Forestar Group Inc · NYSE:FOR
Forestar — Forestar Real Estate Group — FY2007 Earnings Presentation
17 slides from Forestar's earnings presentation, Feb 6, 2008
Slide 1: Fourth Quarter and Full Year 2007 Results
Fourth Quarter and Full Year 2007 Results February 6, 2008
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains "forward-looking statements" within the meaning of the federal securities laws. These statements reflect management's current views with respect to future events and are subject to risk and uncertainties. We note that a variety of factors and unc
Slide 3: Forestar - Positioned for Results
Forestar - Positioned for Results Strong Portfolio of Assets Right Strategy and Business Model Experienced Team Positioned to Deliver Results
Slide 4: Financial Highlights
Ss FORESTAR Real Estate Group Financial Highlights FORESTAR |
Slide 5: Fourth Quarter and Full Year Results
Fourth Quarter and Full Year 2007 Results ($ in Millions, except per share data) 4th Qtr 2007 4th Qtr 2006 Full Year 2007 Full Year 2006 Net Income $0.1 $7.9 $24.8 $51.8 Proforma Diluted EPS $ - n/a $0.69 n/a Full year 2007 proforma diluted shares outstanding were 36.1 million
Slide 6: Segment Earnings
Segment Earnings ($ in Millions) 4th Qtr 2007 4th Qtr 2006 Full Year 2007 Full Year 2006 Real Estate ($0.2) $15.4 $39.5 $70.3 Natural Resources 7.5 2.8 26.5 33.0 Total $7.3 $18.2 $66.0 $103.3 4th Qtr. 2007 natural resources segment earnings include $2.2 million gain from partial termination of a tim
Slide 7: 2007 YE Pipeline Status & Key Performance Indicators
2007 YE Pipeline Status & Key Performance Indicators
Slide 8: Real Estate Pipeline - YE 2007
Real Estate Pipeline - YE 2007 Note: Estimated acres and lots may vary *Total acres excludes Forestar's 58% ownership interest in Ironstob venture which controls approx. 17,000 acres of undeveloped land Real Estate Undeveloped In Entitlement Process Entitled Developed & Under Development Total Acres
Slide 9: Real Estate Segment KPI's
Real Estate Segment KPI's 4th Qtr 2007 4th Qtr 2006 Full Year 2007 Full Year 2006 Residential Lot Sales * Lots Sold 309 748 1,707 3,539 Average Price / Lot $45,900 $49,400 $52,900 $48,200 Gross Profit / Lot $12,600 $16,700 $19,400 $14,200 Commercial Tract Sales * Acres Sold 23 57 198 279 Average Pri
Slide 10: Entitlement KPI's
Entitlement KPI's 4th Qtr 2007 4th Qtr 2006 Full Year 2007 Full Year 2006 Acres Moved Into Entitlement 2,400 140 4,300 4,900 Entitlements Acres Entitled 740 2,020 1,700 2,200 Residential Lots Entitled 290 3,400 900 3,500 Commercial Acres Entitled - 160 - 160 Acres Moved Into Development 180 - 180 -
Slide 11: Natural Resources Segment KPI's
Natural Resources Segment KPI's 4th Qtr. 2007 4th Qtr. 2006 Full Year 2007 Full Year 2006 Minerals Net Acres Leased 549 175 30,114 31,463 Avg. Bonus / Acre $350 $325 $222 $297 Active Wells 331 294 331 294 Avg. Net Royalty Interest 10.6% 9.2% 8.5% 9.2% Natural Gas Produced (MCF) 104,259 148,309 497,3
Slide 12: 2007 Highlights
Di FORESTAR Real Estate Group 2007 Highlights FORESTAR |
Slide 13: Ironstob, LLC
Ironstob, LLC Approximately 17,000 acres Land located in attractive markets around Atlanta MSA Principally located in Paulding County Forestar is managing member - 58% owner Prior to closing venture, Jones Company sold approximately 7,000 acres of undevelopable land to state for $6,500 per acre for
Slide 14: Economic Development - Georgia
Economic Development - Georgia Hired Glenn Cornell Senior Vice President, Economic Development & Government Affairs - Georgia 40 years of Georgia business and economic development experience, including employment at Norfolk Southern, Georgia Department of Industry, Trade and Tourism, and Bank of Ame
Slide 15: 2007 Investment Activity
2007 Investment Activity Forestar actively invests in residential and commercial real estate opportunities, focus primarily in our ten strategic growth corridors During 2007, Forestar invested in nine projects for $54.4 million - - Seven of Nine projects acquired were located in major markets of Tex
Slide 16: Summary Comments
Summary Comments Entitlement Focus on maximizing long-term value through entitlement activity - - Low capital investment with significant value creation Development Activities focused on projects where market conditions support sales Natural Resources Leasing and royalty income from mineral interest
Slide 17: WS FORESTAR
WS FORESTAR Real Estate Group
Forestar Real Estate Group — FY2007 Earnings Presentation on 6ix