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PulteGroup (PHM) FY2025 results: revenue $17.3 billion, down 3.5% on the year

PulteGroup Inc. (PHM) reported revenue of $17.3 billion for fiscal 2025, the year ended 31 December 2025, down 3.5% on the year before. Net income was $2.2 billion, down 28.0%, and diluted earnings per share $11.12. The figures are the company's own, from the 10-K it filed with the SEC on 4 February 2026.

Revenue
$17.3 billion
-3.5% on the year
FY2018FY2025
Operating margin
n/a
FY2018FY2025
Net income
$2.2 billion
-28.0% on the year
FY2018FY2025
Diluted EPS
$11.12
-24.3% on the year
FY2018FY2025

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

  • Quarterly earnings fell from prior year: Net income was $502 million, against $913 million a year earlier, when results included a pre-tax insurance benefit of $255 million. Diluted EPS was $2.56 against $4.43.
  • Closings down 3%, price down 1%: Closings fell from 8,103 homes to 7,821, and average selling price slipped from $581,000 to $573,000.
  • Gross margin fell to 24.7%: Prior-year quarter margin was 27.5%; third quarter margin was 26.2%.
  • Net orders rose 4%: Net new orders were 6,428 homes, against 6,638 in the third quarter. Their value was $3.5 billion, comparable with a year earlier.
  • Backlog fell to 8,495 homes: Backlog value was $5.3 billion, down from 9,888 homes and $6.2 billion at September 30, and from 10,153 homes a year earlier.
Read the Q4 FY2025 earnings call summary

From this 10-K

PulteGroup buys and develops land for housing in the United States and builds and sells the homes on it. It is a Michigan corporation organised in 1956, dating its founding to 1950 when Bill Pulte built its first home, and it has delivered over 875,000 homes since. Alongside homebuilding it runs mortgage banking, title and insurance agency operations through Pulte Mortgage LLC and other subsidiaries. Homebuilding produced 98% of consolidated revenues in each of 2025, 2024 and 2023.

PulteGroup Inc., the 10-K for 2025

PulteGroup buys and develops land for housing in the United States and builds and sells the homes on it. It is a Michigan corporation organised in 1956, dating its founding to 1950 when Bill Pulte built its first home, and it has delivered over 875,000 homes since. Alongside homebuilding it runs mortgage banking, title and insurance agency operations through Pulte Mortgage LLC and other subsidiaries. Homebuilding produced 98% of consolidated revenues in each of 2025, 2024 and 2023.

The homes and the brands

At 31 December 2025 the company operated out of 1,014 active communities in 47 markets across 26 states. It sells under Centex, Pulte Homes, Del Webb, DiVosta Homes, and John Wieland Homes and Neighborhoods, aimed at three customer groups: first-time, move-up and active adult. Closings totalled 29,572 homes in 2025, against 31,219 in 2024 and 28,603 in 2023. Single-family detached homes were 83% of closings in each of those three years, with the balance townhomes, condominiums and duplexes. Prices of homes closed in 2025 ran from approximately $150,000 to over $3,000,000, with 82% between $250,000 and $750,000, and the average unit selling price was $566,000 against $555,000 in 2024 and $545,000 in 2023. Homes for first-time buyers tend to be smaller and denser at lower prices, move-up communities offer larger homes in better locations, and the Del Webb active adult communities are often age-restricted to buyers aged fifty-five and over with athletic facilities, recreation centres and classes.

Land

Sites are chosen after a feasibility study covering soil tests, environmental and engineering work, zoning and entitlement, and market research, weighing proximity to developed areas, population and job growth and development costs. Land option agreements let the company defer buying parts of a seller's property until it decides whether to exercise, which spreads the risk of holding land. Land is generally bought zoned and developed or ready for development, and where the company develops it itself it handles site planning, regulatory approvals and the building of roads, sewers, water and drainage and amenities such as parks, pools and clubhouses, using independent contractors for the work. The intent is normally to complete sales in a community within 24 to 36 months of opening it, except for Del Webb and other large master-planned projects. At 31 December 2025 the company controlled 234,632 lots, of which 101,104 were owned and 133,528 were held under land option agreements.

Selling and building

Sales teams are mostly commissioned employees, with independent third-party agents involved in the majority of closings, working from furnished model homes and, in some communities, virtual reality walkthroughs of floor plans. Contracts require a deposit and typically carry a financing contingency letting the buyer cancel if a mortgage at a specified rate cannot be obtained in a set period. Backlog, meaning orders taken but not closed, was $5.3 billion and 8,495 units at 31 December 2025 against $6.5 billion and 10,153 units a year earlier, and substantially all of it is scheduled to close during 2026. Construction is supervised by on-site field managers, with substantially all the work performed by independent subcontractors on fixed-scope, agreed-price contracts.

Financial services

Pulte Mortgage originates mortgage loans mainly for the company's own homebuyers, operating as a captive business whose volumes track homebuilding. It is a lender approved by the Federal Housing Administration, the Department of Veterans Affairs and the Department of Agriculture, and a seller and servicer approved by Ginnie Mae, Fannie Mae, Freddie Mac and other investors, following Fannie Mae, Freddie Mac and private investor underwriting guidelines on conventional loans. It originated the mortgage for 64% of homes closed in 2025, 63% in 2024 and 61% in 2023. Cash buyers were 21% of closings in 2025 and 2024 and 22% in 2023, with the rest financed by third-party lenders.

People

The company employed 6,506 people at 31 December 2025, of whom 1,034 worked in financial services. Of the homebuilding employees, 433 work in land acquisition and development, 2,228 in construction and post-closing customer care, 1,465 in sales and 1,346 in procurement, corporate and other functions. Employees are not represented by any union, though contracted work may be performed by union contractors.

From PulteGroup's annual report on Form 10-K for the year ended 31 December 2025. The filing

Written from the 10-K filed 4 February 2026: read the full 10-K.

The four quarters: Q1 FY2025 · Q2 FY2025 · Q3 FY2025 · Q4 FY2025

Income statement (profit and loss)

$ millionFY2025FY2024FY2023On the yearLast 8 years
Revenue17,31217,94716,062-3.5%
Selling, general and administrative1,5741,3211,313+19.1%
Interest expense0.60.50.5+26.3%
Income tax693923847-24.9%
Net income2,2193,0832,602-28.0%
Net margin12.8%17.2%16.2%
Diluted EPS$11.12$14.69$11.72-24.3%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2025FY2024FY2023On the yearLast 8 years
Operating cash flow1,8711,6812,197+11.3%
Capital expenditure12311992.2+3.5%
Free cash flow1,7491,5622,105+11.9%
Free cash flow margin10.1%8.7%13.1%
Cash from investing-80.4-94.5-129
Cash from financing-1,436-1,782-1,313
Depreciation and amortisation11389.280.8+26.2%
Share-based compensation54.854.748.2+0.2%
Buybacks1,2001,2001,000-0.0%
Dividends paid177168142+5.4%
Dividend per share$0.92$0.82$0.68+12.2%
Diluted shares, weighted200m210m221m-4.9%
Shares outstanding at period end193m203m213m-5.0%

Balance sheet

$ millionFY2025FY2024FY2023On the yearLast 8 years
Shareholders' equity12,98512,12210,383+7.1%
Debt2,1632,1452,462+0.8%
Other liabilities2,9003,0963,242-6.4%
Total liabilities and equity18,04817,36416,087+3.9%
Fixed assets239253221-5.7%
Goodwill40.468.968.9-41.4%
Intangible assets26.246.356.3-43.4%
Cash and equivalents1,9811,6131,807+22.8%
Other assets15,76215,38213,934+2.5%
Total assets18,04817,36416,087+3.9%

10-K for the year ended 31 December 2025, filed 4 February 2026: the filing.