/EINPresswire.com/ -- OCALA, FL -- (Marketwired) -- 03/11/16 -- Today Nobility Homes, Inc. (OTCQX: NOBH) announced increased sales and earnings results for its first quarter ended January 30, 2016. Sales for first quarter 2016 were up 32% to $7,374,050 as compared to $5,576,800 recorded in first quarter 2015. Income from operations for first quarter 2016 was up 130% to $975,741 versus $424,820 in the same period a year ago. Net income after taxes was $678,401 as compared to $479,788 for the same period last year. Diluted earnings per share for first quarter 2016 were $0.17 per share compared to $0.12 per share last year.

Nobility's financial position during first quarter 2016 remains very strong with cash and cash equivalents and short term investments of $17,162,666 and no outstanding debt. Working capital is $25,640,995 and our ratio of current assets to current liabilities is 9.5:1. Stockholders' equity is $39,602,650 and the book value per share of common stock increased to $9.84.

Terry Trexler, President, stated, "The demand for affordable manufactured housing in Florida and the U.S. is improving. According to the Florida Manufactured Housing Association, shipments in Florida for the period from November 2015 through January 2016 were up approximately 33% from the same period last year. Our sales and earnings continue to be affected by the challenging housing environment, the uncertainty of the U.S. and world economy, employment levels, consumer confidence and, in particular, the lack of available retail and wholesale financing. Constrained consumer credit and the lack of lenders in the industry, partly as a result of an increase in government regulations, have limited many affordable manufactured housing buyers from purchasing homes.

We understand that during this uncertain economic environment, maintaining our strong financial position is vital for future growth and success. Because of the recent years of very challenging business conditions in our market area, management will continue to evaluate all expenses and react in a manner consistent with maintaining our strong financial position.

Our many years of experience in the Florida market, combined with home buyers' increased need for more affordable housing, should serve the Company well in the coming years. Management remains convinced that our specific geographic market is one of the best long-term growth areas in the country."

The Company has specialized for over 48 years in the design and production of quality, affordable manufactured homes at its plant located in central Florida. With multiple retail sales centers, an insurance subsidiary, and investments in retirement manufactured home communities, we are the only vertically integrated manufactured home company headquartered in Florida.

MANAGEMENT WILL NOT HOLD A CONFERENCE CALL. IF YOU HAVE ANY QUESTIONS, PLEASE CALL TERRY OR TOM TREXLER @ 800-476-6624 EXT 221 OR TERRY@NOBILITYHOMES.COM OR TOM@NOBILITYHOMES.COM

Certain statements in this report are forward-looking statements within the meaning of the federal securities laws. Although Nobility believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, there are risks and uncertainties that may cause actual results to differ materially from expectations. These risks and uncertainties include, but are not limited to, competitive pricing pressures at both the wholesale and retail levels, increasing material costs, continued excess retail inventory, increase in repossessions, changes in market demand, changes in interest rates, availability of financing for retail and wholesale purchasers, consumer confidence, adverse weather conditions that reduce sales at retail centers, the risk of manufacturing plant shutdowns due to storms or other factors, the impact of marketing and cost-management programs, reliance on the Florida economy, impact of labor shortage, impact of materials shortage, increasing labor cost, cyclical nature of the manufactured housing industry, impact of rising fuel costs, catastrophic events impacting insurance costs, availability of insurance coverage for various risks to Nobility, market demographics, management's ability to attract and retain executive officers and key personnel, increased global tensions, market disruptions resulting from terrorist or other attack and any armed conflict involving the United States and the impact of inflation.

                            NOBILITY HOMES, INC.
                        Consolidated Balance Sheets

                                                  January 30,   October 31,
                                                     2016          2015
                                                 ------------  ------------
                                                  (Unaudited)
Assets
Current assets:
  Cash and cash equivalents                      $ 16,769,727  $ 16,769,292
  Short-term investments                              392,939       462,578
  Accounts receivable - trade                       2,300,412     2,937,922
  Mortgage notes receivable, current                   10,674         9,851
  Income tax receivable                                10,335           335
  Inventories                                       6,488,324     6,019,705
  Pre-owned homes, current                          1,223,496     1,366,974
  Prepaid expenses and other current assets           767,840       826,180
  Deferred income taxes                               702,014       655,193
                                                 ------------  ------------
    Total current assets                           28,665,761    29,048,030

Property, plant and equipment, net                  4,684,545     3,964,878
Pre-owned homes                                     2,898,152     2,724,190
Mortgage notes receivable, long term                  176,821       177,644
Other investments                                   2,277,137     2,243,729
Deferred income taxes                                 811,245     1,210,630
Cash surrender value of life insurance              2,957,468     2,915,469
Other assets                                          156,287       156,287
                                                 ------------  ------------
    Total assets                                 $ 42,627,416  $ 42,440,857
                                                 ============  ============

Liabilities and Stockholders' Equity
Current liabilities:
  Accounts payable                               $    533,609  $    704,467
  Accrued compensation                                310,222       390,573
  Accrued expenses and other current liabilities      765,905       926,204
  Customer deposits                                 1,415,030     1,323,861
                                                 ------------  ------------
    Total current liabilities                       3,024,766     3,345,105
                                                 ------------  ------------

Commitments and contingent liabilities

Stockholders' equity:
  Preferred stock, $.10 par value, 500,000
   shares authorized; none issued and
   outstanding                                              -             -
  Common stock, $.10 par value, 10,000,000
   shares authorized; 5,364,907 shares issued         536,491       536,491
  Additional paid in capital                       10,659,025    10,650,723
  Retained earnings                                38,171,478    37,493,077
  Accumulated other comprehensive income              178,085       247,724
  Less treasury stock at cost, 1,341,613 shares
   in 2016 and 1,333,338 shares in 2015            (9,942,429)   (9,832,263)
                                                 ------------  ------------
    Total stockholders' equity                     39,602,650    39,095,752
                                                 ------------  ------------
    Total liabilities and stockholders' equity   $ 42,627,416  $ 42,440,857
                                                 ============  ============



                            NOBILITY HOMES, INC.
              Consolidated Statements of Comprehensive Income
                                (Unaudited)
                                                     Three Months Ended
                                                 --------------------------
                                                  January 30,   January 31,
                                                     2016          2015

Net sales                                        $  7,374,050  $  5,576,800

Cost of goods sold                                 (5,617,615)   (4,404,031)
                                                 ------------  ------------

    Gross profit                                    1,756,435     1,172,769

Selling, general and administrative expenses         (780,694)     (747,949)
                                                 ------------  ------------

    Operating income                                  975,741       424,820
                                                 ------------  ------------

Other income (loss):
  Interest income                                      12,047        13,120
  Undistributed earnings in joint venture -
   Majestic 21                                         33,408        33,578
  Losses from investments in retirement
   community limited partnerships                           -        (5,693)
  Miscellaneous                                         9,769        15,170
                                                 ------------  ------------
    Total other income                                 55,224        56,175
                                                 ------------  ------------

Income before provision for income taxes            1,030,965       480,995

Income tax expense                                   (352,564)       (1,207)
                                                 ------------  ------------

    Net income                                        678,401       479,788

Other comprehensive loss
  Unrealized investment loss                          (69,639)      (70,985)
                                                 ------------  ------------

  Comprehensive income                           $    608,762  $    408,803
                                                 ============  ============

Weighed average number of shares outstanding:
  Basic                                             4,025,316     4,063,913
  Diluted                                           4,025,952     4,064,254

Net income per share:
  Basic                                          $       0.17  $       0.12
  Diluted                                        $       0.17  $       0.12

TERRY OR TOM TREXLER
800-476-6624 EXT 221
TERRY@NOBILITYHOMES.COM OR TOM@NOBILITYHOMES.COM

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