Net loss in the final quarter expanded to $40,576,000 from a loss of $29,218,000 prior, as sales increased 20% to $374,629,000 from $311,941,000 helped by huge demand for golf equipment and recovering apparel sales. Gross margin was down 460 basis points overall to 37.1%, mostly due to apparel clearance, additional Covid-related costs and air freight to meet equipment demand, with some offsets from e-commerce margins and foreign exchange. SG&A was up 13%, or $18 million, as ELY paid employees back for salaries that were reduced when the pandemic hit, but still leveraged 270 b.p. on the higher sales.

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