/EINPresswire.com/ -- Today Nobility Homes, Inc. (OTCQX: NOBH) announced increased sales and earnings results for its third quarter ended July 30, 2016. Sales for third quarter 2016 were up 39% to $9,779,621 as compared to $7,059,263 recorded in third quarter 2015. Income from operations was up 58% to $1,240,492 versus $787,272 last year. Net income after taxes was $894,271 as compared to $746,770 last year. Diluted earnings per share were $0.22 per share compared to $0.18 per share last year.

For the first nine months of fiscal 2016, sales were up 31% to $25,269,511 as compared to $19,342,181 for the first nine months of 2015. Income from operations was up 69% to $3,170,102 versus $1,872,811 last year. Net income after taxes was $5,244,553 compared to $1,907,111 last year. Diluted earnings per share were $1.30 per share compared to $0.47 per share last year.

Nobility's financial position for the first nine months of 2016 remains very strong with cash and cash equivalents and short term investments of $22,730,960 and no outstanding debt. Working capital is $31,353,487 and our ratio of current assets to current liabilities is 9.7:1. Stockholders' equity is $44,154,178 and the book value per share of common stock outstanding increased to $10.98.

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 July 2016 were up approximately 22% 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, while exploring opportunities to expand our distribution and manufacturing operations.

"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 49 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 an investment in a retirement manufactured home community, 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
				July 30,				October 31,
				2016				2015
				(Unaudited)
Assets
Current assets:
	Cash and cash equivalents			$	22,308,809			$	16,769,292
	Short-term investments				422,151				462,578
	Accounts receivable - trade				3,077,283				2,937,922
	Note receivable				500,000				-
	Mortgage notes receivable				9,164				9,851
	Income tax receivable				-				335
	Inventories				6,280,367				6,019,705
	Pre-owned homes				1,245,653				1,366,974
	Prepaid expenses and other current assets				495,754				826,180
	Deferred income taxes				613,568				655,193
		Total current assets			34,952,749				29,048,030
Property, plant and equipment, net					4,702,882				3,964,878
Pre-owned homes					2,283,336				2,724,190
Interest receivable					27,997				-
Note receivable, less current portion					2,030,000				-
Mortgage notes receivable, long term					175,135				177,644
Other investments					1,341,263				2,243,729
Deferred income taxes					-				1,210,630
Cash surrender value of life insurance					3,050,468				2,915,469
Other assets					156,287				156,287
		Total assets		$	48,720,117			$	42,440,857
Liabilities and Stockholders' Equity
Current liabilities:
	Accounts payable			$	413,320			$	704,467
	Accrued compensation				378,862				390,573
	Accrued expenses and other current liabilities				926,971				926,204
	Income taxes payable				675,037				-
	Customer deposits				1,205,072				1,323,861
		Total current liabilities			3,599,262				3,345,105
Deferred income taxes					966,677				-
		Total liabilities			4,565,939				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				10,662,414				10,650,723
	Retained earnings				42,737,630				37,493,077
	Accumulated other comprehensive income				207,297				247,724
	Less treasury stock at cost, 1,344,700 shares in 2016 and 1,333,338 shares in 2015				(9,989,654	)			(9,832,263	)
		Total stockholders' equity			44,154,178				39,095,752
		Total liabilities and stockholders' equity		$	48,720,117			$	42,440,857

NOBILITY HOMES, INC.
Consolidated Statements of Comprehensive Income
Unaudited
				Three Months Ended								Nine Months Ended
				July 30,				August 1,				July 30,				August 1,
				2016				2015				2016				2015
Net sales				$	9,779,621			$	7,059,263			$	25,269,511			$	19,342,181
Cost of goods sold					(7,599,070	)			(5,495,061	)			(19,366,957	)			(15,067,042	)
		Gross profit			2,180,551				1,564,202				5,902,554				4,275,139
Selling, general and administrative expenses					(940,059	)			(776,930	)			(2,732,452	)			(2,402,328	)
		Operating income			1,240,492				787,272				3,170,102				1,872,811
Other income (loss):
	Interest income				43,155				10,437				77,246				40,409
	Undistributed earnings in joint venture - Majestic 21				28,429				37,212				97,539				106,027
	Proceeds received under escrow arrangement				-				-				788,566				-
	Losses from investments in retirement community limited partnerships				-				(89,053	)			-				(146,403	)
	Gain on sale of investment in retirement community				-				-				3,990,000				-
	Miscellaneous				5,559				1,030				25,404				39,896
		Total other income (loss)			77,143				(40,374	)			4,978,755				39,929
Income before provision for income taxes					1,317,635				746,898				8,148,857				1,912,740
Income tax expense					(423,364	)			(128	)			(2,904,304	)			(5,629	)
		Net income			894,271				746,770				5,244,553				1,907,111
Other comprehensive income (loss)
	Unrealized investment gain (loss)				(13,176	)			28,035				(40,427	)			(1,009	)
	Comprehensive income			$	881,095			$	774,805			$	5,204,126			$	1,906,102
Weighed average number of shares outstanding:
	Basic				4,022,311				4,048,554				4,023,689				4,058,106
	Diluted				4,023,714				4,048,994				4,024,739				4,058,540
Net income per share:
	Basic			$	0.22			$	0.18			$	1.30			$	0.47
	Diluted			$	0.22			$	0.18			$	1.30			$	0.47

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

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