Table of Contents
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
FORM
10-Q
 
 
Quarterly Report Pursuant to Section 13 or 15 (d)
of the Securities Exchange Act of 1934
For the quarterly period ended July 31, 2021February 5, 2022
Commission File number
000-06506
 
 
NOBILITY HOMES, INC.
(Exact name of registrant as specified in its charter)
 
 
 
Florida
59-1166102
(State or other jurisdiction of
incorporation or organization)
 
59-1166102
(I.R.S. Employer
Identification No.)
3741 S.W. 7th Street
Ocala, Florida
34474
(Address of principal executive offices)
 
34474
(Zip Code)
(
(352)
352)
732-5157
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act: None
 
 
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ☒;    No  ☐.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation
S-T
during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ☒;    No  ☐.
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated
filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule
12b-2
of the Exchange Act.
 
Large accelerated filer ☐  Accelerated filer ☐
Non-accelerated
filer		 ☒  Smaller reporting company ☒
   Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐.
Indicate by check mark whether the registrant is a shell company (as defined in Rule
12b-2
of the Exchange Act).    Yes  ☐;    No  ☒.
Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date.
 
Shares Outstanding on
Title of Class
 
September 10, 2021Shares Outstanding on
March 
22
, 2022
Common Stock
 
3,532,1003,532,976
 
 
 
Table of Contents
NOBILITY HOMES, INC.
INDEX
 
     
Page
Number
 
PART I.
 
Financial Information
  
Item 1.
 
Financial Statements (Unaudited)
Condensed Consolidated Balance Sheets as of February 5, 2022 (Unaudited) and November 6, 2021
   3 
 Condensed Consolidated Balance Sheets as of July 31, 2021 (Unaudited) and October 31, 20203
Condensed Consolidated Statements of Income for the three and nine months ended July 31,February 5, 2022 (Unaudited) and January 30, 2021 (Unaudited) and August 1, 2020 (Unaudited)
   4 
 
Condensed Consolidated Statements of Changes in Stockholders’ Equity for the three and nine months ended July 31,February 5, 2022 (Unaudited) and January 30, 2021 (Unaudited) and August 1, 2020 (Unaudited)
   5 
 
Condensed Consolidated Statements of Cash Flows for the ninethree months ended July 31,February 5, 2022 (Unaudited) and January 30, 2021 (Unaudited) and August 1, 2020 (Unaudited)
   6 
 
Notes to Condensed Consolidated Financial Statements (Unaudited)
   7 
Item 2.
 
Management’s Discussion and Analysis of Financial Condition and Results of Operations
   1211
Item 4.
Controls and Procedures
14 
    Item 4.PART II.
 Controls and Procedures16
PART II.
Other Information  
Item 2.
 
Unregistered Sales of Equity Securities and Use of Proceeds
   1715 
Item 6.
 Exhibits17
SignaturesExhibits
   1815
Signatures16 
 
2
Table of Contents
NOBILITY HOMES, INC.
Condensed Consolidated Balance Sheets
 
  July 31, 2021 October 31, 2020   February 5,
2022		 November 6,
2021		 
  (Unaudited)     (Unaudited)   
Assets
          
Current assets:
          
Cash and cash equivalents
  $33,720,078  $30,305,902   $38,932,257  $36,126,059 
Certificates of
deposit
   2,090,910   4,602,307    0     2,093,015 
Short-term investments
   562,270   358,960    617,835   621,928 
Accounts receivable—trade
   1,134,675   790,046 
Accounts receivable - trade
   493,504   680,228 
Note receivable
   41,636   35,997    23,905   32,825 
Mortgage notes receivable
   22,217   20,162    23,291   22,589 
Income taxes receivable
   81,262   105,676 
Inventories
   9,428,923   9,294,677    10,902,578   10,394,288 
Pre-owned
homes, net
   678,303   441,937    982,496   542,081 
Prepaid expenses and other current assets
   1,370,339   1,014,849    1,618,570   1,821,267 
  
 
  
 
   
 
  
 
 
Total current assets
   49,130,613   46,970,513    53,594,436   52,334,280 
Property, plant and equipment, net
   6,916,778   5,142,714    6,923,336   6,847,780 
Pre-owned
homes, net
   716,582   1,077,240    0     755,394 
Note receivable, less current portion
   44,595   6,573    33,372   38,895 
Mortgage notes receivable, less current portion
   223,762   227,509    221,130   222,459 
Mobile home park note receivable
   72,731   —      136,509   72,731 
Other investments
   1,775,323   1,729,364    1,800,993   1,788,436 
Deferred income taxes
   0   3,598 
Operating lease right of use assets
   684,142   715,368    0     1,597 
Cash surrender value of life insurance
   3,929,552   3,795,902    4,009,698   3,966,939 
Other assets
   156,287   156,287    156,287   156,287 
  
 
  
 
   
 
  
 
 
Total assets
  $63,650,365  $59,825,068   $66,875,761  $66,184,798 
  
 
  
 
   
 
  
 
 
Liabilities and Stockholders’ Equity
          
Current liabilities:
          
Accounts payable
  $818,230  $928,095   $998,869  $939,964 
Accrued compensation
   441,760   670,520    592,998   555,222 
Accrued expenses and other current liabilities
   1,427,862   1,383,833    1,435,056   1,513,967 
Income taxes payable
   458,479   89,083 
Operating lease obligation
   33,039   24,192    0     1,597 
Customer deposits
   12,350,225   5,098,633    12,793,296   13,671,092 
  
 
  
 
   
 
  
 
 
Total current liabilities
   15,071,116   8,105,273    16,278,698   16,770,925 
  
 
  
 
 
Deferred income taxes
   86,413   —      99,568   99,568 
Operating lease obligation, less current portion
   752,300   778,519 
  
 
  
 
   
 
  
 
 
Total liabilities
   15,909,829   8,883,792    16,378,266   16,870,493 
  
 
  
 
   
 
  
 
 
Commitments and contingencies
   0    0     0    0  
Stockholders’ equity:
        0   0 
Preferred stock, $.10 par value, 500,000 shares authorized; NaN issued and outstanding
   0—   0—      0—     0—   
Common stock, $.10 par value, 10,000,000 shares authorized; 5,364,907 shares issued; 3,532,100 and
3,631,196 outstanding, respectively
   536,491   536,491 
Common stock, $.10 par value, 10,000,000 shares authorized; 5,364,907 shares issued; 3,532,976 and 3,532,100 outstanding, respectively
   536,491   536,491 
Additional paid in capital
   10,749,843   10,694,554    10,782,019   10,766,253 
Retained earnings
   58,185,400   57,976,051    60,899,793   59,742,759 
Less treasury stock at cost, 1,832,807 shares in 2021 and 1,733,711 shares in 2020
   (21,731,198)   (18,265,820) 
Less treasury stock at cost, 1,831,931 shares in 2022 and 1,832,807 shares in 2021
   (21,720,808)   (21,731,198) 
  
 
  
 
   
 
  
 
 
Total stockholders’ equity
   47,740,536   50,941,276    50,497,495   49,314,305 
  
 
  
 
   
 
  
 
 
Total liabilities and stockholders’ equity
  $63,650,365  $59,825,068   $66,875,761  $66,184,798 
  
 
  
 
   
 
  
 
 
The accompanying notes are an integral part of these condensed consolidated financial statements
 
3
Table of Contents
NOBILITY HOMES, INC.
Condensed Consolidated Statements of Income
(Unaudited)
 
  Three Months Ended Nine Months Ended 
  July 31, August 1, July 31, August 1,   Three Months Ended 
  2021 2020 2021 2020   February 5,
2022		 January 30,
2021		 
Net sales
  $11,778,120  $8,800,410  $35,592,531  $28,446,764   $10,808,270  $9,071,511 
Cost of sales
   (9,265,376)   (6,361,500)   (26,969,655)   (19,980,510)    (8,080,042)  (6,574,064) 
  
 
  
 
  
 
  
 
   
 
  
 
 
Gross profit
   2,512,744   2,438,910   8,622,876   8,466,254    2,728,228   2,497,447 
Selling, general and administrative expenses
   (1,320,456)   (1,107,850)   (4,144,350)   (3,586,622)    (1,416,543)  (1,273,381) 
  
 
  
 
  
 
  
 
   
 
  
 
 
Operating income
   1,192,288   1,331,060   4,478,526   4,879,632    1,311,685   1,224,066 
  
 
  
 
  
 
  
 
   
 
  
 
 
Other income (loss):
              
Interest income
   62,491   53,209   145,621   239,365    74,680   30,656 
Undistributed earnings in joint venture - Majestic 21
   20,202   20,855   45,959   61,125    12,557   13,708 
Proceeds received under escrow arrangement
   75,156   64,053   121,024   336,447    118,045   45,868 
(Decrease) increase market value of equity investment
   (449)   21,475   203,310   (159,051) 
Gain on sale of assets
   —   32,041   —   32,041 
(Decrease) increase in fair value of equity investment
   (4,093)   79,956 
Miscellaneous
   48,169   12,910   73,434   32,504    13,556   7,320 
  
 
  
 
  
 
  
 
   
 
  
 
 
Total other income
   205,569   204,543   589,348   542,431    214,745   177,508 
  
 
  
 
  
 
  
 
   
 
  
 
 
Income before provision for income taxes
   1,397,857   1,535,603   5,067,874   5,422,063    1,526,430   1,401,574 
Income tax expense
   (347,111)   (375,465)   (1,226,425)   (1,311,780)    (369,396)   (335,809) 
  
 
  
 
  
 
  
 
   
 
  
 
 
Net income
  $1,050,746  $1,160,138  $3,841,449  $4,110,283   $1,157,034  $1,065,765 
  
 
  
 
  
 
  
 
   
 
  
 
 
Weighted average number of shares outstanding:
              
Basic
   3,599,133   3,631,089   3,621,084   3,641,048    3,532,803   3,631,924 
Diluted
   3,613,187   3,632,420   3,630,216   3,642,397    3,544,467   3,633,493 
Net income per share:
              
Basic
  $0.29  $0.32  $1.06  $1.13   $0.33  $0.29 
Diluted
  $0.29  $0.32  $1.06  $1.13   $0.33  $0.29 
The accompanying notes are an integral part of these condensed consolidated financial statements
 
4
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NOBILITY HOMES, INC.
Condensed Consolidated Statements of Changes in Stockholders’ Equity
For the ninethree months ended July 31,February 5, 2021 and August 1, 2020January 30, 2021
(Unaudited)
 
                 Accumulated       
                 Other       
   Common  Common   Additional   Retained  Comprehensive  Treasury    
   Stock Shares  Stock   
Paid-in-Capital
   Earnings  Income  Stock  Total 
Balance at October 31, 2020
   3,631,196  $536,491   $10,694,554   $57,976,051  $—    $(18,265,820)  $50,941,276 
Stock-based compensation
   —     —      20,521    —     —     —     20,521 
Exercise of employee stock
                               
options
   1,250   —      1,950    —     —     13,175   15,125 
Net income
   —     —      —      1,065,765   —     —     1,065,765 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at January 30, 2021
   3,632,446   536,491    10,717,025    59,041,816   —     (18,252,645)   52,042,687 
Cash dividend
   —     —      —      (3,632,100)   —     —     (3,632,100) 
Purchase of treasury stock
   (346)   —      —      —     —     (10,553)   (10,553) 
Stock-based compensation
   —     —      16,409    —     —     —     16,409 
Net income
   —     —      —      1,724,938   —     —     1,724,938 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at May 1, 2021
   3,632,100   536,491    10,733,434    57,134,654   —     (18,263,198)   50,141,381 
Purchase of treasury stock
   (100,000)   —      —      —     —     (3,468,000)   (3,468,000) 
Stock-based compensation
   —     —      16,409    —     —     —     16,409 
Net income
   —     —      —      1,050,746   —     —     1,050,746 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at July 31, 2021
   3,532,100  $536,491   $10,749,843   $58,185,400  $—    $(21,731,198)  $47,740,536 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at November 2, 2019
   3,664,070  $536,491   $10,687,662   $55,298,750  $389,164  $(17,445,752)  $49,466,315 
Adoption of ASU
2016-01
   —     —      —      389,164   (389,164)   —     —   
Adoption of ASU
2016-02
   —     —      —      (64,591)   —     —     (64,591) 
Balance at November 2, 2019
   —     —      —      —     —     —     —   
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
as adjusted
   3,664,070   536,491    10,687,662    55,623,323   —     (17,445,752)   49,401,724 
Purchase of treasury stock
   (14,400)   —      —      —     —     (345,600)   (345,600) 
Stock-based compensation
   —     —      906    —     —     —     906 
Net income
   —     —      —      1,400,141   —     —     1,400,141 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at February 1, 2020
   3,649,670   536,491    10,688,568    57,023,464   —     (17,791,352)   50,457,171 
Cash dividend
   —     —      —      (3,630,970)   —     —     (3,630,970) 
Purchase of treasury stock
   (18,700)   —      —      —     —     (476,850)   (476,850) 
Stock-based compensation
   —     —      906    —     —     —     906 
Net income
   —     —      —      1,550,004   —     —     1,550,004 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at May 4, 2020
   3,630,970   536,491    10,689,474    54,942,498   —     (18,268,202)   47,900,261 
Stock-based compensation
   226   —      4,174    —     —     2,382   6,556 
Net income
   —     —      —      1,160,138   —     —     1,160,138 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
Balance at August 1, 2020
   3,631,196  $536,491   $10,693,648   $56,102,636  $—    $(18,265,820)  $49,066,955 
   
 
 
  
 
 
   
 
 
   
 
 
  
 
 
  
 
 
  
 
 
 
   Common
Stock Shares		   Common
Stock		   Additional
Paid-in-Capital
  Retained
Earnings		   Treasury
Stock		  Total 
Balance at November 6, 2021
   3,532,100   $536,491   $10,766,253  $59,742,759   $(21,731,198)  $49,314,305 
Stock-based compensation
   180    —      33,218   —      2,135   35,353 
Exercise of employee stock options
   966    —      (17,452)   —      17,452   — 
Treasury stock purchase

  
(270
)
  
—
   
—
   
—
   
(9,197
)
  
(9,197
)
Net income
   —      —      —     1,157,034    —     1,157,034 
   
 
 
   
 
 
   
 
 
  
 
 
   
 
 
  
 
 
 
Balance at February 5, 2022
   3,532,976   $536,491   $10,782,019  $60,899,793   $(21,720,808)  $50,497,495 
   
 
 
   
 
 
   
 
 
  
 
 
   
 
 
  
 
 
 
   Common
Stock Shares		   Common
Stock		   Additional
Paid-in-Capital
   Retained
Earnings		   Treasury
Stock		  Total 
Balance at October 31, 2020
   3,631,196   $536,491   $10,694,554   $57,976,051   $(18,265,820)  $50,941,276 
Stock-based compensation
   —      —      20,521    —      —     20,521 
Exercise of employee stock options
   1,250    —      1,950    —      13,175   15,125 
Net income
   —      —      —      1,065,765    —     1,065,765 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
  
 
 
 
Balance at January 30, 2021
   3,632,446   $536,491   $10,717,025   $59,041,816   $(18,252,645)  $52,042,687 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
  
 
 
 
The accompanying notes are an integral part of these condensed consolidated financial statements
 
5
Table of Contents
NOBILITY HOMES, INC.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
 
  Nine Months Ended   Three Months Ended 
  July 31,
2021		 August 1,
2020		   February 5,
2022		 January 30,
2021		 
Cash flows from operating activities:
          
Net income
  $3,841,449  $4,110,283   $1,157,034  $1,065,765 
Adjustments to reconcile net income to net cash provide by operating activities:
          
Depreciation
   142,224   118,179    43,227   56,943 
Deferred income taxes
   90,011   60,055 
Undistributed earnings in joint venture - Majestic 21
   (45,959)   (61,125)    (12,557)   (13,708) 
Gain on disposal of property, plant and equipment
   —   (32,041) 
(Increase) decrease in fair market value of equity investments
   (203,310)   159,051 
Decrease (Increase) in fair market value of equity investments
   4,093   (79,956) 
Stock-based compensation
   53,340   8,368    35,353   20,521 
Amortization of operating lease right of use assets
   31,226   26,862    1,597   10,331 
Decrease (increase) in:
          
Accounts receivable - trade
   (344,629)   638,480    186,724   (267,040) 
Inventories
   (134,246)   (20,842)    (508,290)   (1,309,716) 
Pre-owned
homes
   124,292   (385,597)    314,979   (216,973) 
Prepaid expenses and other current assets
   (355,490)   155,518    202,697   (538,208) 
Interest receivable
   (16,223)   (130,097)    —     (8,444) 
Income tax receivables
   24,414   —      —     105,676 
(Decrease) increase in:
          
Accounts payable
   (109,865)   (457,884)    58,905   172,260 
Accrued compensation
   (228,760)   (296,735)    37,776   (223,775) 
Accrued expenses and other current liabilities
   44,028   (883,146)    (88,108)  (270,148) 
Income taxes payable
   —   (2,016,132)    369,396   230,133 
Customer deposits
   7,251,592   69,067    (877,796)  2,701,182 
  
 
  
 
   
 
  
 
 
Net cash provided by operating activities
   10,164,094   1,062,264    925,030   1,434,843 
  
 
  
 
   
 
  
 
 
Cash flows from investing activities:
          
Purchase of property, plant and equipment
   (1,916,288)   (270,365)    (118,783)   (278,070) 
Purchase of certificates of deposit
   —   (20,000) 
Proceeds from certificates of deposit
   2,496,000   2,024,000    2,087,936   1,500,000 
Proceeds from disposal of property, plant and equipment
   —   33,139 
Collections on interest receivable
   31,620   87,358    5,079   28,640 
Collections on mortgage notes receivable
   1,692   1,596    627   609 
(Issuance of) collections
o
n
equipment note receivable
   (43,661)   66,218 
Collections on equipment and other notes receivable
   14,443   6,738 
Issuance of mobile home park note receivable
   (72,731)   —      (63,778)   —   
Increase in cash surrender value of life insurance
   (133,650)   (144,000)    (42,759)   (44,550) 
  
 
  
 
   
 
  
 
 
Net cash provided by investing activities
   362,982   1,777,946    1,882,765   1,213,367 
  
 
  
 
   
 
  
 
 
Cash flows from financing activities:
          
Payment of cash dividend
   (3,632,100)   (3,630,970) 
Proceeds from exercise of employee stock option
   15,125   —      —   15,125 
Purchase of treasury stock
   (3,478,553)   (822,450) 
Reduction of operating lease obligation
   (17,372)   (9,507)    (1,597)   (5,714) 
  
 
  
 
   
 
  
 
 
Net cash used in financing activities
   (7,112,900)   (4,462,927) 
Net cash (used in) provided by financing activities
   (1,597)  9,411 
  
 
  
 
   
 
  
 
 
Increase (decrease) in cash and cash equivalents
   3,414,176   (1,622,717)
Increase in cash and cash equivalents
   2,806,198   2,657,621 
Cash and cash equivalents at beginning of year
   30,305,902   22,533,965    36,126,059   30,305,902 
  
 
  
 
   
 
  
 
 
Cash and cash equivalents at end of period
  $33,720,078  $20,911,248 
Cash and cash equivalents at end of quarter
  $38,932,257  $32,963,523 
  
 
  
 
 
 
 
 
 
 
 
Supplemental disclosure of cash flows information:
     
Income taxes paid
  $1,112,000  $3,368,000 
Supplemental financing activity:

    
Noncash exercise of employee stock options

 
$
(9,197
)
 
$
—
 
  
 
  
 
 
 
 
 
 
 
 
 
 
The accompanying notes are an integral part of these condensed consolidated financial statements
 
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Nobility Homes, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)
 
Note 1
Basis of Presentation and Accounting Policies
The accompanying unaudited condensed consolidated financial statements for the three and nine months ended July 31, 2021February 5, 2022 have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission for Form
10-Q.
Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements.
The unaudited financial information included in this report includes all adjustments (consisting of normal recurring adjustments) which are, in the opinion of management, necessary to reflect a fair statement of the results for the interim periods. The results of operations for the three and nine months ended July 31, 2021February 5, 2022 are not necessarily indicative of the results of the full fiscal year.
The condensed consolidated financial statements included in this report should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on
Form 10-K
for the fiscal year ended October 31, 2020.
November 6, 2021.
 
Note 2
Inventories
New home inventory is carried at the lower of cost or net realizable value. The cost of finished home inventories determined on the specific identification method is removed from inventories and recorded as a component of cost of sales at the time revenue is recognized. In addition, an allocation of depreciation and amortization is included in cost of goods sold. Under the specific identification method, if finished home inventory can be sold for a profit there is no basis to write down the inventory below the lower of cost or net realizable value.
The Company acquired certain repossessed
pre-owned
inventory (Buy Back Inventory) in 2011 as part of an Amendment of the Finance Revenue Sharing Agreement with 21
st
Mortgage Corporation. This inventory is valued at the Company’s cost to acquire determined on the specific identification method, plus refurbishment costs (any item on the home that needs to be repaired or replaced) incurred to date to bring the inventory to a more saleable state. The Buy Back Inventory amount is reduced where necessary on a unit specific basis by a valuation reserve which management believes results in inventory being valued at market.
Other
pre-owned
homes are acquired (Repossessions Inventory) as a convenience to the Company’s joint venture partner, 21st Mortgage Corporation. This inventory has been repossessed by 21
st
Mortgage Corporation or through mortgage foreclosure. The Company acquired this inventory at the amount of the uncollected balance of the financing at the time of the foreclosure/repossessions by 21st Mortgage Corporation. The Company records this inventory at cost determined on the specific identification method. All of the refurbishment costs are paid by 21
st
Mortgage Corporation. This arrangement assists 21
st
Mortgage Corporation with liquidation of their repossessed inventory. The timing of these repurchases by the Company is unpredictable as it is based on the repossessions 21
st
Mortgage Corporation incurs in the portfolio. When the home is sold, the Company retains the cost of the home, an interest factor on the cost of the home and a sales commission, from the sales proceeds. Any additional proceeds are paid to 21
st
Mortgage. Any shortfall from the proceeds to cover these amounts is paid by 21
st
Mortgage to the Company. As the Company has no risk of loss on the sale, there is no valuation allowance necessary for this inventory.
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New Inventory held at consignment locations by affiliated entities is included in the Company’s inventory on the Company’s condensed consolidated balance sheets. Consigned inventory
was $382,279$718,439 and $1,277,681$794,766 as of July 31,February 5, 2022 and November 6, 2021, and October 31, 2020, respectively.
Pre-owned
homes are also taken as
trade-ins
on new home sales
(Trade-in
Inventory). This inventory is recorded at estimated actual wholesale value, which is generally lower than market value, determined on the specific identification method, plus refurbishment costs incurred to date to bring the inventory to a more saleable state. The
Trade-in
Inventory amount is reduced where necessary on a unit specific basis by a valuation reserve, which management believes results in inventory being valued at market.
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Other inventory costs are determined on a
first-in,
first-out
basis.
A breakdown of the elements of inventory is as follows:
 
  February 5,   November 6, 
  July 31,
2021		   October 31,
2020		   2022   2021 
Raw materials
  $1,854,317   $1,203,282   $2,087,472   $2,225,532 
Work-in-process
   136,723    107,651    131,317    97,021 
Inventory consigned to affiliated entities
   382,279    1,277,681    718,439    794,766 
Finished homes
   6,910,596    6,543,861    7,837,409    7,140,880 
Model home furniture
   145,008    162,202    127,941    136,089 
  
 
   
 
   
 
   
 
 
Inventories
  $9,428,923   $9,294,677   $10,902,578   $10,394,288 
  
 
   
 
   
 
   
 
 
Pre-owned
homes
  $1,510,484   $1,686,373   $982,496   $1,297,475 
Inventory impairment reserve
   (115,599)    (167,196) 
  
 
   
 
 
   1,394,885    1,519,177 
Less homes expected to sell in 12 months
   (678,303)    (441,937)    (982,496)    (542,081) 
  
 
   
 
   
 
   
 
 
Pre-owned
homes, long-term
  $716,582   $1,077,240   $0     $755,394 
  
 
   
 
   
 
   
 
 
 
Note 3
Short-term Investments
The following is a summary of short-term investments (available for sale):
 
   July 31, 2021 
   Cost   Gross
Unrealized
Gains		   Gross
Unrealized
Losses		   Estimated
Fair Value		 
Equity securities in a public company
  $167,930   $394,340   $0   $562,270 
   
 
 
   
 
 
   
 
 
   
 
 
 
   February 5, 2022 
   Cost   Gross
Unrealized
Gains		   Gross
Unrealized
Losses		   Estimated
Fair Value		 
Equity securities in a public company
  $167,930   $449,905   $0     $617,835 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
   October 31, 2020 
   Cost   Gross
Unrealized
Gains		   Gross
Unrealized
Losses		   Estimated
Fair Value		 
Equity securities in a public company
  $167,930   $191,030   $0     $358,960 
   
 
 
   
 
 
   
 
 
   
 
 
 
   November 6, 2021 
   Cost   Gross
Unrealized
Gains		   Gross
Unrealized
Losses		   Estimated
Fair Value		 
Equity securities in a public company
  $167,930   $453,998   $0     $621,928 
   
 
 
   
 
 
   
 
 
   
 
 
 
The fair values were estimated based on quoted market prices in active markets at each respective period end.
 
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Note 4
Fair Value of Financial Instruments
The carrying amount of cash and cash equivalents, accounts and notes receivable, accounts payable and accrued expenses approximates fair value because of the short maturity of those instruments.
The Company accounts for the fair value of financial investments in accordance with FASB Accounting Standards Codification (ASC) No. 820 “Fair Value Measurements” (ASC 820).
ASC 820 defines fair value as the price that would be received upon the sale of an asset or paid to transfer a liability (i.e. exit price) in an orderly transaction between market participants at the measurement date. ASC 820 requires disclosures that categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e. inputs) used in the valuation. Financial assets and liabilities are classified in their entirety based on the lowest level of input significant to the fair value measurement. The ASC 820 fair value hierarchy is defined as follows:
 
Level 1 - Valuations are based on unadjusted quoted prices in active markets for identical assets or liabilities.
 
Level 2 - Valuations are based on quoted prices for similar assets or liabilities in active markets, or quoted prices in markets that are not active for which significant inputs are observable, either directly or indirectly.
 
Level 3 - Valuations are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Inputs reflect management’s best estimate of what market participants would use in valuing the asset or liability at the measurement date.
The following tables represent the Company’s financial assets and liabilities which are carried at fair value.
 
   July 31, 2021 
   Level 1   Level 2   Level 3 
Equity securities in a public company
  $562,270   $0—   $0— 
   
 
 
   
 
 
   
 
 
 
   February 5, 2022 
   Level 1   Level 2   Level 3 
Equity securities in a public company
  $617,835   $0     $0   
  
 
 
   
 
 
   
 
 
 
 
   October 31, 2020 
   Level 1   Level 2   Level 3 
Equity securities in a public company
  $358,960   $—     $—   
   
 
 
   
 
 
   
 
 
 
   November 6, 2021 
   Level 1   Level 2   Level 3 
Equity securities in a public company
  $621,928   $0     $0   
  
 
 
   
 
 
   
 
 
 
 
Note 5
Net Income per Share
These financial statements include “basic” and “diluted” net income per share information for all periods presented. The basic net income per share is calculated by dividing net income by the weighted-average number of shares outstanding. The diluted net income per share is calculated by dividing net income by the weighted-average number of shares outstanding, adjusted for dilutive common shares.
 
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Note 6
Revenues by Products and Service
The Company operates in one business segment, which is manufactured housing and ancillary services. The Company considers there to be revenue concentration risks for distribution of its products where net product revenues exceed 10% of consolidated net product revenues.​​​​​​​ The concentration of the Company’s distribution net product revenues below may have a material adverse effect on the Company’s revenues and results of operations if sales in the respective distribution channels experience difficulties.
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Table of Contents
Revenues by net sales from manufactured housing,
pre-owned
homes and insurance agent commissions are as follows:
 
   Three Months Ended   Nine Months Ended 
   July 31,
2021		   August 1,
2020		   July 31,
2021		   August 1,
2020		 
Manufactured housing
                    
Homes sold through Company owned sales centers
  $ 10,128,706   $ 6,252,906   $ 30,033,265   $ 20,874,755 
Homes sold to independent dealers
   833,904    1,998,720    3,661,753    6,260,268 
Homes sold through manufactured home parks
   458,955    380,875    1,108,600    845,634 
   
 
 
   
 
 
   
 
 
   
 
 
 
   $ 11,421,565   $ 8,632,501   $ 34,803,618   $ 27,980,657 
Pre-owned
homes
   288,261    95,011    572,005    253,689 
Insurance agent commissions
   68,294    72,898    216,908    212,418 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total net sales
  $11,778,120   $8,800,410   $35,592,531   $28,446,764 
   
 
 
   
 
 
   
 
 
   
 
 
 
Note 7 Operating Leases
The Company leases the property for several Prestige retail sales centers from various unrelated entities under operating lease agreements expiring through December 2021. The Company also leases certain equipment under unrelated operating leases. These leases have varying renewal options. To offset expiring leases, The Company purchased the land for the Ocala South retail sales center in March 2021 for $500,000 and the Tavares retail sales center in January 2021 for $245,000.
Right of use assets are included as a
non-current
asset in the amount of $684,142,
net of amortization in the condensed consolidated Balance Sheet as of July 31, 2021. 
Based on the terms of the lease agreements, all of the Company’s leases are classified as operating leases. The weighted average remaining lease term and weighted average discount rate of the operating leases is 8.40 years and 3.0%, respectively.
Minimum rental payments under operating leases are recognized on a straight-line basis over the term of the lease. Individual components of the total lease cost incurred by the Company in the amount of $136,872 for the nine months ended July 31, 2021.
   Three Months Ended 
   February 5,   January 30, 
   2022   2021 
Manufactured housing
    
Homes sold through Company owned sales centers
  $9,179,988   $7,543,182 
Homes sold to independent dealers
   580,712    1,203,736 
Homes sold through manufactured home parks
   474,960    218,435 
  
 
 
   
 
 
 
  $10,235,660   $8,965,353 
Pre-owned
homes
   505,622    40,187 
Insurance agent commissions
   66,988    65,971 
  
 
 
   
 
 
 
Total net sales
  $10,808,270   $9,071,511 
  
 
 
   
 
 
 
 
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The amount of future minimum lease payments under operating leases are as follows:
   Operating Lease 
Undiscounted future minimum lease payments:
     
2021 (3 months remaining)
  $16,106 
2022
   68,401 
2023
   74,322 
2024
   80,955 
2025
   88,388 
Thereafter
   458,175 
   
 
 
 
Total
   786,347 
Amount representing imputed interest
   (1,008) 
   
 
 
 
Total operating lease liability
   785,339 
Current portion of operating lease liability
   (33,039) 
   
 
 
 
Operating lease liability,
non-current
  $ 752,300 
   
 
 
 
Note 8 Stockholders’ Equity and Related Party Transaction
During the nine months ended July 31, 2021, the Company repurchased 100,346 shares of its common stock for per share prices ranging from $30.50—$34.68 for an aggregate total of $3,478,553. Of these repurchased shares, 100,000 were from a related party for which the Company paid $34.68 per share.
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Table of Contents
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
Results of Operations
Total revenuesnet sales in the thirdfirst quarter of 20212022 increased 34%19% to $11,778,120$10,808,270 compared to $8,800,410$9,071,511 in the thirdfirst quarter of 2020. Total net sales for the first nine months of 2021 increased 25% to $35,592,531 compared to $28,446,764 for the first nine months of 2020.2021. The Company reported net income of $1,050,746$1,157,034 in the thirdfirst quarter of 2021,2022, compared to a net income of $1,160,138 during the third$1,065,765 in first quarter of 2020. Net income for the first nine months of 2021 was $3,841,449 compared to a net income of $4,110,283 for the first nine months of 2020.2021. According to the Florida Manufactured Housing Association, shipments for the industry in Florida for the period from November 20202021 through July 2021January 2022 were up approximately 11%24% from the same period last year. TheDuring first quarter of 2022, we continued to experience the negative impact of limitations being placed on certain key production materials from suppliers, the delay or lack of lenders in our industry, still adversely affects our results by limiting many affordable manufactured housing buyerskey components from purchasing homes. During third quarter of 2021, our production of homes was impacted due to the challenges in hiring additional factory workersvendors as well as back orders, delayed shipments, price increases and the unpredictable absenteeism of the
COVID-19
quarantine. These factors have continued in the fourth quarter of 2021. Also, productionlabor shortages. Production has incurred shortages in certainmany building products, delayingwhich has limited production and delayed the completion of the homes both at the manufacturing plant and hasthe set up process in the field. In addition, we have continued to experience record inflation in most building products, resulting in significant increases to our material and labor costs and a corresponding decrease in gross profits. We have continued to focus on increasing productionexpect that these challenges will continue for much of homes due to2022 and potentially beyond until the above challenges.industry supply chain normalizes.
The following table summarizes certain key sales statistics and percent of gross profit.
 
   Three Months Ended  Nine Months Ended 
   July 31,
2021		  August 1,
2020		  July 31,
2021		  August 1,
2020		 
New homes sold through Company owned sales centers
   104   70   318   232 
Pre-owned
homes sold through Company owned sales centers
   6   3   12   7 
Homes sold to independent dealers
   26   51   115   159 
Total new factory built homes produced
   120   127   448   393 
Average new manufactured home price—retail
  $ 94,385  $ 91,017  $ 91,488  $ 91,644 
Average new manufactured home price—wholesale
  $51,919  $44,308  $48,720  $43,913 
As a percent of net sales:
     
Gross profit from the Company owned retail
     
sales centers
   17%   19%   17%   19% 
Gross profit from the manufacturing facilities -
     
including intercompany sales
   11%   20%   14%   22% 
   Three Months Ended 
   February 5,  January 30, 
   2022  2021 
New homes sold through Company owned sales centers
   87   82 
Pre-owned
homes sold through Company owned sales centers
   6   1 
Homes sold to independent dealers
   10   40 
Total new factory built homes produced
   92   150 
Average new manufactured home price - retail
  $107,281  $88,250 
Average new manufactured home price - wholesale
  $63,781  $47,515 
As a percent of net sales:
   
Gross profit from the Company owned retail sales centers
   18%   18% 
Gross profit from the manufacturing facilities - including intercompany sales
   13%   15% 
Maintaining our strong financial position is vital for future growth and success. Because of very challenging business conditions during economic recessions in our market area, management will continue to evaluate all expenses and react in a manner consistent with maintaining our strong financial position, while exploring opportunities to expand our distribution and manufacturing operations.
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, 2021 the Company celebrated its 54th anniversary in business specializing in the design and production of quality, affordable manufactured homes. With multiple retail sales centers in Florida for over 3031 years and an insurance agency subsidiary, we are the only vertically integrated manufactured home company headquartered in Florida.
 
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Insurance agent commission revenues in the thirdfirst quarter of 20212022 were $68,294$66,988 compared to $72,898$65,971 in the thirdfirst quarter of 2020. Total insurance agent commission revenues for the first nine months of 2021 were $216,908 compared to $212,418 for the first nine months of 2020. The increase in insurance agent commissions in the first nine months of 2021 were due to more2021. Revenues are generated by new and renewal policies and renewals generatedbeing written which affects agent commission earned. The Company establishes appropriate reserves for policy cancellations based on numerous factors, including past transaction history with customers, historical experience and other information, which is periodically evaluated and adjusted as deemed necessary. In the opinion of management, no reserve was deemed necessary for policy cancellations at July 31, 2021February 5, 2022 and October 31, 2020.November 6, 2021.
Gross profit as a percentage of net sales was 21%25% in the thirdfirst quarter of 20212022 compared to 28% for the thirdfirst quarter of 2020 and was 24% for the first nine months of 2021 compared to 30% for the first nine months of 2020.2021. The gross profit in the thirdfirst quarter of 20212022 was $2,512,744$2,728,228 compared to $2,438,910$2,497,447 in the thirdfirst quarter of 2020 and was $8,622,876 for the first nine months of 2021 compared to $8,466,254 for the first nine months of 2020.2021. The gross profit is dependent on the sales mix of wholesale and retail homes and number of
pre-owned
homes sold. The decreasereduction in gross profit as a percentage of net sales is primarilyprimary due to the continued inflation, shortages in mostcertain building products, whichlabor shortages and increased the material cost of each home manufactured in all three quarters of 2021. We are continuing to monitoring this situation and will continue to adjust our selling prices to help offset some of the higher costs on each home.labor cost.
Selling, general and administrative expenses as a percent of net sales was 11%13% in thirdfirst quarter of 20212022 compared to 13%14% in the thirdfirst quarter of 2020 and was 12% for the first nine months of 2021 compared to 13% for the first nine months of 2020.2021. Selling, general and administrative expenses in thirdfirst quarter of 20212022 was $1,320,456$1,416,543 compared to $1,107,850$1,273,381 in the thirdfirst quarter of 2020 and was $4,144,350 for the first nine months of 2021 compared to $3,586,622 for the first nine months of 2020.2021. The dollar increase in expenses in 20212022 were duethe direct results of increases to the increase in variable expenses which were a direct result of employee benefits compensation due to the increase in sales.
We earned interest income of $62,491$74,680 for the thirdfirst quarter of 20212022 compared to $53,209$30,656 for the thirdfirst quarter of 2020. For the first nine months of 2021, interest income was $145,621 compared to $239,365 in the first nine months of 2020.2021. The decrease during 2021increase is primarily due to the decline ininterest earned from the investment rates andsale of
pre-owned
(repossessed) inventory acquired from the decrease inCompany’s joint venture partner, 21st Mortgage Corporation. When the monies invested.
home is sold, the Company retains an interest factor on the cost of the homes from the sales proceeds.
Our earnings from Majestic 21 in the thirdfirst quarter of 20212022 were $20,202$12,557 compared to $20,855,$13,708 for the thirdfirst quarter of 2020. Earnings from Majestic 21 for the first nine months of 2021 were $45,959 compared to $61,125 for the first nine months of 2020.2021. The earnings from Majestic 21 represent the allocation of profit and losses which are owned 50% by 21st Mortgage Corporation and 50% by the Company. The earnings from the Majestic 21 loan portfolio will continue to decrease due to the amortization, maturity and payoff of the loans.
We received distributions of $118,045 in the thirdfirst quarter of 2021 of $75,1562022 compared to $64,053$45,868 in the thirdfirst quarter of 2020 and $121,024 for the first nine months of 2021 compared to $336,447 for the first nine months of 2020.2021. The distributions are from an escrow arrangement related to a Finance Revenue Sharing Agreement (FRSA) between 21
st
Mortgage Corporation and the Company. The distributions from the escrow arrangement, which relates to certain loans financed by 21
st
Mortgage Corporation, are recorded as income by the Company when received. The earnings from the FRSA loan portfolio will continue to decrease due to the amortization and payoff of the loans.
The Company realized
pre-tax
income in the thirdfirst quarter of 20212022 of $1,397,857$1,526,430 as compared to $1,535,603$1,401,574 in the thirdfirst quarter of 2020. The
pre-tax2021.
income for the first nine months of 2021 was $5,067,874 as compared to $5,422,063 in first nine months of 2020.
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The Company recorded an income tax expense in the amount of $347,111$369,396 in the thirdfirst quarter of 20212022 as compared to $375,465$335,809 in thirdfirst quarter 2020. Income tax expense for the nine months of 2021 was $1,226,425 compared to $1,311,780 for the nine months of 2020.2021.
We reported net income of $1,050,746$1,157,034 for the thirdfirst quarter of 20212022 or $0.33 per basic and diluted share, compared to $1,065,765 or $0.29 per share, compared to $1,160,138 or $0.32 perbasic and diluted share, for the thirdfirst quarter of 2020. For the first nine months of 2021 net income was $3,841,449 or $1.06 per share, compared to $4,110,283 or $1.13 per share, in the first nine months of 2020.2021.
Liquidity and Capital Resources
Cash and cash equivalents were $33,720,078$38,932,257 at July 31, 2021February 5, 2022 compared to $30,305,902$36,126,059 at October 31, 2020.November 6, 2021. Certificates of deposit were $2,090,910$0 at July 31, 2021February 5, 2022 compared to $4,602,307$2,093,015 at October 31, 2020.November 6, 2021. Short-term investments were $562,270$617,835 at July 31, 2021February 5, 2022 compared to $358,960$621,928 at October 31, 2020.November 6, 2021. Working capital was $34,059,497$37,315,738 at July 31, 2021February 5, 2022 as compared to $38,865,240$35,563,355 at October 31, 2020. During the first nine months of 2021, the Company repurchased an aggregate of 100,346 shares of its common stock for an aggregate of $3,478,553. The Company purchased the land for the Ocala South retail sales center in March 2021 for $500,000, the Tavares retail sales center in January 2021 for $245,000 and land in Ocala for a future retail sales center in February 2021 for $1,040,000. The Company paid a
one-time
cash dividend of $1.00 per common share in March 2021 for $3,632,100.November 6, 2021. We own the entire inventory for our Prestige retail sales centers, which includes new and
pre-owned
repossessed or foreclosed homes, and do not incur any third party floor plan financing expenses. We have a material commitment for a significant capital expenditure. Depending upon whenAs of February 5, 2022 the Company receiveshas incurred approximately $112,000 of the building permit, we planestimated construction cost of the approximately $1.1 allocated to build an 11,900 square foot frame shop to manufacture our frames on our current manufacturing plantthe Company’s property on ourin Ocala, Florida property.Florida.
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The Company currently has no line of credit facility and no debt and does not believe that such a facility is currently necessary to its operations. The Company also has approximately $3.9$4.0 million of cash surrender value of life insurance which it may be able to access as an additional source of liquidity though the Company has not currently viewed this to be necessary. As of July 31, 2021,February 5, 2022, the Company continued to report a strong balance sheet which included total assets of approximately $64$66.9 million which was funded primarily by stockholders’ equity of approximately $48$50.5 million.
Critical Accounting Policies and Estimates
In Item 7 of our Form
10-K,
under the heading “Critical Accounting Policies and Estimates,” we have provided a discussion of the critical accounting policies and estimates that management believes affect its more significant judgments and estimates used in the preparation of our Consolidated Financial Statements. No significant changes have occurred since that time.
Forward-Looking Statements
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 the
COVID-19
pandemic or other health pandemic,pandemics, competitive pricing pressures at both the wholesale and retail levels, inflation, increasing material costs (including forest based products) or availability of materials due to potential supply chain interruptions (such as current inflation with forest products and supply issues with vinyl siding and PVC piping), changes in market demand, changes in interest rates, availability of financing for retail and wholesale purchasers, consumer confidence, adverse
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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, 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 or other attack, any armed conflict involving the United States and the impact of inflation.
 
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Item 4. Controls and Procedures
Evaluation of Disclosure Controls and Procedures
. The Company’s Chief Executive Officer (principal executive officer) and Chief Financial Officer (principal financial officer) have evaluated the effectiveness of the Company’s disclosure controls and procedures (as such term is defined in Rules 13a–15(e) and 15d–15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) as of the end of the period covered by this report (the “Evaluation Date”). Based on their evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that the Company’s disclosure controls and procedures were effective as of July 31, 2021.February 5, 2022.
Changes in Internal Control over Financial Reporting.
There were no changes in our internal controls over financial reporting that occurred during the thirdfirst quarter of fiscal 20212022 that have materially affected, or are reasonably likely to materially affect, the Company’s internal controls over financial reporting.
 
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Part II. OTHER INFORMATION AND SIGNATURES
There were no reportable events for Item 1 and Items 3 through 5.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
The following table represents information with respectIn September 2021 the Company’s Board of Directors authorized 200,000 shares to purchases bybe repurchased during fiscal year 2022 in the Company of its common stockopen market. No shares were repurchased during the three monthsfirst quarter ended July 31, 2021.
February 5, 2022.
Period
  Total
number of
shares
purchased		  Average
price paid
per share		  Total number of shares
purchased as part of
publicly announced plans
or programs*		  Maximum number of shares
that may yet
be purchased under the plans
or programs*		 
May 2 – May 29, 2021
  0  0  0   199,654 
May 30 – Jun 26, 2021
  0  0  0   199,654 
Jun 27 – Jul 31, 2021
  100,000  $34.68  100,000   99,654 
*
In September 2020 the Company’s Board of Directors authorized 200,000 shares to be repurchased during fiscal year 2021 in the open market. During the first nine months ended July 31, 2021 management has repurchased an aggregate of 100,346 shares of common stock and is authorized to purchase up to an additional 99,654 shares.
Item 6. Exhibits
 
31.
31. (a)(a) Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act and Rule 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934
(b) Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act and Rule 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934
      (b) 32.Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act and Rule 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934
32. (a)(a) Written Statement of Chief Executive Officer Pursuant to 18 U.S.C. §1350
(b) Written Statement of Chief Financial Officer Pursuant to 18 U.S.C. §1350
      (b) Written Statement of Chief Financial Officer Pursuant to 18 U.S.C. §1350
101.
Interactive data filing formatted in IXBRL
104.Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101
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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, thereunto duly authorized.
 
  NOBILITY HOMES, INC.
DATE: September 10, 2021
March 22, 2022		  
By: /s/
/s/ Terry E. Trexler
  Terry E. Trexler, Chairman,
  President and Chief Executive Officer
DATE: September 10, 2021March 22, 2022  By: /s//s/ Thomas W. Trexler
  Thomas W. Trexler, Executive Vice President,
and Chief Financial Officer
DATE: September 10, 2021
By: /s/ Lynn J. Cramer, Jr.
            and Chief Financial Officer
DATE: March 22, 2022By:/s/ Lynn J. Cramer, Jr.
Lynn J. Cramer, Jr., Treasurer
and Principal Accounting Officer
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