Company Summary: Newton Golf Company, Inc.

Overview

• Business Type: Technology-forward golf equipment manufacturer
• Main Focus: Designing and marketing innovative golf products
• Product Portfolio:
  • Putting instruments (putters)
  • Golf shafts (including advanced premium shafts)
  • Golf grips
  • Future plans to expand into golf apparel and accessories (e.g., golf bags, gloves, headwear, practice aids)

Manufacturing & Operations

• Manufacturing Facilities:
  • Main manufacturing and assembly in St. Joseph, Missouri for shafts and other components
  • Putter head assembly performed at headquarters in Camarillo, California
  • Limited assembly/fitting capabilities in Japan and South Korea
  • Intends to expand distribution centers in Tokyo, South Korea, Mexico City, and other cities
• Raw Materials & Suppliers:
  • Metals: Steel, aluminum, tungsten, magnesium, titanium (U.S. and China suppliers)
  • Shafts: Carbon fiber, prepreg materials, decorative coatings
  • Dependencies on limited sources for certain components; no long-term supplier contracts

Products & Technology

• Key Innovations:
  • Proprietary "Ultra Low Balance Point" shafts that enhance putting performance
  • Patented magnesium face plate technology
  • Design tools include CAD, finite element analysis, structural optimization, robotics, and testing equipment
• Golf Product Lines:
  • Newton Gravity Putters: Made of metals and composites, improving feel and performance
  • Newton Shafts: Launched in November 2023, includes:
    • Newton Motion driver shaft (carbon fiber, promotes straighter/longer shots, reduces effort)
    • Newton Motion fairway wood shaft
    • Uses proprietary technologies like Elongated Bend Profile, Kinetic Storage Construction, Symmetry360 Design, and a DOT-based branding and flex classification
    • Manufactures shafts in Missouri

Revenue & Financial Highlights

• Recent Revenue:
  • For the year ended December 31, 2024: $3.445 million (increase of 887% from $349,000 in 2023)
  • 2024 sales are primarily from golf shafts ($3.172 million, mostly Newton shafts) and putters
  • 84% of sales through company websites
• Net Loss:
  • For 2024: $11.752 million (up from $4.625 million in 2023)
• Gross Profit:
  • 2024: $2.274 million (margin of 66%, up from 35% in 2023)
• Employees:
  • As of December 31, 2024: 28 full-time employees
• Market Capitalization:
  • As of June 30, 2024: approx. $3.63 million (market value of non-affiliate voting and non-voting common equity)

Corporate Developments

• Capital Raising:
  • August 2023: Raised approx. $11.6 million via public offering of 10,667 shares at $1,200 each
  • October 2024: Raised approx. $467,000 via a secondary offering of common stock at $60 per share
  • December 2024: Raised approx. $7.3 million via sale of 233,333 units at $36 per unit (including warrants)
• Name & Stock:
  • Changed name from Sacks Parente Golf, Inc. to Newton Golf Company, Inc. in March 2025
  • Stock traded on NASDAQ Capital Market under symbol NWTG
  • As of March 31, 2025: 4,287,902 shares outstanding
• Stock & Warrants:
  • Multiple reverse stock splits (1-for-10 and 1-for-30)
  • Warrants issued as part of offerings, some classified as liabilities valued at over $12 million
• Management & Board:
  • Key personnel: CEO, CFO, COO, and other executives
  • Key executives awarded options and stock grants with various exercise prices and vesting schedules

Market & Customers

• Sales Channels:
  • Direct online sales via company websites
  • Resellers, distributors, and pro-shops globally (U.S., Japan, South Korea)
  • International sales in Japan and South Korea
• Customer Base:
  • Wholesale customers, retail stores, golf fitters (e.g., Club Champion)
  • Specific customers in the U.S., Japan, South Korea
  • Significant customer concentration in 2023 (one distributor accounted for 26% of net sales)
• Market Outlook:
  • Golf industry in growth, projected to reach $17.64 billion by 2028
  • Increasing popularity in Asia-Pacific (Japan, China, South Korea, and Thailand)
  • Growth driven by rising middle class income, global tournaments, golf tourism, Olympics inclusion, and product innovations

Future Plans

• Extend product offerings into golf apparel and accessories
• Expand manufacturing and distribution centers internationally
• Launch new putter designs and enhanced product models
• Continue to develop proprietary physics-based golf technologies and innovative shaft designs

Summary: Newton Golf Company, Inc. is a US-based, innovative golf equipment manufacturer specializing in technologically advanced putters and shafts, with a focus on patent-protected physics-driven designs. The company sells internationally, primarily online, with a small full-time employee base, and has seen rapid revenue growth mainly from new shaft products but remains unprofitable with significant net losses. It is engaged in capital raising efforts and market expansion, with future plans to broaden product lines and geographic presence.