Newton Golf Company (NWTG) investor relations material

Business overview and growth trajectory

• Founded in 2018, went public in 2023, with a current market cap of about $5 million and 4.5 million shares outstanding.

• Achieved rapid revenue growth: $300,000 in 2023, $3.4 million with Motion Fairway in 2024, and $8.1 million last year after launching Fast Motion shaft.

• Debt increased to just over $2 million, primarily through insider convertible notes at a fixed $1.60 conversion price.

• Proprietary Dot System is central to business strategy, with manufacturing based in the U.S. and recent adjustments due to carbon fiber shortages.

• Company is disrupting a large, complex golf shaft market with a focus on technology and simplification.

Product innovation and market differentiation

• Dot System replaces traditional flex labels with a 1–7 scale, reducing stigma and simplifying shaft selection across all club types.

• System allows consistent performance across drivers, fairways, and hybrids, streamlining the purchasing process.

• Product line includes Motion (heavier), Fast Motion (lighter), and putters, with putters currently a small portion of sales but planned for revitalization.

• Emphasis on performance validated by being the number two shaft on PGA TOUR Champions and participation in a Guinness World Record for ball speed.

• All products are handcrafted in Missouri, with recent process improvements to enhance quality and scalability.

Financial performance and operational highlights

• Q1 2025 sales were $991,000, impacted by partial factory shutdown for process upgrades; $1.2 million backlog expected to be cleared soon.

• 91% of sales are direct-to-consumer (D2C), with customer acquisition costs around $120 and strong repeat business driven by the Dot System.

• Expansion into fairway and hybrid shafts increases potential for bundling and repeat purchases.

• International expansion underway, with a significant order from Korea and growing interest in Japan.

• OEM and wholesale channels targeted for future growth, with OEM penetration expected to drive awareness and revenue.