Champion's average selling price increased 11 percent to $49,700 as the Company continues to achieve a more favorable product mix and price forhigher raw material and transportation costs.
The Company's California-based retail segment grew revenues 9 percentto $27.3 million compared to $25.1 million for the first quarter of 2005.
Retail segment income improved 19 percent to $1.5 million for the
quarter.Cash flow from continuing operations increased sharply to $27.0million for the first quarter of 2006 compared to a use of $5.1 millionlast year. Approximately $17 million of the $32.1 million increase was theresult of FEMA settlements in the quarter. Cash and cash equivalents stoodat approximately $132.1 million at quarter end.
Other Highlights
On March 31, 2006, Champion modular homes acquired Minnesota-based HighlandManufacturing Company, LLC, a leading regional manufacturer of manufacturedand modular homes with a significant presence in the north central UnitedStates. The debt-free transaction was valued at $23 million in cash.
Champion modular homes completed the purchase of United Kingdom-based Calsafe Group
Champion Modular Home Enterprises, Inc. a leader in factory-built construction,today announced results for its first quarter ended April 1, 2006.
Revenuesfor the quarter increased 42 percent to $346.5 million compared to $244.3million for the first quarter of 2005. Net income for the quarter improvedto $13.6 million, or $0.18 per diluted share, compared to net income of$2.7 million, or $0.03 per diluted share
Manufacturing net sales increased 39 percent to $331.7 million from
$238.7 million in the first quarter of 2005.
Net sales were favorably
affected by the delivery of the last 627 homes, representing $23.0 million
of revenue, to the Federal Emergency Management Agency (FEMA). Excluding
these sales, manufacturing net sales improved 29 percent for the quarter.
Manufacturing segment income for the quarter rose 131 percent to
$25.9 million from $11.2 million in the first quarter of 2005.
