Loading...
•
Jun 30, 2021
LGI Homes Q2 2021 Earnings Report
LGI Homes reported record-breaking results, exceeding expectations with new company records for revenue, closings, absorptions, and profitability metrics.
Key Takeaways
LGI Homes reported a strong second quarter with a 64.3% increase in revenue to $791.5 million. Net income increased by 112.4% to $118.1 million, or $4.71 per diluted share. The company raised its full-year guidance, expecting to close between 10,000 and 10,500 homes.
Home sales revenues increased 64.3% to $791.5 million.
Home closings increased 42.4% to 2,856 homes.
Net income increased 112.4% to $118.1 million, or $4.71 diluted EPS.
Average sales price per home closed increased 15.4% to $277,140.
Forward Guidance
The Company is raising its full year guidance. They now expect to close between 10,000 and 10,500 homes at a higher expected average selling price of $285,000 to $295,000. Based on continued success at passing through price increases and the recent abatement in some raw material costs, they are increasing guidance on gross margin to a range between 26.0% and 28.0% and adjusted gross margin to a range between 27.5% and 29.5%.
Positive Outlook
- Home closings between 10,000 and 10,500.
- Active selling communities at the end of 2021 between 112 and 120.
- Average sales price per home closed between $285,000 and $295,000.
- Gross margin as a percentage of home sales revenues between 26.0% and 28.0%.
- Adjusted gross margin as a percentage of home sales revenues between 27.5% and 29.5%.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...