UHG United Homes Group Inc

Second Quarter 2024 Highlights

• 337 homes closed, resulting in revenue, net of sales discounts, of $109.4 million
• Average sale price ("ASP") of production-built homes was approximately $341,000 compared to $313,000 in Q2 2023
• 323 net new home orders in Q2 2024 compared to 341 net new home orders in Q2 2023
• Active community count of 59 as of June 30, 2024
• Approximately 9,300 lots owned or controlled by the Company or affiliates as of June 30, 2024
• Available liquidity of $80.4 million as of June 30, 2024, comprised of $24.9 million of cash and $55.5 million of undrawn revolver capacity under our credit facility

United Homes Group, Inc. (the “Company”) (NASDAQ: UHG) today announced results for the second quarter ended June 30, 2024.

Second Quarter 2024 Operating Results

For the second quarter 2024, net income was $28.6 million, or $0.50 per diluted share, which included change in fair value of derivative liabilities of $32.1 million, with that change predominantly due to changes in fair value on potential earn-out consideration due to fluctuation in the stock price during the measurement period, representing a non-cash expense item. The earnout consideration would be paid in common shares upon reaching certain stock price hurdles. The Company is required to record the fair value of this earnout as derivative liabilities on the Condensed Consolidated Balance Sheets and to record changes in fair value of derivative liabilities on the Condensed Consolidated Statements of Operations, in each case until UHG shares reach certain predetermined values or expiration of the five year earnout period. Net income for the second quarter 2023 was $245.4 million, or $4.27 per diluted share. Total Stockholders' equity for the second quarter 2024 was $25.7 million. Adjusted book value1, which excludes the derivative liability and goodwill, was $85.6 million.

“United Homes Group continued to execute on its long-term goals in the second quarter of acquiring lots in a capital efficient manner and building out its homebuilding platform in high-growth Southeastern markets, while selling and delivering homes that cater to the more affordable segments of the market,” said Michael Nieri, Chief Executive Officer of United Homes Group. “We delivered 337 homes in the second quarter of 2024, generating revenue of $109 million, and ended the quarter with roughly 9,300 lots owned and controlled. With over 95% of these lots controlled via option agreement or land banking arrangement, we feel we are in a great position to capitalize on our land-light operating model.”

Revenue, net of sales discounts, for the second quarter 2024 was $109.4 million, compared to $122.1 million in the second quarter 2023. Home closings during the second quarter 2024 were 337 compared to 385 in the second quarter 2023. Net new home orders during the second quarter 2024 were 323 compared to 341 in the second quarter 2023. ASP of 299 production-built homes (which excludes 38 general contractor, custom, and build-to-rent homes) closed during the second quarter 2024 was approximately $341,000, compared to $313,000 during the second quarter 2023 for 376 production-built homes (which excludes nine general contractor and custom homes), representing an 8.9% increase. The increase is primarily attributable to changes in product mix as a result of acquisitions.

Gross profit as a percentage of revenue during the second quarter of 2024 was 17.9% compared to 19.6% during the second quarter 2023. Adjusted gross profit as a percentage of revenue2 in the second quarter 2024 was 20.9%, compared to 21.4% in the second quarter 2023. UHG's adjusted gross profit percentage decreased slightly due largely to the Company continuing to offer attractive sales incentives to homebuyers. Gross profit percentage decreased by a larger margin due to amortization of purchase accounting adjustments from acquisitions, severance costs from a June 2024 workforce reduction and abandoned project costs, partially offset by a reduction in interest expense in cost of sales.

Selling, general and administrative expenses ("SG&A") as a percentage of revenues was 17.9% in the second quarter 2024, which included $1.8 million of stock-based compensation, $1.2 million related to severance costs associated with the June 2024 workforce reduction, and $0.5 million of transaction-related expenses. Excluding stock-based compensation, severance costs, and transaction-related expenses, Adjusted SG&A3 for the second quarter 2024 was 14.7% of revenues.

Adjusted EBITDA4 during the second quarter 2024 was $7.7 million compared to $13.1 million during the second quarter 2023.

Six Months Ended June 30, 2024 Operating Results

For the six months ended June 30, 2024, net income was $53.6 million, or $0.93 per diluted share, which included change in fair value of derivative liabilities of $58.4 million, with that change predominantly due to changes in fair value on potential earn-out consideration due to fluctuation in the stock price during the measurement period, representing a non-cash expense item. Net income for the six months ended June 30, 2023 was $40.9 million, or $0.89 per diluted share.

Revenues for the six months ended June 30, 2024 were $210.3 million, compared to $216.9 million in the six months ended June 30, 2023. Home closings during the six months ended June 30, 2024 were 648 compared to 713 in the six months ended June 30, 2023. Net new orders during the six months ended June 30, 2024 were 707 compared to 730 in the six months ended June 30, 2023.

Gross profit percentage during the six months ended June 30, 2024 was 17.0% compared to 18.8% during the six months ended June 30, 2023. Adjusted gross profit percentage in the six months ended June 30, 2024 was 20.7%, compared to 20.9% in the six months ended June 30, 2023.

SG&A expenses as a percentage of revenues was 17.4% in the six months ended June 30, 2024, which included $3.4 million of stock-based compensation, $1.2 million related to severance costs associated with the June 2024 workforce reduction, and $1.7 million of transaction-related expenses. Excluding these stock-based compensation, severance costs, and transaction-related expenses, Adjusted SG&A for the six months ended June 30, 2024 was 14.5% of revenues.

Adjusted EBITDA during the six months ended June 30, 2024 was $14.9 million compared to $21.6 million during the six months ended June 30, 2023.

Earnings Conference Call

The Company will host a conference call via live webcast for investors and other interested parties beginning at 8:30 a.m. Eastern Time on Thursday, August 8, 2024. Interested parties can listen to the call live and view the related slides on the Internet under the Events & Presentations heading in the Investors section of the Company’s website at www.unitedhomesgroup.com. Listeners should log into the website at least fifteen minutes prior to the call to download and install any necessary audio software. The call can also be accessed toll free at 800-715-9871, or 646-307-1963 for international participants, Conference ID: 3266426. Those dialing in should do so at least ten minutes prior to the start of the call. An archive of the webcast will also be available on the Company’s website.

About United Homes Group, Inc.

UHG is a publicly traded residential builder headquartered in Columbia, SC. The company focuses on southeastern markets with 59 active communities in South Carolina, North Carolina and Georgia.

UHG employs a land-light operating strategy with a focus on the design, construction and sale of entry-level, first move-up and second move-up single-family houses. UHG currently designs, builds and sells detached single-family homes, and, to a lesser extent, attached single-family homes, including duplex homes and town homes in three major market regions in South Carolina: Midlands, Upstate, and Coastal, and also has a presence in Georgia and North Carolina. UHG seeks to operate its homebuilding business in high-growth markets, with substantial in-migrations and employment growth.

Under its land-light lot operating strategy, UHG controls its supply of finished building lots through lot option contracts with third parties, related parties, including its Land Development Affiliates, and land bank partners, which provide UHG with the right to purchase finished lots after they have been developed by the applicable third party or related party. This land-light operating strategy provides UHG with the ability to amass a pipeline of lots without the same risks associated with acquiring and developing raw land.

As UHG reviews potential geographic markets into which it could expand its homebuilding business, either organically or through strategic acquisitions, it intends to focus on selecting markets with positive population and employment growth trends, favorable migration patterns, attractive housing affordability, low state and local income taxes, and desirable lifestyle and weather characteristics.

Forward-Looking Statements

Certain statements contained in this earnings release, other than historical facts, may be considered forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). We intend for all such forward-looking statements to be covered by the applicable safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act and Section 21E of the Exchange Act, as applicable. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “may,” “will,” “expect,” “intend,” “anticipate,” “estimate,” “believe,” “seek,” “continue,” or other similar words.

Any such forward-looking statements are based on current expectations, estimates and projections about the industry and markets in which we operate, and beliefs of, and assumptions made by, our management and involve uncertainties that could significantly affect our financial results. Such statements include, but are not limited to, statements about our future financial performance, strategy, expansion plans, future operations, future operating results, estimated revenues, losses, projected costs, prospects, plans and objectives of management. Such statements are subject to known and unknown risks and uncertainties, which could cause actual results to differ materially from those projected or anticipated, including, without limitation:

• disruption in the terms or availability of mortgage financing or an increase in the number of foreclosures in our markets;
• volatility and uncertainty in the credit markets and broader financial markets;
• a slowdown in the homebuilding industry or changes in population growth rates in our markets;
• shortages of, or increased prices for, labor, land or raw materials used in land development and housing construction, including due to changes in trade policies;
• material weaknesses in our internal control over financial reporting that we have identified, which, if not corrected, could affect the reliability of our consolidated financial statements;
• our ability to recognize the anticipated benefits of the business combination, which may be affected by, among other things, competition and the ability of the combined business to grow and manage growth profitably;
• our ability to execute our business model, including the success of our operations in new markets and our ability to expand into additional new markets;
• our ability to successfully integrate homebuilding operations that we acquire;
• delays in land development or home construction resulting from natural disasters, adverse weather conditions or other events outside our control;
• changes in applicable laws or regulations;
• the outcome of any legal proceedings;
• our ability to continue to leverage our land-light operating strategy;
• the ability to maintain the listing of our securities on Nasdaq or any other exchange; and
• the possibility that we may be adversely affected by other economic, business or competitive factors.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release and are not intended to be a guarantee of our performance in future periods. We cannot guarantee the accuracy of any such forward-looking statements contained in this release, and we do not intend to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

For further information regarding other risks and uncertainties associated with our business, and important factors that could cause our actual results to vary materially from those expressed or implied in such forward-looking statements, please refer to the factors listed and described under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and the “Risk Factors” sections of the documents we file from time to time with the U.S. Securities and Exchange Commission, including, but not limited to, our Annual Report on Form 10-K and our quarterly reports on Form 10-Q, copies of which may be obtained from our website at https://ir.unitedhomesgroup.com/financials/sec-filings/default.aspx

 

UNITED HOMES GROUP, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

 

June 30, 2024

 

December 31, 2023

ASSETS

 

 

 

Cash and cash equivalents

$

24,915,782

 

$

56,671,471

 

Accounts receivable, net

 

879,755

 

 

1,661,206

 

Inventories

 

168,789,185

 

 

182,809,702

 

Real estate inventory not owned

 

16,493,565

 

 

—

 

Due from related party

 

—

 

 

88,000

 

Related party note receivable

 

571,770

 

 

610,189

 

Income tax receivable

 

3,164,174

 

 

—

 

Lot deposits

 

42,391,643

 

 

33,015,812

 

Investment in joint venture

 

2,024,422

 

 

1,430,177

 

Property and equipment, net

 

1,001,623

 

 

1,073,961

 

Operating right-of-use assets

 

2,577,893

 

 

5,411,192

 

Deferred tax asset

 

3,294,887

 

 

2,405,417

 

Prepaid expenses and other assets

 

8,648,621

 

 

7,763,565

 

Goodwill

 

9,279,676

 

 

5,706,636

 

Total Assets

$

284,032,996

 

$

298,647,328

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

Accounts payable

$

23,208,818

 

$

38,680,764

 

Homebuilding debt and other affiliate debt

 

72,724,336

 

 

80,451,429

 

Liabilities from real estate inventory not owned

 

12,949,555

 

 

—

 

Due to related party

 

75,048

 

 

—

 

Operating lease liabilities

 

2,781,000

 

 

5,565,320

 

Other accrued expenses and liabilities

 

8,340,315

 

 

8,353,824

 

Income tax payable

 

—

 

 

1,128,804

 

Derivative liabilities

 

69,167,963

 

 

127,610,943

 

Convertible note payable

 

69,040,609

 

 

68,038,780

 

Total Liabilities

 

258,287,644

 

 

329,829,864

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

Preferred Stock, $0.0001 par value; 40,000,000 shares authorized; none issued or outstanding.

 

—

 

 

—

 

Class A common stock, $0.0001 par value; 350,000,000 shares authorized; 11,405,770 and 11,382,282 shares issued and outstanding on June 30, 2024, and December 31, 2023, respectively.

 

1,140

 

 

1,138

 

Class B common stock, $0.0001 par value; 60,000,000 shares authorized; 36,973,876 shares issued and outstanding on June 30, 2024, and December 31, 2023, respectively.

 

3,697

 

 

3,697

 

Additional paid-in capital

 

6,144,122

 

 

2,794,493

 

Retained earnings (Accumulated deficit)

 

19,596,393

 

 

(33,981,864

)

Total Stockholders' equity

 

25,745,352

 

 

(31,182,536

)

Total Liabilities and Stockholders' equity

$

284,032,996

 

$

298,647,328

 

UNITED HOMES GROUP, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

Revenue, net of sales discounts

$

109,420,037

 

 

$

122,091,629

 

 

$

210,258,282

 

 

$

216,918,331

 

Cost of sales

 

89,842,341

 

 

 

98,174,149

 

 

 

174,586,539

 

 

 

176,223,078

 

Gross profit

 

19,577,696

 

 

 

23,917,480

 

 

 

35,671,743

 

 

 

40,695,253

 

 

 

 

 

 

 

 

 

Selling, general and administrative expense

 

19,613,484

 

 

 

16,335,318

 

 

 

36,667,983

 

 

 

33,022,719

 

Net (loss) income from operations

 

(35,788

)

 

 

7,582,162

 

 

 

(996,240

)

 

 

7,672,534

 

 

 

 

 

 

 

 

 

Other expense, net

 

(3,582,115

)

 

 

(2,295,330

)

 

 

(5,544,960

)

 

 

(2,092,615

)

Equity in net earnings from investment in joint venture

 

338,372

 

 

 

390,674

 

 

 

656,671

 

 

 

636,482

 

Change in fair value of derivative liabilities

 

32,055,564

 

 

 

242,342,979

 

 

 

58,435,274

 

 

 

35,278,491

 

Income before taxes

 

28,776,033

 

 

 

248,020,485

 

 

 

52,550,745

 

 

 

41,494,892

 

Income tax expense (benefit)

 

136,000

 

 

 

2,657,726

 

 

 

(1,027,512

)

 

 

636,461

 

Net income

$

28,640,033

 

 

$

245,362,759

 

 

$

53,578,257

 

 

$

40,858,431

 

 

 

 

 

 

 

 

 

Basic and diluted earnings per share

 

 

 

 

 

 

 

Basic

$

0.59

 

 

$

5.10

 

 

$

1.11

 

 

$

0.95

 

Diluted

$

0.50

 

 

$

4.27

 

 

$

0.93

 

 

$

0.89

 

 

 

 

 

 

 

 

 

Basic and diluted weighted-average number of shares

 

 

 

 

 

 

 

Basic

 

48,373,812

 

 

 

48,122,141

 

 

 

48,368,200

 

 

 

42,877,744

 

Diluted

 

63,372,936

 

 

 

57,874,253

 

 

 

63,443,456

 

 

 

48,800,225

 

UNITED HOMES GROUP, INC GAAP TO NON-GAAP RECONCILIATIONS (Unaudited)

Adjusted gross profit is a non-GAAP financial measure used by management of the Company as a supplemental measure in evaluating operating performance. The Company defines adjusted gross profit as gross profit excluding the effects of capitalized interest expensed in cost of sales, amortization included in homebuilding cost of sales (primarily adjustments resulting from the application of purchase accounting in connection with acquisitions), severance expense in cost of sales, abandoned project costs, and non-recurring remediation costs. The Company’s management believes this information is meaningful because it separates the impact that capitalized interest, purchase accounting adjustments, and non-recurring remediation costs directly expensed in cost of sales have on gross profit to provide a more specific measurement of the Company’s gross profits. However, because adjusted gross profit information excludes certain balances expensed in cost of sales, which have real economic effects and could impact the Company’s results of operations, the utility of adjusted gross profit information as a measure of the Company’s operating performance may be limited. Other companies may not calculate adjusted gross profit information in the same manner that the Company does. Accordingly, adjusted gross profit information should be considered only as a supplement to gross profit information as a measure of the Company’s performance.

The following table presents a reconciliation of adjusted gross profit to the GAAP financial measure of gross profit for each of the periods indicated.

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

Revenue, net of sales discounts

$

109,420,037

 

 

$

122,091,629

 

 

$

210,258,282

 

 

$

216,918,331

 

Cost of sales

 

89,842,341

 

 

 

98,174,149

 

 

 

174,586,539

 

 

 

176,223,078

 

Gross profit

$

19,577,696

 

 

$

23,917,480

 

 

$

35,671,743

 

 

$

40,695,253

 

Interest expense in cost of sales

 

1,659,089

 

 

 

2,159,967

 

 

 

5,172,108

 

 

 

4,546,799

 

Amortization in homebuilding cost of sales(a)

 

912,837

 

 

 

—

 

 

 

1,861,173

 

 

 

—

 

Severance expense in cost of sales

 

324,540

 

 

 

—

 

 

 

324,540

 

 

 

—

 

Abandoned project costs

 

320,000

 

 

 

—

 

 

 

320,000

 

 

 

—

 

Non-recurring remediation costs

 

50,962

 

 

 

—

 

 

 

109,422

 

 

 

—

 

Adjusted gross profit

$

22,845,124

 

 

$

26,077,447

 

 

$

43,458,986

 

 

$

45,242,052

 

Gross profit %(b)

 

17.9

%

 

 

19.6

%

 

 

17.0

%

 

 

18.8

%

Adjusted gross profit %(b)

 

20.9

%

 

 

21.4

%

 

 

20.7

%

 

 

20.9

%

______________________________

(a) Represents expense recognized resulting from purchase accounting adjustments (b) Calculated as a percentage of revenue

UNITED HOMES GROUP, INC GAAP TO NON-GAAP RECONCILIATIONS (Unaudited)

Earnings before interest, taxes, depreciation and amortization, or EBITDA, and adjusted EBITDA are supplemental non-GAAP financial measures used by management of the Company. The Company defines EBITDA as net income before (i) capitalized interest expensed in cost of sales, (ii) interest expensed in other (expense) income, net, (iii) depreciation and amortization, and (iv) taxes. The Company defines adjusted EBITDA as EBITDA before stock-based compensation expense, transaction cost expense, severance expense, abandoned project costs, non-recurring remediation costs, amortization included in homebuilding cost of sales (adjustments resulting from the application of purchase accounting in connection with acquisitions), change in fair value of derivative liabilities, and non-recurring loss on disposal of leasehold improvements. Management of the Company believes EBITDA and adjusted EBITDA are useful because they provide a more effective evaluation of UHG’s operating performance and allow comparison of UHG’s results of operations from period to period without regard to UHG’s financing methods or capital structure or other items that impact comparability of financial results from period to period such as fluctuations in interest expense or effective tax rates, levels of depreciation or amortization, or unusual items. EBITDA and adjusted EBITDA should not be considered as alternatives to, or more meaningful than, net income or any other measure as determined in accordance with GAAP. UHG’s computations of EBITDA and adjusted EBITDA may not be comparable to EBITDA or adjusted EBITDA of other companies.

The following table presents a reconciliation of EBITDA and adjusted EBITDA to the GAAP financial measure of net income for each of the periods indicated.

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2024

 

 

 

2023

 

 

 

2024

 

 

 

2023

 

Net income

$

28,640,033

 

 

$

245,362,759

 

 

$

53,578,257

 

 

$

40,858,431

 

Interest expense in cost of sales

 

1,659,089

 

 

 

2,159,967

 

 

 

5,172,108

 

 

 

4,546,799

 

Interest expense in other expense, net

 

3,578,101

 

 

 

3,419,309

 

 

 

5,720,293

 

 

 

3,419,309

 

Depreciation and amortization

 

476,252

 

 

 

251,846

 

 

 

926,294

 

 

 

466,776

 

Taxes

 

217,995

 

 

 

2,745,736

 

 

 

(904,027

)

 

 

637,844

 

EBITDA

$

34,571,470

 

 

$

253,939,617

 

 

$

64,492,925

 

 

$

49,929,159

 

Stock-based compensation expense

 

1,840,127

 

 

 

410,530

 

 

 

3,350,091

 

 

 

4,909,686

 

Transaction cost expense

 

515,891

 

 

 

1,102,094

 

 

 

1,740,904

 

 

 

2,066,118

 

Severance expense

 

1,504,416

 

 

 

—

 

 

 

1,504,416

 

 

 

—

 

Abandoned project costs

 

320,000

 

 

 

—

 

 

 

320,000

 

 

 

—

 

Non-recurring remediation costs

 

50,962

 

 

 

—

 

 

 

109,422

 

 

 

—

 

Amortization in homebuilding cost of sales(b)

 

912,837

 

 

 

—

 

 

 

1,861,173

 

 

 

—

 

Change in fair value of derivative liabilities

 

(32,055,564

)

 

 

(242,342,979

)

 

 

(58,435,274

)

 

 

(35,278,491

)

Adjusted EBITDA

$

7,660,139

 

 

$

13,109,262

 

 

$

14,943,657

 

 

$

21,626,472

 

EBITDA margin(a)

 

31.6

%

 

 

208.0

%

 

 

30.7

%

 

 

23.0

%

Adjusted EBITDA margin(a)

 

7.0

%

 

 

10.7

%

 

 

7.1

%

 

 

10.0

%

______________________________

(a) Calculated as a percentage of revenue (b) Represents expense recognized resulting from purchase accounting adjustments

UNITED HOMES GROUP, INC GAAP TO NON-GAAP RECONCILIATIONS Continued

Adjusted selling, general and administrative expense, or adjusted SG&A, is a supplemental non-GAAP financial measure used by management of the Company. UHG defines adjusted SG&A as SG&A, excluding the effects of stock-based compensation expense, transaction cost expense, and severance expense included in SG&A. Management of UHG believes adjusted SG&A provides useful information to investors because it enables an alternative assessment of the Company's operating results in a manner that is focused on its operating performance.

The following table presents a reconciliation of Adjusted SG&A to the GAAP financial measure of SG&A for the three and six months ended June 30, 2024.

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2024

 

 

 

2024

 

Selling, general and administrative expense

$

19,613,484

 

 

$

36,667,983

 

Stock-based compensation expense

 

1,840,127

 

 

 

3,350,091

 

Transaction cost expense

 

515,891

 

 

 

1,740,904

 

Severance expense in SG&A

 

1,179,876

 

 

 

1,179,876

 

Adjusted SG&A

$

16,077,590

 

 

$

30,397,112

 

SG&A %(a)

 

17.9

%

 

 

17.4

%

Adjusted SG&A %(a)

 

14.7

%

 

 

14.5

%

______________________________

(a) Calculated as a percentage of revenue

UNITED HOMES GROUP, INC GAAP TO NON-GAAP RECONCILIATIONS Continued

Adjusted book value is a supplemental non-GAAP financial measure used by management of the Company. UHG defines adjusted book value as total stockholders' equity (book value), excluding the effect of goodwill and derivative instruments. Management of UHG believes adjusted book value is useful to investors because it excludes the impact of purchase accounting and fair value adjustments on derivative instruments which are not expected to result in economic gain or loss.

The following table presents a reconciliation of adjusted book value to the GAAP financial measure of total stockholders' equity for the period indicated.

 

 

 

June 30, 2024

Total Stockholders' equity

 

 

$

25,745,352

 

Contingent earnout liability

61,558,579

 

 

Derivative private placement warrant liability

2,106,331

 

 

Derivative public warrant liability

5,261,250

 

 

Derivative stock option liability

241,803

 

 

Total Derivative Liability

 

 

 

69,167,963

 

Goodwill

 

 

 

(9,279,676

)

Adjusted Book Value

 

 

$

85,633,639

 

UNITED HOMES GROUP, INC OPERATIONAL METRICS BY MARKET $’s in millions

 

 

Three Months Ended June 30,

 

 

 

 

 

 

2024

 

2023

 

Period Over Period % Change

Market

 

Net New Orders

 

Closings

 

Net New Orders

 

Closings

 

Net New Orders

 

Closings

Coastal

 

62

 

48

 

39

 

67

 

59 %

 

-28 %

Midlands

 

169

 

175

 

245

 

241

 

-31 %

 

-27 %

Upstate

 

82

 

106

 

57

 

77

 

44 %

 

38 %

Raleigh

 

10

 

8

 

—

 

—

 

NM

 

NM

Total

 

323

 

337

 

341

 

385

 

-5 %

 

-12 %

 

 

Six Months Ended June 30,

 

 

 

 

 

 

2024

 

2023

 

Period Over Period % Change

Market

 

Net New Orders

 

Closings

 

Net New Orders

 

Closings

 

Net New Orders

 

Closings

Coastal

 

130

 

93

 

109

 

138

 

19 %

 

-33 %

Midlands

 

378

 

325

 

442

 

417

 

-14 %

 

-22 %

Upstate

 

185

 

218

 

179

 

158

 

3 %

 

38 %

Raleigh

 

14

 

12

 

—

 

—

 

NM

 

NM

Total

 

707

 

648

 

730

 

713

 

-3 %

 

-9 %

 

 

As of June 30, 2024

 

As of December 31, 2023

 

Period Over Period % Change

Market

 

Backlog Inventory5

 

Backlog Value6

 

Backlog Inventory5

 

Backlog Value6

 

Backlog Inventory

 

Backlog Value

Coastal

 

52

 

$ 18.1

 

14

 

$ 4.2

 

271 %

 

331 %

Midlands

 

125

 

42.4

 

72

 

23.4

 

74 %

 

81 %

Upstate

 

66

 

18.8

 

100

 

28.1

 

-34 %

 

-33 %

Raleigh

 

5

 

1.9

 

3

 

1.9

 

67 %

 

— %

Total

 

248

 

$ 81.2

 

189

 

$ 57.6

 

31 %

 

41 %

______________________________

NM - Not Meaningful 1 Adjusted book value is a non-GAAP financial measure. See “Reconciliation of Non-GAAP Financial Measures.” 2 Adjusted gross profit percentage is a non-GAAP financial measure. See “Reconciliation of Non-GAAP Financial Measures.” 3 Adjusted SG&A is a non-GAAP financial measure. See “Reconciliation of Non-GAAP Financial Measures.” 4 Adjusted EBITDA is a non-GAAP financial measure. See “Reconciliation of Non-GAAP Financial Measures.” 5 Backlog inventory consists of homes that are under a sales contract but have not closed. Backlog may be impacted by customer cancellations. 6 Backlog value is calculated as the total contract value of homes in backlog.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240808031264/en/

Investor Relations Contact: Drew Mackintosh drew@mackintoshir.com Mobile: 310-924-9036

Media Contact: Erin Reeves McGinnis erinreevesmcginnis@unitedhomesgroup.com Phone: 844-766-4663