EX-99 2 a30q42024ex99earningsrelea.htm EX-99 Document

Exhibit 99
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GREEN BRICK PARTNERS, INC. REPORTS RECORD FOURTH QUARTER AND FULL YEAR 2024 RESULTS

RECORD Q4 HOME CLOSINGS REVENUE OF $557M, UP 24.2% YOY
DILUTED EPS OF $2.31, A RECORD FOR ANY FOURTH QUARTER, UP 46.2% YOY
RECORD FULL-YEAR HOMEBUILDING GROSS MARGIN OF 33.8%, UP 290 BPS YOY
NET NEW HOME ORDERS OF 878, A RECORD FOR ANY FOURTH QUARTER, UP 29.3% YOY
DEBT TO TOTAL CAPITAL OF 17.2%; NET DEBT TO TOTAL CAPITAL OF 10.7%
BOARD INCREASES SHARE REPURCHASE AUTHORIZATION TO $100M

PLANO, Texas, February 26, 2025 — Green Brick Partners, Inc. (NYSE: GRBK) (“we,” “Green Brick” or the “Company”), today reported record results for its fourth quarter and full year ended December 31, 2024.

Green Brick finished 2024 with a record full-year diluted EPS of $8.45, up 37.6% year over year, and record total revenues of $2.1 billion, up 18.1% year over year.

“We are extremely proud to celebrate our 10th anniversary as a public homebuilder with record quarterly and full-year results while exceeding $2 billion in home closings revenue for the first time.” said Jim Brickman, CEO and Co-Founder. “During the fourth quarter, we closed a record 1,019 homes, which brought our full-year closings to 3,783, a year-over-year increase of 21.1%. Homebuilding gross margin was 33.8% on deliveries for the year, which was a record and represented a year-over-year increase of 290 bps. Our homebuilding gross margins again led our industry.”

“Our fourth quarter net new orders increased 29.3% year over year to 878 homes. Our growth engine, Trophy Signature Homes continued to represent the lion’s share of total sales orders at 53.6% of homes sold. For the fourth quarter, incentives averaged 6.4%, up slightly from 5.9% the previous quarter in the face of increasing mortgage rates. Our cancellation rate remained low at 7.8%.” Mr. Brickman added, “As a result of our strong operating performance, fully-diluted EPS was $2.31 for the quarter and $8.45 for the full year, up 46.2% and 37.6% year over year respectively. These achievements are attributable to our footprint in desirable infill and infill-adjacent submarkets where we continued to generate over 80% of our full-year revenues. Return on equity for the full year was 26.8% vs 24.9% in 2023. Notably, this growth was achieved while maintaining low financial leverage. Our debt-to-total-capital ratio was 17.2% at the end of 2024, which was down 390 bps to our lowest year-end level since 2015.”

“We entered 2025 with a strong position for growth with total lots owned and controlled up 31.9% year over year,” continued Mr. Brickman. “At the end of 2024, we had 106 active selling communities, representing a 16.5% year-over-year growth. New home starts of 4,067 for the year were up 22.2%. Additionally, we owned over 4,700 finished lots at the end of 2024, over 80% of which are in infill and infill-adjacent submarkets where supply is more constrained. We remain optimistic on the housing market over the long term, which is supported by demographic tailwinds and persistent housing shortages. We have a great land and lot position. On February 17, 2025, our Board approved an increase in our share repurchase authorization to $100 million. Integral to our capital allocation process, we continue to evaluate our land acquisition strategy along with our share repurchase program and other long term company goals”

Results for the Quarter Ended December 31, 2024:
(Dollars in thousands, except per share data)Three Months Ended December 31,
20242023Change
New homes delivered1,019 825 23.5 %
Total revenues$567,314 $450,382 26.0 %
Total cost of revenues373,279 308,754 20.9 %
Total gross profit$194,035 $141,628 37.0 %
Income before income taxes$138,094 $101,843 35.6 %
Net income attributable to Green Brick Partners, Inc.$103,813 $73,020 42.2 %
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Diluted net income attributable to Green Brick Partners, Inc. per common share$2.31 $1.58 46.2 %
Residential units revenue$556,855 $448,525 24.2 %
Average sales price of homes delivered$546.5 $543.5 0.6 %
Homebuilding gross margin percentage34.3 %31.4 %290 bps
Selling, general and administrative expenses as a percentage of residential units revenue10.9 %11.4 %-50 bps
Backlog revenue$495,883 $555,200 (10.7)%
Homes under construction2,341 2,057 13.8 %

Results for the Year Ended December 31, 2024:
(Dollars in thousands, except per share data)Twelve Months Ended December 31,
20242023Change
New homes delivered3,783 3,123 21.1 %
Total revenues$2,098,943 $1,777,710 18.1 %
Total cost of revenues1,395,422 1,229,528 13.5 %
Total gross profit$703,521 $548,182 28.3 %
Income before income taxes$511,880 $391,313 30.8 %
Net income attributable to Green Brick Partners, Inc.$381,583 $284,626 34.1 %
Diluted net income attributable to Green Brick Partners, Inc. per common share$8.45 $6.14 37.6 %
Residential units revenue$2,070,136 $1,769,255 17.0 %
Average sales price of homes delivered$547.1 $566.1 (3.4)%
Homebuilding gross margin percentage33.8 %30.9 %290 bps
Selling, general and administrative expenses as a percentage of residential units revenue10.9 %10.9 %0 bps
Home starts, last 12 months4,067 3,327 22.2 %

Earnings Conference Call:
We will host our earnings conference call to discuss our fourth quarter ended December 31, 2024 at 12:00 p.m. Eastern Time on Thursday, February 27th, 2025. The call can be accessed by dialing 1-888-660-6353 for domestic participants or 1-929-203-2106 for international participants and should reference meeting number 3162560. Participants may also join the call via webcast at: https://events.q4inc.com/attendee/872399197

A telephone replay of the call will be available through March 29, 2025. To access the telephone replay, the domestic dial-in number is 1-800-770-2030, the international dial-in number is 1-609-800-9909 and the access code is 3162560, or by using the link at investors.greenbrickpartners.com.

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GREEN BRICK PARTNERS, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)



(Unaudited)
Three Months Ended December 31,Twelve Months Ended December 31,
2024202320242023
Residential units revenue$556,855 $448,525 $2,070,136 $1,769,255 
Land and lots revenue10,459 1,857 28,807 8,455 
Total revenues567,314 450,382 2,098,943 1,777,710 
Cost of residential units365,726 307,479 1,370,888 1,223,079 
Cost of land and lots7,553 1,275 24,534 6,449 
Total cost of revenues373,279 308,754 1,395,422 1,229,528 
Total gross profit194,035 141,628 703,521 548,182 
Selling, general and administrative expenses(60,654)(50,919)(226,566)(192,977)
Equity in income of unconsolidated entities313 5,477 5,083 16,742 
Other income, net4,400 5,657 29,842 19,366 
Income before income taxes138,094 101,843 511,880 391,313 
Income tax expense22,909 21,484 94,725 84,638 
Net income115,185 80,359 417,155 306,675 
Less: Net income attributable to noncontrolling interests11,372 7,339 35,572 22,049 
Net income attributable to Green Brick Partners, Inc.$103,813 $73,020 $381,583 $284,626 
Net income attributable to Green Brick Partners, Inc. per common share:
Basic$2.32 $1.60 $8.51 $6.20 
Diluted$2.31 $1.58 $8.45 $6.14 
Weighted average common shares used in the calculation of net income attributable to Green Brick Partners, Inc. per common share:
Basic44,498 45,160 44,508 45,446 
Diluted44,578 45,635 44,839 45,917 

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GREEN BRICK PARTNERS, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)



December 31, 2024December 31, 2023
ASSETS
Cash and cash equivalents$141,543 $179,756 
Restricted cash18,153 19,703 
Receivables13,858 10,632 
Inventory1,937,732 1,533,223 
Investments in unconsolidated entities60,582 84,654 
Right-of-use assets - operating leases7,242 7,255 
Property and equipment, net6,551 7,054 
Earnest money deposits13,629 16,619 
Deferred income tax assets, net13,984 15,306 
Intangible assets, net282 367 
Goodwill680 680 
Other assets35,758 27,583 
Total assets$2,249,994 $1,902,832 
LIABILITIES AND EQUITY
Liabilities:
Accounts payable$59,746 $54,321 
Accrued expenses110,068 96,457 
Customer and builder deposits37,068 43,148 
Lease liabilities - operating leases8,343 7,898 
Borrowings on lines of credit, net22,645 (2,328)
Senior unsecured notes, net299,090 336,207 
Notes payable14,871 12,981 
Total liabilities551,831 548,684 
Commitments and contingencies
Redeemable noncontrolling interest in equity of consolidated subsidiary44,709 36,135 
Equity:
Green Brick Partners, Inc. stockholders’ equity
Preferred stock, $0.01 par value: 5,000,000 shares authorized; 2,000 issued and outstanding as of December 31, 2024 and December 31, 2023, respectively
47,603 47,603 
Common stock, $0.01 par value: 100,000,000 shares authorized; 44,498,097 issued and outstanding as of December 31, 2024 and 45,005,175 issued and outstanding as of December 31, 2023, respectively
445 450 
Additional paid-in capital244,653 255,614 
Retained earnings1,332,714 997,037 
Total Green Brick Partners, Inc. stockholders’ equity1,625,415 1,300,704 
Noncontrolling interests28,039 17,309 
Total equity1,653,454 1,318,013 
Total liabilities and equity$2,249,994 $1,902,832 

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GREEN BRICK PARTNERS, INC.
SUPPLEMENTAL INFORMATION
(Unaudited)

Residential Units Revenue and New Homes Delivered (dollars in thousands)Three Months Ended December 31,Twelve Months Ended December 31,
20242023Change%20242023Change%
Home closings revenue$556,855 $448,395 $108,460 24.2%$2,069,756 $1,767,788 $301,968 17.1 %
Mechanic’s lien contracts revenue— 130 (130)(100.0)%380 1,467 (1,087)(74.1)%
Residential units revenue$556,855 $448,525 $108,330 24.2%$2,070,136 $1,769,255 $300,881 17.0 %
New homes delivered1,019 825 194 23.5%3,783 3,123 660 21.1 %
Average sales price of homes delivered$546.5 $543.5 $3.0 0.6%$547.1 $566.1 $(19.0)(3.4)%

New Home Orders and Backlog
(dollars in thousands)		Three Months Ended December 31,Twelve Months Ended December 31,
20242023Change%20242023Change%
Net new home orders878 679 199 29.3%3,681 3,356 325 9.7 %
Revenue from net new home orders$470,890 $381,044 $89,846 23.6%$2,010,439 $1,953,903 $56,536 2.9%
Average selling price of net new home orders$536.3 $561.2 $(24.9)(4.4)%$546.2 $582.2 $(36.0)(6.2)%
Cancellation rate7.8 %7.2 %0.6 %8.3%7.3 %6.6 %0.7 %10.6 %
Absorption rate per average active selling community per quarter8.3 7.6 0.7 9.2%9.1 9.9 (0.8)(8.1)%
Average active selling communities106 89 17 19.1%101 85 16 18.8 %
Active selling communities at end of period106 91 15 16.5%
Backlog revenue$495,883 $555,200 $(59,317)(10.7)%
Backlog units668 770 (102)(13.2)%
Average sales price of backlog$742.3 $721.0 $21.3 3.0%
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GREEN BRICK PARTNERS, INC.
SUPPLEMENTAL INFORMATION
(Unaudited)
December 31, 2024December 31, 2023
CentralSoutheastTotalCentralSoutheastTotal
Lots owned
Finished lots3,932 790 4,722 4,014 964 4,978 
Lots in communities under development22,524 1,670 24,194 9,122 1,335 10,457 
Land held for future development(1)
3,800 — 3,800 8,366 — 8,366 
Total lots owned30,256 2,460 32,716 21,502 2,299 23,801 
Lots controlled
Lots under option contracts806 — 806 1,169 — 1,169 
Land under option for future development1,091 349 1,440 1,710 460 2,170 
Lots under option through unconsolidated development joint ventures2,614 255 2,869 1,210 331 1,541 
Total lots controlled4,511 604 5,115 4,089 791 4,880 
Total lots owned and controlled (2)
34,767 3,064 37,831 25,591 3,090 28,681 
Percentage of lots owned87.0 %80.3 %86.5 %84.0 %74.4 %83.0 %
(1) Land held for future development consists of raw land parcels where development activities have been postponed due to market conditions or other factors.
(2) Total lots excludes lots with homes under construction.

The following table presents additional information on the lots we owned as of December 31, 2024 and December 31, 2023.
December 31, 2024December 31, 2023
Total lots owned(1)
32,716 23,801 
Add certain lots included in Total Lots Controlled
Land under option for future acquisition and development1,440 2,170 
Lots under option through unconsolidated development joint ventures2,869 1,541 
Total lots self-developed37,025 27,512 
Self-developed lots as a percentage of total lots owned and controlled(1)
97.9 %95.9 %
(1) Total lots owned includes finished lot purchases, which were less than 1.4% of total lots self-developed as of December 31, 2024.

Non-GAAP Financial Measures
In this press release, we utilize certain financial measures that are non-GAAP financial measures as defined by the Securities and Exchange Commission. We present these measures because we believe they and similar measures are useful to management and investors in evaluating our operating performance and financing structure. We also believe these measures facilitate the comparison of our operating performance and financing structure with other companies in our industry. Because these measures are not calculated in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), they may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP.

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The following table represents the non-GAAP measure of adjusted homebuilding gross margin for the twelve months ended December 31, 2024 and 2023 and reconciles these amounts to homebuilding gross margin, the most directly comparable GAAP measure.
(Unaudited, in thousands):Three Months Ended December 31,Twelve Months Ended December 31,
2024202320242023
Residential units revenue$556,855 $448,525 $2,070,136 $1,769,255 
Less: Mechanic’s lien contracts revenue— (130)(380)(1,467)
Home closings revenue$556,855 $448,395 $2,069,756 $1,767,788 
Homebuilding gross margin$191,140 $141,010 $699,143 $545,654 
Homebuilding gross margin percentage34.3 %31.4 %33.8 %30.9 %
Homebuilding gross margin191,140 141,010 699,143 545,654 
Add back: Capitalized interest charged to cost of revenues2,741 2,740 11,280 13,196 
Add back: Inventory impairment charge1,488 — 2,796 — 
Less: Warranty reserve adjustment(13,178)— (13,178)— 
Adjusted homebuilding gross margin$182,191 $143,750 $700,041 $558,850 
Adjusted homebuilding gross margin percentage32.7 %32.1 %33.8 %31.6 %

Net debt to total capitalization is calculated as the total debt less cash and cash equivalents, divided by the sum of total Green Brick Partners, Inc. stockholders’ equity and total debt less cash and cash equivalents. The closest GAAP financial measure to the net debt to total capitalization ratio is the debt to total capitalization ratio. The following table represents a reconciliation of the net debt to total capitalization ratio as of December 31, 2024:
GrossCash and cash equivalentsNet
Total debt, net of debt issuance costs$336,606 $(141,543)$195,063 
Total Green Brick Partners, Inc. stockholders’ equity1,625,415 — 1,625,415 
Total capitalization$1,962,021 $(141,543)$1,820,478 
Debt to total capitalization ratio17.2 %
Net debt to total capitalization ratio10.7 %

About Green Brick Partners, Inc.
Green Brick Partners, Inc (NYSE: GRBK), the third largest homebuilder in Dallas-Fort Worth, is a diversified homebuilding and land development company that operates in Texas, Georgia, and Florida. Green Brick owns five subsidiary homebuilders in Texas (CB JENI Homes, Normandy Homes, Southgate Homes, Trophy Signature Homes, and a 90% interest in Centre Living Homes), as well as a 50% interest in a homebuilder in Atlanta, Georgia (The Providence Group) and an 80% interest in a homebuilder in Port St. Lucie, Florida (GHO Homes). Green Brick also retains interests in related financial services platforms, including Green Brick Title, GRBK Mortgage, and Green Brick Insurance. Green Brick is engaged in all aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, marketing, and sales for its residential neighborhoods and master-planned communities. For more information about Green Brick Partners Inc.’s subsidiary homebuilders, please visit https://greenbrickpartners.com/brands-services/.

Forward-Looking and Cautionary Statements:
This press release and our earnings call contain “forward-looking statements” within the meaning of the Private Securities Litigation Act of 1995. These statements concern expectations, beliefs, projections, plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts and typically include the words “anticipate,” “believe,” “consider,” “estimate,” “expect,” “feel,”, “poised,” “intend,” “plan,” “predict,” “seek,” “strategy,” “target,” “will” or other words of similar meaning. Specifically, these statements reflect our beliefs and expectations regarding (i) our plans to increase spending on land development; (ii) our strategic advantages, including our focus on owning land and self-developing and on infill and infill-adjacent locations, and the impact on our future results; (iii) our positioning to capture future demand, increase market share and succeed in the current environment, including our ability to maintain industry-leading performance and margins; (iv) our expectations regarding the
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self-development of our inventory; (v) our ability to successfully implement our growth strategy, including our expectations for expansion and growth of our Trophy brand, including in the Houston market ; (vi) our expectations regarding trends in our markets, such as demographic trends and demand; (vii) our business priorities and our strategies to maintain the strength of our balance sheet and financial flexibility, and our positioning in the industry; (viii) the advantages of our lot and land strategies and locations, including the benefits to our returns, margins and ability to scale; (ix) our investments in land, lots and development in 2025, and the impact on our growth; (x) our flexibility in adjusting home prices; (xi) the demand for home ownership in the markets in which we operate and our ability to capitalize on such demand; and (xii) our ability to deliver efficient and cost-effective growth, including our ability to manage costs and cycle times. These risks include, but are not limited to: (1) general economic conditions, seasonality, cyclicality and competition in the homebuilding industry; (2) changes in macroeconomic conditions, including increasing interest rates and inflation that could adversely impact demand for new homes or the ability of potential buyers to qualify; (3) shortages, delays or increased costs of raw materials and increased demand for materials, or increases in other operating costs, including costs related to labor, real estate taxes and insurance, which in each case exceed our ability to increase prices; (4) significant periods of inflation or deflation; (5) a shortage of qualified labor; (6) an inability to acquire land in our markets at anticipated prices or difficulty in obtaining land-use entitlements; (7) our inability to successfully execute our strategies, including the successful development of our communities within expected time frames and the growth and expansion of our Trophy brand; (8) a failure to recruit, retain or develop highly skilled and competent employees; (9) the geographic concentration of our operations; (10) government regulation risks; (11) adverse changes in the availability or volatility of mortgage financing; (12) severe weather events or natural disasters; (13) difficulty in obtaining sufficient capital to fund our growth; (14) our ability to meet our debt service obligations; (15) a decline in the value of our inventories and resulting write-downs of the carrying value of our real estate assets; (16) our ability to adequately self-insure; and (17) changes in accounting standards that adversely affect our reported earnings or financial condition.. Green Brick assumes no obligation to update any forward-looking statements, which speak only as of the date they are made. For a more detailed discussion of these and other risks and uncertainties applicable to Green Brick please see our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission.

Contact:
Benting Hu
Vice President of Finance
469-573-6755
IR@greenbrickpartners.com

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