Group 1 - Century Communities has a market capitalization of $1.73 billion, indicating it is not a major player in the homebuilding industry [1] - The company may not be widely recognized within the industry, suggesting potential for growth and investment opportunities [1] Group 2 - Crude Value Insights provides an investment service focused on oil and natural gas, emphasizing cash flow and companies that generate it [1] - The service aims to identify value and growth prospects with real potential in the oil and gas sector [1]

Core Insights - Century Communities, Inc. is expanding its Century Complete brand to Nevada with the launch of Ishani Ridge in Pahrump, set to open for sales in August 2025, with homes starting from the $260s [1][3] Company Overview - Century Communities is recognized as a top 10 national homebuilder and an industry leader in online home sales, ranked highest on Newsweek's list of America's Most Trustworthy Companies 2025 [1][8] - The company operates in 17 states and over 45 markets across the U.S., providing a range of services including mortgage, title, insurance brokerage, and escrow through its subsidiaries [8] Product Offering - Ishani Ridge will feature over 170 single-family homesites with single-story floor plans, offering 3 to 4 bedrooms, 2 bathrooms, and 2-bay garages, with sizes ranging from 1,290 to 1,815 square feet [5] - Homes will include desirable features such as quartz countertops, stainless-steel appliances, Kohler® water fixtures, and luxury vinyl plank flooring [5] Online Homebuying Experience - Century Complete offers an industry-first online homebuying experience, allowing buyers to purchase homes easily while still working with their local real estate agents [4][6] - The online process includes steps such as selecting a home, filling out a Buy Online form, and electronically signing a purchase contract [6][7] Community Features - Ishani Ridge is positioned to provide a relaxed desert lifestyle with access to outdoor recreation and amenities, including proximity to hiking trails, Death Valley National Park, and wineries [2][5]

Core Insights - Century Communities, Inc. is expanding its Century Complete brand with new single-family homes in Kinsale, Macon, starting from the low $200s, featuring private, wooded homesites [1][2][7] - The community offers a variety of quality and affordable floor plans, with convenient access to I-475 and proximity to recreational areas like Lake Tobesofkee [1][4][7] - The company emphasizes its innovative online homebuying process, allowing buyers to purchase homes 24/7, complemented by in-person assistance [3][4][5][6] Company Overview - Century Communities, Inc. is recognized as one of the largest homebuilders in the U.S. and a leader in online home sales, having been named one of America's and the World's Most Trustworthy Companies by Newsweek [7] - The company operates in 16 states and over 45 markets, providing a range of services including mortgage and insurance through its subsidiaries [7] - The mission of Century Communities is to build high-quality homes at affordable prices, catering to a diverse range of homebuyers [7]

Core Insights - Century Communities, Inc. has launched its Century Complete brand at Mesquite Hills in Cottonwood, AZ, offering affordable single-family homes in a desirable location [1][10] - The community features a new model home showcasing the Sterling floor plan, designed for comfort and convenience [3][4] - The homes are priced starting from the $360s, with various single-story floor plans available [4][7] Company Overview - Century Communities is recognized as one of the largest homebuilders in the U.S. and a leader in online home sales, having been named one of America's Most Trustworthy Companies for three consecutive years [10] - The company operates in 16 states and over 45 markets, providing a range of services including mortgage and insurance through its subsidiaries [10] Community Features - Mesquite Hills is conveniently located near Highway 89A, surrounded by natural beauty and local attractions such as Mingus Mountain and Prescott National Forest [2][7] - The community offers single-story floor plans with up to 4 bedrooms and 2 bathrooms, featuring modern amenities like stainless-steel appliances and quartz countertops [3][7] Online Homebuying Experience - Century Complete provides an industry-first online homebuying experience, allowing buyers to purchase homes at their convenience while still working with local real estate agents [8][10] - The online process includes steps such as filling out a Buy Online form and electronically signing a purchase contract [12]

Core Insights - Century Communities, Inc. has launched its Century Complete brand at Creekside in Anderson, SC, offering affordable single-family homes starting from the mid $200s [1][3] - The new homes feature modern two-story floor plans, including the Dupont and Essex models, with open-concept layouts and high-quality finishes [2][7] - The location provides residents with easy access to Greenville and Clemson University, along with various outdoor recreational activities [3][7] Company Overview - Century Communities is recognized as one of the largest homebuilders in the U.S. and a leader in online home sales, having been named one of America's Most Trustworthy Companies by Newsweek for three consecutive years [9] - The company operates in 16 states and over 45 markets, offering a range of services including mortgage and insurance through its subsidiaries [9] - The mission of Century Communities is to build attractive, high-quality homes at affordable prices, catering to a diverse range of homebuyers [9] Homebuying Process - The company provides an innovative online homebuying experience, allowing buyers to shop for homes and complete purchases at their convenience [5][8] - The process includes steps such as selecting a home, filling out a Buy Online form, and electronically signing a purchase contract [11] - In-person assistance is also available at their sales studio in Greenville, SC, enhancing the homebuying experience [4][5]

Financial Performance - For the three and six months ended June 30, 2025, total revenues were $1.0 billion and $1.9 billion, respectively, compared to $1.0 billion and $2.0 billion in the prior year periods [110]. - Net income for the three and six months ended June 30, 2025, was $34.9 million ($1.14 per diluted share) and $74.2 million ($2.40 per diluted share), respectively, down from $83.7 million ($2.61 per diluted share) and $148.1 million ($4.60 per diluted share) in the prior year [109]. - Total revenues for Q2 2025 were $1,000,724, a decrease of 3.3% from $1,039,450 in Q2 2024 [113]. - Home sales revenues decreased to $976,467 in Q2 2025 from $1,017,414 in Q2 2024, representing a decline of 4.0% [113]. - Net income for the six months ended June 30, 2025, was $74,238, down 50.0% from $148,055 in the same period of 2024 [113]. - Adjusted EBITDA for the six months ended June 30, 2025, was $152,230 thousand, a decrease of 36.6% from $240,263 thousand in the same period of 2024 [113]. - Net income for the three months ended June 30, 2025, was $34.9 million, a decrease of 58.4% compared to $83.7 million in the same period of 2024 [189]. - Adjusted net income for Q2 2025 was $42,100,000, a decline of 50.6% from $85,191,000 in Q2 2024 [194]. Home Delivery and Sales - The number of homes delivered during the three and six months ended June 30, 2025, was 2,587 and 4,871, respectively, representing a decrease of 1.1% and 2.1% compared to the prior year [110]. - Average sales price for homes delivered was $377.5 thousand and $381.9 thousand for the three and six months ended June 30, 2025, down 2.9% and 2.1% from the prior year [110]. - Net new home contracts decreased by 8.4% and 7.2% for the three and six months ended June 30, 2025, totaling 2,546 and 5,238, respectively [110]. - The number of homes delivered in Q2 2025 was 2,587, slightly down from 2,617 in Q2 2024 [113]. - The backlog at the end of Q2 2025 included 1,217 homes with an aggregate sales value of $465,990 thousand, compared to 1,753 homes valued at $754,623 thousand in Q2 2024 [113]. - The average sales price of backlog units decreased by 11.1% to $382.9 thousand as of June 30, 2025, compared to $430.5 thousand in the previous year [144]. Segment Performance - The Financial Services segment generated income before income tax expense of $6.2 million and $8.6 million for the three and six months ended June 30, 2025, reflecting a 9.9% increase and a 45.4% decrease from the prior year [112]. - The West segment reported income before tax of $46.4 million for the six months ended June 30, 2025, a decrease of 21.2% compared to the prior year [119]. - The Mountain segment's revenue decreased by $81.8 million for the six months ended June 30, 2025, primarily due to an 18.5% decrease in the number of homes delivered [120]. - The Texas segment generated income before tax of $18.5 million for the six months ended June 30, 2025, a decrease of 41.7% from the prior year, despite a revenue increase of $6.8 million [122]. - The Southeast segment's income before tax decreased by 45.6% to $25.4 million for the six months ended June 30, 2025, with revenue decreasing by $8.9 million [123]. - Century Complete segment reported a revenue decrease of $3.2 million for the six months ended June 30, 2025, with income before tax down 42.5% to $28.8 million [124]. Cash and Liquidity - Cash and cash equivalents at the end of Q2 2025 were $93.2 million, with $270.0 million outstanding under the revolving line of credit [111]. - Liquidity, consisting of cash and cash equivalents, cash held in escrow, and current capacity on the revolving line of credit, was $857.6 million as of June 30, 2025 [155]. - The company had $270.0 million outstanding under its revolving line of credit as of June 30, 2025, compared to $135.5 million at the end of 2024 [158]. - The total outstanding debt as of June 30, 2025, was $1.586 billion, an increase from $1.476 billion as of December 31, 2024 [169]. - The company had issued and outstanding letters of credit of $90.8 million and performance bonds of $454 million as of June 30, 2025 [180]. Strategic Management - The company owned and controlled 68,701 lots as of June 30, 2025, after strategically managing its lot pipeline and reducing land acquisition activities [111]. - The company anticipates that homebuilding markets will continue to be influenced by macroeconomic conditions and local economies, with strategies adapting accordingly [106]. - The company reduced land acquisition and development activities during the six months ended June 30, 2025, by terminating contracts that no longer met investment criteria [157]. - The company is exploring acquisitions of other homebuilders to expand its land portfolio and enhance organic growth [166]. Market Conditions - The company experienced inflationary pressures affecting land, financing, labor, and material costs, which may impact homebuyer demand [198]. - Seasonal fluctuations in homebuilding operations typically result in higher new home order activity during the spring [199]. - The U.S. Federal Reserve did not change the federal funds interest rate during the first half of 2025, impacting mortgage financing affordability [197]. - The company faces potential market risks from tariffs and duties imposed by the current U.S. Presidential Administration [196].

Core Viewpoint - Century Communities reported quarterly earnings of $1.37 per share, exceeding the Zacks Consensus Estimate of $1.16 per share, but down from $2.65 per share a year ago, indicating a significant earnings surprise of +18.10% [1] Financial Performance - The company posted revenues of $1 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 7.03%, compared to year-ago revenues of $1.04 billion [2] - Over the last four quarters, Century Communities has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Performance - Century Communities shares have declined approximately 13.1% since the beginning of the year, while the S&P 500 has gained 7.3% [3] - The current status of estimate revisions translates into a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market in the near future [6] Future Outlook - The current consensus EPS estimate for the coming quarter is $1.93 on revenues of $1.07 billion, and for the current fiscal year, it is $6.76 on revenues of $4.16 billion [7] - The outlook for the industry, particularly the Building Products - Home Builders sector, is currently in the bottom 21% of Zacks industries, which may impact stock performance [8]

Financial Data and Key Metrics Changes - In Q2 2025, the company reported a pretax income of $47 million and a net income of $35 million, translating to $1.14 per diluted share. Adjusted net income was $42 million or $1.37 per diluted share [14] - Home sales revenues for Q2 2025 were $976 million, up 10% sequentially due to higher deliveries, with deliveries of 2,587 homes, which was flat year over year [14][15] - The average sales price decreased by 3% year over year to $378,000, primarily due to increased incentives [16] - The company’s book value per share increased by 10% year over year to $86.39, a record for the company [7] Business Line Data and Key Metrics Changes - Net new contracts totaled 2,546 homes in Q2 2025, with both orders and absorption rates increasing sequentially in May and June [9] - The company started 2,485 homes in Q2 2025, maintaining a focus on matching starts with sales [12] - Adjusted homebuilding gross margin was 20% compared to 21.6% in Q1 2025, driven by increased incentive levels [16][17] Market Data and Key Metrics Changes - The company’s community count increased to 327 communities at the end of Q2 2025, a record for the company [9] - The company expects its year-end 2025 community count to increase in the mid-single-digit percentage range [6][10] - The Southeast market, particularly Atlanta, Charlotte, and Nashville, has shown strong performance, while California and Colorado are experiencing some challenges [28][30] Company Strategy and Development Direction - The company is focused on a disciplined approach to land investment, having reduced its controlled lot count by 12,000 lots in Q2 2025 [13][23] - The company aims to balance pace and price at the community level to optimize returns, rather than pursuing growth for its own sake [6] - The company is taking a balanced approach towards capital allocation, having repurchased $48 million of its shares in Q2 2025 [6][20] Management's Comments on Operating Environment and Future Outlook - Management noted that order activity for new homes has been impacted by elevated mortgage rates, affordability constraints, and economic uncertainty, but they see underlying demand for affordable new homes [4][5] - The company anticipates that incentives will continue to be the largest driver of changes to gross margins in the near term [11] - Management expressed confidence in the company’s ability to manage costs and maintain a solid balance sheet despite market headwinds [13][20] Other Important Information - The company maintained its quarterly cash dividend of $0.29 per share and has no senior debt maturities until June, providing flexibility in leverage management [19][20] - The company was recognized as one of the best companies to work for by U.S. News and World Report [7] Q&A Session Summary Question: How is the company thinking about land investment in the second half of the year? - The company plans to reduce land investment and has already dropped about 12,000 lots in Q2 2025, focusing on more disciplined underwriting [23][24] Question: Can you discuss the mortgage products buyers are using? - The company reports that about 70% of buyers are using governmental loans and 30% are using conventional loans, with an increasing acceptance of adjustable-rate mortgages (ARMs) [26] Question: What are the drivers behind lowering the 2025 deliveries guidance? - The revision was driven by the expectation of slower demand in the third quarter, particularly in July and August, which are typically slower months [27][28] Question: What is the company's exposure to Canadian lumber and potential tariffs? - The company sources between 20% to 30% of its lumber from Canada and is monitoring the situation regarding potential tariffs [50] Question: Can you provide details on the community count and orders? - The community count increased significantly in June, which did not benefit orders in the earlier months of the quarter [58] Question: What is the current average build time and potential for improvement? - The average build time is currently around four months, with ongoing improvements expected [69][70] Question: What types of incentives are being offered for finished spec inventory? - The company is using a mix of rate buy-downs and price cuts to incentivize buyers [71]

Company Overview - Century Communities operates in 16 states and over 45 markets across the U S [9] - The company reported revenues of $4 3 billion for the LTM 2Q 2025 period[14] - As of June 30, 2025, the company has 68,701 lots[14] Financial Performance & Growth - Total revenues increased by 70% from $2 5 billion in 2019 to $4 3 billion in LTM Q2 2025[25] - EBITDA increased by 108% from $207 million in 2019 to $432 million in LTM Q2 2025[25] - Book value per share increased by 169% from $32 11 in 2019 to $86 39 in LTM Q2 2025[25] - Home sale deliveries increased by 36% from 8,000 in 2019 to 10,903 in LTM Q2 2025[25] - Community count increased by 23% year-over-year[23] - Book value per share increased by 10% year-over-year to $86 39[23] Business Strategy - 93% of total company home deliveries are priced below FHA limits[30] - 99% of total company home deliveries are spec builds[32] - The company maintains a strong balance sheet with significant liquidity of $858 million[43]

Financial Performance - Deliveries of 2,587 homes generated total revenues of $1.0 billion, with home sales revenues totaling $976.5 million[3] - Net income for the second quarter was $34.9 million, or $1.14 per diluted share, while adjusted net income was $42.1 million, or $1.37 per diluted share[5] - Financial services revenues were $23.8 million, with pre-tax income of $6.2 million for the second quarter[7] - Adjusted net income for Q2 2025 was $42.1 million, with adjusted diluted earnings per share of $1.37, compared to $85.2 million and $2.65 in Q2 2024[26] - Net income for Q2 2025 decreased by 58.4% to $34.854 million compared to $83.724 million in Q2 2024[32] - EBITDA for Q2 2025 was $66.492 million, down 48.5% from $129.104 million in Q2 2024[32] - Adjusted EBITDA for Q2 2025 decreased by 41.9% to $75.893 million from $130.647 million in Q2 2024[32] Home Sales and Deliveries - Total home sales decreased by 1.1% to 2,587 homes in Q2 2025, with an average sales price of $377.5 thousand, down 2.9% from Q2 2024[20] - Net new home contracts totaled 2,546, representing an 8.4% decrease compared to the previous year[19] - Full year 2025 home delivery guidance has been revised to a range of 10,000 to 10,500 homes, with home sales revenues expected between $3.8 billion and $4.0 billion[10] Inventory and Backlog - Backlog homes decreased by 30.6% to 1,217 homes, with a total dollar value of $465.99 million, down 38.2% from 2024[22] - Lot inventory increased by 14.2% to 37,419 owned lots, while controlled lots decreased by 31.0% to 31,282, resulting in a total of 68,701 lots, down 12.0%[23] - The company reported a significant inventory impairment of $7.36 million in Q2 2025, impacting overall profitability[29] - Inventory impairment increased significantly by 1,191.2% to $7.360 million in Q2 2025 compared to $570,000 in Q2 2024[32] Equity and Debt - The company ended the quarter with $2.6 billion in stockholders' equity and $858 million in liquidity, including $127.6 million in cash[8] - Total stockholders' equity decreased to $2.564 billion as of June 30, 2025, from $2.621 billion at the end of 2024[35] - Total homebuilding debt rose to $1.278 billion as of June 30, 2025, compared to $1.141 billion at the end of 2024[35] - The ratio of net homebuilding debt to net capital was 31.0% as of June 30, 2025, up from 27.4% at the end of 2024[35] Community and Market Growth - Community count increased by 23% year-over-year to a record 327, with expectations for mid-single digit percentage growth by year-end 2025[2] - The company expanded its selling communities to 327 as of June 30, 2025, a 22.9% increase from 266 in 2024[21] Cost and Expenses - Adjusted homebuilding gross margin percentage was 20.0%, while homebuilding gross margin was 17.6%[6] - Homebuilding gross margin for Q2 2025 was 17.6%, down from 22.5% in Q2 2024, while adjusted gross margin excluding inventory impairment was 20.0%[29] - Interest in cost of home sales revenues increased by 4.5% to $14.204 million in Q2 2025 compared to $13.592 million in Q2 2024[32] - Depreciation and amortization expense rose by 13.1% to $6.434 million in Q2 2025 from $5.689 million in Q2 2024[32] - The company reported a significant increase in restructuring costs, with $1.505 million recorded in the first half of 2025[32] Regional Performance - The average sales price in the West region decreased by 3.9% to $602.5 thousand, while the Southeast region saw a 2.6% decline to $429.9 thousand[20] - The Texas region experienced a 3.3% increase in homes sold to 501, with an average sales price of $294.2 thousand, down 2.3%[20] - Century Complete segment saw a slight decrease in homes sold by 1.9% to 954, with an average sales price of $260.5 thousand, down 0.6%[20]