Financial Performance - Net revenue for fiscal year 2024 was $1,794.8 million, a decrease of 16.2% from $2,142.7 million in fiscal year 2023, primarily due to lower sales volume and selling prices in the factory-built housing segment [56]. - Total homes sold decreased by 12.6% to 16,928 in fiscal year 2024 from 19,376 in fiscal year 2023 [56]. - Gross profit for fiscal year 2024 was $426.9 million, down 23.1% from $554.9 million in fiscal year 2023, with gross profit margin decreasing to 23.8% from 25.9% [60]. - The factory-built housing segment's gross profit decreased by 23.8% to $398.9 million, attributed to lower home sales prices and fewer units sold [60]. - Income before income taxes for fiscal year 2024 was $199.2 million, a decrease of 35.1% from $306.8 million in fiscal year 2023 [68]. Expenses and Costs - Selling, general and administrative expenses as a percentage of net revenue increased to 13.8% in fiscal year 2024 from 12.1% in fiscal year 2023 [61]. - Selling, general and administrative expenses decreased by $19.5 million due to lower wages and benefits, offset by a $19.1 million increase from the acquisition of Solitaire operations [67]. Cash and Liquidity - Cash, cash equivalents, and restricted cash at the end of fiscal year 2024 increased to $368.8 million, up $85.3 million from $283.5 million at the end of fiscal year 2023 [75]. - Net cash provided by operating activities decreased by $31.0 million to $224.7 million in fiscal year 2024 compared to $255.7 million in fiscal year 2023 [75]. - The company maintains a $50.0 million revolving credit facility, with no amounts outstanding as of March 30, 2024 [73]. - The company anticipates compliance with its debt covenants, projecting cash availability to exceed operational needs for the next year [73]. Interest and Loans - Interest income rose to $21.0 million in fiscal year 2024 from $10.7 million in fiscal year 2023, driven by higher interest rates [63]. - Consumer loan originations decreased by $87.2 million to $90.8 million in fiscal year 2024, while proceeds from the sale of consumer loans decreased by $94.5 million [76]. - Commercial loan originations decreased by $20.8 million to $111.2 million in fiscal year 2024, with proceeds from collections increasing by $19.1 million [77]. - A 1% increase in average interest rates could reduce the fair value of consumer loans receivable by approximately $1.1 million [94]. Backlog and Market Focus - The home order backlog as of March 30, 2024, was approximately $191 million, down $53 million from $244 million a year earlier [47]. - The company continues to focus on balancing production levels and workforce size with demand to maximize efficiencies [47]. - The company is investing in community-based lending initiatives to expand lending availability in the manufactured home industry [51]. Taxation - Effective tax rate for fiscal year 2024 was 20.7%, down from 21.5% in fiscal year 2023, primarily due to $4.2 million in tax credits related to energy-efficient homes [66].

Cavco Industries, Inc. (NASDAQ:CVCO) Q4 2024 Earnings Conference Call May 24, 2024 1:00 PM ET Company Participants Mark Fusler - Corporate Controller and Investor Relations Bill Boor - President and Chief Executive Officer Allison Aden - Executive Vice President and Chief Financial Officer Paul Bigbee - Chief Accounting Officer Conference Call Participants Greg Palm - Craig-Hallum Jay McCanless - Wedbush Securities Daniel Moore - CJS Securities Michael Chapman - Aviance Capital Partners Operator Good day an ...

[Financial Performance Overview](index=1&type=section&id=Financial%20Performance%20Overview) This section provides a comprehensive review of Cavco's financial results for Q4 and the full fiscal year 2024, including key highlights, management commentary, and detailed segment analysis [Q4 & Fiscal Year 2024 Highlights](index=1&type=section&id=Q4%20%26%20Fiscal%20Year%202024%20Highlights) Cavco reported a year-over-year decline in financial performance for both the fourth quarter and the full fiscal year 2024, with Q4 net revenue at **$420 million** and full-year net revenue at **$1.8 billion** Q4 FY2024 Financial Performance | Metric | Q4 FY2024 | Q4 FY2023 | Change | | :--- | :--- | :--- | :--- | | Net Revenue | $420M | $476M | (11.8)% | | Net Income | $34M | $47M | (28.3)% | | Diluted EPS | $4.03 | $5.39 | (25.2)% | | Gross Profit Margin | 23.6% | 25.3% | (170 bps) | FY2024 Financial Performance | Metric | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | Net Revenue | $1,795M | $2,143M | (16.2)% | | Income Before Taxes | $199M | $307M | (35.2)% | | Diluted EPS | $18.37 | $26.95 | (31.8)% | | Factory-built Housing Gross Margin | 23.2% | 25.3% | (210 bps) | - Backlogs increased by **19.4% sequentially to $191 million** from **$160 million** three months prior, but were down from **$244 million** at the end of fiscal 2023[7](index=7&type=chunk) - The company executed approximately **$110 million** in stock repurchases during fiscal year 2024[7](index=7&type=chunk) [Management Commentary](index=1&type=section&id=Management%20Commentary) CEO Bill Boor highlighted improved order rates and a return to full production, emphasizing the company's resilience, solid margins, successful capacity expansion, new product launches, and significant share repurchases - The quarter began with operational slowdowns due to thin backlogs, but order rates improved as the quarter progressed[6](index=6&type=chunk) - Key strategic achievements during the year include: - Increased capacity via the Solitaire acquisition and new plant startups in Hamlet and Glendale[6](index=6&type=chunk) - Expanded retail distribution footprint[6](index=6&type=chunk) - Launched the Anthem series, a nationally available HUD-approved manufactured duplex[6](index=6&type=chunk) - Repurchased approximately **$110 million** of company shares[6](index=6&type=chunk) [Detailed Financial Analysis - Q4 FY2024](index=2&type=section&id=Detailed%20Financial%20Analysis%20-%20Q4%20FY2024) In Q4 FY2024, total net revenue decreased by **11.8%** year-over-year to **$420.1 million**, primarily driven by a **12.6%** decline in the factory-built housing segment from lower sales volume [Revenue Analysis (Q4 FY2024)](index=2&type=section&id=Revenue%20Analysis%20(Q4%20FY2024)) Q4 total net revenue fell to **$420.1 million**, with factory-built housing revenue decreasing **12.6%** while financial services revenue increased **6.4%** due to more insurance policies in force Revenue by Segment (Q4) | Revenue by Segment (Q4) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | Factory-built housing | $398.5M | $456.1M | (12.6)% | | Financial services | $21.6M | $20.3M | 6.4% | | **Total Net Revenue** | **$420.1M** | **$476.4M** | **(11.8)%** | - The number of factory-built homes sold decreased by **12.0%** to **3,938 units** from **4,477 units** in the prior-year quarter[8](index=8&type=chunk) - The increase in financial services revenue was primarily due to more insurance policies in force[9](index=9&type=chunk) [Profitability Analysis (Q4 FY2024)](index=2&type=section&id=Profitability%20Analysis%20(Q4%20FY2024)) Consolidated gross profit for Q4 decreased **17.9%** to **$99.0 million**, with the gross margin contracting **170 basis points** to **23.6%**, while SG&A expenses decreased **7.5%** Profitability by Segment (Q4) | Profitability by Segment (Q4) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | **Gross Profit** | | | | | Factory-built housing | $89.3M | $111.4M | (19.8)% | | Financial services | $9.7M | $9.3M | 4.7% | | **Income from Operations** | | | | | Factory-built housing | $33.4M | $50.1M | (33.5)% | | Financial services | $4.2M | $4.1M | 3.3% | - The consolidated gross profit margin decreased to **23.6%** from **25.3%** in Q4 of the prior year[10](index=10&type=chunk) - SG&A expenses in the factory-built housing segment decreased primarily due to lower non-recurring consultant fees for energy tax credits, reduced SEC litigation costs, and lower compensation[10](index=10&type=chunk) [Net Income and EPS (Q4 FY2024)](index=3&type=section&id=Net%20Income%20and%20EPS%20(Q4%20FY2024)) For the fourth quarter, net income attributable to common stockholders was **$33.9 million**, a **28.3%** decrease, resulting in a diluted net income per share of **$4.03**, down **25.2%** Net Income and EPS (Q4) | Metric (Q4) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | Net Income Attributable to Cavco | $33.9M | $47.3M | (28.3)% | | Diluted Net Income per Share | $4.03 | $5.39 | (25.2)% | [Detailed Financial Analysis - Full Year FY2024](index=3&type=section&id=Detailed%20Financial%20Analysis%20-%20Full%20Year%20FY2024) For the full fiscal year 2024, net revenue declined **16.2%** to **$1.8 billion**, leading to a **39.7%** drop in income from operations and a **31.8%** decrease in diluted EPS [Revenue Analysis (Full Year FY2024)](index=3&type=section&id=Revenue%20Analysis%20(Full%20Year%20FY2024)) Full-year net revenue was **$1.79 billion**, a **16.2%** decrease, primarily due to a **17.1%** fall in factory-built housing revenue, partially offset by a **6.7%** growth in financial services revenue Revenue by Segment (Full Year) | Revenue by Segment (Full Year) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | Factory-built housing | $1,716.6M | $2,069.5M | (17.1)% | | Financial services | $78.2M | $73.3M | 6.7% | | **Total Net Revenue** | **$1,794.8M** | **$2,142.7M** | **(16.2)%** | - The number of factory-built homes sold decreased by **12.6%** to **16,928 units** for the full year[13](index=13&type=chunk) - The decline in factory-built housing revenue was attributed to lower home sales volume and selling prices, partially offset by the Solitaire Homes acquisition[13](index=13&type=chunk) [Profitability Analysis (Full Year FY2024)](index=4&type=section&id=Profitability%20Analysis%20(Full%20Year%20FY2024)) Full-year consolidated gross profit fell **23.1%** to **$426.9 million**, with the gross margin declining **210 basis points** to **23.8%**, and financial services income from operations decreased **42.3%** due to higher weather-related claims Profitability by Segment (Full Year) | Profitability by Segment (Full Year) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | **Gross Profit** | | | | | Factory-built housing | $398.9M | $523.5M | (23.8)% | | Financial services | $28.0M | $31.4M | (10.9)% | | **Income from Operations** | | | | | Factory-built housing | $172.7M | $285.6M | (39.6)% | | Financial services | $6.3M | $11.0M | (42.3)% | - The financial services segment's gross profit decline was mainly due to higher weather-related insurance claims and reduced revenue from loan sales[15](index=15&type=chunk) [Net Income and EPS (Full Year FY2024)](index=4&type=section&id=Net%20Income%20and%20EPS%20(Full%20Year%20FY2024)) For the full fiscal year 2024, net income attributable to common stockholders decreased by **34.4%** to **$157.8 million**, with diluted net income per share falling **31.8%** to **$18.37** Net Income and EPS (Full Year) | Metric (Full Year) | FY2024 | FY2023 | Change | | :--- | :--- | :--- | :--- | | Net Income Attributable to Cavco | $157.8M | $240.6M | (34.4)% | | Diluted Net Income per Share | $18.37 | $26.95 | (31.8)% | [Financial Statements](index=7&type=section&id=Financial%20Statements) This section presents Cavco's key financial statements, including the consolidated balance sheets, statements of income, and other operating data, providing a detailed view of the company's financial position and performance [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) As of March 30, 2024, Cavco's balance sheet remained strong with total assets of **$1.35 billion**, an increase from **$1.31 billion** a year prior, and total stockholders' equity grew to **$1.03 billion** Consolidated Balance Sheet Summary | Balance Sheet Item | March 30, 2024 | April 1, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $352.7M | $271.4M | | Total current assets | $851.8M | $804.6M | | Total assets | $1,354.2M | $1,308.0M | | Total current liabilities | $273.3M | $293.4M | | Total stockholders' equity | $1,033.4M | $976.3M | - Inventories decreased to **$241.3 million** from **$263.2 million** in the prior year[22](index=22&type=chunk) - Treasury stock increased to **$274.7 million** from **$164.5 million**, reflecting the company's share repurchase program[22](index=22&type=chunk) [Consolidated Statements of Income](index=8&type=section&id=Consolidated%20Statements%20of%20Income) The consolidated income statement shows a year-over-year decline in performance, with fiscal year 2024 net revenue at **$1.8 billion** and net income attributable to stockholders decreasing to **$157.8 million** Consolidated Statements of Income Summary | Income Statement (Full Year) | FY2024 | FY2023 | | :--- | :--- | :--- | | Net revenue | $1,794.8M | $2,142.7M | | Gross profit | $426.9M | $554.9M | | Income from operations | $179.0M | $296.6M | | Net income attributable to Cavco | $157.8M | $240.6M | | Diluted EPS | $18.37 | $26.95 | [Other Operating Data](index=8&type=section&id=Other%20Operating%20Data) For the full fiscal year 2024, capital expenditures were significantly lower at **$17.4 million** compared to **$44.1 million** in the prior year, while depreciation increased slightly Other Operating Data Summary | Operating Data (Full Year) | FY2024 | FY2023 | | :--- | :--- | :--- | | Capital expenditures | $17.4M | $44.1M | | Depreciation | $17.0M | $14.8M | | Amortization of other intangibles | $1.6M | $2.1M | [Corporate Information](index=5&type=section&id=Corporate%20Information) This section provides an overview of Cavco Industries, including its business operations, product offerings, and details regarding the upcoming conference call for fiscal year 2024 results [About Cavco Industries](index=5&type=section&id=About%20Cavco%20Industries) Cavco Industries, Inc., headquartered in Phoenix, Arizona, is a leading U.S. producer of factory-built housing products, operating under various brand names and offering complementary finance and insurance services - Cavco is one of the largest producers of manufactured and modular homes in the United States[19](index=19&type=chunk) - The company's brands include Cavco, Fleetwood, Palm Harbor, and Solitaire, among others[19](index=19&type=chunk) - Cavco operates integrated financial services through CountryPlace Mortgage and Standard Casualty insurance[19](index=19&type=chunk) [Conference Call Information](index=5&type=section&id=Conference%20Call%20Information) Cavco management will host a conference call on May 24, 2024, at 1:00 p.m. Eastern Time to review the fiscal 2024 fourth quarter and year-end results, accessible via webcast - A conference call to discuss the results is scheduled for May 24, 2024, at **1:00 p.m. (Eastern Time)**[18](index=18&type=chunk) - A webcast and presentation archive will be available for **60 days** on the investor relations website[18](index=18&type=chunk)

Core Viewpoint - Cavco's quarterly earnings of $4.03 per share fell short of the Zacks Consensus Estimate of $5.13 per share, marking a -21.44% earnings surprise [1][2] Financial Performance - The company reported revenues of $420.12 million for the quarter ended March 2024, missing the Zacks Consensus Estimate by 15.89% and down from $476.38 million a year ago [2] - Over the last four quarters, Cavco has not surpassed consensus EPS estimates and has topped revenue estimates only once [2] Stock Performance - Cavco shares have increased by approximately 2.1% since the beginning of the year, compared to the S&P 500's gain of 11.3% [3] Future Outlook - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at $6.92 for the coming quarter and $23.96 for the current fiscal year [7] - The Zacks Rank for Cavco is currently 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Building Products - Mobile Homes and RV Builders industry is currently in the bottom 31% of Zacks industries, suggesting potential challenges for stock performance [8] - Another company in the same industry, Winnebago Industries, is expected to report a significant decline in earnings, with a projected EPS of $1.31, down 38.5% year-over-year [9]

Core Insights - Cavco Industries, Inc. reported financial results for the fourth quarter and fiscal year ended March 30, 2024, showing a decline in net revenue and net income compared to the previous year [1][4]. Quarterly Highlights - Net revenue for the three months ended March 30, 2024, was $420.1 million, down 11.8% from $476.4 million in the same period last year [5][6]. - Net income attributable to Cavco common stockholders for the quarter was $33.9 million, a decrease of 28.3% from $47.3 million in the prior year [9][24]. - The gross profit margin for the quarter was 23.6%, down from 25.3% in the previous year [6][24]. - Factory-built housing revenue decreased by 12.6% to $398.5 million, primarily due to lower sales volume [5][10]. Full Fiscal Year Highlights - For the fiscal year ended March 30, 2024, net revenue was $1.795 billion, a decrease of 16.2% from $2.143 billion in the previous year [6][12]. - Net income for the year was $157.8 million, down 34.4% from $240.6 million in the prior year [16][24]. - The gross profit margin for the full year was 23.8%, compared to 25.9% in the previous year [13][24]. - The factory-built housing segment saw a revenue decline of 17.1% year-over-year, attributed to lower home sales volume and selling prices [12][13]. Operational Insights - The company successfully integrated the Solitaire acquisition and launched new products, including the Anthem series, which is the first nationally available HUD-approved manufactured duplex [4][10]. - Backlogs increased to $191 million, up 19.4% from $160 million three months prior, but down from $244 million a year ago [6][12]. - The financial services segment reported a revenue increase of 6.7% year-over-year, primarily due to more insurance policies in force [12][7]. Cost Management - Selling, general, and administrative expenses decreased by 7.5% for the quarter and 4.9% for the fiscal year, reflecting lower non-recurring expenses and reduced compensation [10][13]. - The company repurchased approximately $110 million in shares during the fiscal year, indicating a commitment to returning value to shareholders [4][6].

Company Overview - Cavco Industries, Inc. is headquartered in Phoenix, Arizona and is a major player in the factory-built housing market in the United States, recognized as one of the largest producers of manufactured and modular homes based on reported wholesale shipments [3] - The company designs and produces a variety of housing products distributed through independent and company-owned retailers, with brands including Cavco, Fleetwood, Palm Harbor, and others [3] - Cavco also produces park model RVs, vacation cabins, and factory-built commercial structures, and operates a finance subsidiary, CountryPlace Mortgage, which offers various mortgage products [3] Upcoming Earnings Release - Cavco Industries will release its earnings for the fourth quarter and fiscal year ended March 30, 2024, on May 23, 2024, after the market closes [1] - Senior management will discuss the results in a live webcast on May 24, 2024, at 1:00 p.m. Eastern Time [1]

Cavco (CVCO) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Individual investor ...

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PHOENIX, March 08, 2024 (GLOBE NEWSWIRE) -- Cavco Industries, Inc. (NASDAQ:CVCO) is proud to announce that it was recognized by the 2024 Training APEX Awards as one of the top 105 training organizations in the world, receiving a Best Practice award for our Master of Craft program. This annual award given by Training magazine at the Training APEX Awards Gala in Orlando, Florida places Cavco at the forefront of employee training and development. It showcases the Company's steadfast commitment to fostering ski ...

PHOENIX, March 06, 2024 (GLOBE NEWSWIRE) -- Cavco Industries, Inc. (NASDAQ:CVCO) ("we," "our," the "Company" or "Cavco") is pleased to announce that we have successfully reached agreement on a revised collective bargaining agreement between Pennwest TCC and The International Association of Machinists, which represents employees at the Company's Emlenton, Pennsylvania manufacturing plant. The new collective bargaining agreement was ratified by the Union members today and employees will be back to work tomorr ...