Climate Change Data

Environmental Metrics

ESG Focus Areas

• Employees
• Community
• Environment
• Corporate Governance

Environmental Achievements

• Reduced waste through centralized manufacturing, minimizing waste to 'buckets, not truckloads'
• Designed homes for energy efficiency with upgraded insulation, passive solar positioning, and water efficiency measures
• Used exclusively water-based paints to eliminate VOC emissions

Social Achievements

• Launched Safety Now program to improve safety awareness and training, resulting in a 14.7% decrease in injuries since 2019
• Increased production wages by an average of 15.5% in 16 of 19 plants
• Implemented a mental health benefit and broadened healthcare network
• Launched leadership development programs (Navigate and Ignition) and retail training program (JumpStart)
• Initiated 'Homes for Our Own' program to support employee homeownership
• Provided support to employees during the COVID-19 pandemic

Governance Achievements

• Appointed an independent Chairman of the Board
• Developed a renewed Code of Conduct and company-wide policies
• Established a compliance hotline ('Speak Up Cavco!') for reporting ethical concerns
• Implemented stock ownership requirements for non-employee directors and key executives

Climate Goals & Targets

Environmental Challenges

• Workplace injuries
• Affordable housing crisis
• Environmental impact of manufacturing
• Workforce diversity
• Maintaining ethical conduct

Mitigation Strategies

• Safety Now program, process changes to eliminate hazards, investment in safety technology
• Product innovation to address affordable housing needs
• Efficient manufacturing processes, use of sustainable materials, energy-efficient designs
• Data analysis and reflection to address root causes of diversity issues
• Code of Conduct, compliance hotline, and ethical training

Supply Chain Management

Responsible Procurement

• Good communication and prompt payment to suppliers
• Collaboration on product development and sustainability

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Energy-efficient homes

Environmental Metrics

ESG Focus Areas

• Safety
• Pay & Benefits
• Employee Development
• Culture (Diversity & Inclusion)
• Affordable Housing
• Community Impact
• Environmental Stewardship
• Responsible Governance

Environmental Achievements

• Installed solar panels at the new Glendale, Arizona factory, reducing its carbon footprint by an estimated 1,642 metric tons annually.
• 100% of homes are tightly constructed with upgraded insulation, reducing energy consumption.
• 100% of homes are built with pre-constructed panels, reducing waste and pollution.
• 100% of facilities incorporate recycling into their standard site processes.

Social Achievements

• Increased production employee wages by 24.2% over FY21, for a cumulative increase of 43.5% over the past 2 years.
• Lowest take-home pay for fiscal year 2021 for lowest earners exceeded their local Living Wage.
• Launched 'Homes for Our Own' program to assist employees with homeownership.
• Launched 'Spark', a new 30-day training program for new employees, reducing 30-day attrition by 25%.

Governance Achievements

• Completed a $100 million share repurchase authorization.
• Approved another $100 million repurchase authorization.
• Continued in-person Code of Conduct training for key leaders.
• Launched in-person and online training addressing key topics from the Code of Conduct.

Climate Goals & Targets

Environmental Challenges

• Addressing affordable housing crisis.
• Maintaining a safe workplace.
• Ensuring fair pay and benefits for all employees.
• Promoting diversity and inclusion.
• Reducing environmental impact of operations.

Mitigation Strategies

• Investing in safer equipment and facilities.
• Implementing Lean Manufacturing principles.
• Improving pay and benefits packages.
• Launching diversity and inclusion initiatives.
• Implementing waste reduction and recycling programs.
• Investing in renewable energy sources.

Supply Chain Management

Responsible Procurement

• Environmentally conscious materials procurement; use of recycled content in building materials.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Energy-efficient homes; homes built with recycled materials.

Awards & Recognition

• Manufactured Housing Institute’s (MHI) inaugural “Community Impact Project of the Year” award

Environmental Metrics

ESG Focus Areas

• Environmental Responsibility
• Social Impact
• Culture of Governance

Environmental Achievements

• Installation of solar panels on Glendale, Arizona factory, supplying approximately 57.9% of total electrical usage and reducing carbon footprint by an estimated 642 metric tons annually.

Social Achievements

• Launched "Safety Now" initiative, improving TRIR by 23% since FY2021 and reducing workers' compensation experience modifier by 25% over the last four years.
• Initiated leadership training programs ("Navigate" and "Ignition"), with 118 and 131 employees completing the programs respectively.
• Homes for Our Own program providing education and financial assistance to employees wishing to become homeowners.

Governance Achievements

• Published second edition of Corporate Responsibility Report and developed an ESG website.
• Adopted Environmental Stewardship Policy, Product Safety and Quality Policy, and Diversity, Equity and Inclusion Policy.
• Separated the role of CEO and Chairman of the Board.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• require that all materials received from suppliers comply with HUD code standards

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• energy-efficient homes with environmentally-friendly features

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Responsibility
• Social Impact
• Culture of Governance

Environmental Achievements

• Reduced CO2 emissions by approximately 1,402,695 lbs. in eight months of solar panel operation at the Glendale, Arizona facility (projected 1,642 megatons per year)
• Installation of solar panels on Glendale, Arizona production facility, generating approximately 60% of the plant’s electrical usage

Social Achievements

• 33% decrease in OSHA total recordable incident frequency rate in calendar year 2023, even with the addition of four new manufacturing facilities
• Launched company-wide safety initiative, "Safety Now", resulting in a 50% improvement in TRIR since 2020 and a 24% reduction in workers' compensation experience modifier
• Women represented 23% and self-identified ethnic and racial minorities represented 49% of the Company’s workforce.
• 129 employees completed "Navigate" leadership training and 153 completed "Ignition" training.

Governance Achievements

• Separation of CEO and Chairman of the Board roles
• Increased Board diversity with the addition of two women directors since 2019, one from an underrepresented group
• Six of seven directors are independent

Climate Goals & Targets

Environmental Challenges

• Evolving market and financial dynamics

Mitigation Strategies

• Confidence in the Company’s ability to navigate obstacles and capitalize on opportunities

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Requirement that all materials comply with HUD Code standards

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Energy-efficient homes with high indoor air quality, ventilation systems, and energy-efficient envelopes

Awards & Recognition

• Not disclosed