{"id":701549,"date":"2022-10-27T06:04:19","date_gmt":"2022-10-27T10:04:19","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/m-d-c-holdings-announces-third-quarter-2022-results\/"},"modified":"2022-10-27T06:04:19","modified_gmt":"2022-10-27T10:04:19","slug":"m-d-c-holdings-announces-third-quarter-2022-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/m-d-c-holdings-announces-third-quarter-2022-results\/","title":{"rendered":"M.D.C. HOLDINGS ANNOUNCES THIRD QUARTER 2022 RESULTS"},"content":{"rendered":"
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PR Newswire<\/p>\n<\/p><\/div>\n

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\n DENVER<\/span>
\n <\/span>, Oct. 27, 2022<\/span><\/span> \/PRNewswire\/ —\u00a0M.D.C Holdings, Inc. (NYSE: MDC), one of the nation’s leading homebuilders, announced results for the quarter ended September 30, 2022<\/span>.<\/p>\n

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\n \"MDC
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“MDC posted strong top line growth in the third quarter of 2022, with home sale revenues increasing 12% year-over-year to $1.4 billion<\/span>,” said MDC’s Executive Chairman, Larry A. Mizel<\/span>. “Home sale gross margins were 22.7%, while net income came in at $144 million<\/span>, or $1.98<\/span> per diluted share for the quarter. Excluding impairments, home sale gross margins expanded 120 basis points year-over-year to 24.7%.\u00a0 These results are a testament to the solid execution of our teams in the field and our organization’s ability to deliver homes in a challenging market environment.”<\/p>\n

Mr. Mizel continued, “Interest rate volatility and overall economic uncertainty took a toll on our sales efforts in the third quarter, as we experienced a slowdown in demand coupled with a sharp increase in cancellations. Buyer psychology continued to be adversely affected by the negative news flow surrounding housing market conditions and the overall economy, leading to a disappointing net order result for the quarter. While we believe that the long-term outlook for new home construction is positive and that there is a strong desire to own a home in this country, we expect near-term demand trends to remain challenged until interest rates stabilize.”<\/p>\n

Mr. Mizel concluded, “In light of these developments, MDC has increasingly shifted its focus to cash flow generation, balance sheet preservation and cost rationalization, while making adjustments to our sales efforts to stay competitive in the market. Our company is led by seasoned operators who have been through several market corrections and who know how to navigate challenging market environments. While there is a lot of uncertainty in today’s market, I am confident that MDC has the operational discipline and balance sheet strength for what comes next.”<\/p>\n

“MDC demonstrated solid execution in the third quarter of 2022, as we once again delivered on our stated guidance for home closings, home sales gross margin excluding impairments and average closing prices for the quarter,” said David Mandarich<\/span>, MDC’s President and Chief Executive Officer. “As we worked tirelessly to complete and close homes in backlog during the quarter, we also focused our sales efforts on inventory that can close this year, which is consistent with our focus on cash flow, and we anticipate that this will remain the case through the end of the year. However, we are offering great opportunities for our build-to-order buyers, such as long-term interest rate lock programs and other special incentives. As we close more of our legacy backlog and open new communities ahead of the spring selling season, we will continue to evaluate market conditions and remain committed to taking actions that support the health of our sales pace, our backlog and our balance sheet.”\u00a0<\/p>\n

\n 2022 Third Quarter Highlights and Comparisons to 2021 Third Quarter<\/u>\n <\/p>\n