PulteGroup

2017 Performance Final Grade: 81.43/100
2016 Final Grade: 87.6/100
A/A+

33.33/40

Change YoY
Net debt-to-capital 41.7% 770bps
Pretax home building income
(in millions)
$893.9 -1.8%
Total SG&A/Total revenue 11.8% --
Total SG&A
(in millions)
$1,010.9 -5.1%
Return on invested capital 5.7% -240bps
Return on equity 10.1% -270bps
Total shareholder return 83.7% --
EPS $1.45 -17.6%

16.19/20

Change YoY
Community count 790 +64
Share of lots optioned to total controlled 36.9% 20.1%

17.62/20

Change YoY
Home building gross margins 21.35% -360bps
Sales per month to break even
(per community)
1.16 --
Revenue per employee
(in millions)
$1.8 7.5%
Change YoY
Closings 21,052 5.5%
Sales velocity
(per community per month)
2.4 2.3%
Unit backlog 8,996 21.2%


Total revenue (in millions):$8,573
HB revenue (in millions): $8,324
Debt per share: $11.29
Equity per basic share: $13.62
HB pretax margin: 10.7%
Backlog value (in millions): $3,979.1
Inventory (in millions):$7,147.1
Lot supply (in years): 6.7

The story of 2017 at PulteGroup (NYSE: PHM) was a return to business after the board tumult that took place a year earlier. In his first year as CEO, Ryan Marshall managed to end the year with backlog at a 12-year high of $4 billion. Moreover, in an effort to address its depressed stock valuation, the company repurchased 11% of its outstanding common shares in 2017, and the board announced a $500 million increase to the company’s share repurchase plan.