Cavco Industries, Inc. reported significant financial performance for the three and six months ended September 28, 2024, reflecting a robust increase in net revenue and a mixed impact on profitability compared to the previous fiscal period.
For the three months ended September 28, 2024, net revenue reached $507.5 million, a 12.3% increase from $452.0 million in the same period last year. This growth was driven primarily by a 12.0% rise in revenue from factory-built housing, which totaled $486.3 million, up from $434.1 million. The financial services segment also contributed positively, with revenue increasing by 17.6% to $21.1 million. However, gross profit for the three months increased to $116.1 million from $107.0 million, marking an 8.6% rise, despite a decrease in gross profit margin due to higher home sales volume and lower average selling prices.
For the six months ended September 28, 2024, net revenue was $985.1 million, up from $927.9 million, while net income decreased to $78.2 million from $88.0 million in the prior year. The decline in net income was attributed to increased selling, general, and administrative expenses, which rose by 7.7% to $121.2 million, and a decrease in gross profit from financial services, impacted by high insurance claims.
Cavco's total assets increased to $1.4 billion as of September 28, 2024, compared to $1.35 billion at the end of March 2024. Current assets also rose to $902.0 million, while current liabilities increased to $311.5 million. The company maintained a strong cash position, with cash and cash equivalents at $364.1 million, up from $352.7 million.
The company’s consumer loans receivable grew to $52.1 million, reflecting a strategic focus on enhancing financing availability for home purchases. However, consumer loan originations decreased significantly to $39.9 million from $56.2 million in the prior year, indicating challenges in the lending environment.
Cavco continues to navigate a competitive landscape marked by rising interest rates and inflation, which have tempered demand in the manufactured housing sector. The company is actively working to develop secondary market opportunities and home-only lending programs to boost sales and reduce reliance on independent lenders. The backlog of orders increased to $276 million, up from $232 million in June 2024, indicating a positive outlook for future sales.
Overall, Cavco Industries, Inc. demonstrated resilience in its core operations while facing challenges in profitability and market conditions.
About CAVCO INDUSTRIES INC.
About 10-Q Filings
A 10-Q form is an important financial report that public companies in the United States must submit every three months. It gives a clear picture of a company's financial health and recent performance.
Key points about the 10-Q:
- Frequency: Companies file it three times a year, covering the first three quarters. The fourth quarter is covered in a more comprehensive annual report.
-
Content: It includes:
- Financial statements showing the company's current financial position
- Updates from management on the performance and projections of the business
- Information about potential risks the company faces
- Details on how the company is run internally
- Deadline: Must be filed within 40 or 45 days after the quarter ends, depending on the size of the company.
Our Methodology
AssetRoom is committed to providing timely summaries of news from public companies. We use AI to generate these summaries quickly, but they are not reviewed by human experts.
Our method:
- Data Collection: We continuously monitor for new filings (currently limited to US-listed stocks).
- AI-Powered Analysis: Our advanced AI system processes each filing, identifying key information and extracting relevant data.
- Summary Generation: The AI creates a concise, easy-to-understand summary of the filing, highlighting the most important points.
- Publication: The summary is immediately published on our platform, allowing users instant access to the latest information.
- Email users: We distribute round-up emails according to our users preferences, keeping them in the loop with the companies they follow.
Feedback & Corrections
Spot an error or have a suggestion? Contact us.