Latest news with #PhillippeLord
Yahoo
20-05-2025
- Business
- Yahoo
Meritage Homes Extends Partnership with Operation Homefront, Donating Two Mortgage-Free Homes to Military Families in Colorado and North Carolina
The homebuilder's 12th year partnering with Operation Homefront's Permanent Homes for Veterans program SCOTTSDALE, Ariz., May 20, 2025 (GLOBE NEWSWIRE) -- Meritage Homes has extended its partnership with Operation Homefront's Permanent Homes for Veterans Program to donate two brand new, mortgage-free homes for veteran families in Colorado Springs, Colorado and Raleigh, North Carolina. This marks the Company's 12th year partnering with the organization and 22 total donations to date. 'We are honored to deliver new homes to deserving military families who have given so much to our country. It's a privilege for us to help them achieve a fresh start to a new future and build roots in their communities,' shares Phillippe Lord, CEO of Meritage Homes. 'Thank you to our employees and trade partners for their time and effort. We're proud to continue our long-standing partnership with Operation Homefront and look forward to welcoming this year's recipients into their new, mortgage-free Meritage homes.' The new homes will be in the Lorson Ranch community located in Colorado Springs, CO and in the River Glen community in Angier, NC. Both homes offer an open-concept floorplan with designer-curated interiors and energy-efficient features, including ENERGY STAR® appliances, a multispeed HVAC system, and spray-foam insulation. Each house is also outfitted with a smart home suite that gives homeowners the ability to set the thermostat, control security devices and more through a convenient app. This year's recipients will be announced in September and presented the keys at ceremonies in November around Veterans Day. 'We are grateful for Meritage Homes' unwavering commitment to our mission to build strong, stable and secure military families,' said Rear Adm. Alan Reyes, US Navy (Ret.), Operation Homefront President & CEO. 'Each family receives more than a house, they are being given a place to call home, where they can gather to establish new traditions, create beautiful memories and realize life-changing dreams with generational impact.' For more information about the Meritage's partnership with Operation Homefront, please visit: About Meritage Homes Corporation: Meritage is the fifth-largest public homebuilder in the United States, based on homes closed in 2024. The Company offers energy-efficient and affordable entry-level and first move-up homes. Operations span across Arizona, California, Colorado, Utah, Tennessee, Texas, Alabama, Florida, Georgia, Mississippi, North Carolina, and South Carolina. Meritage has delivered almost 200,000 homes in its 40-year history, and has a reputation for its distinctive style, quality construction, and award-winning customer experience. The Company is an industry leader in energy-efficient homebuilding, an eleven-time recipient of the U.S. Environmental Protection Agency's (EPA) ENERGY STAR® Partner of the Year for Sustained Excellence Award and Residential New Construction Market Leader Award, as well as a four-time recipient of the EPA's Indoor airPLUS Leader Award. For more information, visit About Operation Homefront: Operation Homefront is a national nonprofit organization whose mission is to build strong, stable, and secure military families so that they can thrive – not simply struggle to get by – in the communities they have worked so hard to protect. Recognized for superior performance by leading independent charity oversight groups, 83 percent of Operation Homefront expenditures go directly to programs that support tens of thousands of military families each year. Operation Homefront provides critical financial assistance, transitional and permanent housing, and family support services to prevent short-term needs from turning into chronic, long-term struggles. Thanks to the generosity of our donors and the support from thousands of volunteers, Operation Homefront proudly serves America's military families. For more information, visit Contact:Emily Tadano, VP Investor Relations and External Communications (480) 515-8979 media@
Yahoo
13-05-2025
- Business
- Yahoo
MTH Q1 Earnings Call: Meritage Homes Focuses on Community Growth Amid Market Volatility
Homebuilder Meritage Homes (NYSE:MTH) reported revenue ahead of Wall Street's expectations in Q1 CY2025, but sales fell by 7.5% year on year to $1.36 billion. The company's full-year revenue guidance of $6.75 billion at the midpoint came in 1.5% above analysts' estimates. Its non-GAAP profit of $1.69 per share was 0.9% above analysts' consensus estimates. Is now the time to buy MTH? Find out in our full research report (it's free). Revenue: $1.36 billion vs analyst estimates of $1.33 billion (7.5% year-on-year decline, 2.4% beat) Adjusted EPS: $1.69 vs analyst estimates of $1.68 (0.9% beat) Adjusted EBITDA: $165.4 million vs analyst estimates of $170.7 million (12.1% margin, 3.1% miss) The company reconfirmed its revenue guidance for the full year of $6.75 billion at the midpoint Operating Margin: 11%, down from 15.3% in the same quarter last year Free Cash Flow was -$48.14 million, down from $75.75 million in the same quarter last year Backlog: $812.4 million at quarter end, down 34.7% year on year Market Capitalization: $4.9 billion Meritage Homes' first quarter results reflected the company's strategic emphasis on rapid inventory turnover and affordable, move-in-ready homes. Management attributed the quarter's performance to a 60-day closing commitment, enhanced use of financing incentives, and a growing community count. CEO Phillippe Lord explained, 'Our strategy is intentionally agile and we constantly are reviewing our start cadence and land spend,' highlighting the importance of adaptability in the face of macroeconomic uncertainty and shifting homebuyer sentiment. Looking ahead, Meritage Homes' forward guidance relies heavily on the anticipated double-digit increase in community count and continued demand for affordable new homes. Management reaffirmed full-year revenue expectations, with CFO Hilla Sferruzza noting, "We typically see a pop in volume when we open up a community," and emphasized that community openings—rather than improved market conditions—will be the main driver of growth. The company remains cautious about potential headwinds, such as evolving tariffs and macroeconomic volatility, but expressed confidence in its current strategy and market positioning. Meritage Homes' leadership connected first quarter performance to operational agility, product positioning, and strategic land acquisitions, while addressing the effects of a volatile housing market and heightened affordability concerns. Rapid backlog conversion: The company's 60-day closing commitment led to a record-high backlog conversion rate, allowing Meritage to quickly turn speculative inventory into sales and closings, which management cited as a key differentiator. Incentive-driven affordability: Increased use of financing incentives, particularly rate buy-downs, helped address affordability challenges for homebuyers without widespread price cuts; these incentives were more prevalent in markets facing greater consumer hesitation. Community count expansion: A notable driver of current and future growth was the double-digit year-over-year increase in community count, including new communities in the Gulf Coast and Nashville following targeted land acquisitions. Operational cost management: Cost reductions in direct construction expenses were achieved through purchasing negotiations and scale, partially offsetting lower margins due to higher incentives and reduced leverage of fixed costs. Resilient supply chain and labor: Stable labor availability and steady cycle times benefited Meritage, with management citing industry-wide pullbacks in new construction as providing slack in labor markets. The company reported no major disruptions from recent immigration policy changes or supply chain bottlenecks. Meritage Homes' outlook for the remainder of the year centers on expanding its community footprint and maintaining sales momentum through affordability initiatives, while monitoring risks from interest rates, tariffs, and consumer sentiment. Community growth as primary lever: Management expects the majority of revenue and volume growth to come from a higher number of new communities, particularly those with move-in-ready inventory, rather than assuming improved seasonal demand patterns. Affordability and incentives: The ongoing use of rate buy-downs and selective price increases in certain markets will be key to sustaining homebuyer activity, as the company adapts to persistent affordability constraints and fluctuating mortgage rates. Cost and margin risks: Potential future tariffs on materials and ongoing macroeconomic uncertainty represent risks to gross margins, although current supply chain stability and labor availability are expected to support operational execution for the near term. Unidentified Analyst (Zelman & Associates): Asked about higher average closing prices implied in the full-year outlook; management clarified the increase is mainly due to product mix rather than broad-based pricing power. Alan (Analyst): Inquired about the sustainability of incentive levels throughout the year; management indicated incentives would remain elevated and would be adjusted based on mortgage rate volatility and market conditions. Stephen Kim (Evercore ISI): Questioned the timing and expected impact of community count growth; management stated most new communities would open in the second half of the year, driving volume through initial high absorption rates. Michael Rehaut (JPMorgan): Pressed on Meritage's ability to maintain full-year guidance amid industry volatility; management emphasized confidence in its move-in-ready strategy and double-digit community growth as key factors. Trevor Allinson (Wolf Research): Sought insights on the competitive advantage of the 60-day closing commitment; management responded that this certainty, combined with financing incentives, differentiates Meritage from resale and peer offerings. In the coming quarters, the StockStory team will be monitoring (1) the pace and success of new community openings, especially in high-growth regions like the Gulf Coast and Nashville, (2) the evolution of incentive strategies and their impact on margins as interest rates fluctuate, and (3) any signs of supply chain or labor disruptions as the broader housing market responds to ongoing economic and policy shifts. Additionally, we will assess the impact of any new tariffs or regulatory changes on cost structure and gross margins. Meritage Homes currently trades at a forward P/E ratio of 7.6×. In the wake of earnings, is it a buy or sell? Find out in our free research report. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
