Homes Builder M/I Reports Q4 & Year-End Results
M/I Homes, Inc. (NYSE: MHO) has reported record-breaking financial results for the fourth quarter and full year ended December 31, 2024, demonstrating significant growth across key performance indicators. The company achieved all-time highs in homes delivered, revenue, and net income, underscoring its strong operational performance and market position.
Fourth Quarter 2024 Highlights:
- Delivered a record-breaking 2,402 homes, representing a 19% increase from 2023’s fourth quarter.
- New contracts rose 11% year-over-year, reaching 1,759.
- Generated $1.2 billion in revenue, marking a 24% increase over the same period in 2023.
- Achieved $171 million in pre-tax income, up 24% from the previous year.
- Net income increased 27% to $133.5 million or $4.71 per diluted share, compared to $105 million ($3.66 per diluted share) in Q4 2023.
- Repurchased $50 million worth of stock.
Full-Year 2024 Performance:
- Set new records with 9,055 homes delivered, reflecting a 12% increase from 2023.
- New contracts increased 8%, reaching 8,584.
- Total revenue climbed 12% to $4.5 billion.
- Pre-tax income surged 21% to $734 million, representing 16% of total revenue.
- Net income grew 21% to $564 million ($19.71 per diluted share).
- Shareholders’ equity reached a record $2.9 billion, a 17% year-over-year increase, with book value per share hitting $109.
- Repurchased $176 million of stock.
- Delivered a 21% return on equity.
- Reduced homebuilding debt to capital ratio to 19%, compared to 22% at the end of 2023.
M/I Homes’ backlog at the end of 2024 included 2,531 homes, a 16% decrease from the previous year. The total sales value of these homes stood at $1.4 billion, an 11% decline, despite a 5% increase in average sales price, which reached a record $553,000. In comparison, at the end of 2023, the backlog consisted of 3,002 homes, valued at $1.6 billion, with an average price of $525,000. The company ended the year with 220 active communities, up from 213 the previous year. The cancellation rate remained stable, registering 14% in Q4 2024, slightly higher than the 13% reported in Q4 2023.
CEO Commentary and Outlook
Robert H. Schottenstein, Chairman, President, and Chief Executive Officer, expressed enthusiasm over the company’s stellar performance in 2024, emphasizing record highs across critical business metrics. “Our homes delivered increased 12% to 9,055, generating $4.5 billion in revenue, up 12% over 2023. Gross margins expanded to 26.6% from 25.3%, and pre-tax income surged 21% to $734 million. Our pre-tax margin hit 16%, and we delivered a 21% return on equity,” Schottenstein said.
He also highlighted the company’s robust financial position, noting that shareholders’ equity reached a record $2.9 billion, with a cash balance of $822 million and zero borrowings under its $650 million credit facility. M/I Homes concluded the year with a homebuilding debt-to-capital ratio of 19% and a net debt-to-capital ratio of negative 5%. “Our year-end book value per share reached $109, an all-time high,” Schottenstein added.
Looking ahead to 2025, Schottenstein remained optimistic, citing favorable demographic trends and a persistent housing shortage as industry tailwinds. “As we move into 2025, we believe that our industry will continue to benefit from strong fundamentals, including an undersupply of housing and positive demographic shifts,” he stated.
Earnings Call Details
M/I Homes will host a live earnings conference call at 10:30 a.m. Eastern Time today. Interested parties can access the call via the Investors section of the company’s website at mihomes.com. A replay of the call will be available online until January 2026.
Company Overview
M/I Homes, Inc. is a leading U.S. homebuilder specializing in single-family homes. The company operates in multiple key markets, including:
- Midwest: Columbus and Cincinnati, Ohio; Indianapolis, Indiana; Chicago, Illinois; Minneapolis/St. Paul, Minnesota; Detroit, Michigan.
- Southeast: Charlotte and Raleigh, North Carolina; Nashville, Tennessee.
- Southwest: Austin, Dallas/Fort Worth, Houston, and San Antonio, Texas.
- Florida: Tampa, Sarasota, Fort Myers/Naples, and Orlando.
Financial Summary (Unaudited)
Key Metrics for Q4 and Full-Year 2024:
| Metric | Q4 2024 | Q4 2023 | FY 2024 | FY 2023 |
|---|---|---|---|---|
| New Contracts | 1,759 | 1,588 | 8,584 | 7,977 |
| Homes Delivered | 2,402 | 2,019 | 9,055 | 8,112 |
| Revenue ($B) | 1.2 | 0.97 | 4.5 | 4.03 |
| Net Income ($M) | 133.5 | 105.3 | 563.7 | 465.4 |
| Diluted EPS ($) | 4.71 | 3.66 | 19.71 | 16.21 |
| Backlog (Units) | 2,531 | 3,002 | 2,531 | 3,002 |
| Backlog Sales Value ($B) | 1.4 | 1.6 | 1.4 | 1.6 |
| Average Closing Price ($K) | 490 | 471 | 483 | 483 |
| Return on Equity (%) | 21% | — | 21% | — |
M/I Homes continues to demonstrate its leadership in the homebuilding sector, reporting consistent revenue growth, expanding margins, and strong financial discipline. As 2025 begins, the company is well-positioned to capitalize on market opportunities, backed by a strong balance sheet, a solid backlog, and favorable industry trends.
