Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Jan. 31, 2015 | Mar. 16, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Jan-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | NOBH | |
Entity Registrant Name | NOBILITY HOMES INC | |
Entity Central Index Key | 72205 | |
Current Fiscal Year End Date | 10 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 4,061,869 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Current assets: | ||
Cash and cash equivalents | $14,730,850 | $14,116,412 |
Short-term investments | 425,459 | 496,444 |
Accounts receivable - trade | 1,260,874 | 2,141,468 |
Mortgage notes receivable, current | 7,832 | 7,126 |
Income tax receivable | 4,757 | 5,964 |
Inventories | 5,604,695 | 5,516,540 |
Pre-owned homes, current | 2,401,834 | 2,839,203 |
Prepaid expenses and other current assets | 674,795 | 286,990 |
Deferred income taxes | 531,826 | 508,633 |
Total current assets | 25,642,922 | 25,918,780 |
Property, plant and equipment, net | 3,954,558 | 3,957,071 |
Pre-owned homes | 2,275,696 | 1,711,000 |
Mortgage notes receivable, long term | 180,031 | 180,800 |
Other investments | 2,779,548 | 2,751,663 |
Deferred income taxes | 1,464,174 | 1,487,367 |
Other assets | 2,952,924 | 2,921,424 |
Total assets | 39,249,853 | 38,928,105 |
Current liabilities: | ||
Accounts payable | 405,079 | 502,259 |
Accrued compensation | 307,843 | 320,502 |
Accrued expenses and other current liabilities | 644,135 | 526,296 |
Customer deposits | 957,462 | 1,029,088 |
Total current liabilities | 2,314,519 | 2,378,145 |
Commitments and contingent liabilities | ||
Stockholders' equity: | ||
Preferred stock, $.10 par value, 500,000 shares authorized; none issued and outstanding | ||
Common stock, $.10 par value, 10,000,000 shares authorized; 5,364,907 shares issued | 536,491 | 536,491 |
Additional paid in capital | 10,646,157 | 10,643,866 |
Retained earnings | 35,057,470 | 34,577,682 |
Accumulated other comprehensive income | 210,605 | 281,590 |
Less treasury stock at cost, 1,303,038 shares in 2015 and 1,301,038 shares in 2014 | -9,515,389 | -9,489,669 |
Total stockholders' equity | 36,935,334 | 36,549,960 |
Total liabilities and stockholders' equity | $39,249,853 | $38,928,105 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $0.10 | $0.10 |
Preferred stock, shares authorized | 500,000 | 500,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.10 | $0.10 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 5,364,907 | 5,364,907 |
Treasury stock, shares | 1,303,038 | 1,301,038 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | |
Jan. 31, 2015 | Feb. 01, 2014 | |
Income Statement [Abstract] | ||
Net sales | $5,576,800 | $4,137,438 |
Cost of goods sold | -4,404,031 | -3,391,908 |
Gross profit | 1,172,769 | 745,530 |
Selling, general and administrative expenses | -747,949 | -661,344 |
Operating income | 424,820 | 84,186 |
Other income (loss): | ||
Interest income | 13,120 | 9,832 |
Undistributed earnings in joint venture - Majestic 21 | 33,578 | 32,331 |
Losses from investments in retirement community limited partnerships | -5,693 | -39,401 |
Miscellaneous | 15,170 | 16,454 |
Total other income | 56,175 | 19,216 |
Income before provision for income taxes | 480,995 | 103,402 |
Income tax expense | -1,207 | |
Net income | 479,788 | 103,402 |
Other comprehensive income (loss) | ||
Unrealized investment gain (loss) | -70,985 | 17,943 |
Comprehensive income | $408,803 | $121,345 |
Weighed average number of shares outstanding: | ||
Basic | 4,063,913 | 4,057,944 |
Diluted | 4,064,254 | 4,059,316 |
Net income per share | ||
Basic | $0.12 | $0.03 |
Diluted | $0.12 | $0.03 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
Jan. 31, 2015 | Feb. 01, 2014 | |
Cash flows from operating activities: | ||
Net income | $479,788 | $103,402 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 23,502 | 26,913 |
Undistributed earnings in joint venture - Majestic 21 | -33,578 | -32,331 |
Losses from investments in retirement community limited partnerships | 5,693 | 39,401 |
Stock-based compensation | 1,071 | 2,023 |
Other | 12,500 | |
Decrease (increase) in: | ||
Accounts receivable | 880,594 | 1,776,747 |
Inventories | -88,155 | -473,784 |
Pre-owned homes | -127,327 | 464,253 |
Income tax receivable | 1,207 | -10,000 |
Prepaid expenses and other current assets | -387,805 | -140,055 |
(Decrease) increase in: | ||
Accounts payable | -97,180 | -198,082 |
Accrued compensation | -12,659 | -89,575 |
Accrued expenses and other current liabilities | 117,839 | -177,077 |
Customer deposits | -71,626 | -57,477 |
Net cash provided by operating activities | 691,364 | 1,246,858 |
Cash flows from investing activities: | ||
Purchase of property, plant and equipment | -20,989 | -58,157 |
Collections on mortgage notes receivable | 63 | 106 |
Increase in cash surrender value of life insurance | -31,500 | -29,235 |
Net cash used in investing activities | -52,426 | -87,286 |
Cash flows from financing activities: | ||
Proceeds from exercise of employee stock options | 15,820 | |
Purchase of treasury stock | -40,320 | |
Net cash used in financing activities | -24,500 | |
Increase in cash and cash equivalents | 614,438 | 1,159,572 |
Cash and cash equivalents at beginning of year | 14,116,412 | 10,468,453 |
Cash and cash equivalents at end of quarter | 14,730,850 | 11,628,025 |
Supplemental disclosure of cash flows information: | ||
Income taxes paid | $10,000 |
Basis_of_Presentation_and_Acco
Basis of Presentation and Accounting Policies | 3 Months Ended | |
Jan. 31, 2015 | ||
Accounting Policies [Abstract] | ||
Basis of Presentation and Accounting Policies | Note 1 | Basis of Presentation and Accounting Policies |
The accompanying unaudited consolidated financial statements for the three months ended January 31, 2015 have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission for Form 10-Q. Accordingly, they do not include all the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. | ||
The unaudited financial information included in this report includes all adjustments (consisting of normal recurring adjustments) which are, in the opinion of management, necessary to reflect a fair statement of the results for the interim periods. The results of operations for the three months ended January 31, 2015 are not necessarily indicative of the results of the full fiscal year. | ||
The condensed consolidated financial statements included in this report should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended November 1, 2014. | ||
In May 2014, the FASB issued ASU 2014-09 (Revenue from Contracts with Customers (Topic 606)), which requires an entity to recognize revenue from the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance addresses, in particular, contracts with more than one performance obligation, as well as the accounting for some costs to obtain or fulfill a contract with a customer; and provides for additional disclosures with respect to revenues and cash flows arising from contracts with customers. With respect to public entities, this update is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016 and early adoption is not permitted. We believe that our implementation of this guidance will have no material impact on our consolidated financial statements. | ||
Reclassifications – Certain amounts in the fiscal year 2014 consolidated financial statements have been reclassified to conform to the fiscal year 2015 presentation. Such reclassifications had no effect on net income (loss) or equity. |
Inventories
Inventories | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventories | Note 2 | Inventories | |||||||
New home inventory is carried at the lower of cost or market value. The cost of finished home inventories determined on the specific identification method is removed from inventories and recorded as a component of cost of sales at the time revenue is recognized. In addition, an allocation of depreciation and amortization is included in cost of goods sold. Under the specific identification method, if finished home inventory can be sold for a profit there is no basis to write down the inventory below the lower of cost or market value. | |||||||||
Pre-owned inventory is valued at the lower of the Company’s cost to acquire the inventory plus refurbishment costs incurred to date to bring the inventory to a more saleable state, or market value. | |||||||||
Other inventory costs are determined on a first-in, first-out basis. | |||||||||
Inventories were as follows: | |||||||||
January 31, | November 1, | ||||||||
2015 | 2014 | ||||||||
Raw materials | $ | 699,990 | $ | 622,831 | |||||
Work-in-process | 95,836 | 114,368 | |||||||
Finished homes | 4,753,607 | 4,722,923 | |||||||
Model home furniture and others | 55,262 | 56,418 | |||||||
Inventories, net | $ | 5,604,695 | $ | 5,516,540 | |||||
Pre-owned homes | $ | 6,328,436 | $ | 6,322,483 | |||||
Inventory impairment reserve | (1,650,906 | ) | (1,772,280 | ) | |||||
4,677,530 | 4,550,203 | ||||||||
Less homes expected to sell in 12 months | (2,401,834 | ) | (2,839,203 | ) | |||||
Pre-owned homes, long-term | $ | 2,275,696 | $ | 1,711,000 | |||||
Shortterm_Investments
Short-term Investments | 3 Months Ended | ||||||||||||||||
Jan. 31, 2015 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Short-term Investments | Note 3 | Short-term Investments | |||||||||||||||
The following is a summary of short-term investments (available for sale): | |||||||||||||||||
January 31, 2015 | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
Equity securities in a public company | $ | 167,930 | $ | 257,529 | $ | — | $ | 425,459 | |||||||||
November 1, 2014 | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
Equity securities in a public company | $ | 167,930 | $ | 328,514 | $ | — | $ | 496,444 | |||||||||
The fair values were estimated based on quoted market prices in active markets at each respective period end. | |||||||||||||||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||
Fair Value of Financial Instruments | Note 4 | Fair Value of Financial Instruments | |||||||||||
The carrying amount of cash and cash equivalents, accounts receivables, accounts payable and accrued expenses approximates fair value because of the short maturity of those instruments. Short-term investments (available for sale) are carried at fair value. | |||||||||||||
FASB ASC No. 820 “Fair Value Measurements” defines fair value as the price that would be received upon the sale of an asset or paid to transfer a liability (i.e. exit price) in an orderly transaction between market participants at the measurement date. ASC No. 820 requires disclosures that categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e. inputs) used in the valuation. Financial assets and liabilities are classified in their entirety based on the lowest level of input significant to the fair value measurement. The ASC No. 820 fair value hierarchy is defined as follows: | |||||||||||||
• | Level 1 - Valuations are based on unadjusted quoted prices in active markets for identical assets or liabilities. | ||||||||||||
• | Level 2 - Valuations are based on quoted prices for similar assets or liabilities in active markets, or quoted prices in markets that are not active for which significant inputs are observable, either directly or indirectly. | ||||||||||||
• | Level 3 - Valuations are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Inputs reflect management’s best estimate of what market participants would use in valuing the asset or liability at the measurement date. | ||||||||||||
The following tables present the Company’s assets and liabilities measured at fair value on a recurring basis at January 31, 2015 and November 1, 2014. | |||||||||||||
January 31, 2015 | |||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||
Short-term investments | |||||||||||||
Equity securities in a public company | $ | 425,459 | $ | — | $ | — | |||||||
November 1, 2014 | |||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||
Short-term investments | |||||||||||||
Equity securities in a public company | $ | 496,444 | $ | — | $ | — | |||||||
Investments_in_Retirement_Comm
Investments in Retirement Community Limited Partnerships | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Equity Method Investments and Joint Ventures [Abstract] | |||||||||
Investments in Retirement Community Limited Partnerships | Note 5 | Investments in Retirement Community Limited Partnerships | |||||||
The Company’s investment in retirement community limited partnerships includes a 31.3% interest in Walden Woods South LLC (“Walden Woods”) and a 48.5% interest in CRF III, Ltd. (“Cypress Creek”). The Cypress Creek investment is $140,710 and $146,403 at January 31, 2015 and November 1, 2014, respectively. The Walden Woods investment is zero at both January 31, 2015 and November 1, 2014. | |||||||||
The following is summarized financial information of Walden Woods and Cypress Creek*: | |||||||||
December 31, | September 30, | ||||||||
2014 | 2014 | ||||||||
Total Assets | $ | 13,194,790 | $ | 13,477,599 | |||||
Total Liabilities | $ | 16,213,647 | $ | 16,271,729 | |||||
Total Equity | $ | (3,018,857 | ) | $ | (2,794,130 | ) | |||
* | Due to Walden Woods and Cypress Creek having a calendar year-end, the summarized financial information provided is from their most recent quarter prior to the period covered by this report. | ||||||||
Warranty_Costs
Warranty Costs | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Guarantees [Abstract] | |||||||||
Warranty Costs | Note 6 | Warranty Costs | |||||||
The Company provides for a limited warranty as the manufactured homes are sold. Amounts related to these warranties are as follows: | |||||||||
Three Months Ended | |||||||||
January 31, | February 1, | ||||||||
2015 | 2014 | ||||||||
Beginning accrued warranty expense | $ | 75,000 | $ | 75,000 | |||||
Less: reduction for payments | (40,888 | ) | (43,005 | ) | |||||
Plus: additions to accrual | 40,888 | 43,005 | |||||||
Ending accrued warranty expense | $ | 75,000 | $ | 75,000 | |||||
The Company’s limited warranty covers substantial defects in material or workmanship in specified components of the home including structural elements, plumbing systems, electrical systems, and heating and cooling systems which are supplied by the Company that may occur under normal use and service during a period of twelve (12) months from the date of delivery to the original homeowner, and applies to the original homeowner or any subsequent homeowner to whom this product is transferred during the duration of this twelve (12) month period. | |||||||||
The Company tracks the warranty claims per home. Based on the history of the warranty claims, the Company has determined that a majority of warranty claims usually occur within the first three months after the home is sold. The Company determines its warranty accrual using the last three months of home sales. |
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | |
Jan. 31, 2015 | ||
Earnings Per Share [Abstract] | ||
Earnings Per Share | Note 7 | Earnings Per Share |
Basic net income per share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding. Diluted net income per share is computed similarly to basic net income per share except that the denominator is increased to include the number of additional shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. For the three months ended January 31, 2015 and February 1, 2014, options to purchase 2,500 and 18,750 shares of common stock, respectively, have been excluded from the computation of potentially dilutive securities as the effect on earnings per share is antidilutive. |
Revenues_by_Products_and_Servi
Revenues by Products and Service | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Revenues by Products and Service | Note 8 | Revenues by Products and Service | |||||||
Revenues by net sales from manufactured housing, insurance agent commissions and construction lending operations are as follows: | |||||||||
Three Months Ended | |||||||||
January 31, | February 1, | ||||||||
2015 | 2014 | ||||||||
Manufactured housing | $ | 5,192,168 | $ | 2,612,867 | |||||
Pre-owned homes-FRSA | $ | 218,140 | $ | 690,338 | |||||
Trade-in and other pre-owned homes | 114,746 | 787,021 | |||||||
Insurance agent commissions | 47,469 | 44,125 | |||||||
Construction lending operations | 4,277 | 3,087 | |||||||
Total net sales | $ | 5,576,800 | $ | 4,137,438 | |||||
Commitments_and_Contingent_Lia
Commitments and Contingent Liabilities | 3 Months Ended | |
Jan. 31, 2015 | ||
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingent Liabilities | Note 9 | Commitments and Contingent Liabilities |
Majestic 21 – The Company is a 50% guarantor on a $5 million note payable entered into by Majestic 21, a joint venture in which the Company owns a 50% interest. This guarantee was a requirement of the bank that provided a $5 million loan to Majestic 21. The $5 million guarantee of Majestic 21’s debt is for the life of the note which matures on the earlier of May 31, 2019 or when the principal balance is less than $750,000. The amount of the guarantee declines with the amortization and repayment of the loan. As collateral for the loan, 21st Mortgage Corporation (our joint venture partner) has granted the lender a security interest in a pool of loans encumbering homes sold by Prestige Homes Centers, Inc. If the pool of loans securing this note should decrease in value so that the notes outstanding principal balance is in excess of 80% of the principal balance of the pool of loans, then Majestic 21 would have to pay down the note’s principal balance to an amount that is no more than 80% of the principal balance of the pool of loans. The Company and 21st Mortgage Corporation are obligated jointly to contribute the amount necessary to bring the loan balance back down to 80% of the collateral provided. We do not anticipate any required contributions as the pool of loans securing the note have historically been in excess of 100% of the collateral value. As of January 31, 2015, the outstanding principal balance of the note was $1,545,700 and the amount of collateral held by our joint venture partner for the Majestic 21 note payable was $2,347,838. Based upon management’s analysis, the fair value of the guarantee is not material and as a result, no liability for the guarantee has been recorded in the accompanying balance sheets of the Company. |
Basis_of_Presentation_and_Acco1
Basis of Presentation and Accounting Policies (Policies) | 3 Months Ended | |||
Jan. 31, 2015 | ||||
Accounting Policies [Abstract] | ||||
Revenue from Contracts with Customers | In May 2014, the FASB issued ASU 2014-09 (Revenue from Contracts with Customers (Topic 606)), which requires an entity to recognize revenue from the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance addresses, in particular, contracts with more than one performance obligation, as well as the accounting for some costs to obtain or fulfill a contract with a customer; and provides for additional disclosures with respect to revenues and cash flows arising from contracts with customers. With respect to public entities, this update is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016 and early adoption is not permitted. We believe that our implementation of this guidance will have no material impact on our consolidated financial statements. | |||
Reclassifications | Reclassifications – Certain amounts in the fiscal year 2014 consolidated financial statements have been reclassified to conform to the fiscal year 2015 presentation. Such reclassifications had no effect on net income (loss) or equity. | |||
Fair Value Measurements | FASB ASC No. 820 “Fair Value Measurements” defines fair value as the price that would be received upon the sale of an asset or paid to transfer a liability (i.e. exit price) in an orderly transaction between market participants at the measurement date. ASC No. 820 requires disclosures that categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e. inputs) used in the valuation. Financial assets and liabilities are classified in their entirety based on the lowest level of input significant to the fair value measurement. The ASC No. 820 fair value hierarchy is defined as follows: | |||
• | Level 1 - Valuations are based on unadjusted quoted prices in active markets for identical assets or liabilities. | |||
• | Level 2 - Valuations are based on quoted prices for similar assets or liabilities in active markets, or quoted prices in markets that are not active for which significant inputs are observable, either directly or indirectly. | |||
• | Level 3 - Valuations are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Inputs reflect management’s best estimate of what market participants would use in valuing the asset or liability at the measurement date. | |||
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Summary of Inventories | Inventories were as follows: | ||||||||
January 31, | November 1, | ||||||||
2015 | 2014 | ||||||||
Raw materials | $ | 699,990 | $ | 622,831 | |||||
Work-in-process | 95,836 | 114,368 | |||||||
Finished homes | 4,753,607 | 4,722,923 | |||||||
Model home furniture and others | 55,262 | 56,418 | |||||||
Inventories, net | $ | 5,604,695 | $ | 5,516,540 | |||||
Pre-owned homes | $ | 6,328,436 | $ | 6,322,483 | |||||
Inventory impairment reserve | (1,650,906 | ) | (1,772,280 | ) | |||||
4,677,530 | 4,550,203 | ||||||||
Less homes expected to sell in 12 months | (2,401,834 | ) | (2,839,203 | ) | |||||
Pre-owned homes, long-term | $ | 2,275,696 | $ | 1,711,000 | |||||
Shortterm_Investments_Tables
Short-term Investments (Tables) | 3 Months Ended | ||||||||||||||||
Jan. 31, 2015 | |||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||
Summary of Short-term Investments | The following is a summary of short-term investments (available for sale): | ||||||||||||||||
January 31, 2015 | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
Equity securities in a public company | $ | 167,930 | $ | 257,529 | $ | — | $ | 425,459 | |||||||||
November 1, 2014 | |||||||||||||||||
Amortized | Gross | Gross | Estimated | ||||||||||||||
Cost | Unrealized | Unrealized | Fair Value | ||||||||||||||
Gains | Losses | ||||||||||||||||
Equity securities in a public company | $ | 167,930 | $ | 328,514 | $ | — | $ | 496,444 | |||||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 3 Months Ended | ||||||||||||
Jan. 31, 2015 | |||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||
Summary of Financial Assets and Liabilities Measured at Fair Value | The following tables present the Company’s assets and liabilities measured at fair value on a recurring basis at January 31, 2015 and November 1, 2014. | ||||||||||||
January 31, 2015 | |||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||
Short-term investments | |||||||||||||
Equity securities in a public company | $ | 425,459 | $ | — | $ | — | |||||||
November 1, 2014 | |||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||
Short-term investments | |||||||||||||
Equity securities in a public company | $ | 496,444 | $ | — | $ | — | |||||||
Investments_in_Retirement_Comm1
Investments in Retirement Community Limited Partnerships (Tables) (Walden Woods and Cypress Creek [Member]) | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Walden Woods and Cypress Creek [Member] | |||||||||
Summarized Financial Information | The following is summarized financial information of Walden Woods and Cypress Creek*: | ||||||||
December 31, | September 30, | ||||||||
2014 | 2014 | ||||||||
Total Assets | $ | 13,194,790 | $ | 13,477,599 | |||||
Total Liabilities | $ | 16,213,647 | $ | 16,271,729 | |||||
Total Equity | $ | (3,018,857 | ) | $ | (2,794,130 | ) | |||
* | Due to Walden Woods and Cypress Creek having a calendar year-end, the summarized financial information provided is from their most recent quarter prior to the period covered by this report. | ||||||||
Warranty_Costs_Tables
Warranty Costs (Tables) | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Guarantees [Abstract] | |||||||||
Summary of Amounts Related to Limited Warranty | The Company provides for a limited warranty as the manufactured homes are sold. Amounts related to these warranties are as follows: | ||||||||
Three Months Ended | |||||||||
January 31, | February 1, | ||||||||
2015 | 2014 | ||||||||
Beginning accrued warranty expense | $ | 75,000 | $ | 75,000 | |||||
Less: reduction for payments | (40,888 | ) | (43,005 | ) | |||||
Plus: additions to accrual | 40,888 | 43,005 | |||||||
Ending accrued warranty expense | $ | 75,000 | $ | 75,000 | |||||
Revenues_by_Products_and_Servi1
Revenues by Products and Service (Tables) | 3 Months Ended | ||||||||
Jan. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Revenues by Net Sales | Revenues by net sales from manufactured housing, insurance agent commissions and construction lending operations are as follows: | ||||||||
Three Months Ended | |||||||||
January 31, | February 1, | ||||||||
2015 | 2014 | ||||||||
Manufactured housing | $ | 5,192,168 | $ | 2,612,867 | |||||
Pre-owned homes-FRSA | $ | 218,140 | $ | 690,338 | |||||
Trade-in and other pre-owned homes | 114,746 | 787,021 | |||||||
Insurance agent commissions | 47,469 | 44,125 | |||||||
Construction lending operations | 4,277 | 3,087 | |||||||
Total net sales | $ | 5,576,800 | $ | 4,137,438 | |||||
Inventories_Summary_of_Invento
Inventories - Summary of Inventories (Detail) (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Inventory Disclosure [Abstract] | ||
Raw materials | $699,990 | $622,831 |
Work-in-process | 95,836 | 114,368 |
Finished homes | 4,753,607 | 4,722,923 |
Model home furniture and others | 55,262 | 56,418 |
Inventories, net | 5,604,695 | 5,516,540 |
Pre-owned homes | 6,328,436 | 6,322,483 |
Inventory impairment reserve | -1,650,906 | -1,772,280 |
Pre-owned homes, net | 4,677,530 | 4,550,203 |
Pre-owned homes, net | 4,677,530 | 4,550,203 |
Less homes expected to sell in 12 months | -2,401,834 | -2,839,203 |
Pre-owned homes, long-term | $2,275,696 | $1,711,000 |
Shortterm_Investments_Summary_
Short-term Investments - Summary of Short-term Investments (Detail) (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Investments, Debt and Equity Securities [Abstract] | ||
Available-for-sale Securities, Amortized Cost | $167,930 | $167,930 |
Available-for-sale Securities, Gross Unrealized Gains | 257,529 | 328,514 |
Available-for-sale Securities, Gross Unrealized Losses | 0 | 0 |
Available-for-sale Securities, Estimated Fair Value | $425,459 | $496,444 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Summary of Financial Assets and Liabilities Measured at Fair Value (Detail) (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities in a public company | $425,459 | $496,444 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities in a public company | 425,459 | 496,444 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities in a public company | ||
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities in a public company |
Investments_in_Retirement_Comm2
Investments in Retirement Community Limited Partnerships - Additional Information (Detail) (USD $) | Jan. 31, 2015 | Nov. 01, 2014 |
Schedule Of Results Related To Equity Accounted Investees [Line Items] | ||
Percentage of ownership interest | 50.00% | |
Walden Woods [Member] | ||
Schedule Of Results Related To Equity Accounted Investees [Line Items] | ||
Percentage of ownership interest | 31.30% | |
Amount invested in retirement community | $0 | $0 |
CRF III, Ltd [Member] | ||
Schedule Of Results Related To Equity Accounted Investees [Line Items] | ||
Percentage of ownership interest | 48.50% | |
Amount invested in retirement community | $140,710 | $146,403 |
Investments_in_Retirement_Comm3
Investments in Retirement Community Limited Partnerships - Summarized Financial Information (Detail) (Walden Woods and Cypress Creek [Member], USD $) | Dec. 31, 2014 | Sep. 30, 2014 |
Walden Woods and Cypress Creek [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Total Assets | $13,194,790 | $13,477,599 |
Total Liabilities | 16,213,647 | 16,271,729 |
Total Equity | ($3,018,857) | ($2,794,130) |
Warranty_Costs_Summary_of_Amou
Warranty Costs - Summary of Amounts Related to Limited Warranty (Detail) (USD $) | 3 Months Ended | |
Jan. 31, 2015 | Feb. 01, 2014 | |
Product Warranties Disclosures [Abstract] | ||
Beginning accrued warranty expense | $75,000 | $75,000 |
Less: reduction for payments | -40,888 | -43,005 |
Plus: additions to accrual | 40,888 | 43,005 |
Ending accrued warranty expense | $75,000 | $75,000 |
Warranty_Costs_Additional_Info
Warranty Costs - Additional Information (Detail) | 3 Months Ended |
Jan. 31, 2015 | |
Product Warranties Disclosures [Abstract] | |
Warranty period of homes | 12 months |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | |
Jan. 31, 2015 | Feb. 01, 2014 | |
Earnings Per Share [Abstract] | ||
Options to purchase shares of common stock excluded from computation of potentially dilutive securities | 2,500 | 18,750 |
Revenues_by_Products_and_Servi2
Revenues by Products and Service - Revenues by Net Sales (Detail) (USD $) | 3 Months Ended | |
Jan. 31, 2015 | Feb. 01, 2014 | |
Revenue from External Customer [Line Items] | ||
Total net sales | $5,576,800 | $4,137,438 |
Manufactured Housing [Member] | ||
Revenue from External Customer [Line Items] | ||
Total net sales | 5,192,168 | 2,612,867 |
FRSA - Pre-Owned Homes [Member] | ||
Revenue from External Customer [Line Items] | ||
Total net sales | 218,140 | 690,338 |
Trade-in and Other Pre-Owned Homes [Member] | ||
Revenue from External Customer [Line Items] | ||
Total net sales | 114,746 | 787,021 |
Insurance Agent Commissions [Member] | ||
Revenue from External Customer [Line Items] | ||
Total net sales | 47,469 | 44,125 |
Construction Lending Operations [Member] | ||
Revenue from External Customer [Line Items] | ||
Total net sales | $4,277 | $3,087 |
Commitments_and_Contingent_Lia1
Commitments and Contingent Liabilities - Additional Information (Detail) (USD $) | 3 Months Ended |
Jan. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Percentage of joint venture loan guaranteed by company | 50.00% |
Guarantee obligations note payable principal amount | $5,000,000 |
Percentage of ownership interest | 50.00% |
Guarantee obligations maximum limit of note payable principal amount for maturity | 750,000 |
Guarantee obligations principal balance of pool of loans percentage | 80.00% |
Percentage of collateral value for pool of loan securing note | 100.00% |
Guarantee obligations outstanding note payable principal amount | 1,545,700 |
Collateral value for pool of loan securing note payable by joint venture | $2,347,838 |