A Brief History of Legacy Housing Corporation (LEGH)
Foundation and Early Years
Legacy Housing Corporation was founded in 2005, focusing on manufacturing and selling manufactured homes across the United States. The company quickly became known for its affordable housing solutions, catering primarily to the entry-level home market.
IPO and Market Position
Legacy Housing went public with its Initial Public Offering (IPO) on November 10, 2018, under the ticker symbol LEGH. The IPO raised approximately $35 million at $12 per share, allowing the company to expand operations significantly.
Financial Performance
In the fiscal year 2022, Legacy Housing reported revenues of approximately $157.2 million, showing a growth rate of 20% compared to the previous year. The net income for the same period was about $12.4 million, marking an increase from $9.5 million in 2021.
| Year | Revenue (in millions) | Net Income (in millions) | Growth Rate (%) |
|---|---|---|---|
| 2019 | $65.3 | $5.1 | N/A |
| 2020 | $95.9 | $7.8 | 46% |
| 2021 | $131.0 | $9.5 | 37% |
| 2022 | $157.2 | $12.4 | 20% |
Market Expansion
Legacy Housing expanded its market presence significantly in Texas, currently operating around 13 production facilities and over 1,000 retail locations across the United States. In 2021, the company announced its intention to enter the growing market of sustainable housing, aiming to build energy-efficient homes.
Stock Performance and Valuation
As of October 2023, Legacy Housing's stock price is approximately $19.50, reflecting a growth of about 62.5% since its IPO. The company has a market capitalization of around $450 million.
| Date | Stock Price ($) | Market Capitalization ($ millions) |
|---|---|---|
| Nov 2018 | $12.00 | $210 |
| Oct 2021 | $12.00 | $210 |
| Oct 2022 | $12.00 | $210 |
| Oct 2023 | $19.50 | $450 |
Corporate Social Responsibility
Legacy Housing is actively engaged in corporate social responsibility efforts, focusing on affordable housing development and community support. In 2022, the company allocated about $1.5 million towards community initiatives and housing programs.
Future Outlook
Looking ahead, Legacy Housing plans to increase its production capacity by 25% over the next five years and enhance its product offerings with a focus on sustainability. The company aims to establish a foothold in markets outside Texas, particularly in the southeastern United States.
A Who Owns Legacy Housing Corporation (LEGH)
Company Overview
Company Overview
Legacy Housing Corporation (LEGH) is a manufacturer of manufactured homes based in Texas. As of the latest financial reports, LEGH operates in the affordable housing sector and has been publicly traded since its IPO on December 19, 2018.
Ownership Structure
Legacy Housing Corporation has a diversified ownership structure consisting of institutional and retail shareholders. As of the latest data available, the following categories represent the ownership breakdown:
| Ownership Type | Percentage Owned |
|---|---|
| Insider Ownership | 20.5% |
| Institutional Ownership | 55.3% |
| Retail Ownership | 24.2% |
Major Shareholders
The following table details the major shareholders of Legacy Housing Corporation along with their respective ownership percentages:
| Shareholder | Ownership Percentage |
|---|---|
| Founders and Executives | 10.5% |
| BlackRock, Inc. | 7.2% |
| The Vanguard Group, Inc. | 6.8% |
| Dimensional Fund Advisors LP | 5.4% |
| State Street Corporation | 4.6% |
Recent Financial Performance
In the most recent fiscal year, Legacy Housing Corporation reported the following financial figures:
- Revenue: $236.4 million
- Net Income: $20.1 million
- Total Assets: $142.5 million
- Market Capitalization: $1.57 billion
Stock Performance
As of the latest available data, Legacy Housing Corporation's stock performance metrics are as follows:
- Current Share Price: $18.50
- 52-Week High: $24.00
- 52-Week Low: $14.50
- Dividend Yield: 1.5%
Future Outlook and Trends
Market analysts project growth for Legacy Housing Corporation driven by increasing demand for affordable housing.
- Projected Revenue Growth: 10% annually over the next 5 years
- Market Expansion: Entering new states and increasing manufacturing capabilities
Legacy Housing Corporation (LEGH) Mission Statement
Company Overview
Legacy Housing Corporation (LEGH) is a leading manufacturer of manufactured homes in the United States. The company is committed to delivering high-quality housing solutions to meet the diverse needs of consumers.
Mission Statement
The mission of Legacy Housing Corporation is to provide affordable, innovative, and durable housing options that enhance the quality of life for families and individuals. This mission is underpinned by strong corporate values and a commitment to sustainability.
Core Values
- Quality: Delivery of superior products through rigorous quality control.
- Affordability: Maintaining competitive pricing to improve accessibility for customers.
- Innovation: Continuous product development to meet changing market demands.
- Sustainability: Commitment to environmentally friendly practices and materials.
- Community: Engaging with and supporting the communities in which they operate.
Financial Performance
As of Q2 2023, Legacy Housing Corporation reported revenue of approximately $82.5 million, reflecting a year-over-year increase of 11%.
| Financial Metric | Q2 2023 | Q2 2022 |
|---|---|---|
| Revenue | $82.5 million | $74.3 million |
| Net Income | $10.8 million | $9.5 million |
| Gross Margin | 20.5% | 19.8% |
| Total Assets | $150 million | $140 million |
| Stock Price (as of Oct 2023) | $12.75 | N/A |
Market Position
Legacy Housing is recognized as one of the top producers in the manufactured housing sector, holding approximately 8.2% of the market share in 2023. The company operates across various states, with Texas accounting for the largest percentage of sales, approximately 45%.
Customer Focus
- Target Market: Families, retirees, and first-time home buyers.
- Bilingual Support: Customer service available in both English and Spanish.
- Customized Housing Solutions: Options available for customization to meet individual needs.
Sustainability Initiatives
Legacy Housing Corporation has invested significantly in sustainability efforts. In 2023, the company allocated $2 million towards the development of energy-efficient homes and the use of sustainable materials.
| Sustainability Initiative | Investment (2023) | Expected Impact |
|---|---|---|
| Energy-efficient Home Development | $1.2 million | Reduction in energy costs for homeowners by up to 30% |
| Sustainable Material Usage | $800,000 | Decrease in carbon footprint by 15% |
Community Engagement
Legacy Housing is actively involved in community support initiatives, contributing over $500,000 to local charities and community development projects in 2022.
Conclusion
Legacy Housing Corporation continues to uphold its mission of providing quality housing solutions while being mindful of its financial health, environmental impact, and community engagement.
How Legacy Housing Corporation (LEGH) Works
Business Model
Legacy Housing Corporation (LEGH) primarily operates in the manufactured housing industry. The company designs, constructs, and sells manufactured homes. As of 2022, Legacy reported revenues of approximately $98.3 million, with a net income of about $11.2 million.
Products and Services
- Manufactured Homes
- Modular Homes
- Park Model RVs
- Financing Options
Market Segmentation
Legacy targets various market segments, including:
- First-time homebuyers
- Retirees
- Vacation home buyers
- Affordable housing developers
Selling and Distribution Channels
The company's homes are distributed through:
- Dealerships
- Company-owned retail locations
- Direct sales
| Year | Revenue ($ millions) | Net Income ($ millions) | Gross Margin (%) | Operating Expenses ($ millions) |
|---|---|---|---|---|
| 2019 | 73.8 | 8.2 | 26.5 | 14.0 |
| 2020 | 84.5 | 9.6 | 25.8 | 12.2 |
| 2021 | 91.2 | 10.3 | 27.0 | 13.0 |
| 2022 | 98.3 | 11.2 | 27.5 | 14.5 |
Financial Performance
As of the latest fiscal year, Legacy Housing has demonstrated consistent growth in both revenue and net income. The company's gross margin was approximately 27.5%.
Operational Efficiency
Legacy maintains operational efficiency through:
- Streamlined manufacturing processes
- Cost controls
- Investment in technology
Customer Satisfaction
The company has focused on achieving high levels of customer satisfaction, illustrated by:
- Positive reviews from over 85% of customers
- Warranty claims below 2%
Market Trends
The manufactured housing market has been growing, with a projected annual growth rate of 4.6% from 2021 to 2028.
Challenges and Risks
Legacy faces challenges such as:
- Economic downturns impacting consumer purchasing power
- Regulatory changes
- Supply chain disruptions
Competitive Landscape
Legacy operates in a competitive landscape with key players including:
- Clayton Homes
- Champion Home Builders
- Skyline Champion Corporation
| Competitor | Market Share (%) | Revenue ($ millions) |
|---|---|---|
| Legacy Housing | 5.3 | 98.3 |
| Clayton Homes | 22.7 | 900.0 |
| Champion Home Builders | 15.0 | 600.0 |
| Skyline Champion Corporation | 10.0 | 310.0 |
Future Outlook
Analysts project Legacy Housing's revenue growth to continue, with estimates of reaching $120 million by 2025, contingent upon market conditions and operational expansions.
How Legacy Housing Corporation (LEGH) Makes Money
Manufacturing and Selling Manufactured Homes
Legacy Housing Corporation primarily generates revenue through the manufacturing and sale of manufactured homes. In 2022, the company reported a revenue of approximately $218.5 million from home sales.
Financial Services
The company provides financing solutions for its customers, which adds a significant revenue stream. As of the latest reports, Legacy Housing has generated about $5 million from interest and fees associated with its financing services.
Retail Sales and Distribution
Legacy Housing operates through a network of independent retail centers and company-owned sales centers. In fiscal year 2022, retail sales accounted for approximately $45.3 million of total revenue.
Cost Structure
The cost of goods sold (COGS) includes expenses related to materials and labor for home manufacturing. In 2022, COGS was reported as $171.2 million, indicating a gross margin of approximately 21.6%.
Market Dynamics
The manufactured housing market grew by approximately 8.5% from 2021 to 2022, driven by a growing demand for affordable housing options amid rising real estate prices.
Financial Performance Metrics
| Metric | Value |
|---|---|
| Total Revenue (2022) | $218.5 million |
| Cost of Goods Sold (COGS) | $171.2 million |
| Gross Margin | 21.6% |
| Financing Revenue | $5 million |
| Retail Sales Revenue | $45.3 million |
| Market Growth Rate (2021-2022) | 8.5% |
Key Customer Segments
- First-time homebuyers
- Retirees seeking affordable living solutions
- Investors in rental properties
Distribution Networks
Legacy Housing distributes its products through a comprehensive network, including:
- Independent retailers
- Company-owned sales centers
- Direct-to-consumer sales
Regulatory Environment
The manufactured housing industry is subject to various regulations and standards, which affect operations and costs. Compliance impacts approximately 5-10% of total operating expenses for manufacturers in the industry.
Strategic Initiatives
Legacy Housing has implemented several strategic initiatives to enhance profitability:
- Expansion into new markets
- Investing in production efficiency
- Enhancing customer financing options
Future Outlook
The company anticipates continued growth in its primary markets, projecting an annual revenue increase of about 10% for the next fiscal year based on current market trends and consumer demand.
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