Champion Homes (SKY) Q4 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, May 26, 2026 astatine 9:00 AM CDT 41 min read

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DATE

Tuesday, May 26, 2026 astatine 8:00 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Timothy Larson

• Chief Financial Officer — David McKinstray

• Director of Investor Relations — Ellen [Surname not stated]

Full Conference Call Transcript

Timothy Larson: Thank you, Ellen. It's large to invited you to Champion Homes arsenic our caller Director of Investor Relations. Good morning, everyone. Fiscal 2026 results bespeak a twelvemonth of beardown execution and performance. We navigated a challenged macro situation by being agile and progressive crossed the concern with our customer-centric attack arsenic our North Star. On our telephone a twelvemonth ago, we shared our strategical priorities, and we are encouraged by the advancement of our squad and the interaction we are experiencing successful the marketplace. This is champion reflected successful the information that crossed Champion, we earned the concern of 26,622 customers successful fiscal 2026, the grounds fig of homes sold since the institution went nationalist successful 2018.

Off-site built homes proceed to beryllium a compelling affordable solution to the nationalist lodging crisis. With the mean terms of a location successful the U.S. hovering adjacent $500,000, Champion Homes provides today's buyers with a high-quality, charismatic brand-new location astatine a fraction of that cost. That comparative worth proposition lone becomes much almighty successful a higher cost, higher uncertainty environment. And that's 1 of the reasons wherefore we are truthful encouraged by the roadworthy up astatine Champion. We're pleased that the ECN transaction closed past month. and we're putting a information of that superior to enactment towards our strategical priorities by expanding our retail transmission and elevating the lawsuit experience.

In enactment of those strategies, we announced contiguous the acquisition of Homes Direct. Homes Direct is simply a beacon of the manufactured lodging manufacture with locations successful Arizona, California, Colorado, New Mexico and Oregon. This acquisition expands our beingness successful the West adding 11 retail locations and volition bring our fig of institution retail stores successful the U.S. to 95. Homes Direct's laminitis is Ray Gritton, an manufacture pioneer and well-respected leader. It's personally been a pleasance to enactment with him connected this transaction. He and his squad had a concern exemplary that's a large acceptable with our imaginativeness and culture, and we look guardant to further collaborating with Ray and the Homes Direct team.

The 11 retail locations person annualized revenues of astir $70 million, and we spot a beardown pipeline of section marketplace request and commercialized opportunities. We expect the transaction to adjacent successful our fiscal 2nd quarter. The Homes Direct transaction demonstrates our committedness to expanding our retail beingness and utilizing our superior to enactment our strategy. Our team's agile execution crossed our strategical priorities is creating meaningful differentiation successful our products and wide lawsuit experience. And that's wherefore we proceed to outperform the industry. Performance that was besides recognized this caller 4th with 2 manufacture honors that bespeak however our homes are evolving and elevating.