M/I Homes Unveils Impressive Fourth Quarter and Year-End Financial Performance for 2024

M/I Homes Reports Record Performance in Q4 and Year-End Results for 2024

M/I Homes, Inc. (NYSE:MHO), a leading homebuilder, has announced exceptional financial results for the fourth quarter and the year ending December 31, 2024. The company has achieved all-time highs in homes delivered, revenues, and net income, showcasing its robust growth and market position.

Fourth Quarter Highlights

In the fourth quarter of 2024, M/I Homes delivered a record 2,402 homes, which marks a 19% increase compared to 2023's fourth quarter where 2,019 homes were delivered. This surge in deliveries contributed to a revenue increase of 24%, leading to a total revenue of $1.2 billion for the quarter.

Moreover, the company's net income rose impressively by 27%, reaching $133.5 million, or $4.71 per diluted share. This is up from $105 million, or $3.66 per diluted share, in Q4 of the previous year. The CEO of M/I Homes, Robert H. Schottenstein, expressed satisfaction with the company’s performance, highlighting that the favorable outcome was fueled by an 11% rise in new contracts, totaling 1,759 agreements in the quarter.

This quarter not only resulted in increased revenues but also led M/I Homes to repurchase $50 million worth of its stock, reflecting confidence in its financial stability and future outlook.

Full Year Performance

Turning to the full-year results, M/I Homes reported delivering a total of 9,055 homes, a 12% increase from the previous year's total of 8,112. This achievement generated a record revenue of $4.5 billion, which is a 12% growth from 2023.

The financial health of the company is further reflected in its pre-tax income, which increased by 21% to $734 million. Net income for the full year also saw a commendable rise of 21%, reaching $564 million, or $19.71 per diluted share.

Another critical indication of M/I Homes’ success is its shareholders' equity, which reached an all-time high of $2.9 billion, a significant 17% increase from 2023. The company’s book value per share also reflects this growth, climbing to $109 at year-end, showcasing its strong financial foundation.

Management Insight

In his remarks, Schottenstein complimented the company’s performance, affirming that M/I Homes is in an excellent financial position with record cash levels of $822 million and zero borrowings under its $650 million credit facility. The company maintains a homebuilding debt to capital ratio at a healthy 19%, down from 22% in the previous year.

Moreover, as the company heads into 2025, it remains optimistic about industry trends that favor its growth trajectory, citing favorable demographics and a persistent housing supply shortage.

Looking Ahead

M/I Homes also reported a decrease in homes in backlog, standing at 2,531 units at the end of 2024, representing a 16% drop compared to the previous year, although the average sales price in backlog has increased by 5% to a record $553,000.

Overall, M/I Homes continues to establish itself as one of the nation’s foremost homebuilders, and its financial achievements in 2024 serve as a strong foundation for further expansion and shareholder value creation in the years to come. The company plans to broadcast its earnings conference call to discuss these results and answer any investor queries, which showcases its commitment to transparency and investor relations.