M/I Homes Misses Q3 Estimates as CEO Warns Market 'Increasingly Difficult'
MHO is trading near its 52-week low of $116.086 (2.5% above the low).
Summary
M/I Homes missed on both lines for Q3: adjusted EPS of $2.70 versus the $3.35 estimate, and revenue down 5% to $1.076 billion against a $1.109 billion consensus. Net income fell to $66.6 million from $106.5 million a year earlier, with $4.7 million in pretax inventory charges and adjusted EBITDA dropping to $103.4 million from $156.6 million. Deliveries slipped 2% to 2,241, new contracts fell 2% to 1,861, and backlog units dropped 7% to 2,046 — the Southern region drove the weakness with contracts down 4%. CEO Robert Schottenstein flagged 'increasingly difficult market conditions' from higher mortgage rates and weaker buyer demand, and the stock is down 4.55% to $118.41, near its 52-week low. The balance sheet is the offset: $620.6 million in cash, record $3.3 billion equity, 18% debt-to-capital, and $50 million of buybacks in the quarter.
At the time of this announcement, MHO was trading at $118.98 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $3B. The 52-week trading range was $116.09 to $163.66. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Benzinga.