Millrose Properties, Inc. · NYSE:MRP
Millrose Properties — Q2 2025 Earnings Presentation
23 slides from Millrose Properties's earnings presentation, Jul 31, 2025
Slide 1: Second Quarter 2025 Earnings Presentation
Second Quarter 2025 Earnings Presentation J uly 2025
Slide 2: Disclaimer
Disclaimer This disclaimer applies to this document and the verbal comments of any person presenting it. This presentation, together with any such oral or written comments, is referred to herein as the “Presentation.” Forward-Looking Statements This Presentation relating to Millrose Properties, Inc.
Slide 3: Disclaimer (Cont'd)
Disclaimer (Cont’d) Basis of Presentation The financial information presented herein (i) for the periods prior to the February 7, 2025 spin-off from Lennar (the “Spin-Off”) is that of the business assets that were spun off to Millrose (the “Predecessor Millrose Business”) and is derived from the con
Slide 4: Second Quarter 2025 Results
Second Quarter 2025 Results ➢ Net income of $112.8m, or $0.68 per share ➢ $2.8m, or $0.02 per share increase compared to prior quarter, on normalized quarterly basis Financial ➢ Adjusted Funds From Operations (AFFO)1 of $115.0m, or $0.69 per share ➢ Non-GAAP measure of our operating performance ➢ Bo
Slide 5: Q2 2025 Financial Overview
Q2 2025 Financial Overview ➢ $149m revenue from Option Fees and Other Related Income ➢ $22.0m Management Fee Expense, with transparent calculation of 1.25% of gross tangible assets ➢ Q2 GAAP net income of $112.8m, representing 7.8% return on shareholder equity (annual basis) 2 June 30, 2025 Option F
Slide 6: Book Value per Share Roll-Forward
Book Value per Share Roll-Forward ➢ Quarterly dividend of $114.5m, or $0.69 per share ➢ Return on equity increased 20bps compared to prior quarter ➢ MRP intends to distribute 100% of earnings back to shareholders Book Value per Share +$0.68 -$0.69 Represents 7.8% annualized return on shareholder’s e
Slide 7: Conservative Leverage Profile
Conservative Leverage Profile CAPITALIZATION ✓ Millrose is currently ($B) Total Assets Corporate capitalized with $1.0B drawn on $7.2 Debt term loan and $25M under its revolving credit facility, on $8.0B As of $8.0B $1.0B 3/31 of total assets $1.1 $0.4 Assets Liquidity 1 Debt ✓ Ample liquidity of ~$
Slide 8: Continuous Capital Redeployment Strategy in Action
Continuous Capital Redeployment Strategy in Action Millrose received $839M 1 in total takedown proceeds ($797M 2 net of deposit) for the quarter ended June 30, 2025. These proceeds, coupled with $675M net borrowings, have been redeployed into new acquisitions with Lennar and other customers Majority
Slide 9: Invested Capital by Customer Category
Invested Capital by Customer Category ➢ Strong demand for the platform, resulting in $1.5B in land acquisition and development funding in Q2 ➢ Outside of the Lennar Master Agreement, invested capital increased $784m to $1,134m including the closing of the New Home Co. / Landsea transaction ➢ Total w
Slide 10: Millrose at a Glance
Millrose at a Glance TOP 10 STATES BY ESTIM ATED PLATFORM SNAPSHO T (as of 6/30/2025) TAKEDOWN PROCEEDS Takedown % of Total State Homesites Proceeds ($B) Proceeds 128,904 1,000 29 1 California 12,189 $ 2.7 20.5 % Current Homesites1 Total Communities1 Total States 2 Texas 32,658 2.2 16.4 3 Florida 17
Slide 11: Subsequent Events
Subsequent Events Taylor Morrison “Yardly” build-to-rent capital partnership: • On July 23rd, 2025, Taylor Morrison and Kennedy Lewis Investment Management announced a $3 billion Financing Facility Agreement for Built-to-Rent Communities under their Yardly platform. • Provides a right-of-first-refus
Slide 12: US Short-Term Supply-Demand Balance of Vacant Housing Units
US Short-Term Supply-Demand Balance of Vacant Housing Units 2.0M 1.5M Surplus of Vacant Homes 1.0M for Sale or Rent 0.5M 0.0M Balanced (0.5)M Deficit of (1.0)M Vacant Homes (1.5)M for Sale or Rent (1.1)M (2.0)M (2.5)M 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 20
Slide 13: Public Builder Market Share Growth Coincides with the Growth of Land Banking
Public Builder Market Share Growth Coincides with the Growth of Land Banking Public Builder Lot Positions vs. Public Builder Market Share 2,400,000 50% 2,200,000 2,000,000 45% 1,800,000 Total Lots Owned / Controlled Public Builder Market Share 1,600,000 40% 1,400,000 1,200,000 1,000,000 35% 800,000
Slide 14: Public Builders Maintain Historically High Margins
Public Builders Maintain Historically High Margins Despite cyclical headwinds, builders have continued to maintain homesite takedowns and flex margins rather than seek option terminations Large Public Homebuilders Average Gross Margins DHI, KBH, LEN, MTH, NVR, PHM, TMHC, TOL Gross Margin Gross Margi
Slide 15: Structural Tailwinds Remain within Housing Industry
Structural Tailwinds Remain within Housing Industry Total Housing Inventory (New Plus Existing) Homebuilder Gross & Net Leverage remains historically low at record lows In thousands Forecast 4,500 90% 4,000 80% 3,500 70% 3,000 60% LT Avg. 2,500 50% 2,000 40% 1,500 30% 1,000 15% 20% 500 10% 6% - 0% 1
Slide 16: Appendix
MILLROSE PROPERTIES Appendix =
Slide 17: Consolidated Balance Sheet
Consolidated Balance Sheet June 30, December 31, 2025 2024 Assets Inventories Homesite inventory and other related assets $ 7,845,178 $ - Land and land under development - 2,978,807 Finished homesites - 2,486,483 Total inventories 7,845,178 5,465,290 Cash 66,575 - Option fee receivables 46,635 - Oth
Slide 18: Consolidated Statements of Operations
Consolidated Statements of Operations Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Option fee revenues and other related income $ 149,002 $ - $ 231,700 $ - Operating expenses: Management fee expense 21,960 - 34,064 - Stock-based compensation expense 181 - 181 - Sales, ge
Slide 19: Adjusted Funds From Operations - Reconciliation
Adjusted Funds From Operations - Reconciliation Three months (in thousands) ended June 30, 2025 Net income attributable to Millrose Properties, Inc. Common shareholders $ 112,760 Adjustments: Add: Amortization of deferred financing costs for Credit Agreements (1) 1,520 Add: Rating agency expenses (2
Slide 20: Asset Cross-Termination Pooling
Asset Cross-Termination Pooling Master Program Other Terminated Agreement Agreements Options Total Number of Homesites (1) 118,702 10,202 - 128,904 Invested Capital (in billions) (2) 6.3 1.1 - 7.4 Total Project Costs (in billions) (3) 11.5 1.6 - 13.1 Number of Pools (4) 39 11 - 50 Average Number of
Slide 21: Asset List – By State
Asset List – By State Number of Number of Underlying Total Takedown State Location Properties Homesites (1) Prices Alabama 51 5,387 371,347 Arizona 37 4,654 487,007 Arkansas 51 4,890 350,353 California 68 12,189 2,685,081 Colorado 23 2,923 369,129 Delaware 12 1,267 201,395 Florida (2) 163 17,850 1,5
Slide 22: Invested Capital Reconciliation
Invested Capital Reconciliation Three months ended June 30, 2025 Master Program (in thousands) Agreement Other Agreements Total Invested Capital Reconciliation of GAAP to Non-GAAP GAAP reported homesite inventory and other related assets as of June 30, 2025 $ 6,591,299 $ 1,253,879 $ 7,845,178 Adjust
Slide 23: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Three months ended (in thousands) June 30, 2025 Reconciliation of Adjusted EBITDA to Net Income: Net income attributable to Millrose Properties, Inc. Common Shareholders $ 112,760 (+) Income tax expense 4,768 (+) Interest expense 10,285 (+) Other expenses(1) 866 Adjust