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Nobility Homes, Inc. (NOBH-0.17%) has submitted its annual report on Form 10-K filing for the fiscal year ended November 2, 2024.
The filing details the company's operations, which include designing, manufacturing, and selling manufactured and modular homes through its retail sales centers in Florida. Nobility Homes also sells homes on a wholesale basis to independent dealers and manufactured home communities.
Nobility Homes reported total net sales of $51,933,622 for fiscal year 2024, a decrease from $63,318,392 in the previous year. The decrease is attributed to a reduction in the number of retail homes sold and manufactured, as well as the impact of higher interest rates on mortgage sales.
Net income for fiscal year 2024 was $8,611,262, compared to $10,898,864 in fiscal year 2023. The decrease in net income is due to lower sales and ongoing challenges with supply chain issues, including delays in receiving key production materials and labor shortages.
The company continues to face challenges with inflation and shortages in materials, which have resulted in increased material and labor costs. Nobility Homes has adjusted selling prices to offset these higher costs.
Nobility Homes operates ten retail sales centers in Florida through its wholly owned subsidiary, Prestige Home Centers, Inc., which accounted for 88% of the company's sales in fiscal years 2024 and 2023.
The company does not finance customers' home purchases directly but relies on independent sources for financing. The lack of lenders in the industry and rising interest rates have impacted retail sales.
Nobility Homes maintains a strong balance sheet with total assets of approximately $66.6 million, primarily funded by stockholders' equity of approximately $56.6 million. The company has no debt and significant cash reserves.
The company is not required to consolidate its joint venture, Majestic 21, with its accounts. Nobility Homes received a distribution of $1.6 million from 21st Mortgage Corporation, representing its share of excess capital in the portfolio.
Nobility Homes' management continues to monitor market conditions and adjust strategies to address challenges such as interest rate fluctuations and supply chain disruptions.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Nobility Homes, Inc. annual 10-K report dated January 30, 2025. To report an error, please email earnings@qz.com.