Newton Golf Company Reports 245% Revenue Growth, Net Loss Improves in Latest Quarter

Newton Golf Company, Inc., formerly known as Sacks Parente Golf, Inc., reported significant financial performance improvements in its latest quarterly filing for the three months ended March 31, 2025. The company generated net sales of $1.21 million, a substantial increase from $350,000 in the same period last year, marking a growth of approximately 245%. The gross profit also saw a notable rise, reaching $852,000 compared to $206,000 in the prior year. However, the company reported a net loss of $525,000, an improvement from a net loss of $1.19 million in the first quarter of 2024.

The financial results reflect a strategic shift following the company's recent conversion to a Delaware corporation and a name change to better align with its mission of innovating golf technology. This transition, effective March 17, 2025, was accompanied by a significant increase in the number of shares outstanding, from 297,184 to 4,387,768, primarily due to the exercise of warrants. The company’s total stockholders’ equity improved to $6.2 million from a deficiency of $5.2 million at the end of 2024, largely driven by the capital raised through these warrant exercises.

Operationally, Newton Golf has expanded its product offerings, focusing on advanced golf technologies, including shafts and putting instruments. The company reported that online sales accounted for $1.02 million of total revenue, while distributor and wholesaler sales contributed $188,000. The company’s flagship product line, Newton Shafts, generated $1.2 million in sales, a significant increase from $290,000 in the previous year. This growth indicates a strong market adoption of its products, particularly in the United States, Japan, and South Korea, where the company sells through various channels.

Despite the positive revenue trends, the company faced challenges with operating expenses, which rose to $2.82 million from $1.46 million year-over-year. This increase was attributed to higher selling, general, and administrative expenses, as well as research and development costs. The company’s cash and cash equivalents decreased to $5.87 million from $7.65 million at the end of 2024, raising concerns about liquidity and the ability to sustain operations without additional financing. The company has indicated that it may need to secure further debt or equity financing to continue its operations and achieve positive cash flow.

Looking ahead, Newton Golf Company remains focused on expanding its product lines and market presence. The company plans to enhance its offerings by potentially entering the golf apparel market and exploring mergers or acquisitions to complement its premium brand. However, the management has cautioned that the ability to continue as a going concern is contingent upon securing necessary financing and generating positive cash flow from operations in the near future.