Nobility Homes Q1 2026 profit falls, special dividend
Nobility Homes, Inc. reported softer results for its first quarter ended January 31, 2026 and declared a one-time cash dividend.
Rhea-AI Filing Summary
Nobility Homes, Inc. reported softer results for its first quarter ended January 31, 2026 and declared a one-time cash dividend. Net sales were $10.5 million versus $12.2 million a year earlier, with net income of $1.6 million compared to $2.0 million. Earnings per share were $0.50, down from $0.61 basic in the prior-year quarter.
The company highlighted a strong balance sheet, including $25.9 million in cash, cash equivalents, certificates of deposit and short-term investments, no outstanding debt, working capital of $45.6 million, and stockholders’ equity of $59.4 million with book value of $18.85 per share. The Board declared a one-time cash dividend of $1.50 per common share for fiscal 2025, payable on April 13, 2026 to shareholders of record on March 30, 2026.
Management attributed lower sales and earnings to fewer higher-margin homes sold through company-owned retail centers, a shift toward lower-priced homes, higher interest rates, supply chain delays, labor shortages, and inflation in building products, and indicated these challenges are expected to continue through fiscal 2026.
Positive
- None.
Negative
- Meaningful year-over-year earnings decline: Q1 2026 net sales fell to $10.5 million from $12.2 million, and net income decreased to $1.6 million from $2.0 million, with EPS down to $0.50 from $0.61, as higher rates, mix shift, and cost pressures impacted results.
Insights
Revenue and earnings declined, but balance sheet and special dividend remain strong.
Nobility Homes posted a year-over-year drop in performance, with Q1 2026 net sales of $10.5 million versus $12.2 million and net income of $1.6 million versus $2.0 million. EPS slipped to $0.50 from $0.61, reflecting lower volumes and margin pressure.
Management cites fewer higher-margin homes sold through company-owned retail centers (43 versus 67) and more sales to independent dealers (57 versus 31), which carry lower margins. Higher interest rates, customers trading down to lower-priced homes, and ongoing material, labor, and supply chain issues further weigh on profitability.
Despite this, liquidity and capitalization are robust, with $25.9 million in liquid investments, no debt, working capital of $45.6 million, and equity of $59.4 million. The one-time $1.50-per-share cash dividend for fiscal 2025 continues a decade-long pattern of such payouts, even as management expects current headwinds to persist through fiscal 2026.
8-K Event Classification
FAQ
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of The Securities Exchange Act of 1934
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| ITEM 2.02 | Results of Operations and Financial Condition |
On March 13, 2026, Nobility Homes, Inc. (the “Company”) issued a press release regarding sales and earnings for its first quarter ended January 31, 2026.
The Board of Directors of the Company declared a one-time cash dividend of $1.50 per common share for the fiscal year 2025. The cash dividend is payable on April 13, 2026, to stockholders of record as of March 30, 2026.
The text of the press release is attached as Exhibit 99.1.
| ITEM 9.01 | Financial Statements and Exhibits |
(d) Exhibits:
| Exhibit 99.1 | Earnings release issued by Nobility Homes, Inc. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| NOBILITY HOMES, INC. | ||||||
| March 16, 2026 | By: | /s/ Lynn J. Cramer, Jr. | ||||
| Lynn J. Cramer, Jr., Treasurer | ||||||
| and Principal Accounting Officer | ||||||
Exhibit 99.1
NOBILITY HOMES, INC. ANNOUNCES SALES AND EARNINGS FOR ITS FIRST QUARTER 2026
Ocala, FL…March 13, 2026—Today Nobility Homes, Inc. (OTCQX: NOBH) announced sales and earnings for its first quarter ended January 31, 2026. Sales for the first quarter of 2026 were $10.5 million compared to $12.2 million recorded in the first quarter of 2025. Income from operations for the first quarter of 2026 was $1.8 million versus $2.3 million in the same period a year ago. Net income after taxes was $1.6 million as compared to $2.0 million for the same period last year. Earnings per share for the first quarter of 2026 were $0.50 per share compared to $0.61 per share ($0.60 diluted) last year.
Nobility’s financial position during the first quarter of 2026 remains strong with cash and cash equivalents, certificates of deposit and short-term investments of $25.9 million and no outstanding debt. Working capital is $45.6 million and our ratio of current assets to current liabilities is 8.0:1. Stockholders’ equity is $59.4 million and the book value per share of common stock is $18.85.
The Board of Directors on March 6, 2026 declared a one-time cash dividend of $1.50 per common share for the fiscal year 2025. The cash dividend is payable on April 13, 2026, to stockholders of record as of March 30, 2026. Nobility Homes has distributed one-time cash dividends for the last ten fiscal years.
Terry Trexler, President, stated, “Total net sales decreased during the first three months of 2026 as compared to same period in 2025 due to a decrease in the number of new retail homes sold in our Company owned retail sales centers (43 homes versus 67 homes) partially offset by an increase in the number of homes sold to independent dealers (57 homes versus 31 homes) which have lower margins. In addition, we are building and selling lower-priced homes to offset costs for customers due to the higher interest rates.
We believe that potential customers have delayed or deferred purchasing decisions, or are generally opting to purchase lower cost homes, when considering the higher interest rate environment and the uncertainty of the economy, which continue to negatively impact sales. There also remain delays in the receipt of certain key production materials from suppliers, as well as back orders, price increases, tariffs and labor shortages which continue to cause delays in the completion of the homes at our manufacturing facility. We also continue to experience inflation in several building products resulting in increases in our material and labor costs. We expect these challenges will continue throughout fiscal year 2026.
According to the Florida Manufactured Housing Association, shipments for the manufacturing housing industry in Florida for the period from November 2025 through January 2026 increased by approximately 2% from the same period last year.
Maintaining our strong financial position is vital for future growth and success. Our many years of experience in the Florida market, combined with home buyers’ increased need for more affordable housing, should serve the Company well in the coming years. Management remains convinced that our specific geographic market is one of the best long-term growth areas in the country.”
On June 5, 2025, we celebrated our 58th anniversary in business specializing in the design and production of quality, affordable manufactured and modular homes. With multiple retail sales centers in Florida for over 35 years and an insurance agency subsidiary, we are the only vertically integrated manufactured home company headquartered in Florida.
MANAGEMENT WILL NOT HOLD A CONFERENCE CALL. IF YOU HAVE ANY QUESTIONS, PLEASE CALL TERRY OR TOM TREXLER @ 800-476-6624 EXT 121 OR TERRY@NOBILITYHOMES.COM OR TOM@NOBILITYHOMES.COM
Certain statements in this report are unaudited or forward-looking statements within the meaning of the federal securities laws. Although Nobility believes that the amounts and expectations reflected in such forward-looking statements are based on reasonable assumptions, there are risks and uncertainties that may cause actual results to differ materially from expectations. These risks and uncertainties include, but are not limited to, the potential adverse impact on our business caused by competitive pricing pressures at both the wholesale and retail levels, inflation, tariffs, increasing material costs (including forest based products) or availability of materials due to supply chain interruptions (such as current inflation with forest products and supply issues with vinyl siding and PVC piping), changes in market demand, increase in interest rates, availability of financing for retail and wholesale purchasers, consumer confidence, adverse weather conditions that reduce sales at retail centers, the risk of manufacturing plant shutdowns due to storms or other factors, the impact of marketing and cost-management programs, the impact of higher interest rates on mortgage financing, reliance on the Florida economy, impact of labor shortage, impact of materials shortage, increasing labor cost, cyclical nature of the manufactured housing industry, impact of rising fuel costs, catastrophic events impacting insurance costs, availability of insurance coverage for various risks to Nobility, market demographics, management’s ability to attract and retain executive officers and key personnel, increased global tensions, market disruptions resulting from terrorist attacks, or other events such as a pandemic, any armed conflict involving the United States and the impact of inflation.
NOBILITY HOMES, INC.
Condensed Consolidated Balance Sheets
| January 31, 2026 |
November 1, 2025 |
|||||||
| (Unaudited) | ||||||||
| Assets |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 11,083,302 | $ | 13,230,504 | ||||
| Certificates of deposit |
14,184,546 | 13,109,325 | ||||||
| Short-term investments |
622,994 | 583,128 | ||||||
| Accounts receivable - trade |
3,950,239 | 4,602,671 | ||||||
| Mortgage notes receivable |
5,287 | 3,645 | ||||||
| Income tax receivable |
— | — | ||||||
| Inventories |
20,267,781 | 19,733,235 | ||||||
| Prepaid expenses and other current assets |
1,925,924 | 2,000,403 | ||||||
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|
|
|
|
|||||
| Total current assets |
52,040,073 | 53,262,911 | ||||||
| Property, plant and equipment, net |
8,163,330 | 8,230,055 | ||||||
| Mortgage notes receivable, less current portion |
141,885 | 143,373 | ||||||
| Other investments |
579,943 | 553,752 | ||||||
| Property held for resale |
26,590 | 26,590 | ||||||
| Deferred income taxes |
— | — | ||||||
| Cash surrender value of life insurance |
4,838,430 | 4,772,430 | ||||||
| Other assets |
156,287 | 156,287 | ||||||
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|
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| Total assets |
$ | 65,946,538 | $ | 67,145,398 | ||||
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| Liabilities and Stockholders’ Equity |
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| Current liabilities: |
||||||||
| Accounts payable |
$ | 686,746 | $ | 586,001 | ||||
| Accrued compensation |
411,291 | 765,853 | ||||||
| Accrued expenses and other current liabilities |
1,403,404 | 1,590,827 | ||||||
| Income taxes payable |
526,191 | 658,461 | ||||||
| Customer deposits |
3,451,530 | 2,795,344 | ||||||
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|
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| Total current liabilities |
6,479,162 | 6,396,486 | ||||||
| Deferred income taxes |
34,069 | 34,069 | ||||||
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|
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| Total liabilities |
6,513,231 | 6,430,555 | ||||||
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| Commitments and contingencies |
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| Stockholders’ equity: |
||||||||
| Preferred stock, $.10 par value, 500,000 shares authorized; none issued and outstanding |
— | — | ||||||
| Common stock, $.10 par value, 10,000,000 shares authorized; 5,364,907 shares issued; 3,153,665 and 3,253,665 shares outstanding |
536,491 | 536,491 | ||||||
| Additional paid in capital |
11,376,733 | 11,316,595 | ||||||
| Retained earnings |
80,666,245 | 79,037,919 | ||||||
| Less treasury stock at cost, 2,211,242 and 2,111,242 shares, respectively |
(33,146,162 | ) | (30,176,162 | ) | ||||
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|
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| Total stockholders’ equity |
59,433,307 | 60,714,843 | ||||||
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| Total liabilities and stockholders’ equity |
$ | 65,946,538 | $ | 67,145,398 | ||||
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NOBILITY HOMES, INC.
Condensed Consolidated Statements of Income
(Unaudited)
| Three Months Ended | ||||||||
| January 31, 2026 |
February 1, 2025 |
|||||||
| Net sales |
$ | 10,502,846 | $ | 12,241,742 | ||||
| Cost of sales |
(7,305,740 | ) | (8,270,957 | ) | ||||
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|
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| Gross profit |
3,197,106 | 3,970,785 | ||||||
| Selling, general and administrative expenses |
(1,369,656 | ) | (1,676,650 | ) | ||||
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| Operating income |
1,827,450 | 2,294,135 | ||||||
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| Other income (expense) |
||||||||
| Interest income |
255,849 | 285,278 | ||||||
| Undistributed earnings in joint venture - Majestic 21 |
26,191 | 25,805 | ||||||
| Proceeds received under escrow arrangement |
21,446 | 38,152 | ||||||
| Increase (decrease) in fair market value of equity investment |
39,866 | (2,916 | ) | |||||
| Gain on disposal of property, plant and equipment |
1,000 | — | ||||||
| Miscellaneous |
9,330 | 8,759 | ||||||
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|
|
|
|||||
| Total other income |
353,682 | 355,078 | ||||||
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| Income before provision for income taxes |
2,181,132 | 2,649,213 | ||||||
| Income tax expense |
(552,806 | ) | (668,791 | ) | ||||
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| Net income |
$ | 1,628,326 | $ | 1,980,422 | ||||
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| Weighted average number of shares outstanding: |
||||||||
| Basic |
3,250,368 | 3,268,829 | ||||||
| Diluted |
3,256,535 | 3,277,204 | ||||||
| Net income per share: |
||||||||
| Basic |
$ | 0.50 | $ | 0.61 | ||||
| Diluted |
$ | 0.50 | $ | 0.60 | ||||