[144] Arista Networks SEC Filing

Rhea-AI Filing Summary

Meritage Homes (MTH) Q2-25 10-Q highlights

• Revenue: $1.624 bn, -4% YoY; home-closing revenue $1.616 bn (-5%).
• Gross profit: $341 m vs $440 m; home-closing gross margin down to 21.1% from 25.9%.
• Net earnings: $146.9 m, -37%; Diluted EPS: $2.04 vs $3.15.
• Six-month results: Revenue $2.982 bn (-6%); Net earnings $269.7 m (-35%).
• Cash & equivalents: $930 m (↑43% YTD) after $500 m 5.65% senior notes due 2035; Total debt: $1.802 bn vs $1.307 bn; no revolver borrowings.
• Operating cash flow: -$28.9 m; inventory investment ↑$224.6 m.
• Equity: $5.269 bn; buybacks $90 m (674k shares) & dividends $61 m in 1H-25.
• Backlog/communities: 312 active communities; base prices $170k-$1.04 m.
• Tax rate: 23.9% vs 22.1%, reflecting tougher §45L energy-credit standards.
• Covenants: leverage ratio <60% and min tangible net worth $3.3 bn; in compliance.

Overall, softer demand and mix pressure reduced margins and earnings, while balance-sheet liquidity remains strong but leverage has increased due to new long-term debt.

Positive

• $930 m cash and $815 m unused revolver provide strong liquidity buffer.
• 5.65% 2035 note issuance extends maturity profile and avoids near-term refinancing risk.
• Ongoing shareholder returns: $61 m dividends and $90 m buybacks in 1H-25.

Negative

• Net earnings down 37% and EPS down 35% YoY indicate demand/margin pressure.
• Gross margin compressed 480 bp to 21.1%, eroding profitability.
• Operating cash flow negative $28.9 m due to inventory build.
• Total debt up 38% to $1.8 bn; leverage trend worsening.

Insights

Financial Analyst

TL;DR weaker margins cut EPS 37%, but cash surge from 2035 notes keeps liquidity high; leverage and inventory build merit caution.

Revenue contraction and a 480 bp margin squeeze drove a steep earnings decline. 1H operating cash burn underscores slower sales velocity amid elevated inventory. Management tapped credit markets at 5.65%, lifting total debt to 0.9× equity—still modest but climbing. Solid $815 m revolver availability and $930 m cash offer flexibility for land spend or continued buybacks. Sharper focus on pace-to-price strategy and potential cost resets will be key to restoring double-digit ROE.

Portfolio Manager

TL;DR fundamentals soft, yet liquidity abundant; stockholder returns continue, but higher leverage raises risk if housing slows further.

MTH’s 2-for-1 split, elevated dividend (+15% YoY) and $90 m repurchases show confidence, yet declining earnings signal late-cycle moderation. Cash build is debt-funded; absent volume rebound, leverage may pressure valuation. Credit covenants headroom is ample, but 5.65% coupon locks in higher interest burden. I view filing as broadly neutral: no guidance change, but trajectory leans negative unless order trends improve in H2.

Form 144 Filer Information	UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 144 NOTICE OF PROPOSED SALE OF SECURITIES PURSUANT TO RULE 144 UNDER THE SECURITIES ACT OF 1933
FORM 144

144: Filer Information

Filer CIK
Filer CCC
Is this a LIVE or TEST Filing?	LIVE TEST
Submission Contact Information
Name
Phone
E-Mail Address

144: Issuer Information

Name of Issuer

SEC File Number

Address of Issuer

Phone

Name of Person for Whose Account the Securities are To Be Sold

See the definition of "person" in paragraph (a) of Rule 144. Information is to be given not only as to the person for whose account the securities are to be sold but also as to all other persons included in that definition. In addition, information shall be given as to sales by all persons whose sales are required by paragraph (e) of Rule 144 to be aggregated with sales for the account of the person filing this notice.

Relationship to Issuer

144: Securities Information

Title of the Class of Securities To Be Sold	Name and Address of the Broker	Number of Shares or Other Units To Be Sold	Aggregate Market Value	Number of Shares or Other Units Outstanding	Approximate Date of Sale	Name the Securities Exchange
Common	J.P. Morgan Securities LLC 360 Madison Avenue - 6th Floor New York NY 10017	162274	18661510	1255921431	07/25/2025	NYSE

Furnish the following information with respect to the acquisition of the securities to be sold and with respect to the payment of all or any part of the purchase price or other consideration therefor:

144: Securities To Be Sold

Title of the Class	Date you Acquired	Nature of Acquisition Transaction	Name of Person from Whom Acquired	Is this a Gift?	Date Donor Acquired	Amount of Securities Acquired	Date of Payment	Nature of Payment *
Common	01/01/2013	Stock Option Exercise	Issuer			162274	01/01/2013	NA

* If the securities were purchased and full payment therefor was not made in cash at the time of purchase, explain in the table or in a note thereto the nature of the consideration given. If the consideration consisted of any note or other obligation, or if payment was made in installments describe the arrangement and state when the note or other obligation was discharged in full or the last installment paid.

Furnish the following information as to all securities of the issuer sold during the past 3 months by the person for whose account the securities are to be sold.

144: Securities Sold During The Past 3 Months

Name and Address of Seller	Title of Securities Sold	Date of Sale	Amount of Securities Sold	Gross Proceeds
The Tarini Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	14110	1439677
The Tarini Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	241	24580
The Tarini Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	100862	10331214
The Adeeti Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	14110	1439677
The Adeeti Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	241	24580
The Adeeti Ullal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	100862	10331214
The Ishan Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	1224	124888
The Ishan Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	20	2040
The Ishan Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	8756	896869
The Shriya Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	1224	124888
The Shriya Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	20	2040
The Shriya Nagpal Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	8756	896869
Jayshree Ullal 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	13075	1334074
Jayshree Ullal 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	223	22744
Jayshree Ullal 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	93468	9573852
2000 Ullal Family Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/26/2025	74039	7554377
2000 Ullal Family Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/27/2025	1271	129632
2000 Ullal Family Trust 5453 Great America Parkway Santa Clara CA 95054	common	06/30/2025	529208	54206352

144: Remarks and Signature

Remarks

Date of Notice

Date of Plan Adoption or Giving of Instruction, If Relying on Rule 10b5-1

ATTENTION:

The person for whose account the securities to which this notice relates are to be sold hereby represents by signing this notice that he does not know any material adverse information in regard to the current and prospective operations of the Issuer of the securities to be sold which has not been publicly disclosed. If such person has adopted a written trading plan or given trading instructions to satisfy Rule 10b5-1 under the Exchange Act, by signing the form and indicating the date that the plan was adopted or the instruction given, that person makes such representation as of the plan adoption or instruction date.

Signature

ATTENTION: Intentional misstatements or omission of facts constitute Federal Criminal Violations (See 18 U.S.C. 1001)

FAQ

What was Meritage Homes (MTH) Q2 2025 revenue?

The company reported $1.624 billion in total closing revenue for Q2 2025.

How did MTH's earnings per share change year-over-year?

Diluted EPS fell to $2.04 from $3.15, a 35% decline.

What is Meritage Homes’ current cash balance?

Cash and cash equivalents stood at $930 million as of 30 June 2025.

Did Meritage use its revolver during the quarter?

No. The $910 m facility had $0 outstanding and $95 m letters of credit, leaving $815 m available.

How much new debt did MTH issue in 2025?

In March 2025, the company issued $500 m of 5.65% senior notes due 2035.