M/I Homes

2017 Performance Final Grade: 70.96/100
2016 Final Grade: 71.4/100
B-/B

26.67/40

Change YoY
Net debt-to-capital 35.2% -430bps
Pretax home building income
(in millions)
$89 33.3%
Total SG&A/Total revenue 13% --
Total SG&A
(in millions)
$254.6 15.5%
Return on invested capital 5.7% -80bps
Return on equity 10.3% 50bps
Total shareholder return 34.6% --
EPS $2.57 22.4%

17.14/20

Change YoY
Community count 188 +10
Share of lots optioned to total controlled 59.3% 7.6%

12.86/20

Change YoY
Home building gross margins 18% 60bps
Sales per month to break even
(per community)
1.72 --
Revenue per employee
(in millions)
$1.6 6.6%
Change YoY
Closings 5,089 13.5%
Sales velocity
(per community per month)
2.3 5.5%
Unit backlog 2,014 11.6%


Total revenue (in millions):$1,962
HB revenue (in millions): $1,878
Debt per share: $24.82
Equity per basic share: $29.00
HB pretax margin: 4.7%
Backlog value (in millions): $791.3
Inventory (in millions):$1,414.6
Lot supply (in years): 5.6

M/I Homes (NYSE: MHO) set all-time company records for revenue, new contracts, and homes delivered in 2017. It posted a 25% increase in 2017 net income, excluding non-operating items. For the first time in the firm’s history, it exceeded 5,000 units in both homes delivered and new contracts while reaching nearly $2 billion in revenue. It also reached its highest year-end backlog level in more than 10 years, with a sales value of $791 million—a 15% increase over 2016.