Skyline Champion Q3 Net Sales Down 18.3% to $443.5M; EPS $0.63

TL;DR

**Skyline Champion's Q3 earnings and sales dropped significantly, signaling a tough market.**

AI Summary

Skyline Champion Corp. filed an 8-K on February 5, 2024, to announce its financial results for the third quarter of fiscal year 2024, which ended on December 30, 2023. The company reported net sales of $443.5 million, a decrease from $543.1 million in the prior year's quarter, and net income of $35.6 million, or $0.63 per diluted share, down from $67.6 million, or $1.18 per diluted share. This matters to investors because the significant decline in sales and profitability indicates a challenging market environment for manufactured housing, potentially impacting future stock performance.

Why It Matters

This filing provides crucial insight into Skyline Champion's recent financial performance, showing a notable decline in sales and earnings, which could signal headwinds for the manufactured housing industry and impact investor sentiment.

Risk Assessment

Risk Level: medium — The substantial decline in both net sales and net income indicates operational challenges and potential market contraction, posing a medium risk to investors.

Analyst Insight

A smart investor would carefully review the full financial statements to understand the drivers behind the decline in sales and net income, and consider if the current stock price adequately reflects these challenges before making any investment decisions.

Key Numbers

• $443.5 million — Net Sales for Q3 FY2024 (Represents a significant decrease from the prior year's quarter, indicating reduced revenue.)
• $543.1 million — Net Sales for Q3 FY2023 (The comparable net sales from the prior year, highlighting the year-over-year decline.)
• $35.6 million — Net Income for Q3 FY2024 (Shows a substantial drop in profitability compared to the previous year.)
• $67.6 million — Net Income for Q3 FY2023 (The net income from the prior year's quarter, emphasizing the decline in earnings.)
• $0.63 — Diluted Earnings Per Share for Q3 FY2024 (Indicates a lower per-share profitability for shareholders.)
• $1.18 — Diluted Earnings Per Share for Q3 FY2023 (The diluted EPS from the prior year, showing a significant decrease.)

Key Players & Entities

• Skyline Champion Corp. (company) — the registrant filing the 8-K
• The New York Stock Exchange (company) — where Skyline Champion's Common Stock (SKY) is registered
• Indiana (company) — State of Incorporation for Skyline Champion Corp.

Forward-Looking Statements

• Skyline Champion Corp. will likely face continued pressure on sales and earnings in the next quarter due to ongoing market challenges. (Skyline Champion Corp.) — medium confidence, target: Q4 FY2024
• The stock price of SKY may experience volatility as investors react to the significant decline in Q3 financial results. (SKY) — medium confidence, target: next 3 months

FAQ

Filing Documents

• sky-20240205.htm (8-K) — 36KB
• sky-ex99_1.htm (EX-99.1) — 385KB
• img82385316_0.jpg (GRAPHIC) — 38KB
• 0000950170-24-011238.txt ( ) — 601KB
• sky-20240205.xsd (EX-101.SCH) — 23KB
• sky-20240205_htm.xml (XML) — 4KB

02 Results of Operations and Financial Condition

Item 2.02 Results of Operations and Financial Condition. On February 5, 2024, Skyline Champion Corporation issued a press release relating to its results of operations and financial condition for the quarter ended September 30, 2023. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K. The attached press release contains both U.S. Generally Accepted Accounting Principles ("GAAP") and non-GAAP financial measures. Reconciliations between non-GAAP and GAAP financial measures are included in the attached press release. Skyline Champion Corporation's management utilizes non-GAAP financial information to provide a useful measure of comparative operating performance of Skyline Champion Corporation. The non-GAAP financial measures are supplemental to, and not a substitute for, measures of financial performance prepared in accordance with GAAP. The press release, and the information set forth therein, is being furnished pursuant to Item 2.02 of this Current Report and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that Section. Nor shall such document be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in the filing unless specifically stated so therein.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. 99.1 Press Release issued by Skyline Champion Corporation on February 5, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Skyline Champion Corporation Date: February 5, 2024 By: /s/ Robert Spence Robert Spence Senior Vice President, General Counsel and Secretary

View Full Filing

View this 8-K filing on SEC EDGAR