Fri, May 23, 8:27 PM (26 days ago)
### Summary of Cavco Industries, Inc. (CVCO) 2025 Annual Report **Financial Performance:** - **Revenue:** $2,015,458,000, up 12.3% from 2024. - **Net Income:** $171,036,000, up from $157,905,000 in 2024. - **Earnings per Share (EPS):** $20.97 basic, $20.71 diluted. - **Gross Profit:** $465,591,000, up 9.1% from 2024. - **Operating Expenses:** $275,315,000, up 11% from 2024. **Segment Performance:** - **Factory-Built Housing:** Revenue $1,933,111,000, up 12.6%. - **Financial Services:** Revenue $82,347,000, up 5.3%. **Market Position:** - **Market Share:** One of the largest producers of manufactured homes in the U.S. - **Product Lines:** Manufactured homes, park model RVs, vacation cabins, and factory-built commercial structures. **Strategic Overview:** - **Branding:** Unified brand strategy under the Cavco name. - **Product Segmentation:** Streamlined for better digital discoverability and simpler home buying process. - **Sustainability:** Focus on energy-efficient and environmentally friendly homes. **Future Outlook:** - **Growth Initiatives:** Expansion of home-only lending programs and community-based lending initiatives. - **Regulatory Compliance:** Adherence to HUD regulations and other federal, state, and local laws. - **Market Challenges:** Competition from Clayton Homes, Champion Corporation, and other national manufacturers. **Risk Factors:** - **Economic Risks:** Sensitivity to employment levels, consumer confidence, and general economic conditions. - **Supply Chain Risks:** Dependence on raw materials and labor availability. - **Regulatory Risks:** Compliance with HUD, EPA, and other regulatory bodies. **Financial Condition:** - **Liquidity:** Sufficient cash and cash equivalents, with a $75.0 million revolving credit facility. - **Debt:** Compliance with debt covenants and projections of cash availability. **Market Position Changes:** - **Competitive Landscape:** Highly competitive at both the wholesale and retail levels. - **Product Innovation:** Focus on customizable and energy-efficient homes. **Operational Highlights:** - **Production:** 31 homebuilding production lines across the U.S. and Mexico. - **Distribution:** 80 Company-owned retail stores and a network of independent distributors. **Financial Highlights:** - **Cash Flow:** Positive cash flow from operations, with investments in acquisitions and strategic initiatives. - **Capital Expenditures:** Focus on property, plant, and equipment to support growth. **Conclusion:** Cavco Industries, Inc. demonstrates strong financial performance and strategic initiatives aimed at maintaining market leadership in the manufactured housing sector. The company's focus on innovation, regulatory compliance, and operational efficiency positions it well for future growth and sustainability.