The Recreation Vehicle Industry Association commissioned an Economic Impact Study on the RV industry, released on June 7, 2016. The study found that the RV industry contributes about $49.7 billion in economic output or 0.28 percent of the Gross Domestic Product. Through its production and distribution linkages, the industry impacts firms in 426 of the 440 sectors of the United States economy.
Nationwide, the industry is responsible for 216,170 jobs, both directly and inderectly, creating an economic impact of $37.5 billion. The full study results, along with each individual state and congressional district's economic impact is available on the website by clicking here .
Tue Feb 7, 2017
PHOENIX - Cavco Industries, Inc. has announced financial results for the third fiscal quarter ended Dec. 31, 2016.
Financial highlights include the following:
Net revenue for the third quarter of fiscal year 2017 totaled $202.3 million, up 11.5 percent from $181.4 million for the third quarter of fiscal year 2016. The increase is primarily from 8.5 percent higher home sales during the period. Net revenue for the first nine months of fiscal 2017 was $575.8 million, up 7.6 percent from $535.1 million for the comparable prior year period, from 7.9 percent greater home sales volume. The nine month period includes one additional month of Fairmont Homes operations versus the same period last year, as Fairmont Homes was purchased by the company on May 1, 2015.
Income before income taxes was $17.3 million for the third quarter of fiscal 2017, a 44.2 percent increase from $12 million income before income taxes in the comparable quarter last year. The improvement was the result of higher home sales as well as stronger earnings in the financial services segment compared to last year’s third fiscal quarter. Last year’s third quarter was adversely impacted by higher than normal weather-related insurance claims. For the first nine months of fiscal 2017, income before income taxes increased 17.2 percent to $38.8 million from $33.1 million in the comparable period of the prior year. The increase for the nine month period was primarily from improved home sales volume, partially offset by high claims at the company's insurance subsidiary generated by multiple unusually severe storms in Texas during the first quarter of fiscal year 2017.
Income tax expense was $5 million with an effective tax rate of 28.9 percent for the third quarter of fiscal year 2017 compared to $3.9 million and an effective tax rate of 32.5 percent in the same quarter of the prior year. The current quarter contains certain manufacturing-related deductions as well as research and development tax credits, collectively realized upon filing the company’s tax returns. For the nine months ended Dec. 31, 2016, income tax expense was $11.7 million for an effective tax rate of 30.3 percent, compared to income tax expense of $11.6 million and an effective tax rate of 34.9 percent in the comparable period. During the current nine month period, in addition to the benefits listed above, the company also recorded initial research and development tax credits that became realizable.
Net income was $12.3 million for the third quarter of fiscal year 2017, compared to net income of $8.1 million in the same quarter of the prior year, a 51.9 percent increase. For the nine months ended Dec. 31, 2016, net income was $27.1 million, up 25.5 percent from net income of $21.6 million for the first nine months of fiscal 2016.
Net income per share for the third quarter of fiscal 2017, based on basic and diluted weighted average shares outstanding, was $1.37 and $1.35, respectively, compared to net income per share of $0.91 and $0.89, respectively, for the comparable quarter last year. Net income per share for the nine months ended Dec. 31, 2016, based on basic and diluted weighted average shares outstanding, was $3.02 and $2.98, respectively, versus basic and diluted net income per share of $2.43 and $2.38, respectively, for the prior nine month period.
"Homebuyer demand was on a general uptrend during the first nine months of the fiscal year and continues to be positive," Cavco Chairman, President and CEO Joseph Stegmayer says. "Recently, the company has been delivering a limited number of units for disaster relief, which enhances Cavco's housing revenue in the otherwise seasonally slower winter months. The manufactured housing industry appears to be in a modest recovery mode from the historically low levels of recent years and we believe we are positioned well to benefit."