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Dec 31, 2020

Taylor Morrison Q4 2020 Earnings Report

Taylor Morrison's financial performance for Q4 2020 showed positive results, including increased net sales orders and revenue.

Key Takeaways

Taylor Morrison reported a 6% increase in total revenue to $1.6 billion and a 41% increase in net income to $94 million, or $0.72 per diluted share, compared to the prior-year period. The company also saw a 31% year-over-year growth in net sales orders per community, reaching 3.4, and ended the year with a record backlog of over 8,400 homes valued at over $4.2 billion.

Net sales orders increased by 46% year-over-year, driven by strength across geographies and consumer segments.

Monthly absorptions increased by 31% to 3.4 net sales orders per community.

Total revenue increased by 6% to $1.6 billion.

GAAP home closings gross margin increased by 410 basis points to 18.3 percent.

Total Revenue
$1.56B
Previous year: $1.47B
+6.3%
EPS
$0.87
Previous year: $1.06
-17.9%
Total Net Sales Orders ASP
$527K
Previous year: $454K
+16.1%
Gross Profit
$293M
Previous year: $207M
+41.2%
Cash and Equivalents
$533M
Previous year: $326M
+63.2%
Free Cash Flow
$313M
Previous year: $228M
+36.9%
Total Assets
$7.74B
Previous year: $5.25B
+47.5%

Taylor Morrison

Taylor Morrison

Taylor Morrison Revenue by Segment

Taylor Morrison Revenue by Geographic Location

Forward Guidance

Taylor Morrison provided guidance for Q1 and full year 2021, including average active community count, home closings, GAAP home closings gross margin, effective tax rate and diluted share count.

Positive Outlook

  • Average active community count is expected to be approximately 360 to 365 for Q1 and full year 2021.
  • Home closings are expected to be between 2,850 to 2,950 for Q1 2021.
  • GAAP home closings gross margin is expected to be in the mid-18 percent range for Q1 2021.
  • Effective tax rate is expected to be approximately 23.0 percent for Q1 and full year 2021.
  • Diluted share count is expected to be approximately 131 million for Q1 2021.

Revenue & Expenses

Visualization of income flow from segment revenue to net income