Mon, Jun 16, 6:18 PM (28 days ago)
**Nobility Homes, Inc. (NOBH) Q2 2025 Financial Summary** **Financial Health and Performance:** Nobility Homes, Inc. (NOBH) reported a strong quarter with notable increases in revenue and net income. Total net sales for Q2 2025 increased by 28% to $14,757,337 compared to Q2 2024. For the first six months of 2025, net sales increased by 3% to $26,999,079. Net income for Q2 2025 was $2,292,320, up from $2,025,959 in Q2 2024. The company's gross profit margin was 31% for Q2 2025, slightly down from 36% in Q2 2024, due to a shift in sales mix towards wholesale homes. **Revenue and Profit Margins:** The increase in net sales was driven by a higher number of homes sold to independent dealers, although sales through company-owned retail centers decreased. Gross profit margins were affected by the sales mix and higher material and labor costs due to inflation and supply chain issues. Selling, general, and administrative expenses were well-managed, decreasing as a percentage of net sales. **Cash Flow:** Cash and cash equivalents slightly decreased to $13,033,939 at the end of Q2 2025 from $13,521,296 at the end of Q1 2025. The company paid a cash dividend of $1.25 per share in April 2025. Working capital remained strong at $42,972,023. The company has no debt and a strong balance sheet with total assets of approximately $65.5 million. **Earnings Changes:** Earnings per share (EPS) for Q2 2025 were $0.70, up from $0.62 in Q2 2024. For the first six months of 2025, EPS was $1.31, slightly down from $1.34 in the same period of 2024. The company's strong financial position and experience in the Florida market are expected to support future growth. **Trends and Uncertainties:** The company faces challenges such as higher interest rates, economic uncertainty, supply chain disruptions, and inflation. These factors have led to delays in production and increased material and labor costs. Despite these challenges, the company remains optimistic about its long-term growth prospects due to the strong demand for affordable housing in Florida. **Future Operations Impact:** The company expects to continue facing challenges related to interest rates, economic uncertainty, and supply chain issues. However, its strong financial position, experienced management, and vertical integration should help it navigate these challenges and capitalize on the growing demand for affordable housing. **Conclusion:** Nobility Homes, Inc. (NOBH) demonstrated strong financial health and performance in Q2 2025, with notable increases in revenue and net income. The company's strong balance sheet and experienced management position it well to navigate current challenges and capitalize on future growth opportunities.