Champion Homes Reports Q2 Fiscal 2027 Growth Driven by Captive Retail Expansion
Champion Homes (SKY) reported second-quarter fiscal 2027 net sales growth of 6.2% year-over-year, supported by a significant expansion in its captive retail segment. Company-owned sales centers now account for 39% of consolidated sales, up from 37% the previous year, providing higher margins and direct consumer access. The company's manufacturing orders grew 17% year-over-year during the quarter, with a total backlog reaching $500 million. Despite strong demand, the company faces near-term margin pressure due to accelerating inflation in steel and petroleum-based material costs. Management is countering these headwinds through targeted price increases and sourcing efficiencies. Looking forward, Champion Homes expects third-quarter revenue growth of 8% to 10% as first-time homebuyers increasingly turn to factory-built housing alternatives due to high mortgage rates and expensive site-built construction.
Tickers: $SKY
Topics: Manufacturing orders Material cost inflation Net sales growth Retail expansion