MASHINIi

Callaway Golf Company.

ELY.US | Manufacture of sports goods

Callaway Golf Company is a global leader in the design, development, manufacture, and sale of high-quality golf equipment, apparel, and accessories. The company's primary focus is on golf clubs (drivers, fairway woods, hybrids, irons, wedges, and putters) and golf balls. Additionally, Callaway offer...Show More

Ethical Profile

Mixed.

Callaway Golf Company faces scrutiny over its ethical practices. A data breach allegedly affected over 1.1 million users, exposing names, addresses, emails, and account passwords, with critics pointing to a month-long delay in password resets. While no payment card data was compromised, the company has since implemented enhanced security. On worker respect, Callaway reports approximately 50% living-wage earners, aiming for 75% within two years, but faces criticism for a CEO pay ratio of 344:1. Employee reviews also show mixed sentiment, citing high stress and limited growth opportunities alongside positive feedback. Environmental efforts include 60% renewable energy at its Carlsbad HQ, yet comprehensive data on broader emissions and waste diversion rates remains limited.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect-20
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business20
-100100
Kind to Animals0
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-20
-100100
Respect for Cultures & Communities0
-100100
Safe & Smart Tech-50
-100100
Zero Waste & Sustainable Products-30
-100100

Better Health for All

0

Callaway Golf Company's core business is golf equipment, apparel, and accessories. The provided articles, primarily sustainability reports from 2022 and 2023, do not contain specific data points for most health-related KPIs. No direct health impact metrics related to golf equipment are mentioned, nor is there data on harmful revenue share, price accessibility, vulnerable reach, risk transparency, health innovation investment, health externalities, health equity programs, healthcare workforce support, preventative health measures, healthcare data responsibility, global health crisis response, mental health initiatives, or healthcare education. While the company reported no consumer retail product recalls due to safety or environmental compliance in 2021, specific adverse event rates required for scoring the safety record KPI are not provided, leading to its omission.

1
The company does not hold healthcare-related patents, produce food products, or conduct clinical trials, and its products do not have addiction potential, leading to a score of 0 for these respective KPIs.

Fair Money & Economic Opportunity

0

Callaway Golf Company's core business is the design, development, manufacture, and sale of golf equipment, apparel, and accessories. The provided articles, including the 2022-2023 Sustainability Report, explicitly state that data related to financial inclusion, pricing fairness, exploitative fees, lending practices, wealth building, or financial literacy is not applicable

1
. The company does not offer lending, deposit services, or consumer credit products, nor does it operate financial service access points or manage customer finance data.

Fair Pay & Worker Respect

-20

The company's CEO to median employee pay ratio for 2024 was 344:1

1
, with the CEO's total compensation at $9,378,565
2
and median employee pay at $27,279
3
. Employee engagement, based on an overall rating of 3.45 out of 5 stars from employee reviews, translates to approximately 69%.
4

Fair Trade & Ethical Sourcing

0

No evidence available to assess Callaway Golf Company on Fair Trade & Ethical Sourcing.

Honest & Fair Business

20

The company demonstrates strong audit coverage, conducting annual Sarbanes Oxley 404 audits

1
and engaging a third-party firm for regular cybersecurity assessments across all global brands and subsidiaries
2
. A substantial majority of the Board of Directors is independent, including the Chairman
3
, and the Audit, Compensation, and Nominating and Corporate Governance Committees are comprised solely of independent directors
4
. The company implements a legal compliance program through its Legal and Training Departments, with annual reports to the Audit Committee
5
. Facilitating payments require prior approval from the Legal Department
6
, and a policy against money laundering is in place
7
. For whistle-blower protection, a policy allows confidential, anonymous reporting to an Ethics Officer, who reports to the Audit Committee
8
, and employees are protected from retribution
9
. Annual information security and privacy awareness training is required for all global employees
10
.

Kind to Animals

0

No specific, quantitative evidence was found in the provided articles to assess Callaway Golf Company against the 'Kind to Animals' ethical value across any of the defined Key Performance Indicators. While the company is noted to use animal products such as leather, meat, dairy, eggs, and down fill,

1
there is no data on cruelty-free certifications, animal testing practices or volumes, humane certifications for operations, measurable wildlife conservation impact, ethical substitution percentages for animal-derived inputs, animal welfare supplier audit percentages, cage-free sourcing percentages, R&D investment in animal-free alternatives, or direct public policy engagement on animal welfare legislation.

No War, No Weapons

0

No evidence was found in the provided articles to assess Callaway Golf Company against any of the KPIs for the "No War, No Weapons" ethical value. The articles discuss charitable donations for COVID-19 relief

1
and employee giving programs, but do not contain information regarding arms contracts, dual-use technology, sales to embargoed regimes, peacebuilding investments, divestment policies, or any other metrics related to military or conflict-related activities.

Planet-Friendly Business

-20

The company has not reported any environmental compliance violations, fines, or regulatory actions.

1
While the Carlsbad, CA headquarters sourced 60% of its operational energy from renewables in 2023,
2
this data is specific to a single facility and not representative of company-wide operations, thus it cannot be scored against the 'Share of operational energy consumption sourced from renewables' KPI. No specific quantitative data is available for other environmental metrics such as total greenhouse gas emissions, water use per revenue, waste diversion rates, or packaging CO2 reduction. The company also does not provide specific details on science-based targets, lifecycle impact assessments, or climate-positive initiatives.

Respect for Cultures & Communities

0

No evidence available to assess Callaway Golf Company on Respect for Cultures & Communities.

Safe & Smart Tech

-50

The company experienced a significant data breach in August 2023, affecting over 1.1 million U.S. customers.

1
During this incident, account passwords and security questions were exposed and found to be unencrypted or unhashed, indicating a severe lapse in encryption and authentication security.
2
This led to a forced password reset for all affected customers.
3
The company collects a broad range of personal and sensitive data, including Social Security Numbers, precise location data, income, veteran status, ethnicity, education, and work history in some circumstances, and uses session replay technology, with vague retention policies.
4
Despite these issues, the company explicitly states compliance with numerous major privacy regulations, including CCPA, CPRA, VCDPA, and GDPR, and provides users with comprehensive data control options such as managing communication preferences, updating information, and supporting Global Privacy Control across multiple jurisdictions.
5

Zero Waste & Sustainable Products

-30

In 2021, Callaway Golf Company's North American operations recycled 2,477 metric tons out of 6,086 metric tons of waste generated, resulting in a waste diversion rate of 40.70%.

1
The company has not reported any waste disposal violations or citations in its sustainability reports covering 2021-2023.
2

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.