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Dec 31, 2022

Tri Pointe Q4 2022 Earnings Report

Tri Pointe Homes reported strong profitability, achieving all-time highs for quarterly home sales revenue, pre-tax income, and diluted earnings per share.

Key Takeaways

Tri Pointe Homes announced strong Q4 2022 results, with record quarterly home sales revenue of $1.5 billion and diluted earnings per share of $1.98. The company also announced a new stock repurchase program authorizing up to $250 million of common stock repurchase through December 31, 2023.

Diluted Earnings Per Share increased to $1.98, up 49% year-over-year.

New Home Deliveries reached 2,016, resulting in Home Sales Revenue of $1.5 Billion.

Homebuilding Gross Margin Percentage was 25.0%.

Pre-tax Margin stood at 18.0%.

Total Revenue
$1.51B
Previous year: $1.21B
+24.9%
EPS
$1.98
Previous year: $1.33
+48.9%
Avg New Home Sales Price
$746K
Previous year: $637K
+17.1%
Avg Backlog Sales Price
$791K
Previous year: $710K
+11.4%
Gross Profit
$377M
Previous year: $295M
+27.7%
Cash and Equivalents
$890M
Previous year: $682M
+30.5%
Free Cash Flow
$620M
Previous year: $206M
+201.6%
Total Assets
$4.72B
Previous year: $4.34B
+8.8%

Tri Pointe

Tri Pointe

Forward Guidance

For the first quarter of 2023, the Company anticipates delivering between 750 and 850 homes at an average sales price between $720,000 and $730,000. The Company expects its homebuilding gross margin percentage to be in the range of 23.0% to 24.0% for the first quarter of 2023 and anticipates its SG&A expense as a percentage of home sales revenue will be in the range of 14.0% to 14.5%. Lastly, the Company expects its effective tax rate for the first quarter of 2023 to be in the range of 26.0% to 27.0%.