| For additional information, contact: | |||||||
Mark Fusler Corporate Controller and Investor Relations investor_relations@cavco.com | ||||||||
| News Release | Phone: 602-256-6263 On the Internet: www.cavcoindustries.com | |||||||
PHOENIX, October 29, 2026 (GLOBE NEWSWIRE) – Cavco Industries, Inc. (Nasdaq: CVCO) ("we," "our," the "Company" or "Cavco") today announced financial results for the second fiscal quarter ended September 26, 2026.
Quarterly Highlights
•Net revenue was $656.4 million, up $100 million or 17.9% compared to $556.5 million in the second quarter of the prior year, primarily on home sales volume and average selling price per home growth.
•Home sales volume was up 15.3% and capacity utilization remained consistent year over year at approximately 75%.
•Factory-built housing Gross profit as a percentage of Net revenue was 21.1%, down from 22.9% in the same period in the prior year.
•Financial services Gross profit as a percentage of Net revenue was 60.2%, compared to Gross profit of 55.6% in the same period in the prior year.
•Selling, general and administrative expenses include a one-time $7 million benefit from a return of insurance premium which favorably impacts Net income per diluted share by $0.70.
•Income before income taxes was $73 million, up $6 million, or 9.1% compared to $67 million in the same period in the prior year.
•Net income per diluted share was $7.17, up 9%, compared to $6.55 in the prior year quarter.
•Backlogs totaled $348 million at the end of the quarter representing 8-10 weeks of production, up $50 million sequentially from $298 million.
•Stock repurchases were approximately $30 million in the quarter. At the end of the second quarter, $158 million remains available for repurchases under our previously announced Board authorizations.
Commenting on the quarter, President and Chief Executive Officer Bill Boor said, "This is our second consecutive quarter of record revenue and unit volume. While orders were off the preceding quarter pace, they remained healthy and backlogs continued to grow. This positions us very well going into the seasonally slower winter months with the ability to adjust production depending on order trends. While materials inflation continued and is expected to remain a challenge going forward, during Q2, selling price increases were in excess of cost pressures, resulting in a small sequential Gross Margin improvement. Additionally, we began to see data center workforce housing orders and shipments during the quarter which are contributing to healthy backlogs."
He continued, "A highlight this quarter was showing Cavco’s Grande Arbor, the first off-chassis HUD-Code home, at HUD’s Innovative Housing Showcase in Washington DC. Increasing federal and state-level support through the ROAD to Housing Act and other reforms will be opening exciting opportunities for factory-built housing in the years ahead."
Financial Results
| Three Months Ended | |||||||||||||||||||||||
| ($ in thousands, except revenue per home sold) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Net revenue | |||||||||||||||||||||||
| Factory-built housing | $ | 633,736 | $ | 535,117 | $ | 98,619 | 18.4 | % | |||||||||||||||
| Financial services | 22,642 | 21,410 | 1,232 | 5.8 | % | ||||||||||||||||||
| $ | 656,378 | $ | 556,527 | $ | 99,851 | 17.9 | % | ||||||||||||||||
| Factory-built modules sold | 9,794 | 8,699 | 1,095 | 12.6 | % | ||||||||||||||||||
| Factory-built homes sold (consisting of one or more modules) | 5,972 | 5,178 | 794 | 15.3 | % | ||||||||||||||||||
| Net factory-built housing revenue per home sold | $ | 106,118 | $ | 103,344 | $ | 2,774 | 2.7 | % | |||||||||||||||
| Six Months Ended | |||||||||||||||||||||||
| ($ in thousands, except revenue per home sold) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Net revenue | |||||||||||||||||||||||
| Factory-built housing | $ | 1,219,708 | $ | 1,070,811 | $ | 148,897 | 13.9 | % | |||||||||||||||
| Financial services | 46,629 | 42,573 | 4,056 | 9.5 | % | ||||||||||||||||||
| $ | 1,266,337 | $ | 1,113,384 | $ | 152,953 | 13.7 | % | ||||||||||||||||
| Factory-built modules sold | 19,301 | 17,599 | 1,702 | 9.7 | % | ||||||||||||||||||
| Factory-built homes sold (consisting of one or more modules) | 11,629 | 10,594 | 1,035 | 9.8 | % | ||||||||||||||||||
| Net factory-built housing revenue per home sold | $ | 104,885 | $ | 101,077 | $ | 3,808 | 3.8 | % | |||||||||||||||
•In the factory-built housing segment, Net revenue increased in both periods due to higher home sales volume driven by both the American Homestar acquisition in the third quarter of the prior year and organic volume growth in both periods, as well as an increase in Net revenue per home sold.
•Financial services segment Net revenue increased in both periods due to increased loan sale volume and increased retained insurance premium net of reinsurance payments.
| Three Months Ended | |||||||||||||||||||||||
| ($ in thousands) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Gross profit | |||||||||||||||||||||||
| Factory-built housing | $ | 133,975 | $ | 122,493 | $ | 11,482 | 9.4 | % | |||||||||||||||
| Financial services | 13,637 | 11,914 | 1,723 | 14.5 | % | ||||||||||||||||||
| $ | 147,612 | $ | 134,407 | $ | 13,205 | 9.8 | % | ||||||||||||||||
| Gross profit as % of Net revenue | |||||||||||||||||||||||
| Consolidated | 22.5 | % | 24.2 | % | N/A | (1.7) | % | ||||||||||||||||
| Factory-built housing | 21.1 | % | 22.9 | % | N/A | (1.8) | % | ||||||||||||||||
| Financial services | 60.2 | % | 55.6 | % | N/A | 4.6 | % | ||||||||||||||||
| Selling, general and administrative expenses | |||||||||||||||||||||||
| Factory-built housing | $ | 69,625 | $ | 65,757 | $ | 3,868 | 5.9 | % | |||||||||||||||
| Financial services | 8,085 | 6,472 | 1,613 | 24.9 | % | ||||||||||||||||||
| $ | 77,710 | $ | 72,229 | $ | 5,481 | 7.6 | % | ||||||||||||||||
| Income from operations | |||||||||||||||||||||||
| Factory-built housing | $ | 64,350 | $ | 56,736 | $ | 7,614 | 13.4 | % | |||||||||||||||
| Financial services | 5,552 | 5,442 | 110 | 2.0 | % | ||||||||||||||||||
| $ | 69,902 | $ | 62,178 | $ | 7,724 | 12.4 | % | ||||||||||||||||
| Six Months Ended | |||||||||||||||||||||||
| ($ in thousands) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Gross profit | |||||||||||||||||||||||
| Factory-built housing | $ | 255,994 | $ | 243,338 | $ | 12,656 | 5.2 | % | |||||||||||||||
| Financial services | 26,208 | 20,575 | 5,633 | 27.4 | % | ||||||||||||||||||
| $ | 282,202 | $ | 263,913 | $ | 18,289 | 6.9 | % | ||||||||||||||||
| Gross profit as % of Net revenue | |||||||||||||||||||||||
| Consolidated | 22.3 | % | 23.7 | % | N/A | (1.4) | % | ||||||||||||||||
| Factory-built housing | 21.0 | % | 22.7 | % | N/A | (1.7) | % | ||||||||||||||||
| Financial services | 56.2 | % | 48.3 | % | N/A | 7.9 | % | ||||||||||||||||
| Selling, general and administrative expenses | |||||||||||||||||||||||
| Factory-built housing | $ | 143,595 | $ | 128,911 | $ | 14,684 | 11.4 | % | |||||||||||||||
| Financial services | 15,950 | 12,466 | 3,484 | 27.9 | % | ||||||||||||||||||
| $ | 159,545 | $ | 141,377 | $ | 18,168 | 12.9 | % | ||||||||||||||||
| Income from operations | |||||||||||||||||||||||
| Factory-built housing | $ | 112,399 | $ | 114,427 | $ | (2,028) | (1.8) | % | |||||||||||||||
| Financial services | 10,258 | 8,109 | 2,149 | 26.5 | % | ||||||||||||||||||
| $ | 122,657 | $ | 122,536 | $ | 121 | 0.1 | % | ||||||||||||||||
•In the factory-built housing segment, Gross profit increased due to an increase in home sales volume and Net revenue per home sold, partially offset by higher input costs for both periods. Selling, general and administrative expenses were higher for both periods primarily due to the addition of American Homestar, partially offset by a one-time $7 million benefit from a return of insurance premium related to additional D&O insurance purchased in 2019.
•In the financial services segment, Gross profit increased primarily due to loan sales volume, higher retained insurance premium net of reinsurance premium and lower commissions on insurance policies written. Selling, general and administrative expenses increased in both periods primarily due to higher compensation on stronger results.
| Three Months Ended | |||||||||||||||||||||||
| ($ in thousands, except per share amounts) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Interest income | $ | 3,595 | $ | 5,046 | $ | (1,451) | (28.8) | % | |||||||||||||||
| Net income | $ | 55,439 | $ | 52,381 | $ | 3,058 | 5.8 | % | |||||||||||||||
| Diluted net income per share | $ | 7.17 | $ | 6.55 | $ | 0.62 | 9.5 | % | |||||||||||||||
| Six Months Ended | |||||||||||||||||||||||
| ($ in thousands, except per share amounts) | September 26, 2026 | September 27, 2025 | Change | ||||||||||||||||||||
| Interest Income | $ | 6,858 | $ | 10,149 | $ | (3,291) | (32.4) | % | |||||||||||||||
| Net income | $ | 97,710 | $ | 104,023 | $ | (6,313) | (6.1) | % | |||||||||||||||
| Diluted net income per share | $ | 12.59 | $ | 12.96 | $ | (0.37) | (2.9) | % | |||||||||||||||
Conference Call Details
Cavco's management will hold a conference call to review these results tomorrow, October 30, 2026, at 1:00 p.m. (Eastern Time). Interested parties can access a live webcast of the conference call on the Internet at https://investor.cavco.com or via telephone. To participate by phone, please register https://register-conf.media-server.com/register/BI19ca1149d85a4457a8a50ec83ac6c8fb to receive the dial in number and your PIN. An archive of the webcast and presentation will be available for 60 days at https://investor.cavco.com.
About Cavco
Headquartered in Phoenix, Arizona, Cavco Industries, Inc. (Nasdaq: CVCO) designs and builds manufactured homes and modular homes, distributed nationwide through a network of independent and Company-owned retailers. Cavco is one of the largest manufactured and modular home builders in the United States, based on reported wholesale shipments, and is also a leading producer of park model RVs, vacation cabins, and factory-built commercial structures. Cavco's finance subsidiary, CountryPlace Mortgage, is an approved Fannie Mae and Freddie Mac seller/servicer and a Ginnie Mae mortgage-backed securities issuer, offering manufactured home loans — including conforming, non-conforming, and home-only financing — to buyers of manufactured and modular homes. Cavco's insurance subsidiary, Standard Casualty, provides manufactured home insurance and other property and casualty coverage to manufactured homeowners. Learn more about Cavco's manufactured homes and modular homes at www.cavcohomes.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts. These forward-looking statements reflect Cavco's current expectations and projections with respect to our expected future business and financial performance, including, among other things: (i) expected financial performance and operating results, such as revenue and gross margin percentage; (ii) our liquidity and financial resources; (iii) our outlook with respect to the Company and the manufactured housing business in general; (iv) the expected effect of certain risks and uncertainties on our business; and (v) the strength of Cavco's business model. These statements may be preceded by, followed by, or include the words "aim," "anticipate," "believe," "estimate," "expect," "forecast," "future," "goal," "intend," "likely," "outlook," "plan," "potential," "project," "seek," "target," "can," "could," "may," "should," "would," "will," the negatives thereof and other words and terms of similar meaning. A number of factors could cause actual results or outcomes to differ materially from those indicated by these forward-looking statements. These factors include, among other factors, Cavco's ability to manage: (i) customer demand and the availability of financing for our products; (ii) labor shortages and the pricing, availability, or transportation of raw materials; (iii) the impact of local or national emergencies; (iv) excessive health and safety incidents or warranty and construction claims; (v) increases in cancellations of home sales; (vi) information technology failures or cyber incidents; (vii) our ability to maintain the security of personally identifiable information of our customers; (viii) compliance with the numerous laws and regulations applicable to our business, including state, federal, and foreign laws relating to manufactured housing, privacy, the internet, and accounting matters; (ix) successful defense against litigation, government inquiries, and investigations, and (x) other risks and uncertainties indicated from time to time in documents filed or to be filed with the Securities and Exchange Commission (the "SEC") by Cavco. The forward-looking statements herein represent the judgment of Cavco as of the date of this release and Cavco disclaims any intent or obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments, or otherwise. This press release should be read in conjunction with the information included in the Company's other press releases, reports, and other filings with the SEC. Readers are specifically referred to the Risk Factors described in Item 1A of the Company's Annual Report on Form 10-K for the year ended March 28, 2026 as may be updated from time to time in future filings on Form 10-Q and other reports filed by the Company pursuant to the Securities Exchange Act of 1934, which identify important risks that could cause actual results to differ from those contained in the forward-looking statements. Understanding the information contained in these filings is important in order to fully understand Cavco's reported financial results and our business outlook for future periods.
CAVCO INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except per share amounts)
| September 26, 2026 | March 28, 2026 | ||||||||||
| ASSETS | (Unaudited) | ||||||||||
| Current assets | |||||||||||
| Cash and cash equivalents | $ | 271,911 | $ | 236,721 | |||||||
| Restricted cash, current | 25,386 | 20,306 | |||||||||
| Accounts receivable, net | 139,244 | 108,288 | |||||||||
| Short-term investments | 17,166 | 16,233 | |||||||||
| Current portion of consumer loans receivable, net | 19,713 | 19,207 | |||||||||
| Current portion of commercial loans receivable, net | 41,835 | 54,841 | |||||||||
| Current portion of commercial loans receivable from affiliates, net | 1,510 | 1,836 | |||||||||
| Inventories | 311,110 | 295,671 | |||||||||
| Prepaid expenses and other current assets | 54,554 | 71,630 | |||||||||
| Total current assets | 882,429 | 824,733 | |||||||||
| Restricted cash | 585 | 585 | |||||||||
| Investments | 43,416 | 38,151 | |||||||||
| Consumer loans receivable, net | 17,474 | 18,974 | |||||||||
| Commercial loans receivable, net | 65,715 | 55,801 | |||||||||
| Commercial loans receivable from affiliates, net | 3,993 | 3,519 | |||||||||
| Property, plant and equipment, net | 321,398 | 278,890 | |||||||||
| Goodwill | 211,667 | 208,841 | |||||||||
| Other intangibles, net | 26,859 | 28,067 | |||||||||
| Operating lease right-of-use assets | 37,992 | 33,578 | |||||||||
| Total assets | $ | 1,611,528 | $ | 1,491,139 | |||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||
| Current liabilities | |||||||||||
| Accounts payable | $ | 68,047 | $ | 44,168 | |||||||
| Accrued expenses and other current liabilities | 352,184 | 291,230 | |||||||||
| Total current liabilities | 420,231 | 335,398 | |||||||||
| Operating lease liabilities | 32,955 | 30,747 | |||||||||
| Other liabilities | 6,977 | 7,096 | |||||||||
| Deferred income taxes | 14,362 | 14,716 | |||||||||
| Total liabilities | 474,525 | 387,957 | |||||||||
| Stockholders' equity | |||||||||||
| Preferred stock, $0.01 par value; 1,000,000 shares authorized; No shares issued or outstanding | — | — | |||||||||
Common stock, $0.01 par value; 40,000,000 shares authorized; Issued 9,509,421 and 9,474,288 shares, respectively; Outstanding 7,661,911 and 7,738,700, respectively | 95 | 95 | |||||||||
Treasury stock, at cost; 1,847,510 and 1,735,588 shares, respectively | (646,225) | (585,865) | |||||||||
| Additional paid-in capital | 298,032 | 300,208 | |||||||||
| Retained earnings | 1,486,424 | 1,388,714 | |||||||||
| Accumulated other comprehensive (loss) income | (1,323) | 30 | |||||||||
| Total stockholders' equity | 1,137,003 | 1,103,182 | |||||||||
| Total liabilities and stockholders' equity | $ | 1,611,528 | $ | 1,491,139 | |||||||
CAVCO INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share amounts)
(Unaudited)
| Three Months Ended | Six Months Ended | ||||||||||||||||||||||
| September 26, 2026 | September 27, 2025 | September 26, 2026 | September 27, 2025 | ||||||||||||||||||||
| Net revenue | $ | 656,378 | $ | 556,527 | $ | 1,266,337 | $ | 1,113,384 | |||||||||||||||
| Cost of sales | 508,766 | 422,120 | 984,135 | 849,471 | |||||||||||||||||||
| Gross profit | 147,612 | 134,407 | 282,202 | 263,913 | |||||||||||||||||||
| Selling, general and administrative expenses | 77,710 | 72,229 | 159,545 | 141,377 | |||||||||||||||||||
| Income from operations | 69,902 | 62,178 | 122,657 | 122,536 | |||||||||||||||||||
| Interest income | 3,595 | 5,046 | 6,858 | 10,149 | |||||||||||||||||||
| Interest expense | (282) | (112) | (414) | (276) | |||||||||||||||||||
| Other income, net | 136 | 142 | 38 | 142 | |||||||||||||||||||
| Income before income taxes | 73,351 | 67,254 | 129,139 | 132,551 | |||||||||||||||||||
| Income tax expense | (17,912) | (14,873) | (31,429) | (28,528) | |||||||||||||||||||
| Net income | $ | 55,439 | $ | 52,381 | $ | 97,710 | $ | 104,023 | |||||||||||||||
| Net income per share | |||||||||||||||||||||||
| Basic | $ | 7.22 | $ | 6.62 | $ | 12.70 | $ | 13.12 | |||||||||||||||
| Diluted | $ | 7.17 | $ | 6.55 | $ | 12.59 | $ | 12.96 | |||||||||||||||
| Weighted average shares outstanding | |||||||||||||||||||||||
| Basic | 7,679,380 | 7,909,326 | 7,693,552 | 7,931,589 | |||||||||||||||||||
| Diluted | 7,734,777 | 7,992,745 | 7,760,165 | 8,024,720 | |||||||||||||||||||
CAVCO INDUSTRIES, INC.
OTHER OPERATING DATA
(Dollars in thousands)
(Unaudited)
| Three Months Ended | Six Months Ended | ||||||||||||||||||||||
| September 26, 2026 | September 27, 2025 | September 26, 2026 | September 27, 2025 | ||||||||||||||||||||
| Capital expenditures | $ | 29,704 | $ | 9,861 | $ | 55,197 | $ | 18,870 | |||||||||||||||
| Depreciation | $ | 6,282 | $ | 4,961 | $ | 12,368 | $ | 9,758 | |||||||||||||||
| Amortization of other intangibles | $ | 603 | $ | 372 | $ | 1,208 | $ | 744 | |||||||||||||||
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