Meritage Homes Corporation · NYSE:MTH
Meritage Homes — Q3 2025 Earnings Presentation
14 slides from Meritage Homes's earnings presentation, Oct 29, 2025
Slide 1: Third Quarter 2025 Analyst Conference Call
THIRD QUARTER 2025 ANALYST CONFERENCE CALL OCTOBER 29, 2025
Slide 2: Safe Harbor
Safe Harbor The information included in this presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include expectations about the housing market in general and our future results including our fourth quarter 2025
Slide 3: Speakers
Speakers Steven J. Hilton – Executive Chairman Phillippe Lord – Chief Executive Officer Hilla Sferruzza – EVP & Chief Financial Officer Emily Tadano – VP of Investor Relations and External Communications 3
Slide 4: Net Sales Orders Up 4% Year-over-year
Net Sales Orders Up 4% Year-over-year Net Orders & Y/Y % Ending & Average Community Count 3Q25 Takeaways -3% 3% 4% 1% 14% 3,876 3,914 334 3,512 3,636 323.0 3,304 • Ending community count at 312 301.0 September 30, 2025 of 334 was 292 285.0 290 291.0 278 282.5 the highest in company history 3Q24 4Q24
Slide 5: Diversity in Performance Across the Regions in Today's Operating Environment
Diversity in Performance Across the Regions in Today’s Operating Environment West Region Central Region* East Region Total Average Communities 85.0 91.0 147.0 323.0 Average Communities Y/Y(%) (1)% 5% 33% 14% Absorption per month 3.4 4.7 3.4 3.8 Absorption per month Y/Y(%) (19)% 2% (11)% (7)% Orders
Slide 6: Our Available Supply of Quick Turning Move-In Ready Homes Is Our Competitive Advantage
Our Available Supply of Quick Turning Move-In Ready Homes Is Our Competitive Advantage Spec Starts Total Specs and Ending Backlog & % of Specs Completed 6000 9,067 8,573 8,762 8,671 8,054 5000 4,083 2,284 1,544 2,004 1,748 3,798 4000 3,565 3,601 1,699 3,072 Ending Backlog 3000 Total Specs 6,783 7,02
Slide 7: 3Q25 Financial Performance
3Q25 Financial Performance ($ Millions 3Q25 Highlights: 3Q25 3Q24 % Chg YTD2025 YTD2024 % Chg except EPS & ASP) Home closings 3,685 3,942 (7)% 11,271 11,567 (3)% • Decline in ASPs from greater incentive use ASP (closings) $380K $402K (5)% $387K $410K (6)% Home closing revenue $1,399 $1,586 (12)% $4,
Slide 8: 3Q25 Capital Structure and Capital Spend Activities
3Q25 Capital Structure and Capital Spend Activities Capital Structure – Non-GAAP Reconciliation 3Q25 Capital Allocation Spend ($ Millions) Sept. 30, 2025 Dec. 31, 2024 Notes payable & other borrowings $1,829 $1,336 Cash Dividends 5% Stockholders’ equity $5,288 $5,142 Share Repurchase 9% Total capita
Slide 9: 3Q25 Land & Development Investment
3Q25 Land & Development Investment Lots Detail Land Acquisition & Development Spend* ($ Millions) $688 3Q25 3Q24 $617 $576 $509 $528 Total lots controlled 80,836 74,819 $283 $465 $261 $307 $275 $264 $243 Supply of lots (years) 5.3 4.8 $405 $315 $310 $264 $222 $234 - Owned 69% 64% 2Q24 3Q24 4Q24 1Q25
Slide 10: 4Q25 Guidance
4Q25 Guidance Fourth Quarter 2025 Home closings 3,800-4,000 units Home closing revenue $1.46-1.54 billion Home closing gross margin 19-20% Effective tax rate About 24.5% Diluted earnings per common share $1.51-1.70 10
Slide 11: 3Q25 Key Takeaways
3Q25 Key Takeaways • Led by our flexible operations and capital allocation strategy, we are focused on maximizing returns throughout periods of economic transition • 3Q25 community count expansion and improved cycle times prepare us for future growth opportunities • Reduced our land spend to $528M a
Slide 12: About Meritage
ABOUT MERITAGE 12
Slide 13: Meritage Company Overview
Meritage Company Overview Affordable spec builder specializing in entry-level and first move-up homes Top five U.S. public homebuilder Delivered over 200,000 homes in its 40-year history Diversified geographic footprint with 25 markets in 12 states 13
Slide 14: Meritage Key Strategies
Meritage Key Strategies Spec strategy Go-to market strategy • Start all homes prior to releasing • 60-day closing commitment them for sale • Move-in ready inventory • Realtor engagement Streamlined operations Focused on affordability • Cost savings from national • Deliver affordable entry-level and