Champion Homes Q2 sales slightly beat estimates
SKY•Champion Homes reported fiscal second-quarter sales of $727 million, slightly above the $721.04 million consensus, and adjusted EPS of $0.97 versus expectations of $0.94. It repurchased $50 million of stock and refreshed its buyback authorization to $150 million in October.
1. Quarterly results
Fiscal second-quarter sales rose to $727 million, slightly beating analyst expectations of $721.04 million. Adjusted EPS was $0.97, above the $0.94 consensus, while net income was $52.70 million and gross margin was 25.50%.
2. Sales and costs
The company said higher production rates and increased sales from captive retail stores drove an increase in U.S. homes sold. Higher average selling prices per U.S. home reflected improved price realization and channel and product mix. Inflationary increases in cost of sales primarily contributed to a decrease in net income.
3. Buyback authorization
Champion Homes repurchased $50 million of stock and refreshed its buyback authorization to $150 million in October. The company did not provide specific financial guidance for current or future periods in the press release.
