PulteGroup (PHM) came out with quarterly earnings of $2.57 per share, beating the Zacks Consensus Estimate of $2.47 per share. This compares to earnings of $2.87 per share a year ago. These figures are adjusted for non- recurring items. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of ...

Financial Performance - PulteGroup reported net income of $523 million, or $2.57 per share, for Q1 2025, down from $663 million, or $3.10 per share, in the prior year[2][19]. - Net income for the three months ended March 31, 2025, was $522,799, a decrease of 21.1% compared to $662,976 in the same period of 2024[24]. - Total Homebuilding revenues decreased to $3,801,823, down 1.4% from $3,856,803 year-over-year[26]. - Home sale revenues were $3,749,269, a decline of 1.8% from $3,819,586 in the prior year[28]. - The financial services segment reported pre-tax income of $36 million, down from $41 million in the prior year[10]. Sales and Orders - Home sale revenues totaled $3.7 billion, a decrease of 2% year-over-year, driven by a 6% increase in average sales price to $570,000, offset by a 7% decrease in closing volume to 6,583 homes[5][6]. - Net new orders for the quarter totaled 7,765 homes valued at $4.5 billion, compared to 8,379 homes valued at $4.7 billion in the prior year[9]. - Net new orders in units decreased to 7,765, down 7.3% from 8,379 units year-over-year[28]. Backlog and Inventory - The unit backlog at the end of the quarter was 11,335 homes with a value of $7.2 billion[10]. - The unit backlog decreased to 11,335 units, down 15.6% from 13,430 units in the same period of 2024[28]. Margins and Expenses - The home sale gross margin for the quarter was 27.5%, down 210 basis points from the prior year but unchanged from Q4 2024[7]. - SG&A expenses for the quarter were $393 million, or 10.5% of home sale revenues, compared to $358 million, or 9.4% of revenues in the prior year[8]. Cash and Debt Position - The company ended the quarter with a cash position of $1.3 billion and a debt-to-capital ratio of 11.7%[11]. - The debt-to-capital ratio as of March 31, 2025, was 11.7%, slightly down from 11.8% at the end of 2024[35]. - Cash, cash equivalents, and restricted cash at the end of the period totaled $1,275,885, down from $1,766,089 at the end of the same period last year[24]. - Net cash provided by operating activities was $134,228, a decrease of 44% compared to $239,787 in the same quarter of 2024[24]. Share Repurchase - PulteGroup repurchased $300 million of common shares, averaging $108.03 per share, with $1.9 billion remaining under its share repurchase authorization[11]. Market Outlook - PulteGroup remains optimistic about long-term housing demand despite short-term consumer demand challenges due to economic uncertainty[4]. Mortgage Performance - The capture rate for mortgage originations improved to 86.4%, compared to 84.2% in the prior year[30].

Homebuilding Operations - Homebuilding operations generated 98% of consolidated revenues, totaling $17.9 billion in 2024, $16.1 billion in 2023, and $16.0 billion in 2022[11] - Home closings increased to 31,219 in 2024 from 28,603 in 2023, reflecting a growth of approximately 5.7%[11] - The average selling price of homes rose to $555,000 in 2024, up from $545,000 in 2023, indicating a year-over-year increase of 1.8%[12] - A total of 31,219 homes were delivered in 2024, an increase from 28,603 homes in 2023 and 29,111 homes in 2022[11] - Backlog at December 31, 2024, was $6.5 billion (10,153 units), down from $7.3 billion (12,146 units) at December 31, 2023[23] - 40% of home closings in 2024 were to first-time buyers, reflecting a slight increase from 2023[18] Market Position and Competition - The company holds approximately 4% market share of U.S. new home sales in 2024, competing with numerous national, regional, and local homebuilders[28] - The U.S. housing market is highly competitive, with the company holding approximately 4% market share of new home sales in 2024[28] Financial Performance - The company aims to enhance shareholder value through operational gains, asset efficiency, and maintaining a modest leverage profile[14] - The company aims to enhance shareholder value by driving operational gains, increasing market share, and managing capital effectively[13][14] - The company originated mortgage loans for 63% of the homes closed in 2024, compared to 61% in 2023 and 62% in 2022[33] - Cash buyers represented 21% of home closings in 2024, up from 22% in 2023 and 18% in 2022[33] Operations and Management - The company controlled 234,589 lots as of December 31, 2024, with 102,176 owned and 132,413 under land option agreements[16] - The construction process is primarily conducted by independent subcontractors, ensuring quality through selective partnerships[24] - The company utilizes land option agreements to manage risks and enhance expected returns on land investments[15] - The company employs 6,793 people as of December 31, 2024, with 1,094 in Financial Services operations[40] - The average tenure of the executive team is 16 years, indicating strong leadership continuity[45] Regulatory Environment - The company is subject to extensive regulations impacting site selection, development, and construction activities[30] - The company is subject to government regulations affecting its mortgage banking business, impacting both mortgage and homebuilding operations[36] Risk Management - The company has not experienced significant claims related to its title operations historically[38] - The company has not experienced significant claims related to its title insurance operations historically[38] - The company faces challenges in sourcing qualified labor and materials, impacting construction costs and timelines[27] Customer Focus and Innovation - Energy efficiency is a key focus in home designs, incorporating features like high-efficiency HVAC systems and solar power in certain areas[19] - The company utilizes in-house mortgage and title operations to provide a competitive advantage and align financing with home construction needs[32] - The company utilizes a centralized fulfillment center for mortgage operations, improving speed, efficiency, and profitability[35] Corporate Culture and Leadership - The company emphasizes diversity and ethical behavior in its workplace culture, which is critical to its success[44] - The company offers competitive compensation and benefits, including a 401(k) retirement plan and performance-based incentives[42] - The company plans to promote Mr. Ossowski to Chief Financial Officer effective February 7, 2025, following Mr. O'Shaughnessy's retirement[50]

Such risks, uncertainties and other factors include, among other things: interest rate changes and the availability of mortgage financing; the impact of any changes to our strategy in responding to the cyclical nature of the industry or deteriorations in industry changes or downward changes in general economic or other business conditions, including any changes regarding our land positions and the levels of our land spend; economic changes nationally or in our local markets, including inflation, deflation, ...

Financial Performance - PulteGroup reported net income of $913 million, or $4.43 per share, for Q4 2024, compared to $711 million, or $3.28 per share, in the prior year[2][3]. - Full year revenues reached nearly $18 billion, with net income of $3.1 billion and a return on equity of 27.5%[3]. - Net income for the year ended December 31, 2024, increased to $3,083,262, up 18.4% from $2,602,372 in 2023[25]. Home Sales and Orders - Home sale revenues in Q4 increased 13% to $4.7 billion, driven by a 6% increase in closings to 8,103 homes[5]. - The average selling price of homes closed in Q4 was $581,000, up 6% from $547,000 in the prior year[5]. - The company's net new orders for Q4 were 6,167 homes, valued at $3.5 billion, a 4% increase over last year[8]. - Home sale revenues for the year ended December 31, 2024, reached $17,318,521, a 10.9% increase from $15,598,707 in 2023[27]. - Total Homebuilding revenues for the year ended December 31, 2024, were $17,513,956, compared to $15,740,823 in 2023, reflecting a growth of 11.2%[27]. - The average selling price of homes increased to $555, up from $545 in 2023, indicating a 1.8% rise[29]. - Net new orders in dollars for the year ended December 31, 2024, totaled $16,493,524, a 8.2% increase from $15,244,353 in 2023[29]. Backlog and Inventory - The unit backlog stood at 10,153 homes, with a total value of $6.5 billion[6]. - The unit backlog decreased to 10,153 units as of December 31, 2024, down from 12,146 units in 2023[29]. Share Repurchase and Financial Management - PulteGroup repurchased $320 million of common shares in Q4, with a total of $1.2 billion repurchased in 2024, representing 4.7% of shares outstanding[11]. - The company announced a $1.5 billion increase to its share repurchase authorization, bringing the total remaining authorization to $2.1 billion[12]. Financial Services - Financial services operations generated pre-tax income of $51 million, a 16% increase from the prior year[9]. - Mortgage origination volume for the year ended December 31, 2024, was $19,770, an increase from $17,427 in 2023[31]. - The capture rate for mortgage originations improved to 85.9% in Q4 2024, compared to 81.6% in Q4 2023[31]. Cash and Debt Management - The company's cash and equivalents at the end of Q4 were $1.6 billion, with a debt-to-capital ratio of 11.8%[11]. - The debt-to-capital ratio improved to 11.8% in 2024, down from 15.9% in 2023, indicating reduced leverage[37]. - Cash provided by operating activities for the year ended December 31, 2024, was $1,680,794, down from $2,196,762 in 2023[25].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-9804 PULTEGROUP, INC. (Exact name of registrant as specified in its charter) Michigan 38-2766606 (State or other jurisdiction of incorporation or organization) (I.R.S. Emp ...

Q3 2024 Operating & Financial Results October 22, 2024 Forward-Looking Statements This presentation includes "forward-looking statements." These statements are subject to a number of risks, uncertainties and other factors that could cause our actual results, performance, prospects or opportunities, as well as those of the markets we serve or intend to serve, to differ materially from those expressed in, or implied by, these statements. You can identify these statements by the fact that they do not relate to ...

PulteGroup Inc. (NYSE:PHM) Q3 2024 Earnings Conference Call October 22, 2024 8:30 AM ET Company Participants James Zeumer - Vice President, Investor Relations Ryan Marshall - President and Chief Executive Officer Robert O'Shaughnessy - Executive Vice President and Chief Financial Officer Conference Call Participants John Lovallo - UBS Alan Ratner - Zelman & Associates Stephen Kim - Evercore ISI Anthony Pettinari - Citi Michael Rehaut - JPMorgan Michael Dahl - RBC Capital Markets Carl Reichardt - BTIG Trevor ...

Financial Performance - Earnings increased 16% to $3.35 per share compared to $2.90 per share in the prior year period[1] - Net income for the nine months ended September 30, 2024, was $2,170,023, an increase of 14.8% compared to $1,891,379 for the same period in 2023[15] - Home sale revenues for the three months ended September 30, 2024, reached $4,343,227, up 11.7% from $3,886,908 in the same period of 2023[17] - Total Homebuilding revenues for the nine months ended September 30, 2024, were $12,707,308, representing a 10.1% increase from $11,541,051 in the prior year[17] - Financial services operations generated pre-tax income of $55 million, a 90% increase from $29 million in the prior year[4] Home Sales and Orders - Home sale revenues rose 12% to $4.3 billion, driven by a 12% increase in closings to 7,924 homes[3] - Net new orders totaled 7,031 homes valued at $3.9 billion, reflecting a 3% increase over the previous year[3] - The average selling price of homes closed was $548,000, effectively unchanged from the prior year[3] - The average selling price for homes sold in the three months ended September 30, 2024, was $548,000, slightly down from $549,000 in the same period of 2023[19] Backlog and Inventory - The unit backlog at the end of the quarter was 12,089 homes with a total value of $7.7 billion[4] - The unit backlog at the end of September 2024 was 12,089 units, down from 13,547 units at the end of September 2023[19] Cash and Debt Management - The company ended the quarter with $1.5 billion in cash and a debt-to-capital ratio of 12.3%[5] - Cash provided by operating activities for the nine months ended September 30, 2024, was $1,113,184, a decrease from $1,908,344 in the same period of 2023[15] - Cash, cash equivalents, and restricted cash at the end of the period were $1,455,136, down from $1,899,561 at the end of September 30, 2023[15] - The company reported a net cash used in financing activities of $1,398,875 for the nine months ended September 30, 2024, compared to $1,008,305 in the same period of 2023[15] - As of September 30, 2024, the debt-to-capital ratio is 12.3%, down from 15.9% on December 31, 2023[25] - Total net debt as of September 30, 2024, is $168,550, compared to $113,041 on December 31, 2023[25] - Total capital increased to $13,187,899 as of September 30, 2024, from $12,345,475 on December 31, 2023[25] - Shareholders' equity rose to $11,564,213 as of September 30, 2024, up from $10,383,257 on December 31, 2023[25] - Total cash, cash equivalents, and restricted cash decreased to $1,455,136 as of September 30, 2024, from $1,849,177 on December 31, 2023[25] Mortgage Operations - Mortgage origination volume for the three months ended September 30, 2024, was 5,005 units, compared to 4,362 units in the same period of 2023, reflecting a 14.7% increase[21] - The capture rate for mortgage originations improved to 86.7% in the three months ended September 30, 2024, up from 83.5% in the same period of 2023[21] Non-GAAP Financial Measures - The company believes that its non-GAAP financial measures provide relevant information for evaluating profitability and liquidity[24] - The company uses debt-to-capital and net debt-to-capital ratios as indicators of overall leverage[24] - The report includes a reconciliation of non-GAAP financial measures related to debt-to-capital ratios[24] - The company emphasizes the importance of understanding the methods used by other companies in the homebuilding industry for calculating debt-to-capital ratios[24]

[PART I FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) This section presents PulteGroup's unaudited financial statements for Q2 and H1 2024, including balance sheets, operations, equity, cash flows, MD&A, market risk, and internal controls disclosures [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) The financial statements detail PulteGroup's financial position and performance, showing $16.5 billion in total assets, $4.6 billion in Q2 revenues, and $1.47 billion in H1 net income, alongside equity changes and cash flows | Financial Metric | June 30, 2024 (Unaudited) (in thousands of USD) | December 31, 2023 (in thousands of USD) | | :--- | :--- | :--- | | Total cash, cash equivalents, and restricted cash | $1,445,966 | $1,849,177 | | House and land inventory | $12,302,301 | $11,795,370 | | Total Assets | $16,544,069 | $16,087,050 | | Notes payable | $1,650,178 | $1,962,218 | | Total Shareholders' equity | $11,222,823 | $10,383,257 | | Metric (Q2) | 2024 (in thousands of USD) | 2023 (in thousands of USD) | % Change | | :--- | :--- | :--- | :--- | | Total revenues | $4,599,655 | $4,188,753 | +9.8% | | Net income | $809,133 | $720,345 | +12.3% | | Diluted EPS | $3.83 | $3.21 | +19.3% | | Metric (Six Months) | 2024 (in thousands of USD) | 2023 (in thousands of USD) | % Change | | :--- | :--- | :--- | :--- | | Total revenues | $8,548,815 | $7,764,394 | +10.1% | | Net income | $1,472,109 | $1,252,604 | +17.5% | | Diluted EPS | $6.93 | $5.55 | +24.9% | | Activity (Six Months Ended June 30) | 2024 (in thousands of USD) | 2023 (in thousands of USD) | | :--- | :--- | :--- | | Net cash provided by operating activities | $657,264 | $1,450,583 | | Net cash used in investing activities | ($66,201) | ($53,996) | | Net cash used in financing activities | ($994,274) | ($713,360) | | Net (decrease) increase in cash | ($403,211) | $683,227 | - For the six months ended June 30, 2024, the company repurchased **5.1 million shares** for **$560.0 million** and declared dividends of **$84.7 million**, compared to repurchasing **6.4 million shares** for **$400.0 million** and declaring dividends of **$71.8 million** in the same period of 2023[77](index=77&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=23&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses weakening demand in Q2 2024 due to higher interest rates, improved production efficiency, and strong liquidity, detailing performance across Homebuilding and Financial Services segments - Demand for new homes began to weaken during the second quarter of 2024, with net new orders decreasing **4% YoY** for the quarter, attributed to challenged affordability from higher interest rates, price increases, and inflation[107](index=107&type=chunk) - The company improved production efficiency, with home construction time approximately **nine weeks shorter** at the end of Q2 2024 compared to the prior year, contributing to an **8% increase in Q2 closings**[109](index=109&type=chunk) | Metric | Q2 2024 (in millions of USD) | Q2 2023 (in millions of USD) | % Change | | :--- | :--- | :--- | :--- | | Home sale revenues | $4,448.2 | $4,058.9 | +10% | | Gross margin from home sales | 29.9% | 29.6% | +30 bps | | Closings (units) | 8,097 | 7,518 | +8% | | Net new orders (units) | 7,649 | 7,947 | -4% | | Backlog (units) | 12,982 | 13,558 | -4% | - The company maintains a strong liquidity position with **$1.4 billion in cash and equivalents** and **$952.6 million available** under its Revolving Credit Facility as of June 30, 2024, with the debt-to-total capitalization ratio improving to **12.8%** from **15.9%** at year-end 2023[154](index=154&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) PulteGroup's primary market risk is interest rate fluctuations affecting its $1.66 billion fixed-rate and $524 million variable-rate debt, with no material changes from the prior year-end report | Debt Type | Total Principal (in thousands of USD) | Fair Value (in thousands of USD) | Weighted-Avg Interest Rate | | :--- | :--- | :--- | :--- | | Fixed rate debt | $1,657,048 | $1,734,524 | 6.04% | | Variable rate debt | $524,042 | $524,042 | 7.14% | - The company is subject to market risk from interest rate fluctuations, primarily impacting the fair value of fixed-rate debt and the earnings and cash flows related to variable-rate debt[182](index=182&type=chunk) [Item 4. Controls and Procedures](index=38&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded the company's disclosure controls and procedures were effective as of June 30, 2024, with no material changes to internal control over financial reporting - The President and CEO, along with the Executive VP and CFO, concluded that the company's disclosure controls and procedures were effective as of June 30, 2024[189](index=189&type=chunk) - No changes occurred during the quarter ended June 30, 2024, that materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[189](index=189&type=chunk) [PART II OTHER INFORMATION](index=38&type=section&id=PART%20II%20OTHER%20INFORMATION) This section provides supplementary information, confirming no material developments in legal proceedings or risk factors, detailing Q2 2024 share repurchase activity, and listing exhibits [Item 1. Legal Proceedings](index=38&type=section&id=Item%201.%20Legal%20Proceedings) The company reports no material developments regarding legal proceedings since its Annual Report on Form 10-K for the year ended December 31, 2023 - There have been no material developments in legal proceedings since the 2023 year-end 10-K filing[190](index=190&type=chunk) [Item 1A. Risk Factors](index=38&type=section&id=Item%201A.%20Risk%20Factors) The company states there have been no material changes to its risk factors from those disclosed in its Annual Report on Form 10-K for the year ended December 31, 2023 - No material changes have occurred in the company's risk factors since the 2023 year-end 10-K filing[191](index=191&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=38&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's share repurchase activities, with 2.76 million shares bought back in Q2 2024, and $1.3 billion remaining for future repurchases | Period | Total Shares Purchased | Average Price Paid (USD) | | :--- | :--- | :--- | | April 2024 | 758,165 | $111.83 | | May 2024 | 1,025,947 | $116.20 | | June 2024 | 976,727 | $112.79 | | **Q2 Total** | **2,760,839** | **$113.79** | - As of June 30, 2024, **$1.3 billion** remained under the company's share repurchase authorization, which was increased by **$1.5 billion** on January 30, 2024, and has no expiration date[194](index=194&type=chunk) [Item 5. Other Information](index=38&type=section&id=Item%205.%20Other%20Information) The company reports that no director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the second quarter of 2024 - No director or officer of the company adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the quarter[192](index=192&type=chunk) [Item 6. Exhibits](index=39&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including corporate governance documents, debt instruments, certifications, and XBRL data files