Legacy Housing Corporation Reports 2019 Second Quarter Results
- Revenue for the second quarter of 2019 was
$45.8 million, compared to $44.0 millionin the second quarter of 2018, an increase of $1.8 millionor 4%.
- Gross margin percentage increased to 29.9% from 23.2% from the prior year as a result of price increases, increased sales to manufactured home parks, and increased company-owned retail sales directly to consumers.
- The manufactured home park loan portfolio increased by
$14.1 millionto a total of $72.0 million, an increase of 24% from the end of 2018. The consumer loan portfolio increased to $101.0 million, inclusive of the allowance for loan loss and other discounts.
- Earnings before taxes grew
$2.5 millionor 28% to $11.4 millionin the second quarter compared to the prior year quarter. Net income was $8.6 millionin the second quarter of 2019, compared to $6.9 millionfor the comparable period in 2018, a 25% increase in net income.
- The Company’s revenue and net income increases came exclusively from organic growth.
- Earnings per share for the second quarter of 2019, based on diluted weighted average shares outstanding, was
$0.35on 24,369,890 diluted outstanding shares versus $0.34on 20,000,000 outstanding shares for the comparable quarter in 2018. The increase in shares reflects those shares sold pursuant to the Company’s successful initial public offering.
This shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Company’s securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Management Conference Call-
Senior management will discuss the results of the second quarter of 2019 in a live webcast and conference call on
This press release contains forward-looking statements within the meaning of the Securities and Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control. As a result, our actual results or performance may differ materially from anticipated results or performance.
|LEGACY HOUSING CORPORATION|
|BALANCE SHEETS (in thousands)|
|June 30,||December 31,|
|Cash and cash equivalents||$||2,422||$||2,599|
|Prepaid expenses and other current assets||20,723||18,512|
|Total current assets||56,729||63,144|
|Property, plant and equipment, net||18,041||17,128|
|Consumer loans, net of deferred financing fees and allowance for loan losses||95,772||92,230|
|Notes receivable from mobile home parks (“MHP”)||62,830||50,638|
|Other assets and non-current inventory||18,444||11,898|
|Liabilities and Stockholders' Equity|
|Total current liabilities, excluding debt||$||22,019||$||20,157|
|Total long-term debt, including current portion||12,586||17,644|
|Other long-term liabilities||8,029||7,957|
|Total stockholder's equity||209,182||189,280|
|Total liabilities and stockholders' equity||$||251,816||$||235,038|
|LEGACY HOUSING CORPORATION|
|STATEMENTS OF OPERATIONS|
|(in thousands, except share and per share data)|
|Three Months Ended June 30,||Six months ended June 30,|
|Consumer and MHP loans interest||5,112||4,504||10,642||8,897|
|Total net revenue||45,761||44,006||83,715||86,690|
|Cost of product sales||27,876||29,335||49,760||56,981|
|Selling, general administrative expenses||6,144||5,175||12,635||9,974|
|Income from operations||11,502||9,494||20,871||19,398|
|Income before income tax expense||11,421||8,934||20,642||18,284|
|Income tax expense||(2,788||)||(2,046||)||(4,796||)||(6,036||)|
|Weighted average shares outstanding:|
|Net income per share:|
Source: Legacy Housing Corporation