Skyline Corporation (NYSE: SKY) reported Q3 EPS of $0.32, $0.01 better than the analyst estimate of $0.31. Revenue for the quarter came in at $342.2 million versus the consensus estimate of $358.36 million.

Third Quarter Fiscal 2020 Highlights (compared to Third Quarter Fiscal 2019)

• Net sales decreased 3.5% to $342.2 million
• U.S. factory-built homes sold increased 0.3% to 5,033
• Gross profit as a percent of sales expanded by 180 basis points to 20.1%
• Net income increased 62.0% to $17.0 million
• Earnings per share (“EPS”) of $0.30, an increase of 57.9% compared to EPS of $0.19
• Excluding non-recurring expenses, Adjusted EPS was $0.32, an increase of 18.5% compared to $0.27
• Adjusted EBITDA increased 12.6% to $29.7 million
• Adjusted EBITDA margin expanded by 130 basis points to 8.7%
• Generated net cash from operating activities of $20.9 million and paid down $5.0 million of revolving debt facility

“I am very pleased with our ability to improve profitability across several key metrics while generating solid cash flow during the third quarter,” said Mark Yost, Skyline Champion’s Chief Executive Officer. “We achieved these gains in a quarter in which our topline was lower as a result of our Canadian and Trucking operations as well as U.S. product mix changes.”

“As we look forward, we continue to have a positive view about the underlying health of the market and demand for our product offerings. We are particularly excited about the favorable response to our homes at the Louisville Manufactured Housing Show and to our Genesis® brand of homes and accessory dwelling units (ADUs) which debuted at the NAHB International Builders’ Show in Las Vegas. We believe that these products offer a cost effective and attractive solution for housing needs across the country.”

For earnings history and earnings-related data on Skyline Corporation (SKY) click here.