Pultegroup, Inc. · NYSE:PHM
Pultegroup — Q1 2020 Earnings Presentation
14 slides from Pultegroup's earnings presentation, Apr 23, 2020
Slide 1: Update on COVID-19 and Report on First Quarter 2020 Operating & Financial Results
Update on COVID-19 and Report on First Quarter 2020 Operating & Financial Results April 23, 2020
Slide 2: Forward-Looking Statements
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 s
Slide 3: PulteGroup Call Participants
PulteGroup Call Participants Ryan Bob Jim Debra Jim Marshall O’Shaughnessy Ossowski Still Zeumer President & CEO Executive Senior Vice President & CEO Vice President, Vice President President, Pulte Financial Investor and CFO Finance Services Relations 2
Slide 4: Comments on COVID-19 Impacts & Response
Q1 2020 Comments on COVID-19 Impacts & Response
Slide 5: Company Comments on COVID-19
Company Comments on COVID-19 Efforts to battle COVID-19 pandemic resulted in significant industry-wide slow down in housing demand beginning in mid- March Company implemented a series of operational changes in response Protecting the health and safety of our customers and employees o Employees
Slide 6: Company Comments on COVID-19 (cont'd)
Company Comments on COVID-19 (cont’d) Focus on managing cashflows and overall liquidity o Minimizing future cash outflows associated with home construction, land development, land acquisition and general operating costs o Working to maximize cash inflows through home closings o Quarter end cash of
Slide 7: Financial Highlights
Q1 2020 Financial Highlights
Slide 8: Financial Highlights
Q1 2020 Financial Highlights Q1 earnings increased 26% to $0.74 $3.5 Home Sale Revenues ($B) 2019 2020 per share $3.0 Home sale revenues of $2.2 billion $2.5 Closings increased 16% to 5,373 homes $2.0 ASP of $413,000 down 2% from prior year $1.5 driven by change in mix of homes closed $1.0
Slide 9: Financial Highlights
Q1 2020 Financial Highlights Net new orders increased 16% to 15,000 Unit Backlog 2019 2020 7,495 homes 12,000 Absorption pace higher by 12% 9,000 Value of net new orders 6,000 increased 19% to $3.3 billion 3,000 Unit backlog increased 20% to 0 12,629 homes Q1 Q2 Q3 Q4 Backlog value increased
Slide 10: Adjusting Land Investment Given Impact of COVID-19
Adjusting Land Investment Given Impact of COVID-19 Q1 2020 land acq. & development 45% Lots Under Control by Buyer Group 1st Time Move Up Active Adult 40% investment of $619 million 35% Q1 land acquisition investment of $219 30% 25% million, down from $305 million in prior 20% year 15% 10% Wor
Slide 11: Focus on Liquidity and Balance Sheet Strength
Focus on Liquidity and Balance Sheet Strength Quarter end cash balance of $1.9 billion Given market uncertainties created by COVID-19, Company elected to draw $700 million on its revolving credit facility Net-debt-to-total capital of 22.5% Company repurchased $96 million of common shares befor
Slide 12: Selected Financial Data
Q1 2020 Selected Financial Data Three Months Ended March 31, 2020 2019 Change Home Sale Revenues ($ millions) $2,222 $1,950 14% Gross Margin Percentage 23.7% 23.4% 30 bps SG&A Percent of Home Sale Revenues 11.9% 13.0% - 110 bps Financial Services Pretax Income ($ millions) $20 $12 58% Net Income ($
Slide 13: Selected Balance Sheet Data
Q1 2020 Selected Balance Sheet Data March 31, 2020 December 31, 2019 ($ millions) ($ millions) Cash and Equivalents $1,851 $1,251 (including restricted cash) House and Land Inventory $7,858 $7,681 Notes Payable $2,756 $2,765 Revolving Credit Facility $700 - Shareholders’ Equity $5,530 $5,458 Debt –
Slide 14: Update on COVID-19 and Report on First Quarter 2020 Operating & Financial Results
Update on COVID-19 and Report on First Quarter 2020 Operating & Financial Results