NASDAQ$CVCO

Cavco Industries Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Cavco Industries reported Q4 2023 financial results, with net revenue of $476 million and net income of $47 million. The acquisition of Solitaire Homes contributed $28 million to net revenue.

Cavco Industries announced its Q4 and FY 2023 results. The company reported net revenue of $476 million and net income of $47 million for the quarter. The acquisition of Solitaire Homes contributed $28 million to net revenue, although it also resulted in a pre-tax loss of $0.8 million due to purchase accounting adjustments. Despite economic challenges, the company saw its thirteenth straight year of revenue and earnings growth.

  • Net revenue and Net income reached $476 million and $47 million, respectively.
  • Solitaire Homes contributed $28 million in Net revenue.
  • Earnings per diluted share was $5.39, compared to $5.80 in the previous year's fourth quarter.
  • Nearly $30 million was returned to shareholders through stock repurchases.

Headline financials

Total Revenue

$476M

Previous: $505M-5.8%
EPS (adj)

$5.39

Previous: $5.80-7.1%
Factory-built modules sold

7.2K

Previous: 8.7K-16.5%
Factory-built homes sold

4.5K

Previous: 5.0K-10.0%
Backlog

$244M

Previous: $1.1B-77.8%
Capital Expenditures

$3.26M

Previous: $9.72M-66.5%
Free Cash Flow

$22.3M

Previous: $8.54M+161.3%
Net Income

$47.4M

Previous: $53.4M-11.3%
Operating Income

$54.3M

Previous: $69.9M-22.4%
Gross Profit

$121M

Previous: $130M-6.9%
Cash & Equivalents

$271M

Previous: $244M+11.2%
Total Assets

$1.31B

Previous: $1.15B+13.2%
Stock-Based Comp

$1.41M

Previous: $1.6M-11.9%

Revenue & EPS history

Cavco · Revenue · Quarterly

$476M

Q4 2023-5.8%vs Q4 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Cavco · $476M total across 2 segments · Q4 2023

  • Factory-built housing
    $456M
  • Financial services
    $20.3M

Forward guidance

Cavco's management expressed optimism about the company's ability to address the affordable housing problem, citing their expanded capacity and solid operating results.

Tailwinds

  • Expanded capacity through the Solitaire acquisition.
  • Expanded capacity through the Hamlet plant startups.
  • Expanded capacity through the Glendale plant startups.
  • Team delivered another year of outstanding growth.
  • Ability to serve the need for our homes has never been stronger.

Headwinds

  • Rising interest rates.
  • Increased economic challenges.
  • Purchase accounting adjustment related to Solitaire Homes reduced factory-built housing gross margins 40 bps in the current period.
  • Higher weather related events in the fourth quarter.
  • Lower interest income earned on the acquired consumer loan portfolios as they continue to amortize as expected and lower unrealized gains on marketable equity securities in the insurance subsidiary's portfolio.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+1.0%

Avg return

Earnings day

+3.7%

Avg return

5 days after

+4.9%

Avg return

30 days after

59%

37 / 63 earnings

Positive

+18.0%

Q3 2018

Best reaction

-23.5%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026-20.3%-18.1%-6.5%
Q2 2026+6.4%+11.1%+18.2%
Q1 2026+4.9%+11.7%+31.4%
Q4 2025-5.4%-12.9%-20.4%
Q3 2025+6.7%+12.0%+10.0%
Q2 2025+7.9%+10.6%+24.3%
Q1 2025-7.6%-12.3%-0.3%
Q4 2024-1.7%-1.3%+1.1%
Q3 2024+3.4%+6.3%+14.2%
Q2 2024+9.0%+5.5%+17.4%
Q1 2024+1.3%+3.9%-0.6%
Q4 2023-6.1%-4.3%-6.6%
Q3 2023-0.5%+5.6%+6.6%
Q2 2023-1.1%+3.8%+17.8%
Q1 2023+9.2%+9.9%-11.1%
Q4 2022+4.4%+5.9%-5.3%
Q3 2022+6.0%+7.2%-1.4%
Q2 2022+3.2%+13.8%+19.3%
Q1 2022+4.0%+5.6%+5.8%
Q4 2021+4.0%+5.0%+4.3%
Q3 2021+3.6%+12.1%+15.9%
Q2 2021-1.5%+10.5%+7.3%
Q1 2021+4.0%+7.2%+0.7%
Q4 2020+9.8%+1.9%-1.6%
Q3 2020+2.8%+3.1%-7.5%
Q2 2020-4.8%-3.9%-2.1%
Q1 2020+8.0%+8.1%+11.2%
Q4 2019+17.5%+13.5%+19.1%
Q3 2019-17.1%-13.9%-22.0%
Q2 2019-23.5%-22.2%-30.4%
Q1 2019+5.0%+6.8%+16.0%
Q4 2018+10.2%+19.4%+12.5%
Q3 2018+18.0%+10.9%+20.1%
Q2 2018-3.8%-5.0%-5.1%
Q1 2018+2.5%-7.1%-1.5%
Q4 2017+11.2%+11.5%+11.8%
Q3 2017+10.6%+14.3%+20.0%
Q2 2017+3.6%+4.7%+12.2%
Q1 2017-0.8%+2.6%+6.4%
Q4 2016+5.6%+4.7%-6.2%
Q3 2016+5.9%
Q2 2016+17.9%
Q1 2016-0.5%
Q4 2015+1.7%
Q3 2015-0.1%
Q2 2015+0.1%
Q1 2015-2.6%
Q4 2014+6.6%
Q3 2014+5.3%
Q2 2014-5.5%
Q1 2014+5.3%
Q4 2013+3.3%
Q3 2013+0.5%
Q2 2013-4.0%
Q1 2013-3.4%
Q4 2010+0.9%
Q3 2012-1.4%
Q3 2011-1.4%
Q2 2012-3.5%
Q4 2011-12.1%
Q2 2011-12.1%
Q1 2012-12.1%
Q1 2011-12.1%

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