Cavco Industries, Inc. · NASDAQ:CVCO
Cavco Industries — Investor Presentation (January 2023)
21 slides from Cavco Industries's investor presentation, January 2023
Slide 1: Cavco Industries, Inc. Investor Presentation January 2023
Cavco Industries, Inc. INVESTOR PRESENTATION JANUARY 2023 investor.cavco.com | Nasdaq: CVCO 1
Slide 2: Forward-looking Statements
Forward-looking Statements Certain statements contained in this release are forward-looking statements. In general, all statements that are not historical in nature are forward-looking. Forward-looking statements are typically included, for example, in discussions regarding the manufactured housing
Slide 3: Cavco Overview
Cavco Overview Quality, affordable homes that provide shelter and security for families across the country Financial Performance* Twelve months ended October 1, 2022 Industry Leader Financial Services Revenue EBITDA (Earnings before interest, taxes, Gross Margin Percentage ONE OF THE • Mortgage and
Slide 4: The Affordable Housing Crisis
The Affordable Housing Crisis “…(in) no market in this country can a homebuilder build a house that is affordable for a first-time home buyer.” National Association of Home Builders CE O, Jerry Howard JANUARY 18, 2022 JULY 14, 2022 Aug 8, 2022 A growing share of There’s a massive housing Three Chall
Slide 5: Factory-built Industry: Leading the Way in Solving the Affordable Housing Crisis
” Factory-built Industry: Leading the Way in Cavco is building affordable houses for many home buyers. Solving the Affordable Housing Crisis Most affordable Ownership at Quality manufactured form of monthly cost homes at affordable unsubsidized comparable to price points home ownership apartment ren
Slide 6: The Difference
The Difference Corporate Superior Financial Operational Expanding responsibility homes strategy excellence capacity CAVCO INDUS T R IE S , INC. | NAS DAQ : CVCO 6
Slide 7: Corporate Responsibility
Corporate Responsibility Continuous commitment to a positive impact on people, communities and the environment Our People – ONECavco Our CAVCOmmunity 20 employees and their families as a Homes for our Own provides education with % in healthcare enrollment for potential for financial assistance for e
Slide 8: Environmental Impact
Environmental Impact Minimizing our environmental impact throughout the entire manufacturing cycle Our Approach Green Energy Solar panels supply ~60% of Reduce waste + Preserve natural resources electricity in our Glendale, AZ, + Increase use of recycled materials = plant, reducing our carbon Reduct
Slide 9: Superior Homes in a Strong Industry
Superior Homes in a Strong Industry Providing high quality, cost-conscious and innovative housing HUD-Code Modular Home Home Built off-site, Constructed on a transported, permanent assembled and chassis to the customized on-site, federal standard to local construction standards Park Model Multi-fami
Slide 10: Distribution Channels
Distribution Channels Diverse channels provide a broader network for home sales growth Retail Builder/Developer Communities Company-owned and independent Consistent, robust channel, which Capitalize on channel diversification in a retailers work directly with end customer includes hospitality and gr
Slide 11: Manufactured Industry Drivers
Manufactured Industry Drivers Better value Environmental Manufactured Housing Industry than site-built advantages Demand Drivers 36 145 companies with homebuilding factories 6M Unit Deficit Long-term undersupply has led to an approximate 6-million-unit deficit IN 88 % of new homes sold under $200,00
Slide 12: Manufactured Housing Industry Annual Shipments
Manufactured Housing Industry Annual Shipments Consistent growth from Great Recession lows Shipments grew 112% since 125,000 2009 and 2010 106,000 100,000 96,000 97,000 95,000 93,000 94,000 82,000 81,000 75,000 70,500 64,000 60,000 55,000 50,000 50,000 52,000 50,000 25,000 0 Source: Manufactured Hou
Slide 13: Financial Strategy
Financial Strategy Proven ability to deliver organic growth, capacity expansion and shareholder value 12 Consecutive Years of increasing revenue and profit Balance Sheet Management Strong track record of growth, cost $ 333M Zero management, strong free cash flow cash as of Q2-FY23 corporate debt* ge
Slide 14: Financial Results & Highlights as of Q2'23
Financial Results & Highlights as of Q2’23 ANOTHER Net Revenue Net Income Net Revenue $1,627 STRONG QUARTER $ 577M $ 74M ($ millions) $1,108 $1,166 $1,062 $963 Gross profit as a percentage of net E arnings per diluted share revenue increased to $ 8.25 H12023 27.3 % Income Before Tax ($ millions) M&A
Slide 15: Operational Excellence
Operational Excellence Finding innovative ways to increase manufacturing output and efficiencies and improve safety Safety Safety Now program builds a Lean Manufacturing Reducing 80+ % Capacity utilization Increasing safety-first culture productivity waste in production plants 18% fewer recordable i
Slide 16: Expanding Capacity
Expanding Capacity Operating with high levels of capacity utilization in production plants Added six new manufacturing facilities through the acquisition of Commodore M&A Added four new production lines with Solitaire Homes and retail distribution across three states Increased capacity by over 30% w
Slide 17: Solitaire Homes Overview
Solitaire Homes Overview E xpanding southwestern footprint with factory-built housing manufacturer and retailer Key Statistics Financials Manufacturing Homes Sold Retail Employees $93M Purchase price Net Revenue* EBITDA* Production Lines in 2021 Stores $156.3 $16.5 4 1,577 22 950 Subject to certain
Slide 18: What's Next?
What’s Next? Manufacturing technology Two new production facilities Digital marketing innovation ramping up Zoning improvements opening Continuing to invest in Focus on environmental issues up new, urban market productivity improvements and opportunities opportunities across 31 production lines CAVC
Slide 19: The Difference
The Difference Corporate Superior Financial Operational Expanding responsibility homes strategy excellence capacity Growing our positive Providing high quality, Committed to Operating safe and Growing through value- impact on people, cost-conscious and responsible capital highly efficient creating o
Slide 20: Thank you.
cavco’ Thank you. Factory-built housing solutions
Slide 21: Cavco Portfolio of Brands
Cavco Portfolio of Brands Providing system-built housing solutions across a strong portfolio of brands CAVCO INDUSTRIES, INC. | NASDAQ: CVCO 21
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