Legacy Housing Corporation (NASDAQ:LEGH) Q2 2023 Earnings Call Transcript August 10, 2023 11:00 AM ET Company Participants Duncan Bates - President & CEO Max Africk - General Counsel Conference Call Participants Alex Rygiel - B. Riley Mark Smith - Lake Street Capital Tim Moore - EF Hutton Operator Good morning, ladies and gentlemen. Thank you for standing by. Welcome to Legacy Housing Corporation Second Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. After th ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-38761 Legacy Housing Corporation (Exact name of registrant as specified in its charter) Texas 20-2897516 (State or other j ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 001-38761 Legacy Housing Corporation (Exact name of registrant as specified in its charter) Texas 20-2897516 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 1600 Airport Freeway, #100 Bedford, Texas 76022 For the quarterly period ended March 31, 2 ...

Legacy Housing Corporation (NASDAQ:LEGH) Q1 2023 Earnings Conference Call May 10, 2023 11:00 AM ET Company Participants Duncan Bates - President & CEO Max Africk - General Counsel Conference Call Participants Alex Rygiel - B. Riley Mark Smith - Lake Street Leanne Hayden - EF Hutton Duncan Bates Good morning. This is Duncan Bates. Operator Yes. You go ahead, sir. Duncan Bates We're get to go. Operator Yes. We're get to go. Duncan Bates All right. Good morning. This is Duncan Bates, Legacy's President and CEO ...

Legacy Housing Corporation (NASDAQ:LEGH) Q4 2022 Earnings Conference Call March 16, 2023 11:00 AM ET Company Participants Duncan Bates - President and Chief Executive Officer Max Africk - General Counsel Conference Call Participants Min Cho - B. Riley Mark Smith - Lake Street Capital Tim Moore - E.F. Hutton Group Brian Glenn - Olcott Partners Operator Good day, ladies and gentlemen. Thank you for standing by. Welcome to the Legacy Housing Corporation Fourth Quarter 2020 Earnings Conference Call. At this tim ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ⌧ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ◻ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to ________ Commission file number 001-38761 Legacy Housing Corporation (Exact Name of Registrant as Specified in its Charter) Texas 20 ...

Financial Data and Key Metrics Changes - Net revenue increased to $57.3 million in Q3 2022, a 1.5% improvement over Q3 2021, driven by price increases despite a decrease in shipments from the Georgia facility [6] - Interest revenue from retail and commercial loan portfolios was $7 million, slightly down from Q3 2021 due to large payoffs in the commercial loan portfolio [7] - Income from operations rose to $16.9 million, a 10% increase from Q3 2021, primarily due to price increases and lower cost of sales [7] - Net income for the quarter was $14.7 million, a 13.4% increase over Q3 2021, with basic earnings per share growing to $0.60, an 11.1% increase [9] - The company ended the quarter with a net cash position of $11.3 million and no drawings on its line of credit [10] Business Line Data and Key Metrics Changes - The Georgia facility experienced a significant slowdown in production due to quality challenges, with shipments in August and September at approximately 10% of normal levels [20] - Production in Georgia decreased by about 40%, while production in Texas increased slightly [21] - The backlog in Georgia is solid, with approximately 800 units, indicating a strong order flow despite recent production issues [22] Market Data and Key Metrics Changes - Labor costs have risen to approximately $9 per square foot, up from $4 pre-COVID, indicating inflationary pressures in the labor market [23] - The company has seen an increase in applicants for positions, suggesting a potential easing of labor shortages as the housing market slows [23] Company Strategy and Development Direction - The company plans to maintain pricing while reducing raw material inventory to capitalize on lower material costs in the coming quarters [8] - Management aims to focus on improving operational efficiencies, including inventory management and reducing SG&A expenses [12] - The company is exploring new product lines and geographic opportunities to drive growth, particularly in land development and temporary classroom products [30] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about 2023, citing a strong backlog and the potential for growth despite current economic challenges [12] - The company believes that the slowdown in the broader housing market may create opportunities to acquire assets at attractive prices [51] - Management noted that the integrated business model with multiple recurring earnings streams will provide resilience in a slowing economy [10] Other Important Information - The company implemented a $10 million stock repurchase program as part of its capital allocation strategy [9] - Management highlighted the importance of in-house financing in maintaining competitive pricing and customer loyalty [39] Q&A Session Summary Question: What happened in Georgia? - The slowdown was due to quality challenges and increased regulatory scrutiny, leading to a significant decrease in production and shipments [20] Question: How is the labor situation currently? - Labor costs have increased, but there has been a rise in applicants, indicating potential improvements in labor availability [23] Question: Can you discuss the loan portfolio and pricing strategy? - The company has not raised rates despite market pressures, maintaining competitive pricing for customers [25] Question: What are the capital allocation plans moving forward? - The company is focused on organic growth and exploring new opportunities while weighing stock repurchases against other capital uses [30] Question: How does the macro environment impact the company? - The company anticipates continued challenges in the site-built housing market but remains optimistic about the manufactured home sector [51]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-38761 Legacy Housing Corporation (Exact name of registrant as specified in its charter) Texas 20-2897516 (State or ot ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-38761 Legacy Housing Corporation (Exact name of registrant as specified in its charter) Texas 20-2897516 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR (State or other j ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-38761 Legacy Housing Corporation (Exact name of registrant as specified in its charter) Texas 20-2897516 (State or other ...