COLUMBUS, Ohio, Jan. 29,
2025 /PRNewswire/ -- M/I Homes, Inc. (NYSE:MHO)
announced results for its fourth quarter and year ended
December 31, 2024.
2024 Fourth Quarter Results:
- Record fourth quarter homes delivered and income
- New contracts increased 11% to 1,759
- Homes delivered increased 19% to 2,402
- Revenue of $1.2 billion, up
24%
- Pre-tax income of $171 million,
up 24%
- Net income increased 27% to $133.5
million ($4.71 per diluted
share) compared to $105 million
($3.66 per diluted share) in
2023
- Repurchased $50 million of
stock
2024 Full Year Results:
- Record homes delivered, revenue and income
- New contracts increased 8% to 8,584
- Homes delivered increased 12% to 9,055
- Revenue increased 12% to $4.5
billion
- Pre-tax income increased 21% to $734
million; 16% of revenue
- Net income increased 21% to $564
million ($19.71 per diluted
share)
- Shareholders' equity reached an all-time record of $2.9 billion, a 17% increase from a year ago,
with book value per share of $109
- Repurchased $176 million of
stock
- Return on equity of 21%
- Homebuilding debt to capital ratio of 19% compared to 22% at
December 31, 2023
For the fourth quarter of 2024, the Company reported net income
of $133.5 million, or
$4.71 per diluted share, compared to
net income of $105.3 million, or
$3.66 per diluted share, for the
fourth quarter of 2023. For the year ended December 31, 2024,
the Company reported net income of $563.7 million, or $19.71 per diluted share, compared to net income
of $465.4 million, or
$16.21 per diluted share in 2023.
Homes delivered in 2024's fourth quarter reached an all-time
quarterly record of 2,402, a 19% increase compared to 2,019
deliveries in 2023's fourth quarter. Homes delivered for the twelve
months ended December 31, 2024 increased 12% to a record 9,055
from 2023's deliveries of 8,112. New contracts for 2024's fourth
quarter increased 11% to 1,759 from 1,588 new contracts in 2023's
fourth quarter. For 2024, new contracts were 8,584, an 8% increase
from 2023's 7,977 new contracts. Homes in backlog decreased 16% at
December 31, 2024 to 2,531 units, with a sales value of
$1.4 billion, an 11% decrease from
last year, while the average sales price in backlog increased 5% to
an all-time record $553,000. At
December 31, 2023, the sales value of the 3,002 homes in
backlog was $1.6 billion, with an
average sales price of $525,000. M/I
Homes had 220 active communities at December 31, 2024 compared
to 213 a year ago. The Company's cancellation rate was 14% in
2024's fourth quarter compared to 13% for the prior year's fourth
quarter.
Robert H. Schottenstein, Chief
Executive Officer and President, commented, "We had an outstanding
2024 highlighted by all-time records in homes delivered, revenue
and income. Our homes delivered increased 12% to 9,055 generating
revenue of $4.5 billion - a 12%
increase over 2023. Our gross margins were 26.6% compared to
25.3% and pre-tax income was $734
million, a 21% increase over last year. Our pre-tax margin
reached 16% and we produced a strong return on equity of 21%."
Mr. Schottenstein continued, "We are in excellent financial
condition. We ended the year with record shareholders' equity of
$2.9 billion, cash of $822 million, zero borrowings under our
$650 million credit facility, a
homebuilding debt to capital ratio of 19% and a net debt to capital
ratio of negative 5%. Our year-end book value was a record
$109 per share. As we begin 2025, we
believe our industry will continue to benefit from strong
fundamentals, including favorable demographic trends and an
undersupply of housing."
The Company will broadcast live its earnings conference call
today at 10:30 a.m. Eastern Time. To
listen to the call live, log on to the M/I Homes' website at
mihomes.com, click on the "Investors" section of the site, and
select "Listen to the Conference Call." A replay of the call
will continue to be available on our website through January 2026.
M/I Homes, Inc. is one of the nation's leading homebuilders of
single-family homes. The Company has homebuilding operations in
Columbus and Cincinnati, Ohio; Indianapolis, Indiana; Chicago, Illinois; Minneapolis/St. Paul, Minnesota; Detroit, Michigan; Tampa, Sarasota, Fort
Myers/Naples and
Orlando, Florida; Austin, Dallas/Fort
Worth, Houston and
San Antonio, Texas; Charlotte and Raleigh, North Carolina and Nashville, Tennessee.
Certain statements in this press release are forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Words such as "expects," "anticipates,"
"targets," "envisions," "goals," "projects," "intends," "plans,"
"believes," "seeks," "estimates," variations of such words and
similar expressions are intended to identify such forward-looking
statements. These statements involve a number of risks and
uncertainties. Any forward-looking statements that we make herein
and in any future reports and statements are not guarantees of
future performance, and actual results may differ materially from
those in such forward-looking statements as a result of various
factors, including, without limitation, factors relating to the
economic environment, interest rates, availability of resources,
competition, market concentration, land development activities,
construction defects, product liability and warranty claims and
various governmental rules and regulations, as more fully discussed
in the "Risk Factors" section of the Company's Annual Report on
Form 10-K for the year ended December 31, 2023, as the same
may be updated from time to time in our subsequent filings with the
Securities and Exchange Commission. All forward-looking statements
made in this press release are made as of the date hereof, and the
risk that actual results will differ materially from expectations
expressed herein will increase with the passage of time. We
undertake no duty to publicly update any forward-looking
statements, whether as a result of new information, future events
or otherwise. However, any further disclosures made on
related subjects in our subsequent filings, releases or
presentations should be consulted.
|
M/I Homes, Inc. and
Subsidiaries
Summary Statement of
Income (Unaudited)
(Dollars and shares
in thousands, except per share amounts)
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31,
|
|
December
31,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
New
contracts
|
1,759
|
|
1,588
|
|
8,584
|
|
7,977
|
|
Average community
count
|
219
|
|
209
|
|
216
|
|
202
|
|
Cancellation
rate
|
14 %
|
|
13 %
|
|
10 %
|
|
11 %
|
|
Backlog
units
|
2,531
|
|
3,002
|
|
2,531
|
|
3,002
|
|
Backlog sales
value
|
$ 1,399,683
|
|
$ 1,575,643
|
|
$ 1,399,683
|
|
$ 1,575,643
|
|
Homes
delivered
|
2,402
|
|
2,019
|
|
9,055
|
|
8,112
|
|
Average home closing
price
|
$
490
|
|
$
471
|
|
$
483
|
|
$
483
|
|
|
|
|
|
|
|
|
|
Homebuilding
revenue:
|
|
|
|
|
|
|
|
|
Housing
revenue
|
$ 1,175,883
|
|
$
950,872
|
|
$ 4,375,829
|
|
$ 3,914,372
|
|
Land
revenue
|
882
|
|
2,025
|
|
12,635
|
|
25,301
|
|
Total homebuilding
revenue
|
$ 1,176,765
|
|
$
952,897
|
|
$ 4,388,464
|
|
$ 3,939,673
|
|
|
|
|
|
|
|
|
|
Financial
services revenue
|
28,512
|
|
19,691
|
|
116,206
|
|
93,829
|
|
|
|
|
|
|
|
|
|
Total
revenue
|
$ 1,205,277
|
|
$
972,588
|
|
$ 4,504,670
|
|
$ 4,033,502
|
|
|
|
|
|
|
|
|
|
Cost of sales -
operations
|
908,452
|
|
728,202
|
|
3,305,781
|
|
3,014,573
|
|
Gross margin
|
$
296,825
|
|
$
244,386
|
|
$ 1,198,889
|
|
$ 1,018,929
|
|
General and
administrative expense
|
70,059
|
|
60,284
|
|
258,422
|
|
222,765
|
|
Selling
expense
|
62,775
|
|
54,256
|
|
234,373
|
|
208,942
|
|
Operating
income
|
$
163,991
|
|
$
129,846
|
|
$
706,094
|
|
$
587,222
|
|
Other loss
(income)
|
—
|
|
1
|
|
—
|
|
(33)
|
|
Interest income, net of
interest expense
|
(6,566)
|
|
(8,129)
|
|
(27,514)
|
|
(20,022)
|
|
Income before income
taxes
|
$
170,557
|
|
$
137,974
|
|
$
733,608
|
|
$
607,277
|
|
Provision for income
taxes
|
37,088
|
|
32,692
|
|
169,883
|
|
141,912
|
|
Net income
|
$
133,469
|
|
$
105,282
|
|
$
563,725
|
|
$
465,365
|
|
|
|
|
|
|
|
|
|
Earnings per
share:
|
|
|
|
|
|
|
|
|
Basic
|
$
4.85
|
|
$
3.79
|
|
$
20.29
|
|
$
16.76
|
|
Diluted
|
$
4.71
|
|
$
3.66
|
|
$
19.71
|
|
$
16.21
|
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
27,538
|
|
27,769
|
|
27,777
|
|
27,769
|
|
Diluted
|
28,308
|
|
28,756
|
|
28,600
|
|
28,716
|
|
M/I Homes, Inc. and
Subsidiaries
Summary Balance
Sheet and Other Information (unaudited)
(Dollars in
thousands, except per share amounts)
|
|
|
As of
|
|
December
31,
|
|
2024
|
|
2023
|
|
Assets:
|
|
|
|
|
Total cash, cash
equivalents and restricted cash
|
$ 821,570
|
|
$ 732,804
|
|
Mortgage loans held for
sale
|
283,540
|
|
176,329
|
|
Inventory:
|
|
|
|
|
Lots, land and land
development
|
1,630,190
|
|
1,446,576
|
|
Land held for
sale
|
7,699
|
|
6,932
|
|
Homes under
construction
|
1,271,626
|
|
1,177,101
|
|
Other
inventory
|
182,347
|
|
166,542
|
|
Total
Inventory
|
$
3,091,862
|
|
$
2,797,151
|
|
|
|
|
|
Property and equipment
- net
|
34,513
|
|
34,918
|
|
Operating lease
right-of-use assets
|
53,895
|
|
56,364
|
|
Goodwill
|
16,400
|
|
16,400
|
|
Investments in joint
venture arrangements
|
65,334
|
|
44,011
|
|
Deferred income tax
asset
|
13,451
|
|
16,094
|
|
Other assets
|
169,231
|
|
148,369
|
|
Total Assets
|
$
4,549,796
|
|
$
4,022,440
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
Debt - Homebuilding
Operations:
|
|
|
|
|
Senior notes due 2028
- net
|
397,653
|
|
396,879
|
|
Senior notes due 2030
- net
|
297,369
|
|
296,865
|
|
Total Debt -
Homebuilding Operations
|
$ 695,022
|
|
$ 693,744
|
|
|
|
|
|
Notes payable bank -
financial services operations
|
286,159
|
|
165,844
|
|
Total Debt
|
$ 981,181
|
|
$
859,588
|
|
|
|
|
|
Accounts
payable
|
198,579
|
|
204,678
|
|
Operating lease
liabilities
|
55,365
|
|
57,566
|
|
Other
liabilities
|
374,994
|
|
383,669
|
|
Total
Liabilities
|
$
1,610,119
|
|
$
1,505,501
|
|
|
|
|
|
Shareholders'
Equity
|
2,939,677
|
|
2,516,939
|
|
Total Liabilities and
Shareholders' Equity
|
$
4,549,796
|
|
$
4,022,440
|
|
|
|
|
|
Book value per common
share
|
$
108.62
|
|
$
90.66
|
|
Homebuilding debt /
capital ratio(1)
|
19 %
|
|
22 %
|
|
|
|
(1)
|
The ratio of
homebuilding debt to capital is calculated as the carrying value of
our homebuilding debt outstanding divided by the sum of the
carrying value of our homebuilding debt outstanding plus
shareholders' equity.
|
|
M/I Homes, Inc. and
Subsidiaries
Selected
Supplemental Financial and Operating Data
(Dollars in
thousands)
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31,
|
|
December
31,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Cash provided by
operating activities
|
$
104,395
|
|
$
54,901
|
|
$
179,736
|
|
$
552,131
|
|
Cash used in investing
activities
|
$
(9,859)
|
|
$
(4,500)
|
|
$
(54,896)
|
|
$
(18,632)
|
|
Cash provided by (used
in) financing activities
|
$
7,114
|
|
$
(53,849)
|
|
$
(36,074)
|
|
$
(112,237)
|
|
|
|
|
|
|
|
|
|
Land/lot
purchases
|
$
107,384
|
|
$
95,930
|
|
$
472,937
|
|
$
343,504
|
|
Land development
spending
|
$
201,301
|
|
$
159,550
|
|
$
645,960
|
|
$
512,105
|
|
Land sale
revenue
|
$
882
|
|
$
2,025
|
|
$
12,635
|
|
$
25,301
|
|
Land sale gross
profit
|
$
391
|
|
$
356
|
|
$
3,709
|
|
$
3,360
|
|
|
|
|
|
|
|
|
|
Financial services
pre-tax income
|
$
10,034
|
|
$
4,676
|
|
$
49,682
|
|
$
38,354
|
|
M/I Homes, Inc. and
Subsidiaries
Non-GAAP Financial
Results (1)
(Dollars in
thousands)
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
December
31,
|
|
December
31,
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Net income
|
$
133,469
|
|
$
105,282
|
|
$
563,725
|
|
$
465,365
|
|
Add:
|
|
|
|
|
|
|
|
|
Provision for income
taxes
|
37,088
|
|
32,692
|
|
169,883
|
|
141,912
|
|
Interest income -
net
|
(10,177)
|
|
(10,908)
|
|
(40,719)
|
|
(30,030)
|
|
Interest amortized to
cost of sales
|
8,181
|
|
7,724
|
|
32,053
|
|
33,326
|
|
Depreciation and
amortization
|
4,810
|
|
4,479
|
|
18,700
|
|
17,369
|
|
Non-cash
charges
|
9,709
|
|
13,241
|
|
23,808
|
|
20,247
|
|
Adjusted
EBITDA
|
$
183,080
|
|
$
152,510
|
|
$
767,450
|
|
$
648,189
|
|
|
|
(1)
|
We believe these
non-GAAP financial measures are relevant and useful to investors in
understanding our operations and may be helpful in comparing us
with other companies in the homebuilding industry to the extent
they provide similar information. These non-GAAP financial measures
should be used to supplement our GAAP results in order to provide a
greater understanding of the factors and trends affecting our
operations.
|
|
M/I Homes, Inc. and
Subsidiaries
Selected
Supplemental Financial and Operating Data
|
|
|
NEW
CONTRACTS
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
December
31,
|
|
|
December
31,
|
|
|
|
|
|
%
|
|
|
|
|
|
|
%
|
|
Region
|
2024
|
|
2023
|
|
Change
|
|
|
2024
|
|
2023
|
|
Change
|
|
Northern
|
707
|
|
699
|
|
1 %
|
|
|
3,761
|
|
3,361
|
|
12 %
|
|
Southern
|
1,052
|
|
889
|
|
18 %
|
|
|
4,823
|
|
4,616
|
|
4 %
|
|
Total
|
1,759
|
|
1,588
|
|
11 %
|
|
|
8,584
|
|
7,977
|
|
8 %
|
|
|
HOMES
DELIVERED
|
|
Three Months
Ended
|
|
|
Twelve Months
Ended
|
|
December
31,
|
|
|
December
31,
|
|
|
|
|
|
%
|
|
|
|
|
|
|
%
|
|
Region
|
2024
|
|
2023
|
|
Change
|
|
|
2024
|
|
2023
|
|
Change
|
|
Northern
|
1,064
|
|
848
|
|
25 %
|
|
|
3,873
|
|
3,169
|
|
22 %
|
|
Southern
|
1,338
|
|
1,171
|
|
14 %
|
|
|
5,182
|
|
4,943
|
|
5 %
|
|
Total
|
2,402
|
|
2,019
|
|
19 %
|
|
|
9,055
|
|
8,112
|
|
12 %
|
|
|
BACKLOG
|
|
December 31,
2024
|
|
|
December 31,
2023
|
|
|
|
Dollars
|
|
Average
|
|
|
|
|
Dollars
|
|
Average
|
|
Region
|
Units
|
|
(millions)
|
|
Sales
Price
|
|
|
Units
|
|
(millions)
|
|
Sales
Price
|
|
Northern
|
1,136
|
|
$
637
|
|
$ 561,000
|
|
|
1,248
|
|
$
663
|
|
$ 531,000
|
|
Southern
|
1,395
|
|
$
763
|
|
$ 547,000
|
|
|
1,754
|
|
$
912
|
|
$ 520,000
|
|
Total
|
2,531
|
|
$
1,400
|
|
$ 553,000
|
|
|
3,002
|
|
$
1,576
|
|
$ 525,000
|
|
|
LAND POSITION
SUMMARY
|
|
December 31,
2024
|
|
|
December 31,
2023
|
|
Lots
|
|
Lots
Under
|
|
|
|
|
Lots
|
|
Lots
Under
|
|
|
|
Region
|
Owned
|
|
Contract
|
|
Total
|
|
|
Owned
|
|
Contract
|
|
Total
|
|
Northern
|
6,546
|
|
11,076
|
|
17,622
|
|
|
6,852
|
|
8,935
|
|
15,787
|
|
Southern
|
17,290
|
|
17,244
|
|
34,534
|
|
|
17,522
|
|
12,351
|
|
29,873
|
|
Total
|
23,836
|
|
28,320
|
|
52,156
|
|
|
24,374
|
|
21,286
|
|
45,660
|
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SOURCE M/I Homes, Inc.
