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Nobility Homes Reports Third-Quarter 2026 Results as Nine-Month Sales Decline

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Nobility Homes, Inc. (OTCQX:NOBH) reported third-quarter 2026 sales of $12.1 million, compared with $12.0 million in the same quarter of 2025. The results covered the period ended August 1, 2026, and included quarterly net income after taxes of $1.9 million.

#Third-quarter financial results

Income from operations was $2.1 million for the quarter, compared with $2.2 million a year earlier. Net income after taxes increased from $1.8 million to $1.9 million.

Earnings per share were $0.60 per share, compared with $0.56 per share in the third quarter of 2025.

#Nine-month performance

For the first nine months of fiscal 2026, Nobility Homes recorded sales of $35.1 million, down from $39.0 million in the comparable period of 2025.

Income from operations was $6.0 million, compared with $7.2 million in the prior-year period. Net income after taxes was $5.3 million versus $6.1 million. Earnings per share were $1.66 per share, compared with $1.87 per share last year, or diluted $1.86 per share.

#Sales mix and market pressures

President Terry Trexler said the nine-month sales decline reflected fewer new retail homes sold through company-owned retail sales centers. Those centers sold 137 homes, compared with 195 homes in the same period of 2025.

Sales to independent dealers partly offset the decline, with 184 homes sold compared with 129 homes previously. The company said dealer sales carry lower margins.

Trexler also said potential customers were delaying or deferring purchases, or selecting lower-cost homes, amid higher interest rates and economic uncertainty. The company identified these conditions as continuing to weigh on sales.

#Manufacturing and supply-chain challenges

Nobility Homes reported delays in receiving certain key production materials, supplier back orders, price increases, tariffs and labor shortages. The company said these issues were delaying the completion of homes at its manufacturing facility.

The company also reported inflation in several building products, which increased material costs. Management expects these challenges to continue throughout fiscal years 2026 and into 2027.

#Financial position

At the end of the third quarter, cash and cash equivalents, certificates of deposit and short-term investments totaled $25.8 million. Nobility Homes reported no outstanding debt.

Working capital was $44.4 million, while the ratio of current assets to current liabilities was 7.4:1. Stockholders’ equity was $58.4 million, and book value per share of common stock was $18.52.

The company said its financial position remains strong. It also stated that, according to the Florida Manufactured Housing Association, shipments for Florida’s manufacturing housing industry from November 2025 through July 2026 increased by approximately 6% from the same period a year earlier.

#Company and risk disclosures

Nobility Homes said it marked 59 years in business on June 5, 2026. The company specialises in the design and production of manufactured and modular homes, operates multiple retail sales centers in Florida and has an insurance agency subsidiary.

The company cautioned that certain statements are unaudited or forward-looking. It identified risks including competitive pricing pressure, inflation, tariffs, higher material costs, supply interruptions, changes in demand, higher interest rates, financing availability, consumer confidence, adverse weather, possible manufacturing plant shutdowns, labor and material shortages, rising labor and fuel costs, insurance risks, reliance on the Florida economy, market demographics, staffing challenges, global tensions, terrorist attacks, pandemics and armed conflict involving the United States.

#Key Takeaways

  • Third-quarter 2026 sales were $12.1 million, compared with $12.0 million in the same period of 2025.
  • Quarterly net income after taxes was $1.9 million, while earnings per share were $0.60 per share.
  • Nine-month sales fell to $35.1 million from $39.0 million, with lower operating income and net income.
  • The company reported $25.8 million in cash, cash equivalents, certificates of deposit and short-term investments, with no outstanding debt.
  • Management expects supply, labor, cost and demand-related challenges to continue throughout fiscal years 2026 and into 2027.

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Frequently Asked Questions

Nobility Homes, Inc. (OTCQX:NOBH) reported sales of $12.1 million for the third quarter of 2026, compared with $12.0 million in the third quarter of 2025. Income from operations was $2.1 million versus $2.2 million, while net income after taxes was $1.9 million compared with $1.8 million. Earnings per share were $0.60 per share, compared with $0.56 per share last year.
For the first nine months of fiscal 2026, sales were $35.1 million compared with $39.0 million for the nine months of 2025. Income from operations was $6.0 million versus $7.2 million, and net income after taxes was $5.3 million versus last year's results of $6.1 million. Earnings per share were $1.66 per share compared with $1.87 per share last year, or diluted $1.86 per share.
Terry Trexler, President, said total net sales decreased during the first nine months of 2026 because fewer new retail homes were sold through company-owned retail sales centres: 137 homes versus 195 homes. This was partially offset by more homes sold to independent dealers: 184 homes versus 129 homes; the company said those sales have lower margins. Management also said potential customers were delaying or deferring purchasing decisions, or choosing lower-cost homes, amid higher interest rates and economic uncertainty.
The company reported delays in receiving certain key production materials from suppliers, back orders, price increases, tariffs and labour shortages, which it said were delaying completion of homes at its manufacturing facility. It also reported inflation in several building products, resulting in increased material costs. Management expects these challenges to continue throughout fiscal years 2026 and into 2027.
The company reported cash and cash equivalents, certificates of deposit and short-term investments of $25.8 million, with no outstanding debt. It reported working capital of $44.4 million, a ratio of current assets to current liabilities of 7.4:1, stockholders' equity of $58.4 million and book value per share of common stock of $18.52.
The company said that, according to the Florida Manufactured Housing Association, shipments for the manufacturing housing industry in Florida from November 2025 through July 2026 increased by approximately 6% from the same period last year. The source does not provide further detail on how this figure affected Nobility's results.
The company said actual results may differ materially from expectations because of risks and uncertainties including competitive pricing pressures, inflation, tariffs, increasing material costs or material availability, supply chain interruptions, changes in market demand, higher interest rates, financing availability, consumer confidence, adverse weather, potential manufacturing plant shutdowns, labour and materials shortages, increasing labour costs, the cyclical nature of the manufactured housing industry, rising fuel costs, insurance-related risks, reliance on the Florida economy, market demographics, management's ability to attract and retain key personnel, global tensions, terrorist attacks, pandemics, armed conflict involving the United States and inflation.