M/I Homes, Inc.: Q4 FY2025 earnings call

What management said about Q4 FY2025, from the documents filed with the SEC on 28 January 2026: press release. The quarter’s numbers.

Key takeaways

Fourth-quarter pre-tax income was $80.6 million: Revenue declined 5% to $1.1 billion. Net income was $64.0 million, or $2.39 per diluted share, in the quarter. Source
Full-year revenue and earnings declined: Full-year revenue was $4.4 billion, down 2%. Pre-tax income was $526.6 million, 12% of revenue, and diluted EPS was $14.74, against $19.71 in 2024. Source
Gross margin was 18.1% in the quarter: Gross margin was 18.1% for the quarter, or 22.6% excluding charges. Charges are included in cost of sales. Source
Quarter charges totalled $51.2 million: Pre-tax charges were $51.2 million, or $1.52 per diluted share: $40.1 million of inventory charges and $11.2 million of warranty charges. Source
Cancellation rate fell in the quarter: Cancellation rate was 10% in the quarter against 14% a year earlier, and 11% for the year against 10%. Source
Year-end cash and no borrowings: Cash was $689 million at year-end, with zero borrowings under the $900 million facility, a homebuilding debt to capital ratio of 18%, and shareholders’ equity of $3.2 billion. Source

“2025 was a very solid year for M/I Homes.”
Robert H. Schottenstein, Chief Executive Officer and President

Quarter and full-year results

Fourth-quarter pre-tax income was $80.6 million: Revenue declined 5% to $1.1 billion. Net income was $64.0 million, or $2.39 per diluted share, in the quarter. Source
Full-year revenue and earnings declined: Full-year revenue was $4.4 billion, down 2%. Pre-tax income was $526.6 million, 12% of revenue, and diluted EPS was $14.74, against $19.71 in 2024. Source
Adjusted EPS shown excluding charges: Adjusted diluted EPS was $3.91 for the quarter, against $4.71 a year earlier, and $16.39 for the year, against $19.72. Source

Northern and Southern volumes

Southern contracts rose in the quarter: Southern new contracts rose 13% to 1,185 in the quarter and fell 1% to 4,783 for the year. Source
Northern contracts fell over the year: Northern new contracts rose 4% to 736 in the quarter and fell 9% to 3,416 for the year. Source
Northern deliveries declined in both periods: Northern homes delivered fell 8% to 981 in the quarter and 4% to 3,716 for the year. Source
Southern deliveries flat for the year: Southern homes delivered fell 1% to 1,320 in the quarter and were flat for the year at 5,205. Source

“While homebuilding conditions remain somewhat choppy and challenging, we are very confident in the long-term fundamentals of our industry”
Robert H. Schottenstein, Chief Executive Officer and President

Gross margin and charges

Gross margin was 18.1% in the quarter: Gross margin was 18.1% for the quarter, or 22.6% excluding charges. Charges are included in cost of sales. Source
Gross margin dollars declined year over year: Gross margin was $207.7 million in the quarter, against $296.8 million, and $1,017.2 million for the year, against $1,198.9 million. Source
Quarter charges totalled $51.2 million: Pre-tax charges were $51.2 million, or $1.52 per diluted share: $40.1 million of inventory charges and $11.2 million of warranty charges. Source

Pricing, costs and other revenue

Average closing price was lower: Average home closing price was $484,000 in the quarter, against $490,000, and $479,000 for the year, against $483,000. Source
Operations cost of sales rose for the year: Cost of sales, operations, was $899.5 million in the quarter, against $908.5 million, and $3.35 billion for the year, up from $3.31 billion. Source
Selling expense rose in both periods: Selling expense was $67.4 million in the quarter, against $62.8 million, and $247.9 million for the year, against $234.4 million. Source
G&A expense fell in the quarter: General and administrative expense was $65.7 million in the quarter, against $70.1 million, and rose to $262.8 million for the year from $258.4 million. Source
Financial services pre-tax income rose for the year: Financial services pre-tax income was $8.5 million in the quarter, against $10.0 million, and $55.7 million for the year, against $49.7 million. Source
Land sale gross profit reported: Land sale gross profit was $0.9 million in the quarter, against $0.4 million, and $4.2 million for the year, against $3.7 million. Source

“We are extremely proud to announce that 2026 marks our 50 th year in business.”
Robert H. Schottenstein, Chief Executive Officer and President

Demand, cancellations and backlog

Total new contracts rose in the quarter: New contracts rose 9% in the quarter and fell 4% for the year to 8,199. Source
Cancellation rate fell in the quarter: Cancellation rate was 10% in the quarter against 14% a year earlier, and 11% for the year against 10%. Source
Backlog lower than prior year-end: At December 31, 2024, backlog was 2,531 homes with sales value of $1.4 billion and an average sales price of $553,000. Source
Average backlog price slightly lower: The average sales price in backlog decreased 1% to $547,000 at year-end. Source
Southern backlog at year-end: Southern backlog at year-end was 973 units with $514 million of sales value and a $528,000 average price. Source

Land, lots and community count

Lot purchases rose in the quarter: Land and lot purchases were $160.6 million in the quarter, against $107.4 million, and $523.7 million for the year, against $472.9 million. Source
Land development spending flat for the year: Land development spending was $223.7 million in the quarter, against $201.3 million, and $645.6 million for the year, against $646.0 million. Source
Owned lots rose; contracted lots fell: Owned lots were 25,652 against 23,836 a year earlier. Lots under contract were 24,329 against 28,320, bringing total lots to 49,981 against 52,156. Source

Cash, debt and shareholder returns

Year-end cash and no borrowings: Cash was $689 million at year-end, with zero borrowings under the $900 million facility, a homebuilding debt to capital ratio of 18%, and shareholders’ equity of $3.2 billion. Source
Operating cash flow used in the quarter: Operating cash flow used $8.7 million in the quarter, against $104.4 million provided a year earlier, and $137.3 million for the year against $179.7 million. Source
Financing outflows rose for the year: Financing activities used $210.0 million for the year, against $36.1 million, and used $7.2 million in the quarter, against $7.1 million provided. Source
Share repurchases and return on equity: Share repurchases were $202 million for the year, and return on equity was 13%. Source
Book value per share rose: Book value per common share was $122.90 at year-end, against $108.62 a year earlier. Source

Figures management reported

Figure	Reported
Homes delivered (fourth quarter) Source	2,301
New contracts (fourth quarter) Source	1,921
Active communities Source	232
Backlog units Source	1,809
Backlog sales value Source	$989.9 million

Risks management discussed

Demand: Management named macro-economic factors affecting new home demand as a backdrop to 2025 results. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

M/I Homes Reports

Fourth Quarter and Year-End Results

Columbus, Ohio (January 28, 2026) - M/I Homes, Inc. (NYSE:MHO) announced results for its fourth quarter and year ended December 31, 2025.

2025 Fourth Quarter Results:

New contracts increased 9% to 1,921
Homes delivered decreased 4% to 2,301
Revenue declined 5% to $1.1 billion
Pre-tax income of $81 million, including charges of $51 million consisting of $40 million of inventory charges and $11 million of certain warranty charges
Gross margin of 18.1%; 22.6% excluding charges
Net income of $64 million ($2.39 per diluted share; $3.91 per diluted share excluding charges) compared to $134 million ($4.71 per diluted share) in 2024
Ended the quarter with 232 communities versus 220 a year ago
Repurchased $50 million of stock

2025 Full Year Results:

New contracts decreased 4% to 8,199
Homes delivered decreased 1% to 8,921
Revenue decreased 2% to $4.4 billion
Pre-tax income of $527 million; 12% of revenue; including charges of $59 million consisting of $48 million of inventory charges and $11 million of certain warranty charges
Net income of $403 million ($14.74 per diluted share; $16.39 per diluted shares excluding charges)
Shareholders’ equity reached an all-time record of $3.2 billion, with book value per share of $123
Repurchased $202 million of stock
Return on equity of 13%
Homebuilding debt to capital ratio of 18%

The Company reported pre-tax income of $80.6 million and net income of $64.0 million ($2.39 per diluted share) in the fourth quarter of 2025. These results include pre-tax charges of $51.2 million ($1.52 per diluted share) consisting of $40.1 million of inventory charges and $11.2 million of certain warranty charges. This compares to pre-tax income of $170.6 million and net income of $133.5 million, or $4.71 per diluted share, for the fourth quarter of 2024, both were fourth quarter records. For the year ended December 31, 2025, pre-tax income was $526.6 million and net income was $402.9 million, or $14.74 per diluted share. These results include charges of $58.9 million ($1.65 per diluted share) consisting of $47.7 million of inventory charges and $11.2 million of certain warranty charges. This compared to pre-tax income of $733.6 million and net income of $563.7 million, or $19.71 per diluted share, for the same period of 2024.

Homes delivered in 2025’s fourth quarter were 2,301, a 4% decrease compared to 2,402 deliveries in 2024’s fourth quarter. Homes delivered for the twelve months ended December 31, 2025 decreased 1% to 8,921 from 2024’s deliveries of 9,055. New contracts for 2025’s fourth quarter increased 9% to 1,921 from 1,759 new contracts in 2024’s fourth quarter. For 2025, new contracts were 8,199, a 4% decrease from 2024’s 8,584 new contracts. Homes in backlog decreased 29% at December 31, 2025 to 1,809 units, with a sales value of $989.9 million, a 29% decrease from last year, while the average sales price in backlog decreased 1% to $547,000. At December 31, 2024, the sales value of the 2,531 homes in backlog was $1.4 billion, with an average sales price of $553,000. M/I Homes had 232 active communities at December 31, 2025 compared to 220 a year ago. The Company’s cancellation rate was 10% in 2025’s fourth quarter compared to 14% for the prior year’s fourth quarter.

Robert H. Schottenstein, Chief Executive Officer and President, commented, “2025 was a very solid year for M/I Homes. Despite the various macro-economic factors impacting new home demand, we were pleased to deliver 8,921 homes for the year, produce $527 million of pretax income, generate a 12% pretax income return, as well as a 13% return on equity. We ended the year in excellent financial condition with record shareholders’ equity of $3.2 billion, cash of $689 million, zero borrowings under our $900 million credit facility, a homebuilding debt to capital ratio of 18% and a net debt to capital ratio of zero”.

Mr. Schottenstein concluded, “We are extremely proud to announce that 2026 marks our 50 year in business. Over the past 5 decades, M/I Homes has grown to become one of the nation’s largest and most respected homebuilders with an unwavering focus on quality, customer service and operating at a high standard. While homebuilding conditions remain somewhat choppy and challenging, we are very confident in the long-term fundamentals of our industry and our ability to deliver strong results”.

The Company will broadcast live its earnings conference call today at 10:30 a.m. Eastern Time. To listen to the call live, log on to the M/I Homes’ website at mihomes.com, click on the “Investors” section of the site, and select “Listen to the Conference Call.” A replay of the call will continue to be available on our website through January 2027.

M/I Homes, Inc., celebrating its 50th year in business in 2026, is one of the nation’s leading homebuilders of single-family homes. The Company has homebuilding operations in Columbus and Cincinnati, Ohio; Indianapolis, Indiana; Chicago, Illinois; Minneapolis/St. Paul, Minnesota; Detroit, Michigan; Tampa, Sarasota, Fort Myers/Naples and Orlando, Florida; Austin, Dallas/Fort Worth, Houston and San Antonio, Texas; Charlotte and Raleigh, North Carolina and Nashville, Tennessee.

Forward-looking statements notice

Certain statements in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “expects,” “anticipates,” “targets,” “envisions,” “goals,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words and similar expressions are intended to identify such forward-looking statements. These statements involve a number of risks and uncertainties. Any forward-looking statements that we make herein and in any future reports and statements are not guarantees of future performance, and actual results may differ materially from those in such forward-looking statements as a result of various factors, including, without limitation, factors relating to the economic environment, interest rates, availability of resources, competition, market concentration, land development activities, construction defects, product liability and warranty claims various governmental rules and regulations including changes in trade policy affecting business such as new or increased tariffs, as well as the potential impact of retaliatory tariffs and other penalties, as more fully discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, as the same may be updated from time to time in our subsequent filings with the Securities and Exchange Commission. All forward-looking statements made in this press release are made as of the date hereof, and the risk that actual results will differ materially from expectations expressed herein will increase with the passage of time. We undertake no duty to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. However, any further disclosures made on related subjects in our subsequent filings, releases or presentations should be consulted.

Contact M/I Homes, Inc.

Ann Marie W. Hunker, Vice President, Chief Accounting Officer and Controller, (614) 418-8225

Mark Kirkendall, Vice President, Treasurer, (614) 418-8021