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Sep 30, 2022
Tri Pointe Q3 2022 Earnings Report
Tri Pointe Homes delivered strong profitability, with increased home sales revenue, homebuilding gross margin, and SG&A leverage.
Key Takeaways
Tri Pointe Homes reported a strong third quarter in 2022, with a net income available to common stockholders of $149 million, or $1.45 in diluted earnings per share. The company's performance was driven by improvements in home sales revenue, homebuilding gross margin, and SG&A leverage. Despite a weakening housing market, Tri Pointe Homes is focused on closing homes in backlog, generating cash, and maintaining price competitiveness.
Net income available to common stockholders was $149.2 million, or $1.45 per diluted share.
Home sales revenue increased to $1.1 billion, up 3% compared to the same quarter last year.
Homebuilding gross margin percentage increased to 27.1%.
Backlog dollar value remained flat at $2.4 billion.
Tri Pointe
Tri Pointe
Tri Pointe Revenue by Geographic Location
Revenue by Geographic Location
Arizona Revenue
CapyFin.comCalifornia Revenue
CapyFin.comNevada Revenue
CapyFin.comWashington Revenue
CapyFin.comColorado Revenue
CapyFin.comTexas Revenue
CapyFin.com Forward Guidance
For the fourth quarter, the Company anticipates delivering between 1,700 and 1,900 homes at an average sales price between $700,000 and $715,000. The Company expects homebuilding gross margin percentage to be in the range of 25.0% to 26.0% for the fourth quarter and anticipates its SG&A expense as a percentage of home sales revenue will be in the range of 8.0% to 9.0%. Finally, the Company expects its effective tax rate for the fourth quarter to be in the range of 24.0% to 25.0%.
Positive Outlook
- Deliveries between 1,700 and 1,900 homes
- Average sales price between $700,000 and $715,000
- Homebuilding gross margin percentage to be in the range of 25.0% to 26.0%
- SG&A expense as a percentage of home sales revenue will be in the range of 8.0% to 9.0%.
- Effective tax rate for the fourth quarter to be in the range of 24.0% to 25.0%.
Revenue & Expenses
Visualization of income flow from segment revenue to net income