Champion Homes, Inc.

Good morning, and welcome to the Champion Homes second quarter fiscal 2026 earnings call. My name is Keith, and I will be recording your call today. Should you need assistance, please signal conference specialists for pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note, this event is being recorded. I'm going to turn the conference over to your host, Jason Blair, to begin. Jason, please go ahead.

Good morning. Thank you for taking the time to join us for today's conference call and review of our business results for the second quarter ended September 27, 2025. Here to review our results are Tim Larson, Champion Homes President and Chief Executive Officer, and Lori Huff, Executive Vice President, Chief Financial Officer, and Treasurer. Yesterday, after the market closed, we issued our earnings release. As a reminder, the earnings release and statements during today's call include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties that could cause actual results to differ materially from the company's expectations. Such risks and uncertainties include factors set forth in the earnings release and in the company's violence with the Securities and Exchange Commission. Please note that today's remarks contain non-GAAP financial measures, which we believe can be useful in evaluating performance. Definitions and reconciliations of these measures can be found in the earnings release. I will now turn the call over to Champion Home's CEO, Tim Larson.

Thank you, Jason, and good morning, everyone. I'll talk more specifically about our results in a moment, but first I will share some operational highlights from the quarter and how I believe executing our customer-centric strategic priorities helped us exceed expectations in Q2. Our strategic priorities will continue to provide the foundation for Champion's operational effectiveness in the near and long term. As I previously shared, one of our priorities is innovating and differentiating the products and services by customer segment and at the right price value. During the quarter, we continue to introduce new home designs to provide a range of price points and value for today's customers. We've included examples of some of our latest products on our socials and an investor deck on our website. I continue to remain impressed by our team's ability to create stunning homes with relevant floor plans and features that are making new homeownership a reality for more consumers. Increasing awareness, demand, and advocacy for our brands and homes is another strategic priority for Champion. In the quarter, we continue to advocate for the Road to Housing Act, which includes a specific title section that highlights Congress's support for offsite-built homes. We are pleased that this bill has passed the Senate and on its way to the House. We will continue to monitor the legislation as it goes from the House to the President and then to HUD for implementation. On a local level, in New York State, and as reported in September by the New York Times, Champion is collaborating with New York State Homes and Community Renewal as part of their affordable housing strategy, reflecting New York State Governor Hochul's five-year plan to create or preserve thousands of homes statewide. The pilot program in Syracuse, New York, demonstrates Champion's ability to provide affordable housing solutions with speed to market. The homes were installed on land provided by local land banks with the cost to build and install under $250,000 and taking less than six months to complete. This project reflects the momentum and increased awareness we are seeing across federal, state, and local governments and highlights off-site construction's benefits of speed, cost, and quality. Now I'll turn to the recent quarter's performance. Second quarter year-over-year net sales increased 11% to $684 million, and homes sold during the period increased 4% to a total of 6,771 homes. The increased sales through our company-owned captive retail stores and at independent retailers were supported by effective cost management, delivering strong gross margin and earnings growth in the quarter. Our teams continue to thoughtfully pace production with demand in each market. Manufacturing backlog at the end of September totaled $313 million, up 4% sequentially. The average backlog lead time ended the quarter at eight weeks, which is within our target range. From a channel perspective, sales to our independent retail channel grew compared to the prior year period. We've been successful in adding independent distribution points in the quarter, and we believe the marketing support we provide our dealers, including digital capabilities, are helping to drive success in this channel. At Captive Retail, sales increased versus the same quarter last year. We remain pleased with our acquisition of Eisman Homes, which helped drive this increase, along with an increase in the average selling price, which has been driven by our retail team's execution of new products and home features. resulting in a mix shift to more multi-section homes compared to the prior year period and the sequential first quarter. Moving to the community channel, as expected, our community sales were down slightly in the second quarter versus the same period last year. Based on the balancing of inventory levels in this channel that align with moderating order rates and softening consumer confidence, we expect order and production rates in the community channel to be mixed and impact near-term sales. Sales through the Builder Developer Channel grew in the second quarter versus the same period last year. We added several new customers in this channel and continue to see our pipeline grow. We take great pride in the work we do with builders, including providing education and support on the best practices to maximize offsite construction. I had the opportunity to see this firsthand at our builder event in Cleveland in September. Champion Financing continues to produce strong results, and allows us to provide diverse financing options for our retailers and our consumers. Our retail loan programs are enabling our teams to connect buyers with the right home and the right payment that fits their needs. I'll now turn the call over to Lori, who will discuss our quarterly financial performance in more detail.