In This Article:
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Product Sales Decrease: Decreased by $6.8 million or 18% during Q3 2024 compared to Q3 2023.
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Interest Income Increase: Increased by $1.5 million or 17.3% during Q3 2024 compared to Q3 2023.
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Other Revenue Decrease: Decreased by $0.4 million or 8.7% during Q3 2024 compared to Q3 2023.
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Cost of Product Sales Decrease: Decreased by $3.5 million or 13.9% during Q3 2024 compared to Q3 2023.
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Gross Profit Margin: 29.2% for Q3 2024 compared to 32.9% for Q3 2023.
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Net Income: Decreased by 1.8% to $15.8 million in Q3 2024 compared to Q3 2023.
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Basic Earnings Per Share: Decreased by 1 cent or 1.5% in Q3 2024 compared to Q3 2023.
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Cash Balance: Approximately $0.6 million as of September 30, 2024, compared to $0.7 million as of December 31, 2023.
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Revolver Balance: $2.1 million as of September 30, 2024, compared to $23.7 million as of December 31, 2023.
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Book Value Per Share: $19.84, an increase of 12.7% from the same period in 2023.
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Retail Finance Applications: Up 16% in Q3 2024 compared to Q3 2023.
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Interest Revenue Growth: Up 33.9% from MH P, Retail Finance, and Floor Plan Financing over the last 12 months.
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Land Sale: Sold excess land in Horseshoe Bay for $2.7 million during Q3 2024.
Release Date: November 13, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Legacy Housing Corp (NASDAQ:LEGH) reported a successful fall show, which resulted in a record number of customer orders extending the backlog into the first quarter of 2025.
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The company increased production at its Texas plants and showcased significant updates to home finishes, appealing to younger home buyers.
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Interest income from consumer, MH P, and dealer loans increased by 17.3% due to growth in loan portfolios.
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Legacy Housing Corp (NASDAQ:LEGH) reported a 27% increase in product sales for October 2024 compared to September 2024.
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The company is seeing improvement in its community business and has secured several meaningful orders, indicating potential growth in 2025.
Negative Points
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Product sales decreased by 18% during the third quarter of 2024 compared to the same period in 2023, primarily due to a decrease in unit volume shipped.
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Gross profit margin declined to 29.2% from 32.9% in the previous year, driven by underabsorbed labor due to lower production levels.
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Net income decreased by 1.8% to $15.8 million in the third quarter of 2024 compared to the third quarter of 2023.
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The company experienced a decrease in other revenue by 8.7%, primarily due to a decrease in forfeited deposits and dealer finance fees.
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High interest rates continue to depress transaction volumes in the community business, slowing recovery.