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TaylorMade adidas Golf reported first quarter sales of 275 million euros, down 5 million euros from the first quarter of 2015. On a currency neutral basis, sales slipped by 1.7% for the reporting period, adidas said. This happened despite the success of M1, according to TaylorMade and the introduction of M2 drivers, fairway and Rescue clubs. In March, adidas CEO, Herbert Hainer, reported glowingly on M1. “We have seen extremely good response to our latest product launches. In its inaugural week on both the PGA Tour and the European Tour, TaylorMade’s M1 driver became the number one played model bringing TaylorMade back to the top spot in golf’s most important category, metalwoods,” he reported. The trouble is the professional circuits don’t buy the product; they only validate it to those who are expected to then purchase it. “Due to the strong early demand and quick sales through at retail our launch quantities were sold out quickly and much faster than we had anticipated,” Hainer said in March of 2016. Wonder if that decision is being second-guessed? According to adidas, growth at TaylorMade (6%) and adidas Golf (3%) was more than offset by double-digit sales declines at Ashworth and Adams. The company did not provide any breakdown on TMaG’s contribution to its bottom line for the quarter.

While foreign exchange rates played a role in the final numbers, it’s worth pointing out that TMaG’s sales decline was consistent with its rival Callaway Golf. Last week Callaway reported a first quarter sales decline of $10 million or 3.5% from 2015.