Cavco Backlog Rises to $348 Million as Data Center Orders Start

Cavco Industries said it began seeing data-center workforce-housing orders and shipments in the fiscal second quarter. Total backlog reached $348 million, equal to eight to 10 weeks of production.

The quarter ended Sept. 26. Backlog increased $50 million from $298 million in the preceding quarter. The data-center orders and shipments were not separately quantified by dollar value or unit count.

Net revenue reached $656.4 million, up 17.9% from a year earlier. Cavco sold 5,972 factory-built homes, a 15.3% increase, and used about 75% of its production capacity.

Factory-built housing gross profit equaled 21.1% of segment revenue, down from 22.9% in the year-earlier quarter. Across the company, gross profit was 22.5% of revenue, compared with 24.2% a year earlier. Materials inflation remained a challenge, while selling-price increases exceeded cost pressures during the quarter and contributed to a small sequential improvement in gross margin.

Cavco President and CEO Bill Boor said, “While orders were off the preceding quarter pace, they remained healthy and backlogs continued to grow.”