Meritage Homes Corp. |
|
|---|---|
| 2017 Performance Final Grade: 67.62/1002016 Final Grade: 65.2/100 | C+/C |
| Change YoY | ||
|---|---|---|
| Net debt-to-capital | 38.9% | -20bps |
| Pretax home building income (in millions) | $217 | 15.9% |
| Total SG&A/Total revenue | 10.9% | -- |
| Total SG&A(in millions) | $351.7 | 2.1% |
| Return on invested capital | 5.3% | -80bps |
| Return on equity | 9.6% | -160bps |
| Total shareholder return | 44.4% | -- |
| EPS | $63.5 | -4.8% |
| Change YoY | ||
|---|---|---|
| Community count | 244 | +1 |
| Share of lots optioned to total controlled | 31.9% | -9% |
| Change YoY | ||
|---|---|---|
| Home building gross margins | 17.6% | 10bps |
| Sales per month to break even (per community) |
1.61 | -- |
| Revenue per employee (in millions) |
$2.0 | -1.4% |
| Change YoY | ||
|---|---|---|
| Closings | 7,709 | 4.8% |
| Sales velocity (per community per month) |
2.7 | 8.7% |
| Unit backlog | 2,875 | 9.4% |
| Total revenue (in millions):$3,241 |
| HB revenue (in millions): $3,186 |
| Debt per share: $31.87 |
| Equity per basic share: $39.14 |
| HB pretax margin: 6.7% |
| Backlog value (in millions): $1,245.8 |
| Inventory (in millions):$2,731.4 |
| Lot supply (in years): 4.5 |
Strong fourth-quarter results helped deliver Meritage’s (NYSE: MTH) seventh consecutive year of annual order growth and its highest pretax earnings in over a decade. The strategy? A focus on entry-level, which made up nearly 33% of total 2017 orders, compared with roughly 24% in 2016. The East region led with a 47% increase in total home orders over the fourth quarter of 2016. “The East region should continue to drive strong results going forward,” says CEO and chairman Steve Hilton.