Century Communities Reports Fourth Quarter and Full Year 2024 Results

Rhea-AI Summary

Century Communities (NYSE: CCS) reported strong fourth quarter and full year 2024 results. Q4 net income increased 13% YoY to $102.7 million ($3.20 per diluted share), while adjusted net income rose 18% to $112.0 million ($3.49 per diluted share). The company achieved record-breaking full-year deliveries of 11,007 homes, up 15% YoY.

Total revenues reached $4.4 billion for the full year, with Q4 revenues hitting a quarterly record of $1.3 billion. The company's community count grew 28% YoY to a record 322, while net new home contracts increased 21% YoY to 10,676. Book value per share rose 13% YoY to $84.65.

Looking ahead to 2025, Century Communities expects deliveries between 11,700 to 12,400 homes and home sales revenues ranging from $4.5 to $4.8 billion. The company maintains a strong financial position with $2.6 billion in stockholders' equity and $918 million in liquidity.

Positive

• Q4 net income increased 13% YoY to $102.7 million
• Record full-year deliveries of 11,007 homes, up 15% YoY
• Community count grew 28% YoY to 322
• Net new home contracts increased 21% YoY to 10,676
• Improved adjusted gross margin by 80 basis points to 23.3%
• Reduced SG&A as percentage of home sales revenues by 40 basis points
• Strong balance sheet with $2.6 billion in stockholders' equity
• Increased credit facility capacity to $900 million

Negative

• Reduced backlog to 850 homes from previous year

Insights

Financial Analyst

Century Communities' Q4 and FY2024 results demonstrate exceptional operational execution and strategic growth initiatives. The 13% YoY increase in Q4 net income to $102.7M and 18% rise in adjusted net income to $112M reflect strong operational leverage and pricing power in a challenging market.

Three key operational achievements stand out: First, the 28% YoY growth in community count to 322 positions the company for sustained growth, supported by a strategic 9% increase in lot inventory to 80,632. The high proportion of controlled lots (56%) provides flexibility while managing capital efficiency. Second, margin improvement through cost controls and scale benefits, evidenced by the 80 basis point increase in adjusted gross margin to 23.3% and reduced SG&A, showcases operational discipline. Third, the expansion of the credit facility to $900M strengthens financial flexibility for future growth.

The company's capital allocation strategy remains shareholder-friendly, with $83.8M in share repurchases (over 3% of outstanding shares) and consistent quarterly dividends, while maintaining a conservative net homebuilding leverage of 27.4%. Management's 2025 guidance of 11,700-12,400 deliveries suggests continued growth momentum, supported by strong backlog conversion and community count expansion.

The strategic acquisitions of Landmark Homes and Anglia Homes enhance market presence and should contribute to achieving the projected $4.5-4.8B in 2025 home sales revenues. The company's record $84.65 book value per share (+13% YoY) underscores the successful execution of its growth strategy while maintaining financial discipline.

- Fourth Quarter Net Income Increased 13% YoY to $102.7 Million, or $3.20 Per Diluted Share - 
- Fourth Quarter Adjusted Net Income Increased 18% YoY to $112.0 Million, or $3.49 Per Diluted Share -
- Full Year Deliveries Increased 15% YoY to a Company Record 11,007 -
- Book Value per Share Increased 13% YoY to a Company Record $84.65 -
- Community Count Increased 28% YoY to a Company Record 322 -
- Full Year Net New Home Contracts Increased 21% YoY to 10,676 - 

GREENWOOD VILLAGE, Colo., Jan. 29, 2025 /PRNewswire/ -- Century Communities, Inc. (NYSE: CCS), one of the nation's largest homebuilders, today announced financial results for its fourth quarter and full year ended December 31, 2024.

Fourth Quarter 2024 Highlights

• Net income of $102.7 million, or $3.20 per diluted share
• Adjusted net income of $112.0 million, or $3.49 per diluted share
• Pre-tax income of $135.2 million
• Total revenues of $1.3 billion, a quarterly record for the Company
• Community count of 322, a Company record
• Deliveries of 3,198 homes, a quarterly record for the Company
• Net new home contracts of 2,467
• Homebuilding gross margin of 20.6%
• Adjusted homebuilding gross margin of 22.9%
• Increased capacity of senior unsecured credit facility to $900.0 million

Full Year 2024 Highlights

• Net income of $333.8 million, or $10.40 per diluted share
• Adjusted net income of $355.1 million, or $11.06 per diluted share
• Pre-tax income of $440.1 million
• Total revenues of $4.4 billion  
• Deliveries of 11,007 homes, a Company record
• Net new home contracts of 10,676, a 21% year-over-year increase
• Homebuilding gross margin of 21.5%
• Adjusted homebuilding gross margin of 23.3%
• Acquired Landmark Homes of Tennessee and Anglia Homes

"Our fourth quarter deliveries of 3,198 homes were a quarterly record for the Company and a 13% sequential increase," said Dale Francescon, Executive Chairman. "For the full year 2024, we delivered 11,007 homes, a Company record and a 15% increase versus the prior year, while our net new home contracts increased 21% year-over-year to 10,676. Direct cost controls and improved fixed cost leverage enabled us to increase our full year 2024 adjusted gross margin by 80 basis points to 23.3% and reduce our SG&A as a percentage of home sales revenues by 40 basis points. 2025 should represent another solid year of growth for Century, and we expect our deliveries to be in the range of 11,700 to 12,400 homes and home sales revenues to be in the range of $4.5 to $4.8 billion."

Rob Francescon, Chief Executive Officer and President, said, "Our total lot inventory of 80,632 increased by 9% on a year-over-year basis, with our controlled lots accounting for 56% of our total lots at the end of the fourth quarter. Our community count grew by 28% on a year-over-year basis to 322, a record for the Company. Our balance sheet remains strong with $2.6 billion of stockholders' equity and $918 million of liquidity. In the fourth quarter, we repurchased 375,835 shares of our common stock for $30.7 million while reducing our net homebuilding leverage to 27.4%. For the full year 2024, we repurchased 1,027,702 shares of our common stock, or over 3% of shares outstanding at the beginning of the year, for $83.8 million."

Fourth Quarter 2024 Results

Net income for the fourth quarter 2024 was $102.7 million, or $3.20 per diluted share. Adjusted net income, which excludes purchase price accounting and impairments on inventory and other investment, was $112.0 million, or $3.49 per diluted share.

Total revenues were $1.3 billion, with fourth quarter home sales revenues totaling $1.2 billion. Deliveries totaled 3,198 homes. The average sales price of home deliveries for the fourth quarter 2024 was $389,800.

Net new home contracts in the fourth quarter 2024 were 2,467, and at the end of the fourth quarter 2024, the Company had 850 homes in backlog, representing $351.2 million of backlog dollar value.

Adjusted homebuilding gross margin percentage, excluding interest, inventory impairment and purchase price accounting, was 22.9% in the fourth quarter of 2024. Homebuilding gross margin percentage in the fourth quarter 2024 was 20.6%. Selling, general, and administrative expenses as a percent of home sales revenues was 11.5% in the quarter. Adjusted EBITDA and EBITDA for the fourth quarter 2024 were $172.6 million and $160.2 million, respectively.

Financial services revenues and pre-tax income were $26.2 million and $7.9 million, respectively, in the fourth quarter 2024.

Our book value per share increased to a record $84.65 as of December 31, 2024.

Full Year 2024 Results

Net income for the full year 2024 was $333.8 million, or $10.40 per diluted share. Adjusted net income, which excludes purchase price accounting and impairments on inventory and other investment, was $355.1 million, or $11.06 per diluted share.

Total revenues were $4.4 billion, with full year 2024 home sales revenues totaling $4.3 billion. Deliveries totaled 11,007 homes. The average sales price of home deliveries for the full year 2024 was $390,900.

Net new home contracts totaled 10,676 for the full year 2024, a 21% annual increase.

Adjusted homebuilding gross margin percentage, excluding interest, inventory impairment and purchase price accounting, was 23.3% in 2024. Homebuilding gross margin percentage in 2024 was 21.5%. Selling, general, and administrative expenses as a percent of home sales revenues was 12.0% in 2024. Adjusted EBITDA and EBITDA for the full year 2024 were $550.0 million and $521.9 million, respectively.

Financial services revenues and pre-tax income were $92.9 million and $26.7 million, respectively, for the full year 2024.

Balance Sheet and Liquidity

The Company ended the fourth quarter 2024 with a strong financial position, including $2.6 billion of stockholders' equity and $917.5 million of total liquidity, including $153.0 million of cash. During the fourth quarter, the Company entered into a new credit agreement, which increased the capacity of our senior unsecured credit facility to $900.0 million from $800.0 million and extended the maturity to November 2028.

During the fourth quarter, the Company maintained its quarterly cash dividend of $0.26 per share and repurchased 375,835 shares of its common stock for $30.7 million. For the full year 2024, the Company paid cash dividends totaling $1.04 per share and repurchased 1,027,702 shares of its common stock, representing over 3% of shares outstanding at the beginning of the year, for $83.8 million.

As of December 31, 2024, homebuilding debt to capital improved to 30.3% compared to 35.8% at September 30, 2024 and net homebuilding debt to net capital improved to 27.4% compared to 32.1% at September 30, 2024.

Full Year 2025 Outlook

Scott Dixon, Chief Financial Officer of the Company, commented, "Given the growth in our lot count and community count in 2024, we expect our full year 2025 home deliveries to be in the range of 11,700 to 12,400 homes and our home sales revenues to be in the range of $4.5 to $4.8 billion."

Webcast and Conference Call

The Company will host a webcast and conference call on Wednesday, January 29, 2025, at 5:00 p.m. Eastern time, 3:00 p.m. Mountain time, to review the Company's fourth quarter and full year 2024 results, provide commentary, and conduct a question-and-answer session. To participate in the call, please dial 833-816-1103 (domestic) or 412-317-0685 (international). The live webcast will be available at www.centurycommunities.com in the Investors section. A replay of the conference call will be available through February 5, 2025, by dialing 877-344-7529 (domestic) or 412-317-0088 (international) and entering the passcode 6429888. A replay of the webcast will be available on the Company's website for at least one year.

About Century Communities

Century Communities, Inc. (NYSE: CCS) is one of the nation's largest homebuilders, an industry leader in online home sales, and the highest-ranked homebuilder on Newsweek's list of America's Most Trustworthy Companies 2024—consecutively awarded for a second year—and Newsweek's list of the World's Most Trustworthy Companies 2024. Through its Century Communities and Century Complete brands, Century's mission is to build attractive, high-quality homes at affordable prices to provide its valued customers with A HOME FOR EVERY DREAM®. Century is engaged in all aspects of homebuilding — including the acquisition, entitlement and development of land, along with the construction, innovative marketing and sale of quality homes designed to appeal to a wide range of homebuyers. The Company operates in 17 states and over 45 markets across the U.S., and also offers title, insurance and lending services in select markets through its Parkway Title, IHL Home Insurance Agency, and Inspire Home Loans subsidiaries. To learn more about Century Communities, please visit www.centurycommunities.com.

Non-GAAP Financial Measures

In addition to the Company's operating results presented in accordance with United States generally accepted accounting principles (GAAP), this press release includes the following non-GAAP financial measures: adjusted net income, adjusted diluted earnings per share, adjusted homebuilding gross margin, EBITDA, adjusted EBITDA, and ratio of net homebuilding debt to net capital. These non-GAAP financial measures should not be used as a substitute for the Company's operating results presented in accordance with GAAP, and an analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP. Please refer to the reconciliation of each of the above referenced non-GAAP financial measures following the historical financial information presented in this press release.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and, as such, may involve known and unknown risks, uncertainties and assumptions. Forward-looking statements may be identified by the use of words such as "anticipate," "believe," "expect," "intend," "estimate," "plan," "continue," "will," "may," "should," "potential," "guidance" and "outlook" and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Forward-looking statements in this release include the Company's operating and financial guidance for 2025. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on historical information available at the time the statements are made and are based on management's reasonable belief or expectations with respect to future events, and are subject to risks and uncertainties, many of which are beyond the Company's control, that could cause actual performance or results to differ materially from the belief or expectations expressed in or suggested by the forward-looking statements. The following important factors could cause actual results to differ materially from those expressed in the forward-looking statement: adverse changes in general economic conditions, including increased interest rates, inflation, and employment levels; the potential impact of global supply chain disruptions, labor, land and raw material or other resource shortages and delays, and municipal and utility delays on the Company's business, industry and the broader economy; the ability to identify and acquire desirable land; availability and cost of financing; the effect of tax changes; reliance on contractors and key personnel; availability and pricing for land, labor and raw materials or other resources; the ability to pay dividends in the future; and the other factors included in the Company's most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date on which they are made and the Company undertakes no obligation to update any forward-looking statement to reflect future events, developments or otherwise, except as may be required by applicable law.

 

Century Communities, Inc. Consolidated Statements of Operations (Unaudited) (in thousands, except share and per share amounts)
		Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Revenues
Homebuilding Revenues
Home sales revenues		$	1,246,697		$	1,185,409		$	4,302,638		$	3,604,434
Land sales and other revenues			511			3,717			2,753			7,528
Total homebuilding revenues			1,247,208			1,189,126			4,305,391			3,611,962
Financial services revenues			26,221			16,456			92,897			80,223
Total revenues			1,273,429			1,205,582			4,398,288			3,692,185
Homebuilding Cost of Revenues
Cost of home sales revenues			(982,923)			(927,805)			(3,369,131)			(2,838,436)
Cost of land sales and other revenues			—			(1,773)			(207)			(2,147)
Total homebuilding cost of revenues			(982,923)			(929,578)			(3,369,338)			(2,840,583)
Financial services costs			(18,291)			(14,677)			(66,185)			(48,660)
Selling, general, and administrative			(143,436)			(131,959)			(516,489)			(447,311)
Inventory impairment			(6,835)			(1,877)			(8,778)			(1,877)
Other income (expense)			13,252			(1,417)			2,562			(2,924)
Income before income tax expense			135,196			126,074			440,060			350,830
Income tax expense			(32,455)			(34,756)			(106,244)			(91,606)
Net income		$	102,741		$	91,318		$	333,816		$	259,224
Earnings per share:
Basic		$	3.29		$	2.87		$	10.59		$	8.12
Diluted		$	3.20		$	2.83		$	10.40		$	8.05
Weighted average common shares outstanding:
Basic			31,252,028			31,774,340			31,510,282			31,918,942
Diluted			32,091,471			32,236,990			32,110,835			32,209,359

 

Century Communities, Inc. Consolidated Balance Sheets (Unaudited) (in thousands, except share amounts)
		December 31,			December 31,
		2024			2023
Assets		(unaudited)			(audited)
Cash and cash equivalents		$	149,998		$	226,150
Cash held in escrow			3,004			101,845
Accounts receivable			50,318			76,213
Inventories			3,454,337			3,016,641
Mortgage loans held for sale			236,926			251,852
Prepaid expenses and other assets			419,384			350,193
Property and equipment, net			155,176			69,075
Deferred tax assets, net			22,220			16,998
Goodwill			41,109			30,395
Total assets		$	4,532,472		$	4,139,362
Liabilities and stockholders' equity
Liabilities:
Accounts payable		$	133,086		$	147,265
Accrued expenses and other liabilities			302,317			303,392
Notes payable			1,107,909			1,062,471
Revolving line of credit			135,500			—
Mortgage repurchase facilities			232,804			239,298
Total liabilities			1,911,616			1,752,426
Stockholders' equity:
Preferred stock, $0.01 par value, 50,000,000 shares authorized, none outstanding			—			—
Common stock, $0.01 par value, 100,000,000 shares authorized, 30,961,227 and 31,774,615 shares issued and outstanding at December 31, 2024 and December 31, 2023, respectively			310			318
Additional paid-in capital			526,959			592,989
Retained earnings			2,093,587			1,793,629
Total stockholders' equity			2,620,856			2,386,936
Total liabilities and stockholders' equity		$	4,532,472		$	4,139,362

 

Century Communities, Inc. Homebuilding Operational Data (Unaudited)
Net New Home Contracts
		Three Months Ended December 31,										Year Ended December 31,
		2024			2023			% Change				2024			2023			% Change
West		309			310			(0.3)	%			1,490			1,159			28.6	%
Mountain		379			440			(13.9)	%			2,005			1,614			24.2	%
Texas		499			378			32.0	%			1,987			1,630			21.9	%
Southeast		387			351			10.3	%			1,619			1,296			24.9	%
Century Complete		893			861			3.7	%			3,575			3,129			14.3	%
Total		2,467			2,340			5.4	%			10,676			8,828			20.9	%

 

Home Deliveries  (dollars in thousands)
		Three Months Ended December 31,
		2024					2023					% Change
		Homes		Average Sales Price			Homes		Average Sales Price			Homes			Average Sales Price
West		465		$	612.3		395		$	585.1		17.7	%		4.6	%
Mountain		525		$	557.9		567		$	495.2		(7.4)	%		12.7	%
Texas		638		$	298.2		458		$	291.4		39.3	%		2.3	%
Southeast		499		$	411.6		519		$	435.3		(3.9)	%		(5.4)	%
Century Complete		1,071		$	255.4		1,218		$	258.0		(12.1)	%		(1.0)	%
Total / Weighted Average		3,198		$	389.8		3,157		$	375.5		1.3	%		3.8	%
		Year Ended December 31,
		2024					2023					% Change
		Homes		Average Sales Price			Homes		Average Sales Price			Homes			Average Sales Price
West		1,437		$	627.2		1,133		$	588.6		26.8	%		6.6	%
Mountain		2,019		$	533.4		1,892		$	508.7		6.7	%		4.9	%
Texas		2,077		$	301.8		1,617		$	285.2		28.4	%		5.8	%
Southeast		1,654		$	423.8		1,370		$	434.2		20.7	%		(2.4)	%
Century Complete		3,820		$	260.9		3,556		$	258.5		7.4	%		0.9	%
Total / Weighted Average		11,007		$	390.9		9,568		$	376.7		15.0	%		3.8	%

 

Century Communities, Inc. Homebuilding Operational Data (Unaudited)
Selling Communities
		As of December 31,					Increase/Decrease
		2024		2023			Amount		% Change
West		30		27			3		11.1	%
Mountain		49		51			(2)		(3.9)	%
Texas		78		43			35		81.4	%
Southeast		42		27			15		55.6	%
Century Complete		123		103			20		19.4	%
Total		322		251			71		28.3	%

 

Backlog (dollars in thousands)
		As of December 31,
		2024								2023								% Change
		Homes		Dollar Value			Average Sales Price			Homes		Dollar Value			Average Sales Price			Homes			Dollar Value			Average Sales Price
West		159		$	100,306		$	630.9		106		$	67,425		$	636.1		50.0	%		48.8	%		(0.8)	%
Mountain		149			83,915		$	563.2		163			92,785		$	569.2		(8.6)	%		(9.6)	%		(1.1)	%
Texas		177			54,314		$	306.9		168			53,044		$	315.7		5.4	%		2.4	%		(2.8)	%
Southeast		107			49,778		$	465.2		131			57,165		$	436.4		(18.3)	%		(12.9)	%		6.6	%
Century Complete		258			62,849		$	243.6		502			130,362		$	259.7		(48.6)	%		(51.8)	%		(6.2)	%
Total / Weighted Average		850		$	351,162		$	413.1		1,070		$	400,781		$	374.6		(20.6)	%		(12.4)	%		10.3	%

 

Lot Inventory
		As of December 31,
		2024									2023									% Change
		Owned			Controlled			Total			Owned			Controlled			Total			Owned			Controlled			Total
West		4,211			4,286			8,497			4,036			3,259			7,295			4.3	%		31.5	%		16.5	%
Mountain		9,037			4,052			13,089			8,615			5,025			13,640			4.9	%		(19.4)	%		(4.0)	%
Texas		12,632			8,935			21,567			8,647			11,027			19,674			46.1	%		(19.0)	%		9.6	%
Southeast		5,173			12,270			17,443			5,486			10,941			16,427			(5.7)	%		12.1	%		6.2	%
Century Complete		4,703			15,333			20,036			3,839			12,845			16,684			22.5	%		19.4	%		20.1	%
Total		35,756			44,876			80,632			30,623			43,097			73,720			16.8	%		4.1	%		9.4	%
% of Total		44.3 %			55.7 %			100.0 %			41.5 %			58.5 %			100.0 %

 

Century Communities, Inc.
Reconciliation of Non-GAAP Financial Measures
(Unaudited)

Adjusted net income and adjusted diluted earnings per share (which we refer to as "Adjusted EPS") are non-GAAP financial measures that the Company believes are useful to management, investors and other users of its financial information in evaluating its operating results and understanding its operating trends without the effect of certain non-recurring items. The Company believes excluding certain non-recurring items provides more comparable assessment of its financial results from period to period. The Company defines adjusted net income as consolidated net income before (i) income tax expense, (ii) inventory impairment, if applicable (iii) restructuring costs, if applicable, (iv) loss on debt extinguishment, if applicable, (v) purchase price accounting for acquired work in process inventory, if applicable, and (vi) impairment on other investments, if applicable, less adjusted income tax expense, calculated using the Company's estimated annual effective tax rate after discrete items for the applicable period. Adjusted EPS is calculated by dividing adjusted net income by weighted average common shares – diluted.

 

Adjusted Net Income and Adjusted Diluted Earnings Per Share (in thousands, except share and per share amounts)
		Three Months Ended December 31,						Year Ended December 31,
		2024			2023			2024			2023
Numerator
Net income		$	102,741		$	91,318		$	333,816		$	259,224
Denominator
Weighted average common shares outstanding - basic			31,252,028			31,774,340			31,510,282			31,918,942
Dilutive effect of stock-based compensation awards			839,443			462,650			600,553			290,417
Weighted average common shares outstanding - diluted			32,091,471			32,236,990			32,110,835			32,209,359
Earnings per share:
Basic		$	3.29		$	2.87		$	10.59		$	8.12
Diluted		$	3.20		$	2.83		$	10.40		$	8.05
Adjusted earnings per share
Numerator
Net income		$	102,741		$	91,318		$	333,816		$	259,224
Income tax expense			32,455			34,756			106,244			91,606
Income before income tax expense			135,196			126,074			440,060			350,830
Inventory impairment			6,835			1,877			8,778			1,877
Impairment on other investment			2,180			—			9,902			—
Purchase price accounting for acquired work in process inventory			3,444			—			9,443			—
Adjusted income before income tax expense			147,655			127,951			468,183			352,707
Adjusted income tax expense(1)			(35,648)			(33,410)			(113,034)			(92,096)
Adjusted net income		$	112,007		$	94,541		$	355,149		$	260,611
Denominator - Diluted			32,091,471			32,236,990			32,110,835			32,209,359
Adjusted diluted earnings per share		$	3.49		$	2.93		$	11.06		$	8.09

(1)

The tax rates used in calculating adjusted net income for the years ended December 31, 2024 and 2023  were 24.1% and 26.1%, respectively, which are reflective of the Company's GAAP tax rates for the applicable periods. For the three months ended December 31, 2024 and 2023, the Company's adjusted income tax expense is reflective of its full year effective tax rate of approximately 24.1% and 26.1%, respectively, applied to adjusted income before income tax expense.

 

Century Communities, Inc.
Reconciliation of Non-GAAP Financial Measures
(Unaudited)

Adjusted homebuilding gross margin excluding inventory impairment (if applicable), interest in cost of home sales revenues, and purchase price accounting for acquired work in process inventory (if applicable), is not a measurement of financial performance under GAAP; however, the Company's management believes that this information is meaningful as it isolates the impact that inventory impairment, indebtedness, and acquisitions have on homebuilding gross margin and permits the Company's stockholders to make better comparisons with the Company's competitors, who adjust gross margins in a similar fashion.  This non-GAAP financial measure should not be used as a substitute for the Company's GAAP operating results.  An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP.

 

Adjusted Homebuilding Gross Margin (in thousands)
		Three Months Ended December 31,
		2024			%			2023			%
Home sales revenues		$	1,246,697		100.0	%		$	1,185,409		100.0	%
Cost of home sales revenues			(982,923)		(78.8)	%			(927,805)		(78.3)	%
Inventory impairment			(6,835)		(0.5)	%			(1,877)		(0.2)	%
Homebuilding gross margin			256,939		20.6	%			255,727		21.6	%
Add: Inventory impairment			6,835		0.5	%			1,877		0.2	%
Add: Interest in cost of home sales revenues			18,169		1.5	%			15,198		1.3	%
Add: Purchase price accounting for acquired work in process inventory			3,444		0.3	%			—		—	%
Adjusted homebuilding gross margin excluding interest, inventory impairment and purchase price accounting for acquired work in process inventory		$	285,387		22.9	%		$	272,802		23.0	%
		Year Ended December 31,
		2024			%			2023			%
Home sales revenues		$	4,302,638		100.0	%		$	3,604,434		100.0	%
Cost of home sales revenues			(3,369,131)		(78.3)	%			(2,838,436)		(78.7)	%
Inventory impairment			(8,778)		(0.2)	%			(1,877)		(0.1)	%
Homebuilding gross margin			924,729		21.5	%			764,121		21.2	%
Add: Inventory impairment			8,778		0.2	%			1,877		0.1	%
Add: Interest in cost of home sales revenues			60,286		1.4	%			45,927		1.3	%
Add: Purchase price accounting for acquired work in process inventory			9,443		0.2	%			—		—	%
Adjusted homebuilding gross margin excluding interest, inventory impairment and purchase price accounting for acquired work in process inventory		$	1,003,236		23.3	%		$	811,925		22.5	%

 

Century Communities, Inc.
Reconciliation of Non-GAAP Financial Measures
(Unaudited)

EBITDA and Adjusted EBITDA 

EBITDA and adjusted EBITDA are non-GAAP financial measures the Company uses as supplemental measures in evaluating operating performance. The Company defines EBITDA as net income before (i) income tax expense, (ii) interest in cost of home sales revenues, (iii) other interest expense (income), and (iv) depreciation and amortization expense. The Company defines adjusted EBITDA as EBITDA before loss on debt extinguishment (if applicable), inventory impairment (if applicable), purchase price accounting for acquired work in process inventory (if applicable), and impairment on other investments (if applicable). The Company believes EBITDA and adjusted EBITDA provide an indicator of general economic performance that is not affected by fluctuations in interest rates or effective tax rates, levels of depreciation or amortization, and items considered to be non-recurring. Accordingly, the Company's management believes that these measurements are useful for comparing general operating performance from period to period. Neither EBITDA nor adjusted EBITDA should be considered in addition to, and not as a substitute for, consolidated net income in accordance with GAAP as a measure of performance. The presentation of adjusted EBITDA should not be construed as an indication that the Company's future results will be unaffected by unusual or non-recurring items. Each of EBITDA and adjusted EBITDA is limited as an analytical tool, and should not be considered in isolation or as a substitute for analysis of the Company's results of operations as reported under GAAP.

 

(in thousands)
		Three Months Ended December 31,										Year Ended December 31,
		2024			2023			% Change				2024			2023			% Change
Net income		$	102,741		$	91,318			12.5	%		$	333,816		$	259,224			28.8	%
Income tax expense			32,455			34,756			(6.6)	%			106,244			91,606			16.0	%
Interest in cost of home sales revenues			18,169			15,198			19.5	%			60,286			45,927			31.3	%
Interest income			(40)			(791)			(94.9)	%			(2,733)			(7,222)			(62.2)	%
Depreciation and amortization expense			6,849			4,755			44.0	%			24,286			15,774			54.0	%
EBITDA		$	160,174		$	145,236			10.3	%		$	521,899		$	405,309			28.8	%
Inventory impairment			6,835			1,877			264.1	%			8,778			1,877			367.7	%
Impairment on other investment			2,180			—			NM				9,902			—			NM
Purchase price accounting for acquired work in process inventory			3,444			—			NM				9,443			—			NM
Adjusted EBITDA		$	172,633		$	147,113			17.3	%		$	550,022		$	407,186			35.1	%

NM – Not Meaningful

 

Century Communities, Inc.
Reconciliation of Non-GAAP Financial Measures
(Unaudited)

Ratio of Net Homebuilding Debt to Net Capital

The following table presents the Company's ratio of net homebuilding debt to net capital, which is a non-GAAP financial measure.  The Company calculates this by dividing net homebuilding debt (homebuilding debt less cash and cash equivalents, and cash held in escrow) by net capital (net homebuilding debt plus total stockholders' equity). Homebuilding debt is total debt minus outstanding borrowings under construction loan agreement and mortgage repurchase facilities. The most directly comparable GAAP measure is the ratio of debt to capital. The Company believes the ratio of net homebuilding debt to net capital is a relevant and useful financial measure to investors in understanding the leverage employed in its operations and as an indicator of the Company's ability to obtain external financing.

 

(in thousands)
		December 31,			December 31,
		2024			2023
Notes payable		$	1,107,909		$	1,062,471
Revolving line of credit			135,500			—
Construction loan agreements			(102,436)			(44,895)
Total homebuilding debt			1,140,973			1,017,576
Total stockholders' equity			2,620,856			2,386,936
Total capital		$	3,761,829		$	3,404,512
Homebuilding debt to capital			30.3 %			29.9 %
Total homebuilding debt		$	1,140,973		$	1,017,576
Cash and cash equivalents			(149,998)			(226,150)
Cash held in escrow			(3,004)			(101,845)
Net homebuilding debt			987,971			689,581
Total stockholders' equity			2,620,856			2,386,936
Net capital		$	3,608,827		$	3,076,517
Net homebuilding debt to net capital			27.4 %			22.4 %

 

Contact Information: 
Tyler Langton, Senior Vice President of Investor Relations
303-268-8345
Investorrelations@CenturyCommunities.com

Category:
Earnings

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SOURCE Century Communities, Inc.

FAQ

What were Century Communities' (CCS) Q4 2024 earnings per share?

Century Communities reported Q4 2024 earnings of $3.20 per diluted share, with adjusted earnings of $3.49 per diluted share.

How many homes did Century Communities (CCS) deliver in 2024?

Century Communities delivered a record 11,007 homes in 2024, representing a 15% increase from the previous year.

What is Century Communities' (CCS) revenue guidance for 2025?

Century Communities expects home sales revenues to be in the range of $4.5 to $4.8 billion for 2025.

How many shares did Century Communities (CCS) repurchase in 2024?

Century Communities repurchased 1,027,702 shares in 2024, representing over 3% of shares outstanding, for $83.8 million.

What was Century Communities' (CCS) average home sales price in Q4 2024?

The average sales price of home deliveries for Q4 2024 was $389,800.