How coronavirus is hurting the golf industry
The coronavirus outbreak will impact Callaway's supply chain
Ken Cuccinelli, who is the acting director of U.S. Citizenship and Immigration Services, discusses the contentious sanctuary city debate between states and the federal government and points to ways America is handling coronavirus.
Shares of Callaway Golf Company took a tumble Tuesday after the business predicted a $25 million revenue hit because of China's coronavirus outbreak.
Callaway shares climbed up roughly 2 percent Wednesday.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| ELY | NO DATA AVAILABLE | - | - | - |
"We have adjusted our forecast down over the last week or so by approximately $25 million in revenue," Callaway CEO Chip Brewer said in Tuesday's earnings call. "This estimate assumes our suppliers' factories get up and running slower than normal but ramp up to some sense of normalcy by the end of the month and the consumer demand in China returns to some set or normalcy by the end of March."
CORONAVIRUS IMPACT ON WORLD ECONOMY UNCERTAIN AMID 'SLUGGISH' GROWTH: IMF CHIEF
Brewer said the coronavirus outbreak will impact Callaway's supply chain, near-term demand for products in China and demand in neighboring markets. The high-end golf equipment and club maker is based in California.
A member of the public takes part in a Callaway golf challenge during Day 1 of the Betfred British Masters at Hillside Golf Club on May 9, 2019, in Southport, United Kingdom. (Jan Kruger/Getty Images)
CORONAVIRUS CAUSING APPLE SUPPLY CHAIN DISRUPTIONS
Other companies have predicted they'll be hurting because of the outbreak. Carnival Corporation warned Wednesday its 2020 financial performance will take a hit if the coronavirus outbreak leads to the temporary suspension of its operations in Asia. Shares rallied following the news.