MHO Earnings Prediction
The chart below shows how MHO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, MHO sees a -1.93% change in stock price 10 days leading up to the earnings, and a -0.75% change 10 days following the report. On the earnings day itself, the stock moves by -0.21%. This data can give you a slight idea of what to expect for the next quarter's release.
MHO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.21B
23.92%
5.46%
Gross Margin
24.63%
-1.99%
-9.01%
Operating Margin
13.61%
1.95%
-14.51%
Net Margin
11.07%
2.31%
-13.04%
EPS
4.71
29.75%
-7.65%
No Data Available
MHO Earnings Analysis
M/I Homes Inc Corporation (MHO.N) Earnings Conference Call
Positive
Record Homes Delivered and Revenue: Homes delivered increased 12% to a record 9,055 homes, generating a record $4.5 billion in revenue, a 12% increase over 2023.
Pre-Tax Income Increase: Pre-tax income improved to $734 million, a 21% increase from 2023, resulting in a pre-tax margin of 16.3%.
Record Equity and Book Value: The company ended the year with a record $2.9 billion in equity, equating to a book value per share of $109, and a debt to capital ratio of 19%.
Regional Contract Growth: New contracts in the Southern region increased 4% for the year, while the Northern region saw a 12% increase, indicating strong demand across markets.
Earnings Per Share Growth: Earnings per diluted share for the quarter increased 29% to $4.71, and for the year, it rose 22% to $19.71, reflecting strong profitability.
Negative
Gross Margin Decline: 4th quarter gross margin decreased to 24.6%, down 50 basis points year-over-year and approximately 250 basis points sequentially from Q3, primarily due to increased costs associated with mortgage rate buy downs.
Sales Decline in Q4: Sales decelerated in Q4, with new contracts down 9% in December, indicating a weakening demand trend as the quarter progressed.
SG&A Expense Increase: SG&A expenses increased by 16% in Q4, driven by higher incentive compensation and community count, which could pressure overall profitability despite revenue growth.
Cancellation Rate Concerns: The cancellation rate for Q4 was 14%, suggesting potential instability in customer commitments and demand.
Gross Margin Compression Outlook: Despite a record year in 2024, the company anticipates compression in gross margins for 2025 compared to 2024, reflecting ongoing challenges in the market.
MHO FAQs
How does MHO typically perform around its earnings report dates?
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MHO Earning Call Sentiment
Earnings call transcript: M/I Homes Q4 2024 sees record revenue, stock dips
MHO.N
-2.09%Positive
The earnings call shows strong financial performance with record revenue and pre-tax income, alongside a robust share repurchase program, which are positive indicators. Despite challenges like supply chain issues and economic uncertainties, the company maintains a strong land position and financial health. The Q&A section highlights manageable demand softening and competitive pressures but doesn't reveal significant negative sentiment. Given the market cap and the positive financial metrics, a positive stock price movement is expected in the short term.
