Cavco Industries Sees Strong Sales Growth, Despite Challenging Weather and Economic Uncertainty

Cavco Industries, a leading manufacturer of recreational vehicles and manufactured homes, reported strong sales growth in its fourth quarter 2025 earnings call. Despite facing challenging weather conditions and economic uncertainty, the company saw a significant increase in unit shipments and backlog.

According to Bill Boor, President and Chief Executive Officer, Cavco's unit shipments were up almost 29% year-over-year, driven by a pickup in March after unusually harsh weather in February slowed installations in the field and caused some unplanned downtime in several plants. The company lost 24 operating days across its system due to the weather, but was able to make up for the lost time in March.

While the backlog was down sequentially, Boor noted that backlogs were expected to be down in January and continued to decline in February. However, a healthy increase was seen in March, indicating that buyers are still active in purchasing new homes. The company has 5-7 weeks of backlog across its system.

The market activity across the retail channels is generally positive, with Cavco's plants either holding production levels or looking to increase depending on their specific market conditions. Earlier in Q4, the company announced that it had renamed its manufacturing plants to the Cavco name as part of a rebranding effort. This change will make it easier for homebuyers to quickly narrow their search to the product lines that match their needs.

Cavco's strategic investment through the downturn has meaningfully grown its peak-to-peak capacity, enabled by strong cash generation and a debt-free balance sheet. The company is well-positioned to continue ramping shipments through both industry growth and market share gains.

"We're excited about our sales performance in Q4, despite the challenges we faced," said Boor. "Our investment in digital marketing and plant improvements has paid off, and we're seeing positive trends across the retail channels."

The company's results demonstrate its ability to adapt to changing market conditions and invest in strategic initiatives that drive growth. As the housing market continues to evolve, Cavco is well-positioned to capitalize on opportunities and deliver strong performance for investors.