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Dec 31, 2023

Landsea Homes Q4 2023 Earnings Report

Reported a strong fourth quarter with significant year-over-year increase in net new orders and healthy profits.

Key Takeaways

Landsea Homes reported a strong fourth quarter with a significant increase in net new orders and healthy profits. Net income for the quarter was $12.5 million, or $0.33 per diluted share, with a 352% increase in orders compared to the previous year. The company also grew its year-end book value per share to $17.88, representing an 11% increase over year-end 2022.

Net new home orders increased by 352%.

Home sales revenue reached $379.7 million, driven by 664 home closings.

Net income was $12.5 million, or $0.33 per diluted share.

Year-end book value per share grew to $17.88, an 11.4% increase.

Total Revenue
$398M
Previous year: $426M
-6.7%
EPS
$0.43
Previous year: $0.81
-46.9%
Home Sales Gross Margin
15.9%
Adjusted Home Sales Gross Margin
20.8%
Gross Profit
$66.1M
Previous year: $77.2M
-14.4%
Cash and Equivalents
$120M
Previous year: $124M
-3.3%
Total Assets
$1.47B
Previous year: $1.44B
+2.1%

Landsea Homes

Landsea Homes

Landsea Homes Revenue by Geographic Location

Forward Guidance

Landsea Homes provided guidance for Q1 2024 and Full Year 2024.

Positive Outlook

  • New home deliveries anticipated to be in a range of 480 to 500 for Q1 2024.
  • Delivery ASPs expected to be in a range of $560,000 to $575,000 for Q1 2024.
  • Home sales gross margins between 15% and 16% on a GAAP basis and between 20% and 21% on an adjusted basis for Q1 2024.
  • New home deliveries anticipated to be in a range of 2,500 to 2,900 for Full Year 2024.
  • Delivery ASPs expected to be in a range of $500,000 to $525,000 for Full Year 2024.

Challenges Ahead

  • Home sales gross margins between 17% and 18% on a GAAP basis for Full Year 2024.
  • Home sales gross margins between 21% and 23% on an adjusted basis for Full Year 2024.

Revenue & Expenses

Visualization of income flow from segment revenue to net income