Cavco Industries (CVCO) Q4 2025 earnings summary

Executive summary

• Net revenue for Q4 2025 was $508.4 million, up 21% year-over-year; full year revenue reached $2,015 million, a 12.3% increase.

• Q4 net income was $36.3 million, up from $33.9 million a year ago; adjusted net income (excluding brand realignment expenses) was $43.9 million.

• Diluted EPS for Q4 was $4.47, or $5.40 on an adjusted basis; full year diluted EPS was $20.71, adjusted to $21.63.

• Rebranding unified all manufacturing plants under the Cavco name, streamlining product lines and enhancing digital marketing.

• $150 million in stock repurchases completed in fiscal 2025, with an additional $150 million buyback program approved.

Financial highlights

• Q4 net revenue was $508.4 million, up 21% year-over-year, but down $13.7 million sequentially due to lower average revenue per home.

• Factory-built housing segment Q4 revenue increased 22.4% to $487.9 million, with a 28.5% increase in homes sold; financial services revenue declined 5.2% to $20.5 million.

• Q4 consolidated gross margin was 22.8%, down 80 basis points year-over-year; factory-built housing gross margin was 22.3%.

• Q4 net income was $36 million; adjusted net income was $44 million, up 29.4% year-over-year.

• Q4 net factory-built housing revenue per home sold was $96,415, down 4.7% year-over-year.

Outlook and guidance

• April order rates and backlog growth continued the positive momentum from March, with most plants holding or preparing to increase production rates.

• Unified branding and national product lines are expected to simplify the home search process and leverage marketing efforts.

• Pricing pressures are regionally apparent, especially in Florida and for single-wide homes, but overall price competition remains limited.

• Tariff impacts on input costs are expected to begin affecting margins late in Q1 and more significantly in Q2, with management focused on proactive mitigation.

• OSB prices are currently low, potentially providing a margin tailwind, but volatility is expected as the spring building season progresses.