Key Highlights

  • CVCO shares trading up 14.46% today to $626.36
  • Second-quarter Revenue of $656.4 million, up about 18% year over year
  • Diluted Earnings of $7.17 per share, up from $6.55
  • Backlog of $348 million, up $50 million from the prior quarter
  • About $30 million of stock repurchased in the quarter, with $158 million of authorization remaining

Record Revenue and Unit Volume Lift Cavco Shares

Cavco Industries (NASDAQ:CVCO) shares are trading up 14.46% today at $626.36 after the company reported fiscal 2027 second-quarter results for the period ended September 26, 2026. Net revenue rose about 18% to $656.4 million from $556.5 million, which management described as a second consecutive quarter of record revenue and unit volume.

Homes sold increased about 15% to 5,972, and average revenue per home rose about 3% to roughly $106,100. Net Income grew about 6% to $55.4 million, while pre-tax income rose about 9% to $73.4 million. The CEO said price increases outpaced cost pressures, producing a small sequential Margin gain.

Phoenix-based Cavco builds manufactured and modular homes sold through independent and company-owned retailers, and also makes park model RVs, vacation cabins and commercial structures. Its financial services arm includes CountryPlace Mortgage and the insurer Standard Casualty.

Diluted EPS of $7.17 Includes a One-Time Insurance Refund

Diluted earnings per share were $7.17, up about 9.5% from $6.55. A one-time $7 million insurance premium refund added roughly $0.70 to the figure.

Consolidated gross margin slipped to 22.5% from 24.2%, and factory-built housing gross margin fell to 21.1% from 22.9% as input costs rose. Financial services gross margin improved to 60.2% from 55.6%.

Across the first six months of the fiscal year, revenue rose about 14% to $1.27 billion, but net income fell about 6% to $97.7 million and diluted earnings dropped to $12.59 from $12.96.

Backlog Grows to $348 Million as Data Center Housing Orders Begin

Backlog reached $348 million, equal to roughly 8 to 10 weeks of production and up $50 million from the prior quarter. Management said orders slowed from the prior quarter but remained healthy, and capacity utilization held near 75%, a level unchanged from a year earlier.

Factory-built housing revenue was $633.7 million, up about 18%, with Operating Income of $64.4 million, up about 13%. Financial services revenue was $22.6 million, up about 6%, with operating income of $5.6 million.

The company said orders and shipments for workforce housing tied to data center projects began this quarter. It also showed the Grande Arbor, described as the first off-chassis HUD-Code home, at a federal housing showcase.

Cash Build, Buybacks and Valuation Frame the Next Update

Cash and equivalents rose to $271.9 million from $236.7 million at fiscal year-end, with about $25 million in restricted cash and $60 million in short-term and long-term investments. Cavco repurchased about $30 million of stock during the quarter, leaving $158 million under existing authorizations.

Market data from October 27 showed a market Capitalization of about $4.09 billion, a price-to-earnings ratio near 23.1, trailing revenue of about $2.30 billion and a 52-week range of $443.34 to $713.01. The average analyst price target stood at $665.00.

The Earnings Call was scheduled for today. Management expects materials Inflation to remain a challenge for the business, so gross margin trends and order intake will be key points in the next quarterly update, alongside any progress from federal and state housing support initiatives.