D.r. Horton, Inc. · NYSE:DHI
D.r. Horton — Q3 2025 Earnings Presentation
36 slides from D.r. Horton's earnings presentation, Jul 22, 2025
Slide 1: Investor Presentation Q3 2025
Investor Presentation Q3 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may include “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Although D.R. Horton believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be mate
Slide 3: At a Glance
At a Glance 23 AMERICA’S BUILDER years as America’s largest volume homebuilder 36 >1.2M HOMES DELIVERED 126 since our inception in 1978 markets states 61% % FIRST-TIME HOMEBUYERS who used DHI Mortgage 84% HOME SALES REVENUE from the sale of single-family detached homes $369.6K AVERAGE SALES PRICE of
Slide 4: D.R. Horton Operating Segments
D.R. Horton Operating Segments Revenues Homes Closed by Homebuilding Operations 26% Northwest 4% Homebuilding 26% Southwest 4% Rental $34.6B 3% 85,142 South Central Forestar Southeast 89% Financial Services 11% 20% East 6% North 11% Segments Homebuilding Operating Segments • Homebuilding is the core
Slide 5: Strong Track Record of Exceptional Financial Performance
Strong Track Record of Exceptional Financial Performance Consistent and profitable growth is the foundation for increasing long-term shareholder value Consolidated Revenues ($ billions) Diluted EPS Book Value per Share $16.51 $78.12 $36.8 $14.34 $35.5 $13.82 $67.78 $33.5 GR CA $11.41 $56.39 % +16 $2
Slide 6: Growth in Market Share
Growth in Market Share 88,729 homes closed during trailing twelve months ended June 30, 2025 2024 Closings: 1,400 15% 93,311 1,200 13% Approximately 1,000 one out of every 2006 Closings: 10% seven new single- 800 53,410 family homes in 8% the U.S. is built by 600 5% 400 2011 Closings: 17,176 3% 200
Slide 7: Market Share Dominance
Market Share Dominance D.R. Horton was the largest builder in 4 of the top 7 U.S. housing markets & in 62 of the 126 markets in which we operated at March 31, 2025 Top 7 U.S. Housing Markets DFW 17% 11% #1 builder in Houston 13% 62 markets 13% Phoenix 12% 12% Top 5 15% San Antonio builder in 28% Top
Slide 8: Diverse Product Offerings And Price Points
Diverse Product Offerings And Price Points Build entry-level, move-up, active adult and luxury homes that generally range in size from 1,000 to 4,000 square feet, providing value to homebuyers at every stage of life 28% $373.7k 24% average closing price $0 - $300k $301k - $350k 71% of homes $351k -
Slide 9: Driving Affordability
Driving Affordability • Proactively reducing square footage to address affordability • DHI’s average sales price was 28% below the national average for the quarter ended 6/30/25 Average Square Footage Average Sales Price $513,200 2,106 (7) % $369,600 $367,900 1,956 $295,200 6/2020 6/2021 6/2022 6/20
Slide 10: Management Tenure And Experience
Management Tenure And Experience ~28 years Executive Team ~20 years Region Presidents & Vice Presidents ~15 years Division Presidents & City Managers Average employee tenure as of 6/30/25 10
Slide 11: Expectations
Expectations Although volatility in mortgage rates and changes in economic conditions could have significant impacts, the Company’s expectations for FY 2025 are as follows: Q4 FY 2025 • Consolidated revenues in the range of $9.1 billion to $9.6 billion • Homes closed between 23,500 homes and 24,000
Slide 12: Then & Now: DHI Today vs. 2005
Then & Now: DHI Today vs. 2005 D.R. Horton has shifted its strategy from exponential growth to returns-focused, disciplined capital allocation Consolidated Liquidity Consolidated Leverage Strong Cash Flow Generation 47.8% > $3,000 $5,503 Enhanced Financial 23.2% Position $2,366 $(621) 9/30/2005 6/30
Slide 13: A Disciplined Homebuilder Delivering Strong Returns
A Disciplined Homebuilder Delivering Strong Returns D.R. Horton is creating value by executing its clear strategic plan and returns-focused approach to capital allocation Return on Equity Return on Assets 10-Year TSR 426% 16.1% 11.1% 15.2% 10.0% 215% Homebuilder Homebuilder Homebuilder Median Median
Slide 14: Value Creation Strategy Will Continue to Produce Best-in-Class Returns
Value Creation Strategy Will Continue to Produce Best-in-Class Returns HOW DRIVES SHAREHOLDER VALUE 1. Disciplined focus on returns P 2. Substantial cash flow generation P 3. Balanced capital allocation P 14
Slide 15: Capital And Cash Flow Priorities – Putting Investors First
Capital And Cash Flow Priorities – Putting Investors First • Focused on generating substantial and increasing cash flows from operations • Balanced, disciplined, flexible and opportunistic capital allocation to enhance long-term value Maintain Financial Dividends to Returns-Driven Repurchases of Str
Slide 16: Prioritizing Financial Flexibility
Prioritizing Financial Flexibility Financial strength supports resiliency through cycles, prudent business planning, trade loyalty, capturing market share and sustainable returns of capital to shareholders Maintaining Conservative Leverage Homebuilding (HB) Public Debt Maturities by Year ($M) Notes
Slide 17: Delivering on Shareholder Distribution Commitment
Delivering on Shareholder Distribution Commitment D.R. Horton continues to execute on its shareholder return commitment by repurchasing $3.6 billion of common stock and paying cash dividends of $376 million during FYTD 6/30/25 $4,700 - $4,900 $4,700 5-Year CAGR: 51% $3,986 $4,200 - $2,198 ~ $4,400 $
Slide 18: Total Shareholder Returns
Total Shareholder Returns D.R. Horton’s TSR ranks in the top 25% of all S&P 500 companies for the last 3-year and 10-year periods D.R. HORTON S&P 500 3-Year TSR 5-Year TSR 10-Year TSR 1st Quartile 1st Quartile 1st Quartile +426% TSR +101% TSR 81st Percentile 78th Percentile +144% TSR nd 69th Percent
Slide 19: Return on Assets
Return on Assets D.R. Horton’s average annual ROA ranks in the top 15% of all S&P 500 companies D.R. HORTON S&P 500 3-Year ROA 5-Year ROA 10-Year ROA +15% ROA +16% ROA 1st Quartile 1st Quartile +14% ROA 1st Quartile 87th Percentile 89th Percentile 86th Percentile 2nd Quartile 2nd Quartile 2nd Quarti
Slide 20: Return on Equity
Return on Equity D.R. Horton’s average annual ROE ranks in the upper half of all S&P 500 companies D.R. HORTON S&P 500 3-Year ROE 5-Year ROE 10-Year ROE 1st Quartile 1st Quartile 1st Quartile +22% ROE +24% ROE 70th Percentile +22% ROE 64th Percentile 2nd Quartile 2nd Quartile 2nd Quartile 65th Perce
Slide 21: Consolidated Pre-Tax Income and Profit Margin
Consolidated Pre-Tax Income and Profit Margin Pre-tax profit margin is below all-time highs; however, fiscal 2024 and TTM ended 6/30/25 pre-tax profit margins are above the trailing 10-year median Pre-Tax Income by Segment - TTM Ended 6/30/25 ($M) Annual Pre-Tax Income ($B) and Pre-Tax Profit Margin
Slide 22: Homebuilding Operational Focus
Homebuilding Operational Focus Provide value, quality and positive experience and service to homebuyers Maximize returns and generate strong cash flows by managing sales pace and pricing in each community Manage land, lot and home inventory prudently to meet demand and gain market share “Treat the c
Slide 23: Homes in Inventory
Homes in Inventory Faster housing turns support lower, more efficient, housing inventory levels Homes in Inventory Housing Inventory Turns 47,800 46,400 42,000 2.3x 37,400 38,400 21,700 2.1x 27,200 27,000 25,000 25,700 1.8x 1.7x 26,100 19,200 15,000 13,400 11,700 FY 2021 FY 2022 FY 2023 FY 2024 6/30
Slide 24: Industry-Leading Access to Land and Lots
Industry-Leading Access to Land and Lots • Most geographically diverse builder with the largest lot supply • D.R. Horton is positioned to continue to aggregate significant market share • 455,500 controlled lots (76%) / 145,900 owned lots (24%) at 6/30/25 Owned and Controlled Lot Position by Top 10 V
Slide 25: Other Business Lines
Other Business Lines • Rental Financial Services • DHI owns 62% of Forestar, a • Single-family rental operations • Comprised primarily of DHI publicly traded residential lot construct and lease single-family Mortgage and DHI Title subsidiaries developer (NYSE: FOR) homes within a community and then
Slide 26: Fourth Quarter Data
Fourth Q3 2025 Quarter Data Data 26
Slide 27: Q3 FY 2025 Results
Q3 FY 2025 Results The D.R. Horton team delivered a solid third quarter of fiscal 2025 • Earnings per diluted share of $3.36 on net income of $1.0 billion • Consolidated pre-tax income of $1.4 billion on $9.2 billion of revenues, with a pre-tax profit margin of 14.7% • Home sales revenues of $8.6 bi
Slide 28: Homes Closed And Revenues
Homes Closed And Revenues Home sales revenues of $8.6 billion on 23,160 homes closed by homebuilding operations in Q3 FY25 Q3 FY 2025 Revenue by Segment ($M) Fiscal Quarter Ended ($M) $227.8 $390.5 $9,225.7 $380.7 $9,231.2 $8,580.8 -$354.1 $8,561.0 24,155 23,160 Homebuilding Rental Forestar Financia
Slide 29: Home Sales Gross Margin
Home Sales Gross Margin Recent home sales gross margin fluctuations primarily due to mortgage interest rate volatility and incentive levels Fiscal Year Ended Fiscal Quarter Ended 28.7% 24.0% 23.6% 22.7% 25.5% 21.8% 21.8% 23.5% 23.5% 21.8% 21.6% FY 20 FY 21 FY 22 FY 23 FY 24 Q3 FY24 Q4 FY24 Q1 FY25 Q
Slide 30: Homebuilding SG&A
Homebuilding SG&A Controlling SG&A while ensuring that our platform supports operational expansion, including new markets and increased community count Fiscal Year Ended - as a % of HB Revenue Fiscal Quarter Ended ($M) 8.4% $656.5 $670.0 8.1% 7.3% 7.1% 7.5% 6.8% 7.8% 7.1% FY 20 FY 21 FY 22 FY 23 FY
Slide 31: Consolidated Pre-Tax Income
Consolidated Pre-Tax Income Pre-tax profit margin remains above our 10-year annual median of 13.8% Q3 FY 2025 Pre-Tax Income by Segment ($M) Fiscal Quarter Ended ($M) $81.3 $1,358.1 $1,799.0 $43.6 $54.8 -$7.9 $1,186.3 $1,358.1 18.1% 14.7% Homebuilding Rental Forestar Financial Elimin. Consolidated Q
Slide 32: Capital Efficient and Flexible Land and Lot Pipeline
Capital Efficient and Flexible Land and Lot Pipeline • Expect to own between a one and two year supply of lots to ensure control and flexibility to support home starts; no set target for controlled lot position • Have made significant progress expanding land developer base and reducing self-developm
Slide 33: Forestar is separately capitalized and had total liquidity
• Forestar is separately capitalized and had total liquidity of $792 million at quarter-end • Sold 15,068 lots and generated $1.5 billion of revenue in FY24 $1.3 billion of D.R. Horton’s finished lot purchases in FY24 were from Forestar ◦ • Expect 14,500 to 15,000 lots sold generating $1.5 billion t
Slide 34: Rental Operations
Rental Operations • Develop, construct, lease and sell single-family and multi-family residential properties • The Company’s DRH Rental subsidiary is capitalized with a $1.05 billion senior unsecured revolving credit facility (1) Revenues ($M) Homes / Units Sold Homes / Units Owned $413.7 15,920 15,
Slide 35: Income Statement
Income Statement Three Months Ended Nine Months Ended 6/30/25 6/30/24 6/30/25 6/30/24 Homes closed 23,160 24,155 61,495 66,043 Homebuilding Revenues: Home sales $8,561.0 $9,231.2 $22,887.9 $24,974.2 Land/lot sales 19.8 10.3 63.1 37.6 8,580.8 9,241.5 22,951.0 25,011.8 Gross profit: Home sales 1,869.4
Slide 36: Balance Sheet
Balance Sheet 6/30/25 9/30/24 6/30/24 Homebuilding Cash and cash equivalents $1,986.7 $3,627.8 $2,180.6 Inventories: Construction in progress and finished homes 9,142.4 8,986.1 10,002.2 Land inventories 11,955.8 11,044.9 10,502.0 21,098.2 20,031.0 20,504.2 Deferred income taxes and other assets 3,95