LGI Homes Inc (LGIH) Reports Q3 2023 Earnings: Net Income of $67.0 Million
Net income for Q3 2023 stands at $67.0 million, with a basic EPS of $2.85 and diluted EPS of $2.84.
Home sales revenues for the quarter reached $617.5 million, with 1,751 home closings.
Net income for the nine months ended September 30, 2023, was $147.1 million.
Home sales revenues for the nine-month period amounted to $1.8 billion, with 4,971 home closings.
On October 31, 2023, LGI Homes Inc (NASDAQ:LGIH) announced its financial results for the third quarter and nine months ended September 30, 2023. The company reported a net income of $67.0 million for Q3 2023, translating to a basic EPS of $2.85 and diluted EPS of $2.84. Home sales revenues for the quarter were $617.5 million, with 1,751 home closings. The average sales price per home closed was $352,678.
Financial Performance
For the nine months ended September 30, 2023, LGI Homes Inc (NASDAQ:LGIH) reported a net income of $147.1 million, with a basic EPS of $6.24 and diluted EPS of $6.21. Home sales revenues for the period amounted to $1.8 billion, with 4,971 home closings. The average sales price per home closed was $352,075.
Balance Sheet Highlights
As of September 30, 2023, the company had total liquidity of $243.2 million, including cash and cash equivalents of $47.0 million and $196.2 million of availability under the company's revolving credit facility. The net debt to capitalization was 38.8% at the end of the period.
Management Commentary
Our outstanding results in the third quarter, including the significant progress we made on increasing our profitability metrics, demonstrate the success of our operational initiatives and the resilience of our business model in the face of challenging market conditions," said Eric Lipar, Chairman and Chief Executive Officer of LGI Homes.
Outlook for 2023
The company expects home closings between 6,700 and 7,000 for the full year 2023. The average sales price per home closed is projected to be between $350,000 and $355,000. The gross margin as a percentage of home sales revenues is expected to be between 23.0% and 23.5%.
About LGI Homes Inc (NASDAQ:LGIH)
Headquartered in The Woodlands, Texas, LGI Homes Inc (NASDAQ:LGIH) is a pioneer in the homebuilding industry, successfully applying an innovative and systematic approach to the design, construction, and sale of homes across 36 markets in 21 states. The company has closed over 65,000 homes since its founding in 2003 and has delivered profitable financial results every year.
Explore the complete 8-K earnings release (here) from LGI Homes Inc for further details.
This article first appeared on GuruFocus.
