LGI Homes

2017 Performance Final Grade: 81.91/100
2016 Final Grade: 83.3/100
A/A

31.43/40

Change YoY
Net debt-to-capital 42.2% -420bps
Pretax home building income
(in millions)
$169.8 52.3%
Total SG&A/Total revenue 12% --
Total SG&A
(in millions)
$150.6 36.7%
Return on invested capital 13.2% 120bps
Return on equity 26.8% 190bps
Total shareholder return 160.6% --
EPS $5.24 45.2%

17.62/20

Change YoY
Community count 78 +15
Share of lots optioned to total controlled 47.2% 64.4%

13.81/20

Change YoY
Home building gross margins 25.5% -100bps
Sales per month to break even
(per community)
3.25 --
Revenue per employee
(in millions)
$1.7 22.2%
Change YoY
Closings 5,845 40.4%
Sales velocity
(per community per month)
6.6 22.9%
Unit backlog 816 83%


Total revenue (in millions):$1,258
HB revenue (in millions): $1,258
Debt per share: $21.99
Equity per basic share: $22.67
HB pretax margin: 13.5%
Backlog value (in millions): $191.8
Inventory (in millions):$918.9
Lot supply (in years): 6.8

LGI’s (Nasdaq: LGIH) home sales revenues for the year increased 50.1% to $1.3 billion compared with a year earlier, primarily because of the increase in both the number of homes closed and in the average sales price. The average home sales price was $215,220 for the 12 months ended Dec. 31, 2017, an increase of 6.9% over the prior 12 months. This increase is largely attributable to changes in product mix, higher price points in certain new markets, and a favorable pricing environment.