Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Delaware 84-0622967 (State or other jurisdiction of incorporation or organization) (I.R.S. employer identification no.) 4350 South Monaco Street, Suite 500 80237 Denver, Colorado (Zip code) (Address of principal executive offices) (303) 773-1100 (Registrant's telep ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 ( ...

Financial Performance - Homebuilding revenues for 2020 were $3,765.4 million, a 17.5% increase from $3,205.2 million in 2019[106]. - Net income for 2020 was $367.6 million, or $5.58 per diluted share, representing a 54% increase compared to $238.3 million, or $3.72 per diluted share, in 2019[116]. - Total revenues for 2020 reached $3,901.2 million, up from $3,293.3 million in 2019, marking a 18.5% increase[106]. - Financial services pretax income increased by 31% to $79.0 million in 2020, up from $60.2 million in 2019[116]. - Total pretax income for the company was $457,512 in 2020, up 50.0% from $304,989 in 2019[297]. - Basic earnings per share (EPS) for 2020 was $5.76, a 50.0% increase from $3.84 in 2019[299]. - Diluted EPS for 2020 was $5.58, up 49.86% from $3.72 in 2019[299]. - Total financial services revenues increased to $135,832 in 2020, up 54.2% from $88,005 in 2019[296]. Homebuilding Operations - The dollar value of net new home orders increased by 56% year-over-year, driven by a 40% increase in the number of net new orders and an 11% increase in the average selling price[117]. - Homebuilding pretax income increased by 55% to $378.5 million in 2020, up from $244.8 million in 2019[116]. - New home deliveries rose to 8,158 homes in 2020, a 17% increase from 6,974 homes in 2019, with the average selling price remaining stable[124]. - The average selling price of homes increased to $495.8 thousand in 2020, up 11% from $445.9 thousand in 2019, driven by price increases and a shift towards more expensive markets[138]. - Homes sold under construction or completed increased by 73% year-over-year to 4,797 homes, attributed to the rise in backlog[148]. - The backlog at December 31, 2020, included 6,655 homes valued at $3.26 billion, reflecting increases of 75% in homes and 87% in dollar value from the previous year[147]. - The average selling price of homes in backlog at the end of 2020 was $490, compared to $459 in 2019[114]. Market and Inventory - Total homebuilding assets increased by 16% from $3.03 billion in 2019 to $3.51 billion in 2020, primarily due to higher inventory balances from land acquisitions[122]. - The estimated backlog sales value at the end of 2020 was $3.26 billion, an 87% increase from $1.75 billion at the end of 2019[114]. - The company had 29,469 lots owned and optioned as of December 31, 2020, an 8% increase from 27,386 lots in 2019, supporting future growth[149]. - Total unsold started homes decreased by 53% year-over-year to 179 homes, indicating strong demand for new homes[148]. Expenses and Cash Flow - General and administrative expenses increased to $184.7 million in 2020, up $9.7 million from 2019, primarily due to higher salaries and compensation-related expenses[135]. - Total selling, general and administrative expenses amounted to $403.2 million, representing 10.7% of home sale revenues, a decrease of 60 basis points from 2019[135]. - Cash used to increase housing completed or under construction was $449.9 million in 2020, significantly higher than $83.5 million in 2019[169]. - Net cash used in operating activities was $23.1 million in 2020, compared to net cash provided of $57.8 million in 2019[169]. - The company paid dividends totaling $89,008,000 in 2020, compared to $73,117,000 in 2019, representing a 21.7% increase[234]. Financial Position - The company ended 2020 with total liquidity of $1.70 billion, following the expansion of its credit facility[115]. - As of December 31, 2020, the remaining borrowing capacity under the Revolving Credit Facility was $1.16 billion[162]. - Total assets increased to $3,864,920 thousand in 2020, up from $3,338,356 thousand in 2019, marking a growth of 15.7%[226]. - Total liabilities increased to $1,745,008 thousand in 2020, up from $1,555,871 thousand in 2019, representing a growth of 12.2%[226]. - The company recorded an income tax provision of $89.9 million in 2020, with an effective income tax rate of 19.7%[153]. Risk Management and Compliance - The company evaluates homebuilding inventories for impairment quarterly, considering factors such as operating margin, estimated future cash flows, and market conditions[180]. - Warranty accruals are recorded for each closed home based on historical payment experience, with potential changes impacting the warranty accrual balances significantly[189]. - The company monitors the adequacy of accruals for home construction and land development costs on a house-by-house basis[197]. - The company is exposed to market risks related to fluctuations in interest rates on mortgage loans held-for-sale and interest rate lock commitments[204].

Financial Performance - Home sale revenues for Q3 2020 reached $1,000.5 million, a 33% increase from $750.3 million in Q3 2019[107] - Gross profit for Q3 2020 was $205.4 million, with a gross margin of 20.5%, compared to 18.8% in Q3 2019[107] - Net income for Q3 2020 was $98.9 million, or $1.49 per diluted share, representing a 96% increase from $50.6 million, or $0.79 per diluted share, in Q3 2019[110] - Homebuilding pretax income for Q3 2020 was $101.7 million, a 109% increase from $48.7 million in Q3 2019[114] - Financial services pretax income increased by 73% to $25.4 million in Q3 2020, driven by higher mortgage origination volumes[110] Home Sales and Orders - The dollar value of net new home orders increased by 89% year-over-year, with a 73% increase in the number of orders and a 10% increase in average selling price[111] - The number of new home deliveries for the three months ended September 30, 2020, was 2,147, an increase of 25% from 1,713 in the same period of 2019[121] - The cancellation rate decreased year-over-year across all segments, with total cancellations as a percentage of homes in beginning backlog at 12% for Q3 2020, down from 15% in Q3 2019[148] - As of September 30, 2020, the backlog included 6,511 homes valued at $3.1 billion, representing a 41% increase in the number of homes and a 47% increase in dollar value compared to the previous year[149] Market Segments Performance - The West segment reported a 22% increase in home sale revenues to $552,319,000 for the three months ended September 30, 2020, compared to $410,414,000 in 2019[121] - The Mountain segment saw a 26% increase in home sale revenues to $347,095,000 for the three months ended September 30, 2020, from $263,802,000 in the prior year[121] - The East segment experienced a 35% increase in home sale revenues to $101,135,000 for the three months ended September 30, 2020, compared to $76,058,000 in 2019[121] Assets and Growth - The dollar value of homes in backlog was $3.1 billion as of September 30, 2020, a 47% increase from the prior year[109] - Total homebuilding assets increased by 10% to $3.34 billion as of September 30, 2020, compared to $3.03 billion at the end of 2019[119] - The total number of active subdivisions increased by 2% to 194 for the three months ended September 30, 2020, compared to 190 in the same period of 2019[139] - The company acquired 3,555 lots in Q3 2020, a 63% increase over the prior year period[109] Selling Prices and Margins - The average selling price of homes delivered increased by 6% to $466,000 for the three months ended September 30, 2020, from $438,000 in the prior year[121] - Gross margin from home sales for the three months ended September 30, 2020, increased by 170 basis points year-over-year to 20.5%[129] Financial Services - Financial services revenues for Q3 2020 reached $36.8 million, a 64% increase from $22.4 million in Q3 2019, driven primarily by mortgage operations[157] - The mortgage operations segment saw a 146% increase in pretax income for Q3 2020, totaling $20.8 million, attributed to higher interest rate lock volume and increased net interest income[157] - Total mortgage loan originations for Q3 2020 were 1,476 loans, a 35% increase from 1,095 loans in Q3 2019, with principal amounting to $563.0 million[161] - The capture rate for mortgage loans as a percentage of all homes delivered increased to 68% in Q3 2020, up from 64% in Q3 2019[161] Cash Flow and Financing - During the nine months ended September 30, 2020, the company generated $29.4 million from operating activities, compared to a cash usage of $33.1 million in the same period of 2019[182] - Cash provided from the sale of mortgage loans increased to $36.5 million for the nine months ended September 30, 2020, up from $32.2 million in the prior year[182] - The company had $130.9 million of mortgage loans obligated for repurchase under the Mortgage Repurchase Facility as of September 30, 2020[178] - The company has an effective shelf registration statement allowing the issuance of equity, debt, or hybrid securities up to $2.0 billion, with $1.70 billion remaining after a $300 million issuance of senior notes[168] Tax and Compliance - The overall effective income tax rate for Q3 2020 was 21.5%, compared to 19.5% in Q3 2019, resulting in an income tax expense of $27.1 million[162] - The company believes it is in compliance with all representations, warranties, and covenants included in its financial agreements as of September 30, 2020[175] Interest Rate and Risk Management - Changes in interest rates do not affect the fair value of fixed-rate debt instruments, but they do impact earnings and cash flows for variable-rate debt[198] - HomeAmerican's economic hedging philosophy limits market risk associated with mortgages sold forward[197] - Interest rate lock commitments are used to manage price risk on fluctuations in interest rates for mortgage loans in inventory[196]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________________________________ FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 (S ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 (State or other jurisdiction (I.R.S. employer of incorporation or ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition period from to Commission file number 1-08951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 (State or other jurisdict ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 (State or other jurisdiction (I.R.S. employ ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 M.D.C. HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 84-0622967 (State or other jurisdiction (I.R.S. employer of ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-8951 If an emerging growth company, indicate by check mark if the registrant has elected to use the extended transition period for complying with any ...