Beazer Homes Reports Second Quarter Fiscal 2026 Results

About this update from Beazer Homes Usa, Inc.

ATLANTA, April 30, 2026 --( BUSINESS WIRE )--Beazer Homes USA, Inc. (NYSE: BZH) ( www.beazer.com ) today announced its financial results for the three and six months ended March 31, 2026. "Second quarter results reflected a positive start to the spring selling season, with results generally in line with our expectations," said Allan P. Merrill, the Company’s Chairman and Chief Executive Officer. "However, geopolitical events triggered a rapid rise in mortgage rates and gas prices in March, impacting consumer sentiment. As a result, we are more cautious about near-term demand." "Despite these uncertainties, we still have visibility into our second half margin improvement catalysts. Construction cost reductions, favorable community and to-be-built mix shifts, and increasing contributions from our newest communities continue to materialize. Macroeconomic headwinds and affordability challenges persist, but we have high conviction in our differentiated strategy and the underlying value of our assets, so we accelerated our share repurchases during the second quarter, spending another $30 million on buybacks." Speaking to Beazer’s Multi-Year Goals, Mr. Merrill said, "We continue to work toward our fiscal 2027 goals for community count, deleveraging, and book value per share growth. While the industry cycle and global events present near-term challenges, we continue to execute our product strategy, focus on margin expansion, and prudently manage the balance sheet and allocate capital, which together position Beazer for improved returns." Beazer Homes Fiscal Second Quarter 2026 Highlights and Comparison to Fiscal Second Quarter 2025 The following provides additional details on the Company's performance during the fiscal second quarter 2026: Profitability . Net loss was $0.9 million, generating diluted loss per share of $0.03. Second quarter Adjusted EBITDA was $2.6 million compared to Adjusted EBITDA of $38.8 million a year ago. The decrease in Adjusted EBITDA was primarily due to lower closings and lower gross margin. Orders . Net new orders for the second quarter decreased to 1,048, down 4.6% from 1,098 in the prior year quarter, driven by a 7.2% decrease in sales pace to 2.1 orders per community per month from 2.3 in the prior year quarter, partially offset by a 2.9% increase in average community count to 167 from 163 a year ago. The cancellation rate for the quarter was 13.5%, down from 16.9% in the prior year quarter. Backlog . The dollar value of homes in backlog as of March 31, 2026 was $756.1 million, representing 1,299 homes, compared to $831.5 million, representing 1,526 homes, at the same time last year. The ASP of homes in backlog was $582.1 thousand, up 6.8% versus the prior year quarter. The increase in backlog ASP was primarily due to changes in product and community mix. Homebuilding Revenue . Second quarter homebuilding revenue was $397.7 million, down 28.5% year-over-year. The decrease in homebuilding revenue was driven by a 29.8% decrease in home closings to 757 homes, partially offset by a 2.0% increase in ASP to $525.4 thousand. The decrease in closings was primarily due to lower beginning backlog, partially offset by improved construction cycle times compared to the prior year quarter. Homebuilding Gross Margin . Homebuilding gross margin was 12.0%, down 310 basis points compared to a year ago. Excluding impairments, abandonments and amortized interest, homebuilding gross margin was 15.6% for the second quarter, down from 18.3% in the prior year quarter primarily due to an increase in price concessions and closing cost incentives, and changes in product and community mix. SG&A Expenses . Selling, general and administrative expenses as a percentage of total revenue was 15.5% for the quarter, up 350 basis points year-over-year primarily due to lower homebuilding revenue. SG&A expense was $63.6 million for the quarter ended March 31, 2026, down 6.5% compared to the prior year quarter primarily due to lower commissions. Income Taxes . Income tax benefit for the second quarter was $17.6 million compared to income tax expense of $1.4 million in the prior year quarter. The Company's effective tax rate for the current fiscal quarter was impacted by a change in the approach used to calculate the interim income tax provision, reducing comparability with the prior year quarter. Refer to Note 10 to the condensed consolidated financial statements within the Company's Form 10-Q for the quarter ended March 31, 2026 for additional details. Land Position. During the second quarter, land acquisition and land development spending was $187.0 million, down 5.1% year-over-year. Controlled lots decreased 12.3% to 24,824, compared to 28,290 from the prior year quarter. Excluding land held for future development and land held for sale lots, active lots controlled were 23,619, down 14.2% year-over-year, as the Company manages land spend and lot position to improve capital efficiency and support future community count growth. As of March 31, 2026, the Company controlled 59.9% of its total active lots through option agreements compared to 59.3% as of March 31, 2025. Liquidity . At the close of the second quarter, the Company had $401.1 million of available liquidity, including $116.4 million of unrestricted cash and $284.7 million of remaining capacity under the unsecured revolving credit facility, compared to total available liquidity of $377.7 million a year ago. Senior Unsecured Revolving Credit Facility . During March 2026, the Company increased the available borrowing capacity under the Senior Unsecured Revolving Credit Facility from $365.0 million to $525.0 million and extended the maturity date to March 2030. Share Repurchases. During the second quarter, the Company repurchased 1.2 million shares of its outstanding common stock for an aggregate $30.0 million at an average price per share of $25.54. Commitment to Sustainability During the second fiscal quarter, Beazer Homes received four RESNET awards recognizing its leadership in energy efficiency and home performance. RESNET, a national nonprofit standards organization, oversees the Home Energy Rating System (HERS) Index and the accreditation framework used to evaluate residential energy performance. These honors included the RESNET President’s Awards for both the North and South regions, recognizing the achievement of low HERS scores in their respective regions. The Company also received the Net Zero Production Builder and the Lowest HERS Score Production Builder awards, reflecting the lowest average HERS Index score among qualifying builders. Together, these awards underscore Beazer Homes’ continued focus on delivering high‑performance, energy‑efficient homes that help customers reduce energy costs. In addition, the Company earned the 2026 Top Workplaces USA award for the fourth consecutive year. Participating companies are evaluated based on anonymous employee feedback from a research-based survey, benchmarked against peer organizations of similar size and scored across 15 Culture Drivers associated with high performance. Since 2017, Beazer Homes, through the Beazer Charity Foundation and with the support of its employees and trade partners, has helped raise more than $10 million in cumulative donations to the Fisher House Foundation, a nonprofit that provides free housing for military service members, veterans, and their families while receiving medical care. Beyond this long-standing partnership, Beazer employees support a wide range of local initiatives focused on housing, health, youth development, and community services. Reflecting this commitment, the Company held its nationwide Day of Service for the second consecutive year, engaging nearly all employees to contribute 3,589 volunteer hours across 72 locations in support of local nonprofit organizations. Conference Call The Company will hold a conference call on April 30, 2026 at 5:00 p.m. ET to discuss these results. Interested parties may listen to the conference call and view the Company's slide presentation on the "Investor Relations" page of the Company's website, www.beazer.com . In addition, the conference call will be available by telephone at 800-475-0542 (for international callers, dial 630-395-0227). To be admitted to the call, enter the pass code "8571348." A replay of the conference call will be available, until 11:59 PM ET on May 15, 2026 at 866-448-5648 (for international callers, dial 203-369-1190) with pass code "3740." Summary results for the three and six months ended March 31, 2026 and 2025 are as follows: About Beazer Homes Beazer Homes (NYSE: BZH), headquartered in Atlanta, Georgia, is a leading national homebuilder in energy-efficient construction. Building on a legacy spanning nine generations, Beazer crafts homes that deliver savings and lasting value. Our trusted team of experts guide homebuyers through the building and purchasing process to deliver an industry-leading customer experience. With curated design options, buyers can personalize their homes with confidence. Beazer's exclusive Mortgage Choice program provides access to competitive loan offers from multiple lenders, helping homebuyers choose the best financing for their individual needs. Beazer builds in 13 states nationwide. Learn more at  beazer.com  or follow us @BeazerHomes. This press release contains forward-looking statements. These forward-looking statements represent our expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ materially from the results discussed in the forward-looking statements, including, among other things: Any forward-looking statement, including any statement expressing confidence regarding future outcomes, speaks only as of the date on which such statement is made and, except as required by law, we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of unanticipated events. New factors emerge from time to time, and it is not possible to predict all such factors. -Tables Follow- Reconciliation of homebuilding gross profit and homebuilding gross margin (GAAP measures) to homebuilding gross profit and the related gross margin excluding impairments and abandonments and interest amortized to cost of sales (non-GAAP measures) is provided for each period discussed below. Management believes that this information assists investors in comparing the operating characteristics of homebuilding activities by eliminating many of the differences in companies' respective level of impairments and level of debt. These non-GAAP financial measures may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP. Reconciliation of Net (Loss) Income (GAAP measure) to Adjusted EBITDA (Non-GAAP measure) is provided for each period discussed below. Management believes that Adjusted EBITDA assists investors in understanding and comparing core operating results and underlying business trends by eliminating many of the differences in companies' respective capitalization, tax position, level of impairments, and other non-recurring items. This non-GAAP financial measure may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP. Reconciliation of total debt to total capitalization ratio (GAAP measure) to net debt to net capitalization ratio (non-GAAP measure) is provided for each period below. Management believes that net debt to net capitalization ratio is useful in understanding the leverage employed in our operations and as an indicator of our ability to obtain financing. This non-GAAP financial measure may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260430495032/en/ Contacts Beazer Homes USA, Inc. David I. Goldberg Sr. Vice President & Chief Financial Officer 770-829-3700 Mark Chekanow, CFA Vice President, Investor Relations 917-365-0085 [email protected]

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