Cavco Revenue Jumps 17.9% to $656.4 Million, Beating Second-Quarter Expectations
Key Facts
Cavco Industries reported on October 29 results for its fiscal second quarter ended September 26, 2026, recording revenue of $656.4 million, up 17.9% from $556.5 million in the same period a year earlier. Revenue topped analysts’ estimate of $613.3 million, according to Investing.com coverage. Adjusted earnings per share were $7.17, beating the average forecast of $5.52 by $1.65. CEO Bill Boor said the company delivered "two consecutive quarters of record revenue and unit volume." The results were announced after the market close on October 29, according to the company statement carried by Nasdaq.
Revenue growth was linked to higher sales and increased average revenue per home. Manufactured housing units sold rose 12.6% to 9,794, while homes sold increased 15.3% to 5,972, according to company data published via Nasdaq. Manufactured housing revenue was $633.736 million, up 18.4%, while financial services revenue reached $22.642 million, up 5.8%. Average manufactured housing revenue per home sold rose 2.7% to $106,118, from $103,344 a year earlier. The company attributed the increase in manufactured housing revenue to organic sales volume growth, the acquisition of American Homestar in the third quarter of the prior year, and higher revenue per home sold.
But sales growth did not translate into improvement across all margins. The manufactured housing gross profit margin fell to 21.1% from 22.9% in the same period a year earlier, according to Investing.com. By contrast, the financial services gross profit margin rose to 60.2% from 55.6%. The CEO said materials inflation persisted and expected it to remain a challenge in the coming period, adding that selling price increases during the quarter exceeded cost pressures. Pretax income was $73 million, up 9.1% from $67 million a year earlier. Net income per diluted share also rose 9% to $7.17 from $6.55.
Quarterly results included a one-time benefit from a $7 million insurance premium refund, which added $0.70 to earnings per share, according to Investing.com. For the six months ended September 26, revenue rose 13.7% to $1,266.337 million, but net income declined 6.1% to $97.710 million. Diluted earnings per share for the first half also fell 2.9% to $12.59. These figures highlight the divergence between revenue and earnings in the first half, while the standalone quarter result reflected an annual increase in net income per diluted share. Capacity utilization was about 75% and remained consistent year over year, according to the company statement.
On the demand side, backlog stood at $348 million at quarter-end, equivalent to 8–10 weeks of production, up $50 million from $298 million at the end of the previous quarter. Boor said orders were below the prior quarter’s pace but remained healthy as backlog continued to grow. The company said orders and shipments of workforce housing for data centers began during the quarter and contributed to the stronger backlog. Cavco also repurchased about $30 million in shares during the period, with $158 million remaining available under board authorizations. The company described the display of its "Grande Arbor" home at the Department of Housing and Urban Development’s Innovative Housing Showcase in Washington as a quarter highlight, noting it was the first home built to the "HUD-Code" standard without a steel chassis.
The company is heading into the winter months, which management described as seasonally slower, while noting its ability to adjust production in response to demand trends. Senior executives are scheduled to discuss the results in a live webcast on October 30, 2026, at 1:00 p.m. Eastern time, according to a company notice published via GlobeNewswire. The CEO had pointed to continued materials inflation as an expected challenge in the coming period. At the same time, the company said orders remained healthy and backlog continued to grow during the quarter. This follows Cavco’s record revenue and unit volume in two consecutive quarters, according to Boor.