M/I Homes Reports 2024 Second Quarter Results

Core Insights - M/I Homes, Inc. reported strong financial results for the second quarter of 2024, achieving all-time quarterly records in income, gross margins, and pre-tax margins [2][12][17] - The company experienced a 9% increase in revenue, reaching $1.1 billion, with net income rising 24% to $146.7 million [12][17] - The return on equity stood at 21%, reflecting the company's robust financial health [2][12] Financial Performance - Revenue for the second quarter increased by 9% to $1.1 billion, compared to the same period last year [12][17] - Gross margins improved to 28% from 25% year-over-year, while pre-tax margins rose to 17.5% from 15.3% [2][12] - Pre-tax income reached a record $194.1 million, a 25% increase from the previous year [2][12][17] - Net income for the quarter was $146.7 million, or $5.12 per diluted share, up from $118.0 million, or $4.12 per diluted share, in the prior year [12][17] Operational Highlights - Homes delivered increased by 12% to 2,224 in the second quarter, compared to 1,990 in the same quarter of 2023 [12][13] - New contracts rose by 3% to 2,255, with a total of 4,802 new contracts for the first half of 2024, a 10% increase from the previous year [12][13] - The backlog sales value increased to $1.82 billion, up 3% from the previous year, with an average sales price of $533,000 [12][13] Balance Sheet and Equity - Shareholders' equity reached a record $2.7 billion, a 19% increase from the previous year, with a book value per share of $100 [12][14] - The company ended the quarter with cash of $837 million and a homebuilding debt to capital ratio of 20% [14][20] - Total assets increased to $4.34 billion, up from $3.86 billion year-over-year [20] Market Position - M/I Homes operates in multiple regions, including Ohio, Indiana, Illinois, Minnesota, Michigan, Florida, Texas, North Carolina, and Tennessee [5] - The company had 211 communities as of June 30, 2024, compared to 195 communities a year earlier [13]