Green Brick Partners, Inc. · NYSE:GRBK
Green Brick Partners — Q4 2015 Earnings Presentation
16 slides from Green Brick Partners's earnings presentation, Mar 10, 2016
Slide 1: Green Brick Partners Fourth Quarter 2015 Investor Call Presentation
Green Brick Partners Fourth Quarter 2015 Investor Call Presentation March 10, 2016 Exhibit 99.2
Slide 2: Forward-looking statements
1 Forward-looking statements This presentation and the oral statements made by representatives of the Company during the course of this presentation that are not historical facts are forward-looking statements. These statements are often, but not always, made through the use of words or phrases such
Slide 3: Management presenters
Jim Brickman − Chief Executive Officer − Over 35 years in real estate development and homebuilding − Co-founded JBGL with Greenlight Capital in 2008. JBGL was merged into Green Brick in 2014 − Previously served as Chairman and CEO of Princeton Homes and Princeton Realty Corp. Rick Costello − Chi
Slide 4: Green Brick at a glance
TX G Green Brick at a glance Uniquely structured residential land development and homebuilding company − We build and deliver homes through our current builders in which we own a 50% controlling interest − We sell lots and provide lot acquisition and vertical construction financing to our controll
Slide 5: Housing starts are highly correlated to jobs and we build in two high job growth markets
4 Housing starts are highly correlated to jobs and we build in two of the highest job growth markets.
Slide 6: We are less than 1.5% of the starts in two of the fastest growing housing markets
We are less than 1.5% of the starts in two of the fastest growing housing markets, giving us significant opportunity for growth. 5
Slide 7: Our Dallas market has extremely low new home inventory
6 Our Dallas market has extremely low new home inventory
Slide 8: Our Dallas market also has extremely low existing home inventory
7 Our Dallas market also has extremely low existing home inventory.
Slide 9: Our Atlanta market has extremely low new home inventory
8 Our Atlanta market has extremely low new home inventory
Slide 10: Our Atlanta market also has record low existing home inventory
9 Our Atlanta market also has record low existing home inventory
Slide 11: GRBK has one of the lowest debt-to-capital ratios amongst public builders
GRBK has one of the lowest debt-to-capital ratios amongst public builders GRBK debt to capital is under 14% versus an average 50% for the public builder section GRBK’s eventual target is approximately 35%. 10
Slide 12: Q4 2015 preliminary financial highlights (unaudited)
Q4 2015 preliminary financial highlights (unaudited) Q4 2015 versus Q4 2014: - Home deliveries increased by 18% - Home sales revenues increased by 34% - Average sales price of homes delivered increased by 13% - Dollar value of units in backlog increased by 12% - Average sales price of units in bac
Slide 13: 2015 financial highlights (continued)
2015 financial highlights (continued) At December 31, 2015, we had 43 active selling communities, a year-over-year increase of 30%. Lots owned and controlled increased 14% to 4,734 lots. 12
Slide 14: Corporate structure
We are a uniquely structured company that combines residential land development and homebuilding with strong sponsor ownership and controlling interests in our aligned homebuilders. Corporate structure 13 50%50%50%50% 80% 100%
Slide 15: Key takeaways
Key takeaways We had a record fourth quarter, with growing backlog and we are staged for significant growth in 2016 and beyond. Significant growth opportunities exist in Dallas and Atlanta ̶ two of the most attractive homebuilder markets in the U.S. We have the balance sheet and management tea
Slide 16: Non-GAAP Reconciliation (unaudited)
Non-GAAP Reconciliation (unaudited) 15 (Unaudited, in thousands, except per share amounts) Year ended December 31, 2015 Basic Adjusted EPS Net income attributable to Green Brick — basic $15,325 Income tax provision attributable to Green Brick $9,058 Pre-tax income $24,383 Adjusted weighted-average n