Champion Homes Sales Growth Accelerates as ASP Recovers

The Tip Desk · November 4, 2026 · 3 min read

Net sales rose 6.2% to $727.0 million in the fiscal second quarter, with average selling price per U.S. home up 4.1% to $102,700.

Champion Homes, Inc. (SKY), a factory-built housing producer, reported net sales of $727.0 million for the second quarter ended September 26, 2026, a 6.2% increase from the year-earlier period and a faster pace than the 1.3% rise to $710.2 million in the first quarter.

U.S. homes sold increased 2.3% to 6,724, after a 1.8% increase to 7,089 in the prior quarter. The company said the volume gain was driven primarily by higher production rates and an increase in sales from captive retail stores.

Average selling price per U.S. home sold rose 4.1% to $102,700, after a 0.6% increase to $95,600 in the first quarter. Champion attributed the ASP gain to channel and product mix, as well as improved price realization. Canadian factory-built homes sold numbered 198.

Gross profit was $185.6 million, and the gross profit margin was 25.5%, up from 25.2% in the first quarter. Adjusted gross profit was $185.3 million. The company said higher material costs were partially offset by sales growth and improved price realization.

Net income attributable to Champion Homes was $52.7 million, or $0.97 a share, versus $49.2 million, or $0.89 a share, in the first quarter. Adjusted net income was $51.9 million, or $0.95 a share. The company said the decrease in net income compared with the prior year was primarily driven by inflationary increases in cost of sales.

Selling, general, and administrative expenses were $119.8 million. Adjusted SG&A rose 5.4% to $118.5 million, after an 8.6% increase to $116.8 million in the first quarter. The company said the adjusted increase reflected its expanded retail footprint. Adjusted SG&A as a percentage of net sales was 16.3%.

EBITDA was $77.6 million. Adjusted EBITDA was $76.6 million, with a 10.5% margin, versus $73.6 million and a 10.4% margin in the first quarter.

Backlog increased to approximately $500 million as of September 26, 2026, from $421.8 million at the end of the first quarter.

President and Chief Executive Officer Tim Larson said the company delivered results in line with its expectations and that focused execution against strategic priorities enabled it to outperform the housing market in the quarter and build meaningful order momentum. He said the team delivered a two-story home, the New Horizon, built to the HUD Code, to the National Mall for Homes on the Hill in September. The company also pointed to a planned acquisition of Timberline Homes as a retail-channel growth item.

Cash and cash equivalents were $702.8 million as of September 26, 2026, down from $784.7 million as of June 27, 2026. Champion repurchased and retired $50.0 million of common stock during the quarter. In October 2026, the board refreshed the share repurchase authorization to $150.0 million of potential future repurchases.