Champion Homes sales rise 6.2% to $727.0 million in fiscal second quarter
Key Facts
Champion Homes reported results for the second quarter of fiscal 2027, ended September 26, 2026, with net sales up 6.2% to $727.0 million from the year-earlier period. The financial statements showed sales of $727.032 million, compared with $684.429 million in the quarter ended September 27, 2025. Chief Executive Tim Larson said the results were "in line with our expectations." Revenue growth did not prevent net income attributable to the company from falling to $52.661 million from $58.199 million. Diluted earnings per share declined to $0.97, compared with $1.03 in the year-earlier quarter.
On an adjusted basis, the company reported earnings per share of $0.95 and net income of $51.9 million for the quarter. Earnings before interest, taxes, depreciation and amortization were $77.6 million, while adjusted earnings on that basis were $76.6 million. The adjusted EBITDA margin was 10.5%. Selling, general and administrative expenses rose to $119.8 million from $113.1 million in the year-earlier period. Adjusted expenses were $118.5 million, and the company attributed the increase to expansion of its company-owned retail network.
In the United States, homes sold rose 2.3% to 6,724 units, with the company saying the increase was driven mainly by higher production rates and increased sales through its company-owned retail stores. The average selling price of a U.S. home rose 4.1% to $102,700. The company linked the price improvement to sales-channel and product mix, as well as improved pricing realization. In Canada, the company sold 198 manufactured homes, compared with 196 units in the year-earlier period. The figures show that higher U.S. sales reflected gains in both units and average price, while Canadian sales edged up from the prior-year period.
Cash and cash equivalents totaled $702.8 million on September 26, 2026. During the quarter, the company repurchased and retired $50 million of shares. In October, the board renewed an authorization permitting potential share repurchases of $150 million. Net sales had risen 1.3% to $710.2 million in the first quarter of fiscal 2027, according to the company’s prior results. In that quarter, backlog stood at $421.8 million, while the adjusted gross profit margin was 25.2%; the company said higher material costs were partly offset by modest sales growth and pricing benefits at its company-owned stores.
For fiscal 2026, net sales had increased 7.3% to $2.7 billion, from $2.5 billion in fiscal 2025. The company attributed the annual increase mainly to the average selling price of U.S. homes and the inclusion of results from Iseman Homes, which it acquired in May 2025. Annual net income also rose 4.3% to $206.9 million from $198.4 million a year earlier. Adjusted EBITDA increased 8.1% to $308.2 million, compared with $285.1 million. Management is scheduled to discuss the quarterly results and provide an operating update on a conference call on November 4, 2026, at 8:00 a.m. Eastern Time.