LGI Homes — Nov 5, 2024 release

“In the third quarter, we delivered 1,757 homes at an average sales price of $371,004, resulting in a 5.6% increase in revenue to $651.9 million. Our community count was 138 at the end of the third quarter, a 30.2% year-over-year increase, keeping us on pace to achieve our goal of approximately 150 communities by year-end. Our disciplined approach to pricing and incentives enabled us to deliver a gross margin of 25.1% and an adjusted gross margin of 27.2%. Both of these results represented sequential increases, exceeded the range of our full year 2024 guidance, and were aligned with our pre-pandemic, historical levels. Finally, pre-tax net income margin in the third quarter was 14.1%, an increase of 130 basis points sequentially and significantly higher than our pre-pandemic average of 12.8%. “Given our performance to date and market trends observed thus far in the fourth quarter, we are updating our full year guidance for 2024. We now expect to close between 6,100 and 6,400 homes this year. Additionally, we are increasing the range of our gross margin and adjusted gross margin guidance by 50 basis points at both the low and high ends of our prior ranges.” Mr. Lipar concluded, “While the industry continues to face near-term headwinds, the broader fundamentals of the housing market remain solid, and the appeal of homeownership endures. During this dynamic period, we remain committed to investing in the long-term growth of our business and delivering profitability-focused resu