Legacy Housing Corporation reports for the third quarter of 2020
BEDFORD, Texas, November 16, 2020 (GLOBE NEWSWIRE) – Legacy Housing Corporation (NASDAQ: LEGH) today announced its financial results for the third quarter ended September 30, 2020.
- Third quarter 2020 revenue was $ 43.7 million, an increase of $ 1.8 million and a 4.3% improvement over net revenue of $ 41.9 million of the third quarter of 2019.
- Interest income from the consumer loan and mobile home fleet loan portfolios in the third quarter of 2020 was $ 6.4 million, an increase of 13.0% from 5.7 million dollars recorded in the third quarter of 2019.
- Q3 2020 operating profit was $ 10.8 million, an increase of $ 2.8 million and an improvement of 34.5% from the reported $ 8.1 million in the third quarter of 2019. On a year-over-year basis, operating income increased by $ 10.4. million or 31.4%.
- Selling, general and administrative expenses in the third quarter of 2020 were $ 4.5 million, down 28.1% from $ 1.8 million from the $ 6.3 million in the third quarter. quarter of 2019. This is due to a reduction in payroll costs, bad debts and loan losses. supply, warranty service fees, and consulting and professional fees.
- Total inventories were down $ 2.3 million or 5.7% to $ 38.0 million in the third quarter of 2020, from $ 40.3 million in the third quarter of 2019.
- Third quarter 2020 net income increased $ 2.3 million to $ 8.4 million or 37.6% from $ 6.1 million in the third quarter of 2019.
- Earnings per share for the third quarter of 2020, based on the weighted diluted average of shares outstanding, was $ 0.35 out of 24,214,279 diluted shares outstanding compared to $ 0.25 out of 24,338,839 diluted shares outstanding for the comparable quarter in 2019.
- Curtis D. Hodgson, Executive Chairman of the Board, said: “We are satisfied with the third quarter 2020 results, in particular our ability to outperform 2019 results despite the challenges of 2020. The demand for mobile housing remains strong as we seek to complete the rest of the year. Over the past twelve months, we have increased the tangible book value by $ 1.42 per share. “
This will not constitute an offer to sell or the solicitation of an offer to buy, nor will there be a sale of securities of the Company in any state or jurisdiction in which such an 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 – November 17 To ten AM (central time)
Senior management will discuss the third quarter 2020 results during a live webcast and conference call on Tuesday, November 17, 2020 at 10:00 a.m. Central Time. To register and participate in the webcast, please visit https://edge.media-server.com/mmc/p/zc7af25t which will also be accessible via www.legacyhousingUSA.com under the link Investors. To connect, please call (866) 952-6347 and enter conference ID 8382528 when prompted. Please try to join the webcast or call at least ten minutes before the scheduled start time.
About the Legacy Housing Corporation
Legacy Housing Corporation builds, sells and finances manufactured homes and “cottages” which are distributed through a network of independent retailers and company-owned stores and are sold directly to manufactured housing communities. We are the fourth largest manufacturer of manufactured homes in the United States based on the number of homes manufactured based on information available from the Manufactured Housing Institute. With current operations concentrated primarily in the southern United States, we offer our clients a range of quality homes ranging from approximately 390 to 2,667 square feet consisting of 1 to 5 bedrooms, with 1 to 3 1 / 2 bathrooms. Our homes range in price, at retail, from around $ 22,000 to $ 120,000.
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. . Therefore, our actual results or performance may differ materially from the anticipated results or performance. Legacy Housing does not undertake to update these forward-looking statements after the date hereof, except as required by law. Investors should not rely on these forward-looking statements.
Shane Allred, Chief Financial Officer, (817) 799-4903
Casey Mack, (817) 799-4904
|HERITAGE HOUSING COMPANY|
|BALANCE SHEET (in thousands)|
|September 30||The 31st of December,|
|Cash and cash equivalents||$||1643||$||1,724|
|Inventories||27 852||27 228|
|Prepaid expenses and other current assets||26 175||24,015|
|Total current assets||55 670||52,967|
|Net tangible assets||22,445||21,038|
|Consumer loans, net of deferred financing costs and allowance for loan losses||103,406||99,048|
|Items Receivable from Mobile Home Parks (“MHP”)||116,842||81,375|
|Other non-current assets and inventories||30,017||29,192|
|Liabilities and equity|
|Total current liabilities, excluding debt||$||28,139||$||23,073|
|Total long-term debt, including the short-term portion||43 820||30,861|
|Other long-term liabilities||7 764||7,297|
|Total equity for shareholders||248 657||222,389|
|Total liabilities and equity||$||328,380||$||283,620|
|HERITAGE HOUSING COMPANY|
|(in thousands, excluding data per share and per share)|
|Three months ended September 30||Six months ended September 30|
|Product sales||$||36,566||$||35 355||$||106 940||$||106,671|
|Interest on consumer loans and MHP||6,428||5 688||18 919||16,330|
|Total net revenue||43 743||41 936||128,022||125 651|
|Operating costs :|
|Cost of product sales||27 839||27,504||78,387||77,265|
|Sales, general administrative costs||4,525||6,293||14,202||18 928|
|Incentive for dealers||550||85||929||534|
|Income from operations||10 829||8,054||34,504||28 924|
|Profit before tax charge||10 932||8,033||35,604||28,675|
|Income tax expense||(2486||)||(1895||)||(8,097||)||(6,691||)|
|Net revenue||$||8,446||$||6 138||$||27,507||$||21,984|
|Weighted average of shares outstanding:|
|Basic||24 192 157||24 317 143||24 237 402||24 400 534|
|Diluted||24 214 279||24 338 839||24,243,927||24,421,355|
|Net earnings per share:|