CAVCO INDUSTRIES, INC.CVCO

CAVCO INDUSTRIES, INC. Goodwill & Intangibles Disclosure

10-KFiled May 22, 20262 min read
Goodwill and Other Intangibles
Goodwill and other intangibles, net, consisted of the following (in thousands):
 March 28, 2026March 29, 2025
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount		Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
Indefinite-lived:
Goodwill
$208,841 $— $208,841 $121,969 $— $121,969 
Trademarks and trade names
7,020 — 7,020 7,020 — 7,020 
State insurance licenses
1,100 — 1,100 1,100 — 1,100 
216,961 — 216,961 130,089 — 130,089 
Finite lived:
Customer relationships28,300 (8,475)19,825 15,000 (6,676)8,324 
Other1,114 (992)122 1,114 (827)287 
$246,375 $(9,467)$236,908 $146,203 $(7,503)$138,700 
Changes in the carrying amount of Goodwill were as follows for the years ended March 28, 2026 and March 29, 2025 (in thousands).

March 30, 2024$121,934 
Acquisitions(1)
35 
March 29, 2025121,969 
Acquisitions(1)
86,872 
March 28, 2026$208,841 

(1)Acquisitions includes any adjustments to Goodwill during the measurement period. The measurement periods for the valuation of assets acquired and liabilities assumed end as soon as information on the facts and circumstances that existed as of the acquisition dates becomes available, but do not exceed 12 months. Adjustments in purchase price allocations may require a change in the amounts allocated to goodwill during the periods in which the adjustments are determined.
At March 28, 2026 and March 29, 2025, the Company had Goodwill of $208,841 and $121,969, respectively. The change is due to the acquisition of American Homestar (see Note 23). All Goodwill resides in the factory-built housing segment. At March 28, 2026 there are no accumulated impairment losses related to Goodwill.
In the fourth quarter of fiscal year 2025, the Company performed a strategic brand realignment. As a result, Cavco recorded a non-cash charge of $10.0 million in Selling, general and administrative expenses related to the adjustment of legacy indefinite lived trade name values in that period.
Amortization expense recognized on intangible assets was $2.0 million during fiscal year 2026, $1.5 million during fiscal year 2025 and $1.6 million during fiscal year 2024. Customer relationships have a weighted average remaining life of 9.3 years and other finite lived intangibles have a weighted average remaining life of 0.6 years.
Expected amortization for future fiscal years is as follows (in thousands):
2027$2,365 
20282,249 
20292,215 
20301,935 
20311,795 
Thereafter9,388 
$19,947 

Historical Timeline

Fiscal YearFiled
2026May 22, 2026Showing above
2025May 23, 2025
2024May 24, 2024
2023May 19, 2023
2022May 31, 2022
2021May 28, 2021
2020May 27, 2020
2019May 29, 2019
2017Jun 13, 2017
2016Jun 21, 2016

About Goodwill & Intangibles Disclosures

Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.

Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.

Other Available Disclosures

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