Dream Finders Homes reports Q4 EPS $1.00, consensus 71c

Reports Q4 revenue $1.14B, consensus $898.68M.Patrick Zalupski, Dream Finders Homes Chairman and CEO, said, “Given the depth of industry uncertainty going into 2023, we were pleased to achieve another year of positive growth for our business. Perhaps most importantly, pre-tax income was $404 million, up 14% year over year, and $135 million, up 12% quarter over quarter. These were both all-time Company records. We also produced record annual revenues of $3.7 billion and closings of 7,314, up 12% and 6%, respectively. “We continue to be proud of our ability to grow the business while also generating record total liquidity of $828 million, including $494 million of unrestricted cash, and reducing our net debt to net capitalization to 23.3% as of the end of the year. This is a pretty significant accomplishment considering we were at 42.9% a year earlier and continued to provide a best-in-class return on participating equity of 36.3%. “While we are excited about our results from the quarter and 2023 overall, in true DFH fashion, we are focused on the future and continuing to grow our earnings. We have already taken a nice step forward with our recently announced acquisition of Crescent Homes, based in Charleston, South Carolina with additional operations in Greenville, South Carolina and Nashville, Tennessee. This acquisition added three new markets, increasing our footprint to an aggregate of 20 markets, and should provide meaningful future closing and earnings volume. The former owner, Ted Terry, and his team have been very professional throughout the process and we are excited to partner with this great company. With the benefit of the Crescent Homes acquisition, for the full year 2024, DFH expects approximately 8,250 home closings.”