M/I Homes Announces Extension of Credit Facility to 2030 and Increase to $900 Million

Rhea-AI Summary

M/I Homes (NYSE:MHO) has successfully amended its credit agreement, increasing its borrowing capacity from $650 million to $900 million and extending the maturity to September 2030. The company reported a strong financial position with zero current borrowings under the facility and $800 million in cash as of June 30, 2025.

The homebuilder maintains robust financial metrics, including a homebuilding debt-to-capital ratio of 18% and a net debt-to-capital ratio of negative 3%. The enhanced credit facility provides additional liquidity and financial flexibility for M/I Homes, which operates in multiple markets across Ohio, Indiana, Illinois, Minnesota, Michigan, Florida, Texas, North Carolina, and Tennessee.

Positive

• Credit facility increased by $250 million to $900 million total capacity
• Strong cash position of $800 million with zero borrowings under credit facility
• Favorable net debt-to-capital ratio of negative 3%
• Extended maturity to 2030 provides long-term financial stability

Negative

• None.

Insights

Financial Analyst

M/I Homes strengthens financial flexibility with $250M credit facility increase and five-year extension, maintaining exceptional liquidity with zero current borrowings.

M/I Homes has significantly enhanced its financial position by increasing its credit facility from $650 million to $900 million and extending the maturity to 2030. This 38% increase in borrowing capacity provides substantial additional liquidity, even though the company currently has no outstanding borrowings against the facility.

What's particularly impressive is M/I's current financial condition. With $800 million in cash, a homebuilding debt-to-capital ratio of just 18%, and a negative 3% net debt-to-capital ratio, the company maintains an exceptionally strong balance sheet. The negative net debt-to-capital ratio indicates that M/I's cash exceeds its debt obligations, positioning it defensively against market volatility while maintaining aggressive growth capacity.

This credit facility enhancement serves two strategic purposes: it provides a substantial safety net during any potential market downturns and gives M/I additional firepower for land acquisitions or other growth opportunities. In the homebuilding industry, where capital requirements for land development and construction are substantial, access to $900 million in flexible financing represents a significant competitive advantage.

The five-year term extension also demonstrates lender confidence in M/I's business model and financial management, as banks typically don't commit to such long-term facilities without strong conviction in a company's prospects and risk profile.

COLUMBUS, Ohio, Sept. 19, 2025 /PRNewswire/ -- M/I Homes, Inc. (NYSE: MHO) announced that it has entered into an amendment to its credit agreement. The amendment increases borrowing availability from $650 million to $900 million and extends the maturity to September, 2030. There were no borrowings outstanding at the closing date.

Robert H. Schottenstein, Chief Executive Officer and President, commented, "We are very pleased to announce the amendment and extension of our existing credit facility. Our financial condition is very strong with zero borrowings under our existing credit facility, a cash position of $800 million, homebuilding debt-to-capital of 18%, and a net debt-to-capital ratio of negative 3% at June 30, 2025.   Extending our credit facility to a five-year term and the $250 million of increased commitment amounts from our lenders provides additional liquidity and financial flexibility that further strengthens our company as we look to the future."

M/I Homes, Inc. 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.

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 and 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.

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SOURCE M/I Homes, Inc.

FAQ

What changes did M/I Homes (MHO) make to its credit facility in September 2025?

M/I Homes increased its credit facility from $650 million to $900 million and extended the maturity to September 2030.

What is M/I Homes' (MHO) current cash position and debt status as of June 2025?

M/I Homes has $800 million in cash, zero borrowings under its credit facility, and a net debt-to-capital ratio of negative 3%.

What is M/I Homes' (MHO) homebuilding debt-to-capital ratio?

M/I Homes reported a homebuilding debt-to-capital ratio of 18% as of June 30, 2025.

In which markets does M/I Homes (MHO) operate?

M/I Homes operates in multiple markets including Columbus, Cincinnati, Indianapolis, Chicago, Minneapolis/St. Paul, Detroit, Tampa, Austin, Dallas/Fort Worth, Charlotte, Raleigh, and Nashville.