Century munities(US:CCS)2025-10-22 20:15Financial Performance - Deliveries totaled 2,486 homes, generating total revenues of $980.3 million, with home sales revenues of $955.2 million [3]. - Net income for the third quarter 2025 was $37.4 million, or $1.25 per diluted share, while adjusted net income was $45.7 million, or $1.52 per diluted share [4]. - Adjusted net income for the three months ended September 30, 2025, was $45.7 million, down 48.2% from $88.6 million in 2024, with adjusted diluted earnings per share of $1.52 compared to $2.77 [27]. - Net income for Q3 2025 was $37,403, a decrease of 54.9% compared to $83,020 in Q3 2024 [34]. - EBITDA for Q3 2025 was $69,724, down 47.3% from $132,307 in Q3 2024 [34]. - Adjusted EBITDA for Q3 2025 was $82,254, reflecting a 40.9% decline from $139,250 in Q3 2024 [34]. Home Deliveries and Sales - Home deliveries for the three months ended September 30, 2025, totaled 2,486 homes, a decrease of 12.3% compared to 2,834 homes in 2024, with an average sales price of $384.2 thousand, down 2.4% [21]. - Full year 2025 home delivery guidance was narrowed to a range of 10,000 to 10,250 homes, with home sales revenues expected to be between $3.8 billion and $3.9 billion [10]. - Total net new home contracts decreased by 6.9% year-over-year to 2,386 for the three months ended September 30, 2025, and by 7.1% to 7,624 for the nine months ended September 30, 2025 [20]. - The backlog as of September 30, 2025, was 1,117 homes valued at $416.9 million, representing a 29.3% decrease in homes and a 37.9% decrease in dollar value compared to 1,580 homes valued at $671.4 million in 2024 [23]. Financial Position and Equity - The company ended the quarter with $2.6 billion of stockholders' equity and $836 million of liquidity, including $174.8 million in cash [8]. - The book value per share reached a company record of $87.74 as of September 30, 2025 [8]. - Total stockholders' equity decreased to $2,578,022 as of September 30, 2025, down from $2,620,856 at the end of 2024 [38]. Debt and Margins - The adjusted homebuilding gross margin was 20.1%, consistent with the second quarter 2025 levels, while the overall homebuilding gross margin was 17.9% [6]. - The company reported a homebuilding gross margin of $171.4 million for the three months ended September 30, 2025, which is 17.9% of home sales revenues, down from 21.7% in 2024 [31]. - Homebuilding debt to capital ratio was 34.5%, and net homebuilding debt to net capital ratio was 31.4% [9]. - The ratio of net homebuilding debt to net capital increased to 31.4% as of September 30, 2025, compared to 27.4% at the end of 2024 [38]. - Total homebuilding debt rose to $1,355,219 as of September 30, 2025, up from $1,140,973 at the end of 2024 [38]. Inventory and Community Development - Lot inventory as of September 30, 2025, totaled 62,239 lots, a decrease of 22.3% from 80,121 lots in 2024, with owned lots increasing by 2.2% [24]. - The number of selling communities increased by 5.2% to 321 as of September 30, 2025, compared to 305 in 2024, with the West region seeing a 40.7% increase [22]. Other Financial Metrics - Financial services revenues were $19.4 million, with pre-tax income of $3.0 million for the third quarter [7]. - The company repurchased 296,903 shares of common stock for $20.0 million, reducing shares outstanding by 6% from the beginning of the year [4]. - Inventory impairment for Q3 2025 was $3,180, a significant increase of 131.6% from $1,373 in Q3 2024 [34]. - The company reported a loss on debt extinguishment of $1,361 in Q3 2025, with no comparable figure in Q3 2024 [34]. - Interest expense for Q3 2025 was $876, compared to an income of $(369) in Q3 2024, marking a 337.4% change [34]. - The company incurred restructuring costs of $1,505 during the nine months ended September 30, 2025, with no such costs reported in the prior period [34].