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Cavco Industries Shareholders Approve Executive Pay, Elect Directors

Published 02/08/2024, 23:22
CVCO
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PHOENIX, AZ – Cavco Industries (NASDAQ:CVCO) Inc., a company specializing in mobile homes, announced the results of its 2024 Annual Meeting of Stockholders, which took place on Monday. The meeting saw the election of directors and approval of executive compensation, as well as the ratification of the company's independent auditor for the upcoming fiscal year.

During the meeting, approximately 93% of the outstanding shares were represented. Shareholders elected Steven G. Bunger and Steven W. Moster to the company's board for a three-year term expiring at the 2027 annual meeting. Bunger received 7,251,565 votes for, 174,744 against, and 565 abstentions, while Moster garnered 6,546,555 votes for, 879,708 against, and 611 abstentions.

In an advisory vote, the compensation of Cavco's named executive officers was approved with 7,322,372 votes for, 101,445 against, and 3,057 abstentions. Additionally, the appointment of RSM US LLP as Cavco's independent registered public accounting firm for fiscal year 2025 was ratified with 7,350,340 votes for, 307,175 against, and 1,197 abstentions.

The company, headquartered in Phoenix, Arizona, is incorporated in Delaware and trades on the Nasdaq Global Select Market under the ticker symbol NASDAQ:CVCO. Cavco Industries has not provided any forward-looking statements or additional commentary on the outcomes of the meeting.

In other recent news, Cavco Industries reported its Q4 results, which failed to meet Wall Street expectations. The company reported a net income of $34 million and net revenue of $420 million, falling short of the analyst consensus estimate of $4.51 per share and revenue expectations of $463.48 million. This represents an 11.8% decrease in revenue compared to the same quarter last year, with factory-built housing revenue decreasing by 12.6%.

In addition to these developments, the company's gross profit margin contracted by 170 basis points to 23.6%. Despite these challenges, Cavco's financial services segment saw a 6.4% increase in net revenue, attributed to more insurance policies in force compared to the prior year. Backlogs as of March 30, 2024, were up by 19.4% to $191 million from three months prior.

Furthermore, the company's full fiscal year results also reflected a decline, with net revenue down 16.2% to $1,795 million from the previous year's $2,143 million. Net income per diluted share for the full year was reported at $18.37, a decrease from the prior year's $26.95. These are the recent developments concerning Cavco Industries.

InvestingPro Insights

As Cavco Industries Inc. (NASDAQ:CVCO) concludes its Annual Meeting of Stockholders with positive shareholder sentiment, the InvestingPro data presents a nuanced picture of the company's financial health. With a market capitalization of $3.17 billion and a price-to-earnings (P/E) ratio of 22.2, the company's valuation reflects investor confidence. This is further supported by a robust return on assets of 11.86% over the last twelve months as of Q4 2024, indicative of efficient asset utilization.

InvestingPro Tips highlight that Cavco holds more cash than debt, providing financial stability, and its liquid assets exceed short-term obligations, ensuring operational liquidity. Additionally, the company has been profitable over the last twelve months and analysts predict profitability will continue this year. These factors, combined with a strong return over the past month, suggest a bullish outlook for Cavco Industries.

For investors seeking a deeper dive into Cavco's prospects, InvestingPro offers additional insights. Currently, there are seven more InvestingPro Tips available, which can be explored for a comprehensive analysis of the company's potential. To access these tips and gain a more detailed understanding of Cavco Industries' financial trajectory, visit https://www.investing.com/pro/CVCO.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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