Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Mar. 30, 2024 | May 17, 2024 | Sep. 30, 2023 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Current Fiscal Year End Date | --03-30 | ||
Document Period End Date | Mar. 30, 2024 | ||
Document Transition Report | false | ||
Entity File Number | 000-08822 | ||
Entity Registrant Name | CAVCO INDUSTRIES INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 56-2405642 | ||
Entity Address, Address Line One | 3636 North Central Ave, Ste 1200 | ||
Entity Address, City or Town | Phoenix | ||
Entity Address, State or Province | AZ | ||
Entity Address, Postal Zip Code | 85012 | ||
City Area Code | 602 | ||
Local Phone Number | 256-6263 | ||
Title of 12(b) Security | Common Stock, par value $0.01 | ||
Trading Symbol | CVCO | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,383,823,206 | ||
Entity Common Stock, Shares Outstanding | 8,283,185 | ||
Documents Incorporated by Reference | Portions of Cavco Industries, Inc.'s Definitive Proxy Statement relating to its 2024 Annual Meeting of Stockholders, which is expected to be filed within 120 days following the end of the registrant's fiscal year ended March 30, 2024, are incorporated by reference into Part III hereof. | ||
Entity Central Index Key | 0000278166 | ||
Document Fiscal Year Focus | 2024 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Mar. 30, 2024 | |
Audit Information [Abstract] | |
Auditor Firm ID | 49 |
Auditor Name | RSM US LLP |
Auditor Location | Phoenix, Arizona |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 352,687 | $ 271,427 |
Restricted cash, current | 15,481 | 11,728 |
Accounts receivable, net | 77,123 | 89,347 |
Short-term investments | 18,270 | 14,978 |
Inventories | 241,339 | 263,150 |
Prepaid expenses and other current assets | 82,870 | 92,876 |
Total current assets | 851,799 | 804,579 |
Restricted cash | 585 | 335 |
Investments | 17,316 | 18,639 |
Property, plant and equipment, net | 224,199 | 228,278 |
Goodwill | 121,934 | 114,547 |
Other intangibles, net | 28,221 | 29,790 |
Operating lease right-of-use assets | 39,027 | 26,755 |
Total assets | 1,354,160 | 1,307,975 |
Current liabilities: | ||
Accounts payable | 33,531 | 30,730 |
Accrued expenses and other current liabilities | 239,736 | 262,661 |
Total current liabilities | 273,267 | 293,391 |
Operating lease liabilities | 35,148 | 21,678 |
Other liabilities | 7,759 | 7,820 |
Deferred income taxes | 4,575 | 7,581 |
Redeemable noncontrolling interest | 0 | 1,219 |
Stockholders' equity: | ||
Preferred stock, $0.01 par value; 1,000,000 shares authorized; No shares issued or outstanding | 0 | 0 |
Common stock, $0.01 par value; 40,000,000 shares authorized; Issued 9,389,953 and 9,337,125 shares, respectively; Outstanding $8,320,718 and $8,665,324 shares, respectively | 94 | 93 |
Treasury stock, at cost; 1,069,235 and 671,801 shares, respectively | (274,693) | (164,452) |
Additional paid-in capital | 281,216 | 271,950 |
Retained earnings | 1,027,127 | 869,310 |
Accumulated other comprehensive loss | (333) | (615) |
Total stockholders' equity | 1,033,411 | 976,286 |
Total liabilities, redeemable noncontrolling interest and stockholders' equity | 1,354,160 | 1,307,975 |
Related Party | ||
Current assets: | ||
Accounts receivable, net | 8,500 | 5,700 |
Consumer loans | ||
Current assets: | ||
Current portion of loans receivable, net | 20,713 | 17,019 |
Loans receivable, net | 23,354 | 27,129 |
Commercial loans | ||
Current assets: | ||
Current portion of loans receivable, net | 43,316 | 44,054 |
Loans receivable, net | 47,725 | 57,923 |
Commercial loans | Nonrelated Party | ||
Current assets: | ||
Current portion of loans receivable, net | 40,787 | 43,414 |
Loans receivable, net | 45,660 | 53,890 |
Commercial loans | Related Party | ||
Current assets: | ||
Current portion of loans receivable, net | 2,529 | 640 |
Loans receivable, net | $ 2,065 | $ 4,033 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Income Statement [Abstract] | |||
Net revenue | $ 1,794,792 | $ 2,142,713 | $ 1,627,158 |
Cost of sales | 1,367,890 | 1,587,781 | 1,218,409 |
Gross profit | 426,902 | 554,932 | 408,749 |
Selling, general and administrative expenses | 247,920 | 258,323 | 206,253 |
Income from operations | 178,982 | 296,609 | 202,496 |
Interest income | 20,998 | 10,679 | 3,537 |
Interest expense | (1,649) | (910) | (702) |
Other income, net | 849 | 385 | 6,658 |
Income before income taxes | 199,180 | 306,763 | 211,989 |
Income tax expense | (41,275) | (65,922) | (14,247) |
Net income | 157,905 | 240,841 | 197,742 |
Less: net income attributable to redeemable noncontrolling interest | 88 | 287 | 43 |
Net income attributable to Cavco common stockholders | 157,817 | 240,554 | 197,699 |
Comprehensive income | |||
Net income | 157,905 | 240,841 | 197,742 |
Reclassification adjustment for securities sold | 95 | (16) | (17) |
Applicable income taxes | (20) | 3 | 4 |
Net change in unrealized position of investments held | 262 | (252) | (616) |
Applicable income taxes | (55) | 53 | 129 |
Comprehensive income | 158,187 | 240,629 | 197,242 |
Less: comprehensive income attributable to redeemable noncontrolling interest | 88 | 287 | 43 |
Comprehensive income attributable to Cavco common stockholders | $ 158,099 | $ 240,342 | $ 197,199 |
Net income per share attributable to Cavco common stockholders | |||
Basic (usd per share) | $ 18.55 | $ 27.20 | $ 21.54 |
Diluted (usd per share) | $ 18.37 | $ 26.95 | $ 21.34 |
Weighted average shares outstanding: | |||
Basic (in shares) | 8,506,673 | 8,844,326 | 9,178,593 |
Diluted (in shares) | 8,591,911 | 8,924,452 | 9,264,153 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity and Redeemable Noncontrolling Interest - USD ($) $ in Thousands | Total | Common Stock | Treasury Stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) |
Beginning balance, common stock (in shares) at Apr. 03, 2021 | 9,241,256 | |||||
Beginning balance at Apr. 03, 2021 | $ 683,640 | $ 92 | $ (1,441) | $ 253,835 | $ 431,057 | $ 97 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 197,699 | 197,699 | ||||
Other comprehensive income (loss), net | (500) | (500) | ||||
Issuance of common stock under stock incentive plans (in shares) | 51,022 | |||||
Net issuance of common stock under stock incentive plans | 4,156 | $ 1 | 4,155 | |||
Stock-based compensation | 5,059 | 5,059 | ||||
Common stock repurchases | (59,599) | (59,599) | ||||
Ending balance, common stock (in shares) at Apr. 02, 2022 | 9,292,278 | |||||
Ending balance at Apr. 02, 2022 | 830,455 | $ 93 | (61,040) | 263,049 | 628,756 | (403) |
Balance, beginning of period at Apr. 03, 2021 | 0 | |||||
Increase (Decrease) in Redeemable Noncontrolling Interest [Roll Forward] | ||||||
Initial value of noncontrolling interest upon transaction | 1,235 | |||||
Net income | 43 | |||||
Distributions | (375) | |||||
Valuation adjustment | (78) | |||||
Balance, end of period at Apr. 02, 2022 | 825 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 240,554 | 240,554 | ||||
Other comprehensive income (loss), net | (212) | (212) | ||||
Issuance of common stock under stock incentive plans (in shares) | 44,847 | |||||
Net issuance of common stock under stock incentive plans | 2,637 | 2,637 | ||||
Stock-based compensation | 6,264 | 6,264 | ||||
Common stock repurchases | $ (103,412) | (103,412) | ||||
Ending balance, common stock (in shares) at Apr. 01, 2023 | 8,665,324 | 9,337,125 | ||||
Ending balance at Apr. 01, 2023 | $ 976,286 | $ 93 | (164,452) | 271,950 | 869,310 | (615) |
Increase (Decrease) in Redeemable Noncontrolling Interest [Roll Forward] | ||||||
Net income | 287 | |||||
Distributions | (780) | |||||
Valuation adjustment | 887 | |||||
Balance, end of period at Apr. 01, 2023 | 1,219 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 157,817 | 157,817 | ||||
Other comprehensive income (loss), net | 282 | 282 | ||||
Issuance of common stock under stock incentive plans (in shares) | 52,828 | |||||
Net issuance of common stock under stock incentive plans | 2,507 | $ 1 | 2,506 | |||
Stock-based compensation | 6,760 | 6,760 | ||||
Common stock repurchases | $ (110,241) | (110,241) | ||||
Ending balance, common stock (in shares) at Mar. 30, 2024 | 8,320,718 | 9,389,953 | ||||
Ending balance at Mar. 30, 2024 | $ 1,033,411 | $ 94 | $ (274,693) | $ 281,216 | $ 1,027,127 | $ (333) |
Increase (Decrease) in Redeemable Noncontrolling Interest [Roll Forward] | ||||||
Net income | 88 | |||||
Distributions | (300) | |||||
Valuation adjustment | (33) | |||||
Conversion to mandatorily redeemable noncontrolling interest | (974) | |||||
Balance, end of period at Mar. 30, 2024 | $ 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
OPERATING ACTIVITIES | |||
Net income | $ 157,905 | $ 240,841 | $ 197,742 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 18,525 | 16,903 | 11,017 |
Provision for loan losses | (632) | (517) | (325) |
Deferred income taxes | (3,081) | 2,110 | (1,732) |
Stock-based compensation expense | 6,760 | 6,264 | 5,059 |
Non-cash interest income, net | (1,511) | (457) | (1,629) |
Loss (gain) on sale or retirement of property, plant and equipment, net | 132 | (281) | (220) |
Gain on investments and sale of loans, net | (9,041) | (12,300) | (18,364) |
Distribution of earnings from equity method investments | 0 | 4,306 | 0 |
Changes in operating assets and liabilities, net of acquisitions | |||
Accounts receivable | 11,566 | 10,238 | (27,268) |
Proceeds from sales of consumer loans | 91,514 | 186,017 | 184,849 |
Inventories | 44,856 | 38,866 | (73,804) |
Prepaid expenses and other current assets | 7,971 | (20,037) | (28,309) |
Accounts payable and accrued expenses and other current liabilities | (22,258) | (13,403) | 38,228 |
Net cash provided by operating activities | 224,682 | 255,693 | 144,224 |
INVESTING ACTIVITIES | |||
Purchases of property, plant and equipment | (17,421) | (44,106) | (18,653) |
Payments for acquisitions, net | (19,195) | (105,662) | (141,429) |
Proceeds from sale of property, plant and equipment and assets held for sale | 4,805 | 1,816 | 1,329 |
Purchases of investments | (13,026) | (12,533) | (12,799) |
Proceeds from sale of investments | 13,128 | 18,931 | 12,450 |
Return of invested capital from equity method investments | 0 | 12,213 | 0 |
Net cash used in investing activities | (31,709) | (129,341) | (159,102) |
FINANCING ACTIVITIES | |||
Payments for taxes on stock option exercises and releases of equity awards | (1,988) | (1,072) | (266) |
Proceeds from exercise of stock options | 4,495 | 3,709 | 4,422 |
Proceeds from secured financings and other | 0 | 0 | 106 |
Payments on secured financings and other | (488) | (641) | (9,383) |
Payments for common stock repurchases | (109,309) | (103,412) | (59,599) |
Distributions to noncontrolling interest | (420) | (780) | (375) |
Net cash used in financing activities | (107,710) | (102,196) | (65,095) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 85,263 | 24,156 | (79,973) |
Cash, cash equivalents and restricted cash at beginning of the fiscal year | 283,490 | 259,334 | 339,307 |
Cash, cash equivalents and restricted cash at end of the fiscal year | 368,753 | 283,490 | 259,334 |
Supplemental disclosures of cash flow information: | |||
Cash paid during the year for income taxes | 36,757 | 82,438 | 31,415 |
Cash paid during the year for interest | 801 | 619 | 451 |
Supplemental disclosures of noncash activity: | |||
Change in GNMA loans eligible for repurchase | (3,287) | (2,494) | (16,238) |
Right-of-use assets recognized and operating lease obligations incurred | 15,009 | 14,455 | 4,414 |
Fair value of assets acquired under finance lease | 0 | 0 | 7,158 |
Finance lease obligations incurred | 0 | 0 | 6,351 |
Non-cash consideration for acquisitions | 5,430 | 0 | 0 |
Consumer loans | |||
Changes in operating assets and liabilities, net of acquisitions | |||
Loans receivable originated | (90,841) | (177,970) | (158,988) |
Principal payments received on loans receivable | 6,760 | 8,967 | 11,553 |
Commercial loans | |||
Changes in operating assets and liabilities, net of acquisitions | |||
Loans receivable originated | (111,245) | (132,050) | (67,896) |
Principal payments received on loans receivable | $ 117,302 | $ 98,196 | $ 74,311 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 30, 2024 | Apr. 01, 2023 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 40,000,000 | 40,000,000 |
Common stock, shares issued (in shares) | 9,389,953 | 9,337,125 |
Common stock, shares outstanding (in shares) | 8,320,718 | 8,665,324 |
Treasury stock, common shares (in shares) | 1,069,235 | 671,801 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation. These Consolidated Financial Statements include the accounts of Cavco Industries, Inc. and its consolidated subsidiaries (collectively, "we," "us," "our," the "Company" or "Cavco"). All significant intercompany transactions and balances have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to current period classification. We have evaluated subsequent events after the balance sheet date of March 30, 2024, through the date of the filing of this report with the Securities and Exchange Commission (the "SEC") and there were no disclosable subsequent events . In addition, references throughout to numbered "Notes" refer to these Notes to Consolidated Financial Statements, unless otherwise stated. Nature of Operations. Headquartered in Phoenix, Arizona, we design and produce factory-built housing products primarily distributed through a network of independent distributors located throughout the continental United States and Canada, as well as through Company-owned retail stores which offer our homes to retail customers. Our financial services segment is comprised of: a mortgage subsidiary, CountryPlace Acceptance Corp. ("CountryPlace"), which is an approved Federal National Mortgage Association ("Fannie Mae") and Federal Home Loan Mortgage Corporation ("Freddie Mac") seller/servicer and a Government National Mortgage Association ("Ginnie Mae" or "GNMA") mortgage-backed securities issuer that offers conforming mortgages, non-conforming mortgages and home-only loans to purchasers of factory-built homes; and an insurance subsidiary, Standard Casualty Co. ("Standard Casualty"), which provides property and casualty insurance primarily to owners of manufactured homes. Fiscal Year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 st of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31 st . Th e current fiscal year ended on March 30, 2024. Fiscal years 2024, 2023 and 2022 each consisted of 52 weeks. Accounting Estimates. Preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Due to uncertainties, a ctual results could differ from the estimates and assumptions used in preparation of the consolidated financial statements. Factory-Built Housing Revenue Recognition - Wholesale . Revenue from homes sold to independent distributors, builders, communities and developers is generally recognized when the home is shipped, at which time title passes and it is probable that substantially all of the consideration will be received. Homes sold to independent distributors are generally either paid upon shipment or floor plan financed by the independent distributor through standard industry financing arrangements, which can include repurchase agreements. Manufacturing sales financed under floor plan arrangements that include repurchase agreements are reduced by a reserve for repurchase commitments (see Note 17). Some of our independent distributors operate multiple sales outlets. No independent distributor accounted for 10% or more of factory-built housing revenue during any fiscal year within the three-year period ended March 30, 2024. Factory-Built Housing Revenue Recognition - Retail . Sales by Company-owned retail stores are generally recognized when the customer has entered into a legally binding sales contract, the home is delivered and permanently located at the customer's site, the home is accepted by the customer, title has transferred and collectibility is probable. Financial Services Revenue Recognition. Premium amounts collected on policies issued and assumed by Standard Casualty are amortized on a straight-line basis into Net revenue over the life of the policy. Premiums earned are net of reinsurance ceded. Policy acquisition costs are also amortized in Cost of sales over the life of the policy. Insurance agency commissions received from third-party insurance companies are recognized as revenue upon execution of the insurance policy as we have no future or ongoing obligation with respect to such policies. Interest income on consumer loans receivables is recognized in Net revenue. Upon acquisition of previously securitized loan portfolios (the "Acquisition Date"), we evaluated the existing consumer loans receivable held for investment to determine whether there was evidence of deterioration of credit quality and the probability that we would be able to collect all amounts due according to the loans' contractual terms. We also considered expected prepayments and estimated the amount and timing of undiscounted principal, interest and other cash flows. We determined the excess of the loan pool's scheduled contractual principal and interest payments over the undiscounted expected cash flows as of the Acquisition Date as an amount that is not accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans was accreted into Interest income over the remaining life of the loans (referred to as accretable yield). For loans originated and held for sale, loan origination fees and gains or losses on sales are recognized in Net revenue upon title transfer of the loans. We provide third-party servicing of mortgages and earn servicing fees each month based on the aggregate outstanding balances. Servicing fees are recognized in Net revenue when earned. Cash and Cash Equivalents . Highly liquid investments with insignificant interest rate risk and original maturities of three months or less, when purchased, are classified as cash equivalents. Our cash equivalents are primarily comprised of U.S. Treasury and other money market funds and other depository accounts, some of which are in excess of Federal Deposit Insurance Corporation insured limits. We have not experienced any losses on such excesses. Restricted Cash . Restricted cash primarily represents cash related to CountryPlace customer payments to be remitted to third parties and deposits received from retail customers required to be held in trust accounts. These funds cannot be accessed for general operating purposes (see Note 3). Accounts Receivable. We extend credit terms on a customer-by-customer basis in the normal course of business, subject to normal industry risk, with many requiring a cash deposit with a sales order or payment upon delivery of a home. We review accounts receivable for estimated losses that may result from customers' inability to pay. As of March 30, 2024 and April 1, 2023, there were no allowances for doubtful accounts. Investments. Management determines the appropriate classification of its investment securities at the time of purchase. Our investments include marketable debt and equity securities and non-marketable equity investments. Changes in unrealized net holding gains and losses on marketable equity securities are reported in earnings. Unrealized net holding gains and losses on available-for-sale debt securities are recorded in Accumulated other comprehensive income (loss) ("AOCI") in the Consolidated Balance Sheets. Realized gains and losses from the sale of securities are determined using the specific identification method (see Note 4). As of March 30, 2024, we have determined that all losses on available-for-sale debt securities were from market factors, and therefore we had no valuation allowance on such investments. Consumer Loans Receivable. Consumer loans receivable consist primarily of manufactured housing loans originated by CountryPlace (held for investment or held for sale) and construction advances on mortgages. Loans held for investment consist of loan contracts collateralized by the borrowers' homes and, in some instances, related land. Construction loans in progress are stated at the aggregate amount of cumulative funded advances. Loans held for sale are loans that, at the time of origination, are originated with the intent to resell to investors with which the Company has pre-existing purchase agreements, such as Fannie Mae and Freddie Mac, or to sell as part of a Ginnie Mae insured pool of loans and consist of loan contracts collateralized by single-family residential mortgages. Loans held for sale are stated at the lower of amortized cost or fair value on an aggregate basis. Combined land and home mortgages are further disaggregated by the type of loan documentation: those conforming to the requirements of Government-Sponsored Enterprises ("GSEs") and those that are non-conforming. In most instances, our mortgages are secured by a first-lien position and are provided to consumers for the purchase of a home. Consumer loans held for investment include home-only personal property loans originated under our home-only lending programs. Accordingly, we classify our loans receivable as follows: conforming mortgages, non-conforming mortgages and home-only loans. In measuring credit quality within each segment and class, we use commercially available credit scores (such as FICO®). At the time of each loan's origination, we obtain credit scores from each of the three primary credit bureaus, if available. To evaluate credit quality of individual loans, we use the mid-point of the available credit scores or, if only two scores are available, we use the lower of the two. We do not update credit bureau scores after the time of origination. Commercial Loans Receivable. Our commercial loans receivable balance consists of amounts loaned under commercial loan programs for the benefit of our independent distributors and community operators' home purchasing needs. Under the terms of certain programs, we have entered into direct commercial loan arrangements with independent distributors and community operators wherein we provide funds to purchase home inventory or homes for placement in communities. Interest income on commercial loans receivable is recognized in Interest income in the Consolidated Statements of Comprehensive Income on an accrual basis. Allowance for Loan Losses. Financial Accounting Standards Board ("FASB") Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13") requires a forward-looking impairment model based on expected losses rather than incurred losses. As of March 30, 2024 and April 1, 2023, we had an allowance for loan losses of $1.1 million and $1.2 million, respectively, on our consumer loans receivable (see Note 6). To determine the appropriate level of the allowance for loan loss on our commercial loans receivable, we collectively evaluate loans based on their terms and duration. We have historically been able to resell repossessed homes, thereby mitigating loss exposure. However, if a default occurs and collateral is lost, we are exposed to loss of the full value of the home loan. If we determine that it is probable that a borrower will default, a specific reserve is determined and recorded within the estimated allowance for loan losses. We recorded allowance for loan losses of $0.8 million and $1.6 million at March 30, 2024 and April 1, 2023, respectively, related to commercial loans receivable (see Note 7). Inventories. Raw material inventories are valued at the lower of cost or net realizable value, using the first in, first out method. Finished goods and work-in-process inventories are valued at the lower of cost or net realizable value, using the specific identification method. Property, Plant and Equipment, Net. Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful life of each asset. Estimated useful lives for significant classes of assets are as follows: buildings and improvements, 10 to 39 years; and machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred. We sell miscellaneous property, plant and equipment in the normal course of business. Asset Impairment . We periodically evaluate the carrying value of long-lived assets to be held and used and held for sale for impairment when events and circumstances warrant such a review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such asset is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset group. Fair value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risk involved. Losses on long-lived assets to be disposed of are primarily determined based on independent appraisals and preliminary or definitive contractual arrangements less costs to dispose. There were no impairment losses recognized in fiscal years 2024, 2023 or 2022 . Business Combinations. We account for business combinations in accordance with FASB Accounting Standards Codification ("ASC") 805, Business Combinations, using the acquisition method of accounting, which allocates the fair value of the purchase consideration to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values. In the fair value evaluation of intangible assets acquired, there are significant estimates and assumptions, including forecasts of future cash flows, pre-tax income and revenue growth rates, as well as the selection of the royalty rates and discount rates. The excess of the purchase consideration over the fair values of these identifiable assets and liabilities is recorded as goodwill. Goodwill and Other Intangibles, Net. We account for goodwill and other intangible assets in accordance with the provisions of ASC 350, Intangibles—Goodwill and Other . As such, we test goodwill at least annually for impairment. The Company has two reporting segments: factory-built housing and financial services. As of March 30, 2024, all of our goodwill is attributable to the factory-built housing reporting segment. Certain intangibles are considered indefinite-lived and others are finite-lived and are amortized over their useful lives. Finite-lived intangibles are generally amortized over 3 to 15 years on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that the carrying amounts may not be recoverable. Indefinite-lived intangible assets are assessed annually for impairment first by making a qualitative assessment, and if necessary, performing a quantitative assessment and recording an impairment charge if the fair value of the asset is less than its carrying amount. We performed our annual goodwill impairment analysis as of March 30, 2024, and determined that it was more likely than not that the fair value of the factory-built housing reporting segment exceeded its respective carrying value. There was no impairment recognized during fiscal years 2024, 2023 or 2022. Warranties. We provide retail home buyers, builders or developers with a one year warranty for manufacturing defects from the date of sale to the retail customer. Nonstructural components of a cosmetic nature are warranted for 120 days, except in specific cases where state laws require longer warranty terms. Estimated warranty costs are accrued in Cost of sales at the time of sale. The warranty provision and reserves are based on estimates of the amounts necessary to settle existing and future claims on homes sold as of the balance sheet date. Factors used to calculate the warranty obligation are the estimated amount of homes still under warranty, including homes in distributor inventories, homes purchased by consumers within the one year warranty period, the timing in which work orders are completed and the historical average costs incurred to service a home. Volume Rebates . Certain distributors, builders and developers can qualify for cash rebates generally based on the level of sales attained during a twelve-month period on specified products. Estimates of volume rebates are accrued at the time of sale and are recorded as a reduction of Net revenue. Freight. Substantially all freight costs are recovered from our distributors and are included in Net revenue. Freight charges of $50.9 million, $61.5 million and $41.5 million were recognized in fiscal years 2024, 2023 and 2022, respectively. Reserve for Repurchase Commitment. We are contingently liable under terms of repurchase agreements with the financial institutions that provide inventory financing to certain distributors of our products. These arrangements, which are customary in the industry, provide the lender a guarantee that we will repurchase our products in the event of default by the distributor. Our obligation under these repurchase agreements ceases upon the purchase of the home by the retail customer. The risk of loss under these agreements is spread over numerous distributors and the repurchase price generally declines over the period of the agreement (generally 18 to 24 months), further reduced by the resale value of repurchased homes. We apply FASB ASC 460, Guarantees ("ASC 460") to account for our liability for repurchase commitments. Following the inception of the commitment, the recorded reserve is reduced over the repurchase period in conjunction with applicable curtailment arrangements and is eliminated once the distributor sells the home. Changes in the reserve are recorded as an adjustment to Net revenue. See Note 17 for further discussion. Reserve for Property Casualty Insurance Claims and Claims Expense. Standard Casualty establishes reserves for claims and claims expense on reported and unreported claims of insured losses. Our reserve process takes into account known facts and interpretations of circumstances and factors, including experience with similar cases, actual claims paid, historical trends involving claim payment patterns and pending levels of unpaid claims, loss management programs, product mix, contractual terms, changes in law and regulation, judicial decisions and economic conditions. In the normal course of business, we may also supplement our claims processes by utilizing third party adjusters, appraisers, engineers, inspectors and other professionals and information sources to assess and settle catastrophe and non-catastrophe related claims. The effects of inflation are implicitly considered in the reserving process. The applicable reserve balance was $10.5 million and $10.9 million as of March 30, 2024 and April 1, 2023, respectively, of which $5.2 million and $4.4 million related to incurred but not reported ("IBNR") losses, respectively. Insurance. We are self-insured for a significant portion of our general and products liability, auto liability, health, property and workers' compensation liability coverage. Insurance is maintained for catastrophic exposures and those risks required to be insured by law. Estimated self-insurance costs are accrued for incurred claims and estimated IBNR losses. A reserve for products liability is actuarially determined and reflected in Accrued expenses and other current liabilities in the accompanying Consolidated Balance Sheets. The determination of claims and expenses and the appropriateness of the related liabilities are regularly reviewed and updated. Advertising. Advertising costs are expensed as incurred and were $3.6 million in fiscal year 2024, $2.0 million in fiscal year 2023 and $1.4 million in fiscal year 2022. Fair Value of Financial Instruments. Our financial instruments consist of cash and cash equivalents, restricted cash, accounts receivable, investments, consumer loans receivable, commercial loans receivable, accounts payable, certain accrued expenses and other current liabilities and secured credit facilities and other financings. In accordance with FASB ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 – Quoted prices in active markets for identical assets or liabilities. Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The carrying amount of cash and cash equivalents approximates fair value because their maturity is less than three months. The carrying amounts of restricted cash, accounts receivable, accounts payable and certain accrued expenses and other current liabilities approximate fair value due to the short-term maturity of the amounts. See Note 20 for the fair values of our other financial instruments and the inputs used. Foreign Currency. We have certain assets and liabilities in Ojinaga, Mexico related to a production facility that imports raw materials and exports finished homes to our retail lots located in the United States. The monetary assets and liabilities of this production facility are remeasured at each balance sheet date at the current exchange rate. Monetary assets and liabilities and related revenues and expenses are remeasured monthly using the average rates for the fiscal month. Remeasurement adjustments are recorded in Other income, net in the Consolidated Statements of Comprehensive Income. Income Taxes. We account for income taxes pursuant to FASB ASC 740, Income Taxes ("ASC 740") and provide for income taxes utilizing the asset and liability approach. Under this approach, deferred taxes represent the future tax consequences expected to occur when the reported amounts of assets and liabilities are recovered or paid. The provision for income taxes generally represents income taxes paid or payable for the current year plus the change in deferred taxes during the year. Deferred taxes result from differences between the financial and tax bases of the Company's assets and liabilities and are adjusted for changes in tax rates and tax laws when changes are enacted. The calculation of tax liabilities involves considering uncertainties in the application of complex tax regulations. We recognize liabilities for anticipated tax audit issues based on our estimate of whether, and the extent to which, additional taxes will be due. If payment of these amounts ultimately proves to be unnecessary, the reversal of the liabilities would result in tax benefits being recognized in the period of derecognition. If the estimate of tax liabilities proves to be less than the ultimate assessment, a further charge to expense would result. We use a two-step approach to evaluate uncertain tax positions. This approach involves recognizing any tax positions that are more likely than not to occur and then measuring those positions to determine the amounts to be recognized in the Consolidated Financial Statements. Interest Income. Interest income consists of the interest earned on invested cash as well as interest earned from our commercial loan programs, recorded on an accrual basis. Other Income, net. Other income primarily consists of realized and unrealized gains and losses on corporate investments, gains and losses on the sale of property, plant and equipment or assets held for sale and impairment of such assets, if necessary. Stock-Based Compensation . Stock-based compensation is measured based on the fair value of the award on the date of grant and the corresponding expense is recognized over the period during which an employee is required to provide service in exchange for the award. Stock-based compensation expense is classified in the same line item of our Consolidated Statements of Comprehensive Income as other payroll-related expenses specific to the employee. Compensation expense related to service-based restricted stock units ("RSUs") is recognized on a straight-line basis over the requisite service period for the entire award. Compensation expense related to performance-based RSUs is recognized on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was, in-substance, multiple awards (i.e., a graded vesting basis). We use historical data to estimate pre-vesting forfeitures and record stock-based compensation cost, using the straight-line attribution method, only for those awards that are expected to vest. Compensation expense related to performance-based awards is based on management's estimate of the probability of the performance criteria being satisfied, adjusted at each balance sheet date (see Note 18). Redeemable Noncontrolling Interest. In fiscal year 2017, we purchased a 50% ownership interest in Craftsman Homes, LLC and Craftsman Homes Development, LLC (collectively "Craftsman" or the "Entities") with an additional 20% acquired during fiscal year 2022. This additional purchase gave us a controlling interest, resulting in consolidation of the Entities and the recognition of a noncontrolling interest for the remaining third party ownership. Adjustments in the redemption value of the noncontrolling interest were recorded to Interest expense We were contractually obligated to purchase an additional 20% of Craftsman on December 31, 2023. The estimated purchase price was recorded in Other liabilities. The remaining 10% was classified as a temporary equity mezzanine item between liabilities and stockholders' equity in the Consolidated Balance Sheets as Redeemable noncontrolling interest. The amount of income attributable to this Redeemable noncontrolling interest is included on the face of the Consolidated Statements of Comprehensive Income. During fiscal year 2024, we executed amendments to the Membership Interest Purchase Agreement to acquire the entire remaining 30% for cash on January 1, 2024. Upon execution of the amendments, the remaining 30% became mandatorily redeemable, and the value attributed to the Redeemable noncontrolling interest was reclassed to Accrued expenses and other current liabilities on the Consolidated Balance Sheets at the estimated redemption value. On January 1, 2024 we acquired the remaining 30% interest. Accumulated Other Comprehensive Income (Loss). AOCI is comprised of unrealized gains and losses on available-for-sale debt securities (see Note 4) and is presented net of tax. Accumulated unrealized loss on available-for-sale debt securities at the end of fiscal year 2024 was $0.4 million before tax, with an associated tax amount of $0.1 million, resulting in a net unrealized loss of $0.3 million. Accumulated unrealized loss on available-for-sale debt securities at the end of fiscal year 2023 was $0.8 million, with an associated tax amount of $0.2 million, for a net unrealized loss of $0.6 million. Treasury Stock. We record repurchases of our common stock as treasury stock at cost. As we do not have a formal retirement plan for the shares acquired, and the ultimate disposition has not yet been decided, we show the cost of the acquired stock separately as a deduction from equity. Beginning Janua ry 1, 2023, the Inflation Reduction Act of 2022 imposed a 1% excise tax on the aggregate fair market value of stock repurchased by certain corporations during the taxable year, subject to adjustments. We have calculated the excise tax on purchases from the effective date through March 30, 2024, and this amount is recorded as an increase in our Treasury Sto ck. Net Income Per Share. Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method (see Note 19). Recently Issued or Adopted Accounting Pronouncements. From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Mar. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customer | Revenue from Contracts with Customers Revenues are recognized when a good or service is transferred to a customer. A good or service is transferred when, or as, the customer obtains control of that good or service. Revenues are based on the consideration expected to be received in connection with our promises to deliver goods and services to the customers. Site Improvements on Retail Sales. We recognize sales of subcontracted ancillary services, such as preparation of the home site or other exterior enhancements. Such services are provided as a convenience to the customer. As we are involved in the selection of subcontractors and ultimately responsible for execution of these services, under FASB ASC 606, Revenue from Contracts with Customers , we recognize the sale of these ancillary services on a gross basis. The revenues associated with these programs for fiscal years 2024, 2023 and 2022 were $57.6 million, $53.3 million and $43.9 million, respectively. Additional Items . Expected consideration, and therefore revenue, reflects reductions for returns, allowances and other incentives, some of which may be contingent on future events. Additionally, our volume rebates are accrued at the time of sale and are recorded as a reduction of Net revenue. In customer contracts for retail sales of manufactured homes, consideration includes certain state and local excise taxes billed to customers when those taxes are levied directly upon us by the taxing authorities. Expected consideration excludes sales and other taxes collected on behalf of taxing authorities. We elect to treat consideration for freight performed as a fulfillment activity. Therefore, Net revenue includes consideration for freight and other fulfillment activities performed prior to the customer obtaining control of the goods. Practical Expedients and Exemptions. We generally expense sales commissions when incurred because the amortization period would be one-year or less. These costs are recorded within Selling, general and administrative expenses. In addition, we do not disclose the value of unsatisfied performance obligations for contracts with an expected length of one-year or less. Disaggregation of Revenue . The following table summarizes Net revenue disaggregated by reportable segment and source (in thousands). All revenue from customers is recognized at a point in time, either when the customer takes delivery or when a third-party insurance contract is executed, as more fully discussed above. March 30, April 1, April 2, Factory-built housing Home sales $ 1,631,650 $ 2,017,399 $ 1,495,940 Delivery, setup and other revenues 84,957 52,051 60,343 1,716,607 2,069,450 1,556,283 Financial services Insurance agency commissions received from third-party insurance companies 4,258 3,754 4,055 All other sources 73,927 69,509 66,820 78,185 73,263 70,875 $ 1,794,792 $ 2,142,713 $ 1,627,158 |
Restricted Cash
Restricted Cash | 12 Months Ended |
Mar. 30, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Restricted Cash | Restricted Cash Restricted cash consisted of the following (in thousands): March 30, April 1, Cash related to CountryPlace customer payments to be remitted to third parties $ 12,993 $ 11,123 Other restricted cash 3,073 940 16,066 12,063 Less current portion (15,481) (11,728) $ 585 $ 335 Corresponding amounts for customer payments to be remitted to third parties are recorded in Accounts payable. The following table provides a reconciliation of Cash and cash equivalents and Restricted cash reported within the Consolidated Balance Sheets to the combined amounts shown in the Consolidated Statements of Cash Flows (in thousands): March 30, April 1, April 2, Cash and cash equivalents $ 352,687 $ 271,427 $ 244,150 Restricted cash 16,066 12,063 15,184 $ 368,753 $ 283,490 $ 259,334 |
Investments
Investments | 12 Months Ended |
Mar. 30, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments Investments consisted of the following (in thousands): March 30, April 1, Available-for-sale debt securities $ 18,669 $ 18,555 Marketable equity securities 11,961 9,989 Non-marketable equity investments 4,956 5,073 35,586 33,617 Less short-term investments (18,270) (14,978) $ 17,316 $ 18,639 Investments in marketable equity securities consist of investments in the common stock of industrial and other companies. Our non-marketable equity investments include investments in community-based initiatives that buy and sell our homes and provide home-only financing to residents of certain manufactured home communities and other distribution operations. We record investments in fixed maturity securities classified as available-for-sale at fair value and record the difference between fair value and cost in AOCI. The amortized cost and fair value of our investments in available-for-sale debt securities, by security type are shown in the table below (in thousands): March 30, 2024 Amortized Gross Gross Fair Residential mortgage-backed securities $ 2,933 $ — $ (68) $ 2,865 State and political subdivision debt securities 5,041 7 (118) 4,930 Corporate debt securities 11,117 4 (247) 10,874 $ 19,091 $ 11 $ (433) $ 18,669 April 1, 2023 Amortized Gross Gross Fair Residential mortgage-backed securities $ 2,567 $ — $ (79) $ 2,488 State and political subdivision debt securities 6,023 — (254) 5,769 Corporate debt securities 10,745 — (447) 10,298 $ 19,335 $ — $ (780) $ 18,555 The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities had been in a continuous unrealized loss position (in thousands): March 30, 2024 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Residential mortgage-backed securities $ 2,014 $ (24) $ 833 $ (44) $ 2,847 $ (68) State and political subdivision debt securities 493 (1) 3,442 (117) 3,935 (118) Corporate debt securities 397 (3) 8,501 (244) 8,898 (247) $ 2,904 $ (28) $ 12,776 $ (405) $ 15,680 $ (433) April 1, 2023 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Residential mortgage-backed securities $ 1,345 $ (10) $ 1,117 $ (69) $ 2,462 $ (79) State and political subdivision debt securities 251 — 4,792 (254) 5,043 (254) Corporate debt securities 4,902 (136) 5,396 (311) 10,298 (447) $ 6,498 $ (146) $ 11,305 $ (634) $ 17,803 $ (780) We are not aware of any changes to the securities or issuers that would indicate the losses above are indicative of credit impairment as of March 30, 2024. Further, we do not intend to, and it is more likely than not that we will not be required to, sell the investments before recovery of their amortized cost. The amortized cost and fair value of our investments in available-for-sale debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations, with or without penalties. March 30, 2024 Amortized Fair Due in less than one year $ 6,420 $ 6,310 Due after one year through five years 9,352 9,107 Due after five years through ten years 225 227 Due after ten years 161 160 Mortgage-backed securities 2,933 2,865 $ 19,091 $ 18,669 We recognize investment gains and losses on available-for-sale debt securities when we sell or otherwise dispose of securities using the specific identification method. There were no gross gains realized on the sale of available-for-sale debt securities in either fiscal year 2024 or 2023 and an insignificant amount of gross gains was realized in fiscal year 2022. There were no gross losses realized on the sale of available-for-sale debt securities in fiscal years 2024, 2023 or 2022. We recognize unrealized gains and losses on marketable equity securities from changes in market prices during the period as a component of earnings in the Consolidated Statements of Comprehensive Income. See Note 1 for further discussion. Net investment gains and losses on marketable equity securities for fiscal years 2024, 2023 and 2022 were as follows (in thousands): Year Ended March 30, April 1, April 2, Marketable equity securities: Net gain recognized during the period $ 1,869 $ 561 $ 2,160 Less: Net (gains) recognized on securities sold during the period (348) (958) (551) Unrealized gains (losses) recognized during the period on securities still held $ 1,521 $ (397) $ 1,609 |
Inventories
Inventories | 12 Months Ended |
Mar. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consisted of the following (in thousands): March 30, April 1, Raw materials $ 78,241 $ 92,045 Work in process 27,977 29,022 Finished goods 135,121 142,083 $ 241,339 $ 263,150 |
Consumer Loans Receivable
Consumer Loans Receivable | 12 Months Ended |
Mar. 30, 2024 | |
Receivables [Abstract] | |
Consumer Loans Receivable | Consumer Loans Receivable The following table summarizes consumer loans receivable (in thousands): March 30, April 1, Loans held for investment, previously securitized $ 16,968 $ 21,000 Loans held for investment 12,826 13,117 Loans held for sale 15,140 10,846 Construction advances 722 706 45,656 45,669 Deferred financing fees and other, net (523) (368) Allowance for loan losses (1,066) (1,153) 44,067 44,148 Less current portion (20,713) (17,019) $ 23,354 $ 27,129 The allowance for loan losses reflects our judgment of the probable loss exposure on loans held for investment. The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Allowance for loan losses at beginning of fiscal year $ 1,153 $ 2,115 Change in estimated loan losses, net (87) (944) Charge-offs — (37) Recoveries — 19 Allowance for loan losses at end of fiscal year $ 1,066 $ 1,153 The consumer loans held for investment had the following characteristics: March 30, April 1, Weighted average contractual interest rate 8.1 % 8.2 % Weighted average effective interest rate 10.4 % 8.8 % Weighted average months to maturity 196 150 The following table is a consolidated summary of the delinquency status of the outstanding amortized cost of consumer loans receivable (in thousands): March 30, April 1, Current $ 43,810 $ 43,252 31 to 60 days 1,063 1,247 61 to 90 days 131 213 91+ days 652 957 $ 45,656 $ 45,669 The following table disaggregates gross consumer loans receivable by credit quality indicator at loan inception and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Prior Total Prime- FICO score 680 and greater $ 14,107 $ 328 $ 96 $ 885 $ 1,808 $ 14,425 $ 31,649 Near Prime- FICO score 620-679 1,633 — — 1,202 942 8,684 12,461 Sub-Prime- FICO score less than 620 — — — 18 49 723 790 No FICO score 447 — — — — 309 756 $ 16,187 $ 328 $ 96 $ 2,105 $ 2,799 $ 24,141 $ 45,656 April 1, 2023 2023 2022 2021 2020 2019 Prior Total Prime- FICO score 680 and greater $ 9,471 $ 185 $ 1,051 $ 1,982 $ 1,191 $ 16,601 $ 30,481 Near Prime- FICO score 620-679 1,695 — 1,012 1,131 1,550 8,244 13,632 Sub-Prime- FICO score less than 620 84 — 19 51 — 1,033 1,187 No FICO score — — — — 24 345 369 $ 11,250 $ 185 $ 2,082 $ 3,164 $ 2,765 $ 26,223 $ 45,669 Loan contracts secured by geographically concentrated collateral could experience higher rates of delinquencies, default and foreclosure losses than loan contracts secured by collateral that is more geographically dispersed. As of March 30, 2024, 46% of the outstanding principal balance of the consumer loans receivable portfolio was concentrated in Texas and 10% was concentrated in Florida. As of April 1, 2023, 44% of the outstanding principal balance of the consumer loans receivable portfolio was concentrated in Texas and 13% was concentrated in Florida. Other than Texas and Florida, no state had concentrations in excess of 10% of the principal balance of consumer loans receivable as of March 30, 2024 or April 1, 2023. Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home l ess the estimated costs to sell. At repossession, the fair value of the collateral is determined based on the historical recovery rates of previously charged-off loans; the loan is charged off and the loss is recorded to the allowance for loan losses. On a monthly basis, the fair value of the collateral is adjusted to the lower of the amount recorded at repossession or the estimated sales price less estimated costs to sell, based on current information. Repossessed homes totaled approximately $0.7 million as of March 30, 2024 and $1.1 million as of April 1, 2023, and are included in Pre paid expenses and other current assets in the Consolidated Balance Sheets. Foreclosure or similar proceedings in progress totaled approximately $0.4 million and $0.5 million as of March 30, 2024 and April 1, 2023, respectively. The commercial loans receivable balance consists of direct financing arrangements for the home product needs of our independent distributors, community owners and developers . We also provide loans to independent floor plan lenders that then lend to distributors to finance their inventory purchases. The notes are secured by the homes as collateral and, in some instances, other security. Other terms of direct arrangements vary, depending on the needs of the borrower and the opportunity for the Company. Commercial loans receivable, net consisted of the following (in thousands): March 30, April 1, Loans receivable (including from affiliates) $ 91,938 $ 103,726 Allowance for loan losses (781) (1,586) Deferred financing fees, net (116) (163) 91,041 101,977 Less current portion of commercial loans receivable (including from affiliates), net (43,316) (44,054) $ 47,725 $ 57,923 The commercial loans receivable balance had the following characteristics: March 30, April 1, Weighted average contractual interest rate 7.4 % 7.6 % Weighted average months outstanding 12 9 The risk of loss is spread over numerous borrowers. Borrower activity is monitored on a regular basis and contractual arrangements are in place to provide adequate loss mitigation in the event of a default. Historically, we have been able to sell repossessed homes, thereby mitigating loss exposure. If a default occurs and collateral is lost, we are exposed to loss of the full value of the home loan. We evaluate the potential for loss from the commercial loan programs on a collective basis, aggregating similar loans based on their terms. Our evaluation also considers the borrower's risk rating, overall financial stability, historical experience and estimates of other economic factors. The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Balance at beginning of fiscal year $ 1,586 $ 1,011 Change in estimated loan losses, net (805) 575 Balance at end of fiscal year $ 781 $ 1,586 Loans are subject to regular review and are given management's attention whenever a problem situation appears to be developing. Loans with indicators of potential performance problems are placed on watch list status and are subject to additional monitoring and scrutiny. Nonperforming status includes loans accounted for on a non-accrual basis and accruing loans with principal payments 90 days or more past due. Our policy is to place loans on nonaccrual status when interest is past due and remains unpaid 90 days or more or when there is a clear indication that the borrower is unable or unwilling to make payments as they become due. We will resume accrual of interest once these factors have been remedied. Payments received on non-accrual loans are recorded on a cash basis, first to interest and then to principal, and charge-offs occur when it becomes probable that outstanding amounts will not be recovered. At March 30, 2024, there were no commercial loans 90 days or more past due that were still accruing interest, and we were not aware of any potential problem loans that would have a material effect on the commercial loans receivable balance. The following table disaggregates our commercial loans receivable by credit quality indicator and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Total Performing $ 57,691 $ 25,066 $ 4,823 $ 2,144 $ 2,214 $ 91,938 April 1, 2023 2023 2022 2021 2020 2019 Total Performing $ 80,193 $ 16,028 $ 4,071 $ 2,203 $ 1,231 $ 103,726 As of both March 30, 2024 and April 1, 2023, approximately 18% of our outstanding commercial loans receivable principal balance was concentrated in New York. No other state had concentrations in excess of 10% of the principal balance of the commercial loans receivable as of March 30, 2024 or April 1, 2023. We had concentrations with one independent third-party and its affiliates that equaled 13% and 12% of the net commercial loans receivable principal balance outstanding, all of which was secured, as of March 30, 2024 and April 1, 2023, respectively. The risks created by these concentrations have been considered in the determination of the adequacy of the allowance for loan losses. |
Commercial Loans Receivables
Commercial Loans Receivables | 12 Months Ended |
Mar. 30, 2024 | |
Receivables [Abstract] | |
Commercial Loans Receivable | Consumer Loans Receivable The following table summarizes consumer loans receivable (in thousands): March 30, April 1, Loans held for investment, previously securitized $ 16,968 $ 21,000 Loans held for investment 12,826 13,117 Loans held for sale 15,140 10,846 Construction advances 722 706 45,656 45,669 Deferred financing fees and other, net (523) (368) Allowance for loan losses (1,066) (1,153) 44,067 44,148 Less current portion (20,713) (17,019) $ 23,354 $ 27,129 The allowance for loan losses reflects our judgment of the probable loss exposure on loans held for investment. The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Allowance for loan losses at beginning of fiscal year $ 1,153 $ 2,115 Change in estimated loan losses, net (87) (944) Charge-offs — (37) Recoveries — 19 Allowance for loan losses at end of fiscal year $ 1,066 $ 1,153 The consumer loans held for investment had the following characteristics: March 30, April 1, Weighted average contractual interest rate 8.1 % 8.2 % Weighted average effective interest rate 10.4 % 8.8 % Weighted average months to maturity 196 150 The following table is a consolidated summary of the delinquency status of the outstanding amortized cost of consumer loans receivable (in thousands): March 30, April 1, Current $ 43,810 $ 43,252 31 to 60 days 1,063 1,247 61 to 90 days 131 213 91+ days 652 957 $ 45,656 $ 45,669 The following table disaggregates gross consumer loans receivable by credit quality indicator at loan inception and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Prior Total Prime- FICO score 680 and greater $ 14,107 $ 328 $ 96 $ 885 $ 1,808 $ 14,425 $ 31,649 Near Prime- FICO score 620-679 1,633 — — 1,202 942 8,684 12,461 Sub-Prime- FICO score less than 620 — — — 18 49 723 790 No FICO score 447 — — — — 309 756 $ 16,187 $ 328 $ 96 $ 2,105 $ 2,799 $ 24,141 $ 45,656 April 1, 2023 2023 2022 2021 2020 2019 Prior Total Prime- FICO score 680 and greater $ 9,471 $ 185 $ 1,051 $ 1,982 $ 1,191 $ 16,601 $ 30,481 Near Prime- FICO score 620-679 1,695 — 1,012 1,131 1,550 8,244 13,632 Sub-Prime- FICO score less than 620 84 — 19 51 — 1,033 1,187 No FICO score — — — — 24 345 369 $ 11,250 $ 185 $ 2,082 $ 3,164 $ 2,765 $ 26,223 $ 45,669 Loan contracts secured by geographically concentrated collateral could experience higher rates of delinquencies, default and foreclosure losses than loan contracts secured by collateral that is more geographically dispersed. As of March 30, 2024, 46% of the outstanding principal balance of the consumer loans receivable portfolio was concentrated in Texas and 10% was concentrated in Florida. As of April 1, 2023, 44% of the outstanding principal balance of the consumer loans receivable portfolio was concentrated in Texas and 13% was concentrated in Florida. Other than Texas and Florida, no state had concentrations in excess of 10% of the principal balance of consumer loans receivable as of March 30, 2024 or April 1, 2023. Collateral for repossessed loans is acquired through foreclosure or similar proceedings and is recorded at the estimated fair value of the home l ess the estimated costs to sell. At repossession, the fair value of the collateral is determined based on the historical recovery rates of previously charged-off loans; the loan is charged off and the loss is recorded to the allowance for loan losses. On a monthly basis, the fair value of the collateral is adjusted to the lower of the amount recorded at repossession or the estimated sales price less estimated costs to sell, based on current information. Repossessed homes totaled approximately $0.7 million as of March 30, 2024 and $1.1 million as of April 1, 2023, and are included in Pre paid expenses and other current assets in the Consolidated Balance Sheets. Foreclosure or similar proceedings in progress totaled approximately $0.4 million and $0.5 million as of March 30, 2024 and April 1, 2023, respectively. The commercial loans receivable balance consists of direct financing arrangements for the home product needs of our independent distributors, community owners and developers . We also provide loans to independent floor plan lenders that then lend to distributors to finance their inventory purchases. The notes are secured by the homes as collateral and, in some instances, other security. Other terms of direct arrangements vary, depending on the needs of the borrower and the opportunity for the Company. Commercial loans receivable, net consisted of the following (in thousands): March 30, April 1, Loans receivable (including from affiliates) $ 91,938 $ 103,726 Allowance for loan losses (781) (1,586) Deferred financing fees, net (116) (163) 91,041 101,977 Less current portion of commercial loans receivable (including from affiliates), net (43,316) (44,054) $ 47,725 $ 57,923 The commercial loans receivable balance had the following characteristics: March 30, April 1, Weighted average contractual interest rate 7.4 % 7.6 % Weighted average months outstanding 12 9 The risk of loss is spread over numerous borrowers. Borrower activity is monitored on a regular basis and contractual arrangements are in place to provide adequate loss mitigation in the event of a default. Historically, we have been able to sell repossessed homes, thereby mitigating loss exposure. If a default occurs and collateral is lost, we are exposed to loss of the full value of the home loan. We evaluate the potential for loss from the commercial loan programs on a collective basis, aggregating similar loans based on their terms. Our evaluation also considers the borrower's risk rating, overall financial stability, historical experience and estimates of other economic factors. The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Balance at beginning of fiscal year $ 1,586 $ 1,011 Change in estimated loan losses, net (805) 575 Balance at end of fiscal year $ 781 $ 1,586 Loans are subject to regular review and are given management's attention whenever a problem situation appears to be developing. Loans with indicators of potential performance problems are placed on watch list status and are subject to additional monitoring and scrutiny. Nonperforming status includes loans accounted for on a non-accrual basis and accruing loans with principal payments 90 days or more past due. Our policy is to place loans on nonaccrual status when interest is past due and remains unpaid 90 days or more or when there is a clear indication that the borrower is unable or unwilling to make payments as they become due. We will resume accrual of interest once these factors have been remedied. Payments received on non-accrual loans are recorded on a cash basis, first to interest and then to principal, and charge-offs occur when it becomes probable that outstanding amounts will not be recovered. At March 30, 2024, there were no commercial loans 90 days or more past due that were still accruing interest, and we were not aware of any potential problem loans that would have a material effect on the commercial loans receivable balance. The following table disaggregates our commercial loans receivable by credit quality indicator and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Total Performing $ 57,691 $ 25,066 $ 4,823 $ 2,144 $ 2,214 $ 91,938 April 1, 2023 2023 2022 2021 2020 2019 Total Performing $ 80,193 $ 16,028 $ 4,071 $ 2,203 $ 1,231 $ 103,726 As of both March 30, 2024 and April 1, 2023, approximately 18% of our outstanding commercial loans receivable principal balance was concentrated in New York. No other state had concentrations in excess of 10% of the principal balance of the commercial loans receivable as of March 30, 2024 or April 1, 2023. We had concentrations with one independent third-party and its affiliates that equaled 13% and 12% of the net commercial loans receivable principal balance outstanding, all of which was secured, as of March 30, 2024 and April 1, 2023, respectively. The risks created by these concentrations have been considered in the determination of the adequacy of the allowance for loan losses. |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Mar. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, Plant and Equipment, net Property, plant and equipment, net, consisted of the following (in thousands): March 30, April 1, Property, plant and equipment, at cost: Buildings and improvements $ 171,516 $ 167,291 Machinery and equipment 81,142 76,826 Land 39,822 39,822 Construction in progress 8,405 5,472 300,885 289,411 Accumulated depreciation (76,686) (61,133) $ 224,199 $ 228,278 Depreciation expense was $17.0 million in fiscal year 2024, $14.8 million in fiscal year 2023 and $9.6 million in fiscal year 2022. Included in the balances above are certain assets under finance leases. See Note 9 for additional information. |
Leases
Leases | 12 Months Ended |
Mar. 30, 2024 | |
Leases [Abstract] | |
Leases | Leases We lease certain production and retail locations, office space and equipment. We determine if a contract or arrangement is, or contains, a lease at inception. Lease agreements with an initial term of 12 months or less are not recorded in the Consolidated Balance Sheets. Certain lease agreements include one or more options to renew, with renewal terms that can extend the lease term by one Certain of our lease agreements include rental payments adjusted periodically for inflation. These lease agreements do not contain any material residual value guarantees or material restrictive covenants. Right of Use ("ROU") assets represent the right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments in accordance with the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. Since our leases do not provide a readily determinable implicit interest rate, we estimate an incremental borrowing rate. In determining the estimated incremental borrowing rate, we consider the lease period and comparable market interest rates, as well as any other information available at the lease commencement date. The lease term includes options to extend or terminate the lease when it is reasonably certain that we will exercise such options. The following table provides information about the financial statement classification of our lease balances reported within the Consolidated Balance Sheets as of March 30, 2024 and April 1, 2023 (in thousands): Classification March 30, April 1, ROU assets Operating lease assets Operating lease right-of-use assets $ 39,027 $ 26,755 Finance lease assets Property, plant and equipment, net (1) 5,913 6,088 Total lease assets $ 44,940 $ 32,843 Lease Liabilities Current: Operating lease liabilities Accrued expenses and other current liabilities $ 5,303 $ 6,262 Finance lease liabilities Accrued expenses and other current liabilities 80 347 Non-current: Operating lease liabilities Operating lease liabilities 35,148 21,678 Finance lease liabilities Other liabilities 6,086 5,896 Total lease liabilities $ 46,617 $ 34,183 (1) Recorded net of accumulated amortization of $0.4 million and $0.3 million as of March 30, 2024 and April 1, 2023, respectively. The following table provides information about the financial statement classification of our lease expenses reported within the Consolidated Statements of Comprehensive Income for the years ended March 30, 2024, April 1, 2023 and April 2, 2022 (in thousands): Year Ended Lease Expense Category Classification March 30, April 1, April 2, Operating lease expense (2) Cost of sales $ 1,119 $ 1,190 $ 1,160 Selling, general and administrative expenses 4,693 4,059 3,636 Finance lease expense Amortization of leased assets Cost of sales 175 175 109 Interest on lease liabilities Interest expense 279 283 151 Total lease expense $ 6,266 $ 5,707 $ 5,056 (2) Excludes short-term and variable lease expenses, which are immaterial. Cash payments for operating and finance leases were as follows (in thousands): March 30, April 1, April 2, Operating leases $ 6,694 $ 5,609 $ 4,794 Finance leases 356 356 220 The present value of minimum payments for future fiscal years under non-cancelable leases as of March 30, 2024 was as follows (in thousands): Operating Leases Finance Leases Total 2025 $ 7,074 $ 356 $ 7,430 2026 7,396 356 7,752 2027 4,870 356 5,226 2028 3,979 356 4,335 2029 3,810 356 4,166 Thereafter 24,305 10,230 34,535 51,434 12,010 63,444 Less: Amount representing interest (10,983) (5,844) (16,827) $ 40,451 $ 6,166 $ 46,617 The following table provides information about the weighted average remaining lease terms and weighted average discount rates as of March 30, 2024: Remaining Lease Term (Years) Discount Rate Operating leases 10.3 4.9 % Finance leases 33.8 4.5 % |
Leases | Leases We lease certain production and retail locations, office space and equipment. We determine if a contract or arrangement is, or contains, a lease at inception. Lease agreements with an initial term of 12 months or less are not recorded in the Consolidated Balance Sheets. Certain lease agreements include one or more options to renew, with renewal terms that can extend the lease term by one Certain of our lease agreements include rental payments adjusted periodically for inflation. These lease agreements do not contain any material residual value guarantees or material restrictive covenants. Right of Use ("ROU") assets represent the right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments in accordance with the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. Since our leases do not provide a readily determinable implicit interest rate, we estimate an incremental borrowing rate. In determining the estimated incremental borrowing rate, we consider the lease period and comparable market interest rates, as well as any other information available at the lease commencement date. The lease term includes options to extend or terminate the lease when it is reasonably certain that we will exercise such options. The following table provides information about the financial statement classification of our lease balances reported within the Consolidated Balance Sheets as of March 30, 2024 and April 1, 2023 (in thousands): Classification March 30, April 1, ROU assets Operating lease assets Operating lease right-of-use assets $ 39,027 $ 26,755 Finance lease assets Property, plant and equipment, net (1) 5,913 6,088 Total lease assets $ 44,940 $ 32,843 Lease Liabilities Current: Operating lease liabilities Accrued expenses and other current liabilities $ 5,303 $ 6,262 Finance lease liabilities Accrued expenses and other current liabilities 80 347 Non-current: Operating lease liabilities Operating lease liabilities 35,148 21,678 Finance lease liabilities Other liabilities 6,086 5,896 Total lease liabilities $ 46,617 $ 34,183 (1) Recorded net of accumulated amortization of $0.4 million and $0.3 million as of March 30, 2024 and April 1, 2023, respectively. The following table provides information about the financial statement classification of our lease expenses reported within the Consolidated Statements of Comprehensive Income for the years ended March 30, 2024, April 1, 2023 and April 2, 2022 (in thousands): Year Ended Lease Expense Category Classification March 30, April 1, April 2, Operating lease expense (2) Cost of sales $ 1,119 $ 1,190 $ 1,160 Selling, general and administrative expenses 4,693 4,059 3,636 Finance lease expense Amortization of leased assets Cost of sales 175 175 109 Interest on lease liabilities Interest expense 279 283 151 Total lease expense $ 6,266 $ 5,707 $ 5,056 (2) Excludes short-term and variable lease expenses, which are immaterial. Cash payments for operating and finance leases were as follows (in thousands): March 30, April 1, April 2, Operating leases $ 6,694 $ 5,609 $ 4,794 Finance leases 356 356 220 The present value of minimum payments for future fiscal years under non-cancelable leases as of March 30, 2024 was as follows (in thousands): Operating Leases Finance Leases Total 2025 $ 7,074 $ 356 $ 7,430 2026 7,396 356 7,752 2027 4,870 356 5,226 2028 3,979 356 4,335 2029 3,810 356 4,166 Thereafter 24,305 10,230 34,535 51,434 12,010 63,444 Less: Amount representing interest (10,983) (5,844) (16,827) $ 40,451 $ 6,166 $ 46,617 The following table provides information about the weighted average remaining lease terms and weighted average discount rates as of March 30, 2024: Remaining Lease Term (Years) Discount Rate Operating leases 10.3 4.9 % Finance leases 33.8 4.5 % |
Goodwill and Other Intangibles
Goodwill and Other Intangibles | 12 Months Ended |
Mar. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Goodwill and Other Intangibles Goodwill and other intangibles, net, consisted of the following (in thousands): March 30, 2024 April 1, 2023 Gross Accumulated Net Gross Accumulated Net Indefinite-lived: Goodwill $ 121,934 $ — $ 121,934 $ 114,547 $ — $ 114,547 Trademarks and trade names 16,980 — 16,980 16,980 — 16,980 State insurance licenses 1,100 — 1,100 1,100 — 1,100 140,014 — 140,014 132,627 — 132,627 Finite lived: Customer relationships 15,000 (5,314) 9,686 16,900 (5,818) 11,082 Other 1,114 (659) 455 1,114 (486) 628 $ 156,128 $ (5,973) $ 150,155 $ 150,641 $ (6,304) $ 144,337 At April 1, 2023 and March 30, 2024, the Company had Goodwill of $114,547 and $121,934, respectively. The change is due to current year acquisitions and adjustments to prior year acquisitions. All Goodwill resides in the Factory-built housing segment. At March 30, 2024 there are no accumulated impairment losses related to Goodwill. Amortization expense recognized on intangible assets was $1.6 million during fiscal year 2024, $2.1 million during fiscal year 2023 and $1.4 million during fiscal year 2022. Customer relationships have a weighted average remaining life of 6.9 years and other finite lived intangibles have a weighted average remaining life of 2.5 years. Expected amortization for future fiscal years is as follows (in thousands): 2025 $ 1,530 2026 1,488 2027 1,415 2028 1,299 2029 1,265 Thereafter 3,144 $ 10,141 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Mar. 30, 2024 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): March 30, April 1, Customer deposits $ 40,856 $ 45,193 Salaries, wages and benefits 38,125 47,100 Unearned insurance premiums 33,449 27,901 Estimated warranties 31,718 31,368 Accrued volume rebates 21,167 22,858 Accrued self-insurance 14,124 11,467 Other 60,297 76,774 $ 239,736 $ 262,661 |
Warranties
Warranties | 12 Months Ended |
Mar. 30, 2024 | |
Product Warranties Disclosures [Abstract] | |
Warranties | Warranties Activity in the liability for estimated warranties for fiscal years 2024, 2023 and 2022 was as follows (in thousands): March 30, April 1, April 2, Balance at beginning of fiscal year $ 31,368 $ 26,250 $ 18,032 Purchase accounting additions — 1,250 5,909 Charged to costs and expenses 60,219 50,157 40,678 Payments and deductions (59,869) (46,289) (38,369) Balance at end of fiscal year $ 31,718 $ 31,368 $ 26,250 |
Other Liabilities
Other Liabilities | 12 Months Ended |
Mar. 30, 2024 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | Other Liabilities The following table summarizes secured financings and other obligations (in thousands): March 30, April 1, Finance lease liabilities $ 6,166 $ 6,243 Other secured financing 1,916 2,379 Mandatorily redeemable noncontrolling interest — 2,268 8,082 10,890 Less current portion included in Accrued expenses and other current liabilities (323) (3,070) $ 7,759 $ 7,820 Scheduled maturities for future fiscal years of the Company's obligations consist of the following (in thousands). 2025 $ 323 2026 306 2027 287 2028 277 2029 265 Thereafter 6,624 $ 8,082 Actual payments may vary from those above, resulting from prepayments or other factors. See Note 9 for further discussion of the finance lease obligations. |
Debt
Debt | 12 Months Ended |
Mar. 30, 2024 | |
Debt Disclosure [Abstract] | |
Debt | Debt On November 22, 2022, we entered into a Credit Agreement among the Company, Bank of America, N.A., as administrative agent, swing line lender and letter of credit issuer, and the guarantors party thereto (the "Credit Agreement"), providing for a $50 million revolving credit facility (the "Revolving Credit Facility"), which may be increased from time to time through adding one or more tranches of term loans (each an "Incremental Term Facility") up to an aggregate amount of $100 million. The Credit Agreement matures on November 22, 2027. Loans under the Revolving Credit Facility and any Incremental Term Facilities will bear interest at a rate equal to (i) the Secured Overnight Financing Rate, plus a credit spread adjustment of 0.10% (as adjusted, "Term SOFR"), plus the "applicable rate" or (ii) the "base rate" (defined as the highest of (a) the Bank of America prime rate, (b) the Federal Funds rate plus 0.50%, and (c) Term SOFR plus 1.00%) plus the "applicable rate." The applicable rate will be determined in accordance with a pricing grid based on the Company's Consolidated Total Leverage Ratio (as defined in the Credit Agreement) ranging from 1.125% to 1.350% per annum for Term SOFR rate loans and from 0.125% to 0.350% per annum for base rate loans. In addition, the Company will pay a commitment fee on the unused portion of the Revolving Credit Facility of 0.15% per annum. The Revolving Credit Facility is recourse to certain of the Company's subsidiaries, on a joint and several basis as guarantors, but is unsecured. The Credit Agreement includes the following financial covenants: (i) as of the end of any fiscal quarter, the Consolidated Total Leverage Ratio (as defined in the Credit Agreement) cannot exceed 3.25 to 1.00 and (ii) a requirement to maintain Consolidated EBITDA (as defined in the Credit Agreement) for any period of four fiscal quarters of at least $75 million. The Credit Agreement also contains customary representations and warranties, and affirmative negative covenants. As of March 30, 2024, there were no borrowings outstanding under the Revolving Credit Facility and we were in compliance with all covenants. |
Reinsurance and Insurance Loss
Reinsurance and Insurance Loss Reserves | 12 Months Ended |
Mar. 30, 2024 | |
Insurance [Abstract] | |
Reinsurance and Insurance Loss Reserves | Reinsurance and Insurance Loss Reserves Standard Casualty is primarily a specialty writer of manufactured home physical damage insurance. Certain of our premiums and benefits are assumed from and ceded to other insurance companies under various reinsurance agreements. The ceded reinsurance agreements provide increased capacity to write larger risks while maintaining exposure to loss within our capital resources. We remain obligated for amounts ceded in the event that the reinsurers do not meet their obligations. Substantially all of the assumed reinsurance is with one entity. The effects of reinsurance on premiums written and earned were as follows (in thousands): Year Ended March 30, 2024 April 1, 2023 Written Earned Written Earned Direct premiums $ 47,448 $ 39,352 $ 32,671 $ 29,775 Assumed premiums—nonaffiliated 37,426 35,630 34,153 32,809 Ceded premiums—nonaffiliated (26,273) (26,273) (18,300) (18,300) $ 58,601 $ 48,709 $ 48,524 $ 44,284 Typical insurance policies written or assumed have a maximum coverage of $0.4 million per claim, of which we cede $0.2 million of the risk of loss per reinsurance. Therefore, our risk of loss is limited to $0.2 million per claim on typical policies, subject to the reinsurers meeting their obligations. After this limit, amounts are recoverable through reinsurance for catastrophic losses in excess of $4.0 million per occurrence, up to a maximum of $110.0 million in the aggregate for that occurrence. Purchasing reinsurance contracts mitigates the frequency and/or severity of losses incurred on insurance policies issued, such as in the case of a catastrophe that generates a large number of serious claims on multiple policies at the same time. Under these agreements, we may be required to repurchase and reestablish the reinsurance contracts for the remainder of the year to the extent that they have been utilized. Standard Casualty establishes reserves for claims and claims expense on reported and IBNR claims of non-reinsured losses. The following details the activity in the reserve for fiscal years 2024, 2023 and 2022 (in thousands): March 30, April 1, April 2, Balance at beginning of fiscal year $ 10,939 $ 8,149 $ 7,451 Net incurred losses during the year 37,490 33,466 25,962 Net claim payments during the year (37,889) (30,676) (25,264) Balance at end of fiscal year $ 10,540 $ 10,939 $ 8,149 |
Income Taxes
Income Taxes | 12 Months Ended |
Mar. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for income taxes generally represents income taxes paid or payable for the current year plus the change in deferred taxes during the year. The following details the provision for income taxes for fiscal years 2024, 2023 and 2022 (in thousands): 2024 2023 2022 Current Federal $ 36,023 $ 51,190 $ 7,271 State 8,094 12,709 8,768 Foreign 218 50 — 44,335 63,949 16,039 Deferred Federal (2,884) 2,705 (1,257) State (98) (732) (535) Foreign (78) — — (3,060) 1,973 (1,792) $ 41,275 $ 65,922 $ 14,247 A reconciliation of income taxes computed by applying the expected federal statutory income tax rate of 21% for fiscal years 2024, 2023 and 2022 to income before income taxes reported in the Consolidated Statements of Comprehensive Income is as follows (in thousands): 2024 2023 2022 Federal income tax at statutory rate $ 41,828 $ 64,420 $ 44,518 State income taxes, net of federal benefit 7,984 12,172 8,075 Tax credits (6,662) (10,847) (37,488) Other (1,875) 177 (858) $ 41,275 $ 65,922 $ 14,247 Net deferred tax assets and liabilities were as follows (in thousands): March 30, April 1, Net deferred tax (liabilities) assets Goodwill $ (17,080) $ (16,041) Property, plant and equipment (14,678) (16,763) Warranty reserves 7,668 7,355 Lease - Operating lease liability 7,446 6,323 Lease - Right of use assets (7,108) (6,050) Research and experimentation expenditures 5,940 2,712 Salaries and wages 3,176 3,675 Inventory 2,913 2,151 Accrued volume rebates 2,868 2,713 Other 4,280 6,344 $ (4,575) $ (7,581) The effective income tax rate for the current year was positively impacted by the recognition of tax credits. Of the total tax credits, $4.2 million related to the sale of energy efficient homes and Energy Star credits available under the Internal Revenue Code §45L and $2.4 million related to the Research and Development, Solar, and Work Opportunity Tax Credits. The §45L tax credit was initially established under the Federal Energy Policy Act of 2005 and was extended through December 31, 2032 by the Inflation Reduction Act of 2022. We recorded an insignificant amount of unrecognized tax benefits during fiscal years 2024, 2023 and 2022, and there would be an insignificant effect on the effective tax rate if all unrecognized tax benefits were recognized. We classify interest and penalties related to unrecognized tax benefits in income tax expense. The total amount of unrecognized tax benefit related to any particular tax position is not anticipated to change significantly within the next 12 months. We believe that our income tax filing positions and deductions will be sustained on audit and we do not anticipate any adjustments that will result in a material change to our financial position. We periodically evaluate the deferred tax assets based on the requirements established in ASC 740, which requires the recording of a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The determination of the need for, or amount of, any valuation allowance involves significant management judgment and is based upon the evaluation of both positive and negative evidence, including management projections of anticipated taxable income. At March 30, 2024, we had state net operating loss carryforwards totaling $3.5 million, which begin to expire in 2038, and no associated valuation allowance. We have evaluated our historical profits earned and forecasted taxable income and determined that all of the deferred tax assets would be utilized in future periods. Ultimate realization of the deferred tax assets depends on our ability to continue to earn profits, as we have historically, and to meet these forecasts in future periods. Income tax returns are filed in the U.S. federal jurisdiction in several state jurisdictions, and in Mexico. In general, we are no longer subject to examination by the IRS or state and local income tax examinations by tax authorities for years before fiscal year 2020; however, we have filed refund claims for fiscal 2018 and 2020 which are currently being processed by the IRS. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Mar. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Repurchase Contingencies . We are contingently liable under terms of repurchase agreements with financial institutions providing inventory financing to independent distributors of our products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to distributors in the event of default by the distributor. The risk of loss under these agreements is spread over numerous distributors. The price we may be obligated to pay generally declines over the period of the agreement (generally 18 to 24 months, calculated from the date of sale to the distributor) and the risk of loss is further reduced by the resale value of the repurchased homes. The maximum amount for which the Company was liable under such agreements approximated $121 million at March 30, 2024, $178 million at April 1, 2023 and $141 million at April 2, 2022, without reduction for the resale value of the homes. During the fourth quarter of fiscal 2024, we received two repurchase demand notices. The inventory was obtained and resold to other dealers during the quarter at an immaterial loss. For all of fiscal 2024, we received five demand notices covering 11 homes. Our reserve for repurchase commitments was $2.9 million at March 30, 2024 and $5.2 million at April 1, 2023. Constru ction-Period Mortgages. We fund construction-period mortgages through periodic advances during home construction. At the time of initial funding, we commit to fully fund the loan contract in accordance with a predetermined schedule. Subsequent advances are contingent upon the performance of contractual obligations by the seller of the home and the borrower. Cumulative advances on construction-period mortgages are carried at the amount advanced less a valuation allowance, and are included in Consumer loans receivable, net. The total loan contract amount, less cumulative advances, represents an off-balance sheet contingent commitment to fund future advances. Loan contracts with off-balance sheet commitments are summarized below (in thousands): March 30, April 1, Construction loan contract amount $ 1,960 $ 2,214 Cumulative advances (722) (706) $ 1,238 $ 1,508 Representations and Warranties of Mortgages Sold . We sell loans to GSEs and whole-loan purchasers and finance certain loans with long-term credit facilities secured by the respective loans. In connection with these activities, we provide to GSEs and whole-loan purchasers and lenders representations and warranties related to the loans sold or financed. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transaction, including compliance with underwriting standards or loan criteria established by the buyer, and our ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, we may be required to repurchase the loan or to indemnif y a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. We manage the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. We maintain a reserve for these contingent repurchase and indemnification obligations. This reserve of $0.6 million as of March 30, 2024 and $0.7 million as of April 1, 2023, included in Accrued expenses and other current liabilities, reflects management's estimate of probable loss. We consider a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan default rates to estimate the liability for loan repurchases and indemnifications. There were no claim requests that resulted in the repurchase of a loan during the year ended March 30, 2024. In addition, we are subject to minimum net worth requirements and were in compliance for the year ended March 30, 2024. Interest Rate Lock Commitments . In originating loans for sale, we issue interest rate lock commitments ("IRLCs") to prospective borrowers. These IRLCs represent an agreement to extend credit to a loan applicant, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind us to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The lock commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, we are subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout. As of March 30, 2024, we had outstanding IRLCs with a notional amount of $39.0 million, which are recorded at fair value in accordance with FASB ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair value of IRLCs is recorded in Prepaid expenses and other current assets if in a net favorable position, or Accrued expenses and other current liabilities if in a net unfavorable position, in the Consolidated Balance Sheets. The fair value of IRLCs is based on the value of the underlying loan adjusted for: (1) estimated cost to complete and originate the loan and (2) the estimated percentage of IRLCs that will result in closed loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on loans held for sale. During fiscal year 2024 we recognized an insignificant non-cash loss on outstanding IRLCs. During fiscal years 2023 and 2022 we recognized insignificant non-cash gain s on outstanding IRLCs. Forward Sales Commitments . We manage the risk profiles of a portion of the outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage-backed securities and whole loan sale commitments (collectively "Commitments"). As of March 30, 2024, we had $2.8 million in outstanding Commitments. Commitments for forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale. The estimated fair values of Commitments are based on quoted market values and are recorded within Prepaid expenses and other current assets in the Consolidated Balance Sheets. During the fiscal year ended March 30, 2024, we recognized an insignificant non-cash gain on Commitments . During the fiscal years ended April 1, 2023 and April 2, 2022, we recognized non-cash losses of $0.3 million and $0.1 million, respectively, on Commitments. Legal Matters . On September 2, 2021, the SEC filed a civil complaint in the United States District Court, District of Arizona, naming the Company along with the Company's former Chairman, President & Chief Executive Officer ("former CEO") and the Company's former Chief Financial Officer ("former CFO"), alleging violations of the antifraud and internal accounting control provisions of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), based on trading in the shares of another company directed by the former CEO. In fiscal 2022, the Company recorded an accrual relating to this loss contingency. On September 23, 2022, the United States District Court for the District of Arizona approved the settlement of the SEC action against the Company. Without admitting or denying the findings of the consent judgment, the Company agreed to the imposition of an injunction against future violations of the antifraud and internal accounting control provisions of the Exchange Act and a monetary penalty of $1.5 million, which did not have a material impact on the Company's financial statements (collectively, the "SEC Litigation"). The settlement resolved all claims in the SEC Litigation against the Company. In May 2024, the SEC settled all outstanding claims against our former CFO thereby closing all SEC Litigation matters. We are party to certain other lawsuits in the ordinary course of business. Based on management's present knowledge of the facts and (in certain cases) advice of outside counsel, management does not believe that loss contingencies arising from pending matters are likely to have a material adverse effect on our consolidated financial position, liquidity or results of operations after taking into account any existing reserves, which reserves are included in Accrued expenses and other current liabilities in the Consolidated Balance Sheets. However, future events or circumstances that may currently be unknown to management will determine whether the resolution of pending or threatened litigation or claims will ultimately have a material effect on our consolidated financial position, liquidity or results of operations in any future reporting periods. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Mar. 30, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company maintains stock incentive plans whereby stock option grants or awards of RSUs may be made to certain officers, directors and key employees. In August 2023, our shareholders approved the 2023 Omnibus Equity Incentive Plan (the “Plan”). The Plan supersedes and replaces the Company’s 2005 Stock Incentive Plan, as amended (the “2005 Plan”). No further awards will be made pursuant to the 2005 Plan; provided, that the 2005 Plan shall remain in effect until all awards granted under the 2005 Plan have vested or been exercised, forfeited, cancelled, or have otherwise expired or terminated in accordance with the terms of such grants. The Plan permits the award of up to 550,000 shares of the Company's common stock, of which 549,299 shares were still available for grant as of March 30, 2024. The exercise price of stock option awards may not be below 100% of the fair market value of the Company's common stock at the date of grant. Stock options vest over a defined period as determined by the plan administrator (the Compensation Committee of the Board, which consists of independent directors), but typically is no more than five years and generally expire seven years from the date of grant. Upon option exercise, new shares of the Company's common stock are issued. Service-based RSUs vest over a defined period, typically three years. Performance-based RSUs vest based on the achievement of certain criteria, determined by the plan administrator, over the measurement period which is generally three years. When RSUs vest, unrestricted shares are issued. The stock incentive plans provide for accelerated vesting of stock option awards and RSUs when the participant is involuntarily terminated upon a change in control (as defined in the plans). We apply the fair value recognition provisions of ASC 718, Compensation - Stock Compensation . Stock compensation expense was approximately $6.8 million, $6.3 million and $5.1 million for fiscal years 2024, 2023 and 2022, respectively. As of March 30, 2024, total unrecognized compensation cost was approximately $8.0 million and the related weighted-average period over which it is expected to be recognized is approximately 1.77 years. Stock Options. The following table summarizes stock option activity for fiscal years 2024, 2023 and 2022: Number Weighted Weighted Aggregate Outstanding at April 3, 2021 251,749 $ 146.86 4.04 $ 34,266 Exercised (53,550) 107.58 Forfeited, canceled or expired (5,286) 164.49 Outstanding at April 2, 2022 192,913 $ 157.23 3.34 $ 16,724 Exercised (44,237) 137.28 Forfeited, canceled or expired (5,100) 241.23 Outstanding at April 1, 2023 143,576 $ 160.40 2.88 $ 22,591 Exercised (48,637) 145.38 Forfeited, canceled or expired (538) 183.83 Outstanding at March 30, 2024 94,401 $ 168.00 2.21 $ 21,812 Exercisable at April 2, 2022 126,948 $ 149.90 2.82 $ 11,941 Exercisable at April 1, 2023 116,434 $ 155.38 2.70 $ 18,887 Exercisable at March 30, 2024 89,474 $ 167.13 2.15 $ 20,752 There were no grants of stock options in fiscal years 2024, 2023 or 2022. The total intrinsic value of options exercised during fiscal years 2024, 2023 and 2022 was $7.8 million, $5.7 million and $7.9 million, respectively. Restricted Stock Awards. A summary of RSU activity for fiscal years 2024, 2023 and 2022 is as follows: Number of Service-based units Weighted Average Grant Date Fair Value per share Outstanding at April 3, 2021 4,585 $ 177.08 Awarded 16,902 233.60 Released (3,335) 180.83 Forfeited (505) 215.90 Outstanding at April 2, 2022 17,647 $ 229.39 Awarded 18,965 227.99 Released (6,714) 234.55 Forfeited (1,030) 283.27 Outstanding at April 1, 2023 28,868 $ 225.35 Awarded 17,511 294.06 Released (12,541) 231.70 Forfeited (1,254) 250.71 Outstanding at March 30, 2024 32,584 $ 258.85 The total intrinsic value of RSUs released during fiscal years 2024, 2023 and 2022 was $3.6 million, $1.6 million and $0.8 million, respectively. Number of Performance-based units Weighted Average Grant Date Fair Value per share Outstanding at April 3, 2021 12,939 $ 163.51 Awarded 7,920 217.39 Forfeited (805) 192.64 Outstanding at April 2, 2022 20,054 $ 183.62 Awarded 11,730 209.87 Additional shares granted by performance 2,489 158.36 Released (8,822) 158.36 Outstanding at April 1, 2023 25,451 $ 202.00 Awarded 12,125 295.01 Additional shares granted by performance 1,658 167.84 Released (6,988) 167.95 Forfeited (2,128) 220.67 Outstanding at March 30, 2024 30,118 $ 244.15 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2024 7,504 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2025 11,187 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2026 11,427 Grants of performance-based RSUs are shown in the table above at the target amount in the year of the award. Additional shares awarded based upon achievement above target specified performance criteria are shown in the table above when they vest, which is generally in the first quarter of the fiscal year following the performance year. Cancellations of target awards based upon achievement below target specified performance criteria are shown in the table above in the period they are canceled, which is generally in the first quarter of the fiscal year following the performance year. The total intrinsic value of performance based RSUs released during fiscal years 2024 and 2023 was $2.1 million and $1.9 million, respectively, and none in fiscal year 2022. Actual performance exceeded the target established for the three-year performance-based RSUs granted in fiscal year 2022. As a result, in the first quarter of fiscal year 2025, we expect 1,125 performance-based RSUs will vest and be released, in addition to the unvested target performance-based RSUs shown in the table above. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Mar. 30, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table sets forth the computation of basic and diluted earnings per share for fiscal years 2024, 2023 and 2022 (dollars in thousands, except per share amounts): Fiscal Year 2024 2023 2022 Net income attributable to Cavco common stockholders $ 157,817 $ 240,554 $ 197,699 Weighted average shares outstanding: Basic 8,506,673 8,844,326 9,178,593 Effect of dilutive securities 85,238 80,126 85,560 Diluted 8,591,911 8,924,452 9,264,153 Net income per share attributable to Cavco common stockholders Basic $ 18.55 $ 27.20 $ 21.54 Diluted $ 18.37 $ 26.95 $ 21.34 Anti-dilutive common stock equivalents excluded 44 174 405 Outstanding RSUs excluded, as underlying performance criteria has not yet been met 30,118 25,451 20,054 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Mar. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The book value and estimated fair value of our financial instruments were as follows (in thousands): March 30, 2024 April 1, 2023 Book Estimated Book Estimated Available-for-sale debt securities (1) $ 18,669 $ 18,669 $ 18,555 $ 18,555 Marketable equity securities (2) 11,961 11,961 9,989 9,989 Non-marketable equity investments (3) 4,956 4,956 5,073 5,073 Consumer loans receivable (4) (5) 44,067 49,105 44,148 50,686 Commercial loans receivable (5) 91,041 80,764 101,977 97,106 Other secured financing (6) (1,916) (1,841) (2,379) (2,332) (1) Level 2: The fair value is based on observable market prices for identical securities. When observable market prices for identical securities are not available, we price our marketable debt instruments using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. (2) Level 1: The fair value is based on quoted market prices. (3) Level 3: The fair value approximates book value based on the non-marketable nature of the investments. (4) Level 3: Includes consumer loans receivable held for investment, held for sale and construction advances. (5) Level 3: The fair value is estimated using market interest rates of comparable loans. (6) L evel 2: The fair value is based on the discounted value of the expected remaining principal and interest cash flows. Consumer loans held for investment are measured using Level 3 inputs that are calculated using estimated discounted future cash flows from the evaluation of loan credit quality and performance history to determine expected prepayments and defaults on the portfolio, discounted with rates considered to reflect current market conditions. Loans held for sale are measured at the lower of cost or fair value, less costs to sell, using inputs that consist of quoted market prices for mortgage-backed securities or investor purchase commitments for similar types of loan commitments on hand from investors. The cost of loans held for sale was lower than the fair value as of March 30, 2024. Mortgage Servicing . Mortgage Servicing Rights ("MSRs") are the rights to receive a portion of the interest coupon and fees collected from the mortgagors for performing specified mortgage servicing activities, which consist of collecting loan payments, remitting principal and interest payments to investors, managing escrow accounts, performing loss mitigation activities on behalf of investors and otherwise administering the loan servicing portfolio. MSRs are recorded at fair value in Prepaid expenses and other current assets in the Consolidated Balance Sheets based on the present value of the expected future cash flows related to servicing these loans. March 30, April 1, Number of loans serviced with MSRs 3,842 4,070 Weighted average servicing fee (basis points) 34.79 34.71 Capitalized servicing multiple 188.59 % 98.99 % Capitalized servicing rate (basis points) 65.61 34.36 Serviced portfolio with MSRs (in thousands) $ 482,898 $ 520,458 MSRs (in thousands) $ 3,168 $ 1,788 |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Mar. 30, 2024 | |
Compensation Related Costs [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans We have self-funded group medical plans which are administered by third-party administrators. The medical plans have reinsurance coverage limiting liability for general individual employee loss to a maximum of $0.4 million. Incurred claims identified under the third-party administrator's incident reporting system and IBNR claims are accrued based on estimates that incorporate claim experience, as well as other considerations such as the nature of each claim or incident, relevant trend factors and advice from consulting actuaries when necessary. Medical claims expense was $32.9 million, $30.6 million and $22.8 million for fiscal years 2024, 2023 and 2022, respectively. We sponsor an employee savings plan (the "401k Plan") that is intended to provide participating employees with additional income upon retirement. Employees may contribute their eligible compensation up to federal limits to the 401k Plan. The Company match is discretionary and may be up to 50% of the first 5% of eligible compensation contributed by employees. For calendar year 2023, the Company match was 30% of the first 5% of eligible compensation contributed by employees. Employees are eligible to participate on the first of the month following 90 days of service and employer matching contributions are vested progressively over 4 years. Employer matching contribution expense was $3.4 million in fiscal year 2024, $4.0 million in fiscal year 2023 and $1.3 million in fiscal year 2022. Certain manufacturing facilities of The Commodore Corporation ("Commodore") participate in the IAM National Pension Fund, a multiemployer defined benefit plan. Participation in this plan is available to all hourly employees who are members of the participating collective bargaining unit. Beginning January 1, 2022, we contribute to the plan a specified amount per hour worked for each eligible employee. Benefits under this plan are based on a fixed monthly benefit rate per year of credited service. The risks of participating in this multiemployer plan differ from single-employer plans. The potential risks include, but are not limited to, the use of the Company's contributions to provide benefits to employees of other participating employers, the Company becoming obligated for other participating employers' unfunded obligations and, upon the Company's withdrawal from the plan, the Company being required to pay the plan an amount based on the underfunded status of the plan, referred to as a withdrawal liability. The Company's participation in multiemployer plans for the fiscal year ended March 30, 2024 is outlined in the table below, with the following information: • The Employer Identification Number is 51-6031295 and the three-digit plan number assigned to a plan by the Internal Revenue Service is 002. • The most recent Pension Protection Act Zone Status available is for plan years that ended in calendar years 2023 and 2022, based on information provided to the Company by the plan. A plan in the "red" zone has been determined to be in "critical status," based on criteria established under the Internal Revenue Code ("Code"), and is generally less than 65% funded. • The "RP Status Pending/Implemented" column indicates whether a Rehabilitation Plan ("RP") for plans in the "red" zone, as required by the Code, is pending or has been implemented by the plan as of the end of the plan year that ended in calendar year 2023. • The "Surcharge Imposed" column indicates whether the Company contribution rate for its fiscal year that ended on March 30, 2024 included an amount in addition to the contribution rate specified in the applicable collective bargaining agreement ("CBA"), as imposed by a plan in "critical status," in accordance with the requirements of the Code. Pension Protection Act Zone Status RP Status Pending / Implemented Contributions by the Company by fiscal year (in thousands) Expiration Date of CBAs Pension Fund 2024 2023 2024 2023 2022 Surcharge Imposed IAM National Pension Fund Red Red Implemented $ 1,364 $ 1,507 $ 312 Yes (1) |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Mar. 30, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions We have non-marketable equity investments in other distribution operations outside of Company-owned retail stores. In the ordinary course of business, we sell homes and lend to certain of these operations through our commercial lending programs. For the fiscal years ended March 30, 2024 , April 1, 2023 and April 2, 2022, the total amount of sales to related parties was $54.9 million , $65.6 million and $58.1 million, respectively. As of March 30, 2024, receivables from related parties included $8.5 million of accounts receivable and $4.6 million of commercial loans outstanding. As of April 1, 2023, receivables from related parties included $5.7 million of accounts receivable and $4.7 million of commercial loans outstanding. |
Acquisitions
Acquisitions | 12 Months Ended |
Mar. 30, 2024 | |
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract] | |
Acquisitions | Acquisitions Fiscal Year 2024 Kentucky Dream Homes Acquisition On November 15, 2023, the Company acquired certain assets and assumed certain liabilities of Kentucky Dream Homes, LLC ("KDH"), a manufactured home retailer with locations in Kentucky and Florida for total consideratio n of $23.3 million, which includes $5.4 million non-cash commercial loan forgiveness. Th e remaining $17.9 million was paid with cash on hand. The final purchase price is subject to customary adjustments. The business is included in the Factory-built housing reportable business segment. The fair value of the assets acquired and liabilities assumed included $23.5 million of inventory, $4.4 million of goodwill and certain other assets and liabilities. The purchase accounting is subject to final adjustment, primarily for the working capital and amounts allocated to goodwill. We have included the financial results in our Consolidated Financial Statements from the date of acquisition. Pro forma historical results of operations related to this acquisition have not been presented because they are not significant to our Consolidated Financial Statements for the periods presented. Fiscal Year 2023 Solitaire Acquisition On January 3, 2023, we completed the acquisition of Solitaire Inc. and other related entities (collectively "Solitaire Homes") by acquiring 100% of the outstanding stock of Solitaire Homes. The acquisition-date fair value of the total consideration was $110.8 million . In fiscal 2023, we expensed $2.4 million in acquisition related transaction costs in Selling, general and administrative expenses in the Consolidated Statements of Comprehensive Income. During the third fiscal quarter of 2024, we finalized the purchase price allocation related to the Solitaire acquisition, which did not have a material effect on the Consolidated Financial Statements. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands). January 3, (as finalized) Cash $ 5,041 Investments 334 Accounts receivable 2,749 Inventories 57,902 Property, plant and equipment 36,006 Other current assets 1,579 Intangible assets (1) 3,400 Total identifiable assets acquired 107,011 Accounts payable and accrued liabilities 11,335 Net identifiable assets acquired 95,676 Goodwill (2) 15,107 Net assets acquired $ 110,783 (1) Includes $1.3 million assigned to trade names, which are considered indefinite lived intangible assets and are not subject to amortization, $1.9 million assigned to customer-related intangibles, subject to a useful life of 10 years amortized on a straight-line basis, and $0.2 million for covenants not to compete from the sellers, amortized on a straight-line basis over the term of 5 years. (2) Attributable to the Factory-built housing segment, all of which will be deductible for income tax purposes. Solitaire Homes contributed Net revenue of $28.3 million and a Net loss of $0.9 million for the fiscal year ended April 1, 2023. Pro Forma Impact of Acquisitions (Unaudited) . The following table presents supplemental pro forma information as if the above acquisitions had occurred on April 4, 2021 (in thousands, except per share data): Year Ended April 1, April 2, Net revenue $ 2,251,233 $ 1,914,866 Net income attributable to Cavco common stockholders 251,903 208,149 Diluted net income per share 28.23 22.47 Fiscal Year 2022 Craftsman Acquisition On July 4, 2021, we obtained an additional 20% ownership interest in Craftsman, which gave us a 70% controlling ownership interest and resulted in consolidation of the Entities. See Redeemable Noncontrolling Interest policy in Note 1. The purchase price on July 4, 2021 for 20% ownership was $2.5 million, valuing the Entities at $12.4 million. The remeasurement of the Entities assets and liabilities to fair value resulted in a non-cash gain of $3.3 million, recorded in Other income, net in the Consolidated Statements of Comprehensive Income. During fiscal year 2024, we executed amendments to the Membership Interest Purchase Agreement to acquire the entire remaining 30% for cash on January 1, 2024. Fiscal Year 2022 Commodore Acquisition On September 24, 2021, we purchased certain manufactured housing assets and assumed certain liabilities of Commodore. The acquisition-date fair value of the total consideration was $146.0 million . During the second fiscal quarter of 2023, we finalized the purchase price allocation related to the Commodore acquisition, which did not have a material effect on the Consolidated Financial Statements. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands). September 24, (as finalized) Cash $ 619 Accounts receivable 20,930 Commercial loans 30,922 Inventories 31,787 Property, plant and equipment (1) 59,339 Other current assets 534 Intangible assets (2) 12,500 Total identifiable assets acquired 156,631 Accounts payable and accrued liabilities 31,536 Net identifiable assets acquired 125,095 Goodwill (3) 20,892 Net assets acquired $ 145,987 (1) Includes assets acquired under finance leases. (2) Includes $7.2 million assigned to customer-related intangibles, subject to a useful life of 11 years amortized on a straight-line basis; $3.8 million assigned to trademarks and trade names, which are considered indefinite lived intangible assets and are not subject to amortization; $1.0 million for acquired sales order backlogs that will be amortized over the period to produce the associated backlog; and $0.5 million for a covenant not to compete from the sellers, amortized on a straight-line basis over the term of 5 years. (3) Attributable to the Factory-built housing segment, all of which will be deductible for income tax purposes. |
Business Segment Information
Business Segment Information | 12 Months Ended |
Mar. 30, 2024 | |
Segment Reporting [Abstract] | |
Business Segment Information | Business Segment Information We operate principally in two segments: (1) factory-built housing, which includes wholesale and retail factory-built housing operations and (2) financial services, which includes manufactured housing consumer finance and insurance. The following tables provide selected financial data by segment (dollars in thousands): Fiscal Year Ended March 30, April 1, April 2, Net revenue: Factory-built housing $ 1,716,607 $ 2,069,450 $ 1,556,283 Financial services 78,185 73,263 70,875 $ 1,794,792 $ 2,142,713 $ 1,627,158 Net revenue for financial services consists of: Finance $ 18,881 $ 21,952 $ 23,004 Insurance 59,304 51,311 47,871 $ 78,185 $ 73,263 $ 70,875 Income before income taxes: Factory-built housing $ 192,815 $ 296,415 $ 197,282 Financial services 6,365 10,348 14,707 $ 199,180 $ 306,763 $ 211,989 Depreciation: Factory-built housing $ 16,754 $ 14,651 $ 9,451 Financial services 202 182 182 $ 16,956 $ 14,833 $ 9,633 Amortization: Factory-built housing $ 1,544 $ 2,038 $ 1,270 Financial services 25 32 114 $ 1,569 $ 2,070 $ 1,384 Income tax expense: Factory-built housing $ 39,749 $ 63,433 $ 10,853 Financial services 1,526 2,489 3,394 $ 41,275 $ 65,922 $ 14,247 Capital expenditures: Factory-built housing $ 17,189 $ 44,085 $ 18,574 Financial services 232 21 79 $ 17,421 $ 44,106 $ 18,653 March 30, April 1, Total assets: Factory-built housing $ 1,141,237 $ 1,107,555 Financial services 212,923 200,420 $ 1,354,160 $ 1,307,975 Fiscal Year Ended March 30, April 1, April 2, Gross margin %: Consolidated 23.8 % 25.9 % 25.1 % Factory-built housing 23.2 % 25.3 % 23.9 % Financial services 35.8 % 42.9 % 51.5 % |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) | $ 157,817 | $ 240,554 | $ 197,699 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Insider Trading Policies and Pr
Insider Trading Policies and Procedures | 12 Months Ended |
Mar. 30, 2024 | |
Insider Trading Policies and Procedures [Line Items] | |
Insider Trading Policies and Procedures Adopted | true |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | Principles of Consolidation. These Consolidated Financial Statements include the accounts of Cavco Industries, Inc. and its consolidated subsidiaries (collectively, "we," "us," "our," the "Company" or "Cavco"). All significant intercompany transactions and balances have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to current period classification. We have evaluated subsequent events after the balance sheet date of March 30, 2024, through the date of the filing of this report with the Securities and Exchange Commission (the "SEC") and there were no disclosable subsequent events . In addition, references throughout to numbered "Notes" refer to these Notes to Consolidated Financial Statements, unless otherwise stated. |
Fiscal Year | Fiscal Year. The Company operates on a 52-53 week fiscal year ending on the Saturday nearest to March 31 st of each year. Each fiscal quarter consists of 13 weeks, with an occasional fourth quarter extending to 14 weeks, if necessary, for the fiscal year to end on the Saturday nearest to March 31 st . Th e current fiscal year ended on March 30, 2024. Fiscal years 2024, 2023 and 2022 each consisted of 52 weeks. |
Accounting Estimate | Accounting Estimates. Preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Due to uncertainties, a ctual results could differ from the estimates and assumptions used in preparation of the consolidated financial statements. |
Revenue Recognition | Factory-Built Housing Revenue Recognition - Wholesale . Revenue from homes sold to independent distributors, builders, communities and developers is generally recognized when the home is shipped, at which time title passes and it is probable that substantially all of the consideration will be received. Homes sold to independent distributors are generally either paid upon shipment or floor plan financed by the independent distributor through standard industry financing arrangements, which can include repurchase agreements. Manufacturing sales financed under floor plan arrangements that include repurchase agreements are reduced by a reserve for repurchase commitments (see Note 17). Some of our independent distributors operate multiple sales outlets. No independent distributor accounted for 10% or more of factory-built housing revenue during any fiscal year within the three-year period ended March 30, 2024. Factory-Built Housing Revenue Recognition - Retail . Sales by Company-owned retail stores are generally recognized when the customer has entered into a legally binding sales contract, the home is delivered and permanently located at the customer's site, the home is accepted by the customer, title has transferred and collectibility is probable. Financial Services Revenue Recognition. Premium amounts collected on policies issued and assumed by Standard Casualty are amortized on a straight-line basis into Net revenue over the life of the policy. Premiums earned are net of reinsurance ceded. Policy acquisition costs are also amortized in Cost of sales over the life of the policy. Insurance agency commissions received from third-party insurance companies are recognized as revenue upon execution of the insurance policy as we have no future or ongoing obligation with respect to such policies. Interest income on consumer loans receivables is recognized in Net revenue. Upon acquisition of previously securitized loan portfolios (the "Acquisition Date"), we evaluated the existing consumer loans receivable held for investment to determine whether there was evidence of deterioration of credit quality and the probability that we would be able to collect all amounts due according to the loans' contractual terms. We also considered expected prepayments and estimated the amount and timing of undiscounted principal, interest and other cash flows. We determined the excess of the loan pool's scheduled contractual principal and interest payments over the undiscounted expected cash flows as of the Acquisition Date as an amount that is not accreted into interest income (the non-accretable difference). The cash flow expected to be collected in excess of the carrying value of the acquired loans was accreted into Interest income over the remaining life of the loans (referred to as accretable yield). For loans originated and held for sale, loan origination fees and gains or losses on sales are recognized in Net revenue upon title transfer of the loans. We provide third-party servicing of mortgages and earn servicing fees each month based on the aggregate outstanding balances. Servicing fees are recognized in Net revenue when earned. |
Cash and Cash Equivalents | Cash and Cash Equivalents . Highly liquid investments with insignificant interest rate risk and original maturities of three months or less, when purchased, are classified as cash equivalents. Our cash equivalents are primarily comprised of U.S. Treasury and other money market funds and other depository accounts, some of which are in excess of Federal Deposit Insurance Corporation insured limits. We have not experienced any losses on such excesses. |
Restricted Cash | Restricted Cash . Restricted cash primarily represents cash related to CountryPlace customer payments to be remitted to third parties and deposits received from retail customers required to be held in trust accounts. These funds cannot be accessed for general operating purposes (see Note 3). |
Accounts Receivable | Accounts Receivable. We extend credit terms on a customer-by-customer basis in the normal course of business, subject to normal industry risk, with many requiring a cash deposit with a sales order or payment upon delivery of a home. We review accounts receivable for estimated losses that may result from customers' inability to pay. As of March 30, 2024 and April 1, 2023, there were no allowances for doubtful accounts. |
Investments | Investments. Management determines the appropriate classification of its investment securities at the time of purchase. Our investments include marketable debt and equity securities and non-marketable equity investments. Changes in unrealized net holding gains and losses on marketable equity securities are reported in earnings. Unrealized net holding gains and losses on available-for-sale debt securities are recorded in Accumulated other comprehensive income (loss) ("AOCI") in the Consolidated Balance Sheets. Realized gains and losses from the sale of securities are determined using the specific identification method (see Note 4). As of March 30, 2024, we have determined that all losses on available-for-sale debt securities were from market factors, and therefore we had no valuation allowance on such investments. |
Consumer Loans Receivables and Commercial Loans Receivable | Consumer Loans Receivable. Consumer loans receivable consist primarily of manufactured housing loans originated by CountryPlace (held for investment or held for sale) and construction advances on mortgages. Loans held for investment consist of loan contracts collateralized by the borrowers' homes and, in some instances, related land. Construction loans in progress are stated at the aggregate amount of cumulative funded advances. Loans held for sale are loans that, at the time of origination, are originated with the intent to resell to investors with which the Company has pre-existing purchase agreements, such as Fannie Mae and Freddie Mac, or to sell as part of a Ginnie Mae insured pool of loans and consist of loan contracts collateralized by single-family residential mortgages. Loans held for sale are stated at the lower of amortized cost or fair value on an aggregate basis. Combined land and home mortgages are further disaggregated by the type of loan documentation: those conforming to the requirements of Government-Sponsored Enterprises ("GSEs") and those that are non-conforming. In most instances, our mortgages are secured by a first-lien position and are provided to consumers for the purchase of a home. Consumer loans held for investment include home-only personal property loans originated under our home-only lending programs. Accordingly, we classify our loans receivable as follows: conforming mortgages, non-conforming mortgages and home-only loans. In measuring credit quality within each segment and class, we use commercially available credit scores (such as FICO®). At the time of each loan's origination, we obtain credit scores from each of the three primary credit bureaus, if available. To evaluate credit quality of individual loans, we use the mid-point of the available credit scores or, if only two scores are available, we use the lower of the two. We do not update credit bureau scores after the time of origination. Commercial Loans Receivable. Our commercial loans receivable balance consists of amounts loaned under commercial loan programs for the benefit of our independent distributors and community operators' home purchasing needs. Under the terms of certain programs, we have entered into direct commercial loan arrangements with independent distributors and community operators wherein we provide funds to purchase home inventory or homes for placement in communities. Interest income on commercial loans receivable is recognized in Interest income in the Consolidated Statements of Comprehensive Income on an accrual basis. |
Allowance for Loan Losses | Allowance for Loan Losses. Financial Accounting Standards Board ("FASB") Accounting Standards Update ("ASU") 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments |
Inventories | Inventories. Raw material inventories are valued at the lower of cost or net realizable value, using the first in, first out method. Finished goods and work-in-process inventories are valued at the lower of cost or net realizable value, using the specific identification method. |
Property, Plant and Equipment, Net | Property, Plant and Equipment, Net. Property, plant and equipment are carried at cost. Depreciation is calculated using the straight-line method over the estimated useful life of each asset. Estimated useful lives for significant classes of assets are as follows: buildings and improvements, 10 to 39 years; and machinery and equipment, 3 to 25 years. Repairs and maintenance charges are expensed as incurred. We sell miscellaneous property, plant and equipment in the normal course of business. |
Asset Impairment | Asset Impairment . We periodically evaluate the carrying value of long-lived assets to be held and used and held for sale for impairment when events and circumstances warrant such a review. The carrying value of a long-lived asset is considered impaired when the anticipated undiscounted cash flow from such asset is less than its carrying value. In that event, a loss is recognized based on the amount by which the carrying value exceeds the fair value of the long-lived asset group. Fair value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risk involved. Losses on long-lived assets to be disposed of are primarily determined based on independent appraisals and preliminary or definitive contractual arrangements less costs to dispose. There were no impairment losses recognized in fiscal years 2024, 2023 or 2022 . |
Business Combinations | Business Combinations. We account for business combinations in accordance with FASB Accounting Standards Codification ("ASC") 805, Business Combinations, |
Goodwill and Other Intangibles, Net | Goodwill and Other Intangibles, Net. We account for goodwill and other intangible assets in accordance with the provisions of ASC 350, Intangibles—Goodwill and Other . As such, we test goodwill at least annually for impairment. The Company has two reporting segments: factory-built housing and financial services. As of March 30, 2024, all of our goodwill is attributable to the factory-built housing reporting segment. Certain intangibles are considered indefinite-lived and others are finite-lived and are amortized over their useful lives. Finite-lived intangibles are generally amortized over 3 to 15 years on a straight-line basis and are reviewed for possible impairment whenever events or changes in circumstances indicate that the carrying amounts may not be recoverable. Indefinite-lived intangible assets are assessed annually for impairment first by making a qualitative assessment, and if necessary, performing a quantitative assessment and recording an impairment charge if the fair value of the asset is less than its carrying amount. We performed our annual goodwill impairment analysis as of March 30, 2024, and determined that it was more likely than not that the fair value of the factory-built housing reporting segment exceeded its respective carrying value. There was no impairment recognized during fiscal years 2024, 2023 or 2022. |
Warranties | Warranties. We provide retail home buyers, builders or developers with a one year warranty for manufacturing defects from the date of sale to the retail customer. Nonstructural components of a cosmetic nature are warranted for 120 days, except in specific cases where state laws require longer warranty terms. Estimated warranty costs are accrued in Cost of sales at the time of sale. The warranty provision and reserves are based on estimates of the amounts necessary to settle existing and future claims on homes sold as of the balance sheet date. Factors used to calculate the warranty obligation are the estimated amount of homes still under warranty, including homes in distributor inventories, homes purchased by consumers within the one year warranty period, the timing in which work orders are completed and the historical average costs incurred to service a home. |
Volume Rebates and Freight | Volume Rebates . Certain distributors, builders and developers can qualify for cash rebates generally based on the level of sales attained during a twelve-month period on specified products. Estimates of volume rebates are accrued at the time of sale and are recorded as a reduction of Net revenue. Freight. Substantially all freight costs are recovered from our distributors and are included in Net revenue. Freight charges of $50.9 million, $61.5 million and $41.5 million were recognized in fiscal years 2024, 2023 and 2022, respectively. |
Reserve for Repurchase Commitment | Reserve for Repurchase Commitment. We are contingently liable under terms of repurchase agreements with the financial institutions that provide inventory financing to certain distributors of our products. These arrangements, which are customary in the industry, provide the lender a guarantee that we will repurchase our products in the event of default by the distributor. Our obligation under these repurchase agreements ceases upon the purchase of the home by the retail customer. The risk of loss under these agreements is spread over numerous distributors and the repurchase price generally declines over the period of the agreement (generally 18 to 24 months), further reduced by the resale value of repurchased homes. We apply FASB ASC 460, Guarantees ("ASC 460") to account for our liability for repurchase commitments. Following the inception of the commitment, the recorded reserve is reduced over the repurchase period in conjunction with applicable curtailment arrangements and is eliminated once the distributor sells the home. Changes in the reserve are recorded as an adjustment to Net revenue. See Note 17 for further discussion. |
Reserve for Property Casualty Insurance Claims and Claims Expense | Reserve for Property Casualty Insurance Claims and Claims Expense. Standard Casualty establishes reserves for claims and claims expense on reported and unreported claims of insured losses. Our reserve process takes into account known facts and interpretations of circumstances and factors, including experience with similar cases, actual claims paid, historical trends involving claim payment patterns and pending levels of unpaid claims, loss management programs, product mix, contractual terms, changes in law and regulation, judicial decisions and economic conditions. In the normal course of business, we may also supplement our claims processes by utilizing third party adjusters, appraisers, engineers, inspectors and other professionals and information sources to assess and settle catastrophe and non-catastrophe related claims. The effects of inflation are implicitly considered in the reserving process. The applicable reserve balance was $10.5 million and $10.9 million as of March 30, 2024 and April 1, 2023, respectively, of which $5.2 million and $4.4 million related to incurred but not reported ("IBNR") losses, respectively. |
Insurance | Insurance. We are self-insured for a significant portion of our general and products liability, auto liability, health, property and workers' compensation liability coverage. Insurance is maintained for catastrophic exposures and those risks required to be insured by law. Estimated self-insurance costs are accrued for incurred claims and estimated IBNR losses. A reserve for products liability is actuarially determined and reflected in Accrued expenses and other current liabilities in the accompanying Consolidated Balance Sheets. The determination of claims and expenses and the appropriateness of the related liabilities are regularly reviewed and updated. |
Advertising | Advertising. Advertising costs are expensed as incurred and were $3.6 million in fiscal year 2024, $2.0 million in fiscal year 2023 and $1.4 million in fiscal year 2022. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments. Our financial instruments consist of cash and cash equivalents, restricted cash, accounts receivable, investments, consumer loans receivable, commercial loans receivable, accounts payable, certain accrued expenses and other current liabilities and secured credit facilities and other financings. In accordance with FASB ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 – Quoted prices in active markets for identical assets or liabilities. Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The carrying amount of cash and cash equivalents approximates fair value because their maturity is less than three months. The carrying amounts of restricted cash, accounts receivable, accounts payable and certain accrued expenses and other current liabilities approximate fair value due to the short-term maturity of the amounts. See Note 20 for the fair values of our other financial instruments and the inputs used. |
Foreign Currency | Foreign Currency. We have certain assets and liabilities in Ojinaga, Mexico related to a production facility that imports raw materials and exports finished homes to our retail lots located in the United States. The monetary assets and liabilities of this production facility are remeasured at each balance sheet date at the current exchange rate. Monetary assets and liabilities and related revenues and expenses are remeasured monthly using the average rates for the fiscal month. Remeasurement adjustments are recorded in Other income, net in the Consolidated Statements of Comprehensive Income. |
Income Taxes | Income Taxes. We account for income taxes pursuant to FASB ASC 740, Income Taxes ("ASC 740") and provide for income taxes utilizing the asset and liability approach. Under this approach, deferred taxes represent the future tax consequences expected to occur when the reported amounts of assets and liabilities are recovered or paid. The provision for income taxes generally represents income taxes paid or payable for the current year plus the change in deferred taxes during the year. Deferred taxes result from differences between the financial and tax bases of the Company's assets and liabilities and are adjusted for changes in tax rates and tax laws when changes are enacted. The calculation of tax liabilities involves considering uncertainties in the application of complex tax regulations. We recognize liabilities for anticipated tax audit issues based on our estimate of whether, and the extent to which, additional taxes will be due. If payment of these amounts ultimately proves to be unnecessary, the reversal of the liabilities would result in tax benefits being recognized in the period of derecognition. If the estimate of tax liabilities proves to be less than the ultimate assessment, a further charge to expense would result. We use a two-step approach to evaluate uncertain tax positions. This approach involves recognizing any tax positions that are more likely than not to occur and then measuring those positions to determine the amounts to be recognized in the Consolidated Financial Statements. We periodically evaluate the deferred tax assets based on the requirements established in ASC 740, which requires the recording of a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The determination of the need for, or amount of, any valuation allowance involves significant management judgment and is based upon the evaluation of both positive and negative evidence, including management projections of anticipated taxable income. At March 30, 2024, we had state net operating loss carryforwards totaling $3.5 million, which begin to expire in 2038, and no associated valuation allowance. We have evaluated our historical profits earned and forecasted taxable income and determined that all of the deferred tax assets would be utilized in future periods. Ultimate realization of the deferred tax assets depends on our ability to continue to earn profits, as we have historically, and to meet these forecasts in future periods. |
Interest Income | Interest Income. Interest income consists of the interest earned on invested cash as well as interest earned from our commercial loan programs, recorded on an accrual basis. |
Other Income, net | Other Income, net. Other income primarily consists of realized and unrealized gains and losses on corporate investments, gains and losses on the sale of property, plant and equipment or assets held for sale and impairment of such assets, if necessary. |
Stock-Based Compensation | Stock-Based Compensation . Stock-based compensation is measured based on the fair value of the award on the date of grant and the corresponding expense is recognized over the period during which an employee is required to provide service in exchange for the award. Stock-based compensation expense is classified in the same line item of our Consolidated Statements of Comprehensive Income as other payroll-related expenses specific to the employee. Compensation expense related to service-based restricted stock units ("RSUs") is recognized on a straight-line basis over the requisite service period for the entire award. Compensation expense related to performance-based RSUs is recognized on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was, in-substance, multiple awards (i.e., a graded vesting basis). We use historical data to estimate pre-vesting forfeitures and record stock-based compensation cost, using the straight-line attribution method, only for those awards that are expected to vest. Compensation expense related to performance-based awards is based on management's estimate of the probability of the performance criteria being satisfied, adjusted at each balance sheet date (see Note 18). The Company maintains stock incentive plans whereby stock option grants or awards of RSUs may be made to certain officers, directors and key employees. In August 2023, our shareholders approved the 2023 Omnibus Equity Incentive Plan (the “Plan”). The Plan supersedes and replaces the Company’s 2005 Stock Incentive Plan, as amended (the “2005 Plan”). No further awards will be made pursuant to the 2005 Plan; provided, that the 2005 Plan shall remain in effect until all awards granted under the 2005 Plan have vested or been exercised, forfeited, cancelled, or have otherwise expired or terminated in accordance with the terms of such grants. The Plan permits the award of up to 550,000 shares of the Company's common stock, of which 549,299 shares were still available for grant as of March 30, 2024. The exercise price of stock option awards may not be below 100% of the fair market value of the Company's common stock at the date of grant. Stock options vest over a defined period as determined by the plan administrator (the Compensation Committee of the Board, which consists of independent directors), but typically is no more than five years and generally expire seven years from the date of grant. Upon option exercise, new shares of the Company's common stock are issued. Service-based RSUs vest over a defined period, typically three years. Performance-based RSUs vest based on the achievement of certain criteria, determined by the plan administrator, over the measurement period which is generally three years. When RSUs vest, unrestricted shares are issued. The stock incentive plans provide for accelerated vesting of stock option awards and RSUs when the participant is involuntarily terminated upon a change in control (as defined in the plans). |
Redeemable Noncontrolling Interest | Redeemable Noncontrolling Interest. In fiscal year 2017, we purchased a 50% ownership interest in Craftsman Homes, LLC and Craftsman Homes Development, LLC (collectively "Craftsman" or the "Entities") with an additional 20% acquired during fiscal year 2022. This additional purchase gave us a controlling interest, resulting in consolidation of the Entities and the recognition of a noncontrolling interest for the remaining third party ownership. Adjustments in the redemption value of the noncontrolling interest were recorded to Interest expense We were contractually obligated to purchase an additional 20% of Craftsman on December 31, 2023. The estimated purchase price was recorded in Other liabilities. The remaining 10% was classified as a temporary equity mezzanine item between liabilities and stockholders' equity in the Consolidated Balance Sheets as Redeemable noncontrolling interest. The amount of income attributable to this Redeemable noncontrolling interest is included on the face of the Consolidated Statements of Comprehensive Income. During fiscal year 2024, we executed amendments to the Membership Interest Purchase Agreement to acquire the entire remaining 30% for cash on January 1, 2024. Upon execution of the amendments, the remaining 30% became mandatorily redeemable, and the value attributed to the Redeemable noncontrolling interest was reclassed to Accrued expenses and other current liabilities on the Consolidated Balance Sheets at the estimated redemption value. On January 1, 2024 we acquired the remaining 30% interest. |
Accumulated Other Comprehensive Income (loss) and Treasury Stock | Accumulated Other Comprehensive Income (Loss). AOCI is comprised of unrealized gains and losses on available-for-sale debt securities (see Note 4) and is presented net of tax. Accumulated unrealized loss on available-for-sale debt securities at the end of fiscal year 2024 was $0.4 million before tax, with an associated tax amount of $0.1 million, resulting in a net unrealized loss of $0.3 million. Accumulated unrealized loss on available-for-sale debt securities at the end of fiscal year 2023 was $0.8 million, with an associated tax amount of $0.2 million, for a net unrealized loss of $0.6 million. Treasury Stock. We record repurchases of our common stock as treasury stock at cost. As we do not have a formal retirement plan for the shares acquired, and the ultimate disposition has not yet been decided, we show the cost of the acquired stock separately as a deduction from equity. Beginning Janua ry 1, 2023, the Inflation Reduction Act of 2022 imposed a 1% excise tax on the aggregate fair market value of stock repurchased by certain corporations during the taxable year, subject to adjustments. We have calculated the excise tax on purchases from the effective date through March 30, 2024, and this amount is recorded as an increase in our Treasury Sto |
Net Income Per Share | Net Income Per Share. Basic earnings per common share is computed based on the weighted-average number of common shares outstanding during the reporting period. Diluted earnings per common share is computed based on the combination of dilutive common share equivalents, comprised of shares issuable under the Company's stock-based compensation plans and the weighted-average number of common shares outstanding during the reporting period. Dilutive common share equivalents include the dilutive effect of in-the-money options to purchase shares, which is calculated based on the average share price for each period using the treasury stock method (see Note 19). |
Recently Issued or Adopted Accounting Pronouncements | Recently Issued or Adopted Accounting Pronouncements. From time to time, new accounting pronouncements are issued by the FASB and other regulatory bodies that are adopted as of the specified effective dates. Unless otherwise discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company's Consolidated Financial Statements upon adoption. |
Leases | We lease certain production and retail locations, office space and equipment. We determine if a contract or arrangement is, or contains, a lease at inception. Lease agreements with an initial term of 12 months or less are not recorded in the Consolidated Balance Sheets. Certain lease agreements include one or more options to renew, with renewal terms that can extend the lease term by one Certain of our lease agreements include rental payments adjusted periodically for inflation. These lease agreements do not contain any material residual value guarantees or material restrictive covenants. Right of Use ("ROU") assets represent the right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments in accordance with the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. Since our leases do not provide a readily determinable implicit interest rate, we estimate an incremental borrowing rate. In determining the estimated incremental borrowing rate, we consider the lease period and comparable market interest rates, as well as any other information available at the lease commencement date. The lease term includes options to extend or terminate the lease when it is reasonably certain that we will exercise such options. |
Commitments and Contingencies | Repurchase Contingencies . We are contingently liable under terms of repurchase agreements with financial institutions providing inventory financing to independent distributors of our products. These arrangements, which are customary in the industry, provide for the repurchase of products sold to distributors in the event of default by the distributor. The risk of loss under these agreements is spread over numerous distributors. The price we may be obligated to pay generally declines over the period of the agreement (generally 18 to 24 months, calculated from the date of sale to the distributor) and the risk of loss is further reduced by the resale value of the repurchased homes. The maximum amount for which the Company was liable under such agreements approximated $121 million at March 30, 2024, $178 million at April 1, 2023 and $141 million at April 2, 2022, without reduction for the resale value of the homes. During the fourth quarter of fiscal 2024, we received two repurchase demand notices. The inventory was obtained and resold to other dealers during the quarter at an immaterial loss. For all of fiscal 2024, we received five demand notices covering 11 homes. Our reserve for repurchase commitments was $2.9 million at March 30, 2024 and $5.2 million at April 1, 2023. |
Representations and Warranties of Mortgages Sold | Representations and Warranties of Mortgages Sold . We sell loans to GSEs and whole-loan purchasers and finance certain loans with long-term credit facilities secured by the respective loans. In connection with these activities, we provide to GSEs and whole-loan purchasers and lenders representations and warranties related to the loans sold or financed. These representations and warranties generally relate to the ownership of the loan, the validity of the lien securing the loan, the loan's compliance with the criteria for inclusion in the sale transaction, including compliance with underwriting standards or loan criteria established by the buyer, and our ability to deliver documentation in compliance with applicable laws. Generally, representations and warranties may be enforced at any time over the life of the loan. Upon a breach of a representation, we may be required to repurchase the loan or to indemnif y a party for incurred losses. Repurchase demands and claims for indemnification payments are reviewed on a loan-by-loan basis to validate if there has been a breach requiring repurchase. We manage the risk of repurchase through underwriting and quality assurance practices and by servicing the mortgage loans to investor standards. We maintain a reserve for these contingent repurchase and indemnification obligations. This reserve of $0.6 million as of March 30, 2024 and $0.7 million as of April 1, 2023, included in Accrued expenses and other current liabilities, reflects management's estimate of probable loss. We consider a variety of assumptions, including borrower performance (both actual and estimated future defaults), historical repurchase demands and loan default rates to estimate the liability for loan repurchases and indemnifications. There were no claim requests that resulted in the repurchase of a loan during the year ended March 30, 2024. In addition, we are subject to minimum net worth requirements and were in compliance for the year ended March 30, 2024. |
Interest Rate Lock Commitments | Interest Rate Lock Commitments . In originating loans for sale, we issue interest rate lock commitments ("IRLCs") to prospective borrowers. These IRLCs represent an agreement to extend credit to a loan applicant, whereby the interest rate on the loan is set prior to loan closing or sale. These IRLCs bind us to fund the approved loan at the specified rate regardless of whether interest rates or market prices for similar loans have changed between the commitment date and the closing date. As such, outstanding IRLCs are subject to interest rate risk and related loan sale price risk during the period from the date of the IRLC through the earlier of the loan sale date or IRLC expiration date. The lock commitments generally range between 30 and 180 days; however, borrowers are not obligated to close the related loans. As a result, we are subject to fallout risk related to IRLCs, which is realized if approved borrowers choose not to close on the loans within the terms of the IRLCs unless the commitment is successfully paired with another loan that may mitigate losses from fallout. As of March 30, 2024, we had outstanding IRLCs with a notional amount of $39.0 million, which are recorded at fair value in accordance with FASB ASC 815, Derivatives and Hedging ("ASC 815"). ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair value of IRLCs is recorded in Prepaid expenses and other current assets if in a net favorable position, or Accrued expenses and other current liabilities if in a net unfavorable position, in the Consolidated Balance Sheets. The fair value of IRLCs is based on the value of the underlying loan adjusted for: (1) estimated cost to complete and originate the loan and (2) the estimated percentage of IRLCs that will result in closed loans. The initial and subsequent changes in the value of IRLCs are a component of gain (loss) on loans held for sale. During fiscal year 2024 we recognized an insignificant non-cash loss on outstanding IRLCs. During fiscal years 2023 and 2022 we recognized insignificant non-cash gain s on outstanding IRLCs. Forward Sales Commitments . We manage the risk profiles of a portion of the outstanding IRLCs and mortgage loans held for sale by entering into forward sales of mortgage-backed securities and whole loan sale commitments (collectively "Commitments"). As of March 30, 2024, we had $2.8 million in outstanding Commitments. Commitments for forward sales of whole loans are typically in an amount proportionate with the amount of IRLCs expected to close in particular time frames, assuming no change in mortgage interest rates, for the respective loan products intended for whole loan sale. The estimated fair values of Commitments are based on quoted market values and are recorded within Prepaid expenses and other current assets in the Consolidated Balance Sheets. During the fiscal year ended March 30, 2024, we recognized an insignificant non-cash gain on Commitments . During the fiscal years ended April 1, 2023 and April 2, 2022, we recognized non-cash losses of $0.3 million and $0.1 million, respectively, on Commitments. |
Mortgage Servicing Rights | Mortgage Servicing . Mortgage Servicing Rights ("MSRs") are the rights to receive a portion of the interest coupon and fees collected from the mortgagors for performing specified mortgage servicing activities, which consist of collecting loan payments, remitting principal and interest payments to investors, managing escrow accounts, performing loss mitigation activities on behalf of investors and otherwise administering the loan servicing portfolio. MSRs are recorded at fair value in Prepaid expenses and other current assets in the Consolidated Balance Sheets based on the present value of the expected future cash flows related to servicing these loans. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Disaggregation of Revenue . The following table summarizes Net revenue disaggregated by reportable segment and source (in thousands). All revenue from customers is recognized at a point in time, either when the customer takes delivery or when a third-party insurance contract is executed, as more fully discussed above. March 30, April 1, April 2, Factory-built housing Home sales $ 1,631,650 $ 2,017,399 $ 1,495,940 Delivery, setup and other revenues 84,957 52,051 60,343 1,716,607 2,069,450 1,556,283 Financial services Insurance agency commissions received from third-party insurance companies 4,258 3,754 4,055 All other sources 73,927 69,509 66,820 78,185 73,263 70,875 $ 1,794,792 $ 2,142,713 $ 1,627,158 |
Restricted Cash (Tables)
Restricted Cash (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Restrictions on Cash and Cash Equivalents | Restricted cash consisted of the following (in thousands): March 30, April 1, Cash related to CountryPlace customer payments to be remitted to third parties $ 12,993 $ 11,123 Other restricted cash 3,073 940 16,066 12,063 Less current portion (15,481) (11,728) $ 585 $ 335 |
Reconciliation to SOCF | The following table provides a reconciliation of Cash and cash equivalents and Restricted cash reported within the Consolidated Balance Sheets to the combined amounts shown in the Consolidated Statements of Cash Flows (in thousands): March 30, April 1, April 2, Cash and cash equivalents $ 352,687 $ 271,427 $ 244,150 Restricted cash 16,066 12,063 15,184 $ 368,753 $ 283,490 $ 259,334 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investments | Investments consisted of the following (in thousands): March 30, April 1, Available-for-sale debt securities $ 18,669 $ 18,555 Marketable equity securities 11,961 9,989 Non-marketable equity investments 4,956 5,073 35,586 33,617 Less short-term investments (18,270) (14,978) $ 17,316 $ 18,639 |
Debt Securities, Available-for-Sale | The amortized cost and fair value of our investments in available-for-sale debt securities, by security type are shown in the table below (in thousands): March 30, 2024 Amortized Gross Gross Fair Residential mortgage-backed securities $ 2,933 $ — $ (68) $ 2,865 State and political subdivision debt securities 5,041 7 (118) 4,930 Corporate debt securities 11,117 4 (247) 10,874 $ 19,091 $ 11 $ (433) $ 18,669 April 1, 2023 Amortized Gross Gross Fair Residential mortgage-backed securities $ 2,567 $ — $ (79) $ 2,488 State and political subdivision debt securities 6,023 — (254) 5,769 Corporate debt securities 10,745 — (447) 10,298 $ 19,335 $ — $ (780) $ 18,555 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value | The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities had been in a continuous unrealized loss position (in thousands): March 30, 2024 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Residential mortgage-backed securities $ 2,014 $ (24) $ 833 $ (44) $ 2,847 $ (68) State and political subdivision debt securities 493 (1) 3,442 (117) 3,935 (118) Corporate debt securities 397 (3) 8,501 (244) 8,898 (247) $ 2,904 $ (28) $ 12,776 $ (405) $ 15,680 $ (433) April 1, 2023 Less than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Residential mortgage-backed securities $ 1,345 $ (10) $ 1,117 $ (69) $ 2,462 $ (79) State and political subdivision debt securities 251 — 4,792 (254) 5,043 (254) Corporate debt securities 4,902 (136) 5,396 (311) 10,298 (447) $ 6,498 $ (146) $ 11,305 $ (634) $ 17,803 $ (780) |
Contractual Maturity of Investment Securities | The amortized cost and fair value of our investments in available-for-sale debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations, with or without penalties. March 30, 2024 Amortized Fair Due in less than one year $ 6,420 $ 6,310 Due after one year through five years 9,352 9,107 Due after five years through ten years 225 227 Due after ten years 161 160 Mortgage-backed securities 2,933 2,865 $ 19,091 $ 18,669 |
Gain (Loss) on Securities | Net investment gains and losses on marketable equity securities for fiscal years 2024, 2023 and 2022 were as follows (in thousands): Year Ended March 30, April 1, April 2, Marketable equity securities: Net gain recognized during the period $ 1,869 $ 561 $ 2,160 Less: Net (gains) recognized on securities sold during the period (348) (958) (551) Unrealized gains (losses) recognized during the period on securities still held $ 1,521 $ (397) $ 1,609 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Summary of inventories | Inventories consisted of the following (in thousands): March 30, April 1, Raw materials $ 78,241 $ 92,045 Work in process 27,977 29,022 Finished goods 135,121 142,083 $ 241,339 $ 263,150 |
Consumer Loans Receivable (Tabl
Consumer Loans Receivable (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The following table summarizes consumer loans receivable (in thousands): March 30, April 1, Loans held for investment, previously securitized $ 16,968 $ 21,000 Loans held for investment 12,826 13,117 Loans held for sale 15,140 10,846 Construction advances 722 706 45,656 45,669 Deferred financing fees and other, net (523) (368) Allowance for loan losses (1,066) (1,153) 44,067 44,148 Less current portion (20,713) (17,019) $ 23,354 $ 27,129 Commercial loans receivable, net consisted of the following (in thousands): March 30, April 1, Loans receivable (including from affiliates) $ 91,938 $ 103,726 Allowance for loan losses (781) (1,586) Deferred financing fees, net (116) (163) 91,041 101,977 Less current portion of commercial loans receivable (including from affiliates), net (43,316) (44,054) $ 47,725 $ 57,923 |
Financing Receivable, Allowance for Credit Loss | The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Allowance for loan losses at beginning of fiscal year $ 1,153 $ 2,115 Change in estimated loan losses, net (87) (944) Charge-offs — (37) Recoveries — 19 Allowance for loan losses at end of fiscal year $ 1,066 $ 1,153 |
Consumer Loans Held for Investment Characteristics | The consumer loans held for investment had the following characteristics: March 30, April 1, Weighted average contractual interest rate 8.1 % 8.2 % Weighted average effective interest rate 10.4 % 8.8 % Weighted average months to maturity 196 150 |
Financing Receivable, Modified | The following table is a consolidated summary of the delinquency status of the outstanding amortized cost of consumer loans receivable (in thousands): March 30, April 1, Current $ 43,810 $ 43,252 31 to 60 days 1,063 1,247 61 to 90 days 131 213 91+ days 652 957 $ 45,656 $ 45,669 |
Financing Receivable Credit Quality Indicators | The following table disaggregates gross consumer loans receivable by credit quality indicator at loan inception and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Prior Total Prime- FICO score 680 and greater $ 14,107 $ 328 $ 96 $ 885 $ 1,808 $ 14,425 $ 31,649 Near Prime- FICO score 620-679 1,633 — — 1,202 942 8,684 12,461 Sub-Prime- FICO score less than 620 — — — 18 49 723 790 No FICO score 447 — — — — 309 756 $ 16,187 $ 328 $ 96 $ 2,105 $ 2,799 $ 24,141 $ 45,656 April 1, 2023 2023 2022 2021 2020 2019 Prior Total Prime- FICO score 680 and greater $ 9,471 $ 185 $ 1,051 $ 1,982 $ 1,191 $ 16,601 $ 30,481 Near Prime- FICO score 620-679 1,695 — 1,012 1,131 1,550 8,244 13,632 Sub-Prime- FICO score less than 620 84 — 19 51 — 1,033 1,187 No FICO score — — — — 24 345 369 $ 11,250 $ 185 $ 2,082 $ 3,164 $ 2,765 $ 26,223 $ 45,669 The following table disaggregates our commercial loans receivable by credit quality indicator and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Total Performing $ 57,691 $ 25,066 $ 4,823 $ 2,144 $ 2,214 $ 91,938 April 1, 2023 2023 2022 2021 2020 2019 Total Performing $ 80,193 $ 16,028 $ 4,071 $ 2,203 $ 1,231 $ 103,726 |
Commercial Loans Receivables (T
Commercial Loans Receivables (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The following table summarizes consumer loans receivable (in thousands): March 30, April 1, Loans held for investment, previously securitized $ 16,968 $ 21,000 Loans held for investment 12,826 13,117 Loans held for sale 15,140 10,846 Construction advances 722 706 45,656 45,669 Deferred financing fees and other, net (523) (368) Allowance for loan losses (1,066) (1,153) 44,067 44,148 Less current portion (20,713) (17,019) $ 23,354 $ 27,129 Commercial loans receivable, net consisted of the following (in thousands): March 30, April 1, Loans receivable (including from affiliates) $ 91,938 $ 103,726 Allowance for loan losses (781) (1,586) Deferred financing fees, net (116) (163) 91,041 101,977 Less current portion of commercial loans receivable (including from affiliates), net (43,316) (44,054) $ 47,725 $ 57,923 |
Commercial Loans Receivable Characteristics | The commercial loans receivable balance had the following characteristics: March 30, April 1, Weighted average contractual interest rate 7.4 % 7.6 % Weighted average months outstanding 12 9 |
Changes in the Allowance for Loan Losses on Commercial Loans Receivables | The following table represents changes in the estimated allowance for loan losses, including related additions and deductions to the allowance for loan losses (in thousands): March 30, April 1, Balance at beginning of fiscal year $ 1,586 $ 1,011 Change in estimated loan losses, net (805) 575 Balance at end of fiscal year $ 781 $ 1,586 |
Commercial Loans Receivables by Class and Internal Credit Quality Indicator | The following table disaggregates gross consumer loans receivable by credit quality indicator at loan inception and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Prior Total Prime- FICO score 680 and greater $ 14,107 $ 328 $ 96 $ 885 $ 1,808 $ 14,425 $ 31,649 Near Prime- FICO score 620-679 1,633 — — 1,202 942 8,684 12,461 Sub-Prime- FICO score less than 620 — — — 18 49 723 790 No FICO score 447 — — — — 309 756 $ 16,187 $ 328 $ 96 $ 2,105 $ 2,799 $ 24,141 $ 45,656 April 1, 2023 2023 2022 2021 2020 2019 Prior Total Prime- FICO score 680 and greater $ 9,471 $ 185 $ 1,051 $ 1,982 $ 1,191 $ 16,601 $ 30,481 Near Prime- FICO score 620-679 1,695 — 1,012 1,131 1,550 8,244 13,632 Sub-Prime- FICO score less than 620 84 — 19 51 — 1,033 1,187 No FICO score — — — — 24 345 369 $ 11,250 $ 185 $ 2,082 $ 3,164 $ 2,765 $ 26,223 $ 45,669 The following table disaggregates our commercial loans receivable by credit quality indicator and fiscal year of origination (in thousands): March 30, 2024 2024 2023 2022 2021 2020 Total Performing $ 57,691 $ 25,066 $ 4,823 $ 2,144 $ 2,214 $ 91,938 April 1, 2023 2023 2022 2021 2020 2019 Total Performing $ 80,193 $ 16,028 $ 4,071 $ 2,203 $ 1,231 $ 103,726 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, plant and equipment, net, consisted of the following (in thousands): March 30, April 1, Property, plant and equipment, at cost: Buildings and improvements $ 171,516 $ 167,291 Machinery and equipment 81,142 76,826 Land 39,822 39,822 Construction in progress 8,405 5,472 300,885 289,411 Accumulated depreciation (76,686) (61,133) $ 224,199 $ 228,278 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Leases [Abstract] | |
Assets And Liabilities, Lessee | The following table provides information about the financial statement classification of our lease balances reported within the Consolidated Balance Sheets as of March 30, 2024 and April 1, 2023 (in thousands): Classification March 30, April 1, ROU assets Operating lease assets Operating lease right-of-use assets $ 39,027 $ 26,755 Finance lease assets Property, plant and equipment, net (1) 5,913 6,088 Total lease assets $ 44,940 $ 32,843 Lease Liabilities Current: Operating lease liabilities Accrued expenses and other current liabilities $ 5,303 $ 6,262 Finance lease liabilities Accrued expenses and other current liabilities 80 347 Non-current: Operating lease liabilities Operating lease liabilities 35,148 21,678 Finance lease liabilities Other liabilities 6,086 5,896 Total lease liabilities $ 46,617 $ 34,183 (1) Recorded net of accumulated amortization of $0.4 million and $0.3 million as of March 30, 2024 and April 1, 2023, respectively. |
Lease, Cost | The following table provides information about the financial statement classification of our lease expenses reported within the Consolidated Statements of Comprehensive Income for the years ended March 30, 2024, April 1, 2023 and April 2, 2022 (in thousands): Year Ended Lease Expense Category Classification March 30, April 1, April 2, Operating lease expense (2) Cost of sales $ 1,119 $ 1,190 $ 1,160 Selling, general and administrative expenses 4,693 4,059 3,636 Finance lease expense Amortization of leased assets Cost of sales 175 175 109 Interest on lease liabilities Interest expense 279 283 151 Total lease expense $ 6,266 $ 5,707 $ 5,056 (2) Excludes short-term and variable lease expenses, which are immaterial. Cash payments for operating and finance leases were as follows (in thousands): March 30, April 1, April 2, Operating leases $ 6,694 $ 5,609 $ 4,794 Finance leases 356 356 220 The following table provides information about the weighted average remaining lease terms and weighted average discount rates as of March 30, 2024: Remaining Lease Term (Years) Discount Rate Operating leases 10.3 4.9 % Finance leases 33.8 4.5 % |
Lessee, Operating Lease, Liability, to be Paid, Maturity | The present value of minimum payments for future fiscal years under non-cancelable leases as of March 30, 2024 was as follows (in thousands): Operating Leases Finance Leases Total 2025 $ 7,074 $ 356 $ 7,430 2026 7,396 356 7,752 2027 4,870 356 5,226 2028 3,979 356 4,335 2029 3,810 356 4,166 Thereafter 24,305 10,230 34,535 51,434 12,010 63,444 Less: Amount representing interest (10,983) (5,844) (16,827) $ 40,451 $ 6,166 $ 46,617 |
Finance Lease, Liability, to be Paid, Maturity | The present value of minimum payments for future fiscal years under non-cancelable leases as of March 30, 2024 was as follows (in thousands): Operating Leases Finance Leases Total 2025 $ 7,074 $ 356 $ 7,430 2026 7,396 356 7,752 2027 4,870 356 5,226 2028 3,979 356 4,335 2029 3,810 356 4,166 Thereafter 24,305 10,230 34,535 51,434 12,010 63,444 Less: Amount representing interest (10,983) (5,844) (16,827) $ 40,451 $ 6,166 $ 46,617 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Goodwill and other intangibles, net, consisted of the following (in thousands): March 30, 2024 April 1, 2023 Gross Accumulated Net Gross Accumulated Net Indefinite-lived: Goodwill $ 121,934 $ — $ 121,934 $ 114,547 $ — $ 114,547 Trademarks and trade names 16,980 — 16,980 16,980 — 16,980 State insurance licenses 1,100 — 1,100 1,100 — 1,100 140,014 — 140,014 132,627 — 132,627 Finite lived: Customer relationships 15,000 (5,314) 9,686 16,900 (5,818) 11,082 Other 1,114 (659) 455 1,114 (486) 628 $ 156,128 $ (5,973) $ 150,155 $ 150,641 $ (6,304) $ 144,337 |
Expected Amortization for Future Fiscal Years | Expected amortization for future fiscal years is as follows (in thousands): 2025 $ 1,530 2026 1,488 2027 1,415 2028 1,299 2029 1,265 Thereafter 3,144 $ 10,141 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued expenses and other current liabilities consisted of the following (in thousands): March 30, April 1, Customer deposits $ 40,856 $ 45,193 Salaries, wages and benefits 38,125 47,100 Unearned insurance premiums 33,449 27,901 Estimated warranties 31,718 31,368 Accrued volume rebates 21,167 22,858 Accrued self-insurance 14,124 11,467 Other 60,297 76,774 $ 239,736 $ 262,661 |
Warranties (Tables)
Warranties (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Product Warranties Disclosures [Abstract] | |
Schedule of Product Warranty Liability | Activity in the liability for estimated warranties for fiscal years 2024, 2023 and 2022 was as follows (in thousands): March 30, April 1, April 2, Balance at beginning of fiscal year $ 31,368 $ 26,250 $ 18,032 Purchase accounting additions — 1,250 5,909 Charged to costs and expenses 60,219 50,157 40,678 Payments and deductions (59,869) (46,289) (38,369) Balance at end of fiscal year $ 31,718 $ 31,368 $ 26,250 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | The following table summarizes secured financings and other obligations (in thousands): March 30, April 1, Finance lease liabilities $ 6,166 $ 6,243 Other secured financing 1,916 2,379 Mandatorily redeemable noncontrolling interest — 2,268 8,082 10,890 Less current portion included in Accrued expenses and other current liabilities (323) (3,070) $ 7,759 $ 7,820 |
Schedule of Maturities of Other Liabilities | Scheduled maturities for future fiscal years of the Company's obligations consist of the following (in thousands). 2025 $ 323 2026 306 2027 287 2028 277 2029 265 Thereafter 6,624 $ 8,082 |
Reinsurance and Insurance Los_2
Reinsurance and Insurance Loss Reserves (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Insurance [Abstract] | |
Effects of Reinsurance | The effects of reinsurance on premiums written and earned were as follows (in thousands): Year Ended March 30, 2024 April 1, 2023 Written Earned Written Earned Direct premiums $ 47,448 $ 39,352 $ 32,671 $ 29,775 Assumed premiums—nonaffiliated 37,426 35,630 34,153 32,809 Ceded premiums—nonaffiliated (26,273) (26,273) (18,300) (18,300) $ 58,601 $ 48,709 $ 48,524 $ 44,284 |
Activity in property casualty reserve | The following details the activity in the reserve for fiscal years 2024, 2023 and 2022 (in thousands): March 30, April 1, April 2, Balance at beginning of fiscal year $ 10,939 $ 8,149 $ 7,451 Net incurred losses during the year 37,490 33,466 25,962 Net claim payments during the year (37,889) (30,676) (25,264) Balance at end of fiscal year $ 10,540 $ 10,939 $ 8,149 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Provision for income taxes | The following details the provision for income taxes for fiscal years 2024, 2023 and 2022 (in thousands): 2024 2023 2022 Current Federal $ 36,023 $ 51,190 $ 7,271 State 8,094 12,709 8,768 Foreign 218 50 — 44,335 63,949 16,039 Deferred Federal (2,884) 2,705 (1,257) State (98) (732) (535) Foreign (78) — — (3,060) 1,973 (1,792) $ 41,275 $ 65,922 $ 14,247 |
Reconciliations of income taxes | A reconciliation of income taxes computed by applying the expected federal statutory income tax rate of 21% for fiscal years 2024, 2023 and 2022 to income before income taxes reported in the Consolidated Statements of Comprehensive Income is as follows (in thousands): 2024 2023 2022 Federal income tax at statutory rate $ 41,828 $ 64,420 $ 44,518 State income taxes, net of federal benefit 7,984 12,172 8,075 Tax credits (6,662) (10,847) (37,488) Other (1,875) 177 (858) $ 41,275 $ 65,922 $ 14,247 |
Net deferred tax assets and liabilities | Net deferred tax assets and liabilities were as follows (in thousands): March 30, April 1, Net deferred tax (liabilities) assets Goodwill $ (17,080) $ (16,041) Property, plant and equipment (14,678) (16,763) Warranty reserves 7,668 7,355 Lease - Operating lease liability 7,446 6,323 Lease - Right of use assets (7,108) (6,050) Research and experimentation expenditures 5,940 2,712 Salaries and wages 3,176 3,675 Inventory 2,913 2,151 Accrued volume rebates 2,868 2,713 Other 4,280 6,344 $ (4,575) $ (7,581) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Loan Contracts with Off-Balance Sheet Commitments | Loan contracts with off-balance sheet commitments are summarized below (in thousands): March 30, April 1, Construction loan contract amount $ 1,960 $ 2,214 Cumulative advances (722) (706) $ 1,238 $ 1,508 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Options Activity | Stock Options. The following table summarizes stock option activity for fiscal years 2024, 2023 and 2022: Number Weighted Weighted Aggregate Outstanding at April 3, 2021 251,749 $ 146.86 4.04 $ 34,266 Exercised (53,550) 107.58 Forfeited, canceled or expired (5,286) 164.49 Outstanding at April 2, 2022 192,913 $ 157.23 3.34 $ 16,724 Exercised (44,237) 137.28 Forfeited, canceled or expired (5,100) 241.23 Outstanding at April 1, 2023 143,576 $ 160.40 2.88 $ 22,591 Exercised (48,637) 145.38 Forfeited, canceled or expired (538) 183.83 Outstanding at March 30, 2024 94,401 $ 168.00 2.21 $ 21,812 Exercisable at April 2, 2022 126,948 $ 149.90 2.82 $ 11,941 Exercisable at April 1, 2023 116,434 $ 155.38 2.70 $ 18,887 Exercisable at March 30, 2024 89,474 $ 167.13 2.15 $ 20,752 |
Restricted Stock Unit Activity | Restricted Stock Awards. A summary of RSU activity for fiscal years 2024, 2023 and 2022 is as follows: Number of Service-based units Weighted Average Grant Date Fair Value per share Outstanding at April 3, 2021 4,585 $ 177.08 Awarded 16,902 233.60 Released (3,335) 180.83 Forfeited (505) 215.90 Outstanding at April 2, 2022 17,647 $ 229.39 Awarded 18,965 227.99 Released (6,714) 234.55 Forfeited (1,030) 283.27 Outstanding at April 1, 2023 28,868 $ 225.35 Awarded 17,511 294.06 Released (12,541) 231.70 Forfeited (1,254) 250.71 Outstanding at March 30, 2024 32,584 $ 258.85 The total intrinsic value of RSUs released during fiscal years 2024, 2023 and 2022 was $3.6 million, $1.6 million and $0.8 million, respectively. Number of Performance-based units Weighted Average Grant Date Fair Value per share Outstanding at April 3, 2021 12,939 $ 163.51 Awarded 7,920 217.39 Forfeited (805) 192.64 Outstanding at April 2, 2022 20,054 $ 183.62 Awarded 11,730 209.87 Additional shares granted by performance 2,489 158.36 Released (8,822) 158.36 Outstanding at April 1, 2023 25,451 $ 202.00 Awarded 12,125 295.01 Additional shares granted by performance 1,658 167.84 Released (6,988) 167.95 Forfeited (2,128) 220.67 Outstanding at March 30, 2024 30,118 $ 244.15 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2024 7,504 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2025 11,187 Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2026 11,427 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Earnings Per Share [Abstract] | |
Basic earnings per share | The following table sets forth the computation of basic and diluted earnings per share for fiscal years 2024, 2023 and 2022 (dollars in thousands, except per share amounts): Fiscal Year 2024 2023 2022 Net income attributable to Cavco common stockholders $ 157,817 $ 240,554 $ 197,699 Weighted average shares outstanding: Basic 8,506,673 8,844,326 9,178,593 Effect of dilutive securities 85,238 80,126 85,560 Diluted 8,591,911 8,924,452 9,264,153 Net income per share attributable to Cavco common stockholders Basic $ 18.55 $ 27.20 $ 21.54 Diluted $ 18.37 $ 26.95 $ 21.34 Anti-dilutive common stock equivalents excluded 44 174 405 Outstanding RSUs excluded, as underlying performance criteria has not yet been met 30,118 25,451 20,054 |
Diluted earnings per share | The following table sets forth the computation of basic and diluted earnings per share for fiscal years 2024, 2023 and 2022 (dollars in thousands, except per share amounts): Fiscal Year 2024 2023 2022 Net income attributable to Cavco common stockholders $ 157,817 $ 240,554 $ 197,699 Weighted average shares outstanding: Basic 8,506,673 8,844,326 9,178,593 Effect of dilutive securities 85,238 80,126 85,560 Diluted 8,591,911 8,924,452 9,264,153 Net income per share attributable to Cavco common stockholders Basic $ 18.55 $ 27.20 $ 21.54 Diluted $ 18.37 $ 26.95 $ 21.34 Anti-dilutive common stock equivalents excluded 44 174 405 Outstanding RSUs excluded, as underlying performance criteria has not yet been met 30,118 25,451 20,054 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Summary of the Fair Value and Carrying Value of Financial Instruments | The book value and estimated fair value of our financial instruments were as follows (in thousands): March 30, 2024 April 1, 2023 Book Estimated Book Estimated Available-for-sale debt securities (1) $ 18,669 $ 18,669 $ 18,555 $ 18,555 Marketable equity securities (2) 11,961 11,961 9,989 9,989 Non-marketable equity investments (3) 4,956 4,956 5,073 5,073 Consumer loans receivable (4) (5) 44,067 49,105 44,148 50,686 Commercial loans receivable (5) 91,041 80,764 101,977 97,106 Other secured financing (6) (1,916) (1,841) (2,379) (2,332) (1) Level 2: The fair value is based on observable market prices for identical securities. When observable market prices for identical securities are not available, we price our marketable debt instruments using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. (2) Level 1: The fair value is based on quoted market prices. (3) Level 3: The fair value approximates book value based on the non-marketable nature of the investments. (4) Level 3: Includes consumer loans receivable held for investment, held for sale and construction advances. (5) Level 3: The fair value is estimated using market interest rates of comparable loans. (6) L evel 2: The fair value is based on the discounted value of the expected remaining principal and interest cash flows. |
Capitalized Mortgage Servicing Rights | March 30, April 1, Number of loans serviced with MSRs 3,842 4,070 Weighted average servicing fee (basis points) 34.79 34.71 Capitalized servicing multiple 188.59 % 98.99 % Capitalized servicing rate (basis points) 65.61 34.36 Serviced portfolio with MSRs (in thousands) $ 482,898 $ 520,458 MSRs (in thousands) $ 3,168 $ 1,788 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Compensation Related Costs [Abstract] | |
Multiemployer Plan | Pension Protection Act Zone Status RP Status Pending / Implemented Contributions by the Company by fiscal year (in thousands) Expiration Date of CBAs Pension Fund 2024 2023 2024 2023 2022 Surcharge Imposed IAM National Pension Fund Red Red Implemented $ 1,364 $ 1,507 $ 312 Yes (1) |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract] | |
Schedule of Acquisitions | The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands). January 3, (as finalized) Cash $ 5,041 Investments 334 Accounts receivable 2,749 Inventories 57,902 Property, plant and equipment 36,006 Other current assets 1,579 Intangible assets (1) 3,400 Total identifiable assets acquired 107,011 Accounts payable and accrued liabilities 11,335 Net identifiable assets acquired 95,676 Goodwill (2) 15,107 Net assets acquired $ 110,783 (1) Includes $1.3 million assigned to trade names, which are considered indefinite lived intangible assets and are not subject to amortization, $1.9 million assigned to customer-related intangibles, subject to a useful life of 10 years amortized on a straight-line basis, and $0.2 million for covenants not to compete from the sellers, amortized on a straight-line basis over the term of 5 years. (2) Attributable to the Factory-built housing segment, all of which will be deductible for income tax purposes. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands). September 24, (as finalized) Cash $ 619 Accounts receivable 20,930 Commercial loans 30,922 Inventories 31,787 Property, plant and equipment (1) 59,339 Other current assets 534 Intangible assets (2) 12,500 Total identifiable assets acquired 156,631 Accounts payable and accrued liabilities 31,536 Net identifiable assets acquired 125,095 Goodwill (3) 20,892 Net assets acquired $ 145,987 (1) Includes assets acquired under finance leases. (2) Includes $7.2 million assigned to customer-related intangibles, subject to a useful life of 11 years amortized on a straight-line basis; $3.8 million assigned to trademarks and trade names, which are considered indefinite lived intangible assets and are not subject to amortization; $1.0 million for acquired sales order backlogs that will be amortized over the period to produce the associated backlog; and $0.5 million for a covenant not to compete from the sellers, amortized on a straight-line basis over the term of 5 years. (3) Attributable to the Factory-built housing segment, all of which will be deductible for income tax purposes. |
Pro Forma Impact of Acquisitions | Pro Forma Impact of Acquisitions (Unaudited) . The following table presents supplemental pro forma information as if the above acquisitions had occurred on April 4, 2021 (in thousands, except per share data): Year Ended April 1, April 2, Net revenue $ 2,251,233 $ 1,914,866 Net income attributable to Cavco common stockholders 251,903 208,149 Diluted net income per share 28.23 22.47 |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Mar. 30, 2024 | |
Segment Reporting [Abstract] | |
Business Segment Information | The following tables provide selected financial data by segment (dollars in thousands): Fiscal Year Ended March 30, April 1, April 2, Net revenue: Factory-built housing $ 1,716,607 $ 2,069,450 $ 1,556,283 Financial services 78,185 73,263 70,875 $ 1,794,792 $ 2,142,713 $ 1,627,158 Net revenue for financial services consists of: Finance $ 18,881 $ 21,952 $ 23,004 Insurance 59,304 51,311 47,871 $ 78,185 $ 73,263 $ 70,875 Income before income taxes: Factory-built housing $ 192,815 $ 296,415 $ 197,282 Financial services 6,365 10,348 14,707 $ 199,180 $ 306,763 $ 211,989 Depreciation: Factory-built housing $ 16,754 $ 14,651 $ 9,451 Financial services 202 182 182 $ 16,956 $ 14,833 $ 9,633 Amortization: Factory-built housing $ 1,544 $ 2,038 $ 1,270 Financial services 25 32 114 $ 1,569 $ 2,070 $ 1,384 Income tax expense: Factory-built housing $ 39,749 $ 63,433 $ 10,853 Financial services 1,526 2,489 3,394 $ 41,275 $ 65,922 $ 14,247 Capital expenditures: Factory-built housing $ 17,189 $ 44,085 $ 18,574 Financial services 232 21 79 $ 17,421 $ 44,106 $ 18,653 March 30, April 1, Total assets: Factory-built housing $ 1,141,237 $ 1,107,555 Financial services 212,923 200,420 $ 1,354,160 $ 1,307,975 Fiscal Year Ended March 30, April 1, April 2, Gross margin %: Consolidated 23.8 % 25.9 % 25.1 % Factory-built housing 23.2 % 25.3 % 23.9 % Financial services 35.8 % 42.9 % 51.5 % |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Receivables and Allowances (Details) - USD ($) | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Allowance for doubtful accounts receivable | $ 0 | $ 0 | |
Allowance for credit loss on available-for-sale debt securities | 0 | ||
Consumer loans | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Allowance for loan losses | 1,066,000 | 1,153,000 | $ 2,115,000 |
Commercial loans | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Allowance for loan losses | $ 781,000 | $ 1,586,000 | $ 1,011,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Long Lived Assets (Details) - USD ($) | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Property, Plant and Equipment [Line Items] | |||
Impairment losses on assets held and used | $ 0 | $ 0 | $ 0 |
Buildings and improvements | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful lives | 10 years | ||
Buildings and improvements | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful lives | 39 years | ||
Machinery and Equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful lives | 3 years | ||
Machinery and Equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful lives | 25 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Goodwill and Other Intangibles (Details) | 12 Months Ended | ||
Mar. 30, 2024 USD ($) segment | Apr. 01, 2023 USD ($) | Apr. 02, 2022 USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |||
Number of operating segments | segment | 2 | ||
Goodwill and intangible asset impairment | $ | $ 0 | $ 0 | $ 0 |
Minimum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible asset, useful life | 3 years | ||
Maximum | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible asset, useful life | 15 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Warranties (Details) | Mar. 30, 2024 |
Manufacturing Defects | |
Product Warranty Liability [Line Items] | |
Warranty period for manufacturing defects | 1 year |
Nonstructural Defects | |
Product Warranty Liability [Line Items] | |
Warranty period for manufacturing defects | 120 days |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Volume Rebates and Freight (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Freight | |||
Revenue from External Customer [Line Items] | |||
Cost of goods and services sold | $ 50.9 | $ 61.5 | $ 41.5 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Reserve for Property Casualty Insurance Claims and Claims Expense (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 03, 2021 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
Insurance loss reserves | $ 10,540 | $ 10,939 | $ 8,149 | $ 7,451 |
Balance of incurred but not reported losses | $ 5,200 | $ 4,400 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Advertising (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Advertising costs | $ 3.6 | $ 2 | $ 1.4 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Noncontrolling Interest (Details) - Craftsman | Mar. 30, 2024 | Dec. 31, 2023 | Apr. 02, 2022 | Jul. 04, 2021 | Apr. 01, 2017 |
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |||||
Ownership interest in Craftsman | 20% | 70% | 50% | ||
Additional ownership in Craftsman | 10% | 20% | |||
Mandatorily redeemable noncontrolling interest | |||||
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items] | |||||
Additional ownership in Craftsman | 30% | 20% |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Accumulated Other Comprehensive Income (loss) (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Gross unrealized gain (loss), available for sale debt securities | $ (400) | $ (800) |
Deferred tax asset | 100 | 200 |
Accumulated other comprehensive loss | $ (333) | $ (615) |
Revenue from Contracts with C_3
Revenue from Contracts with Customer - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Disaggregation of Revenue | |||
Net revenue | $ 1,794,792 | $ 2,142,713 | $ 1,627,158 |
Site improvements on Retail Sales | |||
Disaggregation of Revenue | |||
Net revenue | $ 57,600 | $ 53,300 | $ 43,900 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Disaggregation of Revenue | |||
Net revenue | $ 1,794,792 | $ 2,142,713 | $ 1,627,158 |
Factory-built housing | |||
Disaggregation of Revenue | |||
Net revenue | 1,716,607 | 2,069,450 | 1,556,283 |
Financial services | |||
Disaggregation of Revenue | |||
Net revenue | 78,185 | 73,263 | 70,875 |
Home sales | Factory-built housing | |||
Disaggregation of Revenue | |||
Net revenue | 1,631,650 | 2,017,399 | 1,495,940 |
Delivery, setup and other revenues | Factory-built housing | |||
Disaggregation of Revenue | |||
Net revenue | 84,957 | 52,051 | 60,343 |
Insurance agency commissions received from third-party insurance companies | Financial services | |||
Disaggregation of Revenue | |||
Net revenue | 4,258 | 3,754 | 4,055 |
All other sources | Financial services | |||
Disaggregation of Revenue | |||
Net revenue | $ 73,927 | $ 69,509 | $ 66,820 |
Restricted Cash - Restrictions
Restricted Cash - Restrictions on Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 |
Cash and Cash Equivalents [Line Items] | |||
Total restricted cash | $ 16,066 | $ 12,063 | $ 15,184 |
Less current portion | (15,481) | (11,728) | |
Restricted cash, noncurrent | 585 | 335 | |
CountryPlace | |||
Cash and Cash Equivalents [Line Items] | |||
Total restricted cash | 12,993 | 11,123 | |
Other restricted cash | |||
Cash and Cash Equivalents [Line Items] | |||
Total restricted cash | $ 3,073 | $ 940 |
Restricted Cash - Reconciliatio
Restricted Cash - Reconciliation to SOCF (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 03, 2021 |
Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 352,687 | $ 271,427 | $ 244,150 | |
Restricted cash | 16,066 | 12,063 | 15,184 | |
Cash, cash equivalents and restricted cash | $ 368,753 | $ 283,490 | $ 259,334 | $ 339,307 |
Investments - Schedule of Inves
Investments - Schedule of Investments (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Investments, Debt and Equity Securities [Abstract] | ||
Available-for-sale debt securities | $ 18,669 | $ 18,555 |
Marketable equity securities | 11,961 | 9,989 |
Non-marketable equity investments | 4,956 | 5,073 |
Investments | 35,586 | 33,617 |
Less short-term investments | (18,270) | (14,978) |
Long-term Investments | $ 17,316 | $ 18,639 |
Investments - Available-for-sal
Investments - Available-for-sale Summary (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Available-for-Sale Securities by Investment Category | ||
Amortized Cost | $ 19,091 | $ 19,335 |
Gross Unrealized Gains | 11 | 0 |
Gross Unrealized Losses | (433) | (780) |
Fair Value | 18,669 | 18,555 |
Residential mortgage-backed securities | ||
Available-for-Sale Securities by Investment Category | ||
Amortized Cost | 2,933 | 2,567 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (68) | (79) |
Fair Value | 2,865 | 2,488 |
States and political subdivision debt securities | ||
Available-for-Sale Securities by Investment Category | ||
Amortized Cost | 5,041 | 6,023 |
Gross Unrealized Gains | 7 | 0 |
Gross Unrealized Losses | (118) | (254) |
Fair Value | 4,930 | 5,769 |
Corporate debt securities | ||
Available-for-Sale Securities by Investment Category | ||
Amortized Cost | 11,117 | 10,745 |
Gross Unrealized Gains | 4 | 0 |
Gross Unrealized Losses | (247) | (447) |
Fair Value | $ 10,874 | $ 10,298 |
Investments - Continuous Unreal
Investments - Continuous Unrealized Loss Positions (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair Value | $ 2,904 | $ 6,498 |
Less than 12 months, Unrealized Losses | (28) | (146) |
12 months or longer, Fair Value | 12,776 | 11,305 |
12 months or longer, Unrealized losses | (405) | (634) |
Total Fair Value | 15,680 | 17,803 |
Total Unrealized Loss | (433) | (780) |
Residential mortgage-backed securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair Value | 2,014 | 1,345 |
Less than 12 months, Unrealized Losses | (24) | (10) |
12 months or longer, Fair Value | 833 | 1,117 |
12 months or longer, Unrealized losses | (44) | (69) |
Total Fair Value | 2,847 | 2,462 |
Total Unrealized Loss | (68) | (79) |
States and political subdivision debt securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair Value | 493 | 251 |
Less than 12 months, Unrealized Losses | (1) | 0 |
12 months or longer, Fair Value | 3,442 | 4,792 |
12 months or longer, Unrealized losses | (117) | (254) |
Total Fair Value | 3,935 | 5,043 |
Total Unrealized Loss | (118) | (254) |
Corporate debt securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair Value | 397 | 4,902 |
Less than 12 months, Unrealized Losses | (3) | (136) |
12 months or longer, Fair Value | 8,501 | 5,396 |
12 months or longer, Unrealized losses | (244) | (311) |
Total Fair Value | 8,898 | 10,298 |
Total Unrealized Loss | $ (247) | $ (447) |
Investments - Debt Securities b
Investments - Debt Securities by Maturity (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Amortized Cost | ||
Due in less than one year | $ 6,420 | |
Due after one year through five years | 9,352 | |
Due after five years through ten years | 225 | |
Due after ten years | 161 | |
Mortgage-backed securities | 2,933 | |
Amortized Cost | 19,091 | $ 19,335 |
Fair Value | ||
Due in less than one year | 6,310 | |
Due after one year through five years | 9,107 | |
Due after five years through ten years | 227 | |
Due after ten years | 160 | |
Mortgage-backed securities | 2,865 | |
Fair Value | $ 18,669 | $ 18,555 |
Investments - Narrative (Detail
Investments - Narrative (Details) - USD ($) | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |||
Gross gains realized on debt securities | $ 0 | $ 0 | $ 0 |
Gross losses realized on debt securities | $ 0 | $ 0 | $ 0 |
Investments - Gains (Losses) on
Investments - Gains (Losses) on Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |||
Net gain recognized during the period | $ 1,869 | $ 561 | $ 2,160 |
Less: Net (gains) recognized on securities sold during the period | (348) | (958) | (551) |
Unrealized gains (losses) recognized during the period on securities still held | $ 1,521 | $ (397) | $ 1,609 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 78,241 | $ 92,045 |
Work in process | 27,977 | 29,022 |
Finished goods | 135,121 | 142,083 |
Total Inventories | $ 241,339 | $ 263,150 |
Consumer Loans Receivable - Sum
Consumer Loans Receivable - Summary of Consumer Loans Receivable (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Construction advances | $ 722 | $ 706 | |
Consumer loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans held for investment, previously securitized | 16,968 | 21,000 | |
Loans held for investment | 12,826 | 13,117 | |
Loans held for sale | 15,140 | 10,846 | |
Construction advances | 722 | 706 | |
Loans receivable, gross | 45,656 | 45,669 | |
Deferred financing fees and other, net | (523) | (368) | |
Allowance for loan losses | (1,066) | (1,153) | $ (2,115) |
Loans receivable, net | 44,067 | 44,148 | |
Less current portion | (20,713) | (17,019) | |
Loans receivable, net | $ 23,354 | $ 27,129 |
Consumer Loans Receivable - All
Consumer Loans Receivable - Allowance For Loan Loss Rollforward (Details) - Consumer loans - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | ||
Allowance for loan losses at beginning of fiscal year | $ 1,153 | $ 2,115 |
Change in estimated loan losses, net | (87) | (944) |
Charge-offs | 0 | (37) |
Recoveries | 0 | 19 |
Allowance for loan losses at end of fiscal year | $ 1,066 | $ 1,153 |
Consumer Loans Receivable - Wei
Consumer Loans Receivable - Weighted Averages (Details) - Consumer loans | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted average contractual interest rate | 8.10% | 8.20% |
Weighted average effective interest rate | 10.40% | 8.80% |
Weighted average months to maturity | 196 months | 150 months |
Consumer Loans Receivable - Del
Consumer Loans Receivable - Delinquency Status of Consumer Loans (Details) - Consumer loans - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable | $ 45,656 | $ 45,669 |
Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable | 43,810 | 43,252 |
31 to 60 days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable | 1,063 | 1,247 |
61 to 90 days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable | 131 | 213 |
91+ days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans receivable | $ 652 | $ 957 |
Consumer Loans Receivable - Con
Consumer Loans Receivable - Consumer Loan Receivables by Segment and Credit Quality Indicator (Details) - Consumer loans - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans by origination year, one | $ 16,187 | $ 11,250 |
Loans by origination year, two | 328 | 185 |
Loans by origination year, three | 96 | 2,082 |
Loans by origination year, four | 2,105 | 3,164 |
Loans by origination year, five | 2,799 | 2,765 |
Prior | 24,141 | 26,223 |
Loans receivable, gross | 45,656 | 45,669 |
Prime- FICO score 680 and greater | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans by origination year, one | 14,107 | 9,471 |
Loans by origination year, two | 328 | 185 |
Loans by origination year, three | 96 | 1,051 |
Loans by origination year, four | 885 | 1,982 |
Loans by origination year, five | 1,808 | 1,191 |
Prior | 14,425 | 16,601 |
Loans receivable, gross | 31,649 | 30,481 |
Near Prime- FICO score 620-679 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans by origination year, one | 1,633 | 1,695 |
Loans by origination year, two | 0 | 0 |
Loans by origination year, three | 0 | 1,012 |
Loans by origination year, four | 1,202 | 1,131 |
Loans by origination year, five | 942 | 1,550 |
Prior | 8,684 | 8,244 |
Loans receivable, gross | 12,461 | 13,632 |
Sub-Prime- FICO score less than 620 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans by origination year, one | 0 | 84 |
Loans by origination year, two | 0 | 0 |
Loans by origination year, three | 0 | 19 |
Loans by origination year, four | 18 | 51 |
Loans by origination year, five | 49 | 0 |
Prior | 723 | 1,033 |
Loans receivable, gross | 790 | 1,187 |
No FICO score | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans by origination year, one | 447 | 0 |
Loans by origination year, two | 0 | 0 |
Loans by origination year, three | 0 | 0 |
Loans by origination year, four | 0 | 0 |
Loans by origination year, five | 0 | 24 |
Prior | 309 | 345 |
Loans receivable, gross | $ 756 | $ 369 |
Consumer Loans Receivable - Nar
Consumer Loans Receivable - Narrative (Details) - Consumer loans - USD ($) $ in Millions | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Repossessed homes | $ 0.7 | $ 1.1 |
Foreclosure or similar proceedings in progress | $ 0.4 | $ 0.5 |
TEXAS | Financing Receivable | Geographic Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk, percentage | 46% | 44% |
FLORIDA | Financing Receivable | Geographic Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk, percentage | 10% | 13% |
Commercial Loans Receivables -
Commercial Loans Receivables - Commercial Loans Notes Receivables, Net (Details) - Commercial loans - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans receivable, gross | $ 91,938 | $ 103,726 | |
Allowance for loan losses | (781) | (1,586) | $ (1,011) |
Deferred financing fees, net | (116) | (163) | |
Loans receivable, net | 91,041 | 101,977 | |
Less current portion | (43,316) | (44,054) | |
Loans receivable, net | $ 47,725 | $ 57,923 |
Commercial Loans Receivables _2
Commercial Loans Receivables - Commercial Loans Characteristics (Details) - Commercial loans | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted average contractual interest rate | 7.40% | 7.60% |
Weighted average months to maturity | 12 months | 9 months |
Commercial Loans Receivables _3
Commercial Loans Receivables - Changes in the Estimated Allowance for Loan Loss (Details) - Commercial loans - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Changes in the Allowance for Loan Losses on Commercial Loans Receivables [Line Items] | ||
Allowance for loan losses at beginning of fiscal year | $ 1,586 | $ 1,011 |
Change in estimated loan losses, net | (805) | 575 |
Allowance for loan losses at end of fiscal year | $ 781 | $ 1,586 |
Commercial Loans Receivables _4
Commercial Loans Receivables - Narrative (Details) - Commercial loans - USD ($) | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable, nonperforming, threshold | 90 days | |
Financing receivable, nonaccrual, threshold period past due | 90 days | |
Commercial loans 90 days past due still accruing interest | $ 0 | |
Financing Receivable | Customer Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk, percentage | 13% | 12% |
NEW YORK | Financing Receivable | Geographic Concentration Risk | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk, percentage | 18% | 18% |
Commercial Loans Receivables _5
Commercial Loans Receivables - Commercial Loans Receivables by Credit Quality Indicator and Year of Origination (Details) - Commercial loans - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Financing Receivable Recorded Investment [Line Items] | ||
Loans receivable, gross | $ 91,938 | $ 103,726 |
Performing | ||
Financing Receivable Recorded Investment [Line Items] | ||
Loans by origination year, one | 57,691 | 80,193 |
Loans by origination year, two | 25,066 | 16,028 |
Loans by origination year, three | 4,823 | 4,071 |
Loans by origination year, four | 2,144 | 2,203 |
Loans by origination year, five | 2,214 | 1,231 |
Loans receivable, gross | $ 91,938 | $ 103,726 |
Property, Plant and Equipment_3
Property, Plant and Equipment, net - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, at cost | $ 300,885 | $ 289,411 |
Accumulated depreciation | (76,686) | (61,133) |
Property, plant and equipment, net | 224,199 | 228,278 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, at cost | 171,516 | 167,291 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, at cost | 81,142 | 76,826 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, at cost | 39,822 | 39,822 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, at cost | $ 8,405 | $ 5,472 |
Property, Plant and Equipment_4
Property, Plant and Equipment, net - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation | $ 16,956 | $ 14,833 | $ 9,633 |
Leases - Narrative (Details)
Leases - Narrative (Details) | Mar. 30, 2024 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Lessee, operating lease, renewal term | 1 year |
Lessee, finance lease, renewal term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Lessee, operating lease, renewal term | 3 years |
Lessee, finance lease, renewal term | 3 years |
Leases - Lease Assets and Liabi
Leases - Lease Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
ROU assets | ||
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, Plant and Equipment, Net | Property, Plant and Equipment, Net |
Operating lease assets | $ 39,027 | $ 26,755 |
Finance lease assets | 5,913 | 6,088 |
Total lease assets | $ 44,940 | $ 32,843 |
Current: | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current |
Operating lease liabilities | $ 5,303 | $ 6,262 |
Finance lease liabilities | $ 80 | $ 347 |
Non-current: | ||
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Operating lease liabilities | $ 35,148 | $ 21,678 |
Finance lease liabilities | 6,086 | 5,896 |
Total lease liabilities | 46,617 | 34,183 |
Finance lease, right-of-use asset, accumulated amortization | $ 400 | $ 300 |
Leases - Lease Expense (Details
Leases - Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Lessee, Lease, Description [Line Items] | |||
Amortization of leased assets | $ 175 | $ 175 | $ 109 |
Interest on lease liabilities | 279 | 283 | 151 |
Total lease expense | 6,266 | 5,707 | 5,056 |
Cost of sales | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease expense | 1,119 | 1,190 | 1,160 |
Selling, general and administrative expenses | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease expense | $ 4,693 | $ 4,059 | $ 3,636 |
Leases - Cash Payments for Oper
Leases - Cash Payments for Operating and Finance Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Leases [Abstract] | |||
Operating leases | $ 6,694 | $ 5,609 | $ 4,794 |
Finance leases | $ 356 | $ 356 | $ 220 |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Operating Leases | ||
2025 | $ 7,074 | |
2026 | 7,396 | |
2027 | 4,870 | |
2028 | 3,979 | |
2029 | 3,810 | |
Thereafter | 24,305 | |
Total operating lease payments | 51,434 | |
Less: Amount representing interest | (10,983) | |
Present value of lease liabilities | 40,451 | |
Finance Leases | ||
2025 | 356 | |
2026 | 356 | |
2027 | 356 | |
2028 | 356 | |
2029 | 356 | |
Thereafter | 10,230 | |
Total finance lease payments | 12,010 | |
Less: Amount representing interest | (5,844) | |
Present value of lease liabilities | 6,166 | $ 6,243 |
Total | ||
2025 | 7,430 | |
2026 | 7,752 | |
2027 | 5,226 | |
2028 | 4,335 | |
2029 | 4,166 | |
Thereafter | 34,535 | |
Total lease payments | 63,444 | |
Less: Amount representing interest | (16,827) | |
Total lease liabilities | $ 46,617 | $ 34,183 |
Leases - Weighted Average Discl
Leases - Weighted Average Disclosures (Details) | Mar. 30, 2024 |
Leases [Abstract] | |
Weighted average remaining lease term, operating leases | 10 years 3 months 18 days |
Weighted average remaining lease term, finance leases | 33 years 9 months 18 days |
Weighted average discount rate, operating leases | 4.90% |
Weighted average discount rate, finance leases | 4.50% |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles - Summary of Goodwill and Other Intangibles (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Indefinite-Lived Intangible Assets [Line Items] | ||
Goodwill | $ 121,934 | $ 114,547 |
Indefinite-lived intangible assets (including goodwill) | 140,014 | 132,627 |
Finite-Lived Intangible Assets, Net [Abstract] | ||
Accumulated Amortization | (5,973) | (6,304) |
Net Carrying Amount | 10,141 | |
Intangible Assets, Net (Including Goodwill) [Abstract] | ||
Gross Carrying Amount | 156,128 | 150,641 |
Accumulated Amortization | (5,973) | (6,304) |
Net Carrying Amount | 150,155 | 144,337 |
Goodwill | ||
Indefinite-Lived Intangible Assets [Line Items] | ||
Goodwill | 121,934 | 114,547 |
Trademarks and trade names | ||
Indefinite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets (excluding goodwill) | 16,980 | 16,980 |
State insurance licenses | ||
Indefinite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets (excluding goodwill) | 1,100 | 1,100 |
Customer relationships | ||
Finite-Lived Intangible Assets, Net [Abstract] | ||
Gross Carrying Amount | 15,000 | 16,900 |
Accumulated Amortization | (5,314) | (5,818) |
Net Carrying Amount | 9,686 | 11,082 |
Intangible Assets, Net (Including Goodwill) [Abstract] | ||
Accumulated Amortization | (5,314) | (5,818) |
Other | ||
Finite-Lived Intangible Assets, Net [Abstract] | ||
Gross Carrying Amount | 1,114 | 1,114 |
Accumulated Amortization | (659) | (486) |
Net Carrying Amount | 455 | 628 |
Intangible Assets, Net (Including Goodwill) [Abstract] | ||
Accumulated Amortization | $ (659) | $ (486) |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles - Narrative (Details) - USD ($) | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $ 121,934,000 | $ 114,547,000 | |
Amortization of Intangible Assets | 1,600,000 | $ 2,100,000 | $ 1,400,000 |
Goodwill, impaired, accumulated impairment loss | $ 0 | ||
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, remaining amortization period | 6 years 10 months 24 days | ||
Other | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, remaining amortization period | 2 years 6 months |
Goodwill and Other Intangible_4
Goodwill and Other Intangibles - Amortization Expense (Details) $ in Thousands | Mar. 30, 2024 USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2025 | $ 1,530 |
2026 | 1,488 |
2027 | 1,415 |
2028 | 1,299 |
2029 | 1,265 |
Thereafter | 3,144 |
Net Carrying Amount | $ 10,141 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Payables and Accruals [Abstract] | ||
Customer deposits | $ 40,856 | $ 45,193 |
Salaries, wages and benefits | 38,125 | 47,100 |
Unearned insurance premiums | 33,449 | 27,901 |
Estimated warranties | 31,718 | 31,368 |
Accrued volume rebates | 21,167 | 22,858 |
Accrued self-insurance | 14,124 | 11,467 |
Other | 60,297 | 76,774 |
Total accrued expenses and other current liabilities | $ 239,736 | $ 262,661 |
Warranties (Details)
Warranties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |||
Balance at beginning of fiscal year | $ 31,368 | $ 26,250 | $ 18,032 |
Purchase accounting additions | 0 | 1,250 | 5,909 |
Charged to costs and expenses | 60,219 | 50,157 | 40,678 |
Payments and deductions | (59,869) | (46,289) | (38,369) |
Balance at end of fiscal year | $ 31,718 | $ 31,368 | $ 26,250 |
Other Liabilities - Summary of
Other Liabilities - Summary of Secured Financings and Other Obligations (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Other Liabilities Disclosure [Abstract] | ||
Finance lease liabilities | $ 6,166 | $ 6,243 |
Other secured financing | 1,916 | 2,379 |
Mandatorily redeemable noncontrolling interest | 0 | 2,268 |
Total other liabilities | 8,082 | 10,890 |
Less current portion included in Accrued expenses and other current liabilities | (323) | (3,070) |
Other liabilities | $ 7,759 | $ 7,820 |
Other Liabilities - Schedule of
Other Liabilities - Schedule of Maturities of Other Liabilities (Details) $ in Thousands | Mar. 30, 2024 USD ($) |
Other Liabilities Disclosure [Abstract] | |
2025 | $ 323 |
2026 | 306 |
2027 | 287 |
2028 | 277 |
2029 | 265 |
Thereafter | 6,624 |
Total other liabilities | $ 8,082 |
Debt (Details)
Debt (Details) - Revolving Credit Facility - The Revolving Credit Facility - Line of Credit | Nov. 22, 2022 USD ($) | Mar. 30, 2024 USD ($) |
Line of Credit Facility [Line Items] | ||
Line of credit facility, current borrowing capacity | $ 50,000,000 | |
Maximum borrowing capacity with incremental facilities | $ 100,000,000 | |
Line of credit facility, unused capacity, commitment fee percentage | 0.15% | |
Debt instrument, covenant, leverage ratio | 3.25 | |
Long-term debt | $ 0 | |
Debt instrument, covenant, EBITDA threshold, minimum | $ 75,000,000 | |
Secured Overnight Financing Rate (SOFR) | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, basis spread on variable rate | 0.10% | |
Federal Funds Rate | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, basis spread on variable rate | 0.50% | |
Term Secured Overnight Financing Rate (SOFR) | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, basis spread on variable rate | 1% | |
Term Secured Overnight Financing Rate (SOFR) | Minimum | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, covenant, leverage ratio, percentage | 0.01125 | |
Term Secured Overnight Financing Rate (SOFR) | Maximum | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, covenant, leverage ratio, percentage | 0.01350 | |
Base Rate | Minimum | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, covenant, leverage ratio, percentage | 0.00125 | |
Base Rate | Maximum | ||
Line of Credit Facility [Line Items] | ||
Debt instrument, covenant, leverage ratio, percentage | 0.00350 |
Reinsurance and Insurance Los_3
Reinsurance and Insurance Loss Reserves - Reinsurance Effect on Premiums Written and Earned (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Written | ||
Direct premiums | $ 47,448 | $ 32,671 |
Assumed premiums—nonaffiliated | 37,426 | 34,153 |
Ceded premiums—nonaffiliated | (26,273) | (18,300) |
Net premiums written | 58,601 | 48,524 |
Earned | ||
Direct premiums | 39,352 | 29,775 |
Assumed premiums—nonaffiliated | 35,630 | 32,809 |
Ceded premiums—nonaffiliated | (26,273) | (18,300) |
Net premiums earned | $ 48,709 | $ 44,284 |
Reinsurance and Insurance Los_4
Reinsurance and Insurance Loss Reserves - Narrative (Details) $ in Millions | 12 Months Ended |
Mar. 30, 2024 USD ($) | |
Insurance [Abstract] | |
Insurance policies maximum coverage per claim | $ 0.4 |
Insurance policies coverage per claim ceded to reinsurers | 0.2 |
Insurance policy risk of loss maintained per claim | 0.2 |
Catastrophic losses recoverable in excess of amount | 4 |
Aggregate catastrophic losses recoverable in excess of amount | $ 110 |
Reinsurance and Insurance Los_5
Reinsurance and Insurance Loss Reserves - Activity in Property Casualty Reserve (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Liability For Future Policy Benefits And Unpaid Claims And Claims Adjustment Expense [Roll Forward] | |||
Balance at beginning of fiscal year | $ 10,939 | $ 8,149 | $ 7,451 |
Net incurred losses during the year | 37,490 | 33,466 | 25,962 |
Net claim payments during the year | (37,889) | (30,676) | (25,264) |
Balance at end of fiscal year | $ 10,540 | $ 10,939 | $ 8,149 |
Income Taxes - Provision (Benef
Income Taxes - Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Current | |||
Federal | $ 36,023 | $ 51,190 | $ 7,271 |
State | 8,094 | 12,709 | 8,768 |
Foreign | 218 | 50 | 0 |
Current Income Tax Expense | 44,335 | 63,949 | 16,039 |
Deferred | |||
Federal | (2,884) | 2,705 | (1,257) |
State | (98) | (732) | (535) |
Foreign | (78) | 0 | 0 |
Deferred income tax expense (benefit) | (3,060) | 1,973 | (1,792) |
Income tax expense | $ 41,275 | $ 65,922 | $ 14,247 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate | 21% | 21% | 21% |
Tax credit, energy related | $ 4,200,000 | ||
Tax credits, research and development | 2,400,000 | ||
Net operating loss carryforwards | 3,500,000 | ||
Operating loss carryforward valuation allowance | $ 0 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Income Tax Disclosure [Abstract] | |||
Federal income tax at statutory rate | $ 41,828 | $ 64,420 | $ 44,518 |
State income taxes, net of federal benefit | 7,984 | 12,172 | 8,075 |
Tax credits | (6,662) | (10,847) | (37,488) |
Other | (1,875) | 177 | (858) |
Income tax expense | $ 41,275 | $ 65,922 | $ 14,247 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Net deferred tax (liabilities) assets | ||
Goodwill | $ (17,080) | $ (16,041) |
Property, plant and equipment | (14,678) | (16,763) |
Warranty reserves | 7,668 | 7,355 |
Lease - Operating lease liability | 7,446 | 6,323 |
Lease - Right of use assets | (7,108) | (6,050) |
Research and experimentation expenditures | 5,940 | 2,712 |
Salaries and wages | 3,176 | 3,675 |
Inventory | 2,913 | 2,151 |
Accrued volume rebates | 2,868 | 2,713 |
Other | 4,280 | 6,344 |
Deferred tax liabilities, net | $ (4,575) | $ (7,581) |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 30, 2024 USD ($) notice | Mar. 30, 2024 USD ($) notice home | Apr. 01, 2023 USD ($) | Apr. 02, 2022 USD ($) | |
Loss Contingencies [Line Items] | ||||
Repurchase agreements maximum amount contingently liable | $ 121 | $ 121 | $ 178 | $ 141 |
Number of repurchase demand notices | notice | 2 | 5 | ||
Number of homes covered under repurchase demand notices | home | 11 | |||
Reserve for repurchase commitments | $ 2.9 | $ 2.9 | 5.2 | |
Reserves related to consumer loans sold | 0.6 | 0.6 | 0.7 | |
IRLCs recorded at fair value | 39 | 39 | ||
Forward commitments recorded at fair value | $ 2.8 | 2.8 | ||
Recognized gain (loss) on forward commitments | $ (0.3) | $ (0.1) | ||
Litigation settlement, amount awarded to other party | $ 1.5 | |||
Minimum | ||||
Loss Contingencies [Line Items] | ||||
Repurchase agreement, term | 18 months | |||
IRLCs, term | 30 days | |||
Maximum | ||||
Loss Contingencies [Line Items] | ||||
Repurchase agreement, term | 24 months | |||
IRLCs, term | 180 days |
Commitments and Contingencies_2
Commitments and Contingencies - Loan Contracts with Off-Balance Sheet Commitments (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Commitments and Contingencies Disclosure [Abstract] | ||
Construction loan contract amount | $ 1,960 | $ 2,214 |
Cumulative advances | (722) | (706) |
Remaining construction contingent commitment | $ 1,238 | $ 1,508 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Jun. 29, 2024 | Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized (in shares) | 550,000 | |||
Number of shares available for grant (in shares) | 549,299 | |||
Stock option exercise price as a percent of fair value of common stock | 100% | |||
Stock Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum vesting period for stock options and restricted stock awards | 5 years | |||
Stock option expiration period | 7 years | |||
Stock-based compensation cost charged against income | $ 6,800,000 | $ 6,300,000 | $ 5,100,000 | |
Unrecognized compensation cost related to stock options | $ 8,000,000 | |||
Weighted-average period over stock options expected to be recognized | 1 year 9 months 7 days | |||
Granted (in shares) | 0 | 0 | 0 | |
Total intrinsic value of options exercised | $ 7,800,000 | $ 5,700,000 | $ 7,900,000 | |
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum vesting period for stock options and restricted stock awards | 3 years | |||
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Intrinsic value of awards released | $ 3,600,000 | 1,600,000 | 800,000 | |
Performance-Based Awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Intrinsic value of awards released | $ 2,100,000 | $ 1,900,000 | $ 0 | |
Additional shares granted by performance (in shares) | 1,658 | 2,489 | ||
Performance-Based Awards | Forecast | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Additional shares granted by performance (in shares) | 1,125 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) - Stock Options - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 03, 2021 | |
Number of Shares | ||||
Beginning balance, shares outstanding (in shares) | 143,576 | 192,913 | 251,749 | |
Exercised (in shares) | (48,637) | (44,237) | (53,550) | |
Forfeited, canceled or expired (in shares) | (538) | (5,100) | (5,286) | |
Ending balance, shares outstanding (in shares) | 94,401 | 143,576 | 192,913 | 251,749 |
Shares exercisable (in shares) | 89,474 | 116,434 | 126,948 | |
Weighted Average Exercise Price per share | ||||
Beginning balance, weighted average exercise price (in usd per share) | $ 160.40 | $ 157.23 | $ 146.86 | |
Exercised (in usd per share) | 145.38 | 137.28 | 107.58 | |
Forfeited, canceled or expired (in usd per share) | 183.83 | 241.23 | 164.49 | |
Ending balance, weighted average exercise price (in usd per share) | 168 | 160.40 | 157.23 | $ 146.86 |
Exercisable, weighted average exercise price (in usd per share) | $ 167.13 | $ 155.38 | $ 149.90 | |
Options outstanding, weighted average remaining contractual term | 2 years 2 months 15 days | 2 years 10 months 17 days | 3 years 4 months 2 days | 4 years 14 days |
Options exercisable, weighted average remaining contractual term | 2 years 1 month 24 days | 2 years 8 months 12 days | 2 years 9 months 25 days | |
Options outstanding, aggregate intrinsic value | $ 21,812 | $ 22,591 | $ 16,724 | $ 34,266 |
Options exercisable, aggregate intrinsic value | $ 20,752 | $ 18,887 | $ 11,941 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock Activity (Details) - $ / shares | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Restricted Stock Units (RSUs) | |||
Restricted Stock Awards Activity, Number of Shares [Roll Forward] | |||
Beginning balance, outstanding (in shares) | 28,868 | 17,647 | 4,585 |
Awarded (in shares) | 17,511 | 18,965 | 16,902 |
Released (in shares) | (12,541) | (6,714) | (3,335) |
Forfeited (in shares) | (1,254) | (1,030) | (505) |
Ending balance, outstanding (in shares) | 32,584 | 28,868 | 17,647 |
Restricted Stock Activity, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Beginning balance, weighted average grant date fair value (in usd per share) | $ 225.35 | $ 229.39 | $ 177.08 |
Awarded (in usd per share) | 294.06 | 227.99 | 233.60 |
Released (in usd per share) | 231.70 | 234.55 | 180.83 |
Forfeited (in usd per share) | 250.71 | 283.27 | 215.90 |
Ending balance, weighted average grant date fair value (in usd per share) | $ 258.85 | $ 225.35 | $ 229.39 |
Performance-Based Awards | |||
Restricted Stock Awards Activity, Number of Shares [Roll Forward] | |||
Beginning balance, outstanding (in shares) | 25,451 | 20,054 | 12,939 |
Awarded (in shares) | 12,125 | 11,730 | 7,920 |
Additional shares granted by performance (in shares) | 1,658 | 2,489 | |
Released (in shares) | (6,988) | (8,822) | |
Forfeited (in shares) | (2,128) | (805) | |
Ending balance, outstanding (in shares) | 30,118 | 25,451 | 20,054 |
Restricted Stock Activity, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Beginning balance, weighted average grant date fair value (in usd per share) | $ 202 | $ 183.62 | $ 163.51 |
Awarded (in usd per share) | 295.01 | 209.87 | 217.39 |
Additional shares granted by performance (in usd per share) | 167.84 | 158.36 | |
Released (in usd per share) | 167.95 | 158.36 | |
Forfeited (in usd per share) | 220.67 | 192.64 | |
Ending balance, weighted average grant date fair value (in usd per share) | $ 244.15 | $ 202 | $ 183.62 |
Performance-Based Awards | Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2024 | |||
Restricted Stock Awards Activity, Number of Shares [Roll Forward] | |||
Beginning balance, outstanding (in shares) | |||
Ending balance, outstanding (in shares) | 7,504 | ||
Performance-Based Awards | Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2025 | |||
Restricted Stock Awards Activity, Number of Shares [Roll Forward] | |||
Beginning balance, outstanding (in shares) | |||
Ending balance, outstanding (in shares) | 11,187 | ||
Performance-Based Awards | Unvested target performance-based RSUs that may vest based upon performance conditions through fiscal year 2026 | |||
Restricted Stock Awards Activity, Number of Shares [Roll Forward] | |||
Beginning balance, outstanding (in shares) | |||
Ending balance, outstanding (in shares) | 11,427 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 03, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Net income | $ 157,817 | $ 240,554 | $ 197,699 | |
Weighted average shares outstanding: | ||||
Basic (in shares) | 8,506,673 | 8,844,326 | 9,178,593 | |
Effect of dilutive securities (in shares) | 85,238 | 80,126 | 85,560 | |
Diluted (in shares) | 8,591,911 | 8,924,452 | 9,264,153 | |
Net income per share attributable to Cavco common stockholders | ||||
Basic (usd per share) | $ 18.55 | $ 27.20 | $ 21.54 | |
Diluted (usd per share) | $ 18.37 | $ 26.95 | $ 21.34 | |
Performance-Based Awards | ||||
Net income per share attributable to Cavco common stockholders | ||||
Unvested target performance-based RSUs vesting in future periods (in shares) | 30,118 | 25,451 | 20,054 | 12,939 |
Stock Options | ||||
Net income per share attributable to Cavco common stockholders | ||||
Anti-dilutive stock equivalents excluded from computation (in shares) | 44 | 174 | 405 |
Fair Value Measurements - Book
Fair Value Measurements - Book Value and Estimated Fair Value (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale debt securities | $ 18,669 | $ 18,555 |
Marketable equity securities | 11,961 | 9,989 |
Book Value | Level 2 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale debt securities | 18,669 | 18,555 |
Other secured financing | (1,916) | (2,379) |
Book Value | Level 1 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Marketable equity securities | 11,961 | 9,989 |
Book Value | Level 3 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Non-marketable equity investments | 4,956 | 5,073 |
Consumer loans receivable | 44,067 | 44,148 |
Commercial loans receivable | 91,041 | 101,977 |
Estimated Fair Value | Level 2 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Available-for-sale debt securities | 18,669 | 18,555 |
Other secured financing | (1,841) | (2,332) |
Estimated Fair Value | Level 1 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Marketable equity securities | 11,961 | 9,989 |
Estimated Fair Value | Level 3 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Non-marketable equity investments | 4,956 | 5,073 |
Consumer loans receivable | 49,105 | 50,686 |
Commercial loans receivable | $ 80,764 | $ 97,106 |
Fair Value Measurements - Assum
Fair Value Measurements - Assumptions for Mortgage Servicing Rights (Details) $ in Thousands | Mar. 30, 2024 USD ($) loan | Apr. 01, 2023 USD ($) loan |
Fair Value Disclosures [Abstract] | ||
Number of loans serviced with MSRs | loan | 3,842 | 4,070 |
Weighted average servicing fee | 0.3479% | 0.3471% |
Capitalized servicing multiple | 188.59% | 98.99% |
Capitalized servicing rate | 0.6561% | 0.3436% |
Serviced portfolio with MSRs (in thousands) | $ 482,898 | $ 520,458 |
MSRs (in thousands) | $ 3,168 | $ 1,788 |
Employee Benefit Plans - Narrat
Employee Benefit Plans - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Maximum loss per employee under insurance claims | $ 0.4 | ||
Medical claims expenses | $ 32.9 | $ 30.6 | $ 22.8 |
401K Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer matching percentage | 30% | ||
Employee contribution rate, subject to match | 5% | ||
Employee service period | 90 days | ||
Vesting period | 4 years | ||
Employer matching contribution expense | $ 3.4 | $ 4 | $ 1.3 |
Maximum | 401K Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer matching percentage | 50% | ||
Employee contribution rate, subject to match | 5% |
Employee Benefit Plans - Multie
Employee Benefit Plans - Multiemployer Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Compensation Related Costs [Abstract] | |||
Contributions by the Company by fiscal year (in thousands) | $ 1,364 | $ 1,507 | $ 312 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 | Apr. 01, 2023 | Apr. 02, 2022 | |
Related Party Transaction [Line Items] | |||
Net revenue | $ 1,794,792 | $ 2,142,713 | $ 1,627,158 |
Accounts receivable, net | 77,123 | 89,347 | |
Commercial loans | |||
Related Party Transaction [Line Items] | |||
Loans receivable, net | 91,041 | 101,977 | |
Related Party | |||
Related Party Transaction [Line Items] | |||
Net revenue | 54,900 | 65,600 | $ 58,100 |
Accounts receivable, net | 8,500 | 5,700 | |
Related Party | Commercial loans | |||
Related Party Transaction [Line Items] | |||
Loans receivable, net | $ 4,600 | $ 4,700 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||||
Nov. 15, 2023 | Jan. 03, 2023 | Sep. 24, 2021 | Jul. 04, 2021 | Mar. 30, 2024 | Dec. 31, 2023 | Apr. 01, 2023 | Apr. 02, 2022 | Apr. 01, 2017 | |
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Goodwill | $ 121,934 | $ 114,547 | |||||||
Kentucky Dream Homes, LLC | |||||||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Business combination, consideration transferred | $ 23,300 | ||||||||
Business combination, non-cash commercial loan forgiveness | 5,400 | ||||||||
Purchase price | 17,900 | ||||||||
Inventories | 23,500 | ||||||||
Goodwill | $ 4,400 | ||||||||
Solitaire | |||||||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Business combination, consideration transferred | $ 110,800 | ||||||||
Inventories | 57,902 | ||||||||
Goodwill | $ 15,107 | ||||||||
Business acquisition, percentage of voting interests acquired | 100% | ||||||||
Acquisition costs | 2,400 | ||||||||
Net revenue since acquisition | 28,300 | ||||||||
Net income since acquisition | $ 900 | ||||||||
Net assets acquired | $ 110,783 | ||||||||
Craftsman | |||||||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Business combination, consideration transferred | $ 2,500 | ||||||||
Business acquisition, percentage of voting interests acquired | 20% | 10% | |||||||
Ownership interest in Craftsman | 70% | 20% | 50% | ||||||
Net assets acquired | $ 12,400 | ||||||||
Remeasurement gain | $ 3,300 | ||||||||
Craftsman | Mandatorily redeemable noncontrolling interest | |||||||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Business acquisition, percentage of voting interests acquired | 30% | 20% | |||||||
Commodore | |||||||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||||||
Business combination, consideration transferred | $ 146,000 | ||||||||
Inventories | 31,787 | ||||||||
Goodwill | 20,892 | ||||||||
Net assets acquired | $ 145,987 |
Acquisitions - Schedule of Busi
Acquisitions - Schedule of Business Acquisitions, by Acquisition (Details) - USD ($) $ in Thousands | Mar. 30, 2024 | Apr. 01, 2023 | Jan. 03, 2023 | Sep. 24, 2021 |
Asset Acquisition [Line Items] | ||||
Goodwill | $ 121,934 | $ 114,547 | ||
Solitaire | ||||
Asset Acquisition [Line Items] | ||||
Cash | $ 5,041 | |||
Investments | 334 | |||
Accounts receivable | 2,749 | |||
Inventories | 57,902 | |||
Property, plant and equipment | 36,006 | |||
Other current assets | 1,579 | |||
Intangible assets | 3,400 | |||
Total identifiable assets acquired | 107,011 | |||
Accounts payable and accrued liabilities | 11,335 | |||
Net identifiable assets acquired | 95,676 | |||
Goodwill | 15,107 | |||
Net assets acquired | 110,783 | |||
Solitaire | Trademarks and trade names | ||||
Asset Acquisition [Line Items] | ||||
Indefinite-lived intangibles acquired | 1,300 | |||
Solitaire | Customer-Related Intangible Assets | ||||
Asset Acquisition [Line Items] | ||||
Finite lived intangible assets acquired | $ 1,900 | |||
Finite-lived intangible asset, useful life | 10 years | |||
Solitaire | Noncompete Agreements | ||||
Asset Acquisition [Line Items] | ||||
Finite lived intangible assets acquired | $ 200 | |||
Finite-lived intangible asset, useful life | 5 years | |||
Commodore | ||||
Asset Acquisition [Line Items] | ||||
Cash | $ 619 | |||
Accounts receivable | 20,930 | |||
Commercial loans | 30,922 | |||
Inventories | 31,787 | |||
Property, plant and equipment | 59,339 | |||
Other current assets | 534 | |||
Intangible assets | 12,500 | |||
Total identifiable assets acquired | 156,631 | |||
Accounts payable and accrued liabilities | 31,536 | |||
Net identifiable assets acquired | 125,095 | |||
Goodwill | 20,892 | |||
Net assets acquired | 145,987 | |||
Commodore | Trademarks and trade names | ||||
Asset Acquisition [Line Items] | ||||
Indefinite-lived intangibles acquired | 3,800 | |||
Commodore | Customer-Related Intangible Assets | ||||
Asset Acquisition [Line Items] | ||||
Finite lived intangible assets acquired | $ 7,200 | |||
Finite-lived intangible asset, useful life | 11 years | |||
Commodore | Order or Production Backlog | ||||
Asset Acquisition [Line Items] | ||||
Finite lived intangible assets acquired | $ 1,000 | |||
Commodore | Noncompete Agreements | ||||
Asset Acquisition [Line Items] | ||||
Finite lived intangible assets acquired | $ 500 | |||
Finite-lived intangible asset, useful life | 5 years |
Acquisitions - Pro Forma (Detai
Acquisitions - Pro Forma (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Mar. 30, 2024 | Apr. 01, 2023 | |
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract] | ||
Net revenue | $ 2,251,233 | $ 1,914,866 |
Net income attributable to Cavco common stockholders | $ 251,903 | $ 208,149 |
Diluted net income per share (in usd per share) | $ 28.23 | $ 22.47 |
Business Segment Information (D
Business Segment Information (Details) $ in Thousands | 12 Months Ended | ||
Mar. 30, 2024 USD ($) segment | Apr. 01, 2023 USD ($) | Apr. 02, 2022 USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of operating segments | segment | 2 | ||
Number of reportable segments | segment | 2 | ||
Net revenue | $ 1,794,792 | $ 2,142,713 | $ 1,627,158 |
Income before income taxes | 199,180 | 306,763 | 211,989 |
Depreciation | 16,956 | 14,833 | 9,633 |
Amortization | 1,569 | 2,070 | 1,384 |
Income tax expense | 41,275 | 65,922 | 14,247 |
Capital expenditures | 17,421 | 44,106 | $ 18,653 |
Total assets | $ 1,354,160 | $ 1,307,975 | |
Gross margin % | 23.80% | 25.90% | 25.10% |
Factory-built housing | |||
Segment Reporting Information [Line Items] | |||
Net revenue | $ 1,716,607 | $ 2,069,450 | $ 1,556,283 |
Income before income taxes | 192,815 | 296,415 | 197,282 |
Depreciation | 16,754 | 14,651 | 9,451 |
Amortization | 1,544 | 2,038 | 1,270 |
Income tax expense | 39,749 | 63,433 | 10,853 |
Capital expenditures | 17,189 | 44,085 | $ 18,574 |
Total assets | $ 1,141,237 | $ 1,107,555 | |
Gross margin % | 23.20% | 25.30% | 23.90% |
Financial services | |||
Segment Reporting Information [Line Items] | |||
Net revenue | $ 78,185 | $ 73,263 | $ 70,875 |
Income before income taxes | 6,365 | 10,348 | 14,707 |
Depreciation | 202 | 182 | 182 |
Amortization | 25 | 32 | 114 |
Income tax expense | 1,526 | 2,489 | 3,394 |
Capital expenditures | 232 | 21 | $ 79 |
Total assets | $ 212,923 | $ 200,420 | |
Gross margin % | 35.80% | 42.90% | 51.50% |
Finance | |||
Segment Reporting Information [Line Items] | |||
Net revenue | $ 18,881 | $ 21,952 | $ 23,004 |
Insurance | |||
Segment Reporting Information [Line Items] | |||
Net revenue | $ 59,304 | $ 51,311 | $ 47,871 |