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Jun 30, 2023

Tri Pointe Q2 2023 Earnings Report

Tri Pointe delivered strong results for the second quarter, surpassing delivery guidance and leading to home sales revenue of $819 million while generating $61 million in net income available to common stockholders, or $0.60 per diluted share.

Key Takeaways

Tri Pointe Homes reported strong Q2 2023 results with home sales revenue of $819 million and net income of $61 million, or $0.60 per diluted share. The company saw a 41% increase in net new home orders and an 18% increase sequentially from Q1 2023, driven by limited housing supply and demographic factors.

Net new home orders increased by 41% year-over-year.

Home sales revenue reached $819 million.

Diluted earnings per share were $0.60.

Total liquidity reached $1.7 billion.

Total Revenue
$827M
Previous year: $1.01B
-17.7%
EPS
$0.6
Previous year: $1.33
-54.9%
Avg New Home Sales Price
$698K
Previous year: $677K
+3.1%
Avg Backlog Sales Price
$695K
Previous year: $779K
-10.8%
Gross Profit
$171M
Previous year: $280M
-39.0%
Cash and Equivalents
$982M
Previous year: $270M
+263.4%
Free Cash Flow
$56.2M
Previous year: -$67.8M
-182.8%
Total Assets
$4.78B
Previous year: $4.41B
+8.3%

Tri Pointe

Tri Pointe

Tri Pointe Revenue by Geographic Location

Forward Guidance

For the third quarter, the Company anticipates delivering between 1,000 and 1,100 homes at an average sales price between $690,000 and $700,000. The Company expects homebuilding gross margin percentage to be in the range of 21.0% to 22.0% for the third quarter and anticipates its SG&A expense as a percentage of home sales revenue will be in the range of 12.0% to 13.0%. Finally, the Company expects its effective tax rate for the third quarter to be in the range of 26.0% to 27.0%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income