has not provided deferred tax liabilities for foreign withholding taxes and certain state income taxes on the undistributed earnings and profits from certain non-U.S. subsidiaries that will be permanently reinvested outside the United States, and expects the net impact of any future repatriations of permanently invested earnings on the Company’s overall tax liability to be insignificant. For jurisdictions in which the Company is not permanently reinvested, the Company has estimated and accrued $2,300,000 for the net impact on the Company’s overall tax liability.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Commitments & Contingencies

12 Months Ended

Dec. 31, 2021

Commitments and Contingencies Disclosure [Abstract]

Commitments & Contingencies

Note 15. Commitments & Contingencies

Legal Matters

The Company is subject to routine legal claims, proceedings, and investigations incident to its business activities, including claims, proceedings, and investigations relating to commercial disputes and employment matters. The Company also receives from time to time information claiming that products sold by the Company infringe or may infringe patent, trademark, or other intellectual property rights of third parties. One or more such claims of potential infringement could

lead to litigation, the need to obtain licenses, the need to alter a product to avoid infringement, a settlement or judgment, or some other action or material loss by the Company, which also could adversely affect the Company’s overall ability to protect its product designs and ultimately limit its future success in the marketplace. In addition, the Company is occasionally subject to non-routine claims, proceedings, or investigations.

The Company regularly assesses such matters to determine the degree of probability that the Company will incur a material loss as a result of such matters, as well as the range of possible loss. An estimated loss contingency is accrued in the Company’s financial statements if it is probable the Company will incur a loss and the amount of the loss can be reasonably estimated. The Company reviews all claims, proceedings, and investigations at least quarterly and establishes or adjusts any accruals for such matters to reflect the impact of negotiations, settlements, advice of legal counsel, and other information and events pertaining to a particular matter. All legal costs associated with such matters are expensed as incurred.

Historically, the claims, proceedings, and investigations brought against the Company, individually and in the aggregate, have not had a material adverse effect on the consolidated results of operations, cash flows or financial position of the Company. The Company believes that it has valid legal defenses to the matters currently pending against the Company. However, these matters are inherently unpredictable and the resolutions of these matters are subject to many uncertainties and the outcomes are not predictable with assurance. Consequently, management is unable to estimate the ultimate aggregate amount of monetary loss, amounts covered by insurance, or the financial impact that will result from such matters. In addition, the Company cannot assure that it will be able to successfully defend itself in those matters, or that any amounts accrued are sufficient.

The Company does not believe that the matters currently pending against the Company will have a material adverse effect on the Company's consolidated business, financial condition, cash flows, or results of operations on an annual basis.

Unconditional Purchase Obligations

During the normal course of its business, the Company enters into agreements to purchase goods and services, including commitments for endorsement agreements with professional athletes and other endorsers, employment, consulting and service agreements, and intellectual property licensing agreements pursuant to which the Company is required to pay royalty fees. It is not possible to determine the amounts the Company will ultimately be required to pay under these agreements as they are subject to many variables including performance-based bonuses, severance arrangements, the Company’s sales levels, and reductions in payment obligations if designated minimum performance criteria are not achieved. The amounts listed approximate minimum purchase obligations, base compensation, and guaranteed minimum royalty payments the Company is obligated to pay under these agreements. The actual amounts paid under some of these agreements may be higher or lower than the amounts included. In the aggregate, the actual amount paid under these obligations is likely to be higher than the amounts listed as a result of the variable nature of these obligations. The Company has entered into many of these contractual agreements with terms ranging from one to five years.

The minimum obligation that the Company is required to pay as of December 31, 2021 under these agreements is $71,853,000 over the next five years as follows (in thousands):


2022	$	33,883
2023	31,031
2024	6,639
2025	200
2026	100

	$	71,853

In addition, the Company also enters into unconditional purchase obligations with various vendors and suppliers of goods and services in the normal course of operations through purchase orders or other documentation or that are undocumented except for an invoice. Such unconditional purchase obligations are generally outstanding for periods less than a year and are settled by cash payments upon delivery of goods and services and are not reflected in this total.

The Company’s minimum capital commitment related to lease agreements for Topgolf venues under construction, net of amount reimbursed by third-party real estate financing partners, of $66,000,000 is not reflected in this total. These commitments are generally outstanding for periods less than a year. See Note 3 for further information.

Other Contingent Contractual Obligations

During its normal course of business, the Company has made certain indemnities, commitments and guarantees under which it may be required to make payments in relation to certain transactions. These include (i) intellectual property indemnities to the Company’s customers and licensees in connection with the use, sale and/or license of Company product or trademarks, (ii) indemnities to various lessors in connection with facility leases for certain claims arising from such facilities or leases, (iii) indemnities to vendors and service providers pertaining to the goods and services provided to the Company or based on the negligence or willful misconduct of the Company and (iv) indemnities involving the accuracy of representations and warranties in certain contracts. In addition, the Company has consulting agreements that provide for payment of nominal fees upon the issuance of patents and/or the commercialization of research results. The Company has also issued guarantees in the form of standby letters of credit of $11,484,000 as of December 31, 2021.

The duration of these indemnities, commitments and guarantees varies, and in certain cases, may be indefinite. The majority of these indemnities, commitments and guarantees do not provide for any limitation on the maximum amount of future payments the Company could be obligated to make. Historically, costs incurred to settle claims related to indemnities have not been material to the Company’s financial position, results of operations or cash flows. In addition, the Company believes the likelihood is remote that payments under the commitments and guarantees described above will have a material effect on the Company’s consolidated financial statements. The fair value of indemnities, commitments and guarantees that the Company issued during and as of December 31, 2021 was not material to the Company’s financial position, results of operations or cash flows.

Employment Contracts

In addition, the Company has made contractual commitments to each of its officers and certain other employees providing for severance payments, including salary continuation, upon the termination of employment by the Company without substantial cause or by the officer for good reason or non-renewal. In addition, in order to assure that the officers would continue to provide independent leadership consistent with the Company’s best interest, the contracts also generally provide for certain protections in the event of a change in control of the Company. These protections include the payment of certain severance benefits, such as salary continuation, upon the termination of employment following a change in control.

Capital Stock	12 Months Ended
Capital Stock	Dec. 31, 2021
Equity [Abstract]
Capital Stock	Note 16. Capital Stock Common Stock and Preferred Stock As of December 31, 2021, the Company has an authorized capital of 363,000,000 shares, 0.01 par value, of which 360,000,000 shares are designated common stock, and 3,000,000 shares are designated preferred stock. Of the preferred stock, 240,000 shares are designated Series A Junior Participating Preferred Stock and the remaining shares of preferred stock are undesignated as to series, rights, preferences, privileges or restrictions. The holders of common stock are entitled to one vote for each share of common stock on all matters submitted to a vote of the Company’s shareholders. Although to date no shares of Series A Junior Participating preferred stock have been issued, if such shares were issued, each share of Series A Junior Participating Preferred Stock would entitle the holder thereof to 1,000 votes on all matters submitted to a vote of the shareholders of the Company. The holders of Series A Junior Participating Preferred Stock and the holders of common stock shall generally vote together as one class on all matters submitted to a vote of the Company’s shareholders. Treasury Stock and Stock Repurchases In December 2021, the Company's Board of Directors authorized a $50,000,000 share repurchase program (the "2021 Repurchase Program"), under which the Company is authorized to repurchase shares of its common stock in the open market or in private transactions, subject to the Company's assessment of market conditions and buying opportunities. Repurchases under the 2021 Repurchase Program are made consistent with the terms of the Company's ABL Facility and long-term debt, which limits the amount of stock that can be repurchased. This new repurchase authorization replaces the pre-pandemic 2019 repurchase program (the "2019 Repurchase Program"), which has been terminated by the Board of Directors. During the year ended December 31, 2021, the Company repurchased approximately 946,600 shares of its common stock at an average price per share of $26.41 for a total cost of $25,000,000, in relation to the 2021 Repurchase Program. As of December 31, 2021, the total available amount remaining under the 2021 Repurchase Program was $25,000,000 Additionally, during 2021, the Company withheld 433,505 shares of its common stock to satisfy the Company's tax withholding obligations in connection with the vesting and settlement of employee restricted stock unit awards and performance share units, for a total cost of $13,471,000. The Company’s repurchases of shares of common stock are recorded at cost and result in a reduction of shareholders’ equity.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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+ Details

Stock Plans and Share-Based Compensation

12 Months Ended

Dec. 31, 2021

Share-based Payment Arrangement [Abstract]

Stock Plans and Share-Based Compensation

Note 17. Stock Plans and Share-Based Compensation

Stock Plans

As of December 31, 2021, the Company had two shareholder approved stock plans under which shares were available for equity-based awards; the Callaway Golf Company Amended and Restated 2004 Incentive Plan (the "2004 Incentive Plan") and the 2013 Non-Employee Directors Stock Incentive Plan (the "2013 Directors Plan"). The Company also had one non-shareholder approved stock plan, the 2021 Employment Inducement Plan (the "2021 Inducement Plan"), which was adopted in connection with the Company's merger with Topgolf on March 8, 2021. The 2021 Inducement Plan has substantially the same terms as the Company's 2004 Incentive Plan, with the exception that awards can only be made to new employees in connection with their commencement of employment and incentive stock options cannot be granted under the 2021 Inducement Plan. In general, the Company grants stock options, restricted stock units, performance based awards, phantom stock units and other awards under these plans.

The 2004 Incentive Plan permits the granting of stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance share units and other equity-based awards to the Company’s officers, employees, consultants and certain other non-employees who provide services to the Company. All grants under the 2004 Incentive Plan are discretionary, although no participant may receive awards in any one year in excess of 2,000,000 shares. The maximum number of shares issuable over the term of the 2004 Incentive Plan is 33,000,000.

The 2013 Directors Plan permits the granting of stock options, restricted stock awards and restricted stock units to eligible directors serving on the Company's Board of Directors. Directors may receive a one-time grant upon their initial appointment to the Board and thereafter an annual grant upon being re-elected at each annual meeting of shareholders, not to exceed 50,000 shares within any calendar year. The maximum number of shares issuable over the term of the 2013 Directors Plan is 1,000,000.

The 2021 Inducement Plan was adopted in connection with the Company's merger with Topgolf on March 8, 2021. The plan permits the granting of stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance share units and other equity-based awards to the Company’s officers, employees, consultants and certain other non-employees who provide services to the Company. The maximum number of shares issuable over the term of the 2021 Inducement Plan is 1,300,000.

Topgolf Replacement Awards & Equity Compensation Plans

In connection with the merger with Topgolf which was completed on March 8, 2021, the Company converted certain stock options previously held by former equity holders of Topgolf into options to purchase a number of shares of Callaway common stock, and certain outstanding restricted stock awards of Topgolf into shares of Callaway common stock (together, the "replacement awards"). The Company also assumed two equity compensation plans and a stock option agreement between Topgolf and a third party in connection with the merger (collectively, the "Topgolf Equity

Compensation Plans and Option Agreement"). No additional awards may be granted by the Company under the assumed Topgolf Equity Plans and Option Agreement. Additionally, the Company included $33,051,000 in the consideration transferred for the replacement awards issued connection with the merger, which represents the fair value of the vested portion of the replacement awards. As of the year ended December 31, 2021, the unvested portion of the replacement awards, which is associated with the future services that will be rendered in the post-combination period, is comprised of 3,168,000 shares underlying stock options with an acquisition date fair value of $5,343,000, and 188,000 shares of restricted stock awards with an acquisition date fair value of $4,794,000. All activity related to share-based awards for the year December 31, 2021, includes the Replacement Awards issued in connection with the merger with Topgolf (see Note 6).

The following table presents shares authorized, available for future grant and outstanding under each of the Company’s plans as of December 31, 2021:


	Authorized	Available	Outstanding(1)
	(in thousands)
2004 Incentive Plan	33,000	4,736	2,776
2013 Directors Plan	1,000	512	48
2021 Inducement Plan	1,300	310	774
Topgolf Equity Compensation Plans and Option Agreement	—	—	1,933
Total	35,300	5,558	5,531

____________

(1)Includes 1,384 shares of accrued incremental dividend equivalent rights on outstanding shares underlying restricted stock units granted under the 2004 Incentive Plan and 2013 Directors Plan.

Stock Options

There were 3,168,000 stock options granted in 2021, which were constituted of the replacement awards issued in connection with the Company's merger with Topgolf on March 8, 2021. No stock options were granted in 2020 and 2019. As of December 31, 2021, there were 1,988,000 stock options outstanding, of which 1,552,000 were fully vested. For the year ended December 31, 2021, the Company recognized $2,625,000 in compensation expense related to stock option grants. For the years ended December 31, 2020 and 2019, the Company did not recognize any compensation expense related to stock option grants.

The following table summarizes the Company’s stock option activities for the year ended December 31, 2021 (in thousands, except price per share amounts and contractual term):


Options	Number of Shares	Weighted- Average Exercise Price Per Share		Weighted- Average Remaining Contractual Term	Aggregate Intrinsic Value
Outstanding at January 1, 2021	598	$	6.52
Granted	3,168	$	25.93
Exercised	(1,436)	$	15.52
Forfeited	(110)	$	33.42
Expired	(232)	$	30.93
Outstanding at December 31, 2021	1,988	$	26.60	5.22	$	7,380
Vested and expected to vest in the future at December 31, 2021	1,979	$	26.57	5.21	$	7,380
Exercisable at December 31, 2021	1,552	$	24.81	4.62	$	7,380

The following table summarizes information related to outstanding stock options as of December 31, 2021:

Weighted Average

Range of Option Prices

Options Outstanding

Remaining Life (Years)

Exercise Price

$6.52 to $35.14

1,988,000

5.22

$26.60

As of December 31, 2021, there was $2,088,000 unamortized compensation expense related to stock options granted to employees under the Company’s share-based payment plans.

The total intrinsic value for options exercised during the years ended December 31, 2021, 2020 and 2019 was $26,344,000, $566,000 and $792,000, respectively. Cash received from the exercise of stock options for the years ended December 31, 2021, 2020 and 2019 was $22,270,000, $248,000 and $368,000, respectively.

The fair value of the stock options granted in connection with the merger was based on the Black-Scholes option-pricing model. The model uses various assumptions including an expected term, stock price volatility, risk-free interest rate, and dividend yield. Assumptions related to the expected term and stock price volatility were based on historical exercise patterns and historical fluctuations in volatility relative to the Company's stock price, respectively. Assumptions related to the risk-free interest rate and dividend yield were based on the yield-curve of a zero-coupon U.S. treasury bond on the date the grants were made with a maturity equal to the expected term of the grant, and an assumed dividend yield based on the Company's expectation to not pay dividends for the foreseeable future, respectively. The table below summarizes the range and the weighted averages of the fair value assumptions used in the Black-Scholes valuation as of March 8, 2021.


Assumptions:	Range	Weighted Averages
Expected term (in years)	0.3 - 7.1	3.7
Volatility	43.0% - 85.4%	55.1%
Risk-free interest rate	0.1% -1.3%	0.6%
Dividend yield	—	—

Restricted Stock

For the years ended December 31, 2021, 2020 and 2019, the weighted average grant-date fair value of restricted stock units granted was $29.60, $17.84 and $15.63, respectively. The total fair value of restricted stock units vested during the years ended December 31, 2021, 2020 and 2019 was $6,516,000, $5,959,000 and $6,263,000, respectively.

The table below is a roll-forward of the activity for restricted stock units for the year ended December 31, 2021 (in thousands, except fair value amounts):


Restricted Stock Units	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	900	$	15.83
Granted	1,154	29.60
Vested	(432)	15.07
Forfeited	(41)	27.50

Unvested at December 31, 2021(1)	1,581	$	25.79

____________

(1)Excludes 1,384 shares of accrued incremental dividend equivalent rights on outstanding shares underlying restricted stock units granted under the 2004 Incentive Plan and 2013 Directors Plan.

The Company recognized $13,981,000, $6,417,000 and $6,098,000 of compensation expense related to restricted stock units for the years ended December 31, 2021, 2020 and 2019, respectively.

The weighted average grant-date fair value of restricted stock awards granted as part of the replacement awards was $28.74. The total fair value of the restricted stock awards granted as part of the replacement awards that vested during the year ended December 31, 2021 was $847,000. The table below is a roll-forward of the activity for restricted stock awards granted as part of the replacement awards for the year ended December 31, 2021 (in thousands, except fair value amounts):


Restricted Stock Awards	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	—	$	—
Granted	188	28.74
Vested	(29)	29.52
Forfeited	(11)	16.63

Unvested at December 31, 2021	148	$	29.52

The Company recognized $2,356,000 of compensation expense related to restricted stock awards granted as part of replacement awards during the year ended December 31, 2021. For the years ended December 31, 2020 and 2019, the Company did not recognize any compensation expense related to restricted stock awards.

As of December 31, 2021, there was $27,776,000 of total unamortized compensation expense related to unvested restricted stock granted to employees under the Company’s share-based payment plans, which includes $2,171,000 of unrecognized compensation expense related restricted awards granted as part of the replacement awards. The unamortized compensation expense related to restricted stock units and restricted stock replacement awards is expected to be recognized over a weighted-average period of 1.8 years and 1.6 years respectively.

Performance Based Awards

During the year ended December 31, 2021, the Company granted 1,129,000 shares underlying EBITDA PRSUs at a weighted average grant-date fair value of $29.38, of which 1,063,000 shares were granted in connection with the merger with Topgolf, which was completed on March 8, 2021, and had a weighted average grant-date fair value of $29.52.

During the year ended December 31, 2021, the Company granted 155,000 shares underlying APTI PRSUs at a weighted average grant-date fair value of $29.56, of which 43,000 were granted in connection with the merger with Topgolf, which was completed on March 8, 2021, and had a weighted average grant-date fair value of $29.52.

During the year ended December 31, 2021, the Company granted 156,000 shares underlying rTSR PRSUs at a weighted average grant-date fair value of $38.23, of which 43,000 were granted in connection with the merger with Topgolf, which was completed on March 8, 2021, and had a weighted average grant-date fair value of $37.40. During the years ended December 31, 2020, and 2019, the Company granted 125,000, and 149,000 shares underlying rTSR PRSUs at a weighted average grant-date fair value of $23.22, and $16.96, respectively.

No EPS PRSUs were granted during the year ended December 31, 2021. During the years ended December 31, 2020, and 2019, the Company granted 125,000, and 226,000 shares underlying EPS PRSUs, respectively, at a weighted average grant-date fair value of $19.66, and $15.17 per share, respectively.

The total fair value of all performance based awards vested during the years ended December 31, 2021, 2020 and 2019 was $8,242,000, $7,242,000 and $6,708,000, respectively.

During the years ended December 31, 2021, 2020 and 2019, the Company recognized compensation expense on all PRSUs, net of estimated forfeitures, of $19,723,000, $4,511,000 and $6,796,000, respectively. At December 31, 2021, the combined unamortized compensation expense related to the EBITDA, APTI, EPS, rTSR, and merger PRSUs was $45,742,000, and is expected to be recognized over a weighted-average period of 1.9 years.

The table below is a roll-forward of the activity for performance based awards during the year ended December 31, 2021 (in thousands, except fair value amounts):


Performance Share Units	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	835	$	17.08
Performance Share Units Granted	1,440	$	30.35
Target Award Adjustment(1)	279	$	14.80
Vested	(557)	$	14.80
Forfeited	(36)	$	25.77
Unvested at December 31, 2021	1,961	$	27.00

____________

(1)Represents shares earned by participants at 200% for awards granted in 2018.

Share-Based Compensation Expense

The table below summarizes the amounts recognized in the financial statements for the years ended December 31, 2021, 2020 and 2019 for share-based compensation, including expense for restricted stock units, performance share units, stock options and cash settled stock appreciation rights (in thousands):


	Years Ended December 31,
	2021		2020		2019
Cost of products	$	1,219	$	763	$	961
Selling, general and administrative expenses	36,524		9,326		10,955
Research and development expenses	942		838		980
Total cost of share-based compensation included in income, before income tax	38,685		10,927		12,896
Income tax benefit	8,898		2,513		2,966
Total cost of employee share-based compensation, after tax	$	29,787	$	8,414	$	9,930

Employee Benefit Plan	12 Months Ended
Employee Benefit Plan	Dec. 31, 2021
Retirement Benefits [Abstract]
Employee Benefit Plan	Note 18. Employee Benefit Plan The Company has two voluntary deferred compensation plans under Section 401(k) of the Internal Revenue Code (the “Callaway Golf 401(k) Plan” and the “Topgolf 401(k) Plan”) for employees who satisfy the age and service requirements under each respective plan. Callaway Golf 401(k) Plan Under the Callaway Golf 401(k) Plan, each participant may elect to contribute up to 75% of annual compensation, up to the maximum allowable limit permitted by the IRS. Under the plan, the Company contributes annually an amount equal to 50% of the participant’s contributions, up to 6% of the participant's eligible annual compensation, for a maximum employer matching contribution of 3%. The portion of the participant’s account attributable to elective deferral contributions and rollover contributions made by the participant are 100% vested and are not able to be forfeited. Employer contributions vest at a rate of 50% per year, and are fully vested after two years of service. Beginning April 13, 2020, in light of the business and financial uncertainties created by the COVID-19 pandemic, the Company suspended its portion of the employer matching contribution, except for employees who are unionized and are covered under a collective bargaining agreement. The matching contribution was reinstated on January 1, 2021. During the years ended December 31, 2021, 2020 and 2019, Company matching contributions under the plan were $3,261,000, $1,103,000 and $2,719,000 respectively. Topgolf 401(k) Plan Under the Topgolf 401(k) Plan, employees of Topgolf may elect to contribute up to 80% of annual compensation, up to the maximum allowable limit permitted by the IRS. Under the plan, the Company contributes annually an amount equal to 50% of the participant's contribution, up to 6% of the employees eligible compensation, for a maximum employer matching contribution of 3%. The portion of the participant’s account attributable to elective deferral contributions and rollover contributions made by the participant are 100% vested and are not able to be forfeited. Employer contributions vest at a rate of 25% per year, and are fully vested after four years of service. During the year ended December 31, 2021, Company matching contributions under the plan were $2,655,000. In January 2022, the Company amended the Topgolf 401(k) Plan (as amended, the “2022 Topgolf 401(k) Plan”). Under the 2022 Topgolf 401(k) Plan, the Company contributes annually an amount equal to 100% of the participant’s first 3% of contributions, and an amount of 50% of the participant's contributions between 3% and 5% of eligible compensation, for a maximum contribution of 4%. The portion of the participant’s account attributable to elective deferral contributions and rollover contributions made by the participant are 100% vested and are not able to be forfeited. Employer contributions under the plan are immediately 100% vested upon contribution and are not able to be forfeited.

Fair Value of Financial Instruments

12 Months Ended

Dec. 31, 2021

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

Note 19. Fair Value of Financial Instruments

Fair Value Measurements

Fair value is defined as the price that would be received to sell an asset or the price paid to transfer a liability (the exit price) in the principal and most advantageous market for the asset or liability in an orderly transaction between market participants. The Company measures and discloses the fair value of nonfinancial and financial assets and liabilities utilizing a hierarchy of valuation techniques based on whether the inputs to a fair value measurement are considered to be observable or unobservable in a marketplace. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. This hierarchy requires the use of observable market data when available. The measurement of assets and liabilities at fair value are classified using the following three-tier hierarchy:

Level 1: Quoted market prices in active markets for identical assets or liabilities;

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which significant inputs and significant value drivers are observable in active markets; and

Level 3: Fair value measurements derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

The Company measures fair value using a set of standardized procedures that are outlined herein for all assets and liabilities which are required to be measured at fair value. When available, the Company utilizes quoted market prices from an independent third-party source to determine fair value and classifies such items in Level 1. In some instances where a market price is available, but the instrument is in an inactive or over-the-counter market, the Company consistently applies the dealer (market maker) pricing estimate and uses a midpoint approach on bid and ask prices from financial institutions to

determine the reasonableness of these estimates. Assets and liabilities subject to this fair value valuation approach are typically classified as Level 2.

Items valued using internally-generated valuation techniques are classified according to the lowest level input that is significant to the fair value measurement. As a result, the asset or liability could be classified in either Level 2 or Level 3 even though there may be some significant inputs that are readily observable. The Company utilizes a discounted cash flow valuation model whenever applicable to derive a fair value measurement on long-lived assets and goodwill and intangible assets. The Company uses its internal cash flow estimates discounted at an appropriate rate, quoted market prices, royalty rates when available and independent appraisals as appropriate. The Company also considers its counterparty’s and own credit risk on derivatives and other liabilities measured at their fair value.

The following table summarizes the valuation of the Company’s foreign currency forward contracts and interest rate hedge contracts that are measured at fair value on a recurring basis as of December 31, 2021 and 2020 (in thousands):


	Fair Value		Level 1		Level 2		Level 3
December 31, 2021
Foreign currency forward contracts—asset position(1)	$	339	$	—	$	339	$	—
Foreign currency forward contracts—liability position(1)	(216)		—		(216)		—





Interest rate hedge agreements—liability position(2)	(8,679)		—		(8,679)		—


	$	(8,556)	$	—	$	(8,556)	$	—
December 31, 2020
Foreign currency forward contracts—asset position(1)	$	90	$	—	$	90	$	—
Foreign currency forward contracts—liability position(1)	(1,553)		—		(1,553)		—




Interest rate hedge agreements—liability position(2)	(17,922)		—		(17,922)		—
	$	(19,385)	$	—	$	(19,385)	$	—

____________

(1)The fair value of the Company’s foreign currency forward contracts is based on observable inputs that are corroborated by market data. Observable inputs include broker quotes, daily market foreign currency rates and forward pricing curves. Remeasurement gains and losses on foreign currency forward contracts designated as cash flow hedges are recorded in accumulated other comprehensive income (loss) until recognized in earnings during the period that the hedged transactions take place (see Note 20).

(2)The fair value of interest rate hedge contracts is based on observable inputs that are corroborated by market data. Observable inputs include daily market foreign currency rates and interest rate curves. Remeasurement gains and losses are recorded in accumulated other comprehensive income (loss) until recognized in earnings as interest payments are made or received on the Company’s variable-rate debt. Remeasurement gains and losses on foreign currency forward contracts that are not-designated as cash flow hedges are recorded in other income (see Note 20).

Disclosures about the Fair Value of Financial Instruments

The carrying values of the Company's cash and cash equivalents, net accounts receivable, accounts payable and accrued expenses, and other current liabilities contained in the consolidated balance sheet at December 31, 2021 and December 31, 2020 approximate fair value due to the relatively short maturity of the respective instruments.

The table below illustrates information about fair value relating to the Company’s financial assets and liabilities that are recognized in the consolidated balance sheets as of December 31, 2021 and December 31, 2020 (in thousands):


	December 31, 2021				December 31, 2020
	Carrying Value		Fair Value		Carrying Value		Fair Value
Term Loan Facility(1)	$	436,800	$	437,499	$	441,600	$	443,243
Japan Term Loan Facility(2)	$	13,031	$	12,185	$	18,390	$	16,083
Convertible Notes(3)	$	258,750	$	444,351	$	258,750	$	414,191
U.S. Asset-Based Revolving Credit Facility(4)	$	9,096	$	9,096	$	22,130	$	22,130

Equipment Notes(5)	$	31,137	$	30,167	$	31,822	$	29,385

Mortgage Loans(6)	$	46,407	$	52,349	$	—	$	—
Topgolf Term Loan(7)	$	340,375	$	346,076	$	—	$	—

____________

(1)In January 2019, the Company entered into a Term Loan Facility. The fair value of this debt is based on quoted prices for similar instruments in active markets combined with quantitative pricing models and therefore is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(2)In August 2020, the Company entered into the Japan Term Loan Facility. The Company used discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of the debt to derive the fair value and therefore is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(3)In May 2020, the Company issued $258,750,000 of 2.75% Convertible Notes due in 2026. The fair value of this debt is based on quoted prices in secondary markets combined with quantitative pricing models and therefore is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(4)The carrying value of the amounts outstanding under the Company's ABL Facility approximates the fair value due to the short-term nature of these obligations. The fair value of this debt is based on the observable market borrowing rates and therefore is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(5)Between December 2017 and December 2021, the Company entered into the Equipment Notes that are secured by certain equipment at the Company's golf ball manufacturing facility. The Company used discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of the debt to derive the fair value of the notes and therefore the notes are categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(6)The fair value of the mortgage loans is calculated based on the future payments under the mortgage agreement discounted at the incremental borrowing rate and therefore the fair value is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

(7)The fair value of the Topgolf Term Loan is based on quoted market rate from the lender and therefore the fair value is categorized within Level 2 of the fair value hierarchy. See Note 7 for further information.

Nonrecurring Fair Value MeasurementsThe Company measures certain assets at fair value on a non-recurring basis using significant unobservable inputs (Level 3) at least annually or more frequently if certain indicators are present. These assets include long-lived assets, goodwill, non-amortizing intangible assets and investments that are written down to fair value when they are held for sale or determined to be impaired. During the second quarter of 2020, the Company considered the macroeconomic conditions related to the COVID-19 pandemic and its potential impact to sales and operating income, and determined that there were indicators of impairment and proceeded with a quantitative assessment of goodwill for all reporting units. As a result of the assessment, the Company determined that the fair value of one of its reporting units was less than its carrying value, and therefore recognized a goodwill impairment loss of $148,375,000 during 2020. In addition, the Company recognized an impairment loss of $25,894,000 on one of its trade names (see Note 9). There were no impairment losses recorded during the years ended December 31, 2021 and

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Derivatives and Hedging

12 Months Ended

Dec. 31, 2021

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives and Hedging

Note 20. Derivatives and Hedging

In the normal course of business, the Company is exposed to gains and losses resulting from fluctuations in foreign currency exchange rates relating to transactions of its international subsidiaries as well as fluctuations in foreign currency exchange rates and changes in interest rates relating to its long-term debt. The Company uses designated cash flow hedges and non-designated hedges in the form of foreign currency forward contracts as part of its strategy to manage the level of exposure to the risk of fluctuations in foreign currency exchange rates and to mitigate the impact of foreign currency translation on transactions that are denominated primarily in Japanese Yen, British Pounds, Euros, Canadian Dollars, Australian Dollars and Korean Won. The Company also uses cross-currency debt swap contracts and interest rate hedge contracts to mitigate the impact of variable rates on its long-term debt as well as changes in foreign currencies.

The Company accounts for its foreign currency forward contracts, cross-currency debt swap contracts and interest rate hedge contracts in accordance with ASC Topic 815. ASC Topic 815 requires the recognition of all derivative instruments as either assets or liabilities on the balance sheet, the measurement of those instruments at fair value and the recognition of changes in the fair value of derivatives in earnings in the period of change, unless the derivative qualifies as a designated cash flow hedge that offsets certain exposures. Certain criteria must be satisfied in order for derivative financial instruments to be classified and accounted for as a cash flow hedge. Gains and losses from the remeasurement of qualifying cash flow hedges are recorded as a component of accumulated other comprehensive income (loss) and released into earnings as a component of cost of goods sold or net revenues, other income (expense) and interest expense during the period in which the hedged transaction takes place. Remeasurement gains or losses of derivatives that are not elected for hedge accounting treatment are recorded in earnings immediately as a component of other income (expense).

Foreign currency forward contracts, cross-currency debt swap contracts and interest rate hedge contracts are used only to meet the Company’s objectives of minimizing variability in the Company’s operating results arising from foreign exchange rate movements and changes in interest rates. The Company does not enter into foreign currency forward contracts, cross-currency debt swap contracts and interest rate hedge contracts for speculative purposes. The Company utilizes counterparties for its derivative instruments that it believes are credit-worthy at the time the transactions are entered into and the Company closely monitors the credit ratings of these counterparties.

The following table summarizes the fair value of the Company's derivative instruments as well as the location of the asset and/or liability on the consolidated balance sheets at December 31, 2021 and 2020 (in thousands):


		Fair Value of Asset Derivatives
		December 31,
	Balance Sheet Location	2021		2020
Derivatives designated as cash flow hedging instruments:
Foreign currency forward contracts	Other current assets	$	128	$	37


Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Other current assets	211		53

Total asset position		$	339	$	90


		Fair Value of Liability Derivatives
		December 31,
	Balance Sheet Location	2021		2020
Derivatives designated as cash flow hedging instruments:
Foreign currency forward contracts	Accounts payable and accrued expenses	$	7	$	38

Interest rate hedge contracts	Accounts payable and accrued expenses	4,072		4,780
Interest rate hedge contracts	Other long-term liabilities	4,607		13,142
		8,686		17,960
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Accounts payable and accrued expenses	209		1,515

Total liability position		$	8,895	$	19,475

The Company's derivative instruments are subject to a master netting agreement with each respective counterparty bank and are therefore net settled at their maturity date. Although the Company has the legal right of offset under the master netting agreements, the Company has elected not to present these contracts on a net settlement amount basis, and therefore present these contracts on a gross basis on the accompanying consolidated balance sheets at December 31, 2021 and 2020.

Cash Flow Hedging Instruments

Foreign Currency Forward Contracts

The Company uses foreign currency derivatives designated as qualifying cash flow hedging instruments, including foreign currency forward contracts to help mitigate the Company's foreign currency exposure on intercompany sales of inventory to its foreign subsidiaries. These contracts generally mature within 12 months to 15 months from their inception. At December 31, 2021 and 2020, the notional amounts of the Company's foreign currency forward contracts designated as cash flow hedge instruments were approximately $3,335,000 and $756,000, respectively.

As of December 31, 2021, the Company recorded a net gain of $2,440,000 in accumulated other comprehensive loss related to foreign currency forward contracts. Of this amount, net gains of $1,700,000 were relieved from accumulated other comprehensive loss and recognized in cost of goods sold for the underlying intercompany sales that were recognized, and net gains of $86,000 were relieved from accumulated other comprehensive income (loss) related to the amortization of forward points. There were no ineffective hedge gains or losses recognized during 2021. Based on the current valuation, the Company expects to reclassify net gains of $471,000 from accumulated other comprehensive income (loss) into net earnings during the next 12 months.

In the years ended December 31, 2020 and 2019, the Company recognized net gains of $756,000 and $398,000, respectively, in cost of goods sold related to foreign currency forward contracts.

Interest Rate Hedge Contract and Cross-Currency Debt Swap

In order to mitigate the risk of changes in interest rates associated with the Company's variable-rate Term Loan Facility and EUR denominated intercompany loan, the Company used a cross-currency debt swap and interest rate hedge, both designated as cash flow hedges (see Note 7) by converting a portion of the USD denominated Term Loan Facility, which has a higher variable interest rate, to a EUR denominated synthetic note at a lower fixed rate. During 2020, the Company unwound the cross-currency swap, and as of June 30, 2020 the Company determined that the forecasted transaction in connection with the underlying EUR denominated intercompany loan was no longer probable of occurring. As such, the Company discontinued the hedge and released net gains of $11,046,000 from accumulated other comprehensive income to other income (expense), net during 2020. The Company maintained the interest rate hedge related to the USD denominated Term Loan Facility in order to continue mitigating the risk of changes in interest rates. Over the life of the facility, the Company will receive variable interest payments from the counterparty lenders in exchange for the Company making fixed rate payments, without exchange of the underlying notional amount. The notional amount outstanding under the interest rate hedge contract was $194,346,000 and $196,350,000 as of December 31, 2021 and 2020, respectively.

During the years ended December 31, 2021, 2020, and 2019 the Company recorded a net gain of $4,406,000, and net losses of $12,881,000 and $9,434,000, respectively, related to the remeasurement of the interest rate hedge contract in accumulated other comprehensive loss. Of this amount, net losses of $4,829,000, $3,852,000, and $552,000 were relieved from accumulated other comprehensive loss and recognized in interest expense during December 31, 2021, 2020 and 2019, respectively. Based on the current valuation, the Company expects to reclassify a net loss of $4,072,000 related to the interest rate hedge contract from accumulated other comprehensive loss into earnings during the next 12 months.

In connection with the cross-currency swap contract, during the year ended December 31, 2020, the Company recorded a remeasurement net gain of $15,081,000 in accumulated other comprehensive loss. During the year ended December 31, 2020, net gains of $18,510,000 were relieved from accumulated other comprehensive loss. The recognition of these net gains into earnings is summarized as follows:

•Net gains of $11,046,000 related to the discontinuation of the cross-currency swap contract were recognized in other income in 2020.

•Net gains of $5,735,000 related to foreign currency were recognized in other income in 2020.

•Net gains of $1,730,000 were recognized in interest expense during the year ended December 31, 2020.

The following tables summarize the net effect of all cash flow hedges on the consolidated financial statements for the year ended December 31, 2021, 2020, and 2019 (in thousands):


	Net Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss) (Effective Portion)
	Year Ended December 31,
Derivatives designated as cash flow hedging instruments	2021		2020		2019
Foreign currency forward contracts	$	2,440	$	756	$	1,033
Cross-currency debt swap contracts	—		15,081		11,212
Interest rate hedge contracts	4,406		(12,881)		(9,434)
	$	6,846	$	2,956	$	2,811


	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Earnings (Effective Portion)
	Year Ended December 31,
Derivatives designated as cash flow hedging instruments	2021		2020		2019
Foreign currency forward contracts	$	1,700	$	1,028	$	1,165
Cross-currency debt swap contracts	—		18,510		7,783
Interest rate hedge contracts	(4,829)		(3,852)		(552)
	$	(3,129)	$	15,686	$	8,396

Foreign Currency Forward Contracts Not Designated as Hedging Instruments

The Company uses foreign currency forward contracts that are not designated as qualifying cash flow hedging instruments to mitigate certain balance sheet exposures (payables and receivables denominated in foreign currencies), as well as gains and losses resulting from the translation of the operating results of the Company’s international subsidiaries into U.S. dollars for financial reporting purposes. These contracts generally mature within 12 months from their inception. At December 31, 2021, 2020 and 2019, the notional amounts of the Company’s foreign currency forward contracts used to mitigate the exposures discussed above were approximately $67,831,000, $81,627,000, and $72,119,000, respectively. The Company estimates the fair values of foreign currency forward contracts based on pricing models using current market rates, and records all derivatives on the balance sheet at fair value with changes in fair value recorded in the consolidated statements of operations. The foreign currency contracts are classified under Level 2 of the fair value hierarchy (see Note 19).

The following table summarizes the location of gains on the consolidated statements of operations that were recognized during the years ended December 31, 2021, 2020 and 2019, in addition to the derivative contract type (in thousands):


		Amount of Net Gain Recognized in Income on Derivative Instruments
Derivatives not designated as hedging instruments	Location of Net gain recognized in income on derivative instruments	Years Ended December 31,
		2021		2020		2019
Foreign currency forward contracts	Other income, net	$	14,413	$	2,156	$	4,176

In addition, during the years ended December 31, 2021 and 2019, the Company recognized net foreign currency losses of $6,368,000 and $5,838,000, respectively and a net foreign currency gain of $9,024,000 during the year ended December 31, 2020 related to transactions with foreign subsidiaries.

Accumulated Other Comprehensive Income

12 Months Ended

Dec. 31, 2021

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Income

Note 21. Accumulated Other Comprehensive Income

The following table details the amounts reclassified from accumulated other comprehensive income to cost of goods sold, as well as changes in foreign currency translation for the years ended December 31, 2021, 2020 and 2019 (in thousands):


	Derivative Instruments		Foreign Currency Translation		Total
Accumulated other comprehensive loss, January 1, 2019, after tax	$	107	$	(13,807)	$	(13,700)
Change in derivative instruments	2,811		—		2,811
Net losses reclassified to cost of goods sold	(1,165)		—		(1,165)
Net gains reclassified to other income (expense)	(2,756)				(2,756)
Net gains reclassified to interest expense	(4,475)				(4,475)
Income tax provision on derivative instruments	1,275		—		1,275
Foreign currency translation adjustments	—		(4,412)		(4,412)
Accumulated other comprehensive loss, December 31, 2019, after tax	(4,203)		(18,219)		(22,422)
Change in derivative instruments	2,956		—		2,956
Net gains reclassified to cost of goods sold	(1,028)		—		(1,028)
Net gains reclassified to other income (expense)	(16,780)		—		(16,780)
Net gains reclassified to interest expense	2,122		—		2,122
Income tax provision on derivative instruments	2,916		—		2,916
Foreign currency translation adjustments	—		25,690		25,690
Accumulated other comprehensive loss, December 31, 2020, after tax	(14,017)		7,471		(6,546)
Change in derivative instruments	6,846		—		6,846
Net gains reclassified to cost of goods sold	(1,700)		—		(1,700)
Net gains reclassified to other income (expense)	—		—		—
Net losses reclassified to interest expense	4,829		—		4,829
Income tax provision on derivative instruments	(1,557)		—		(1,557)
Foreign currency translation adjustments	—		(29,215)		(29,215)
Accumulated other comprehensive loss, December 31, 2021, after tax	$	(5,599)	$	(21,744)	$	(27,343)

Segment Information

12 Months Ended

Dec. 31, 2021

Segment Reporting [Abstract]

Segment Information

Note 22. Segment Information

On March 8, 2021, the Company completed its merger with Topgolf. Topgolf is primarily a services-based business that provides hospitality offerings and golf entertainment experiences, which is uniquely different compared to the Company's Golf Equipment and Apparel, Gear and Other businesses, which produce, distribute and sell goods through various sales channels. Accordingly, based on the Company's re-assessment of its operating segments, the Company added a third operating segment for its Topgolf business. Therefore, as of December 31, 2021, the Company had three reportable operating segments: Topgolf, Golf Equipment and Apparel, Gear and Other.

The Topgolf operating segment is primarily comprised of service revenues and expenses for its Company-operated Topgolf venues equipped with technology-enabled hitting bays, multiple bars, dining areas and event spaces, as well as Toptracer ball-flight tracking technology used by independent driving ranges and broadcast television, and the Company's WGT digital golf game.

The Golf Equipment operating segment is comprised of product revenues and expenses that encompass golf club and golf ball products, including Callaway Golf-branded woods, hybrids, irons, wedges, Odyssey putters, including Toulon Design putters by Odyssey, packaged sets, Callaway Golf and Strata branded golf balls and sales of pre-owned golf clubs.

The Apparel, Gear and Other operating segment is comprised of product revenues and expenses for the Jack Wolfskin outdoor apparel, gear and accessories business, the TravisMathew golf and lifestyle apparel and accessories business, the Callaway soft goods business and the OGIO business, which consists of golf apparel and accessories (including golf bags and gloves), storage gear for sport and personal use. This segment also includes royalties from licensing of the Company’s trademarks and service marks for various soft goods products.

The table below contains information utilized by management to evaluate its operating segments.


	Years Ended December 31,
	2021		2020		2019
Net revenues:
Topgolf(1)	$	1,087,671	$	—	$	—
Golf equipment	1,229,175		982,675		979,173
Apparel, gear and other	816,601		606,785		721,890
Total net revenues	$	3,133,447	$	1,589,460	$	1,701,063

Income (loss) before income taxes:
Topgolf(1)	$	58,225	$	—	$	—
Golf equipment	203,846		148,578		140,316
Apparel, gear and other	68,511		679		75,490
Total segment operating income	330,582		149,257		215,806
Corporate G&A and other(2)	(125,867)		(80,503)		(83,138)
Goodwill and tradename impairment(3)	—		(174,269)		—
Total operating income (loss)	204,715		(105,515)		132,668
Gain on Topgolf investment(4)	252,531		—		—
Interest expense, net	(115,565)		(46,932)		(38,493)
Other income, net	8,961		24,969		1,594

Total income (loss) before income taxes	$	350,642	$	(127,478)	$	95,769


	December 31,
	2021		2020
Identifiable assets:
Topgolf(1)	$	4,909,968	$	—
Golf equipment	1,107,632		481,214
Apparel, gear and other	840,466		754,601
Reconciling items(5)	889,714		744,785
Total identifiable assets	$	7,747,780	$	1,980,600

Additions to long-lived assets:(6)
Topgolf(1)	$	286,813	$	—
Golf equipment	30,657		25,695
Apparel, gear and other	20,996		21,235
Total additions to long-lived assets	$	338,466	$	46,930

Goodwill:(7)
Topgolf(1)	$	1,340,663	$	—
Golf equipment	531,122		27,025
Apparel, gear and other	88,285		29,633
Total goodwill	$	1,960,070	56,658

Depreciation and amortization:
Topgolf(1)	$	114,618	$	—
Golf equipment	14,073		19,212
Apparel, gear and other	27,131		20,296
Total depreciation and amortization	$	155,822	$	39,508

____________

(1)On March 8, 2021, the Company completed the merger with Topgolf and has included the results of operations of Topgolf in its consolidated statements of operations from that date forward.

(2)Corporate general and administrative expenses for the year ended December 31, 2021 include (i) $22.3 million of non-cash amortization expense for intangible assets acquired in connection with the merger with Topgolf, combined with depreciation expense from the fair value step-up of Topgolf property, plant and equipment and amortization expense related to the fair value adjustments to Topgolf leases, (ii)$21.2 million of transaction, transition and other non-recurring costs associated with the merger with Topgolf completed on March 8, 2021, and (iii) $2.8 million of costs related to the implementation of new IT systems for Jack Wolfskin. The amount for the year ended December 31, 2020 includes certain non-recurring costs, including (i) $8.5 million in transaction, transition, and other non-recurring costs associated with the Topgolf Merger Agreement, (ii) $3.7 million of costs associated with the Company’s transition to its new North America Distribution Center; (iii) $3.8 million related to cost-reduction initiatives, including severance charges associated with workforce reductions due to the COVID-19 pandemic, and (iv) $1.5 million related to the implementation of new IT systems for Jack Wolfskin. The amount for the year ended December 31, 2019 includes $26.4 million of non-recurring transaction fees and transition costs associated with the acquisition of Jack Wolfskin completed in January 2019, as well as other non-recurring advisory fees.

(3)The $174.3 million goodwill and tradename impairment for the year ended December 31, 2020 was primarily related to an impairment in goodwill at Jack Wolfskin (see Note 9).

(4)The $252.5 million gain on Topgolf investment included in the year ended December 31, 2021 was related to the fair value step-up on the Company's pre-acquisition investment in Topgolf (see Note 10).

(5)Reconciling items represent unallocated corporate assets not segregated between the three segments including income taxes receivable, prepaid expense and other current assets. The $144.9 million increase in reconciling items in 2021 compared to 2020 was primarily due to an increase of $84.2 million in other current assets and an increase of $33.9 million in prepaid expenses.

(6)Additions to long-lived assets are comprised of purchases of property, plant and equipment.

(7)The $1,903.4 million increase in goodwill in 2021 compared to 2020 was primarily due to the Topgolf merger in March 2021 (see Note 9).

The Company markets its products in the United States and internationally, with its principal international markets being Japan and Europe. The tables below contain information about the geographical areas in which the Company operates. Net revenues are attributed to the location to which the product was shipped. Long-lived assets are based on location of domicile.


	Net Revenues		Long-Lived Assets(1)
	(in thousands)
2021
United States	$	2,067,070	$	1,383,614
Europe	499,533		48,854
Japan	243,848		7,205
Rest of World	322,996		11,729
	$	3,133,447	$	1,451,402
2020
United States	$	778,600	$	116,459
Europe	372,957		17,078
Japan	212,055		6,028
Rest of World	225,848		6,930
	$	1,589,460	$	146,495
2019
United States	$	788,232	$	103,111
Europe	428,628		19,148
Japan	246,260		5,655
Rest of World	237,943		4,846
	$	1,701,063	$	132,760

____________

(1)In 2021, the Company re-evaluated its definition of long-lived assets to include property, plant and equipment. As a result, the information presented for 2020 and 2019 was recast to conform with the current year presentation.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Transactions with Related Party	12 Months Ended
Transactions with Related Party	Dec. 31, 2021
Related Party Transactions [Abstract]
Transactions with Related Party	Note 23. Transactions with Related Party The Callaway Golf Company Foundation (the “Foundation”) oversees and administers charitable giving and makes grants to selected organizations. Officers of the Company also serve as directors of the Foundation and the Company’s employees provide accounting and administrative services for the Foundation. During the year ended December 31, 2021, the Company recognized charitable contribution expense of $1,000,000. During the year ended December 31, 2020, the Company did not make a contribution to the Foundation. During the year ended December 31, 2019, the Company recognized charitable contribution expense of $750,000 for the Foundation.

Summarized Quarterly Data (Unaudited)

12 Months Ended

Dec. 31, 2021

Quarterly Financial Information Disclosure [Abstract]

Summarized Quarterly Data (Unaudited)

Note 24. Summarized Quarterly Data (Unaudited)


	Fiscal Year 2021 Quarters
	1st		2nd		3rd		4th		Total
	(in thousands, except per share data)
Net revenues	$	651,621	$	913,641	$	856,461	$	711,724	$	3,133,447
Income (loss) from operations	$	76,099	$	107,269	$	76,010	$	(54,663)	$	204,715


Net income (loss)	$	272,461	$	91,744	$	(15,991)	$	(26,226)	$	321,988
Earnings (loss) per common share(1)
Basic	$	2.32	$	0.50	$	(0.09)	$	(0.14)	$	1.90
Diluted	$	2.19	$	0.47	$	(0.09)	$	(0.14)	$	1.82


	Fiscal Year 2020 Quarters
	1st		2nd		3rd		4th		Total
	(in thousands, except per share data)
Net revenues	$	442,276	$	296,996	$	475,559	$	374,629	$	1,589,460
Income (loss) from operations	$	40,680	$	(177,449)	$	63,509	$	(32,255)	$	(105,515)


Net income (loss)	$	28,894	$	(167,684)	$	52,432	$	(40,576)	$	(126,934)
Earnings (loss) per common share(1)
Basic	$	0.31	$	(1.78)	$	0.56	$	(0.43)	$	(1.35)
Diluted	$	0.30	$	(1.78)	$	0.54	$	(0.43)	$	(1.35)

____________

(1)Earnings per share is computed individually for each of the quarters presented; therefore, the sum of the quarterly earnings per share may not necessarily equal the total for the year.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Principles of Consolidation

Principles of ConsolidationThe accompanying consolidated financial statements include the accounts of the Company and its domestic and foreign subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. The Company’s Topgolf subsidiary operates on a 52- or 53-week fiscal year ending on the Sunday closest to December 31. As such, the Topgolf financial information included in the Company's consolidated financial statements for the year ended December 31, 2021 is from March 8, 2021 through January 2, 2022. Additionally, based on the Company's assessment of the combined business, the Company modified the presentation of its consolidated statements of operations for the year ended December 31, 2021 and 2020. For further information about the merger with Topgolf, see Note 6.

Use of Estimates

Recent Accounting Standards

Adoption of New Accounting Standards

Revenue Recognition

Products Revenue

Services Revenue

patterns to determine the likelihood of game credit redemption and game credit breakage. Game credit breakage is recorded consistent with the historic redemption pattern.

Membership fees received from guests are deferred and recognized as revenue over the estimated life of the associated membership, which is one year or less.

Leasing revenue is recognized on non-cancelable sales-type lease agreements related to the licensing of Toptracer software and hardware to driving ranges and golf courses.

Variable Consideration

Cost of Products

Cost of Services, Excluding Depreciation and Amortization

Other Venue Expenses

Venue Pre-Opening Costs

Selling, General and Administrative Expenses (SG&A)

Research and Development Expenses

Research and Development ExpensesResearch and development expenses are comprised of costs to develop or significantly improve the Company's products and technology, which primarily include the salaries and wages of personnel engaged in research and development activities, research costs and depreciation expense. Other than software development costs qualifying for capitalization, research and development costs are expensed as incurred.

Business Combinations

Advertising Costs

Advertising CostsThe Company's primary advertising costs include television, print, Internet, and media placement. The Company’s policy is to expense advertising costs, including production costs, as incurred.

Cash, Cash Equivalents, and Restricted Cash

Cash, Cash Equivalents and Restricted CashCash equivalents are highly liquid investments purchased with original maturities of three months or less. Restricted cash is primarily comprised of deposits associated with gift cards as required under certain statutory mandates, and lender impound reserve accounts for the development of one of the Company’s venues. Long-term restricted cash is included in other assets on the accompanying consolidated balance sheet as of December 31, 2021.

Inventories

InventoriesThe Company's inventory is recorded at the lower of cost or net realizable value, which includes a reserve for excess, obsolete and/or unmarketable inventory. This reserve is regularly assessed based on current inventory levels, sales trends, and historical experience, as well as management’s estimates of market conditions and forecasts of future product demand, all of which are subject to change. The Company utilizes the standard costing method, determined on the first-in, first-out basis, for its golf equipment inventory and soft goods inventory sold under the TravisMathew, OGIO, Callaway and Jack Wolfskin brands. Golf equipment inventory, which is directly manufactured by the Company, includes finished goods, raw materials, labor and manufacturing overhead costs and work in process. The Company's soft goods product lines, which are manufactured by third-party contractors, primarily include finished good products. Toptracer hardware and software, food and beverage products and Topgolf-specific retail merchandise inventories are stated at weighted average cost.

Property, Plant and Equipment

Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over estimated useful lives generally as follows:


Buildings and improvements			10-40 years
Machinery and equipment			5-10 years
Furniture, computer hardware and equipment			3-5 years
Internal-use software			3-5 years
Production molds			2-5 years

Normal repairs and maintenance costs are expensed as incurred. Expenditures that materially increase values, change capacities, or extend useful lives are capitalized. The related costs and accumulated depreciation of disposed assets are eliminated and any resulting gain or loss on disposition is recognized in earnings. Construction-in-process consists primarily of costs associated with building improvements, machinery and equipment and venues under construction that have not yet been placed into service, unfinished molds as well as in-process internal-use software.In accordance with ASC Topic 350-40, “Internal-Use Software,” the Company capitalizes certain costs incurred in connection with developing or obtaining internal use software. Costs incurred in the preliminary project stage are expensed. All direct external costs and internal direct labor costs incurred to develop internal-use software during the development stage are capitalized and depreciated using the straight-line method over the remaining estimated useful lives. Costs such as maintenance and training are expensed as incurred. In accordance with ASC Topic 985-20, “Costs of Software to Be Sold, Leased, or Marketed,” costs incurred to establish the technological feasibility of software to be sold, leased, or otherwise marketed are expensed and recorded in research and development expense on the consolidated statements of operations. Once technological feasibility is established, costs are capitalized until the product is available for general use and then depreciated over the estimated useful life. The Company's Internal-Use Software balance as of December 31, 2021 and 2020 was $81,616,000 and $42,082,000, respectively.

Leases

In certain venue leasing arrangements, due to the Company’s involvement in the construction of leased assets, the Company is considered the owner of the leased assets for accounting purposes. In such cases, in addition to capitalizing the Company’s construction costs, the Company capitalizes the construction costs funded by the landlord related to its leased premises and recognizes a corresponding liability for those costs as construction advances during the construction period. At the end of the construction period, the Company applies sale and leaseback guidance to determine whether the underlying asset should be derecognized. When the application of the sale and leaseback guidance results in a sale, the asset and liability on the Company’s balance sheet are derecognized. When the application of the sale and leaseback guidance results in a failed sale, the asset remains on the Company’s balance sheet and is depreciated over its respective useful life or the lease term, whichever is shorter, and the liability is accounted for as a DLF obligation. These DLF obligations are generally non-cancelable leases with initial terms of 20 years containing various renewal options following the initial term and escalation clauses that increase the payments over the lease term.With respect to the Company’s Toptracer operations, the Company enters into non-cancelable license agreements that provide software and hardware to driving ranges and golf courses. These license agreements provide the customer the right to use Company-owned software and hardware products for a specified period generally ranging from three to five years. The software and hardware are a distinct bundle of goods that are highly interrelated. At the inception of the arrangement, lease classification is assessed, which generally results in the license agreements being classified as sales-type leases. Upon lease commencement for sales-type leases, revenue is recognized for the software and hardware as a single component, and a leasing receivable is recorded consisting of the present value of payments over the non-cancelable term. Interest income on the leasing receivable is recognized over the lease term. The Company manages its risk on its sales-type leases through pricing and the terms of the leases. Any equipment returned to the Company as a result of a cancellation of a lease may be leased or sold to other customers, therefore risk associated with the Company’s sales-type leases is considered minimal.

Long-Lived Assets and Finite Lived Intangible Assets

Long-Lived Assets and Finite-Lived Intangible Assets

Goodwill and Intangible Assets

Investments

Foreign Currency Translation and Transactions

Derivatives and Hedging

Share-Based Compensation

Restricted Stock Awards and Restricted Stock Units

shares of restricted stock granted. Compensation expense, less an estimate for forfeitures, is recognized on a straight-line basis over a vesting period of three to five years from the date of grant.

Performance Based Awards

Stock Options

See Note 17 for further discussion of the Company's share based compensation.

Income Taxes

Other Income, Net

Other Income, NetOther income, net primarily includes gains and losses on foreign currency forward contracts, cross-currency swap contracts and foreign currency transactions.

Concentration of Risk

The Company's top five customers specific to the Golf Equipment and Apparel, Gear and Other operating segments represented the following as a percentage of each segment's total net revenues:

•Golf Equipment customers accounted for approximately 24%, 25% and 23% of total consolidated Golf Equipment sales in 2021, 2020, and 2019, respectively; and

•Apparel, Gear and Other customers accounted for approximately 17%, 12% and 11% of total consolidated Apparel, Gear and Other sales in 2021, 2020, and 2019, respectively.

Credit Loss, Financial Instrument

Specific allowance amounts are established to record the appropriate provision for customers that have a higher probability of default. An estimate of credit losses for the remaining customers in the aggregate is based upon historical bad debts, current customer receivable balances, age of customer receivable balances, the customers' financial condition, all of which are subject to change. Additionally, the Company’s monitoring activities now considers future reasonable and supportable forecasts of economic conditions to adjust all general reserve percentages as necessary. Balances are written-off when determined to be uncollectible.

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Summary of Cash, Cash Equivalents and Restricted Cash

The following is a summary of cash, cash equivalents and restricted cash as of December 31, 2021 and December 31, 2020 (in thousands):


	Year Ended December 31,
	2021		2020
Cash and cash equivalents	$	352,221	$	366,119
Restricted cash, short-term	1,164		—
Restricted cash, long-term	4,303		—
Total cash, cash equivalents and restricted cash	$	357,688	$	366,119

Useful Lives of Property, Plant and Equipment

Depreciation is computed using the straight-line method over estimated useful lives generally as follows:


Buildings and improvements			10-40 years
Machinery and equipment			5-10 years
Furniture, computer hardware and equipment			3-5 years
Internal-use software			3-5 years
Production molds			2-5 years

Components of Other Income, Net

The components of other income, net are as follows (in thousands):


	Years Ended December 31,
	2021		2020		2019
Foreign currency forward contract gain, net	$	14,413	$	2,910	$	6,947
Foreign currency transaction gain (loss), net	(6,368)		9,024		(5,838)
Settlement of cross-currency swap contract (See Note 20)	—		11,046		—
Other	916		1,989		485
	$	8,961	$	24,969	$	1,594

Leases (Tables)

12 Months Ended

Dec. 31, 2021

Leases [Abstract]

Sales-Type Lease, Revenue

Leasing revenue attributed to sales-type leases consists of the selling price and interest income as follows (in thousands):


	December 31, 2021
Sales-type lease selling price(1)	$	29,789
Cost of underlying assets	(11,862)
Operating profit	$	17,927

Interest income	$	4,327

____________

(1) Selling price is equal to the present value of lease payments over the non-cancelable term.

Supplemental Balance Sheet Information Related to Leases

Leasing receivables related to the Company’s net investment in sales-type leases are as follows (in thousands):


	Balance Sheet Location	December 31, 2021
Leasing receivables, net - short-term	Other current assets	$	12,843
Leasing receivables - long-term	Other assets	44,080
		$	56,923

Supplemental balance sheet information related to leases is as follows (in thousands):


		December 31,
	Balance Sheet Location	2021		2020
Operating leases:
ROU assets, net	Operating lease right-of-use assets, net	$	1,384,501	$	194,776
Lease liabilities, short-term	Operating lease liabilities, short-term	$	72,326	$	29,579
Lease liabilities, long-term	Operating lease liabilities, long-term	$	1,385,364	$	177,996

Finance Leases:
ROU assets, net,	Other assets	$	129,500	$	1,003
Lease liabilities, short-term	Accounts payable and accrued expenses	$	1,838	$	252
Lease liabilities, long-term	Long-term other	$	132,461	$	447

Supplemental balance sheet information related to DLF obligations is as follows (in thousands):


	Balance Sheet Location	December 31, 2021
DLF obligation liabilities, short-term	Accrued expenses	$	903
DLF obligation liabilities, long-term	Deemed landlord financing, long-term	$	460,634

Components of Lease Expense and Other Information Related to Leases

The components of lease expense are as follows (in thousands):


	Year Ended December 31,
	2021		2020		2019
Operating lease costs	$	146,286	$	42,520	$	38,449
Financing lease costs:
Amortization of right-of-use assets	3,182		870		845
Interest on lease liabilities	4,542		47		83
Total financing lease costs	7,724		917		928
Variable lease costs	6,511		2,473		4,361
Total lease costs	$	160,521	$	45,910	$	43,738

Other information related to leases was as follows (in thousands):


	December 31,
Supplemental Cash Flows Information	2021			2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	123,637		$	39,774
Operating cash flows from finance leases	$	2,802		$	47
Operating cash flows from DLF leases	$	17,695		$	—
Financing cash flows from finance leases	$	830		$	792

Lease liabilities arising from new ROU assets:
Operating leases	$	19,625		$	65,547
Finance leases	$	52,742		$	139

Weighted average remaining lease term (years):
Operating leases	14.1			9.8
Finance leases	36.2			3.0

Weighted average discount rate:
Operating leases	5.3		%	5.3		%
Finance leases	5.3		%	3.9		%

The components of DLF obligation expenses are as follows (in thousands):


	Income Statement Location	December 31, 2021
Amortization of DLF obligations	Amortization expense	$	5,707
Interest on DLF obligations	Interest expense, net	28,039
Total DLF contracts expenses		$	33,746

Payments on DLF obligations represent payments related to interest accretion for the year ended December 31, 2021.


Supplemental Cash Flows Information (dollars in thousands)	December 31, 2021
Operating cash outflows from DLF obligations	$	17,695

Weighted average remaining term (years)	39.0
Weighted average discount rate	9.2		%

Future Minimum Lease Obligations

Future minimum lease obligations as of December 31, 2021 were as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	138,725	$	15,035
2023	136,064		15,688
2024	133,406		15,429
2025	130,883		15,241
2026	125,796		15,575
Thereafter	1,230,228		629,948
Total future lease payments	1,895,102		706,916
Less: imputed interest	437,412		572,617
Total	$	1,457,690	$	134,299

Future Minimum Lease Obligations

Future minimum lease obligations as of December 31, 2021 were as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	138,725	$	15,035
2023	136,064		15,688
2024	133,406		15,429
2025	130,883		15,241
2026	125,796		15,575
Thereafter	1,230,228		629,948
Total future lease payments	1,895,102		706,916
Less: imputed interest	437,412		572,617
Total	$	1,457,690	$	134,299

Future minimum financing obligations related to DLF obligations as of December 31, 2021 were as follows (in thousands):


2022	$	33,337
2023	36,403
2024	37,585
2025	37,961
2026	38,930
Thereafter	1,916,536
Total future payments	2,100,752
Less: imputed interest	1,639,215
Total	$	461,537

Revenue Recognition (Tables)

12 Months Ended

Dec. 31, 2021

Revenue Recognition [Abstract]

Disaggregation of Revenue

The following table presents the Company's revenue disaggregated by major category and operating and reportable segment (in thousands):


	Year Ended December 31, 2021
	Topgolf		Golf Equipment		Apparel, Gear & Other		Total
Venues	$	1,014,106	$	—	$	—	$	1,014,106
Other business lines	73,565		—		—		73,565
Golf clubs	—		994,479		—		994,479
Golf balls	—		234,696		—		234,696
Apparel	—		—		490,872		490,872
Gear, accessories & other	—		—		325,729		325,729
	$	1,087,671	$	1,229,175	$	816,601	$	3,133,447


	Year Ended December 31, 2020
	Golf Equipment		Apparel, Gear & Other		Total


Golf clubs	$	787,072	$	—	787,072
Golf balls	195,603		—		195,603
Apparel	—		349,272		349,272
Gear, accessories & other	—		257,513		257,513
	$	982,675	$	606,785	$	1,589,460


	Year Ended December 31, 2019
	Golf Equipment		Apparel, Gear & Other		Total


Golf clubs	$	768,310	$	—	$	768,310
Golf balls	210,863		—		210,863
Apparel	—		410,712		410,712
Gear, accessories & other	—		311,178		311,178
	$	979,173	$	721,890	$	1,701,063

The following table summarizes revenue by geographical areas in which the Company operates (in thousands):


	Years Ended December 31,
	2021		2020		2019
Revenue by Major Geographic Region:
United States	$	2,067,070	$	778,600	$	788,232
Europe	499,533		372,957		428,628
Japan	243,848		212,055		246,260
Rest of world	322,996		225,848		237,943
	$	3,133,447	$	1,589,460	$	1,701,063

Sales Returns and Allowances

The following table provides a reconciliation of the activity related to the Company’s sales return reserve (in thousands):


	Year Ended December 31,
	2021		2020		2019
Beginning balance	$	43,986	$	29,043	$	24,522
Provision	91,007		106,178		95,094
Sales returns	(87,634)		(91,235)		(90,573)

Ending balance	$	47,359	$	43,986	$	29,043

Estimated Credit Losses (Tables)

12 Months Ended

Dec. 31, 2021

Credit Loss [Abstract]

Schedule of Reconciliation Related to Allowance for Estimate Credit Losses

The following table provides a reconciliation of the activity related to the Company’s allowance for estimated credit losses (in thousands):


	Years Ended December 31,
	2021		2020		2019
Beginning balance	$	8,841	$	5,992	$	5,610
Adjustment due to the adoption of ASC Topic 326	—		289		—
(Benefit) provision for credit losses	(337)		2,924		1,107
Write-off of uncollectible amounts, net of recoveries	(2,299)		(364)		(725)

Ending balance	$	6,205	$	8,841	$	5,992

Business Combinations (Tables)

12 Months Ended

Dec. 31, 2021

Business Combination and Asset Acquisition [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date based on the preliminary purchase price allocation (in thousands):


	At March 8, 2021
Assets Acquired
Cash		$	171,294
Accounts receivable		10,678
Inventories		13,944
Other current assets		52,233
Property and equipment		1,080,349
Operating lease right-of-use assets		1,329,296
Investments		28,768
Other assets		33,664
Intangibles - trade name		994,200
Intangibles - technology, customer relationships and liquor licenses		81,929
Goodwill		1,340,663
Total assets acquired		5,137,018
Liabilities Assumed
Accounts payable and accrued liabilities		95,799
Accrued employee costs		37,092
Construction advances		40,491
Deferred revenue		66,196
Other current liabilities		7,829
Long-term debt		535,096
Deemed landlord financing		303,037
Operating lease liabilities		1,402,291
Other long-term liabilities		32,025
Deferred tax liabilities		131,532
Net assets acquired		$	2,485,630
Goodwill allocated to other business units		563,220
Total purchase price and consideration transferred in the merger		$	3,048,850

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date based on the purchase price allocation (in thousands):


	At January 4, 2019
Assets Acquired
Cash	$	58,096
Accounts receivable	26,637
Inventories	94,504
Income tax receivable	6,588
Other current assets	11,483
Property and equipment	20,930
Operating lease right-of-use assets	120,865
Deferred tax assets	2,930
Other assets	23
Intangibles - trade name	239,295
Intangibles - retail partners & distributor relationships	38,743
Goodwill	150,180
Total assets acquired	770,274
Liabilities Assumed
Accounts payable and accrued liabilities	46,124
Income taxes payable, long-term	2,416
Operating lease liabilities	120,524
Deferred tax liabilities	80,009
Net assets acquired	$	521,201

Supplemental Pro Forma Information


	Years Ended December 31,
	2021		2020
	(in thousands)
Net revenues	$	3,276,391	$	2,305,654
Net income (loss)	$	72,340	$	(318,762)

Financing Arrangements (Tables)

12 Months Ended

Dec. 31, 2021

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The Company's debt obligations are summarized as follows (in thousands):


	December 31, 2021							December 31, 2020
	Maturity Date	Interest Rate		Unamortized Debt Issuance Costs		Carrying Value		Carrying Value
Short-Term Credit Facilities
U.S. Asset-Based Revolving Credit Facility	May 17, 2024	2.00	%	$	916	$	9,096	$	22,130
2022 Japan ABL Credit Facility	January 21, 2022	1.28	%	—		—		—
				$	916	$	9,096	$	22,130
Balance Sheet Location
Prepaid expenses				$	916	$	—	$	—
Other long-term assets				—		—		—
Asset-based credit facilities				—		9,096		22,130
				$	916	$	9,096	$	22,130

	December 31, 2021							December 31, 2020
	Maturity Date	Interest Rate		Unamortized Original Issuance Discount and Debt Issuance Costs		Carrying Value, net		Carrying Value, net
Long-Term Debt and Credit Facility
Japan Term Loan Facility	July 31, 2025	0.85	%	$	—	$	13,031	$	18,390
Term Loan B Facility	January 4, 2026	4.60	%	15,263		421,537		428,150
Topgolf Term Loan	February 8, 2026	7.00	%	6,272		334,103		—
Topgolf Revolving Credit Facility	February 8, 2024	4.75	%	—		—		—
Convertible Notes	May 1, 2026	2.75	%	64,280		194,470		183,126
Equipment Notes	December 27, 2022 - March 19, 2027	2.36% - 3.79%		—		31,137		31,822
Mortgage Loans	July 1, 2033 - July 29, 2036	9.75% - 11.31%		—		46,407		—
Financed Tenant Improvements	February 1, 2035	8.00	%	—		3,650		3,801
				$	85,815	$	1,044,335	$	665,289
Balance Sheet Location
Other current liabilities				$	3,815	$	19,057	$	—
Accrued expenses				—		—		14,725
Long-term debt				82,000		1,025,278		650,564
				$	85,815	$	1,044,335	$	665,289

Schedule of Aggregate Amount of Maturities for Debt


	(in thousands)
2022	$	22,581
2023	19,961
2024	18,774
2025	15,646
2026	1,006,832
Thereafter	46,356
	1,130,150
Less: Unamortized Original Issuance Discount and Debt Issuance Costs	85,815
	$	1,044,335

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

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+ Details

Earnings per Common Share (Tables)

12 Months Ended

Dec. 31, 2021

Equity [Abstract]

Summary of Computation of Basic and Diluted Earnings Per Share

The following table summarizes the computation of basic and diluted earnings per share (in thousands, except per share data):


	Years Ended December 31,
	2021		2020		2019
Earnings per common share—basic
Net income (loss) attributable to Callaway Golf Company	$	321,988	$	(126,934)	$	79,408
Weighted-average common shares outstanding—basic(1)	169,101		94,201		94,251
Basic earnings (loss) per common share	$	1.90	$	(1.35)	$	0.84
Earnings per common share—diluted
Net income (loss)	$	321,988	$	(126,934)	$	79,408
Weighted-average common shares outstanding—basic(1)	169,101		94,201		94,251
Convertible notes weighted-average shares outstanding	5,932		—		—
Outstanding options, restricted stock units and performance share units	1,892		—		2,036
Weighted-average common shares outstanding—diluted	176,925		94,201		96,287
Diluted earnings (loss) per common share	$	1.82	$	(1.35)	$	0.82

____________

Goodwill and Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

Changes in the carrying amount of goodwill by operating and reportable segment are as follows (in thousands):


	Topgolf		Golf Equipment		Apparel, Gear and Other		Total
Balance at December 31, 2020	$	—	$	27,025	$	29,633		$	56,658
Acquisitions	1,340,663		504,568		58,652			1,903,883
Impairments	—		—		—			—
Foreign currency translation	—		(471)		—			(471)
Balance at December 31, 2021	$	1,340,663	$	531,122	$	88,285		$	1,960,070

Intangible Assets by Major Asset Class

The following sets forth the intangible assets by major asset class (dollars in thousands):


	Useful Life (Years)	December 31, 2021
		Gross(1)		Accumulated Amortization		Translation Adjustment		Net Book Value
Indefinite-lived:
Trade name, trademark, trade dress and other	NA	$	1,441,003	$	—	$	(15,820)	$	1,425,183
Liquor licenses	NA	7,756		—		—		7,756
Amortizing:
Patents	2-16	32,041		(31,671)		—		370
Customer and distributor relationships and other	1-10	61,718		(27,405)		(2,335)		31,978
Developed technology	10	69,651		(5,496)		(804)		63,351
Total intangible assets		$	1,612,169	$	(64,572)	$	(18,959)	$	1,528,638


	Useful Life (Years)	December 31, 2020
		Gross		Accumulated Amortization		Net Book Value
Indefinite-lived:
Trade name, trademark, trade dress and other	NA	$	446,803	$	—		$	446,803

Amortizing:
Patents	2-16	31,581		(31,581)			—
Customer and distributor relationships and other	1-10	57,309		(19,773)			37,536

Total intangible assets		$	535,693	(51,354)			$	484,339

____________

Amortization Expense Related to Intangible Assets

Amortization expense related to intangible assets at December 31, 2021 in each of the next five fiscal years and beyond is expected to be incurred as follows (in thousands):


2022	$	13,263
2023	11,695
2024	11,606
2025	11,394
2026	11,348
Thereafter	36,393
	$	95,699

Product Warranty (Tables)

12 Months Ended

Dec. 31, 2021

Guarantees and Product Warranties [Abstract]

Reconciliation of Reserve for Warranty Expense

The following table provides a reconciliation of the activity related to the Company's warranty reserve (in thousands):


	Year Ended December 31,
	2021		2020		2019
Beginning balance	$	9,364	$	9,636	$	7,610
Provision	9,109		7,926		8,311
Provision liability assumed from acquisition	—		—		2,208
Claims paid/costs incurred	(7,486)		(8,198)		(8,493)
Ending balance	$	10,987	$	9,364	$	9,636

Selected Financial Statement Information (Tables)

12 Months Ended

Dec. 31, 2021

Disclosure Selected Financial Statement Information [Abstract]

Selected Financial Statement Information


	December 31,
	2021		2020
	(in thousands)
Inventories:
Finished goods	$	415,396	$	281,602
Work in process	1,268		1,010
Raw materials	111,658		69,932
Food and beverage	5,135		—
	$	533,457	$	352,544
Other Current Assets:
Credit card receivables	$	31,205	$	2,124
Sales return reserve cost recovery asset	25,947		24,112
VAT/Sales tax receivable	19,519		1,017
Other current assets	42,661		7,911
	$	119,332	$	35,164
Property, plant and equipment, net:
Land	$	134,293	$	7,308
Buildings and leasehold improvements	858,583		100,653
Machinery and equipment	204,269		137,026
Furniture, computer hardware and equipment	211,164		100,558
Internal-use software	81,616		42,082
Production molds	7,979		6,809
Construction-in-process	286,658		13,299
	1,784,562		407,735
Accumulated depreciation	(333,160)		(261,240)
	$	1,451,402	$	146,495






Accounts payable and accrued expenses:
Accounts payable	$	138,677	$	66,282
Accrued expenses	226,840		136,277
Accrued inventory	125,659		73,650
	$	491,176	$	276,209
Accrued employee compensation and benefits:
Accrued payroll and taxes	$	100,842	$	17,009
Accrued vacation and sick pay	21,798		12,887
Accrued commissions	6,227		1,041
	$	128,867	$	30,937

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2021

Income Tax Disclosure [Abstract]

Income Before Income Tax Provision (Benefit)

The Company’s income before income tax provision was subject to taxes in the following jurisdictions for the following periods (in thousands):


	Years Ended December 31,
	2021		2020		2019
United States	$	295,322	$	68,916	$	55,352
Foreign	55,320		(196,394)		40,417
	$	350,642	$	(127,478)	$	95,769

Expense (Benefit) for Income Taxes

The expense (benefit) for income taxes is comprised of (in thousands):


	Years Ended December 31,
	2021		2020		2019
Current tax provision:
Federal	$	2,916	$	1,665	$	1,022
State	2,267		1,467		1,403
Foreign	14,643		5,385		9,933
	19,826		8,517		12,358
Deferred tax expense (benefit):
Federal	11,032		8,579		10,185
State	7,146		5,166		335
Foreign	(9,350)		(22,806)		(6,338)
	8,828		(9,061)		4,182
Income tax provision (benefit)	$	28,654	$	(544)	$	16,540

Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2021 and 2020 are as follows (in thousands):


	December 31,
	2021		2020
Deferred tax assets:
Operating loss carryforwards	$	149,895	$	26,919
Tax credit carryforwards	64,250		49,525
ASC Topic 842 lease liability	396,378		52,785
Deemed landlord financing	115,060		—
Other	72,768		53,163
Total deferred tax assets	798,351		182,392
Valuation allowance for deferred tax assets	(120,499)		(21,032)
Deferred tax assets, net of valuation allowance	677,852		161,360

Deferred tax liabilities:
Basis difference related to fixed assets	(105,532)		—
Basis difference related to intangible assets with an indefinite life	(331,130)		(100,062)
ASC Topic 842 ROU assets	(375,697)		(49,910)
Other	(7,920)		(10,281)
Total deferred tax liabilities	(820,279)		(160,253)
Net deferred tax assets (liabilities) are shown on the accompanying consolidated balance sheets as follows:
Non-current deferred tax assets	21,164		59,735
Non-current deferred tax liabilities	(163,591)		(58,628)
Net deferred tax (liabilities)/ assets	$	(142,427)	$	1,107

Credit Carryforward Expiry


U.S. foreign tax credit	$	3,165	2027 - 2031
U.S. research tax credit	26,568		2031 - 2041
U.S. business tax credits	26,401		2031 - 2041
State investment tax credits	2,028		Do not expire
State research tax credits - definite lived	1,563		2030 - 2034
State research tax credits - indefinite lived	$	22,195	Do not expire

Net Operating Losses Expiry


U.S. loss carryforwards - definite lived	$	181,549	2028 - 2037
U.S. interest expense carryforwards - indefinite lived	12,910		Do not expire
U.S. loss carryforwards - indefinite lived	213,743		Do not expire
State loss carryforwards	$	269,930	2022 - 2041

Reconciliation of Effective Tax Rate on Income or Loss and Statutory Tax Rate

A reconciliation of the effective tax rate on income or loss and the statutory tax rate is as follows:


	Years Ended December 31,
	2021		2020		2019
Statutory U.S. tax rate	21.0	%	21.0	%	21.0	%
State income taxes, net of U.S. tax benefit	2.1	%	(4.1)	%	1.6	%
Foreign income taxed at other than U.S. statutory rate	(3.3)	%	7.0	%	(5.0)	%
Federal tax credits	(2)	%	2.8	%	(3.5)	%
Goodwill impairment	—	%	(24.5)	%	—	%
Revaluation of Callaway stock attributable to Topgolf merger	(15.1)	%	—	%	—	%
Other non-deductible expenses	0.7	%	(1.7)	%	1.2	%
Non-deductible compensation	1.4	%	(0.7)	%	1.5	%
Stock compensation excess tax benefits	(1.6)	%	1.4	%	(1.5)	%
Foreign derived intangible income deduction	(2.1)	%	1.1	%	(3.2)	%
Impact of uncertain tax positions	(2.2)	%	(1.6)	%	3.7	%
Change in deferred tax valuation allowance	7.8	%	(0.7)	%	0.2	%
Other	1.5	%	0.4	%	1.3	%
Effective tax rate	8.2	%	0.4	%	17.3	%

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):


	2021		2020		2019
Balance at January 1	$	28,302	$	25,993	$	11,832
Additions based on tax positions related to the current year	1,727		3,119		3,224
Additions for tax positions of prior years	526		474		593
Reductions for tax positions of prior years	(936)		(186)		(174)
Settlement of tax audits	(2,665)		—		(7)
Current year acquisitions	6,740		—		11,006
Reductions due to lapsed statute of limitations	(7,046)		(1,098)		(481)
Balance at December 31	$	26,648	$	28,302	$	25,993

Major Jurisdictions No Longer Subject to Income Tax Examinations by Tax Authorities


Major Tax Jurisdiction						Years No Longer Subject to Audit
U.S. Federal						2010 and prior
California (U.S.)						2008 and prior
Germany						2013 and prior
Japan						2015 and prior
South Korea						2015 and prior
United Kingdom						2017 and prior

Commitments & Contingencies (Tables)

12 Months Ended

Dec. 31, 2021

Commitments and Contingencies Disclosure [Abstract]

Future Purchase Commitments

The minimum obligation that the Company is required to pay as of December 31, 2021 under these agreements is $71,853,000 over the next five years as follows (in thousands):


2022	$	33,883
2023	31,031
2024	6,639
2025	200
2026	100

	$	71,853

Stock Plans and Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2021

Share-based Payment Arrangement [Abstract]

Shares Authorized, Available for Future Grant and Outstanding Under Each Plans

The following table presents shares authorized, available for future grant and outstanding under each of the Company’s plans as of December 31, 2021:


	Authorized	Available	Outstanding(1)
	(in thousands)
2004 Incentive Plan	33,000	4,736	2,776
2013 Directors Plan	1,000	512	48
2021 Inducement Plan	1,300	310	774
Topgolf Equity Compensation Plans and Option Agreement	—	—	1,933
Total	35,300	5,558	5,531

____________

(1)Includes 1,384 shares of accrued incremental dividend equivalent rights on outstanding shares underlying restricted stock units granted under the 2004 Incentive Plan and 2013 Directors Plan.

Stock Option Activities

The following table summarizes the Company’s stock option activities for the year ended December 31, 2021 (in thousands, except price per share amounts and contractual term):


Options	Number of Shares	Weighted- Average Exercise Price Per Share		Weighted- Average Remaining Contractual Term	Aggregate Intrinsic Value
Outstanding at January 1, 2021	598	$	6.52
Granted	3,168	$	25.93
Exercised	(1,436)	$	15.52
Forfeited	(110)	$	33.42
Expired	(232)	$	30.93
Outstanding at December 31, 2021	1,988	$	26.60	5.22	$	7,380
Vested and expected to vest in the future at December 31, 2021	1,979	$	26.57	5.21	$	7,380
Exercisable at December 31, 2021	1,552	$	24.81	4.62	$	7,380

The following table summarizes information related to outstanding stock options as of December 31, 2021:

Weighted Average

Range of Option Prices

Options Outstanding

Remaining Life (Years)

Exercise Price

$6.52 to $35.14

1,988,000

5.22

$26.60

Summary of Fair Value Assumptions

The table below summarizes the range and the weighted averages of the fair value assumptions used in the Black-Scholes valuation as of March 8, 2021.


Assumptions:	Range	Weighted Averages
Expected term (in years)	0.3 - 7.1	3.7
Volatility	43.0% - 85.4%	55.1%
Risk-free interest rate	0.1% -1.3%	0.6%
Dividend yield	—	—

Roll-Forward of Activity for Restricted Stock Units

The table below is a roll-forward of the activity for restricted stock units for the year ended December 31, 2021 (in thousands, except fair value amounts):


Restricted Stock Units	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	900	$	15.83
Granted	1,154	29.60
Vested	(432)	15.07
Forfeited	(41)	27.50

Unvested at December 31, 2021(1)	1,581	$	25.79

____________

(1)Excludes 1,384 shares of accrued incremental dividend equivalent rights on outstanding shares underlying restricted stock units granted under the 2004 Incentive Plan and 2013 Directors Plan.

Roll-Forward of Activity for Restricted Stock Awards

The table below is a roll-forward of the activity for restricted stock awards granted as part of the replacement awards for the year ended December 31, 2021 (in thousands, except fair value amounts):


Restricted Stock Awards	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	—	$	—
Granted	188	28.74
Vested	(29)	29.52
Forfeited	(11)	16.63

Unvested at December 31, 2021	148	$	29.52

Roll-Forward of Activity for Performance Share Units

The table below is a roll-forward of the activity for performance based awards during the year ended December 31, 2021 (in thousands, except fair value amounts):


Performance Share Units	Units	Weighted- Average Grant-Date Fair Value
Unvested at January 1, 2021	835	$	17.08
Performance Share Units Granted	1,440	$	30.35
Target Award Adjustment(1)	279	$	14.80
Vested	(557)	$	14.80
Forfeited	(36)	$	25.77
Unvested at December 31, 2021	1,961	$	27.00

____________

(1)Represents shares earned by participants at 200% for awards granted in 2018.

Share-Based Compensation Including Expense for Phantom Stock Units and Cash Settled Stock Appreciation Rights Granted to Employees


	Years Ended December 31,
	2021		2020		2019
Cost of products	$	1,219	$	763	$	961
Selling, general and administrative expenses	36,524		9,326		10,955
Research and development expenses	942		838		980
Total cost of share-based compensation included in income, before income tax	38,685		10,927		12,896
Income tax benefit	8,898		2,513		2,966
Total cost of employee share-based compensation, after tax	$	29,787	$	8,414	$	9,930

Fair Value of Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2021

Fair Value Disclosures [Abstract]

Valuation of Foreign Currency Exchange Contracts by Pricing Levels


	Fair Value		Level 1		Level 2		Level 3
December 31, 2021
Foreign currency forward contracts—asset position(1)	$	339	$	—	$	339	$	—
Foreign currency forward contracts—liability position(1)	(216)		—		(216)		—





Interest rate hedge agreements—liability position(2)	(8,679)		—		(8,679)		—


	$	(8,556)	$	—	$	(8,556)	$	—
December 31, 2020
Foreign currency forward contracts—asset position(1)	$	90	$	—	$	90	$	—
Foreign currency forward contracts—liability position(1)	(1,553)		—		(1,553)		—




Interest rate hedge agreements—liability position(2)	(17,922)		—		(17,922)		—
	$	(19,385)	$	—	$	(19,385)	$	—

____________

Fair Value, by Balance Sheet Grouping


	December 31, 2021				December 31, 2020
	Carrying Value		Fair Value		Carrying Value		Fair Value
Term Loan Facility(1)	$	436,800	$	437,499	$	441,600	$	443,243
Japan Term Loan Facility(2)	$	13,031	$	12,185	$	18,390	$	16,083
Convertible Notes(3)	$	258,750	$	444,351	$	258,750	$	414,191
U.S. Asset-Based Revolving Credit Facility(4)	$	9,096	$	9,096	$	22,130	$	22,130

Equipment Notes(5)	$	31,137	$	30,167	$	31,822	$	29,385

Mortgage Loans(6)	$	46,407	$	52,349	$	—	$	—
Topgolf Term Loan(7)	$	340,375	$	346,076	$	—	$	—

____________

Derivatives and Hedging (Tables)

12 Months Ended

Dec. 31, 2021

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Fair Value of Derivative Instruments by Contract Type and Location of Asset and/or Liability on Consolidated Condensed Balance Sheets


		Fair Value of Asset Derivatives
		December 31,
	Balance Sheet Location	2021		2020
Derivatives designated as cash flow hedging instruments:
Foreign currency forward contracts	Other current assets	$	128	$	37


Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Other current assets	211		53

Total asset position		$	339	$	90


		Fair Value of Liability Derivatives
		December 31,
	Balance Sheet Location	2021		2020
Derivatives designated as cash flow hedging instruments:
Foreign currency forward contracts	Accounts payable and accrued expenses	$	7	$	38

Interest rate hedge contracts	Accounts payable and accrued expenses	4,072		4,780
Interest rate hedge contracts	Other long-term liabilities	4,607		13,142
		8,686		17,960
Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Accounts payable and accrued expenses	209		1,515

Total liability position		$	8,895	$	19,475

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)

The following tables summarize the net effect of all cash flow hedges on the consolidated financial statements for the year ended December 31, 2021, 2020, and 2019 (in thousands):


	Net Gain (Loss) Recognized in Accumulated Other Comprehensive Income (Loss) (Effective Portion)
	Year Ended December 31,
Derivatives designated as cash flow hedging instruments	2021		2020		2019
Foreign currency forward contracts	$	2,440	$	756	$	1,033
Cross-currency debt swap contracts	—		15,081		11,212
Interest rate hedge contracts	4,406		(12,881)		(9,434)
	$	6,846	$	2,956	$	2,811


	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Earnings (Effective Portion)
	Year Ended December 31,
Derivatives designated as cash flow hedging instruments	2021		2020		2019
Foreign currency forward contracts	$	1,700	$	1,028	$	1,165
Cross-currency debt swap contracts	—		18,510		7,783
Interest rate hedge contracts	(4,829)		(3,852)		(552)
	$	(3,129)	$	15,686	$	8,396

Location of Gains in Consolidated Condensed Statements of Operations that were Recognized and Derivative Contract Type


		Amount of Net Gain Recognized in Income on Derivative Instruments
Derivatives not designated as hedging instruments	Location of Net gain recognized in income on derivative instruments	Years Ended December 31,
		2021		2020		2019
Foreign currency forward contracts	Other income, net	$	14,413	$	2,156	$	4,176

Accumulated Other Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2021

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Accumulated Other Comprehensive Income


	Derivative Instruments		Foreign Currency Translation		Total
Accumulated other comprehensive loss, January 1, 2019, after tax	$	107	$	(13,807)	$	(13,700)
Change in derivative instruments	2,811		—		2,811
Net losses reclassified to cost of goods sold	(1,165)		—		(1,165)
Net gains reclassified to other income (expense)	(2,756)				(2,756)
Net gains reclassified to interest expense	(4,475)				(4,475)
Income tax provision on derivative instruments	1,275		—		1,275
Foreign currency translation adjustments	—		(4,412)		(4,412)
Accumulated other comprehensive loss, December 31, 2019, after tax	(4,203)		(18,219)		(22,422)
Change in derivative instruments	2,956		—		2,956
Net gains reclassified to cost of goods sold	(1,028)		—		(1,028)
Net gains reclassified to other income (expense)	(16,780)		—		(16,780)
Net gains reclassified to interest expense	2,122		—		2,122
Income tax provision on derivative instruments	2,916		—		2,916
Foreign currency translation adjustments	—		25,690		25,690
Accumulated other comprehensive loss, December 31, 2020, after tax	(14,017)		7,471		(6,546)
Change in derivative instruments	6,846		—		6,846
Net gains reclassified to cost of goods sold	(1,700)		—		(1,700)
Net gains reclassified to other income (expense)	—		—		—
Net losses reclassified to interest expense	4,829		—		4,829
Income tax provision on derivative instruments	(1,557)		—		(1,557)
Foreign currency translation adjustments	—		(29,215)		(29,215)
Accumulated other comprehensive loss, December 31, 2021, after tax	$	(5,599)	$	(21,744)	$	(27,343)

Segment Information (Tables)

12 Months Ended

Dec. 31, 2021

Segment Reporting [Abstract]

Information Utilized by Management to Evaluate its Operating Segments

The table below contains information utilized by management to evaluate its operating segments.


	Years Ended December 31,
	2021		2020		2019
Net revenues:
Topgolf(1)	$	1,087,671	$	—	$	—
Golf equipment	1,229,175		982,675		979,173
Apparel, gear and other	816,601		606,785		721,890
Total net revenues	$	3,133,447	$	1,589,460	$	1,701,063

Income (loss) before income taxes:
Topgolf(1)	$	58,225	$	—	$	—
Golf equipment	203,846		148,578		140,316
Apparel, gear and other	68,511		679		75,490
Total segment operating income	330,582		149,257		215,806
Corporate G&A and other(2)	(125,867)		(80,503)		(83,138)
Goodwill and tradename impairment(3)	—		(174,269)		—
Total operating income (loss)	204,715		(105,515)		132,668
Gain on Topgolf investment(4)	252,531		—		—
Interest expense, net	(115,565)		(46,932)		(38,493)
Other income, net	8,961		24,969		1,594

Total income (loss) before income taxes	$	350,642	$	(127,478)	$	95,769


	December 31,
	2021		2020
Identifiable assets:
Topgolf(1)	$	4,909,968	$	—
Golf equipment	1,107,632		481,214
Apparel, gear and other	840,466		754,601
Reconciling items(5)	889,714		744,785
Total identifiable assets	$	7,747,780	$	1,980,600

Additions to long-lived assets:(6)
Topgolf(1)	$	286,813	$	—
Golf equipment	30,657		25,695
Apparel, gear and other	20,996		21,235
Total additions to long-lived assets	$	338,466	$	46,930

Goodwill:(7)
Topgolf(1)	$	1,340,663	$	—
Golf equipment	531,122		27,025
Apparel, gear and other	88,285		29,633
Total goodwill	$	1,960,070	56,658

Depreciation and amortization:
Topgolf(1)	$	114,618	$	—
Golf equipment	14,073		19,212
Apparel, gear and other	27,131		20,296
Total depreciation and amortization	$	155,822	$	39,508

____________

(1)On March 8, 2021, the Company completed the merger with Topgolf and has included the results of operations of Topgolf in its consolidated statements of operations from that date forward.

(3)The $174.3 million goodwill and tradename impairment for the year ended December 31, 2020 was primarily related to an impairment in goodwill at Jack Wolfskin (see Note 9).

(6)Additions to long-lived assets are comprised of purchases of property, plant and equipment.(7)The $1,903.4 million increase in goodwill in 2021 compared to 2020 was primarily due to the Topgolf merger in March 2021 (see Note 9).

Revenues and Long Lived Assets

Long-lived assets are based on location of domicile.


	Net Revenues		Long-Lived Assets(1)
	(in thousands)
2021
United States	$	2,067,070	$	1,383,614
Europe	499,533		48,854
Japan	243,848		7,205
Rest of World	322,996		11,729
	$	3,133,447	$	1,451,402
2020
United States	$	778,600	$	116,459
Europe	372,957		17,078
Japan	212,055		6,028
Rest of World	225,848		6,930
	$	1,589,460	$	146,495
2019
United States	$	788,232	$	103,111
Europe	428,628		19,148
Japan	246,260		5,655
Rest of World	237,943		4,846
	$	1,701,063	$	132,760

____________

Summarized Quarterly Data (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2021

Quarterly Financial Information Disclosure [Abstract]

Summarized Quarterly Data


	Fiscal Year 2021 Quarters
	1st		2nd		3rd		4th		Total
	(in thousands, except per share data)
Net revenues	$	651,621	$	913,641	$	856,461	$	711,724	$	3,133,447
Income (loss) from operations	$	76,099	$	107,269	$	76,010	$	(54,663)	$	204,715


Net income (loss)	$	272,461	$	91,744	$	(15,991)	$	(26,226)	$	321,988
Earnings (loss) per common share(1)
Basic	$	2.32	$	0.50	$	(0.09)	$	(0.14)	$	1.90
Diluted	$	2.19	$	0.47	$	(0.09)	$	(0.14)	$	1.82


	Fiscal Year 2020 Quarters
	1st		2nd		3rd		4th		Total
	(in thousands, except per share data)
Net revenues	$	442,276	$	296,996	$	475,559	$	374,629	$	1,589,460
Income (loss) from operations	$	40,680	$	(177,449)	$	63,509	$	(32,255)	$	(105,515)


Net income (loss)	$	28,894	$	(167,684)	$	52,432	$	(40,576)	$	(126,934)
Earnings (loss) per common share(1)
Basic	$	0.31	$	(1.78)	$	0.56	$	(0.43)	$	(1.35)
Diluted	$	0.30	$	(1.78)	$	0.54	$	(0.43)	$	(1.35)

____________

(1)Earnings per share is computed individually for each of the quarters presented; therefore, the sum of the quarterly earnings per share may not necessarily equal the total for the year.

The Company (Details)	12 Months Ended
The Company (Details)	Dec. 31, 2021 country segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of countries in which company operates (more than) \| country	120
Number of operating segments \| segment	3

Summary of Significant Accounting Policies - Narrative (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Significant Accounting Policies [Line Items]
Additional paid-in capital	$ (3,051,604,000)	$ (346,945,000)
Deferred tax liabilities	(142,427,000)
Retained earnings	$ 682,165,000	$ 360,228,000
Convertible notes weighted-average shares outstanding (in shares)	5,932,000	0	0
Goodwill, period increase (decrease)	$ 1,903,412,000
Sell-through promotion period	2 years
Advertising expenses	$ 108,399,000	$ 83,361,000	$ 93,331,000
Restricted cash		0
Internal-use software	81,616,000	42,082,000
Depreciation	$ 142,781,000	$ 34,388,000	$ 30,085,000
Direct financing lease, term of contract	20 years
Accounting Standards Updated 2021-08
Significant Accounting Policies [Line Items]
Goodwill, period increase (decrease)	$ 3,600,000
Decrease to deferred revenue haircut	3,600,000
Contract with customer, liability	$ 1,300,000
Sales Revenue, Net \| Customer Concentration Risk \| Regions outside the U.S.
Significant Accounting Policies [Line Items]
Concentration risk percentage	34.00%	51.00%	54.00%
Top Five Customers Worldwide \| Sales Revenue, Net \| Customer Concentration Risk
Significant Accounting Policies [Line Items]
Concentration risk percentage	13.00%	20.00%	18.00%
Top Five Customers Worldwide \| Sales Revenue, Net \| Customer Concentration Risk \| Golf clubs
Significant Accounting Policies [Line Items]
Concentration risk percentage	24.00%	25.00%	23.00%
Top Five Customers Worldwide \| Sales Revenue, Net \| Customer Concentration Risk \| Gear, accessories & other
Significant Accounting Policies [Line Items]
Concentration risk percentage	17.00%	12.00%	11.00%
One Customer \| Accounts Receivable \| Customer Concentration Risk
Significant Accounting Policies [Line Items]
Concentration risk percentage	11.00%	16.00%
Performance shares
Significant Accounting Policies [Line Items]
Shares awarded as a percentage of granted	100.00%			200.00%
Stock Options
Significant Accounting Policies [Line Items]
Vesting period	3 years
Expiration period	10 years
Capitalized Buildings
Significant Accounting Policies [Line Items]
Property, plant and equipment, useful life	40 years
Minimum
Significant Accounting Policies [Line Items]
Franchise, term of contract	15 years
Minimum \| Restricted Stock
Significant Accounting Policies [Line Items]
Vesting period	3 years
Minimum \| Performance shares
Significant Accounting Policies [Line Items]
Vesting period	3 years
Shares awarded as a percentage of granted	0.00%
Minimum \| Performance Share Units with Total Shareholder Return Conditions
Significant Accounting Policies [Line Items]
Vesting period	3 years
Minimum \| Software And Hardware
Significant Accounting Policies [Line Items]
Operating lease, term of contract	3 years
Maximum
Significant Accounting Policies [Line Items]
Franchise, term of contract	20 years
Maximum \| Restricted Stock
Significant Accounting Policies [Line Items]
Vesting period	5 years
Maximum \| Performance shares
Significant Accounting Policies [Line Items]
Vesting period	5 years
Shares awarded as a percentage of granted	200.00%
Maximum \| Performance Share Units with Total Shareholder Return Conditions
Significant Accounting Policies [Line Items]
Vesting period	5 years
Maximum \| Software And Hardware
Significant Accounting Policies [Line Items]
Operating lease, term of contract	5 years
Cumulative Effect, Period of Adoption, Adjustment \| Accounting Standards Update 2020-06
Significant Accounting Policies [Line Items]
Additional paid-in capital	$ 57,080,000
Convertible notes payable	57,938,000
Deferred tax liabilities	13,239,000
Retained earnings	$ 12,381,000
Convertible notes weighted-average shares outstanding (in shares)	14,700,000

Summary of Significant Accounting Policies - Summary of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Dec. 31, 2018
Accounting Policies [Abstract]
Cash and cash equivalents	$ 352,221	$ 366,119
Restricted cash, short-term	1,164	0
Restricted cash, long-term	4,303	0
Total cash, cash equivalents and restricted cash	$ 357,688	$ 366,119	$ 106,666	$ 63,981

Summary of Significant Accounting Policies - Useful Lives of Property, Plant and Equipment (Details)	12 Months Ended
	Dec. 31, 2021
Buildings and improvements \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	10 years
Buildings and improvements \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	40 years
Machinery and equipment \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years
Machinery and equipment \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	10 years
Furniture, computer hardware and equipment \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	3 years
Furniture, computer hardware and equipment \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years
Internal-use software \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	3 years
Internal-use software \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years
Production molds \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	2 years
Production molds \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	5 years

Summary of Significant Accounting Policies - Other Income (Expense) Net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Foreign currency forward contract gain, net	$ 14,413	$ 2,910	$ 6,947
Foreign currency transaction gain (loss), net	(6,368)	9,024	(5,838)
Other	916	1,989	485
Other income, net	8,961	24,969	1,594
Other income (expense)
Derivative Instruments, Gain (Loss) [Line Items]
Foreign currency forward contract gain, net	14,413	2,156	4,176
Currency Swap \| Other income (expense)
Derivative Instruments, Gain (Loss) [Line Items]
Settlement of cross-currency swap contract	$ 0	$ 11,046	$ 0

Leases - Narrative (Details)	12 Months Ended
Leases - Narrative (Details)	Dec. 31, 2021 USD ($) lease landlord_building	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Lessee, Lease, Description [Line Items]
Sales-type lease, revenue	$ 34,116,000	$ 0	$ 0
Rent abatement	$ 1,518,384,000
Lessee, operating lease, number of leases not yet commenced \| lease	14
Lessee, operating lease, lease not yet commenced, construction costs	$ 208,134,000
Construction advances	$ 22,943,000	0
Lessee, operating lease, lease not yet commenced, term of contract	20 years
Number of deemed landlord financing lease that did not meet sale-leaseback criteria \| lease	29
Finance lease, right-of-use asset, after accumulated amortization	$ 129,500,000	1,003,000
Finance lease, liability	$ 134,299,000
Deemed Landlord Finance Lease
Lessee, Lease, Description [Line Items]
Number of landlord buildings \| landlord_building	15
Finance lease, right-of-use asset, after accumulated amortization	$ 521,361,000
Finance lease, liability	$ 461,537,000
Lessee, finance lease, term of contract	40 years
Lease Commencing 2021
Lessee, Lease, Description [Line Items]
Lessee, operating lease, lease not yet commenced, undiscounted amount	$ 66,000,000
COVID-19
Lessee, Lease, Description [Line Items]
Rent concession payable	3,853,000	687,000
Rent abatement	0	$ 1,435,000
COVID-19 \| Accrued expenses
Lessee, Lease, Description [Line Items]
Rent concession payable	3,224,000
COVID-19 \| Other Noncurrent Liabilities
Lessee, Lease, Description [Line Items]
Rent concession payable	$ 629,000

Leases - Sales-Type Leases, Revenue (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($)
Leases [Abstract]
Sales-type lease, selling price	$ 29,789
Cost of underlying assets	(11,862)
Operating profit	17,927
Interest income	$ 4,327

Leases - Sales-Type Leases (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Leases [Abstract]
Leasing receivables, net - short-term	$ 12,843
Leasing receivables - long-term	44,080
Total leasing receivables	$ 56,923

Leases - Supplemental Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Operating leases:
ROU assets, net	$ 1,384,501	$ 194,776
Lease liabilities, short-term	72,326	29,579
Lease liabilities, long-term	1,385,364	177,996
Finance Leases:
ROU assets, net,	129,500	1,003
Lease liabilities, short-term	1,838	252
Lease liabilities, long-term	$ 132,461	$ 447
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other assets	Other assets
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List]	Accounts payable and accrued expenses	Accounts payable and accrued expenses
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Other long-term liabilities	Other long-term liabilities
Deemed Landlord Finance Lease
Finance Leases:
ROU assets, net,	$ 521,361
Lease liabilities, short-term	903
Lease liabilities, long-term	$ 460,634	$ 0

Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Lessee, Lease, Description [Line Items]
Operating lease costs	$ 146,286	$ 42,520	$ 38,449
Financing lease costs:
Amortization of right-of-use assets	3,182	870	845
Interest on lease liabilities	4,542	47	83
Total financing lease costs	7,724	917	928
Variable lease costs	6,511	2,473	4,361
Total lease costs	160,521	$ 45,910	$ 43,738
Deemed Landlord Finance Lease
Financing lease costs:
Amortization of right-of-use assets	5,707
Interest on lease liabilities	28,039
Total financing lease costs	$ 33,746

Leases - Other Information Related to Leases (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 123,637	$ 39,774
Operating cash flows from finance leases	2,802	47
Financing cash flows from finance leases	830	792	$ 706
Lease liabilities arising from new ROU assets:
Operating leases	19,625	65,547
Finance leases	$ 52,742	$ 139
Weighted average remaining lease term (years):
Operating leases	14 years 1 month 6 days	9 years 9 months 18 days
Finance leases	36 years 2 months 12 days	3 years
Weighted average discount rate:
Operating leases	5.30%	5.30%
Finance leases	5.30%	3.90%
Deemed Landlord Finance Lease
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 17,695	$ 0
Weighted average remaining lease term (years):
Finance leases	39 years
Weighted average discount rate:
Finance leases	9.20%

Leases - Future Minimum Lease Obligations (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Operating Leases
2022	$ 138,725
2023	136,064
2024	133,406
2025	130,883
2026	125,796
Thereafter	1,230,228
Total future lease payments	1,895,102
Less: imputed interest	437,412
Total	1,457,690
Finance Leases
2022	15,035
2023	15,688
2024	15,429
2025	15,241
2026	15,575
Thereafter	629,948
Total future lease payments	706,916
Less: imputed interest	572,617
Total	134,299
Deemed Landlord Finance Lease
Finance Leases
2022	33,337
2023	36,403
2024	37,585
2025	37,961
2026	38,930
Thereafter	1,916,536
Total future lease payments	2,100,752
Less: imputed interest	1,639,215
Total	$ 461,537

Revenue Recognition - Narrative (Details) $ in Thousands		3 Months Ended								12 Months Ended
Revenue Recognition - Narrative (Details) $ in Thousands	Mar. 08, 2021 USD ($)	Dec. 31, 2021 USD ($)	Sep. 30, 2021 USD ($)	Jun. 30, 2021 USD ($)	Mar. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Sep. 30, 2020 USD ($)	Jun. 30, 2020 USD ($)	Mar. 31, 2020 USD ($)	Dec. 31, 2021 USD ($) segment	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Deferred Revenue Arrangement [Line Items]
Number of reportable segments \| segment										3
Number of operating segments \| segment										3
Total net revenues		$ 711,724	$ 856,461	$ 913,641	$ 651,621	$ 374,629	$ 475,559	$ 296,996	$ 442,276	$ 3,133,447	$ 1,589,460	$ 1,701,063
Deferred revenue		93,873				2,546				93,873	2,546
Revenue recognized, including current period balance										32,292	2,840	3,031
Reserve for cost recovery		25,947				24,112				25,947	24,112
Redeemed Gift Cards And Gift Card Breakage
Deferred Revenue Arrangement [Line Items]
Revenue from gift cards, recognized in period										370,472	2,840	3,031
Unredeemed Gift Cards
Deferred Revenue Arrangement [Line Items]
Deferred revenue from gift cards		$ 41,967				$ 2,546				41,967	2,546
Products
Deferred Revenue Arrangement [Line Items]
Total net revenues										2,058,722	1,589,460	1,701,063
Royalty
Deferred Revenue Arrangement [Line Items]
Total net revenues										68,151	21,838	22,455
Topgolf
Deferred Revenue Arrangement [Line Items]
Total net revenues										$ 1,087,671
Revenue, number of months										10 months
Royalty income										$ 37,267
Deferred revenue acquired in business combination	$ 66,196
Topgolf \| Products
Deferred Revenue Arrangement [Line Items]
Total net revenues										12,946
Apparel, Gear & Other
Deferred Revenue Arrangement [Line Items]
Total net revenues										816,601	606,785	721,890
Royalty income										$ 30,884	$ 21,838	$ 22,445

Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Disaggregation of Revenue [Line Items]
Total net revenues	$ 711,724	$ 856,461	$ 913,641	$ 651,621	$ 374,629	$ 475,559	$ 296,996	$ 442,276	$ 3,133,447	$ 1,589,460	$ 1,701,063
United States
Disaggregation of Revenue [Line Items]
Total net revenues									2,067,070	778,600	788,232
Europe
Disaggregation of Revenue [Line Items]
Total net revenues									499,533	372,957	428,628
Japan
Disaggregation of Revenue [Line Items]
Total net revenues									243,848	212,055	246,260
Rest of World
Disaggregation of Revenue [Line Items]
Total net revenues									322,996	225,848	237,943
Topgolf
Disaggregation of Revenue [Line Items]
Total net revenues									1,087,671
Golf Equipment
Disaggregation of Revenue [Line Items]
Total net revenues									1,229,175	982,675	979,173
Apparel, Gear & Other
Disaggregation of Revenue [Line Items]
Total net revenues									816,601	606,785	721,890
Venues
Disaggregation of Revenue [Line Items]
Total net revenues									1,014,106
Venues \| Topgolf
Disaggregation of Revenue [Line Items]
Total net revenues									1,014,106
Other business lines
Disaggregation of Revenue [Line Items]
Total net revenues									73,565
Other business lines \| Topgolf
Disaggregation of Revenue [Line Items]
Total net revenues									73,565
Golf clubs
Disaggregation of Revenue [Line Items]
Total net revenues									994,479	787,072	768,310
Golf clubs \| Golf Equipment
Disaggregation of Revenue [Line Items]
Total net revenues									994,479	787,072	768,310
Golf balls
Disaggregation of Revenue [Line Items]
Total net revenues									234,696	195,603	210,863
Golf balls \| Golf Equipment
Disaggregation of Revenue [Line Items]
Total net revenues									234,696	195,603	210,863
Apparel
Disaggregation of Revenue [Line Items]
Total net revenues									490,872	349,272	410,712
Apparel \| Apparel, Gear & Other
Disaggregation of Revenue [Line Items]
Total net revenues									490,872	349,272	410,712
Gear, accessories & other
Disaggregation of Revenue [Line Items]
Total net revenues									325,729	257,513	311,178
Gear, accessories & other \| Apparel, Gear & Other
Disaggregation of Revenue [Line Items]
Total net revenues									$ 325,729	$ 257,513	$ 311,178

Revenue Recognition - Sales Return Reserve (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance	$ 43,986	$ 29,043	$ 24,522
Provision	91,007	106,178	95,094
Sales returns	87,634	91,235	90,573
Ending balance	$ 47,359	$ 43,986	$ 29,043

Estimated Credit Losses - Narrative (Details)	12 Months Ended
Estimated Credit Losses - Narrative (Details)	Dec. 31, 2021
Credit Loss [Abstract]
Accounts receivable, allowance for credit loss, payment term for customers	60 days

Estimated Credit Losses - Schedule of Reconciliation Related to Allowance for Estimated Credit Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance	$ 8,841	$ 5,992	$ 5,610
(Benefit) provision for credit losses	(337)	2,924	1,107
Write-off of uncollectible amounts, net of recoveries	(2,299)	(364)	(725)
Ending balance	6,205	8,841	5,992
Cumulative Effect, Period of Adoption, Adjustment
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Beginning balance	$ 0	289	0
Ending balance		$ 0	$ 289

Business Combinations - Narrative (Details)		1 Months Ended		3 Months Ended	12 Months Ended				24 Months Ended
Business Combinations - Narrative (Details)	Mar. 08, 2021 USD ($) $ / shares shares	Jan. 31, 2019 USD ($)	Jan. 31, 2019 EUR (€)	Mar. 31, 2019 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Dec. 31, 2018 USD ($)	Dec. 31, 2021 USD ($)	Oct. 27, 2020	Jan. 04, 2019 USD ($)	Jan. 04, 2019 EUR (€)
Business Acquisition [Line Items]
Goodwill					$ 1,960,070,000	$ 56,658,000			$ 1,960,070,000
Business combination, acquisition related costs					(16,199,000)	0	$ 0
Gain on Topgolf investment					252,531,000	0	0
Deferred tax liability resulting from acquisition					77,079,000
Valuation allowance on deferred tax liability					8,281,000				8,281,000
Minimum \| Developed Technology And Customer Relationships
Business Acquisition [Line Items]
Useful life	1 year
Maximum \| Developed Technology And Customer Relationships
Business Acquisition [Line Items]
Useful life	10 years
Former Topgolf Stakeholders \| Term Loan B Facility \| Secured Debt
Business Acquisition [Line Items]
Debt instrument, face amount		$ 480,000,000
Topgolf International, Inc
Business Acquisition [Line Items]
Business acquisition, equity interest issued or issuable, number of shares (in shares) \| shares	89,776,000
Business combination, step acquisition, equity interest in acquiree (in shares) \| shares	12,330,000
Business combination, step acquisition, equity interest in acquiree, including subsequent acquisition, percentage	100.00%
Business combination, equity value	$ 1,987,000,000
Business combination, step acquisition, equity value of acquiree	$ 1,748,000,000
Business combination, exchange ratio (in dollars per share) \| $ / shares	$ 19.40
Payments to acquire businesses	$ 3,014,174,000
Business combination, step acquisition, equity interest in acquiree, fair value	$ 2,650,201,000
Business acquisition, share price (in dollars per share) \| $ / shares	$ 29.52
Business combination, consideration converted, share-based compensation (in shares) \| shares	188,000
Business combination, consideration transferred, share-based compensation	$ 33,051,000
Business combination, consideration transferred, equity interests issued and issuable	1,625,000
Total purchase price and consideration transferred in the merger	3,048,850,000
Goodwill	1,903,883,000
Business combination, acquisition related costs					20,416,000	$ 8,498,000			$ 28,914,000
Revenue of acquiree since acquisition date, actual					1,087,671,000
Loss of acquiree since acquisition date, actual					$ (29,603,000)
Cash	171,294,000
Topgolf International, Inc \| Future Revenues And Growth
Business Acquisition [Line Items]
Goodwill	1,340,663,000
Topgolf International, Inc \| Synergies
Business Acquisition [Line Items]
Goodwill	$ 563,220,000
Topgolf International, Inc \| Measurement Input, Royalty Rate \| Royalty Savings Income Approach Method
Business Acquisition [Line Items]
Business combination, assumed indefinite-lived intangible assets, measurement input	0.025
Topgolf International, Inc \| Measurement Input, Discount Rate \| Royalty Savings Income Approach Method \| Minimum
Business Acquisition [Line Items]
Business combination, assumed indefinite-lived intangible assets, measurement input	0.070
Topgolf International, Inc \| Measurement Input, Discount Rate \| Royalty Savings Income Approach Method \| Maximum
Business Acquisition [Line Items]
Business combination, assumed indefinite-lived intangible assets, measurement input	0.085
Topgolf International, Inc \| Callaway Shareholders
Business Acquisition [Line Items]
Business combination, step acquisition, equity interest in acquiree, including subsequent acquisition, percentage										51.30%
Topgolf International, Inc \| Former Topgolf Stakeholders
Business Acquisition [Line Items]
Business combination, step acquisition, equity interest in acquiree, including subsequent acquisition, percentage										48.70%
Topgolf International, Inc \| Topgolf International, Inc
Business Acquisition [Line Items]
Business combination, step acquisition, equity interest in acquiree, percentage										14.30%
Jack Wolfskin
Business Acquisition [Line Items]
Goodwill											$ 150,180,000
Consideration transferred		$ 521,201,000	€ 457,394,000
Cash											$ 58,096,000	€ 50,984,000
Business acquisition, transaction costs							9,987,000
Realized foreign currency transaction gain (loss)				$ 3,215,000
Jack Wolfskin \| General and Administrative Expense
Business Acquisition [Line Items]
Business combination, acquisition related costs							$ 6,326,000	$ 3,661,000

Business Combinations - Summary of Fair Values of the Assets Acquired and Liabilities Assumed (Details) € in Thousands, $ in Thousands	Mar. 08, 2021 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Jan. 04, 2019 USD ($)	Jan. 04, 2019 EUR (€)
Assets Acquired
Goodwill		$ 1,960,070	$ 56,658
Liabilities Assumed
Goodwill allocated to other business units		$ 1,960,070	$ 56,658
Topgolf International, Inc
Assets Acquired
Cash	$ 171,294
Accounts receivable	10,678
Inventories	13,944
Other current assets	52,233
Property and equipment	1,080,349
Operating lease right-of-use assets	1,329,296
Investments	28,768
Other assets	33,664
Intangibles - trade name	994,200
Intangibles - technology, customer relationships and liquor licenses	81,929
Goodwill	1,903,883
Total assets acquired	5,137,018
Liabilities Assumed
Accounts payable and accrued liabilities	95,799
Accrued employee costs	37,092
Construction advances	40,491
Deferred revenue	66,196
Other current liabilities	7,829
Long-term debt	535,096
Deemed landlord financing	303,037
Operating lease liabilities	1,402,291
Other long-term liabilities	32,025
Deferred tax liabilities	131,532
Net assets acquired	2,485,630
Goodwill allocated to other business units	1,903,883
Total purchase price and consideration transferred in the merger	3,048,850
Topgolf International, Inc \| Future Revenues And Growth
Assets Acquired
Goodwill	1,340,663
Liabilities Assumed
Goodwill allocated to other business units	1,340,663
Topgolf International, Inc \| Synergies
Assets Acquired
Goodwill	563,220
Liabilities Assumed
Goodwill allocated to other business units	$ 563,220
Jack Wolfskin
Assets Acquired
Cash				$ 58,096	€ 50,984
Accounts receivable				26,637
Inventories				94,504
Income tax receivable				6,588
Other current assets				11,483
Property and equipment				20,930
Operating lease right-of-use assets				120,865
Deferred tax assets				2,930
Other assets				23
Goodwill				150,180
Total assets acquired				770,274
Liabilities Assumed
Accounts payable and accrued liabilities				46,124
Income taxes payable, long-term				2,416
Operating lease liabilities				120,524
Deferred tax liabilities				80,009
Net assets acquired				521,201
Goodwill allocated to other business units				150,180
Jack Wolfskin \| Retail Partners & Distributor Relationships
Assets Acquired
Intangibles - technology, customer relationships and liquor licenses				38,743
Jack Wolfskin \| Trade name
Assets Acquired
Intangibles - trade name				$ 239,295

Business Combinations - Supplemental Pro-Forma Information (Details) - Topgolf International, Inc - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Net revenues	$ 3,276,391	$ 2,305,654
Net income (loss)	$ 72,340	$ (318,762)

Financing Arrangements - Schedule of Long-term Debt Obligations (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020	May 31, 2020
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 916
Short-term debt	9,096	$ 22,130
Long-term debt, gross	1,130,150
Long-term debt	1,044,335	665,289
Notes Payable, Other Payables
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	0
Long-term debt, gross	$ 31,137	31,822
Notes Payable, Other Payables \| Minimum
Debt Instrument [Line Items]
Interest Rate	0.0236%
Notes Payable, Other Payables \| Maximum
Debt Instrument [Line Items]
Interest Rate	0.0379%
Mortgages
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 0
Long-term debt, gross	$ 46,407	0
Mortgages \| Minimum
Debt Instrument [Line Items]
Interest Rate	0.0975%
Mortgages \| Maximum
Debt Instrument [Line Items]
Interest Rate	0.1131%
Tenant Improvements
Debt Instrument [Line Items]
Interest Rate	8.00%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 0
Long-term debt, gross	3,650	3,801
Long Term Unamortized Debt Issuance Costs
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	85,815
Prepaid expenses
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	916
Short-term debt	0	0
Other long-term assets
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	0
Short-term debt	0	0
Asset-based credit facilities
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	0
Short-term debt	9,096	22,130
Other current liabilities
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	3,815
Long-term debt	19,057	0
Accrued expenses
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	0
Long-term debt	0	14,725
Long-term debt
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	82,000
Long-term debt	$ 1,025,278	650,564
Topgolf Term Loan \| Secured Debt
Debt Instrument [Line Items]
Interest Rate	7.00%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 6,272
Long-term debt, gross	334,103	0
Convertible Notes \| Senior Notes
Debt Instrument [Line Items]
Interest Rate			2.75%
Unamortized Original Issuance Discount and Debt Issuance Costs	64,280
Long-term debt, gross	$ 194,470	183,126
Revolving Credit Facility \| Japan Term Loan Facility \| Line of Credit
Debt Instrument [Line Items]
Interest Rate	0.85%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 0
Long-term debt, gross	$ 13,031	18,390
Revolving Credit Facility \| Term Loan B Facility \| Line of Credit
Debt Instrument [Line Items]
Interest Rate	4.60%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 15,263
Long-term debt, gross	$ 421,537	428,150
Revolving Credit Facility \| Topgolf Revolving Credit Facility \| Line of Credit
Debt Instrument [Line Items]
Interest Rate	4.75%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 0
Long-term debt, gross	$ 0	0
Revolving Credit Facility \| Line of Credit \| U.S. Asset-Based Revolving Credit Facility
Debt Instrument [Line Items]
Interest Rate	2.00%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 916
Short-term debt	$ 9,096	22,130
Revolving Credit Facility \| Line of Credit \| 2022 Japan ABL Credit Facility
Debt Instrument [Line Items]
Interest Rate	1.28%
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 0
Short-term debt	$ 0	$ 0

Financing Arrangements - Revolving Credit Facilities and Available Liquidity (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Line of Credit Facility [Line Items]
Cash and cash equivalents	$ 352,221	$ 366,119
Total available liquidity	752,847	632,233
Revolving Credit Facility \| Line of Credit \| U.S. and Japan Credit Facilities
Line of Credit Facility [Line Items]
Debt, long-term and short-term, combined amount	$ 9,096	$ 22,130

Financing Arrangements - U.S. Asset-Based Revolving Credit Facility (Details)	1 Months Ended	12 Months Ended
	May 31, 2019 USD ($)	Dec. 31, 2021 USD ($)	Apr. 30, 2020 USD ($)
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 400,000,000
Line of credit facility, average outstanding amount		$ 20,269,000
Line of credit facility, average remaining borrowing capacity		$ 295,259,000
CARES Act
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity			$ 50,000,000
Bank of America, N.A.
Debt Instrument [Line Items]
Debt covenant, fixed charge coverage ratio		1.0
Debt covenant, borrowing base below threshold, ratio required to be in compliance, period		30 days
Fixed charges coverage ratio covenant reference borrowing capacity, percent		10.00%
Fixed charge coverage ratio covenant reference borrowing capacity		$ 40,000,000
Line of credit facility, interest rate at period end		3.04%
Line of credit facility, unused capacity, commitment fee percentage		0.25%
Real Estate
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity, quarterly reduction period	15 years
Intellectual Property
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity, quarterly reduction period	3 years
United States
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 260,000,000
Germany
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	70,000,000
Canada
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	25,000,000
United Kingdom
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 45,000,000

Financing Arrangements - Japan ABL Facility (Details)	1 Months Ended
Financing Arrangements - Japan ABL Facility (Details)	Jan. 31, 2022 USD ($)	Jan. 31, 2021	Jan. 31, 2018 USD ($) loan	Jan. 31, 2022 JPY (¥)	Dec. 31, 2021 USD ($)	May 31, 2019 USD ($)	Jan. 31, 2018 JPY (¥)
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity						$ 400,000,000
The Bank of Tokyo-Mitsubishi UFJ
Line of Credit Facility [Line Items]
Number of asset based loans \| loan			2
2018 Japan ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 34,748,000				¥ 4,000,000,000
Debt instrument, term			3 years
2018 Japan ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ \| Tokyo Interbank Offered Rate (TIBOR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate			0.80%
Japan 2021 ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ
Line of Credit Facility [Line Items]
Debt instrument, term		1 year
Line of credit facility, amount outstanding					$ 0
Japan 2021 ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ \| Tokyo Interbank Offered Rate (TIBOR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		1.20%
Japan 2024 ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ \| Subsequent Event
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity	$ 52,110,000			¥ 6,000,000,000
Debt instrument, term	3 years
Japan 2024 ABL Credit Facility \| The Bank of Tokyo-Mitsubishi UFJ \| Tokyo Interbank Offered Rate (TIBOR) \| Subsequent Event
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.80%

Financing Arrangements - Japan Term Loan Facility (Details)	1 Months Ended	12 Months Ended
	Aug. 31, 2020 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2021 JPY (¥)	Dec. 31, 2020 USD ($)	Dec. 31, 2020 JPY (¥)	Dec. 31, 2019 USD ($)	Dec. 31, 2021 JPY (¥)	Aug. 31, 2020 JPY (¥)
Line of Credit Facility [Line Items]
Interest expense, debt		$ 852,000		$ 880,000		$ 463,000
Japan Term Loan Facility
Line of Credit Facility [Line Items]
Debt instrument, term	5 years
Debt instrument, face amount		13,031,000					¥ 1,500,000,000
Long-term debt, current maturities		3,475,000					¥ 400,000,000
Interest expense, debt		132,000	¥ 14,511,000	$ 60,000	¥ 6,226,000
Japan Term Loan Facility \| Secured Debt
Line of Credit Facility [Line Items]
Debt instrument, face amount	$ 17,374,000							¥ 2,000,000,000
Debt instrument, periodic payment, principal		$ 868,700	¥ 100,000,000
Japan Term Loan Facility \| Secured Debt \| Tokyo Interbank Offered Rate (TIBOR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		0.80%	0.80%

Financing Arrangements - Term Loan B Facility (Details)	1 Months Ended	12 Months Ended
Financing Arrangements - Term Loan B Facility (Details)	Jan. 31, 2019 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Line of Credit Facility [Line Items]
Interest expense, debt		$ 852,000	$ 880,000	$ 463,000
Term Loan B Facility
Line of Credit Facility [Line Items]
Interest expense, debt		24,119,000	$ 25,622,000	$ 31,707,000
Term Loan B Facility \| Secured Debt
Line of Credit Facility [Line Items]
Debt issuance costs, gross	$ 9,600,000
Long-term debt, maximum additional loan commitments, amount	$ 225,000,000
Line of credit facility, covenant terms, first lien net leverage ratio for unlimited commitment	2.25
Debt instrument, periodic payment, principal		$ 1,200,000
Term Loan B Facility \| Secured Debt \| Maximum \| London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		4.50%
Term Loan B Facility \| Secured Debt \| Minimum \| London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate		3.50%
Former Topgolf Stakeholders \| Term Loan B Facility \| Secured Debt
Line of Credit Facility [Line Items]
Debt instrument, face amount	$ 480,000,000

Financing Arrangements - Top Golf Credit Facilities (Details)	Mar. 08, 2021 USD ($)	Dec. 31, 2021 stepdown	May 31, 2019 USD ($)
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 400,000,000
Line of Credit \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity	$ 175,000,000
Topgolf Term Loan \| Secured Debt
Line of Credit Facility [Line Items]
Debt instrument, face amount	$ 350,000,000
Debt instrument, basis spread on variable rate	1.75%
Debt instrument, percentage of periodic payment	0.0025
Topgolf Term Loan \| Secured Debt \| Fed Funds Effective Rate Overnight Index Swap Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.50%
Topgolf Term Loan \| Secured Debt \| London Interbank Offered Rate (LIBOR) Adjusted One-Month Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1.00%
Topgolf Term Loan \| Secured Debt \| London Interbank Offered Rate (LIBOR) Adjusted Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.75%
Topgolf Term Loan \| Secured Debt \| Base Rate
Line of Credit Facility [Line Items]
Debt instrument, margin rate	5.25%
Topgolf Term Loan \| Secured Debt \| London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Debt instrument, margin rate	6.25%
JPM Revolving Credit Facility \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Debt instrument, covenant, total leverage ratio, maximum	5.50
Debt instrument, covenant, increased total leverage ratio, maximum	7.75
Debt instrument, covenant, unrestricted cash on hand and/or remaining borrowing capacity	$ 30,000,000
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1.75%
Number of stepdowns subject to upon achievement \| stepdown		2
Line of credit facility, commitment fee percentage	0.50%
Line of credit facility, commitment fee step down rate	0.13%
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility \| Fed Funds Effective Rate Overnight Index Swap Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.50%
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility \| London Interbank Offered Rate (LIBOR) Adjusted One-Month Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	1.00%
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility \| London Interbank Offered Rate (LIBOR) Adjusted Rate
Line of Credit Facility [Line Items]
Debt instrument, basis spread on variable rate	0.75%
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility \| Base Rate
Line of Credit Facility [Line Items]
Debt instrument, margin rate	3.00%
JPM Revolving Credit Facility \| Line of Credit \| Revolving Credit Facility \| London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Debt instrument, margin rate	4.00%
Number of stepdowns subject to upon achievement \| stepdown		2
Debt instrument, basis spread on step down rate	0.25%

Financing Arrangements - Convertible Senior Notes (Details)		1 Months Ended	12 Months Ended
	May 04, 2020	May 31, 2020 USD ($) day $ / shares	Dec. 31, 2021 USD ($) $ / shares	Dec. 31, 2020 USD ($)
Debt Instrument [Line Items]
Long-term debt			$ 1,044,335,000	$ 665,289,000
Convertible Notes
Debt Instrument [Line Items]
Debt instrument, face amount		$ 258,750,000
Interest Rate		2.75%
Convertible Notes
Debt Instrument [Line Items]
Debt instrument, convertible, remaining discount amortization period			4 years 3 months 18 days
Debt instrument, convertible, beneficial conversion feature			$ 76,508,000
Debt instrument, payment for capped call transactions		$ 31,775,000
Debt instrument, capped call transaction cap price (in dollars per share) \| $ / shares		$ 27.10
Share price (in dollars per share) \| $ / shares			$ 30.26
Convertible Notes \| Senior Notes
Debt Instrument [Line Items]
Interest Rate		2.75%
Debt issuance costs, net			$ 8,527,000
Debt instrument, convertible, conversion price, percentage		130.00%
Debt instrument, convertible, threshold trading days \| day		20
Debt instrument, convertible, threshold consecutive trading days \| day		30
Debt instrument, convertible, consecutive trading day period		10 days
Debt instrument, convertible, percentage of closing price per share		98.00%
Debt instrument, convertible, conversion ratio	0.0567698
Debt instrument, convertible, conversion price (in dollars per share) \| $ / shares			$ 17.62
Debt instrument, redemption, consecutive trading day period prior to maturity \| day		40
Debt instrument, redemption price, percentage		130.00%
Debt instrument, redemption, threshold trading days \| day		20
Debt instrument, redemption, threshold consecutive trading days \| day		30
Convertible Senior Notes, Liability Component
Debt Instrument [Line Items]
Long-term debt			$ 194,470,000	$ 183,126,000
Convertible Senior Notes, Liability Component \| Senior Notes
Debt Instrument [Line Items]
Debt issuance costs, net			6,006,000
Convertible Senior Notes, Equity Component
Debt Instrument [Line Items]
Debt instrument, unamortized discount			59,602,000
Convertible Senior Notes, Equity Component \| Senior Notes
Debt Instrument [Line Items]
Debt issuance costs, net			$ 2,521,000

Financing Arrangements - Equipment Notes (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Aug. 31, 2020 agreement
Debt Disclosure [Abstract]
Number of long-term financing agreements \| agreement				6
Interest expense, debt \| $	$ 852	$ 880	$ 463

Financing Arrangements - Mortgage Loans (Details)	Mar. 08, 2021 loan venue
Debt Instrument [Line Items]
Number of venues constructed \| venue	3
Mortgages
Debt Instrument [Line Items]
Number of mortgage loans assumed \| loan	3

Financing Arrangements - Aggregate Amount of Maturities for Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
2022	$ 22,581
2023	19,961
2024	18,774
2025	15,646
2026	1,006,832
Thereafter	46,356
Long-term debt, gross	1,130,150
Unamortized Original Issuance Discount and Debt Issuance Costs	916
Long-term debt	1,044,335	$ 665,289
Long Term Unamortized Debt Issuance Costs
Debt Instrument [Line Items]
Unamortized Original Issuance Discount and Debt Issuance Costs	$ 85,815

Earnings per Common Share - Summary of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended								12 Months Ended
	Mar. 08, 2021	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Earnings per common share—basic
Net income (loss)		$ (26,226)	$ (15,991)	$ 91,744	$ 272,461	$ (40,576)	$ 52,432	$ (167,684)	$ 28,894	$ 321,988	$ (126,934)	$ 79,408
Weighted-average common shares outstanding—basic (in shares)										169,101,000	94,201,000	94,251,000
Basic earnings (loss) per common share (in dollars per share)		$ (0.14)	$ (0.09)	$ 0.50	$ 2.32	$ (0.43)	$ 0.56	$ (1.78)	$ 0.31	$ 1.90	$ (1.35)	$ 0.84
Earnings per common share—diluted
Net income (loss)		$ (26,226)	$ (15,991)	$ 91,744	$ 272,461	$ (40,576)	$ 52,432	$ (167,684)	$ 28,894	$ 321,988	$ (126,934)	$ 79,408
Weighted-average common shares outstanding—basic (in shares)										169,101,000	94,201,000	94,251,000
Convertible notes weighted-average shares outstanding (in shares)										5,932,000	0	0
Options and restricted stock and performance share units (in shares)										1,892,000	0	2,036,000
Weighted-average common shares outstanding—diluted (in shares)										176,925,000	94,201,000	96,287,000
Dilutive earnings (loss) per common share (in dollars per share)		$ (0.14)	$ (0.09)	$ 0.47	$ 2.19	$ (0.43)	$ 0.54	$ (1.78)	$ 0.30	$ 1.82	$ (1.35)	$ 0.82
Common Stock
Earnings per common share—diluted
Common stock issued (in shares)	89,776,000									89,776,000
Common Stock \| Options And Restricted Stock
Earnings per common share—diluted
Common stock issued (in shares)	188,000									188,000
Topgolf International, Inc
Earnings per common share—basic
Weighted-average common shares outstanding—basic (in shares)										73,652,000
Earnings per common share—diluted
Weighted-average common shares outstanding—basic (in shares)										73,652,000
Weighted-average common shares outstanding—diluted (in shares)										73,652,000

Earnings per Common Share - Narrative (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	May 31, 2020
Earnings Per Share Disclosure [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)			0
Options, Restricted Stock Units, And Performance Share Units
Earnings Per Share Disclosure [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	1,265,000
Options And Restricted Stock
Earnings Per Share Disclosure [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		1,425,000
Convertible Notes
Earnings Per Share Disclosure [Line Items]
Debt instrument, face amount				$ 258,750,000
Debt instrument, interest rate, stated percentage				2.75%
Convertible Notes \| Convertible Debt Securities
Earnings Per Share Disclosure [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)		663,000
Convertible Notes \| Senior Notes
Earnings Per Share Disclosure [Line Items]
Debt instrument, interest rate, stated percentage				2.75%
Debt instrument, convertible, conversion price (in dollars per share)	$ 17.62

Goodwill and Intangible Assets - Schedule of Goodwill (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2019
Goodwill [Roll Forward]
Balance at beginning of period	$ 56,658,000
Acquisitions	1,903,883,000
Impairments	0	$ 0
Foreign currency translation	(471,000)
Balance at end of period	1,960,070,000
Topgolf
Goodwill [Roll Forward]
Balance at beginning of period	0
Acquisitions	1,340,663,000
Impairments	0
Foreign currency translation	0
Balance at end of period	1,340,663,000
Golf Equipment
Goodwill [Roll Forward]
Balance at beginning of period	27,025,000
Acquisitions	504,568,000
Impairments	0
Foreign currency translation	(471,000)
Balance at end of period	531,122,000
Apparel, Gear & Other
Goodwill [Roll Forward]
Balance at beginning of period	29,633,000
Acquisitions	58,652,000
Impairments	0
Foreign currency translation	0
Balance at end of period	$ 88,285,000

Goodwill and Intangible Assets - Narrative (Details)	12 Months Ended
Goodwill and Intangible Assets - Narrative (Details)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Sep. 30, 2021	Mar. 08, 2021 USD ($)
Goodwill [Line Items]
Goodwill, period increase (decrease)	$ 1,903,412,000
Acquisitions	1,903,883,000
Goodwill	1,960,070,000	$ 56,658,000
Goodwill, impairment loss	0		$ 0
Goodwill, impaired, accumulated impairment loss	148,375,000	148,375,000
Impairment of intangible assets (excluding goodwill)	0		0
Aggregate amortization expense on intangible assets	13,041,000	5,120,000	$ 4,866,000
Trade name, trademark and trade dress and other
Goodwill [Line Items]
Impairment of intangible assets (excluding goodwill)		25,894,000
Minimum \| Measurement Input, Cost Of Capital \| Valuation, Market Approach And Income Approach
Goodwill [Line Items]
Goodwill, measurement input				0.090
Maximum \| Measurement Input, Cost Of Capital \| Valuation, Market Approach And Income Approach
Goodwill [Line Items]
Goodwill, measurement input				0.0925
Golf Equipment
Goodwill [Line Items]
Acquisitions	504,568,000
Goodwill	531,122,000	27,025,000
Goodwill, impairment loss	0
Apparel, Gear & Other
Goodwill [Line Items]
Acquisitions	58,652,000
Goodwill	88,285,000	$ 29,633,000
Goodwill, impairment loss	0
Topgolf International, Inc
Goodwill [Line Items]
Goodwill, period increase (decrease)	1,903,400,000
Goodwill					$ 1,903,883,000
Indefinite-lived intangible assets acquired	1,001,956,000
Finite-lived intangible assets acquired	$ 74,179,000
Future Revenues And Growth \| Topgolf International, Inc
Goodwill [Line Items]
Goodwill					$ 1,340,663,000

Goodwill and Intangible Assets - Intangible Assets by Major Asset Class (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020
Indefinite-lived Intangible Assets [Line Items]
Gross	$ 1,612,169	$ 535,693
Finite-Lived Intangible Assets, Net [Abstract]
Accumulated Amortization	(64,572)	(51,354)
Net Book Value	95,699
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross	1,612,169	535,693
Accumulated Amortization	(64,572)	(51,354)
Translation Adjustment	(18,959)
Net Book Value	1,528,638	484,339
Trade name, trademark, trade dress and other
Indefinite-lived Intangible Assets [Line Items]
Gross	1,441,003
Translation Adjustment	(15,820)
Net Book Value	1,425,183	446,803
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross	1,441,003
Liquor licenses
Indefinite-lived Intangible Assets [Line Items]
Gross	7,756
Translation Adjustment	0
Net Book Value	7,756
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross	7,756
Patents
Finite-Lived Intangible Assets, Net [Abstract]
Gross	32,041	31,581
Accumulated Amortization	(31,671)	(31,581)
Translation Adjustment	0
Net Book Value	370	0
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (31,671)	$ (31,581)
Patents \| Minimum
Finite-Lived Intangible Assets [Line Items]
Useful Life (Years)	2 years	2 years
Patents \| Maximum
Finite-Lived Intangible Assets [Line Items]
Useful Life (Years)	16 years	16 years
Customer and distributor relationships and other
Finite-Lived Intangible Assets, Net [Abstract]
Gross	$ 61,718	$ 57,309
Accumulated Amortization	(27,405)	(19,773)
Translation Adjustment	(2,335)
Net Book Value	31,978	37,536
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (27,405)	$ (19,773)
Customer and distributor relationships and other \| Minimum
Finite-Lived Intangible Assets [Line Items]
Useful Life (Years)	1 year	1 year
Customer and distributor relationships and other \| Maximum
Finite-Lived Intangible Assets [Line Items]
Useful Life (Years)	10 years	10 years
Developed technology
Finite-Lived Intangible Assets [Line Items]
Useful Life (Years)	10 years
Finite-Lived Intangible Assets, Net [Abstract]
Gross	$ 69,651
Accumulated Amortization	(5,496)
Translation Adjustment	(804)
Net Book Value	63,351
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (5,496)

Goodwill and Intangible Assets - Amortization Expense Related to Intangible Assets (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2022	$ 13,263
2023	11,695
2024	11,606
2025	11,394
2026	11,348
Thereafter	36,393
Net Book Value	$ 95,699

Investments (Details) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
Investments (Details) - USD ($) $ in Thousands	Nov. 30, 2021	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Mar. 08, 2021	Oct. 27, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Gain on Topgolf investment		$ 252,531	$ 0	$ 0
Investments in golf-related ventures		39,250	111,442
Proceeds from sale of investment in golf-related ventures		19,096	0	0
Purchase of non-controlling interest		0	0	$ 18,538
Topgolf International, Inc
Accounts, Notes, Loans and Financing Receivable [Line Items]
Investments in golf-related ventures			$ 111,442
Full Swing Golf Holdings, Inc.
Accounts, Notes, Loans and Financing Receivable [Line Items]
Investment owned, at fair value		27,740
Proceeds from sale of investment in golf-related ventures		19,096
Other investments		$ 9,250
Five Iron Golf
Accounts, Notes, Loans and Financing Receivable [Line Items]
Purchase of non-controlling interest	$ 30,000
Topgolf International, Inc
Accounts, Notes, Loans and Financing Receivable [Line Items]
Business combination, step acquisition, equity interest in acquiree, including subsequent acquisition, percentage					100.00%
Topgolf International, Inc \| Full Swing Golf Holdings, Inc.
Accounts, Notes, Loans and Financing Receivable [Line Items]
Ownership percentage by noncontrolling owners		20.00%
Topgolf International, Inc \| Topgolf International, Inc
Accounts, Notes, Loans and Financing Receivable [Line Items]
Business combination, step acquisition, equity interest in acquiree, percentage						14.30%
Five Iron Golf \| Five Iron Golf
Accounts, Notes, Loans and Financing Receivable [Line Items]
Ownership percentage by noncontrolling owners		20.00%

Joint Venture (Details) $ in Thousands, ¥ in Billions	1 Months Ended		12 Months Ended
Joint Venture (Details) $ in Thousands, ¥ in Billions	May 31, 2019 USD ($)	May 31, 2019 JPY (¥)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Jul. 31, 2016 USD ($)
Noncontrolling Interest [Line Items]
Net loss attributable to noncontrolling interests			$ 0	$ 0	$ 179
Callaway Apparel K.K.
Noncontrolling Interest [Line Items]
Payments to acquire interest in joint venture	$ 18,538	¥ 2
Callaway Apparel K.K.
Noncontrolling Interest [Line Items]
Ownership percentage by parent			100.00%	100.00%		52.00%
Ownership percentage by noncontrolling owners						48.00%
Total Callaway Golf Company Shareholders' Equity
Noncontrolling Interest [Line Items]
Noncontrolling interest in joint ventures						$ 10,556
Non-controlling Interest
Noncontrolling Interest [Line Items]
Noncontrolling interest in joint ventures						$ 9,744

Product Warranty - Narrative (Details)	12 Months Ended
Product Warranty - Narrative (Details)	Dec. 31, 2021
Guarantees and Product Warranties [Abstract]
Standard product warranty term	2 years

Product Warranty - Reconciliation of Reserve for Warranty Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Movement in Standard and Extended Product Warranty Accrual, Increase (Decrease) [Roll Forward]
Beginning balance	$ 9,364	$ 9,636	$ 7,610
Provision	9,109	7,926	8,311
Provision liability assumed from acquisition	0	0	2,208
Claims paid/costs incurred	(7,486)	(8,198)	(8,493)
Ending balance	$ 10,987	$ 9,364	$ 9,636

Selected Financial Statement Information (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Inventories:
Finished goods	$ 415,396	$ 281,602
Work in process	1,268	1,010
Raw materials	111,658	69,932
Food and beverage	5,135	0
Inventories	533,457	352,544
Other Current Assets:
Credit card receivables	31,205	2,124
Sales return reserve cost recovery asset	25,947	24,112
VAT/Sales tax receivable	19,519	1,017
Other current assets	42,661	7,911
Other current assets	119,332	35,164
Property, plant and equipment, net:
Land	134,293	7,308
Buildings and leasehold improvements	858,583	100,653
Machinery and equipment	204,269	137,026
Furniture, computer hardware and equipment	211,164	100,558
Internal-use software	81,616	42,082
Production molds	7,979	6,809
Construction-in-process	286,658	13,299
Property, plant and equipment, gross	1,784,562	407,735
Accumulated depreciation	(333,160)	(261,240)
Property, plant and equipment, net	1,451,402	146,495
Accounts payable and accrued expenses:
Accounts payable	138,677	66,282
Accrued expenses	226,840	136,277
Accrued inventory	125,659	73,650
Accounts payable and accrued expenses	491,176	276,209
Accrued employee compensation and benefits:
Accrued payroll and taxes	100,842	17,009
Accrued vacation and sick pay	21,798	12,887
Accrued commissions	6,227	1,041
Accrued employee compensation and benefits	$ 128,867	$ 30,937

Income Taxes - Income (Loss) Before Income Tax Provision (Benefit) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Income Tax Disclosure [Abstract]
United States	$ 295,322	$ 68,916	$ 55,352
Foreign	55,320	(196,394)	40,417
Income (loss) before income taxes	$ 350,642	$ (127,478)	$ 95,769

- Definition

Amount of income (loss) from continuing operations, including income (loss) from equity method investments, before deduction of income tax expense (benefit), and income (loss) attributable to noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (f)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 940
-SubTopic 20
-Section 25
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=123384075&loc=d3e41242-110953

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(10))
-URI http://asc.fasb.org/extlink&oid=123367319&loc=SL114868664-224227

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(8))
-URI http://asc.fasb.org/extlink&oid=120400993&loc=SL114874131-224263

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 235
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-05(b)(2))
-URI http://asc.fasb.org/extlink&oid=120399901&loc=d3e537907-122884

Reference 9: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 220
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(15))
-URI http://asc.fasb.org/extlink&oid=120399700&loc=SL114874048-224260

+ Details

Income Taxes - Expense (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Current tax provision:
Federal	$ 2,916	$ 1,665	$ 1,022
State	2,267	1,467	1,403
Foreign	14,643	5,385	9,933
Current tax provision (benefit)	19,826	8,517	12,358
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract]
Federal	11,032	8,579	10,185
State	7,146	5,166	335
Foreign	(9,350)	(22,806)	(6,338)
Deferred tax expense (benefit)	8,828	(9,061)	4,182
Income tax provision (benefit)	$ 28,654	$ (544)	$ 16,540

Income Taxes - Narrative (Details) € in Thousands		12 Months Ended
Income Taxes - Narrative (Details) € in Thousands	Mar. 08, 2021 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)	Jan. 04, 2019 USD ($)	Jan. 04, 2019 EUR (€)	Dec. 31, 2018 USD ($)
Schedule Of Income Tax [Line Items]
Deferred tax assets, other		$ 72,768,000	$ 53,163,000
Deferred tax asset, provisional income tax expense (benefit)		521,201,000
Goodwill and trade name impairment		0	174,269,000	$ 0
Change in net deferred taxes		143,534,000
Liability for income taxes associated with uncertain tax positions		26,648,000	28,302,000	25,993,000			$ 11,832,000
Tax benefits associated with potential transfer pricing adjustments		5,273,000
Tax benefits associated with state income taxes and other timing adjustments		10,359,000
Net amount of unrecognized tax benefit related to uncertain tax positions that would impact, if recognized, effective income tax rate		11,016,000
Interest and penalties expense (benefit) related to income tax matters		(555,000)	437,000	$ 9,000
Income tax accrued for payment of interest and penalties		3,206,000	$ 1,232,000
Undistributed earnings		180,218,000
Accrued impact for jurisdictions not permanently reinvested		2,300,000
California (U.S.)
Schedule Of Income Tax [Line Items]
Deferred tax assets, operating loss carryforwards, subject to expiration		67,000,000
Tax credit carryforwards		25,786,000
U.S. Federal
Schedule Of Income Tax [Line Items]
Tax credit carryforwards		56,134,000
Topgolf International, Inc
Schedule Of Income Tax [Line Items]
Business combination, consideration transferred excluding equity interest issued and issuable	$ 3,014,174,000
Deferred tax liabilities, intangible assets	250,000,000
Deferred tax assets, other	118,000,000
Cash	$ 171,294,000
Income tax accrued for payment of interest and penalties		2,529,000
Jack Wolfskin
Schedule Of Income Tax [Line Items]
Deferred tax liabilities, intangible assets					$ 88,462,000
Deferred tax assets, other					11,384,000
Cash					$ 58,096,000	€ 50,984
Goodwill and trade name impairment		174,269,000
Jack Wolfskin \| Finite-Lived Intangible Assets
Schedule Of Income Tax [Line Items]
Deferred tax liability, period increase (decrease)		$ (7,900,000)

Income Taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Deferred tax assets:
Operating loss carryforwards	$ 149,895	$ 26,919
Tax credit carryforwards	64,250	49,525
ASC Topic 842 lease liability	396,378	52,785
Deemed landlord financing	115,060	0
Other	(72,768)	(53,163)
Total deferred tax assets	798,351	182,392
Valuation allowance for deferred tax assets	(120,499)	(21,032)
Deferred tax assets, net of valuation allowance	677,852	161,360
Deferred tax liabilities:
Basis difference related to fixed assets	105,532	0
Basis difference related to intangible assets with an indefinite life	(331,130)	(100,062)
ASC Topic 842 ROU assets	(375,697)	(49,910)
Other	(7,920)	(10,281)
Total deferred tax liabilities	(820,279)	(160,253)
Net deferred tax assets (liabilities) are shown on the accompanying consolidated balance sheets as follows:
Non-current deferred tax assets	21,164	59,735
Non-current deferred tax liabilities	(163,591)	(58,628)
Net deferred tax (liabilities)/ assets	$ (142,427)
Net deferred tax (liabilities)/ assets		$ 1,107

Income Taxes - Expiry Dates of Federal and State Income Tax Credit Carryforwards (Details) $ in Thousands	Dec. 31, 2021 USD ($)
U.S. Federal
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	$ 56,134
California (U.S.)
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	25,786
U.S. foreign tax credit \| U.S. Federal
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	3,165
U.S. research tax credit \| U.S. Federal
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	26,568
U.S. business tax credits \| U.S. Federal
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	26,401
State investment tax credits \| California (U.S.)
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	2,028
State research tax credits - definite lived \| California (U.S.)
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	1,563
State research tax credits - indefinite lived \| California (U.S.)
Tax Credit Carryforward [Line Items]
Tax credit carryforwards	$ 22,195

Income Taxes - Net Operating Losses Carryforwards Expire (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Income Tax Disclosure [Abstract]
U.S. loss carryforwards - definite lived	$ 181,549
U.S. interest expense carryforwards - indefinite lived	12,910
U.S. loss carryforwards - indefinite lived	213,743
State loss carryforwards	$ 269,930

Income Taxes - Reconciliation of Effective Tax Rate on Income or Loss and Statutory Tax Rate (Details)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Statutory U.S. tax rate	21.00%	21.00%	21.00%
State income taxes, net of U.S. tax benefit	2.10%	(4.10%)	1.60%
Foreign income taxed at other than U.S. statutory rate	(3.30%)	7.00%	(5.00%)
Federal tax credits	(2.00%)	2.80%	(3.50%)
Goodwill impairment	0.00%	(24.50%)	0.00%
Revaluation of Callaway stock attributable to Topgolf merger	(15.10%)	0.00%	0.00%
Other non-deductible expenses	0.70%	(1.70%)	1.20%
Non-deductible compensation	1.40%	(0.70%)	1.50%
Stock compensation excess tax benefits	(1.60%)	1.40%	(1.50%)
Foreign derived intangible income deduction	(2.10%)	1.10%	(3.20%)
Impact of uncertain tax positions	(2.20%)	(1.60%)	3.70%
Change in deferred tax valuation allowance	7.80%	(0.70%)	0.20%
Other	1.50%	0.40%	1.30%
Effective tax rate	8.20%	0.40%	17.30%

Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance at beginning of period	$ 28,302	$ 25,993	$ 11,832
Additions based on tax positions related to the current year	1,727	3,119	3,224
Additions for tax positions of prior years	526	474	593
Reductions for tax positions of prior years	(936)	(186)	(174)
Settlement of tax audits	(2,665)	0	(7)
Current year acquisitions	6,740	0	11,006
Reductions due to lapsed statute of limitations	(7,046)	(1,098)	(481)
Balance at end of period	$ 26,648	$ 28,302	$ 25,993

Commitments & Contingencies - Narrative (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($)
Long-term Purchase Commitment [Line Items]
Unconditional purchase obligations	$ 71,853
Topgolf International, Inc
Long-term Purchase Commitment [Line Items]
Minimum capital commitment	66,000
Standby Letters of Credit
Long-term Purchase Commitment [Line Items]
Loss contingency accrual	$ 11,484
Minimum
Long-term Purchase Commitment [Line Items]
Unrecorded unconditional purchase obligation, term	1 year
Maximum
Long-term Purchase Commitment [Line Items]
Unrecorded unconditional purchase obligation, term	5 years

Commitments & Contingencies - Future Purchase Commitments (Details) $ in Thousands	Dec. 31, 2021 USD ($)
Commitments and Contingencies Disclosure [Abstract]
2022	$ 33,883
2023	31,031
2024	6,639
2025	200
2026	100
Unconditional purchase obligations	$ 71,853

Capital Stock (Details) - USD ($)	3 Months Ended	12 Months Ended
Capital Stock (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Schedule Of Components Of Common Stock [Line Items]
Authorized capital, shares (in shares)	363,000,000	363,000,000
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	360,000,000	360,000,000	360,000,000
Preferred stock, shares authorized (in shares)	3,000,000	3,000,000	3,000,000
Acquisition of treasury stock		$ 38,137,000	$ 22,213,000	$ 28,073,000
Seriesa Junior Participating Preferred
Schedule Of Components Of Common Stock [Line Items]
Preferred stock, shares authorized (in shares)	240,000	240,000
2021 Repurchase Program
Schedule Of Components Of Common Stock [Line Items]
Stock repurchase program, authorized amount	$ 50,000,000	$ 50,000,000
Amount remaining under repurchase authorization	$ 25,000,000	$ 25,000,000
Shares withheld for tax withholding obligation (in shares)		433,505
Shares withheld for tax withholding obligation		$ 13,471,000
Treasury Stock
Schedule Of Components Of Common Stock [Line Items]
Acquisition of treasury stock (in shares)		1,380,000	1,181,000	1,690,000
Acquisition of treasury stock		$ 38,490,000	$ 22,213,000	$ 28,073,000
Treasury Stock \| 2021 Repurchase Program
Schedule Of Components Of Common Stock [Line Items]
Acquisition of treasury stock (in shares)	946,600
Stock repurchased, average cost per share (in dollars per share)		$ 26.41
Acquisition of treasury stock	$ 25,000,000

Stock Plans and Share-Based Compensation - Narrative (Details) $ / shares in Units, $ in Thousands		12 Months Ended
	Mar. 08, 2021 USD ($) plan $ / shares shares	Dec. 31, 2021 USD ($) plan $ / shares shares	Dec. 31, 2020 USD ($) $ / shares shares	Dec. 31, 2019 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shareholder approved stock plans \| plan		2
Authorized (in shares)		35,300,000
Granted (in shares)		3,168,000	0	0
Options outstanding (in shares)		1,988,000	598,000
Exercisable at end of period (in shares)		1,552,000
Compensation expense related to stock options \| $		$ 2,625	$ 0	$ 0
Total intrinsic value for options exercised \| $		26,344	566	792
Exercise of stock options \| $		22,270	248	368
Compensation expense related to restricted stock \| $		13,981	6,417	6,098
Compensation expense, net of forfeitures \| $		$ 38,685	$ 10,927	$ 12,896
Topgolf International, Inc
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Business combination, number of equity compensation plans assumed \| plan	2
Business combination, consideration transferred, share-based compensation \| $	$ 33,051
Business combination, consideration converted, share-based compensation (in shares)	188,000
2004 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized (in shares)		33,000,000
2013 Directors Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized (in shares)		1,000,000
2021 Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized (in shares)		1,300,000
Replacement Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Converted shares in connection with acquisition (in shares)	3,168,000
Converted in connection with acquisition \| $	$ 5,343
Converted in connection with acquisition \| $	$ 4,794
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense related to non-vested shares granted \| $		$ 2,088
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense related to non-vested shares granted \| $		$ 27,776
Granted (in dollars per unit) \| $ / shares		$ 29.60	$ 17.84	$ 15.63
Vested in period, fair value \| $		$ 6,516	$ 5,959	$ 6,263
Unrecognized compensation expense expected recognition period		1 year 9 months 18 days
Performance Share Units Granted (in units)		1,154,000
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense related to non-vested shares granted \| $		$ 2,171
Granted (in dollars per unit) \| $ / shares		$ 28.74
Compensation expense related to restricted stock \| $		$ 2,356	0	0
Grants in period, fair value \| $		$ 847
Unrecognized compensation expense expected recognition period		1 year 7 months 6 days
Performance Share Units Granted (in units)		188,000
Performance Shares, Inducement Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares		$ 29.38
Performance Share Units Granted (in units)		1,129,000
Performance Shares, Inducement Awards \| Topgolf International, Inc
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares		$ 29.52
Performance Share Units Granted (in units)		1,063,000
APTI Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares		$ 29.56
Performance Share Units Granted (in units)		155,000
APTI Performance Shares \| Topgolf International, Inc
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares		$ 29.52
Performance Share Units Granted (in units)		43,000
Performance shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense related to non-vested shares granted \| $		$ 45,742
Granted (in dollars per unit) \| $ / shares		$ 30.35
Vested in period, fair value \| $		$ 8,242	7,242	6,708
Unrecognized compensation expense expected recognition period		1 year 10 months 24 days
Performance Share Units Granted (in units)		1,440,000
Compensation expense, net of forfeitures \| $		$ 19,723	$ 4,511	$ 6,796
Performance Shares Including Shares Subject Total Shareholder Return
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares		$ 38.23	$ 23.22	$ 16.96
Performance Share Units Granted (in units)		156,000	125,000	149,000
Performance Shares Including Shares Subject Total Shareholder Return \| Topgolf International, Inc
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares	$ 37.40
Performance Share Units Granted (in units)	43,000
Performance Share Units with Total Shareholder Return Conditions
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per unit) \| $ / shares			$ 19.66	$ 15.17
Performance Share Units Granted (in units)		0	125,000	226,000
2004 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares per employee (in shares)		2,000,000
2013 Directors Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares per employee (in shares)		50,000

Stock Plans and Share-Based Compensation - Shares Authorized, Available for Future Grant and Outstanding Under Each Plans (Details)	12 Months Ended
	Dec. 31, 2021 shares
Equity Incentive Plan [Line Items]
Authorized (in shares)	35,300,000
Available (in shares)	5,558,000
Outstanding (in shares)	5,531,000
Accrued incremental dividend equivalent rights (in shares)	1,384
2004 Incentive Plan
Equity Incentive Plan [Line Items]
Authorized (in shares)	33,000,000
Available (in shares)	4,736,000
Outstanding (in shares)	2,776,000
2013 Directors Plan
Equity Incentive Plan [Line Items]
Authorized (in shares)	1,000,000
Available (in shares)	512,000
Outstanding (in shares)	48,000
2021 Inducement Plan
Equity Incentive Plan [Line Items]
Authorized (in shares)	1,300,000
Available (in shares)	310,000
Outstanding (in shares)	774,000
Topgolf Equity Compensation Plans and Option Agreement
Equity Incentive Plan [Line Items]
Authorized (in shares)	0
Available (in shares)	0
Outstanding (in shares)	1,933,000

Stock Plans and Share-Based Compensation - Stock Option Activities (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Number of Shares
Balance at beginning of period (in shares)	598
Granted (in shares)	3,168	0	0
Exercised (in shares)	(1,436)
Forfeited (in shares)	(110)
Expired (in shares)	(232)
Balance at end of period (in shares)	1,988	598
Vested and expected to vest at end of period (in shares)	1,979
Exercisable at end of period (in shares)	1,552
Weighted- Average Exercise Price Per Share
Balance at beginning of period (in dollars per share)	$ 6.52
Granted (in dollars per share)	25.93
Exercised (in dollars per share)	15.52
Forfeited (in dollars per share)	33.42
Expired (in dollars per share)	30.93
Balance at end of period (in dollars per share)	26.60	$ 6.52
Vested and expected to vest at end of period (in dollars per share)	26.57
Exercisable at end of period (in dollars per share)	$ 24.81
Weighted- Average Remaining Contractual Term
Outstanding balance at end of period	5 years 2 months 19 days
Vested and expected to vest in the future at end of period	5 years 2 months 15 days
Exercisable at end of period	4 years 7 months 13 days
Aggregate Intrinsic Value
Outstanding balance at end of period	$ 7,380
Vested and expected to vest in the future at end of period	7,380
Exercisable at end of period	$ 7,380
Range of Option Prices, Minimum	$ 6.52
Range of Option Prices, Maximum	$ 35.14

Stock Plans and Share-Based Compensation - Summary of Fair Value Assumptions (Details)	Mar. 08, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	3 years 8 months 12 days
Volatility, minimum	43.00%
Volatility, maximum	85.40%
Volatility	55.10%
Risk free interest rate, minimum	0.10%
Risk free interest rate, maximum	1.30%
Risk-free interest rate	0.60%
Dividend yield	0.00%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	3 months 18 days
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term (in years)	7 years 1 month 6 days

Stock Plans and Share-Based Compensation - Roll-Forward of Activity for Restricted Stock Units (Details) - $ / shares	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Weighted Average Grant Date Fair Value
Accrued incremental dividend equivalent rights (in shares)	1,384
Restricted Stock Units
Units
Unvested balance at beginning of period (in units)	900,000
Granted (in units)	1,154,000
Vested (in units)	(432,000)
Forfeited (in units)	(41,000)
Unvested balance at end of period (in units)	1,581,000	900,000
Weighted Average Grant Date Fair Value
Unvested balance at beginning of period (in dollars per unit)	$ 15.83
Granted (in dollars per unit)	29.60	$ 17.84	$ 15.63
Vested (in dollars per units)	15.07
Forfeited (in dollars per unit)	27.50
Unvested balance at end of period (in dollars per unit)	$ 25.79	$ 15.83

Stock Plans and Share-Based Compensation - Roll-Forward of Activity for Restricted Stock Awards (Details) - Restricted Stock shares in Thousands	12 Months Ended
	Dec. 31, 2021 $ / shares shares
Units
Unvested balance at beginning of period (in units) \| shares	0
Granted (in units) \| shares	188
Vested (in units) \| shares	(29)
Forfeited (in units) \| shares	(11)
Unvested balance at end of period (in units) \| shares	148
Weighted Average Grant Date Fair Value
Unvested balance at beginning of period (in dollars per unit) \| $ / shares	$ 0
Granted (in dollars per unit) \| $ / shares	28.74
Vested (in dollars per units) \| $ / shares	29.52
Forfeited (in dollars per unit) \| $ / shares	16.63
Unvested balance at end of period (in dollars per unit) \| $ / shares	$ 29.52

Stock Plans and Share-Based Compensation - Roll-Forward of Activity for Performance Share Units (Details) - Performance shares - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2018
Units
Unvested balance at beginning of period (in units)	835
Performance Share Units Granted (in units)	1,440
Target Award Adjustment (in units)	279
Vested (in units)	(557)
Forfeited (in units)	(36)
Unvested balance at end of period (in units)	1,961
Weighted- Average Grant-Date Fair Value
Unvested balance at beginning of period (in dollars per unit)	$ 17.08
Performance Share Units Granted (in dollars per unit)	30.35
Target Award Adjustment (in dollars per unit)	14.80
Vested (in dollars per units)	14.80
Forfeited (in dollars per unit)	25.77
Unvested balance at end of period (in dollars per unit)	$ 27.00
Shares awarded as a percentage of granted	100.00%	200.00%

Stock Plans and Share-Based Compensation - Share-Based Compensation Related to Employees and Directors (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total cost of share-based compensation included in income, before income tax	$ 38,685	$ 10,927	$ 12,896
Income tax benefit	8,898	2,513	2,966
Total cost of employee share-based compensation, after tax	29,787	8,414	9,930
Cost of products
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total cost of share-based compensation included in income, before income tax	1,219	763	961
Selling, general and administrative expenses
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total cost of share-based compensation included in income, before income tax	36,524	9,326	10,955
Research and development expenses
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total cost of share-based compensation included in income, before income tax	$ 942	$ 838	$ 980

Employee Benefit Plan (Details) - USD ($)	12 Months Ended
Employee Benefit Plan (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Callaway Golf 401(k) Plan
Defined Contribution Plan Disclosure [Line Items]
Maximum employee contribution to defined contribution benefit plans	75.00%
Employer matching contribution, percentage	50.00%
Employer matching contribution, percentage of employees' gross pay	6.00%
Defined contribution plan, maximum matching contributions per employee, percent	3.00%
Defined contribution plan employee vesting percentage	100.00%
Defined contribution plan employer vesting percentage	50.00%
Number of years of service required to vest in full	2 years
Employer contribution towards compensation plan	$ 3,261,000	$ 1,103,000	$ 2,719,000
Topgolf 401(k) Plan
Defined Contribution Plan Disclosure [Line Items]
Maximum employee contribution to defined contribution benefit plans	80.00%
Defined contribution plan employee vesting percentage	100.00%
Defined contribution plan employer vesting percentage	25.00%
Number of years of service required to vest in full	4 years
Employer contribution towards compensation plan	$ 2,655,000
Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche One
Defined Contribution Plan Disclosure [Line Items]
Defined contribution plan, maximum matching contributions per employee, percent	3.00%
Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche Two
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage	50.00%
Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche Two \| Maximum
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage of employees' gross pay	6.00%
2022 Topgolf 401(k) Plan
Defined Contribution Plan Disclosure [Line Items]
Defined contribution plan, maximum matching contributions per employee, percent	4.00%
Defined contribution plan employee vesting percentage	100.00%
Immediate employee vesting percentage	100.00%
2022 Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche One
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage	100.00%
Employer matching contribution, percentage of employees' gross pay	3.00%
2022 Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche Two
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage	50.00%
2022 Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche Two \| Minimum
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage of employees' gross pay	3.00%
2022 Topgolf 401(k) Plan \| Defined Contribution Plan, Tranche Two \| Maximum
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution, percentage of employees' gross pay	5.00%

Fair Value of Financial Instruments - Foreign Currency Exchange Contracts Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Foreign currency forward contracts, net	$ (8,556)	$ (19,385)
Foreign Currency Forward Contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Asset position	339	90
Liability position	(216)	(1,553)
Interest Rate Swap
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Liability position	(8,679)	(17,922)
Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Foreign currency forward contracts, net	0	0
Level 1 \| Foreign Currency Forward Contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Asset position	0	0
Liability position	0	0
Level 1 \| Interest Rate Swap
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Liability position	0	0
Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Foreign currency forward contracts, net	(8,556)	(19,385)
Level 2 \| Foreign Currency Forward Contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Asset position	339	90
Liability position	(216)	(1,553)
Level 2 \| Interest Rate Swap
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Liability position	(8,679)	(17,922)
Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Foreign currency forward contracts, net	0	0
Level 3 \| Foreign Currency Forward Contracts
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Asset position	0	0
Liability position	0	0
Level 3 \| Interest Rate Swap
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Liability position	$ 0	$ 0

Fair Value of Financial Instruments - Fair Value Relating to Financial Assets and Liabilities (Details)	Dec. 31, 2021 USD ($)	Dec. 31, 2021 JPY (¥)	Mar. 08, 2021 USD ($)	Dec. 31, 2020 USD ($)	Aug. 31, 2020 USD ($)	Aug. 31, 2020 JPY (¥)	May 31, 2020
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 1,044,335,000			$ 665,289,000
Japan Term Loan Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt instrument, face amount	13,031,000	¥ 1,500,000,000
Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Convertible notes	258,750,000			258,750,000
Carrying Value \| ABL Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Lines of credit	9,096,000			22,130,000
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Convertible notes	444,351,000			414,191,000
Fair Value \| ABL Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Lines of credit	$ 9,096,000			22,130,000
Secured Debt \| Japan Term Loan Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt instrument, face amount					$ 17,374,000	¥ 2,000,000,000
Secured Debt \| Topgolf Term Loan
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt instrument, face amount			$ 350,000,000
Debt instrument, interest rate, stated percentage	7.00%	7.00%
Secured Debt \| Carrying Value \| Term Loan B Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	$ 436,800,000			441,600,000
Secured Debt \| Carrying Value \| Japan Term Loan Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	13,031,000			18,390,000
Secured Debt \| Carrying Value \| Equipment Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	31,137,000			31,822,000
Secured Debt \| Carrying Value \| Topgolf Term Loan
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	340,375,000			0
Secured Debt \| Fair Value \| Term Loan B Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	437,499,000			443,243,000
Secured Debt \| Fair Value \| Japan Term Loan Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	12,185,000			16,083,000
Secured Debt \| Fair Value \| Equipment Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt	30,167,000			29,385,000
Secured Debt \| Fair Value \| Topgolf Term Loan
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	346,076,000			0
Loans Payable \| Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	46,407,000			0
Loans Payable \| Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	$ 52,349,000			$ 0
Senior Notes \| Convertible Notes
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt instrument, interest rate, stated percentage							2.75%

Fair Value of Financial Instruments - Narrative (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Goodwill, impaired, accumulated impairment loss	$ 148,375,000	$ 148,375,000
Impairment of intangible assets (excluding goodwill)	0		$ 0
Goodwill, impairment loss	$ 0		$ 0
Trade name, trademark and trade dress and other
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Impairment of intangible assets (excluding goodwill)		$ 25,894,000

Derivatives and Hedging - Summary of Fair Value of Derivative Instruments by Contract Type and Location of Asset and/or Liability on Consolidated Condensed Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2021	Dec. 31, 2020
Derivatives, Fair Value [Line Items]
Derivative asset, fair value, gross asset including not subject to matter netting arrangement	$ 339	$ 90
Derivative liability, fair value, gross liability including not subject to master netting arrangement	8,895	19,475
Not Designated as Hedging Instrument \| Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, fair value, gross asset including not subject to matter netting arrangement	211	53
Not Designated as Hedging Instrument \| Foreign Exchange Forward \| Accounts payable and accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liability, fair value, gross liability including not subject to master netting arrangement	209	1,515
Cash Flow Hedging \| Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Derivative liability, fair value, gross liability including not subject to master netting arrangement	8,686	17,960
Cash Flow Hedging \| Designated as Hedging Instrument \| Foreign Exchange Forward \| Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, fair value, gross asset including not subject to matter netting arrangement	128	37
Cash Flow Hedging \| Designated as Hedging Instrument \| Foreign Exchange Forward \| Accounts payable and accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liability, fair value, gross liability including not subject to master netting arrangement	7	38
Cash Flow Hedging \| Designated as Hedging Instrument \| Interest Rate Swap \| Accounts payable and accrued expenses
Derivatives, Fair Value [Line Items]
Derivative liability, fair value, gross liability including not subject to master netting arrangement	4,072	4,780
Cash Flow Hedging \| Designated as Hedging Instrument \| Interest Rate Swap \| Other Noncurrent Liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, fair value, gross liability including not subject to master netting arrangement	$ 4,607	$ 13,142

Derivatives and Hedging - Forward Currency Forward Contracts (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Derivative [Line Items]
Minimum length of time, foreign currency cash flow hedge	12 months
Maximum maturity for foreign currency cash flow hedge	15 months
Net gain in accumulated other comprehensive loss related to foreign currency forward contracts	$ 6,846,000	$ 2,956,000	$ 2,811,000
Forward points amortized on derivatives	86,000
Designated as Hedging Instrument \| Cash Flow Hedging
Derivative [Line Items]
Net gain in accumulated other comprehensive loss related to foreign currency forward contracts	6,846,000	2,956,000	2,811,000
Settlement of cross-currency swap contract	(3,129,000)	15,686,000	8,396,000
Foreign Currency Forward Contracts \| Designated as Hedging Instrument
Derivative [Line Items]
Derivative instrument, notional amount	3,335,000	756,000
Foreign Exchange Forward
Derivative [Line Items]
Forward points amortized on derivatives	0
Foreign Exchange Forward \| Cost of Goods Sold
Derivative [Line Items]
Settlement of cross-currency swap contract		756,000	398,000
Foreign Exchange Forward \| Designated as Hedging Instrument
Derivative [Line Items]
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months, net	471,000
Foreign Exchange Forward \| Designated as Hedging Instrument \| Cash Flow Hedging
Derivative [Line Items]
Net gain in accumulated other comprehensive loss related to foreign currency forward contracts	2,440,000	756,000	1,033,000
Settlement of cross-currency swap contract	$ 1,700,000	$ 1,028,000	$ 1,165,000

Derivatives and Hedging - Interest Rate Hedge Contract and Cross-Currency Debt Swap (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Derivative [Line Items]
Change in derivative instruments	$ 6,846	$ 2,956	$ 2,811
Designated as Hedging Instrument \| Cash Flow Hedging
Derivative [Line Items]
Settlement of cross-currency swap contract	(3,129)	15,686	8,396
Change in derivative instruments	6,846	2,956	2,811
Currency Swap \| Designated as Hedging Instrument \| Cash Flow Hedging
Derivative [Line Items]
Settlement of cross-currency swap contract	0	18,510	7,783
Change in derivative instruments	0	15,081	11,212
Currency Swap \| Other income (expense)
Derivative [Line Items]
Settlement of cross-currency swap contract	0	11,046	0
Other comprehensive income (loss), foreign currency transaction and translation gain (loss) arising during period, net of tax		5,735
Currency Swap \| Interest Income
Derivative [Line Items]
Settlement of cross-currency swap contract		1,730
Currency and Interest Rate Swap Agreements \| Designated as Hedging Instrument
Derivative [Line Items]
Derivative instrument, notional amount	194,346	196,350
Interest Rate Swap \| Designated as Hedging Instrument \| Cash Flow Hedging
Derivative [Line Items]
Settlement of cross-currency swap contract	(4,829)	(3,852)	(552)
Change in derivative instruments	4,406	$ (12,881)	$ (9,434)
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months, net	$ (4,072)

Derivatives and Hedging - Location of Gains in Consolidated Condensed Statements of Operations that were Recognized and Derivative Contract Type (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Derivative Instruments, Gain (Loss) [Line Items]
Change in derivative instruments	$ 6,846	$ 2,956	$ 2,811
Foreign currency forward contract gain, net	14,413	2,910	6,947
Other income (expense)
Derivative Instruments, Gain (Loss) [Line Items]
Foreign currency forward contract gain, net	14,413	2,156	4,176
Cash Flow Hedging \| Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Change in derivative instruments	6,846	2,956	2,811
Settlement of cross-currency swap contract	(3,129)	15,686	8,396
Foreign Exchange Forward \| Cash Flow Hedging \| Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Change in derivative instruments	2,440	756	1,033
Settlement of cross-currency swap contract	1,700	1,028	1,165
Currency Swap \| Other income (expense)
Derivative Instruments, Gain (Loss) [Line Items]
Settlement of cross-currency swap contract	0	11,046	0
Currency Swap \| Cash Flow Hedging \| Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Change in derivative instruments	0	15,081	11,212
Settlement of cross-currency swap contract	0	18,510	7,783
Interest Rate Swap \| Cash Flow Hedging \| Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Change in derivative instruments	4,406	(12,881)	(9,434)
Settlement of cross-currency swap contract	$ (4,829)	$ (3,852)	$ (552)

Derivatives and Hedging - Foreign Currency Forward Contracts Not Designated as Hedging Instruments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Derivative [Line Items]
Maximum maturity for foreign currency derivatives	12 months
Foreign currency gains (losses)	$ (6,368)	$ 9,024	$ (5,838)
Foreign Currency Forward Contracts \| Not Designated as Hedging Instrument
Derivative [Line Items]
Derivative instrument, notional amount	$ 67,831	$ 81,627	$ 72,119

Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	$ 675,644	$ 767,353	$ 734,308
Change in derivative instruments	6,846	2,956	2,811
Income tax provision on derivative instruments	(1,557)	2,916	1,275
Foreign currency translation adjustments	(29,215)	25,690	(4,751)
Balance at end of period	3,682,902	675,644	767,353
AOCI Attributable to Parent
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	(6,546)	(22,422)	(13,700)
Foreign currency translation adjustments	(29,215)	25,690	(4,412)
Balance at end of period	(27,343)	(6,546)	(22,422)
Derivative Instruments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	(14,017)	(4,203)	107
Change in derivative instruments	6,846	2,956	2,811
Income tax provision on derivative instruments	(1,557)	2,916	1,275
Foreign currency translation adjustments	0	0	0
Balance at end of period	(5,599)	(14,017)	(4,203)
Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	7,471	(18,219)	(13,807)
Change in derivative instruments	0	0	0
Income tax provision on derivative instruments	0	0	0
Foreign currency translation adjustments	(29,215)	25,690	(4,412)
Balance at end of period	(21,744)	7,471	(18,219)
Total Callaway Golf Company Shareholders' Equity
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Balance at beginning of period	675,644	767,353	724,574
Foreign currency translation adjustments	(29,215)	25,690	(4,412)
Balance at end of period	3,682,902	675,644	767,353
Cost of Goods Sold
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	(1,700)	(1,028)	(1,165)
Cost of Goods Sold \| Derivative Instruments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	(1,700)	(1,028)	(1,165)
Cost of Goods Sold \| Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	0	0	0
Other Income (Expense)
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	0	(16,780)	(2,756)
Other Income (Expense) \| Derivative Instruments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	0	(16,780)	(2,756)
Other Income (Expense) \| Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	0	0
Interest Expense
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	4,829	2,122	(4,475)
Interest Expense \| Derivative Instruments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	4,829	2,122	(4,475)
Interest Expense \| Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Other comprehensive income (loss), cash flow hedge, gain (loss), reclassification, before tax	$ 0	$ 0

Segment Information - Narrative (Details)	12 Months Ended
Segment Information - Narrative (Details)	Dec. 31, 2021 segment
Segment Reporting [Abstract]
Number of reportable segments	3
Number of operating segments	3

Segment Information - Information Utilized by Management to Evaluate Operating Segments (Details) - USD ($)	3 Months Ended								12 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Mar. 08, 2021	Jan. 04, 2019
Segment Reporting Information [Line Items]
Total net revenues	$ 711,724,000	$ 856,461,000	$ 913,641,000	$ 651,621,000	$ 374,629,000	$ 475,559,000	$ 296,996,000	$ 442,276,000	$ 3,133,447,000	$ 1,589,460,000	$ 1,701,063,000
Goodwill and trade name impairment									0	(174,269,000)	0
Total operating income (loss)	(54,663,000)	$ 76,010,000	$ 107,269,000	$ 76,099,000	(32,255,000)	$ 63,509,000	$ (177,449,000)	$ 40,680,000	204,715,000	(105,515,000)	132,668,000
Gain on Topgolf investment									252,531,000	0	0
Interest expense, net									(115,565,000)	(46,932,000)	(38,493,000)
Other income, net									8,961,000	24,969,000	1,594,000
Income (loss) before income taxes									350,642,000	(127,478,000)	95,769,000
Identifiable assets	7,747,780,000				1,980,600,000				7,747,780,000	1,980,600,000
Additions to long-lived assets									338,466,000	46,930,000
Goodwill	1,960,070,000				56,658,000				1,960,070,000	56,658,000
Depreciation and amortization									155,822,000	39,508,000	34,951,000
Goodwill, period increase (decrease)									1,903,412,000
Topgolf International, Inc
Segment Reporting Information [Line Items]
Goodwill												$ 1,903,883,000
Goodwill, period increase (decrease)									1,903,400,000
Jack Wolfskin
Segment Reporting Information [Line Items]
Goodwill and trade name impairment									(174,269,000)
Goodwill													$ 150,180,000
Business acquisition, transaction costs											9,987,000
Operating Segments
Segment Reporting Information [Line Items]
Income (loss) before income taxes									330,582,000	149,257,000	215,806,000
Total operating income (loss)									204,715,000	(105,515,000)	132,668,000
Operating Segments \| Jack Wolfskin
Segment Reporting Information [Line Items]
Goodwill and trade name impairment										(174,300,000)
Reconciling items
Segment Reporting Information [Line Items]
Corporate G&A and other									(125,867,000)	(80,503,000)	(83,138,000)
Goodwill and trade name impairment									0	(174,269,000)	0
Identifiable assets	889,714,000				744,785,000				889,714,000	744,785,000
Noncash or part noncash, intangible assets acquired									22,300,000
Costs for relocating distribution center										3,700,000
Severance costs										3,800,000
Increase (decrease) in operating assets									144,900,000
Increase (decrease) in other current assets									84,200,000
Increase (decrease) in prepaid expense									33,900,000
Reconciling items \| Topgolf International, Inc
Segment Reporting Information [Line Items]
Business acquisition, transaction costs												$ 21,200,000
Other nonrecurring expense										8,500,000
Reconciling items \| Jack Wolfskin
Segment Reporting Information [Line Items]
Business acquisition, transaction costs											26,400,000
Other nonrecurring expense									2,800,000	1,500,000
Topgolf
Segment Reporting Information [Line Items]
Total net revenues									1,087,671,000
Goodwill	1,340,663,000				0				1,340,663,000	0
Topgolf \| Operating Segments
Segment Reporting Information [Line Items]
Total net revenues									1,087,671,000	0	0
Income (loss) before income taxes									58,225,000	0	0
Identifiable assets	4,909,968,000				0				4,909,968,000	0
Additions to long-lived assets									286,813,000	0
Goodwill	1,340,663,000				0				1,340,663,000	0
Depreciation and amortization									114,618,000	0
Golf Equipment
Segment Reporting Information [Line Items]
Total net revenues									1,229,175,000	982,675,000	979,173,000
Goodwill	531,122,000				27,025,000				531,122,000	27,025,000
Golf Equipment \| Operating Segments
Segment Reporting Information [Line Items]
Total net revenues									1,229,175,000	982,675,000	979,173,000
Income (loss) before income taxes									203,846,000	148,578,000	140,316,000
Identifiable assets	1,107,632,000				481,214,000				1,107,632,000	481,214,000
Additions to long-lived assets									30,657,000	25,695,000
Goodwill	531,122,000				27,025,000				531,122,000	27,025,000
Depreciation and amortization									14,073,000	19,212,000
Apparel, Gear & Other
Segment Reporting Information [Line Items]
Total net revenues									816,601,000	606,785,000	721,890,000
Goodwill	88,285,000				29,633,000				88,285,000	29,633,000
Apparel, Gear & Other \| Operating Segments
Segment Reporting Information [Line Items]
Total net revenues									816,601,000	606,785,000	721,890,000
Income (loss) before income taxes									68,511,000	679,000	$ 75,490,000
Identifiable assets	840,466,000				754,601,000				840,466,000	754,601,000
Additions to long-lived assets									20,996,000	21,235,000
Goodwill	$ 88,285,000				$ 29,633,000				88,285,000	29,633,000
Depreciation and amortization									$ 27,131,000	$ 20,296,000

Segment Information - Summary of Revenue and Long Lived Assets by Geographical Areas (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Principal Transaction Revenue [Line Items]
Net revenues	$ 711,724	$ 856,461	$ 913,641	$ 651,621	$ 374,629	$ 475,559	$ 296,996	$ 442,276	$ 3,133,447	$ 1,589,460	$ 1,701,063
Long-Lived Assets	1,451,402				146,495				1,451,402	146,495	132,760
United States
Principal Transaction Revenue [Line Items]
Net revenues									2,067,070	778,600	788,232
Long-Lived Assets	1,383,614				116,459				1,383,614	116,459	103,111
Europe
Principal Transaction Revenue [Line Items]
Net revenues									499,533	372,957	428,628
Long-Lived Assets	48,854				17,078				48,854	17,078	19,148
Japan
Principal Transaction Revenue [Line Items]
Net revenues									243,848	212,055	246,260
Long-Lived Assets	7,205				6,028				7,205	6,028	5,655
Rest of World
Principal Transaction Revenue [Line Items]
Net revenues									322,996	225,848	237,943
Long-Lived Assets	$ 11,729				$ 6,930				$ 11,729	$ 6,930	$ 4,846

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

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+ Details

Transactions with Related Party (Details) - USD ($)	12 Months Ended
Transactions with Related Party (Details) - USD ($)	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Related Party Transactions [Abstract]
Charitable contributions made to Callaway Golf Company Foundation	$ 1,000,000	$ 0	$ 750,000

Summarized Quarterly Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Quarterly Financial Information Disclosure [Abstract]
Net revenues	$ 711,724	$ 856,461	$ 913,641	$ 651,621	$ 374,629	$ 475,559	$ 296,996	$ 442,276	$ 3,133,447	$ 1,589,460	$ 1,701,063
Income (loss) from operations	(54,663)	76,010	107,269	76,099	(32,255)	63,509	(177,449)	40,680	204,715	(105,515)	132,668
Net income (loss)	$ (26,226)	$ (15,991)	$ 91,744	$ 272,461	$ (40,576)	$ 52,432	$ (167,684)	$ 28,894	$ 321,988	$ (126,934)	$ 79,408
Earnings (loss) per common share:
Basic (in dollars per share)	$ (0.14)	$ (0.09)	$ 0.50	$ 2.32	$ (0.43)	$ 0.56	$ (1.78)	$ 0.31	$ 1.90	$ (1.35)	$ 0.84
Diluted (in dollars per share)	$ (0.14)	$ (0.09)	$ 0.47	$ 2.19	$ (0.43)	$ 0.54	$ (1.78)	$ 0.30	$ 1.82	$ (1.35)	$ 0.82

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

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