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Mar 31, 2024
LGI Homes Q1 2024 Earnings Report
LGI Homes reported results for Q1 2024, showing decreased home sales revenues and closings but improved gross margins and a record number of active communities.
Key Takeaways
LGI Homes reported a decrease in home sales revenues to $390.9 million and 1,083 home closings for Q1 2024. However, the company saw an increase in gross margin to 23.4% and adjusted gross margin to 25.3%. They also achieved a record 120 active selling communities by the end of the quarter.
Home sales revenues reached $390.9 million.
Closed 1,083 homes with an average sales price of $360,897.
Gross margin was 23.4%, with an adjusted gross margin of 25.3%.
Ended the quarter with 120 active selling communities.
LGI Homes
LGI Homes
LGI Homes Revenue by Geographic Location
Revenue by Geographic Location
Central Revenue
CapyFin.comSoutheast Revenue
CapyFin.comNorthwest Revenue
CapyFin.comWest Revenue
CapyFin.comFlorida Revenue
CapyFin.com Forward Guidance
The Company is maintaining its prior guidance for the full year 2024.
Positive Outlook
- Home closings between 7,000 and 8,000
- Active selling communities at the end of 2024 of approximately 150
- Average sales price per home closed between $350,000 and $360,000
- Gross margin as a percentage of home sales revenues between 23.1% and 24.1%
- Adjusted gross margin (non-GAAP) as a percentage of home sales revenues between 25.0% and 26.0% with capitalized interest accounting for substantially all of the difference between gross margin and adjusted gross margin
Challenges Ahead
- General economic conditions, including input costs, materials, product and labor availability, interest rates and mortgage availability, in the remainder of 2024 are similar to those experienced to date in 2024
- Construction costs in the remainder of 2024 are consistent with the Company’s recent experience.
- Availability of land in the remainder of 2024 are consistent with the Company’s recent experience.
- Land development costs in the remainder of 2024 are consistent with the Company’s recent experience.
- Governmental regulations relating to land development and home construction are similar to those currently in place.
Revenue & Expenses
Visualization of income flow from segment revenue to net income