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Goodwill and Intangible Assets | 12 Months Ended
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Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Changes in the carrying amount of goodwill by operating and reportable segment are as follows (in millions):
|  | Topgolf |  | Golf Equipment |  | Active Lifestyle |  |  |  | Total
Balance at December 31, 2022 |  | $ | 1,363.6 |  |  | $ | 530.3 |  |  | $ | 89.8 |  |  |  |  |  | $ | 1,983.7 |
Acquisitions |  | 4.4 |  |  | — |  |  | — |  |  |  |  |  | 4.4 |
Foreign currency translation and other |  | — |  |  | 0.4 |  |  | 0.2 |  |  |  |  |  | 0.6 |
Balance at December 31, 2023 |  | $ | 1,368.0 |  |  | $ | 530.7 |  |  | $ | 90.0 |  |  |  |  |  | $ | 1,988.7 |
Acquisitions |  | 4.3 |  |  | — |  |  | — |  |  |  |  |  | 4.3 |
Impairment |  | (1,352.4) |  |  | — |  |  | — |  |  |  |  |  | (1,352.4) |
Disposals |  | (25.5) |  |  | — |  |  | — |  |  |  |  |  | (25.5) |
Foreign currency translation and other |  | 5.6 |  |  | (0.4) |  |  | (0.1) |  |  |  |  |  | 5.1 |
Balance at December 31, 2024 |  | $ | — |  |  | $ | 530.3 |  |  | $ | 89.9 |  |  |  |  |  | $ | 620.2 |
Additions to goodwill during the years ended December 31, 2024 and 2023, respectively, are primarily related to the acquisition of BigShots, which is further described in Note 4. Disposals of goodwill during the year ended December 31, 2024 of $25.5 million are from the sale of our WGT mobile game, which is further described in Note 20. Goodwill Impairment During the fourth quarter of 2024 we conducted our annual assessment of goodwill for all of our reporting units. During our assessment, we determined that the carrying value of the Topgolf reporting unit exceeded its fair value, resulting in the recognition of a goodwill impairment charge $1,352.4 million. The impairment was driven by sustained unfavorable macroeconomic conditions, including elevated inflation and interest rates, which have continued to put downward pressure on consumer and corporate discretionary spending. This trend contributed to declines in same venue sales, which lead to management’s determination during the fourth quarter of 2024 to decrease the number of planned venue openings in the near term as compared to previous projections. The fair value of the Topgolf reporting unit was estimated using a combination of the income approach and market approach methodologies. The income approach involved projecting future cash flows based on our internal forecasts and discounting those cash flows using an appropriate discount rate, while the market approach considered market valuations of comparable entities. The weighted-average cost of capital used in the goodwill impairment testing of our Topgolf reporting unit was 10.25%, which was derived from the financial structures of comparable companies corresponding to its industry. Following this impairment, there is no remaining goodwill related to our Topgolf reporting unit as of December 31, 2024. Additionally, goodwill relating to our other reporting units was determined not to be impaired as the fair values exceeded the carrying values at December 31, 2024. As such, there were no further goodwill impairment charges recognized during 2024. As of December 31, 2024 and 2023, goodwill is presented net of accumulated impairment losses of $1,500.8 million and $148.4 million, respectively. Intangible assets by major asset class for the periods presented in the table below were (in millions, except useful life years):
| Indefinite-lived: |  | Amortizing: |  |
| Trade name and Trademarks |  | Liquor Licenses |  | Patents |  | Customer/ Distributor Relationships and Other |  | Developed Technology |  | Total
Useful Life (Years) | NA |  | NA |  | 2 - 16 |  | 1 - 10 |  | 10 |  |
Gross as of December 31, 2023 | $ | 1,443.8 |  |  | $ | 9.5 |  |  | $ | 32.3 |  |  | $ | 72.1 |  |  | $ | 69.7 |  |  | $ | 1,627.4 |
Acquisitions | 3.1 |  |  | 1.2 |  |  | 0.2 |  |  | 3.3 |  |  | — |  |  | 7.8 |
Impairment | (99.6) |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (99.6) |
Disposals | (2.7) |  |  | — |  |  | — |  |  | — |  |  | (6.3) |  |  | (9.0) |
Other | (5.9) |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (5.9) |
Gross as of December 31, 2024 | $ | 1,338.7 |  |  | $ | 10.7 |  |  | $ | 32.5 |  |  | $ | 75.4 |  |  | $ | 63.4 |  |  | $ | 1,520.7 |
Accumulated amortization | — |  |  | — |  |  | (32.0) |  |  | (48.1) |  |  | (25.5) |  |  | (105.6) |
Foreign currency translation and other | (34.8) |  |  | — |  |  | — |  |  | (4.5) |  |  | (3.2) |  |  | (42.5) |
Net book value, December 31, 2024 | $ | 1,303.9 |  |  | $ | 10.7 |  |  | $ | 0.5 |  |  | $ | 22.8 |  |  | $ | 34.7 |  |  | $ | 1,372.6 |
Gross as of December 31, 2022 | $ | 1,441.0 |  |  | $ | 8.9 |  |  | $ | 32.2 |  |  | $ | 67.4 |  |  | $ | 69.7 |  |  | $ | 1,619.2 |
Acquisitions | 2.8 |  |  | 0.6 |  |  | 0.1 |  |  | 4.7 |  |  | — |  |  | 8.2 |
Gross as of December 31, 2023 | $ | 1,443.8 |  |  | $ | 9.5 |  |  | $ | 32.3 |  |  | $ | 72.1 |  |  | $ | 69.7 |  |  | $ | 1,627.4 |
Accumulated amortization | — |  |  | — |  |  | (31.9) |  |  | (43.1) |  |  | (18.9) |  |  | (93.9) |
Foreign currency translation and other | (22.0) |  |  | — |  |  | — |  |  | (3.5) |  |  | (2.5) |  |  | (28.0) |
Net book value, December 31, 2023 | $ | 1,421.8 |  |  | $ | 9.5 |  |  | $ | 0.4 |  |  | $ | 25.5 |  |  | $ | 48.3 |  |  | $ | 1,505.5 |
Disposals of intangible assets during the year ended December 31, 2024 of $9.0 million are from the sale of our WGT mobile game, which is further described in Note 20. In conjunction with our annual assessment of goodwill mentioned above, we performed an impairment assessment on our indefinite-lived intangibles during the fourth quarter of 2024 and determined that the intangible asset related to the Topgolf trade name was impaired. As a result, we recognized an impairment loss of $99.6 million to write-down the Topgolf trade name to its new estimated fair value. In addition, the Jack Wolfskin business has been impacted by soft market conditions in Europe. Although the fair value of our Jack Wolfskin tradename exceeded its carrying value in our annual impairment assessment, if market conditions were to continue to decline, it could impact the performance of the Jack Wolfskin business and negatively impact the calculated fair value. We will continue to monitor the performance of our Jack Wolfskin business closely and reassess as necessary. We recognized $11.7 million, $14.1 million and $15.2 million of amortization expense related to acquired intangible assets for the years ended December 31, 2024, 2023 and 2022, respectively, which is recorded in selling, general and administrative expenses in the consolidated statements of operations. As of December 31, 2024, intangible asset amortization expense is expected to be incurred for the periods presented as follows (in millions):
2025 | $ | 10.4 |
2026 | 10.3 |
2027 | 10.0 |
2028 | 9.8 |
2029 | 6.1 |
Thereafter | 10.0 |
Total | $ | 56.6 |

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