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Jun 30, 2020
M/I Homes Q2 2020 Earnings Report
M/I Homes reported record-setting results driven by increased new contracts, backlog units, and home deliveries.
Key Takeaways
M/I Homes announced record second-quarter results, with new contracts increasing by 31%, backlog units up by 30%, and home deliveries rising by 19%. Revenue increased by 15% to $714 million, and net income increased by 80% to $54.5 million ($1.89 per diluted share).
New contracts increased 31% to 2,261 contracts, an all-time quarterly record.
Backlog units increased 30% to 3,691, an all-time quarterly record.
Revenue increased 15% to a second quarter record of $714 million.
Net income of $54.5 million ($1.89 per diluted share), an 80% increase compared to 2019.
M/I Homes
M/I Homes
M/I Homes Revenue by Segment
Forward Guidance
Economic conditions remain uncertain due to the on-going impact of COVID-19; accordingly, the company will continue to monitor conditions closely.
Positive Outlook
- Company ended the quarter with shareholders’ equity of $1.1 billion.
- Company has a cash balance of $94 million.
- Company has no borrowings on our $500 million credit facility.
- Company had a strong, record-setting quarter.
- Company was able to maintain its construction schedule in most of its markets.
Challenges Ahead
- Economic conditions remain uncertain due to the on-going impact of COVID-19.
- New contracts declined substantially in late March and early April.
- There was significant economic and social instability in our country and globally, precipitated by an unprecedented health crisis.
- Cancellation rate was 14%.
- The company will continue to monitor conditions closely.