Legacy Housing Corp (LEGH) 2024 Q2 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Legacy Housing Corp. second quarter 2024 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. Please go ahead.

美好的一天，感謝您的支持。歡迎參加 Legacy Housing Corp. 2024 年第二季財報電話會議。（操作員指示）請注意，今天的會議正在錄製中。我現在想把會議交給今天的發言人鄧肯貝茨。請繼續。

Good morning. This is Duncan Bates, Legacy's President and CEO. Thanks for joining our second quarter 2024 conference call. Max Africk, Legacy's General Counsel, will read the Safe Harbor disclosure before getting started. Max?

早安.我是 Legacy 總裁兼執行長鄧肯貝茨 (Duncan Bates)。感謝您參加我們的 2024 年第二季電話會議。Legacy 的總法律顧問 Max Africk 將在開始之前閱讀安全港揭露資訊。最大限度？

Thanks, Duncan. At the outset, I will remind our listeners that 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 questions. Therefore, the company claims the protection of the Safe Harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act of 1995.

謝謝，鄧肯。首先，我要提醒聽眾，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。因此，該公司聲稱受到 1995 年《私人證券訴訟改革法案》中包含的前瞻性陳述的安全港保護。

Actual results may differ from management's current expectations and therefore, we refer you to a more detailed discussion of the risks and uncertainties in the company's annual report filed with the Securities and Exchange Commission. In addition, any projections as to the company's future performance represents management's best estimates as of today's call. Legacy Housing assumes no obligation to update these projections in the future, unless otherwise required by applicable law.

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對風險和不確定性的更詳細討論。此外，對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最佳估計。除非適用法律另有要求，Legacy Housing 不承擔將來更新這些預測的義務。

Thanks, Max. I'm joined today by Jeff Fiedelman, Legacy's Chief Financial Officer. Jeff will discuss our second quarter 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。傑夫將討論我們第二季度的財務業績，然後我將提供更多公司最新資訊並開始問答環節。傑夫？

Thanks, Duncan. Product sales primarily consist of direct sales, commercial sales, inventory finance sales, and retail store sales. Product sales decreased $10.7 million or 25.2% during the three months ended June 30, 2024, as compared to the same period in 2023.

謝謝，鄧肯。產品銷售主要包括直銷、商業銷售、庫存融資銷售和零售店銷售。截至 2024 年 6 月 30 日的三個月內，產品銷售額與 2023 年同期相比減少了 1,070 萬美元，即 25.2%。

This decrease was driven by a decrease in unit volumes shipped primarily in direct sales, mobile home park sales in inventory finance sales categories. The decrease was partially offset by increased sales at our company-owned retail stores. For the three months ended June 30, 2024, our net revenue per unit sold decreased 1.3% to $61,600 as compared to the same period in 2023, primarily due to a shift in product mix to smaller units.

這一下降是由於庫存融資銷售類別中的直接銷售、移動房屋公園銷售的單位銷售減少所致。這一下降被我們公司自營零售店銷售額的增加部分抵消。截至 2024 年 6 月 30 日的三個月，與 2023 年同期相比，我們的每單位銷售淨收入下降 1.3%，至 61,600 美元，這主要是由於產品組合轉向較小的單位。

Consumer MHP and dealer loans interest income increased $1.4 million or 16.0% during the three months ended June 30, 2024, as compared to the same period in 2023 due to growth in our loan portfolios. This increase was driven by increased balances in the MHP consumer and dealer loan portfolios. Between June 30, 2024, and June 30, 2023, our MHP loan portfolio increased by $16.6 million, our consumer loan portfolio increased by $15.8 million, and our dealer finance notes increased by $0.9 million.

由於我們的貸款組合成長，截至 2024 年 6 月 30 日的三個月內，消費者 MHP 和經銷商貸款利息收入與 2023 年同期相比增加了 140 萬美元，即 16.0%。這一增長是由 MHP 消費者和經銷商貸款組合餘額增加所推動的。2024年6月30日至2023年6月30日期間，我們的MHP貸款組合增加了1,660萬美元，我們的消費者貸款組合增加了1,580萬美元，我們的經銷商融資票據增加了90萬美元。

Other revenue primarily consists of contract deposit forfeitures, consignment fees, commercial lease rents, service fees, and other miscellaneous income and decreased $0.8 million or 45.5% during the three months ended June 30, 2024, as compared to the same period in 2023. This decrease was primarily due to a $1.0 million decrease in dealer finance fees, a $0.2 million decrease in commercial lease rents, partially offset by a $0.4 million increase in other miscellaneous revenue.

其他收入主要包括合約押金沒收、寄售費、商業租賃租金、服務費和其他雜項收入，截至 2024 年 6 月 30 日止三個月，與 2023 年同期相比減少 80 萬美元，即 45.5%。這一下降主要是由於經銷商財務費用減少了 100 萬美元，商業租賃租金減少了 20 萬美元，但其他雜項收入增加了 40 萬美元，部分抵消了下降。

Cost of product sales decreased $8.2 million or 27.4% during the three months ended June 30, 2024, as compared to the same period in 2023. The decrease in cost is primarily related to the decrease in units sold. Gross profit margin was 31.9% of product sales during the three months ended June 30, 2024, as compared to 29.8% during the three months ended June 30, 2023. Selling, general, and administrative expenses were flat during the three months ended June 30, 2024, as compared to the same period in 2023.

截至 2024 年 6 月 30 日的三個月，與 2023 年同期相比，產品銷售成本減少了 820 萬美元，即 27.4%。成本下降主要與銷量減少有關。截至2024年6月30日止三個月，毛利率佔產品銷售額的31.9%，截至2023年6月30日止三個月，毛利率為29.8%。截至 2024 年 6 月 30 日的三個月內，銷售、一般和管理費用與 2023 年同期相比持平。

We had a $0.8 million decrease in warranty costs, a $0.7 million decrease in payroll and related expense and a $0.2 million decrease in bad debt expense, offset by a $0.8 million increase in legal expense, a $0.4 million increase in property tax expense, and $0.2 million increase in loan loss provision, a $0.1 million increase in marketing expense, and a net $0.2 million increase in other miscellaneous expense.

我們的保固成本減少了 80 萬美元，工資及相關費用減少了 70 萬美元，壞帳費用減少了 20 萬美元，但被法律費用增加 80 萬美元、財產稅費用增加 40 萬美元和 0.2 美元所抵消。貸款損失撥備增加10 萬美元，行銷費用增加10 萬美元，其他雜項費用淨增加20 萬美元。

Other income expense increased $3.2 million or 538.3% during the three months ended June 30, 2024, as compared to the same period in 2023. We had an increase of $2.6 million in miscellaneous income as a result of a gain of $1.3 million on the sale of real property in Georgia and a reversal of $1.3 million of accrued liabilities. We had an increase of $0.3 million in other miscellaneous income, and we had an increase of $0.3 million in interest income for other notes, receivables, net of allowances.

截至 2024 年 6 月 30 日的三個月內，其他收入支出與 2023 年同期相比增加了 320 萬美元，即 538.3%。由於出售喬治亞州不動產獲得 130 萬美元收益以及沖銷 130 萬美元應計負債，我們的雜項收入增加了 260 萬美元。我們的其他雜項收入增加了 30 萬美元，其他票據、應收帳款（扣除備抵後）的利息收入增加了 30 萬美元。

Net income increased 7.8% to $16.2 million in the second quarter of 2024 compared to the second quarter of 2023. Basic earnings per share increased $0.05 per share or 8.7% in the second quarter of 2024 compared to the second quarter of 2023.

與 2023 年第二季相比，2024 年第二季淨利成長 7.8%，達到 1,620 萬美元。與 2023 年第二季相比，2024 年第二季每股基本收益增加 0.05 美元，即 8.7%。

As of June 30, 2024, we had approximately $0.1 million in cash compared to $0.7 million as of December 31, 2023. The outstanding balance of the revolver as of June 30, 2024, and December 31, 2023, was $11.9 million and $23.7 million, respectively.

截至 2024 年 6 月 30 日，我們擁有約 10 萬美元現金，而截至 2023 年 12 月 31 日，我們擁有 70 萬美元現金。截至2024年6月30日及2023年12月31日，左輪手槍的未清餘額分別為1,190萬美元及2,370萬美元。

At the end of the second quarter of 2024, Legacy's book value per basic share outstanding was $19.17, an increase of 13.2% from the same period in 2023. We repurchased 170,342 shares for $3.5 million during the three months ended June 30, 2024.

截至2024年第二季末，Legacy的每股已發行基本股帳面價值為19.17美元，較2023年同期成長13.2%。截至 2024 年 6 月 30 日的三個月內，我們以 350 萬美元回購了 170,342 股股票。

On August 6, 2024, our Board of Directors authorized the repurchase of an additional $10.0 million of the company's common stock under the share repurchase program. We will continue to repurchase shares opportunistically when the stock trades near liquidation value.

2024 年 8 月 6 日，我們的董事會授權根據股票回購計畫額外回購 1,000 萬美元的公司普通股。當股票交易價格接近清算價值時，我們將繼續擇機回購股票。

Thanks, Jeff. Our team continues to focus on product sales. We worked through delays in Georgia and with certain customers in Texas to push shipments into the third quarter. Our dealer business across most of the platform is strong. Some independent dealers are slow to move aged inventory.

謝謝，傑夫。我們的團隊繼續專注於產品銷售。我們克服了喬治亞州的延誤，並與德克薩斯州的某些客戶合作，將發貨時間推遲到了第三季。我們在大部分平台上的經銷商業務都很強勁。一些獨立經銷商在處理陳舊庫存方面行動緩慢。

We launched a retail financing special to assist with this ahead of our fall show. Retail finance applications were up 34% from the second quarter of 2024 compared to the second quarter of 2023. Our community business has been impacted by higher interest rates for the past few quarters. Transaction volume, which drives demand as new owners work to increase rent rolls is down and new development is slow. However, the market is improving.

我們在秋季展會之前推出了一項零售融資特別活動來協助實現這一目標。與 2023 年第二季相比，2024 年第二季零售金融應用成長了 34%。我們的社區業務在過去幾個季度受到了利率上升的影響。隨著新業主努力提高租金，交易量下降，而新開發項目進展緩慢，從而推動了需求。然而，市場正在改善。

Our quote activity is up meaningfully since the first quarter. We're having success selling smaller HUD units and tiny homes to both MH and RV park owners, aiming to keep rent affordable and occupancy high. Legacy has a handful of large community customers who paused orders for the past 12 months or so. These customers are back ordering and taking deliveries. Product gross margins were 31.9% for the second quarter of 2024. I'm proud of our team's effort to manage margins at lower production volumes.

自第一季以來，我們的報價活動大幅增加。我們成功地向 MH 和 RV 公園業主出售較小的 HUD 單元和小型住宅，旨在保持租金可承受性和高入住率。Legacy 有一些大型社區客戶在過去 12 個月左右的時間裡暫停了訂單。這些客戶正在延期訂購並提貨。2024年第二季產品毛利率為31.9%。我為我們的團隊在較低產量的情況下管理利潤的努力感到自豪。

We are disciplined on price and watching labor and overhead expenses closely. Our top priority for the remainder of 2024 is continuing to build our backlog, which will result in higher production volume. Our new sales team members are building customer relationships and signing orders. We increased production at our Georgia plant in July. As Jeff mentioned, we sold a property in Georgia during the second quarter. The sale positively impacted our results.

我們在價格方面嚴格遵守紀律，並密切關注勞動力和管理費用。2024 年剩餘時間裡，我們的首要任務是繼續增加積壓訂單，這將帶來更高的產量。我們的新銷售團隊成員正在建立客戶關係並簽署訂單。七月，我們增加了喬治亞州工廠的產量。正如傑夫所提到的，我們在第二季出售了喬治亞州的一處房產。此次銷售對我們的業績產生了正面影響。

Although one-time in nature, investors will continue to see similar sales over the next few quarters. There are several real estate assets on our balance sheet, excluding our core developments that have meaningful value. We received zero credit for these assets in the public markets, and we'll continue to monetize them.

儘管這是一次性的，但投資者在未來幾季將繼續看到類似的銷售情況。我們的資產負債表上有多項房地產資產，不包括具有有意義價值的核心開發項目。我們在公開市場上獲得的這些資產的信用為零，我們將繼續將它們貨幣化。

Although sales volumes are down in 2024, our lending portfolios continue to grow. From the first half of 2023 to the first half of 2024, interest revenue from MHP, retail finance, and floor plan financing is up 26.5%. Our delinquencies remain low and recovery rates are strong.

儘管 2024 年銷量下降，但我們的貸款組合仍持續成長。從2023年上半年到2024年上半年，來自MHP、零售金融和平面圖融資的利息收入增加了26.5%。我們的拖欠率仍然很低，回收率也很高。

On July 27, 2024, we signed a binding settlement agreement to resolve litigation with a long-term MHP customer. Under the agreement, the borrower will need two mobile home parks with homes to Legacy. Legacy will refinance the remaining debt and a new two year note the collateral and guarantors remain the same.

2024 年 7 月 27 日，我們與 MHP 長期客戶簽署了一份具有約束力的和解協議，以解決訴訟。根據協議，借款人將需要兩個移動房屋公園，其中包含 Legacy 的房屋。Legacy將為剩餘債務進行再融資，新的兩年期票據的抵押品和擔保人保持不變。

We are finalizing the transfers and the new note and plan to discuss more details on the next earnings call. We view this as a very positive outcome for both parties. Investors following our story know that we have worked through multiple challenging situations over the last two years. We're hands-on operators in solving these complex problems, take significant time and energy.

我們正在敲定轉讓和新票據，並計劃在下一次財報電話會議上討論更多細節。我們認為這對雙方來說都是非常正面的成果。關注我們故事的投資者知道，我們在過去兩年中經歷了多種充滿挑戰的情況。我們是親自動手解決這些複雜問題的人，需要花費大量的時間和精力。

With most of yesterday's challenges behind us, we can focus on growing our core business. There are no more distractions. We have built a great team. Everyone is contributing and today, I feel better about the company and our prospects than any other time since starting full time in June 2022. I'm excited to show investors the earnings potential of this business as we push more volume through the plans this year. Operator, this concludes our prepared remarks. Please begin the Q&A.

昨天的大部分挑戰已經過去，我們可以專注於發展我們的核心業務。沒有更多的干擾。我們建立了一支優秀的團隊。每個人都在做出貢獻，今天，我對公司和我們的前景的感覺比 2022 年 6 月開始全職工作以來的任何時候都要好。我很高興向投資者展示這項業務的獲利潛力，因為我們今年的計劃推動了更多的業務量。接線員，我們準備好的發言到此結束。請開始問答。

(Operator Instructions) Daniel Moore, CJS Securities.

（操作員指示）Daniel Moore，CJS 證券。

Thank you, Duncan and Jeff. Thanks for taking the questions and all the color. Maybe to start with, is it possible to quantify in ballpark terms, the impact of the delays, the delayed shipments that referenced in Georgia and Texas in the quarter that are being pushed into Q3?

謝謝你們，鄧肯和傑夫。感謝您提出問題和所有顏色。也許首先，是否有可能以大致的方式量化延誤的影響，喬治亞州和德克薩斯州提到的推遲到第三季度的發貨延遲？

The bulk of that is in Georgia. We had shipments held up for a few weeks over there. And those obviously will get pushed into Q3. I'd say there, I don't have a specific number. I just think that the backlog looks decent, but customers are struggling, especially on the park side with permits and getting pads ready and we experienced some delays where we thought, hey, we'd get 30 homes out and instead, you ship the first 10, and it takes them longer than expected to take the rest. So I think the third quarter you'll certainly see a ramp-up in shipments, but it was certainly slower than we would like this quarter.

其中大部分在喬治亞州。我們的貨物在那裡滯留了幾個星期。這些顯然將被推到第三季。我想說的是，我沒有具體的數字。我只是認為積壓的訂單看起來還不錯，但客戶卻在苦苦掙扎，特別是在公園一側，有許可證並準備好墊子，我們經歷了一些延誤，我們想，嘿，我們會拿出30套房屋，相反，你運送第一個10，他們花費的時間比預期的要長。因此，我認為第三季的出貨量肯定會增加，但肯定比我們本季希望的要慢。

That's helpful. Obviously, the retail finance adds up 34% is a great sign. Anything you can say in terms of order rates and/or changes in backlog during the quarter either sequentially or year over year?

這很有幫助。顯然，零售金融加起來34%是個好兆頭。關於本季訂單率和/或積壓訂單的變化（連續或同比），您有什麼想說的嗎？

Yeah, Dan, we don't publish backlog, but we obviously follow it closely internally. I think this week, we probably -- we had one of the best sales weeks that we've had all year. And so we're excited to get back focused 100% on sales. We've had a lot of distractions this year as we've cleaned up yesterday's problems.

是的，丹，我們不發布待辦事項，但我們顯然在內部密切關注。我認為本週，我們可能是全年銷售最好的一周之一。因此，我們很高興能重新 100% 專注於銷售。今年我們已經解決了昨天的問題，因此遇到了許多幹擾。

But I think that customers on both sides of the business are ordering, the outlook looks a lot better than it did at this time last summer, and we fought some challenges that are unique to us, but we're really like starting to push a lot of homes out of the door, and we've got some big projects. There are some projects that I think we're pretty close on that would be a game changer for us and really allow us to take production up.

但我認為，業務雙方的客戶都在訂購，前景看起來比去年夏天的這個時候要好得多，而且我們克服了一些我們特有的挑戰，但我們真的很想開始推動很多房屋都在外面，我們還有一些大項目。我認為我們已經非常接近完成一些項目，這將改變我們的遊戲規則，並真正讓我們能夠投入生產。

But we're taking it day by day. We've got a lot of new salespeople that we've hired over the last 12 months and it takes some time to get people trained and get them up to speed and have them really understand the product and really understand the financing solutions before they can contribute.

但我們正在日復一日地接受它。我們在過去 12 個月裡僱用了很多新的銷售人員，需要一些時間來對人員進行培訓，讓他們加快速度，讓他們真正了解產品並真正了解融資解決方案，然後才能進行操作。

And I'm happy with the direction that that's going. We've also -- we implemented a new sales order system that we launched early this year where we're now tracking all the details around quotes and orders and shipments in one system, all the way through the process, so we can hold people accountable on the sales side.

我對目前的發展方向感到滿意。我們還——我們實施了今年年初推出的新銷售訂單系統，我們現在在一個系統中跟踪報價、訂單和發貨的所有詳細信息，貫穿整個流程，這樣我們就可以讓人們保持聯繫對銷售方負責。

So a lot of things moving in the right direction. We've just got to stay focused and really push sales forward. I think another -- in addition to the retail finance applications being up pretty dramatically, we do a fall show in Fort Worth every year. We're obviously tracking RSVPs to that show. It's our big sales event for the year, and we're way ahead of where we typically are from RSVP. So we're pushing hard to get to the show, and we're expecting a pretty good show in late September.

所以很多事情都在朝著正確的方向發展。我們必須保持專注並真正推動銷售。我認為另一個 - 除了零售金融應用程式大幅增長之外，我們每年都會在沃斯堡舉辦秋季展會。我們顯然正在追蹤該節目的回應。這是我們今年的大型銷售活動，我們遠遠領先於通常的 RSVP 活動。所以我們正在努力爭取演出，我們期待九月下旬有一場精彩的演出。

Excellent. Really helpful. Maybe one or two more and I'll jump back in queue. But in terms of the litigation settlement, given the inflation that we've seen, is it possible if the value of those assets could be above or meaningfully above the loans against them? Just how do we think about any potential gains or losses there?

出色的。真的很有幫助。也許再多一兩個，我就會插回隊列。但就訴訟和解而言，考慮到我們所看到的通貨膨脹，這些資產的價值是否有可能高於或明顯高於針對它們的貸款？我們如何看待那裡的潛在收益或損失？

Yeah. We've got to roll up our sleeves and do the work, and we've spoken with the auditors about that. And so quantifying, putting those on the balance sheet is something that we're going to spend a lot of time on this quarter.

是的。我們必須捲起袖子，做好工作，我們已經與審計人員討論了這一點。因此，本季我們將花費大量時間進行量化，將其納入資產負債表。

But I think we're in the assets right, we're talking about over 300 spaces with houses. And I think there could be some upside, but we've got to get everything wrapped up and get our team in there and then figure out the best way to monetize the assets. We're not planning to own them long-term.

但我認為我們的資產是正確的，我們正在談論超過 300 個帶有房屋的空間。我認為這可能有一些好處，但我們必須把一切都包起來，讓我們的團隊參與其中，然後找出資產貨幣化的最佳方式。我們不打算長期擁有它們。

Makes sense. And then lastly, any sense for like combined market value of the non-core real estate assets that you're in the process of divesting.

有道理。最後，您正在剝離的非核心房地產資產的綜合市場價值是否有意義。

Well, I'll give you an example. What we sold in this quarter was a group of warehouses that we add lease to some tenants at our Eatonton facility. And we essentially, I mean we didn't pay much for that facility to start with. So I think when you can sell something for a $1.3 million gain that no one even realizes that you own is pretty important. And there are several, at least four or five real estate assets like that in addition to a meaningfully sized portfolio of leased homes that have real value.

好吧，我給你舉個例子。我們在本季出售的是一組倉庫，我們為伊頓頓工廠的一些租戶增加了租賃權。從本質上講，我的意思是我們一開始並沒有為該設施支付太多費用。所以我認為，當你出售某樣東西並獲得 130 萬美元的收益時，甚至沒有人意識到你擁有的東西是非常重要的。除了具有實際價值的規模相當大的租賃房屋投資組合之外，還有幾種（至少四到五種）類似的房地產資產。

So as Jeff and his team have really dug into the balance sheet. We've got a list of opportunities and we're working through them. And this was the first real estate asset to come off the balance sheet and for us to monetize.

傑夫和他的團隊確實深入研究了資產負債表。我們已經列出了一系列機會，並且正在努力利用它們。這是第一個脫離資產負債表並可供我們貨幣化的房地產資產。

Mark Smith, Lake Street.

馬克史密斯，湖街。

Hi, guys. First one for me, just looking at the MHP loan portfolio here, sequentially stayed pretty flat, but it looks like maybe the actual rate maybe came down a little bit. Maybe just talk about that portfolio and especially in a declining rate environment, maybe what we should look for on kind of interest rates coming from that portfolio of MHP loans.

嗨，大家好。對我來說，第一個例子是 MHP 貸款組合，連續保持相當平穩，但看起來實際利率可能會下降一點。也許只是談論該投資組合，尤其是在利率下降的環境下，也許我們應該從 MHP 貸款組合中尋找利率類型。

Yeah, sure. I think park sales have been down, right. And so if we're selling less park model homes to communities, you've got less financing opportunities. And so the growth in that portfolio was pretty robust, '19, '20, '21, '22. '23 park business started slowing down as the full effect of interest rates carried over into the real estate transactions.

是的，當然。我認為公園銷售額已經下降，對吧。因此，如果我們向社區出售的公園樣品屋減少，您獲得的融資機會就會減少。因此，該投資組合的成長非常強勁，'19、'20、'21、'22。隨著利率的全面影響延續到房地產交易中，23 世紀公園業務開始放緩。

And so the park business has been slower, and the portfolio has been growing slower than it had the prior three to four years. As far as interest rates go, the way that, that product works is there's a two year fixed rate and then it flips to variable.

因此，公園業務成長緩慢，投資組合成長速度也比前三、四年慢。就利率而言，該產品的運作方式是有兩年固定利率，然後轉換為可變利率。

And so as notes flip to variable, the interest rate will increase. And there are certain loans in that book that will start to flip this year. We've used during slower times, I mean, we've used financing concessions to drive volume tends to be a period of no payments. So these park owners can get homes in and get them set and get them rented before they start paying on the houses. But the interest rates or the starting rates tend to be in line.

因此，當票據轉向可變票據時，利率就會增加。該書中的某些貸款將於今年開始翻轉。我們在經濟較慢的時期使用過，我的意思是，我們使用融資優惠來推動銷量，這往往是在沒有付款的時期。因此，這些公園業主可以在開始支付房屋費用之前，先把房子搬進去，安裝好，然後出租。但利率或起始利率往往是一致的。

And so what we have seen though is we will offer a little bit better rate for that two year fixed period if buyers put down a higher down payment. So we have seen people say, hey, I've got my customer in these communities is tapped out at $1,200 a month.

因此，我們看到的是，如果買家支付更高的首付，我們將在兩年的固定期限內提供更好的利率。所以我們看到人們說，嘿，我在這些社區的客戶每月的收入為 1,200 美元。

And I need to make X hundred dollars a month in lot rent to support the real estate asset. And so I need houses in here that I can keep the overall payment affordable. And so we've seen a shift to smaller homes, but we've also seen a shift toward people putting a higher down payment. So their monthly payment to us is lower to keep the homes affordable.

我需要每月賺取 X 百美元的土地租金來支持房地產資產。所以我需要這裡的房子，這樣我才能負擔得起整體付款。因此，我們看到人們轉向購買較小的房屋，但我們也看到人們轉向支付更高的首付。因此，他們每月支付給我們的費用較低，以確保房屋負擔得起。

And then I don't know if you're able to talk about it today, but can you talk about the settlement and any change that this has? I know that there was some refinancing of that note that was out there. Any impact that this has on the MHP notes as we kind of see them reported in GAAP accounting?

然後我不知道你今天是否能談談這個問題，但是你能談談和解協議以及它帶來的任何變化嗎？我知道該票據有一些再融資。這對 MHP 票據有什麼影響，因為我們看到它們在 GAAP 會計中報告？

Well, this is a longtime customer. We've done business with him and his partners for over 12 years. And he's got a nice portfolio, and it was an unfortunate situation, how we ended up here. But I think, look, it was complex. There were a lot of feelings, a lot of history there.

嗯，這可是老顧客了。我們與他和他的合作夥伴開展業務已超過 12 年。他有一個很好的投資組合，但我們最終走到了這裡，這是一個不幸的情況。但我認為，看，這很複雜。那裡有很多感情，有很多歷史。

And so it's taken a lot of time to put this deal together. And I think it's a win for both parties. And so essentially, the two parts that are coming to us will reduce the balance on a new note, and we'll wrap up notes that are in the MHP portfolio and in the development portfolio and refinance those into one note that's drafted in accordance with Louisiana law, where all of the collateral is located. So I guess a long way of saying that you're going from, say, 60 to 70 individual MHP and development notes down to one note.

因此，我們花了很多時間來完成這筆交易。我認為這對雙方來說都是勝利。因此，從本質上講，我們收到的這兩部分將減少新票據的餘額，我們將把 MHP 投資組合和開發投資組合中的票據打包，並將這些票據再融資到根據路易斯安那州法律，所有抵押品均位於該州。所以我想用很長的方式來說，你將從 60 到 70 個單獨的 MHP 和開發筆記減少到一個筆記。

Okay. So kind of a consolidation, but at the same time, it sounds like you get these couple of parks, but that loan -- that refinance loan is a smaller piece than what it was on the books before.

好的。這是一種整合，但同時，聽起來你得到了這幾個公園，但那筆貸款——再融資貸款比以前賬面上的貸款要小。

That's right. I think from their side, right, it gives them time to refinance, sell assets, and get us paid back.

這是正確的。我認為從他們的角度來看，這讓他們有時間進行再融資、出售資產並讓我們還款。

Okay. And the last one for me, Duncan, is just looking at the gross profit margin on product sales was really pretty solid here in the quarter. Can you just talk about sustainability of that? It sounds like you've ramped up production in Georgia a little bit. But are there any cost pressures? What are you seeing on labor, input costs, anything that we should be looking at as we think about gross profit margin going forward?

好的。鄧肯，我的最後一個問題是，本季產品銷售的毛利率確實非常穩定。您能談談永續性嗎？聽起來你們已經稍微提高了喬治亞州的產量。但有成本壓力嗎？您對勞動力、投入成本以及我們在考慮未來毛利率時應該考慮的任何問題有何看法？

Sure. Yeah, I mean I'm really proud of the team for keeping it at those levels, just given the production volume. And I think we can maintain it. We took production up in Georgia. We're pushing really hard to take it up in Texas. We've hit some -- we've been closed, hit some air pockets. But orders were looking pretty strong in the past couple of weeks, so that's a good sign.

當然。是的，我的意思是，考慮到產量，我真的為團隊將其保持在這些水平感到自豪。我認為我們可以維持它。我們在喬治亞州開始生產。我們正在非常努力地推動在德克薩斯州開展這項工作。我們已經遇到了一些問題——我們已經關閉了，遇到了一些氣穴。但過去幾週的訂單看起來相當強勁，所以這是一個好兆頭。

I think the hardest thing to manage is labor. I think all companies struggle with labor inflation. I don't think wages are coming down anytime soon. And so we've been really disciplined with our pricing. We've had some -- we've reduced our raw material inventory.

我認為最難管理的是勞力。我認為所有公司都在與勞動力通膨作鬥爭。我認為工資不會很快下降。因此，我們的定價非常嚴格。我們已經減少了原材料庫存。

We've got ways to go, but we've been able to take advantage of some materials coming, but the big one is labor and holding price. And so I think if we can push production volume higher, which we will be able to do this year, we should be able to maintain gross margins -- product gross margins that are at similar levels.

我們還有很長的路要走，但我們已經能夠利用一些即將到來的材料，但最重要的是勞動力和持有價格。因此，我認為，如果我們能夠提高產量（今年我們就能做到），我們​​應該能夠維持毛利率——產品毛利率處於相似的水平。

Jay McCanless, Wedbush.

傑伊·麥卡利斯，韋德布希。

Hi, guys. Thanks for taking my questions. Pretty much gone through everything that I had. On the repurchase, nice to see that step up sequentially from 1Q to 2Q. Maybe how are you guys thinking about that on a quarterly run rate going forward?

嗨，大家好。感謝您回答我的問題。幾乎經歷了我所經歷的一切。在回購方面，很高興看到回購從第一季到第二季依序上升。也許你們對未來的季度運行率有何看法？

Yeah, we've got support from the Board to continue buying stock. We're not going to come out. We're not going to come out and say, hey, every quarter, we're going to repurchase a certain amount of stock. We don't think that, that's necessarily the best way to allocate capital. But we are going to repurchase opportunistically. So we're going to run a calculation internally each quarter that identifies our -- what we calculate as our liquidation value.

是的，我們得到了董事會的支持，可以繼續買股票。我們不會出來的。我們不會出來說，嘿，每個季度，我們都會回購一定數量的股票。我們認為這不一定是分配資本的最佳方式。但我們會趁機回購。因此，我們將每季在內部進行一次計算，以確定我們計算出的清算價值。

And when the stock trades down to those levels, we'll buy as much back as we can. And if we go through this authorization, we'll ask the Board for another one. But I think the buybacks have been well-received. I feel great about the prices and the volumes that we were able to repurchase stock in the first and second quarter, and we'll keep an eye on it. And when it hit certain levels, we'll be aggressive.

當股票交易跌至這些水平時，我們將盡可能地回購。如果我們獲得了這項授權，我們將要求董事會再提供一項授權。但我認為回購受到了好評。我對我們在第一季和第二季能夠回購股票的價格和數量感到滿意，我們將密切關注。當它達到一定水平時，我們就會變得積極主動。

Okay. That sounds great. And then the liability reversed in the quarter, was that a one-off thing? Or should we expect some more of that going forward?

好的。聽起來很棒。然後負債在本季逆轉，這是一次性的事情嗎？或者我們應該期待更多這樣的事情發生嗎？

I kind of throw that in the camp with some of these asset sales. Jeff and his team now that we've got a great team on the accounting and SEC reporting side. And they're really digging in. So as they find order things on our balance sheet that don't make sense anymore, they're going to clean those up. And so there's items on both sides of the balance sheet. It's not all lopsided. But we're getting the balance sheet cleaned up, and we're going to sell assets that we don't get credit for and don't use.

我有點把它和一些資產出售一起扔進了陣營。傑夫和他的團隊現在我們在會計和 SEC 報告方面擁有一支出色的團隊。他們真的很努力。因此，當他們發現我們的資產負債表上的訂單不再有意義時，他們就會清理它們。因此，資產負債表的兩邊都有項目。並非一切都是一面倒的。但我們正在清理資產負債表，我們將出售我們沒有獲得信貸和不使用的資產。

George Melas-Kyriazi, MKH Management.

喬治‧梅拉斯-基里亞齊 (George Melas-Kyriazi)，MKH 管理公司。

Hey, thank you. Good morning, guys. Thanks for taking my question. I think you guys talked a little bit about the production about things sort of working out better at the plan, about increasing production in Georgia. Can you just provide a little bit more color on the plans, how things are going from production level quality basis, sort of give us a sense of how happy you are and where do you think you could be in six months there?

嘿，謝謝你。早安，夥計們。感謝您提出我的問題。我想你們談論了一些關於生產的事情，關於在計劃中做得更好的事情，關於增加喬治亞州的產量。您能否在計劃中提供更多信息，從生產水平質量基礎來看事情進展如何，讓我們了解您有多高興以及您認為六個月後您會達到什麼水平？

George, I've been living and breathing Georgia for two years. And we have made some significant progress in Georgia. As far as the first step was you have to fix your quality issues, and we fix those. And the house is coming out of Georgia now are just as good as anything we're building in Texas.

喬治，我在喬治亞州生活和呼吸已經兩年了。我們在格魯吉亞取得了一些重大進展。就第一步而言，您必須解決品質問題，我們會解決這些問題。現在從喬治亞州出來的房子和我們在德克薩斯州建造的任何房子一樣好。

And so I'm really proud of the team and their efforts and working with the regulators and to get the quality to where it needs to be. And then the first, you have to fix the quality, then you've got to go out and resolve sins of the past with homes that have issues.

因此，我為這個團隊及其努力以及與監管機構的合作並使品質達到所需的水平感到非常自豪。首先，你必須解決品質問題，然後你必須走出去，解決有問題的家庭過去的罪惡。

And so we've spent a tremendous amount of time and money doing that. And as you do that, you start to win back some customers. And we have an entirely new sales team in Georgia. And they've been here for, I'd say, in some cases a year, some less than a year.

因此，我們花費了大量的時間和金錢來做這件事。當你這樣做時，你就開始贏回一些客戶。我們在喬治亞州擁有一支全新的銷售團隊。我想說，他們已經在這裡待了一年，有些還不到一年。

But it's full of young professionals who see the opportunity and they are starting to really get something going on the sales side. We've had to win new customers. We've had to win relationships back with customers that had problems with houses.

但這裡充滿了看到機會的年輕專業人士，他們開始在銷售方面真正有所作為。我們必須贏得新客戶。我們必須重新贏得與房屋有問題的客戶的關係。

We've had to rebuild a dealer base over there. And I feel good about where Georgia stands today. And we've got to keep the momentum. The Georgia sales team is really firing and they're all excited. And so we got to keep pushing. We took production up one house a day in July. I think we had maybe we're a little heavy on labor there already to keep good people. And so we're rightsizing Georgia. It's moving in the right direction.

我們不得不在那裡重建經銷商基地。我對喬治亞州今天的處境感到滿意。我們必須保持這種勢頭。喬治亞州的銷售團隊真的很熱情，而且都很興奮。所以我們必須繼續努力。七月份，我們每天生產一棟房子。我想我們可能已經在勞動力方面有點繁重了，以留住優秀的人才。因此，我們正在調整喬治亞州的規模。它正在朝著正確的方向發展。

The Southeast is, the market seems to be pretty strong. And I think as you have storm activity through hurricane season, we may get lucky with some big projects over there. I think one interesting thing that the Georgia team has done is they've targeted RV park owners with our tiny home products.

東南地區，市場似乎相當強勁。我認為，由於整個颶風季節都有風暴活動，我們可能會幸運地在那裡開展一些大型項目。我認為喬治亞州團隊所做的一件有趣的事情是他們用我們的小型家用產品瞄準了房車公園業主。

And we've been able to build some customer relationships that look like they're turning into Wales, where there able to get these houses in and in many cases, have them rented before they're even set up and we're calling us back and ordering more houses. So a lot of good things coming out of Georgia, but we've got to keep our head down and keep moving in the right direction.

我們已經能夠建立一些客戶關係，看起來他們正在進入威爾士，在那裡能夠獲得這些房屋，並且在許多情況下，甚至在它們建立之前就將它們出租，我們正在給我們打電話返回並訂購更多房屋。喬治亞州帶來了很多好事，但我們必須保持低調，繼續朝著正確的方向前進。

Just remind us, in Georgia, is it primarily park sales historically what's sort of the mix of sales there? And maybe also give us just a very brief update on the Texas plans.

請提醒我們，在喬治亞州，歷史上主要是公園銷售，那裡的銷售組合是什麼樣的？也許還可以向我們提供有關德克薩斯州計劃的非常簡短的最新情況。

Yeah, Georgia, we have some big park customers over there. We've had to rebuild a dealer base, and we've got some work to do with dealers. Some of the new sales guys are hitting the road and coming back with applications, and that's encouraging. But I'd say most of the sales in Georgia right now are park sales.

是的，喬治亞州，我們那裡有一些大公園客戶。我們必須重建經銷商基地，我們還有一些與經銷商相關的工作要做。一些新的銷售人員已經上路並帶著申請回來，這是令人鼓舞的。但我想說，目前喬治亞州的大部分銷售都是公園銷售。

As far as Texas goes, two plants in Texas, also a lot of new faces on the sales team, people starting to hit their stride. We've got some dealers that are just knocking the ball out of the park in Texas. And then we've got others that I'd say, haven't moved to a more modern base sales approach using the Internet and technology that are a little behind.

就德州而言，德州有兩家工廠，銷售團隊也有很多新面孔，人們開始大步前進。我們的一些經銷商剛剛在德克薩斯州取得了成功。然後我們還有其他人，我想說的是，還沒有採用有點落後的互聯網和技術的更現代的基礎銷售方式。

And so we're trying to help them. And the park business has been slower in Texas, but orders have been picking up over the past couple of weeks, and we're really pushing. So a lot of things moving in the right direction, but we've got to show up next quarter and the following with that reflected in the numbers. And I think now that we've gotten through a lot of these larger distractions, we'll be able to do that.

所以我們正在努力幫助他們。德州的公園業務一直在放緩，但過去幾週的訂單量一直在增加，我們確實在努力推動。所以很多事情都在朝著正確的方向發展，但我們必須在下個季度和接下來的季度中表現出來，並反映在數字中。我認為現在我們已經克服了許多更大的干擾，我們將能夠做到這一點。

Okay. Great. And then maybe just a quick update on your own dealerships, I think you have 12, I can't exactly remember the number.

好的。偉大的。然後也許只是快速更新一下你們自己的經銷店，我想你們有 12 個，我記不清了。

Yeah, we have 12 dealerships, I'd say we're making more changes to those the way that we operate those right now than we probably have in the last five years. So we've really embraced technology and Internet marketing, and we're starting to see some success. We've got some stores that are really outperforming and some stores that are underperforming.

是的，我們有 12 家經銷商，我想說我們現在對這些經銷商的運作方式所做的改變比過去五年可能要多。因此，我們真正擁抱了科技和網路行銷，並開始看到一些成功。我們有一些商店表現確實出色，但也有一些商店表現不佳。

And we've got to keep the hammer down there, too. I mean, I think if I'm an investor looking at Legacy, the retail business has underperformed for years now. And I see that as a real opportunity. We see our larger competitors right, with big dealer company-owned stores and large footprints, and they're making it work. And this is certainly a fixable piece of our business. We just had to -- our focus was elsewhere. And we're on it now, and I'm excited with some of the things that the team is coming back with.

我們也必須把錘子放在那裡。我的意思是，我認為如果我是一位關注 Legacy 的投資者，那麼零售業務多年來一直表現不佳。我認為這是一個真正的機會。我們正確地看到了我們更大的競爭對手，擁有大型經銷商公司自營商店和巨大的足跡，他們正在使其發揮作用。這當然是我們業務中可以修復的部分。我們只是不得不──我們的注意力在別處。我們現在正在處理這個問題，我對團隊回來的一些事情感到很興奮。

Alex Rygiel, B. Riley Securities.

Alex Rygiel，B. Riley 證券公司。

Thanks and good morning, Duncan. It sounds like you're calling sort of an inflection point here, positively in shipments and demand. Do you think this is more company specific? Or do you see it improving kind of more on a macro basis across the entire sector?

謝謝，早安，鄧肯。聽起來你所說的這裡是一個拐點，出貨量和需求量呈現正面成長。您認為這更具體嗎？或者您認為整個行業的宏觀基礎上有所改善？

I'd say after seeing our larger competitors report this week, I think everybody is pretty upbeat. Skyline had a big week, big sales numbers. And so I think the market is improving. It's not as great as we would like it, but it certainly seems to be moving in the right direction. I think our sales numbers show that we've been dealing with a lot of challenges that have distracted us from really managing the sales team closely and spending a lot of time with customers.

我想說，在看到我們較大的競爭對手本週的報告後，我認為每個人都非常樂觀。Skyline 度過了重要的一周，銷量也很高。所以我認為市場正在改善。它並不像我們希望的那麼好，但它似乎正在朝著正確的方向發展。我認為我們的銷售數據表明我們一直在應對許多挑戰，這些挑戰使我們無法真正密切管理銷售團隊並花大量時間與客戶相處。

And that's what I'm excited about for the second half of the year. So a long way of saying, I think the market is improving, but there are Legacy specific issues that we've been addressing. And I think this is an inflection point.

這就是我對今年下半年感到興奮的事情。總而言之，我認為市場正在改善，但我們一直在解決一些遺留問題。我認為這是一個拐點。

And some of the larger production homebuilders are using aggressive incentives and discounting to drive volume, and they're seeing great success with that. You've held margin here, but obviously, volume has weakened. As the market comes back or as your unit volume picks up, do you think you'll be giving up any margin to drive some of that incremental growth?

一些較大的生產住宅建築商正在利用積極的激勵措施和折扣來提高銷量，他們已經看到了巨大的成功。你在這裡持有保證金，但顯然，成交量已經減弱。隨著市場的復甦或單位銷售的回升，您是否認為您會放棄任何利潤來推動部分增量成長？

Yeah, it's something we're discussing now. The margins do look great. We haven't used the price lever. I think a lot of our larger competitors have used the price lever, but we're mindful that I don't think labor is coming down, and we'll see what materials do. So something we're talking about right now as we get ready for the show, here in late September.

是的，這是我們現在正在討論的事情。邊距看起來確實很棒。我們沒有使用價格槓桿。我認為我們的許多較大的競爭對手都使用了價格槓桿，但我們要注意的是，我認為勞動力不會下降，我們將看看材料的作用。因此，當我們為九月下旬的演出做準備時，我們現在正在談論一些事情。

(Operator Instructions) Daniel Moore, CJS Securities.

（操作員指示）Daniel Moore，CJS 證券。

Thank you again. Probably related to the last question, but ASPs after, obviously, several quarters of declines flattened out and actually increased sequentially. So maybe just talk about whether you think we've maybe put in a little bit of a bottom into your expectations going forward? Thanks.

再次感謝您。可能與最後一個問題有關，但顯然，在幾個季度的下降之後，平均售價趨於平緩，實際上連續上升。那麼，也許只是談談您是否認為我們可能已經為您未來的期望奠定了基礎？謝謝。

Yeah. Thanks, Dan. I think that's right. I think we've hit a bottom. We went through several quarters where there was a shift on both the dealer side of the business and the park side of the business to smaller, more affordable homes.

是的。謝謝，丹。我認為這是對的。我認為我們已經觸底了。我們經歷了幾個季度，經銷商方面的業務和公園方面的業務都發生了向更小、更實惠的房屋的轉變。

Affordability is a problem throughout the entire housing market, not just first-time homebuyers buying stick built homes. And so I think, though, the ASP declines have flattened out and should be pretty stable for the rest of the year.

負擔能力是整個房地產市場的一個問題，而不僅僅是購買獨立房屋的首次購房者。因此，我認為，平均售價的下降已經趨於平緩，並且在今年剩餘時間裡應該會相當穩定。

Excellent. And maybe the last one is throughout the sort of rise in interest rates, the cost advantage continue to widen between not only MH and stick built, but obviously, you focused on kind of the lower-end price points as well in a declining -- if interest rates do pull in a little bit as forecast here over the next few quarters, do you see that as a net benefit or positive or negative just kind of net of those cross currents? Yeah, thanks, again.

出色的。也許最後一個是在利率上升的整個過程中，成本優勢不僅在 MH 和棒式建築之間繼續擴大，但顯然，您也關注低端價格點以及下降的情況 -如果未來幾個季度利率確實如預測的那樣有所回升，您認為這是淨收益還是正值或負值只是扣除了這些交叉流之後的淨收益？是的，再次感謝。

Yeah. We see interest rates really impacting the park side of our business. I mean chattel rates haven't increased as much as traditional mortgage rates have. And I think the availability of financing for this customer base is pretty broad with some of the larger players.

是的。我們看到利率確實影響了我們公園方面的業務。我的意思是動產利率沒有像傳統抵押貸款利率那樣上漲。我認為對於一些較大的參與者來說，這個客戶群的融資可用性相當廣泛。

And so I think is there either interest rates come down or in September or there's indications that they will come down. I think the park guys who are evaluating these like real estate assets right, they'll start to move quicker and say, okay, well, I can get in this thing and refinance in the next 18 or 24 months. And that will drive volume for the park side of our business.

所以我認為利率要么會在九月下降，要么有跡象表明利率會下降。我認為正在評估這些資產的公園人員就像房地產資產一樣，他們會開始更快地採取行動，並說，好吧，好吧，我可以在接下來的18 或24 個月內進入這個項目並進行再融資。這將推動我們公園方面的業務量。

But our entire business is built around offering a quality product and a financing solution to our customer that keeps this product affordable. And that is the key is keeping it affordable. And so I think that there will be a buyer for this product. I think there's other goods and services will continue to be more expensive and more of their discretionary income will go to other areas. And there'll still be demand for this product going forward regardless of the interest rate environment.

但我們的整個業務都是圍繞著為客戶提供優質產品和融資解決方案而建立的，以確保該產品價格實惠。關鍵是保持價格實惠。所以我認為這個產品會有買家。我認為其他商品和服務將繼續變得更加昂貴，他們的更多可自由支配收入將流向其他領域。無論利率環境如何，未來對該產品的需求仍然存在。

Thank you. And I'm not showing any further questions in the queue. I would now like to turn it back over to Duncan for any closing remarks.

謝謝。我不會在隊列中顯示任何其他問題。現在我想把它轉回給鄧肯，讓他發表結束語。

Thank you for joining today's earnings call. We appreciate your interest in Legacy Housing. We're hosting our fall show in Fort Worth on September 23 and 24. We've got a link on our website, encourage you to come out, see, we'll probably have 15 houses set up, fully furnished hundreds of customers there, speeches on our financing products and the industry. It's going to be a great event. I'd encourage anyone who's interested in learning more about the company or our products or seeing some of the updates to the products to come out. 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。我們將於 9 月 23 日至 24 日在沃斯堡舉辦秋季展會。我們的網站上有一個鏈接，鼓勵您出來看看，我們可能會設立 15 個房屋，為數百名客戶提供齊全的設施，並就我們的融資產品和行業進行演講。這將是一次偉大的活動。我鼓勵任何有興趣了解更多有關公司或我們產品或查看產品更新的人。接線員，我們的通話到此結束。

Thank you for your participation in today's conference. This does conclude the program. You may now disconnect. Everyone, have a great day.

感謝您參加今天的會議。這確實結束了該程式。您現在可以斷開連線。大家，祝你有美好的一天。