Legacy Housing Corp (LEGH) 2023 Q4 法說會逐字稿

Good day, and thank you for standing by, welcome to the Legacy Housing Corporation Q4 2023 earnings call. (Operator Instructions) Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Duncan Bates, President and CEO. Please go ahead.

美好的一天，感謝您的耐心等待，歡迎參加 Legacy Housing Corporation 2023 年第四季財報電話會議。（操作員指示）請注意，今天的會議正在錄製中。現在我想將會議交給今天的發言人、總裁兼執行長鄧肯貝茨 (Duncan Bates)。請繼續。

Good morning. This is Duncan Bates, Legacy's President and CEO. Thank you for joining our call to discuss Legacy's year end 2023 results. I apologize for the release late Friday, circumstances outside of our control delayed the release, and we will tried to avoid Friday releases in the future. Max Africk, Legacy's General Counsel, who will read the Safe Harbor disclosure before getting started. Max?

早安.我是鄧肯貝茨 (Duncan Bates)，Legacy 的總裁兼執行長。感謝您參加我們的電話會議，討論 Legacy 2023 年底的表現。對於週五晚間的發布，我深表歉意，由於我們無法控制的情況延遲了發布，我們今後將盡力避免週五發布。Legacy 總法律顧問 Max Africk 在開始之前將閱讀安全港揭露資訊。最大限度？

Thanks, Duncan. Management's prepared remarks today will contain forward-looking statements, which are subject to risks and uncertainties, and management may make additional forward-looking statements in response to your question.

謝謝，鄧肯。管理層今天準備的演講將包含前瞻性陳述，這些陳述存在風險和不確定性，管理層可能會針對您的問題做出額外的前瞻性陳述。

Therefore, the company claims the protection of the Safe Harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act, 1995. Actual results may differ from management's current expectations, and therefore, we refer you to more detailed discussion of the risks and uncertainties in the company's annual report filed with the Securities and Exchange Commission.

因此，該公司要求 1995 年《私人證券訴訟改革法案》中包含的前瞻性聲明受到安全港的保護。實際結果可能與管理層目前的預期有所不同，因此，我們建議您參閱本公司向美國證券交易委員會提交的年度報告中有關風險和不確定性的更詳細討論。

In addition, any projections as the company's future performance represent management's estimate as of today's call, Legacy assumes no obligation to update these projections in the future unless otherwise required by law.

此外，公司未來業績的任何預測均代表管理層截至今天電話會議的估計，Legacy 不承擔未來更新這些預測的義務，除非法律另有要求。

Thanks, Max. I am joined today by Jeff Fiedelman, Legacy's Chief Financial Officer. Jeff will discuss our 2023 financial performance. Then I will provide additional corporate updates and open the call for Q&A. Jeff?

謝謝，馬克斯。今天，Legacy 財務長 Jeff Fiedelman 也加入了我的行列。Jeff 將討論我們 2023 年的財務表現。然後我將提供更多公司最新動態並開啟問答環節。傑夫？

Thanks, Duncan. Product sales decreased to $145.1 million or 34.7% in 2023 as compared to 2022. This decrease was driven by a decrease in unit volumes and the conversion of certain independent dealer consignment arrangement to inventory finance arrangements in 2022 that did not occur in 2023.

謝謝，鄧肯。與 2022 年相比，2023 年產品銷售額下降至 1.451 億美元，下降 34.7%。這一下降是由於單位數量的減少以及某些獨立經銷商寄售安排在 2022 年轉換為庫存融資安排（2023 年沒有發生）所致。

The conversion of consignment arrangements to inventory financing arrangements resulted in an increase to product sales of approximately $29.1 million during 2023. Between December 31, 2023 and December 31, 2022, our net revenue per unit sold decreased 10.4% to $59,600. Dealer and community customers purchased smaller, less option homes to meet customer demand in 2023.

寄售安排轉換為庫存融資安排導致 2023 年產品銷售額增加約 2,910 萬美元。2023年12月31日至2022年12月31日期間，我們的每件銷售淨收入下降了10.4%，至59,600美元。經銷商和社區客戶購買規模較小、選擇較少的房屋，以滿足 2023 年的客戶需求。

The decrease was not driven by price concessions during the year. Consumer MHP and dealer loans interest income increased to $37.4 million or 31% from 2023 to 2022. This increase was driven by increased balances in the MHP and consumer loan portfolio. Between December 31, 2023 and December 31, 2022, our consumer portfolio -- our consumer loan portfolio increased by $17.5 million, and our MHP loan portfolio increased by $39.2 million.

這一下降並非由於年內價格優惠所致。2023 年至 2022 年，消費者 MHP 和經銷商貸款利息收入增至 3,740 萬美元，成長 31%。這一增長是由 MHP 和消費貸款組合餘額增加所推動的。2023年12月31日至2022年12月31日期間，我們的消費者投資組合－我們的消費者貸款組合增加了1,750萬美元，我們的MHP貸款組合增加了3,920萬美元。

These increases are net of principal payments and loan loss reserves. Other revenue primarily consists of contract deposit forfeitures, dealer finance fees and commercial lease rents, an increase to $6.6 million or 3.5%. The increase was driven by growth in forfeited deposits and servicer fee revenue, offset by a decrease in consignment fees as dealers carry less inventory in 2023. The cost of product sales decreased $50.4 million or 33.6% in 2023 as compared to 2022.

這些增長扣除本金支付和貸款損失準備金。其他收入主要包括沒收合約保證金、經銷商融資費和商業租賃租金，增加至 660 萬美元，即 3.5%。這一增長是由沒收押金和服務費收入的增長推動的，但由於經銷商 2023 年庫存減少而導致寄售費下降，從而抵消了這一增長。與 2022 年相比，2023 年產品銷售成本減少了 5,040 萬美元，即 33.6%。

The decrease in costs is primarily related to a decrease in units sold. Product gross margin was 31.3% for the year ended December 31, 2023. Selling, general and administrative expenses decreased $3.3 million or 11.9% in 2023 as compared to 2022. This decrease was primarily due to a decrease in salaries and benefits costs, warranty costs, consulting and professional fees, partially offset by an increase in low loss provision, legal expenses and marketing and advertising expenses.

成本下降主要與銷售下降有關。截至2023年12月31日止年度，產品毛利率為31.3%。與 2022 年相比，2023 年銷售、一般及管理費用減少 330 萬美元，即 11.9%。這一減少主要是由於工資和福利成本、保固成本、諮詢和專業費用的減少，部分被低損失撥備、法律費用以及行銷和廣告費用的增加所抵消。

Net income decreased 19.6% to $54.5 million between December 31, 2023 and December 31, 2022. At December 31, 2023 we had approximately $0.7 million in cash and cash equivalents compared to $2.8 million as of December 31, 2022. Legacy's outstanding balance on our credit facility at December 31, 2023 was $23.7 million.

2023年12月31日至2022年12月31日期間，淨利下降19.6%至5,450萬美元。截至 2023 年 12 月 31 日，我們擁有約 70 萬美元的現金和現金等價物，而截至 2022 年 12 月 31 日，我們擁有 280 萬美元。截至 2023 年 12 月 31 日，Legacy 信貸額度的未償餘額為 2,370 萬美元。

During the fourth quarter, we drew on our facility to make significant investments in our land developments and to fund multiple financing opportunities that surfaced near year end. The balance on our credit facility is below $11 million today. Legacy delivered a 13.0% return on shareholders' equity over the last 12 months. At December 31, 2023, Legacy's book value per basic share outstanding was $17.91, an increase of 14.2% from the same period in 2022.

在第四季度，我們利用我們的融資對土地開發進行了大量投資，並為年底出現的多項融資機會提供了資金。目前我們的信貸額度餘額低於 1100 萬美元。Legacy 在過去 12 個月內實現了 13.0% 的股東權益回報率。截至2023年12月31日，Legacy的每股已發行基本股帳面價值為17.91美元，較2022年同期成長14.2%。

Thanks, Jeff. I appreciate you and your team's hard work on the audit and the 10-K filing. Let's start with Legacy's financial performance. Then I will discuss the market and give other corporate updates. First, I would like to address a few onetime items that impacted our numbers for the reported period. In 2022, we converted Legacy's dealer financing program from consignment arrangements to inventory financing arrangements.

謝謝，傑夫。我感謝您和您的團隊在審計和 10-K 歸檔方面的辛勤工作。讓我們從Legacy 的財務表現開始。然後我將討論市場並提供其他公司的最新情況。首先，我想談談一些影響我們報告期間數據的一次性項目。2022年，我們將Legacy的經銷商融資計畫從寄售安排轉變為庫存融資安排。

The goal of this conversion was to move our dealers to an industry standard inventory finance program. The conversion resulted in a one-time increase in product sales of $29.1 million in 2022. Approximately $20 million of the $29 million was recognized in the fourth quarter of 2022. Please keep this in mind as you evaluate the quarter and year end performance. In 2023, the energy tax credit program changed and Legacy adjusted accordingly.

此次轉換的目標是讓我們的經銷商採用業界標準的庫存融資計畫。這一轉變導致 2022 年產品銷售額一次性增加 2,910 萬美元。2,900 萬美元中約 2,000 萬美元於 2022 年第四季確認。在評估季度和年終業績時請記住這一點。2023年，能源稅收抵免計畫發生變化，Legacy也相應調整。

In 2023, we started building nearly all of our HUD code units to ENERGY STAR standards, a voluntary program that will serve our cut -- that will save our customers money. For the year ended December 31, 2023, Legacy could only claim tax credits for homes built and sold in 2023, lowering the tax credits recognized during the year.

2023 年，我們開始按照能源之星標準建造幾乎所有 HUD 代碼單元，這是一項自願計劃，將服務於我們的削減，從而為我們的客戶節省資金。截至 2023 年 12 月 31 日的年度，Legacy 只能對 2023 年建造和銷售的房屋申請稅收抵免，從而降低了當年確認的稅收抵免。

Our effective tax rate jumped from 17.5% in 2022 to 20.8% in 2023. For 2024, we anticipate reducing our effective tax rate back towards 18% as we claim credit for homes built in 2023, but sold in 2024. For the year ended 2023, Legacy implemented CECL, a loan loss accounting framework required by FASB. The standard requires an entity to reflect its current estimate of all expected credit losses.

我們的有效稅率從 2022 年的 17.5% 躍升至 2023 年的 20.8%。到 2024 年，我們預計將有效稅率降低至 18%，因為我們對 2023 年建造、2024 年出售的房屋申請抵免。截至 2023 年，Legacy 實施了 CECL，這是 FASB 要求的貸款損失會計架構。該準則要求主體反映其對所有預期信用損失的當前估計。

The adoption resulted in an increase in portfolio allowances of $900,000 at transition in the first quarter of 2023. The allowance -- the CECL allowances have increased 158% to $2.2 million at December 31, 2023 from $840,000 at December 31, 2022. I'm proud of our team's execution, controlling expenses during a lower demand environment in 2023.

此次採用導致 2023 年第一季過渡時投資組合津貼增加 90 萬美元。津貼－CECL津貼從2022年12月31日的84萬美元增加到2023年12月31日的220萬美元，增加了158%。我為我們團隊的執行力感到自豪，在 2023 年需求較低的環境下控制了開支。

We managed SG&A down 11.9% in overhead expenses effectively and ended 2023 with 29% net income margins for the year with no adjustments. Legacy's board launched our management team laser focused on the bottom line. We have held pricing levels and held production levels as we continue to build a backlog across the manufacturing plants.

我們有效管理銷售、管理及行政費用 (SG&A)，管理費用下降了 11.9%，2023 年結束時，全年淨利潤率為 29%，無需任何調整。Legacy 的董事會讓我們的管理團隊高度重視利潤。隨著我們繼續在製造工廠建立積壓訂單，我們保持了定價水準和生產水準。

Shipments were lower in the fourth quarter than we would have liked. I underestimated seasonality on the dealer side, further delayed shipments from both Texas and Georgia plants to mobile home parks and weather up north delaying shipments of sub-contracted units from our partners.

第四季的出貨量低於我們的預期。我低估了經銷商方面的季節性，進一步推遲了從德克薩斯州和喬治亞州工廠到移動房屋公園的發貨，而北方的天氣也推遲了我們合作夥伴的分包單位的發貨。

These factors all contributed to lower shipments during the fourth quarter. As Jeff mentioned, consumer MHP and dealer loan interest income increased to $37.4 million or 31% from 2022 to 2023. We will continue to deploy capital into our loan portfolios in 2024. The notes are performing well, and we like the stable and recurring revenue. Housing affordability in the US continues to deteriorate. Large numbers of potential homebuyers are priced out of the traditional housing market.

這些因素都導致第四季出貨量下降。正如傑夫所提到的，從 2022 年到 2023 年，消費者 MHP 和經銷商貸款利息收入增加到 3,740 萬美元，成長 31%。2024 年，我們將繼續將資本配置到我們的貸款組合中。這些票據表現良好，我們喜歡穩定的經常性收入。美國的住房負擔能力持續惡化。大量潛在購屋者因價格過高而被擠出傳統房屋市場。

Our products and financing solutions serve the 50% of US households that make less than $75,000 a year. We believe in our industry and continue to see signs of a gradual recovery in 2024 as the economy stabilizes and credit eases.

我們的產品和融資解決方案為 50% 年收入低於 75,000 美元的美國家庭提供服務。我們對我們的行業充滿信心，隨著經濟穩定和信貸寬鬆，我們將繼續看到 2024 年逐步復甦的跡象。

Moving on to the market. The retail or dealer side of our business continues to show signs of life. We just work through the seasonally slower period, but foot traffic is still up from mid 2023 and dealers are selling homes. We believe that most of the destocking issues from early 2023 are behind us. The reorder rates continue to lag, but inventory carrying costs are higher. Two important data points. Right now, interest from new dealers and Legacy's products and financing solutions is high.

繼續走向市場。我們業務的零售或經銷商方面繼續顯示出活力的跡象。我們剛度過了季節性淡季，但客流量仍較 2023 年中期有所上升，經銷商正在出售房屋。我們相信 2023 年初以來的大部分去庫存問題已經過去。再訂購率持續落後，但庫存持有成本更高。兩個重要的數據點。目前，新經銷商和 Legacy 的產品和融資解決方案興趣濃厚。

Legacy has signed up more new dealers this month than any other month since I started. Second, our heritage stores are on track for the best sales month in the last 12 months. On the communities or park side of our business, sales to community owners and developers remained stable, but shipments lag. Like other manufacturers, we have battled delayed shipments due to setup-related issues and discriminatory zoning practices. New manufactured housing developments have been impacted by high interest rates.

Legacy 這個月簽約的新經銷商數量比我入職以來的任何其他月份都要多。其次，我們的傳統商店預計將迎來過去 12 個月來最好的銷售月份。在我們業務的社區或公園方面，對社區業主和開發商的銷售保持穩定，但出貨量卻落後。與其他製造商一樣，我們也曾因與設置相關的問題和歧視性分區做法而導致發貨延遲。新的製造住宅開發受到高利率的影響。

In Q4, we started to see an interesting trend as traditional community developers and investors started taking delivery of small HUD units and tiny homes for RV parks that they have purchased and converted. These smaller units did impact our average selling price in the fourth quarter.

在第四季度，我們開始看到一個有趣的趨勢，傳統社區開發商和投資者開始接收他們購買和改造的小型 HUD 單元和房車公園微型住宅。這些較小的單位確實影響了我們第四季的平均售價。

A quick update on some of the projects I discussed last call. Here's where I'm focused hiring. We continue to build the team at Legacy. I mentioned that we are hiring young hungry talent last quarter. My mandate from the Board now is to also hire senior professionals with industry experience to increase depth in important areas of our business like financing, sales, engineering and manufacturing. We still have some key positions to fill, but I am excited to see the contribution as these individuals get up to speed.

快速更新我上次通話中討論的一些項目。這就是我重點招募的地方。我們將繼續建立 Legacy 的團隊。我提到上個季度我們正在招募年輕的飢餓人才。董事會現在對我的授權是聘請具有行業經驗的高級專業人士，以增加我們業務重要領域（如融資、銷售、工程和製造）的深度。我們仍然有一些關鍵職位需要填補，但我很高興看到這些人在加快步伐時所做的貢獻。

Working capital. Working capital is still a focus. From December 31, 2022 to December 31, 2023, we reduced our raw material inventory by 23%. We still have work to do on finished goods inventory at our Georgia plant. Sales, Kenny and I have been heavily involved in recruiting and training talented sales professionals. We are systematizing our sales process by adding tools and technology, as the newer sales team gets up to speed we are starting to see results. And as the market improves, we are well positioned from a sales standpoint.

營運資金。營運資金仍是焦點。從2022年12月31日到2023年12月31日，我們的原料庫存減少了23%。我們在喬治亞州工廠的成品庫存方面仍有工作要做。銷售方面，肯尼和我一直積極參與招募和培訓有才華的銷售專業人員。我們正在透過添加工具和技術來系統化我們的銷售流程，隨著新的銷售團隊的加快步伐，我們開始看到成果。隨著市場的改善，從銷售的角度來看，我們處於有利地位。

Workforce housing, I continue to believe workforce housing is a big opportunity for Legacy. We hired a team to focus exclusively on this product line during the fourth quarter. The team is quoting and winning small orders. We are managing this area closely and are excited about the opportunities we see.

勞動力住房，我仍然相信勞動力住房對 Legacy 來說是一個巨大的機會。我們在第四季度聘請了一個團隊專門專注於該產品線。團隊正在報價並贏得小訂單。我們正在密切管理這一領域，並對我們看到的機會感到興奮。

Land development, I mentioned during the call that we hired a dedicated team to prioritize and accelerate land development, completing Phase 1 of our Del Val Bastrop County project outside of Austin is our top priority. You will see in our numbers that capital to complete this project is accelerating. We continue to evaluate ways to maximize the value of these projects for our shareholders.

土地開發，我在電話中提到，我們聘請了一個專門的團隊來優先考慮和加速土地開發，完成奧斯汀郊外德爾瓦爾巴斯特羅普縣計畫的第一階段是我們的首要任務。您將在我們的數據中看到完成該項目的資金正在加速成長。我們將繼續評估如何為股東實現這些項目的價值最大化。

Two new areas that I want investors to keep an eye on. As our heritage stores performance improves, we think there's an opportunity to add additional stores. We only sell about 10% of our production through our company-owned stores compared to almost 50% from some of our competitors. Second, we are exploring opportunities to add financing products to better serve our customers. Our senior leadership team has been working with customers to understand their needs and is evaluating if these programs makes sense for our business.

我希望投資者關注兩個新領域。隨著我們傳統商店業績的改善，我們認為有機會增加更多商店。我們僅透過公司自營商店銷售約 10% 的產品，而我們的部分競爭對手則銷售近 50% 的產品。其次，我們正在探索增加融資產品的機會，以更好地服務客戶。我們的高階領導團隊一直在與客戶合作以了解他們的需求，並正在評估這些計劃是否對我們的業務有意義。

One final thought I discuss valuation on our last call. Legacy is a high quality business with strong consistent margins, high insider ownership, low leverage and the ability to redeploy its earnings at high rates of return. We are long term focused and one quarter does not define us. Now that our foundation is stable the right conversations are happening at the Board level about strategic growth projects. Our management team is excited to see what we can do over the next few years.

最後一個想法是我在上次電話會議上討論了估值。Legacy 是一家高品質企業，具有穩定的利潤率、較高的內部持股比例、較低的槓桿率以及以高回報率重新部署收益的能力。我們著眼於長期發展，四分之一並不能定義我們。現在我們的基礎已經穩定，董事會層面正在就策略性成長項目進行正確的對話。我們的管理團隊很高興看到我們在未來幾年可以做些什麼。

Operator, this concludes our prepared remarks. Please begin the Q&A.

接線員，我們準備好的發言到此結束。請開始問答。

Thank you. (Operator Instructions)

謝謝。（操作員說明）

Alex Rygiel, B. Riley Securities.

Alex Rygiel，B. Riley 證券公司。

Good morning, Duncan and Jeff. This is [Min] on for Alex this morning. (multiple speakers) quick questions. So just wondering if you could -- well on your November call you obviously talked about a lot of positive trends that you're seeing retail improvements you had some positive backlog from your October show. Has anything shifted like more positively or maybe, just in a negative direction since then?

早上好，鄧肯和傑夫。這是亞歷克斯今天早上的[敏]。 （多位發言者）快速提問。因此，我想知道您是否可以 - 在您 11 月的電話會議上，您顯然談到了許多積極的趨勢，您看到零售業的改善，您從 10 月份的展會中獲得了一些積極的積壓訂單。從那時起，有什麼事情發生了更積極的變化，或者只是朝著消極的方向變化嗎？

[Min], it's been spotty. We were really excited coming out of the show and we're able to secure a lot of orders, and we had a pretty good run build in those orders. But during the fourth quarter, we just had a lot of things that worked against us and ultimately slowed down shipments. And so what we decided was let's hold production at current levels and let's continue to build a backlog.

[敏]，情況參差不齊。展會結束後我們真的很興奮，我們獲得了很多訂單，而且這些訂單的運行情況非常好。但在第四季度，我們遇到了很多不利於我們的事情，最終導致出貨量放緩。因此，我們決定將生產保持在當前水平，並繼續積壓訂單。

And we've got, we're all heading to Biloxi after this call we've got great shows specials. And so we've been continuing to push on the sales side. I think the biggest change is that we are seeing the impacts of higher interest rates on the park side of our business now, and that's something that we have a lot of parts that we are filling up.

電話會議結束後，我們將前往比洛克西，我們將提供精彩的特價節目。因此，我們一直在繼續推動銷售方面的發展。我認為最大的變化是，我們現在看到了利率上升對我們公園業務的影響，我們正在填補很多部分。

I think that new development is slower than we like, but it's still stable. And we've had some nice-sized orders. We're working on some more, but it hasn't -- we're impacted just like the other manufacturers on the parts side of the business.

我認為新的發展比我們希望的要慢，但仍然穩定。我們已經收到了一些規模不錯的訂單。我們正在做更多的工作，但事實並非如此——我們就像其他零件製造商一樣受到了影響。

Okay, great. Thank you. Also just talking more about Del Val, I know that you had hired a new team to kind of focus on your land development, you're supposed to finish kind of like the roads and water treatment plants and maybe that's part of some of the slower development. But do you have any sense, any better sense for timing of some of the home deliveries into Del Val or even Horseshoe Bay at this point?

好的，太好了。謝謝。另外，更多地談論德爾瓦爾，我知道你已經聘請了一個新團隊來專注於你的土地開發，你應該完成類似道路和水處理廠的工作，也許這是一些較慢的項目的一部分發展。但此時此刻，您對於將一些送貨到德爾瓦爾甚至馬蹄灣的送貨上門時間有任何感覺嗎？

So we have made some progress in Horseshoe Bay. Horseshoe Bay are individual lots, and we own about 300 of them that we're putting homes on and selling. And we're probably, I'd say, a month and a half away from opening a sales center there, which should accelerate the sales of those homes. And we've already sold a few homes this quarter in Horseshoe Bay. So there is -- we are making progress in Horseshoe Bay

所以我們在馬蹄灣取得了一些進展。馬蹄灣是獨立的地塊，我們擁有其中大約 300 塊地塊，我們正在建造和出售這些地塊。我想說，我們可能還有一個半月的時間才能在那裡開設銷售中心，這應該會加速這些房屋的銷售。本季我們已經在馬蹄灣出售了一些房屋。所以，我們正在馬蹄灣取得進展

and the other area where we're really focused on the land development side is Del Valle, you'll see if you look at our CapEx, I mean, we wrote some really big checks at the end of the year, the -- we've got the water lines and we've got the sewer lines and we've got the power there working on the drainage and roads now and starting the water treatment plant.

我們真正關注土地開發方面的另一個領域是 Del Valle，如果你看看我們的資本支出，你會看到，我的意思是，我們在年底寫了一些非常大的支票，我們已經有了供水管道，我們已經有了下水道管道，我們已經有了電力，現在正在處理排水和道路，並啟動了水處理廠。

And so our goal, I really -- I don't think we'll have houses on it in 2024. But I think it's pretty early in 2023 and -- sorry, 2025. And we're pushing hard on it now, dollars are starting to really accelerate. And we've got the right team working with Curt on that project to get back on track.

所以我們的目標是，我真的認為 2024 年我們不會在上面蓋房子。但我認為 2023 年還為時過早——抱歉，是 2025 年。我們現在正在努力推動這一目標，美元開始真正加速成長。我們有合適的團隊與 Curt 合作進行此項目，以使其重回正軌。

Okay. And then just a final question on your new focus on potentially expanding your heritage or your in home sales I guess. Can you talk a little bit about how much capitals required to open up a new location kind of what your kind of return Horizon time line looks like and just what locations you're looking to expand in?

好的。然後是最後一個問題，關於您的新重點，我想可能會擴大您的遺產或您的房屋銷售。您能否談談開設一個新地點需要多少資金，您的回歸地平線時間表是什麼樣的，以及您希望在哪些地點進行擴張？

Yeah, I want you guys to keep an eye on it. I won't say it's perfect, but, when Legacy went public, they use the IPO proceeds to build a retail presence and we've had some challenges, managing our retail stores. But I finally feel like we're heading in the right direction there, which is the first step to ultimately growing that piece of our business.

是啊，希望大家多多關注。我不會說它是完美的，但是，當 Legacy 上市時，他們利用 IPO 收益來建立零售業務，而我們在管理零售店方面遇到了一些挑戰。但我終於覺得我們正朝著正確的方向前進，這是最終發展我們業務的第一步。

And there's a lot of benefits that we pick up and by adding company-owned retail stores because you capture the retail margin and you accelerate the financing opportunities to our consumer loan portfolio. The first lot will be in Horseshoe Bay, and that's mainly to serve that development as we put houses on those lots.

透過增加公司自有的零售店，我們可以獲得許多好處，因為您可以獲得零售利潤，並加速我們的消費貸款組合的融資機會。第一個地塊將位於馬蹄灣，這主要是為了服務我們在這些地塊上建造房屋的開發。

But there are several other areas that we're looking at. And from a capital contribution standpoint, I mean, we're not talking about huge dollars, about half of our lots right now are leased and the others are owned.

但我們正在關注其他幾個領域。從資本貢獻的角度來看，我的意思是，我們談論的並不是巨額資金，我們現在大約有一半的土地是出租的，其他土地是擁有的。

So we don't have to necessarily go out and buy a piece of land every time we open up a lot. But it just seems like an area as we, as we've gotten better at managing heritage and there's still some there's certainly some improvement or a ways to go. But I think as we get that business really humming, then it opens up the opportunity to add more stores. And if you look at our larger competitors, right now, I mean, they're selling, up to 50% of their production through their stores. So we've got a lot of white space ahead if we can get this right.

所以我們不一定每次開放很多就出去買一塊地。但這似乎是我們的一個領域，因為我們在管理遺產方面已經做得更好，而且仍然有一些地方肯定有一些改進或還有路要走。但我認為，當我們的業務真正蓬勃發展時，就有機會增加更多商店。如果你看看我們更大的競爭對手，我的意思是，現在他們透過商店銷售高達 50% 的產品。因此，如果我們能做到這一點，我們前面就有很多空白。

Right. Thanks Duncan, I'll turn it over.

正確的。謝謝鄧肯，我會把它翻過來的。

Thank you.

謝謝。

Mark Smith, Lake street.

馬克史密斯，湖街。

Hi guys, first question from me. Duncan, let's stay on the retail stores. Did you guys run any more promotions? Did we see ASP? Where did that kind of move within the retail store segment as the sales there look pretty solid?

大家好，我的第一個問題。鄧肯，我們還是留在零售店吧。你們還有什麼促銷活動嗎？我們看到ASP了嗎？由於零售店的銷售看起來相當穩健，這種變化在哪裡發生？

Yeah the (inaudible) -- let's talk about all dealer sales, not just the Legacy sales. But I'd say the dealer side of the business is improving and we continue -- we've been really impressed. I've got my secret sales weapon Kenny out there running down new dealers. And we've added a lot of new independent dealers, which is great for us because when the park side cycles, we do really need the dealers and we like the financing opportunities on the consignment or on the federal investors' consumer financing side.

是的（聽不清楚）—讓我們討論所有經銷商的銷售，而不僅僅是舊版的銷售。但我想說的是，經銷商方面的業務正在改善，而且我們還在繼續——我們真的印象深刻。我有我的秘密銷售武器肯尼，可以追捕新經銷商。我們增加了很多新的獨立經銷商，這對我們來說非常好，因為當公園方面循環時，我們確實需要經銷商，而且我們喜歡寄售或聯邦投資者消費者融資方面的融資機會。

So we're seeing some good improvement on the dealer side. It is patchy, though there's certain geographies where people seem to be doing better than others. I think that there's also we're seeing this divergence between the dealers that have embraced technology and we're using social media and finding customers on the Internet versus others that haven't.

因此，我們看到經銷商方面取得了一些良好的進展。儘管在某些地區，人們的表現似乎比其他地區好，但情況卻參差不齊。我認為我們也看到了採用科技、使用社群媒體並在網路上尋找客戶的經銷商與其他沒有採用科技的經銷商之間的差異。

And so I think that there's some room to help them improve as well. But we haven't dropped prices across the board. We've taken production down to meet the demand and they're building the backlog. But the dealer side of the business is fairly strong.

所以我認為還有一些空間可以幫助他們改進。但我們並沒有全面降價。我們已經減少了生產以滿足需求，而他們正在積壓訂單。但經銷商方面的業務相當強大。

Okay. And then if we have -- if we maintain the sales mix similar to where it was here in Q4, can you just talk about margin outlook and how much of the decline here in margins in Q4 was really due to sales mix versus anything else happening?

好的。然後，如果我們保持與第四季度類似的銷售組合，您能談談利潤率前景嗎？第四季度利潤率下降有多少實際上是由於銷售組合而不是其他因素造成的？

Yeah I mean, we were impacted, I mentioned we have these big orders where on the park side, where we shipped smaller HUD code units, been tiny homes to (inaudible) few customers who are converting RV parks. So I think that has impacted us. But across the board, both on the dealer side and the park side, the shift has been has continued to be toward smaller homes.

是的，我的意思是，我們受到了影響，我提到我們在公園一側有這些大訂單，我們在那裡運送較小的HUD 代碼單元，對於（聽不清楚）少數正在改造房車公園的客戶來說，它們是小房子。所以我認為這對我們產生了影響。但總體而言，無論是在經銷商方面還是在園區方面，這種轉變仍在繼續向小型住宅發展。

I mean, where we used to sell a lot of large 16 wides to parks, people are moving to 14 wides and 12 wides. So I think that has had an impact, but I don't anticipate that everyone's only going to be buying smaller homes for the next years or so, I mean, it's just something that we've seen here in the very near future or very near history.

我的意思是，我們過去向公園出售大量 16 寬的大型車，現在人們正在轉向 14 寬和 12 寬的車。所以我認為這已經產生了影響，但我不認為每個人只會在未來幾年左右購買較小的房屋，我的意思是，這只是我們在不久的將來或非常時期看到的東西接近歷史。

Okay. And then as we look at the loan business within consumer loans, are you guys using rate to drive an increase in that business it looks like rates have maybe come down throughout the year and even into Q4. Any commentary on kind of what you guys are charging and how that's impacting the business?

好的。然後，當我們審視消費貸款中的貸款業務時，你們是否使用利率來推動該業務的成長，看起來利率可能全年下降，甚至進入第四季。對於你們的收費以及這對業務的影響有何評論？

Yeah I mean, if you look at that loan portfolio in its entirety, we went through a period where I'd say rates were stable and then interest rates were super low. Now, interest rates are high and -- our the older loans have higher interest rates than a loan, say from the last three years.

是的，我的意思是，如果你從整體上看貸款組合，我們經歷了一段時期，我會說利率穩定，然後利率超低。現在，利率很高，而且我們較舊的貸款的利率高於過去三年的貸款。

But we are pushing rate higher now. We -- with the federal investors, we have very strict underwriting requirements. We have used, we have kept our rate low because we're not borrowing to lend, but in certain unique situations where we're financing a certain type of borrower or certain types of borrowers that where the credit quality is a little bit lower. I mean we're certainly pushing rates higher. So I think we'll get back to a point where the rates are chattel loans are closer to what they were four or five years ago than over the last few years.

但我們現在正在推高利率。我們對聯邦投資者有非常嚴格的承保要求。我們一直保持較低的利率，因為我們不是為了借錢而藉錢，而是在某些獨特的情況下，我們為某種類型的借款人或信用質量稍低的某些類型的借款人提供融資。我的意思是我們肯定會提高利率。因此，我認為我們將回到這樣一個階段：動產貸款利率比過去幾年更接近四、五年前的水準。

Okay. And the last one for me, Jeff, sorry, I think I missed it. Did you talk about where the balance sheet where the debt is today?

好的。最後一個是給我的，傑夫，抱歉，我想我錯過了。您是否談到了今天的資產負債表上的債務在哪裡？

Today, we're under $11 million on our line of credit. So it's come down considerably since the end of December.

如今，我們的信用額度不足 1,100 萬美元。所以自12月底以來已經大幅下降。

Okay. And maybe one more follow-up on that. Just as we think about use of capital going forward, you guys spent a little bit more here recently on some investments. How should we look at kind of CapEx and use of capital going forward here in 2024?

好的。也許還有一個後續行動。正如我們考慮未來的資本使用一樣，你們最近在一些投資上花了更多的錢。我們該如何看待 2024 年的資本支出和資本運用？

I think on the -- on Bastrop County, Q4 is a pretty good indicator of what the next few quarters will look like from a CapEx standpoint for that specific project. So I think CapEx at the plants is fairly stable. We've had -- we've worked through several projects. We've invested in the plants with things like new routes and updated walkways and other things to keep our workers safe.

我認為，在巴斯特羅普縣，從該特定項目的資本支出角度來看，第四季是一個很好的指標，可以預測未來幾季的情況。所以我認為工廠的資本支出相當穩定。我們已經完成了幾個項目。我們對工廠進行了投資，建造了新路線、更新了人行道以及其他確保工人安全的設施。

But no meaningful uptick in the plant CapEx and but back to your question on the credit line, what essentially happened at year end, we had some larger checks that we had to write for Bastrop for road work and for the water treatment plant. But credit is tight. And there's a lot of people in our industry that need to borrow money for certain projects.

但工廠資本支出沒有有意義的上升，但回到你關於信貸額度的問題，年底基本上發生了什麼，我們有一些更大的支票，我們必須為巴斯特羅普開具道路工程和水處理廠的支票。但信貸緊張。我們行業中有很多人需要為某些項目借款。

And these are secured loans at relatively high interest rates with personal guarantees for assets that we wouldn't mind owning if there's a problem with the credit. And so we put a lot of money to work at the end of the year, and we continue to see those opportunities to generate great returns with the secured loan and ultimately help some of our customers out with projects that will get some orders once they get through the development.

這些是利率相對較高的擔保貸款，並為資產提供個人擔保，如果信貸出現問題，我們不介意擁有這些資產。因此，我們在年底投入了大量資金，我們繼續看到這些機會透過擔保貸款產生豐厚的回報，並最終幫助我們的一些客戶完成項目，一旦他們獲得這些項目，就會獲得一些訂單通過發展。

Okay, great. Thank you.

好的，太好了。謝謝。

Thank you.

謝謝。

Jay McCanless, Wedbush.

傑伊·麥卡利斯，韋德布希。

Good morning and thanks for taking my questions, Hi good morning. So if we could start with the decline in product sales for the fourth quarter. Maybe could you break out what that decline was for the retail dealers versus the parts versus your part customers?

早安，感謝您提出我的問題，早安。那我們可以從第四季產品銷售的下降開始。也許您能透露一下零售經銷商與零件以及零件客戶的下降幅度是多少嗎？

Yeah, I mean a big well, I don't have the exact split in front of me, but I can follow up with you with an exact number, but at a high level on the dealer side, we came off our show. We started shipping a lot of houses and then we hit a seasonably slower period where dealers wanted us to hold off on shipping homes.

是的，我的意思是一口大井，我面前沒有確切的裂縫，但我可以向您跟進確切的數字，但在經銷商方面的高水平上，我們結束了我們的演出。我們開始運送大量房屋，然後進入了季節性放緩時期，經銷商希望我們推遲運送房屋。

And the park side, like I mentioned, has been spotty where a project will go and you'll be able to deliver a few months of houses or in many cases, there's significant delays with utilities or permitting or other things that happen for these developments are retrofits. And so we kind of just had a little bit of a perfect storm and delays on the park side and just some seasonality on the dealer side.

正如我所提到的，公園方面的情況一直參差不齊，項目將進行到哪裡，你將能夠交付幾個月的房屋，或者在許多情況下，公用事業或許可或這些開發項目發生的其他事情會有嚴重延誤是改造。因此，我們在公園方面遇到了一些完美的風暴和延誤，在經銷商方面則遇到了一些季節性。

We've also got I think, Jay, we've got some partnerships up north with some other manufacturers that build our floor plans. And I think that continues to be a good opportunity for us. But with the weather up there, we just couldn't ship anything and it's just we've been pushing hard all year and we just we kind of hit a point where there was a lot of delays in shipments and you see that in our fourth quarter results.

我想，傑伊，我們也與北方的其他一些製造商建立了一些合作夥伴關係，為我們制定了平面圖。我認為這對我們來說仍然是一個很好的機會。但由於天氣原因，我們無法運送任何東西，只是我們一整年都在努力推動，我們只是到達了一個點，發貨出現了很多延誤，你可以在我們的第四個季度看到這一點。季度業績。

Got it. Could you give us any color on how product sales are trending thus far in the first quarter?

知道了。您能為我們介紹一下第一季迄今的產品銷售趨勢嗎？

Yeah, they're looking pretty good. I've had some delays shipping houses out of Georgia, which just seems to be one thing after another there, but we're pretty close, I think, to getting back on track. So we had in the beginning of the quarter, we had homes caught up in the yard there that we're clearing out now as quickly as we can.

是的，他們看起來很不錯。我在從喬治亞州發貨時遇到了一些延誤，這似乎是一件接一件的事情，但我認為我們已經很接近回到正軌了。因此，在本季度初，我們的房屋被困在院子裡，我們現在正在盡快清理。

But in Texas, it's been pretty consistent. We thought, when we spoke last quarter that we were we looked really good and we were planning on taking up production. And what we're doing now is we've decided, let's keep production where it is and keep building the backlog. Keep running specials, keep focusing on sales.

但在德州，情況相當穩定。我們認為，當我們上個季度談到時，我們看起來非常好，並且計劃開始生產。我們現在所做的是我們已經決定，讓我們保持生產現狀並繼續建立積壓訂單。繼續進行特價活動，並繼續專注於銷售。

We've got a lot of new sales reps that are getting up to speed. And they're making sales and they're making commissions and it's fun to watch. But for Q1, I think it looks better than Q4, but maybe not as good as the some of the prior quarters and early 2023.

我們有很多新的銷售代表正在加快步伐。他們正在進行銷售並賺取佣金，這看起來很有趣。但對於第一季度，我認為看起來比第四季度好，但可能不如之前的一些季度和 2023 年初。

And then just thinking about gross margin 31 and change for fiscal '23 and maybe what's your outlook for fiscal '24 and there anything we any issues we need to be thinking about from a cost side, whether it's rising OSB prices or some other things going on? Maybe walk us through how you're thinking about gross margin for the full year?

然後只考慮毛利率 31 和 23 財年的變化，也許您對 24 財年的前景是什麼，以及我們需要從成本方面考慮的任何問題，無論是 OSB 價格上漲還是其他一些事情在？也許可以向我們介紹一下您對全年毛利率的看法？

Yeah I mean, look, I think if you go back and you look five years backwards and kind of our gross margins, they tend to be in the higher higher 20s versus low 30s. So the margins look pretty strong right now, I don't anticipate a major change between, say this quarter and next quarter, but I think over the long term they will revert closer in the high to the high 20s and stay at these levels as material prices start to increase.

是的，我的意思是，你看，我認為如果你回顧五年，看看我們的毛利率，它們往往處於 20 多歲的較高水平，而不是 30 多歲的低水平。因此，目前的利潤率看起來相當強勁，我預計本季和下季之間不會發生重大變化，但我認為從長遠來看，利潤率將恢復到接近20 多歲的水平，並保持在這些水平，因為材料價格開始上漲。

And you said on pricing that you guys have been holding pricing, especially on the dealer side. Is that continued into the first quarter. And do you think based on now that Georgia starting to ship again, you'll be able to hold prices there, too?

你說關於定價，你們一直在保持定價，特別是在經銷商方面。這種情況持續到第一季嗎？您認為現在喬治亞州開始再次發貨，您是否也能夠維持那裡的價格？

Yeah, I mean, look, there's price and volume are related, obviously, and throughout this entire slower period. And I think 2023 is a great example could we have given homes away and really increase the throughput through the plants?

是的，我的意思是，看，價格和數量顯然是相關的，並且在整個較慢的時期都是如此。我認為 2023 年是一個很好的例子，我們是否可以贈送房屋並真正提高工廠的吞吐量？

I'm sure we could have. But like I mentioned on the call, our Board wants us to be extremely bottom line focus. And I don't, I think for other manufacturers that are cutting price. I mean, I don't think material costs are going down. And frankly, I know labor costs aren't going down. And so we're going to rightsize our SG&A and rightsize our overhead for a slower period and continue to hold price as the market recovers, even to the detriment of volume.

我確信我們可以。但正如我在電話會議中提到的，我們的董事會希望我們高度關注利潤。我認為對於其他正在降價的製造商來說，我不這麼認為。我的意思是，我不認為材料成本會下降。坦白說，我知道勞動成本不會下降。因此，我們將在較慢的時期調整我們的銷售管理費用和管理費用，並在市場復甦時繼續維持價格，即使會損害銷售量。

Okay. And that actually was going to be my next question on SG&A. It sounds like you're going to be doing staffing, higher income staffing as you build out some of the different portions of the business. I guess how from a total dollar standpoint, should we expect that to ramp up by some percentage in '24 as you're adding more personnel?

好的。這實際上將是我關於 SG&A 的下一個問題。聽起來您將在建立業務的一些不同部分時進行人員配置，高收入人員配置。我想從總美元的角度來看，隨著你增加更多的人員，我們是否應該期望在 24 年增加一定百分比？

I think it will be a little bit higher, but that we've had, I mean, you guys have seen the press releases and with some of the NEOs, I mean, we've had a lot of turnover at the senior level, which I think in many cases is a good thing for the business long term.

我認為會高一點，但我們已經看到了新聞稿，對於一些 NEO，我的意思是，我們在高層人員流動很大，我認為在很多情況下這對企業的長期發展來說是一件好事。

But what the Board has said is, look, we launch you in addition to hiring young people like let's add some bench strength and key areas of our business because some of these areas are are significantly larger than when we went public and you need more senior people and so I think as we find the right people, we'll hire them and we'll pay them well. And I think the contributions will be great.

但董事會所說的是，你看，除了僱用年輕人之外，我們還推出了你，例如讓我們增加一些後備力量和我們業務的關鍵領域，因為其中一些領域比我們上市時要大得多，你需要更多的高級人才所以我認為，當我們找到合適的人時，我們就會僱用他們，並且會給他們豐厚的報酬。我認為貢獻將是巨大的。

We've already made some great new hires at the senior level and they're contributing. So I do see SG&A maybe going up slightly, but a lot of it is just offsetting other senior people that have retired or moved on from the business.

我們已經聘請了一些優秀的高級新員工，他們正在做出貢獻。因此，我確實認為 SG&A 可能會略有上升，但其中很大一部分只是抵消了其他已經退休或離開該公司的高級人員。

That's good color. Thank you. And then appreciate all the commentary on Del Valle, but maybe could you talk about some of the other land holdings that legacy has and what your thinking is on those parcels now?

這顏色真好啊謝謝。然後感謝所有關於 Del Valle 的評論，但也許你能談談遺產擁有的其他一些土地所有權以及你現在對這些地塊的想法嗎？

Yeah. And I think I mentioned or I talked a little bit about it, Jay, last call. I mean, really what we're going through is we're prioritizing where we want to allocate capital on these developments. And in many cases, we've sat on some of these things so long that you could if we don't think a project is viable for a community for us to do internally, there may be a better owner of that.

是的。我想我有提到或談過一點，傑伊，最後一次通話。我的意思是，我們真正正在經歷的是，我們正在優先考慮在這些開發項目上分配資本的地方。在很多情況下，我們在其中一些事情上已經坐得太久了，如果我們認為某個專案不適合社區內部進行，那麼可能會有更好的所有者。

So I think that there's a bucket of properties that we could look to ultimately divest, and we've held them for long enough where you make two, three, four times your money on the raw land. There's a second group of properties where over this time period, the dynamics have changed. And so you've got city sewer now coming to the project in the next year or so.

所以我認為我們可以考慮最終剝離一桶財產，而且我們已經持有它們足夠長的時間了，你可以在原始土地上賺到兩倍、三倍、四倍的錢。在這段時間裡，第二組屬性的動態發生了變化。因此，城市下水道系統將在明年左右進入該項目。

And we're looking at those and the feasibility of those projects as MH communities, whether it's with us or someone else finalizing the development? Or is this piece of land does it have a better and higher use that we can return -- that we can generate returns for our shareholders by -- haven't so much selling it and having somebody build stick-built homes on it.

我們正在以 MH 社區的形式研究這些項目以及這些項目的可行性，無論是與我們還是其他人一起完成開發？或者說，這塊土地是否有更好、更高的用途，我們可以歸還——我們可以通過這種方式為我們的股東創造回報——沒有那麼多地出售它並讓人們在上面建造房屋。

But our focus for all of these projects is we want to sell more manufactured homes, we want to finance more manufactured homes. And so we're really -- we're viewing all the from the lens of MH that is a big headwind I mean, it's the biggest headwind is where do you put them, but we're fighting the same battles with the regulators that all of our customers are and but we're trying to pick our battles and we know we've got a few that make sense to go ahead and take the full way, and that's where we're allocating capital as we prioritize the other projects.

但我們所有這些項目的重點是我們希望出售更多的活動房屋，我們希望為更多的活動房屋提供資金。所以我們真的 - 我們從 MH 的角度看待所有這些，這是一個很大的阻力，我的意思是，最大的阻力是你把它們放在哪裡，但我們正在與監管機構進行同樣的戰鬥我們所有的客戶都是，但我們正在努力選擇我們的戰鬥，我們知道我們有一些有意義的繼續前進並採取全面的方式，這就是我們在優先考慮其他項目時分配資本的地方。

It's great. And then the administration announced some changes to the title one program for changes they made in a long time are those changes any benefit to legacy would increased Title one financing be something of a challenge for your consumer loan book, maybe any benefit or help you saw in those recent announcements?

這很棒。然後政府宣布對第一標題計劃進行一些更改，因為他們長期以來所做的更改是這些更改，對遺產的任何好處都會增加第一標題融資對您的消費者貸款賬簿構成挑戰，也許有任何好處或幫助您看到在最近的公告中？

Yeah, I don't think it's going to have a huge impact on our business. Like I don't think that changes, cannibalize the volume to our consumer loan business. I believe all of these changes were on the FHA financing side. That's just a little bit different then than what we do here. But is a longer more administratively intense process. So right now, I don't see a big impact, but if something changes off, we'll talk offline.

是的，我認為這不會對我們的業務產生巨大影響。我認為這種情況不會改變，會蠶食我們的消費貸款業務的數量。我相信所有這些變化都是聯邦住房管理局融資方面的。這與我們在這裡所做的略有不同。但這是一個時間更長、管理強度更大的過程。所以現在，我沒有看到很大的影響，但如果有任何變化，我們會離線討論。

Got it. Got it. And then the last question I had we've heard from some of your stick-built competitors that our mortgage qualification has been getting more difficult, not just because of higher rates, but now you're seeing credit card debt starting move up, other types of debt moving up, and that's causing more disqualifications for certain site builders, I guess are you guys seeing any of that in your consumer loan book right now? And how do you feel like the quality of the loan book has been trending through the quarter so far?

知道了。知道了。然後我問的最後一個問題是，我們從一些頑固的競爭對手那裡聽說，我們的抵押貸款資格變得越來越困難，不僅是因為利率上升，而且現在你看到信用卡債務開始上升，其他債務類型不斷增加，這導致某些網站建立者更多地被取消資格，我想你們現在在消費貸款書中看到過這些嗎？您認為本季到目前為止貸款簿的品質趨勢如何？

Yeah, our loan book continues to perform really well. We made a senior hire who had run a financing business in our industry, and he's been working with the team and doing his analysis and he's like man, this like -- you guys have a good formula here for underwriting and you are outperforming the competitors.

是的，我們的貸款簿繼續表現良好。我們聘用了一位在我們行業經營融資業務的高級員工，他一直在與團隊合作並進行分析，他就像一個人，就像——你們這裡有一個很好的承保公式，而且你們的表現優於競爭對手。

And I think the key thing with our consumer financing portfolio is we have a very specific customer that we finance and we don't move on things like down payment and extras like financing storage, sheds in septic tanks and other add-ons that you ultimately can't recover. We want to provide a reasonable rate and a high quality product for a borrower.

我認為我們的消費者融資組合的關鍵是我們有一個非常具體的客戶，我們為他們提供融資，我們不會繼續支付首付和額外費用，例如融資存儲、化糞池棚屋和其他您最終需要的附加費用。無法恢復。我們希望為借款人提供合理的利率和高品質的產品。

And but they've got to have skin in the game. And I think because we haven't been on those and we've seen a lot of others bend on those, we haven't seen large changes to the downside in the performance of our consumer loan portfolios.

但他們必須參與其中。我認為，因為我們還沒有參與這些​​工作，而且我們看到很多其他人都在這些問題上妥協，所以我們還沒有看到我們的消費貸款投資組合業績的下行趨勢發生重大變化。

Okay, that's great. Thanks for taking all my questions.

好的，太好了。感謝您回答我所有的問題。

Sure. Thanks, Jay.

當然。謝謝，傑伊。

Thank you. (Operator Instructions) At this time I would now like to turn the conference back over to Duncan Bates for closing remarks.

謝謝。（操作員指示）此時我想將會議轉回鄧肯貝茨進行閉幕致詞。

Our team --one other thing our team is heading to the Biloxi mobile home show today through Wednesday, Kenny and I leave directly after this call. So if there are any industry folks on the call who will be attending the show, we'd love to see and spend time with you and show you some of the houses we have set up there and discuss some of the specials that we're running right now.

我們的團隊——另一件事是我們的團隊將從今天到週三前往比洛克西移動房屋展，肯尼和我在這次通話後直接離開。因此，如果電話會議上有任何將參加展會的業內人士，我們很樂意見到您並與您共度時光，向您展示我們在那裡設立的一些房屋，並討論我們正在推出的一些特價產品。現在正在運行。

Thank you for joining today's earnings call. We appreciate your interest in Legacy Housing. Operator, this concludes our call.

感謝您參加今天的財報電話會議。我們感謝您對遺產住房的興趣。接線員，我們的通話到此結束。

This concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。