Champion Homes, Inc. (NYSE:SKY) shares traded higher on Tuesday after the company reported fourth-quarter fiscal 2026 adjusted EPS of 68 cents, beating the analyst estimate of 60 cents.
Revenue of $621.3 million exceeded the $607.3 million consensus estimate, while net sales increased 4.6% year over year.
• Champion Homes stock is trading at depressed levels. What’s next for SKY stock?
Earnings and Margins
Net income attributable to Champion Homes declined 18.4% to $29.7 million, driven by acquisition-contingent consideration adjustments and product liability true-ups.
Adjusted net income increased 0.8% to $37.7 million. Adjusted EBITDA rose 6.3% to $55.9 million, while adjusted EBITDA margin improved to 9.0% from 8.9%.
The adjusted gross margin remained flat at 25.7%, supported by higher selling prices and a favorable product mix, partially offset by softer demand in the community/REIT channel.
Demand Trends and Orders
U.S. home sales volume declined 0.6% to 5,908 homes, while average selling price per U.S. home increased 4.6% to $98,600. Canadian factory-built home sales rose to 243 from 230 homes.
Backlog declined 8% year over year but …