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Jun 27, 2020
Cavco Q1 2021 Earnings Report
Cavco Industries reported a decrease in net revenue and net income due to COVID-19 related production inefficiencies.
Key Takeaways
Cavco Industries reported a decrease in net revenue by 3.5% and net income by 21.6% for the first quarter of fiscal year 2021. The decline was primarily due to lower home sales volume in the factory-built housing segment, impacted by COVID-19 related production inefficiencies. Increased order volume, supported by reduced home loan interest rates, raised order backlogs by 20%.
Net revenue decreased by 3.5% to $254.8 million compared to the same quarter last year.
Net income decreased by 21.6% to $16.7 million, with diluted net income per share at $1.80.
Production inefficiencies related to COVID-19 impacted factory delivery volume and home sales.
Order backlogs increased by 20% to $157 million due to increased order volume.
Cavco
Cavco
Cavco Revenue by Segment
Revenue by Segment
Factory-Built Housing Revenue
CapyFin.comFinancial Services Revenue
CapyFin.com Forward Guidance
Market uncertainty remains and challenges are expected to persist due to the COVID-19 pandemic.
Positive Outlook
- The company acted quickly with the safety and continued employment of co-workers at the forefront of every decision.
- The company remains committed to its customers.
- The company will continue its important work to the extent it can do so safely.
- The resilience, creativity, and commitment of people throughout Cavco is strong.
- The company has continuing cash generation.
Challenges Ahead
- The COVID-19 pandemic has created unprecedented disruption and uncertainty.
- Operational inefficiencies occurred during the quarter.
- Market uncertainty remains.
- Challenges are expected to persist.
- It is difficult to predict the future impacts on housing demand or the nature of operations.
Revenue & Expenses
Visualization of income flow from segment revenue to net income