Pultegroup, Inc. · NYSE:PHM
Pultegroup — Q1 2018 Earnings Presentation
11 slides from Pultegroup's earnings presentation, Apr 24, 2018
Slide 1: Report on 2018 First Quarter Operating and Financial Results
Report on 2018 First Quarter Operating and Financial Results
Slide 2: Forward-Looking Statements
Forward-Looking Statements This press release 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
Slide 3: PulteGroup Call Participants
PulteGroup Call Participants Ryan Bob Jim Jim Marshall O’Shaughnessy Ossowski Zeumer President and Executive Senior Vice Vice President, CEO Vice President President, Investor and CFO Finance Relations 2
Slide 4: Review of Q1 2018 Results
Review of Q1 2018 Results 3
Slide 5: Q1 2018 Financial Highlights: Net New Orders
Q1 2018 Financial Highlights ▪ Net new orders increased 8,000 Net New Orders 12% to 6,875 homes 2017 2018 7,000 ▪ Dollar value of net new orders 6,000 gained 18% to $2.9 billion 5,000 ▪ Closings up 9% to 4,626 4,000 homes 3,000 ▪ Unit backlog increased 21% to 11,245 homes 2,000 1,000 ▪ Backlog value
Slide 6: Q1 2018 Financial Highlights: Closings
Q1 2018 Financial Highlights ▪ Delivered significant year- 7,000 Closings over-year gains: 2017 2018 6,000 ✓ Home sale revenues increased 21% to $1.9 billion 5,000 ✓ Closings up 9% to 4,626 homes 4,000 ✓ Home sale gross margin up 40 3,000 basis points to 23.6% ✓ Operating margin higher by 270 2,000
Slide 7: Maintaining Tight Operational Controls
Maintaining Tight Operational Controls ▪ $290 million invested in land Lots Owned 110,000 7 acquisition during Q1 2018 Lots Years Owned 100,000 ✓ 61% of lots approved in Q1 were option 6 transactions 90,000 ▪ Land pipeline of ~144,000 lots 80,000 5 70,000 ✓ 38% of lots controlled under option 4 supp
Slide 8: Higher Price and Closings Drive Q1 Revenues
Higher Price and Closings Drive Q1 Revenues ▪ Q1 average sales price Average Option & Lot Premium Per Closing increased 10%, or $90,000 $38,000, to $413,000 $80,000 ▪ Higher ASP’s captured $70,000 across all buyer groups: ✓ First Time: up 17% to $323,000 $60,000 ✓ Move Up: up 8% to $483,000 $50,000
Slide 9: Q1 2018 Selected Financial Data
Q1 2018 Selected Financial Data Three Months Ended March 31, 2018 2017 Change Home Sale Revenues ($ millions) $1,912 $1,585 21% Home Sale Gross Margin 23.6% 23.2% 40 bps Home Sale SG&A 12.6% 14.9% 230 bps Home Sale Operating Margin 11.0% 8.3% 270 bps Net Income ($ millions) $171 $92 87% Earnings Per
Slide 10: Q1 2018 Selected Balance Sheet Data
Q1 2018 Selected Balance Sheet Data March 31, 2018 December 31, 2017 ($ millions) ($ millions) Cash and Equivalents $185 $306 (including restricted cash) House and Land Inventory $7,465 $7,147 Debt $3,088 $3,007 Shareholders’ Equity $4,275 $4,154 Debt – to – Capitalization 42% 42% 9
Slide 11: First Quarter 2018 Earnings
First Quarter 2018 Earnings 10