10/30/20240000799292false00007992922024-10-302024-10-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of Securities Exchange Act of 1934


Date of Report (Date of earliest event reported): October 30, 2024

M/I HOMES, INC.
(Exact name of registrant as specified in its charter)
Ohio1-1243431-1210837
(State or other jurisdiction(Commission(I.R.S. Employer
of incorporation)File Number)Identification No.)

4131 Worth Avenue, Suite 500             Columbus, OH 43219
(Address of principal executive offices)          (Zip Code)

(614) 418-8000
(Telephone Number)
N/A
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a.12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Shares, par value $.01MHONew York Stock Exchange


Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐




SECTION 2    FINANCIAL INFORMATION

ITEM 2.02    RESULTS OF OPERATIONS AND FINANCIAL CONDITION

On October 30, 2024, M/I Homes, Inc. (the “Company”) issued a press release reporting financial results for the three- and nine-months ended September 30, 2024. A copy of this press release, including information concerning forward-looking statements and factors that may affect our future results, is attached hereto as Exhibit 99.1.

ITEM 9.01    FINANCIAL STATEMENTS AND EXHIBITS
(d)    Exhibits.
Exhibit No.
Description of Exhibit
99.1
104Cover Page Interactive Data File (embedded within the Inline XBRL document).*

         *Submitted electronically with this Report in accordance with the provisions of Regulation S-T.



SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date:  October 30, 2024

M/I Homes, Inc.

By:
/s/ Ann Marie W. Hunker
Ann Marie W. Hunker
VP, Chief Accounting Officer and Controller



Exhibit 99.1
milogoa42.jpg


M/I Homes Reports
2024 Third Quarter Results

Columbus, Ohio (October 30, 2024) - M/I Homes, Inc. (NYSE:MHO) announced results for the three and nine months ended September 30, 2024.

2024 Third Quarter Highlights:
•Record third quarter homes delivered, revenue, and income
•Homes delivered increased 8% to 2,271
•Revenue increased 9% to $1.1 billion
•Pre-tax income increased 6% to $188.7 million, 16.5% of revenue
•Net income increased 5% to $145.4 million ($5.10 per diluted share)
•Shareholders’ equity reached an all-time record $2.8 billion, a 17% increase from a year ago, with book
value per share of $105
•New contracts were 2,023, compared to 2,021 in last year’s third quarter
•Repurchased $50 million of common stock
•Return on equity of 20%

The Company reported pre-tax income of $188.7 million and net income of $145.4 million ($5.10 per diluted share), both third quarter records. This compares to pre-tax income of $178.0 million and net income of $139.0 million, or $4.82 per diluted share, for the third quarter of 2023. For the nine months ended September 30, 2024, pre-tax income increased to a record $563.1 million and net income increased to a record $430.3 million, or $14.99 per diluted share, compared to $469.3 million and $360.1 million, or $12.58 per diluted share, for the same period of 2023, respectively.

Homes delivered in 2024's third quarter increased 8% to a third quarter record of 2,271 homes. This compares to 2,096 homes delivered in 2023’s third quarter. Homes delivered for the nine months ended September 30, 2024 increased 9% to 6,653 from 2023’s deliveries of 6,093 which represents an all-time record. New contracts were 2,023 for the third quarter of 2024 compared to 2,021 in last year’s third quarter. For the first nine months of 2024, new contracts increased 7% to 6,825 compared to 6,389 in 2023. Homes in backlog at September 30, 2024 had a total sales value of $1.73 billion, a 1% decrease from a year ago. Backlog units at September 30, 2024 decreased 8% to 3,174 homes, with an all-time record average sales price of $544,000. At September 30, 2023, backlog sales value was $1.75 billion, with backlog units of 3,433 and an average sales price of $510,000. M/I Homes had 217 communities at September 30, 2024 compared to 204 communities at September 30, 2023. The Company's cancellation rate was 10% in both the third quarter of 2024 and the third quarter of 2023.

Robert H. Schottenstein, Chief Executive Officer and President, commented, “We had a very strong third quarter,
highlighted by record homes delivered, record revenue, and record income. We increased homes delivered by 8% to a record 2,271, increased revenue by 9% to a record $1.1 billion, increased pre-tax income by 6% to a record $188.7 million and we continued to generate strong returns. Pre-tax income equaled 16.5% of revenue. Our gross margin was strong at 27% and our return on equity was 20%.




Mr. Schottenstein continued, “Our financial condition is excellent. We ended the quarter with record shareholders’ equity of $2.8 billion, an increase of 17% from a year ago, book value of $105 per share, cash of $720 million, a homebuilding debt to capital ratio of 20%, and a net-debt-to-capital ratio of negative 1%. Given our performance through three quarters of this year, along with the strength of our balance sheet, low debt levels, diverse product offerings and well-located communities, we are positioned to have a very strong 2024.”
The Company will broadcast live its earnings conference call today at 10:00 A.M. Eastern Time. To listen to the call live, log on to the M/I Homes’ website at mihomes.com, click on the “Investors” section of the site, and select “Listen to the Conference Call.” A replay of the call will continue to be available on our website through October 2025.

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, 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, 2023, 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.


Contact M/I Homes, Inc.
Ann Marie W. Hunker, Vice President, Chief Accounting Officer and Controller, (614) 418-8225
Mark Kirkendall, Vice President, Treasurer, (614) 418-8021



M/I Homes, Inc. and Subsidiaries
Summary Statement of Income (unaudited)
(Dollars and shares in thousands, except per share amounts)

Three Months EndedNine Months Ended
September 30,September 30,
2024202320242023
New contracts2,023 2,021 6,825 6,389 
Average community count214 200 215 199 
Cancellation rate10 %10 %9 %11 %
Backlog units3,174 3,433 3,174 3,433 
Backlog sales value$1,725,423 $1,751,442 $1,725,423 $1,751,442 
Homes delivered2,271 2,096 6,653 6,093 
Average home closing price$489 $481 $481 $486 
Homebuilding revenue:
   Housing revenue$1,111,389 $1,008,356 $3,199,946 $2,963,500 
   Land revenue1,550 14,424 11,753 23,276 
Total homebuilding revenue$1,112,939 $1,022,780 $3,211,699 $2,986,776 
Financial services revenue29,970 23,591 87,694 74,138 
Total revenue$1,142,909 $1,046,371 $3,299,393 $3,060,914 
Cost of sales - operations833,468 764,638 2,397,329 2,286,371 
Gross margin$309,441 $281,733 $902,064 $774,543 
General and administrative expense68,285 55,867 188,363 162,481 
Selling expense59,163 53,735 171,598 154,686 
Operating income$181,993 $172,131 $542,103 $457,376 
Other income— 1 — (34)
Interest income, net of interest expense
(6,680)(5,834)(20,948)(11,893)
Income before income taxes$188,673 $177,964 $563,051 $469,303 
Provision for income taxes43,224 38,948 132,795 109,220 
Net income$145,449 $139,016 $430,256 $360,083 
Earnings per share:
Basic$5.26 $4.98 $15.45 $12.97 
Diluted$5.10 $4.82 $14.99 $12.58 
Weighted average shares outstanding:
Basic27,644 27,909 27,857 27,769 
Diluted28,534 28,837 28,703 28,631 


M/I Homes, Inc. and Subsidiaries
Summary Balance Sheet and Other Information (unaudited)
(Dollars in thousands, except per share amounts)

As of
September 30,
20242023
Assets:
Total cash, cash equivalents and restricted cash (1)
$719,920 $736,252 
Mortgage loans held for sale242,812 207,181 
Inventory:
Lots, land and land development1,558,300 1,355,622 
Land held for sale3,859 6,881 
Homes under construction1,401,260 1,218,256 
Other inventory169,275 159,769 
Total Inventory$3,132,694 $2,740,528 
Property and equipment - net34,714 36,015 
Investments in joint venture arrangements63,095 44,866 
Operating lease right-of-use assets55,259 58,304 
Goodwill16,400 16,400 
Deferred income tax asset15,313 18,019 
Other assets179,650 145,803 
Total Assets$4,459,857 $4,003,368 
Liabilities:
Debt - Homebuilding Operations:
Senior notes due 2028 - net$397,459 $396,685 
Senior notes due 2030 - net297,243 296,739 
Total Debt - Homebuilding Operations$694,702 $693,424 
Notes payable bank - financial services operations235,441 200,619 
Total Debt$930,143 $894,043 
Accounts payable256,708 250,937 
Operating lease liabilities56,667 59,433 
Other liabilities370,983 373,243 
Total Liabilities$1,614,501 $1,577,656 
Shareholders’ Equity2,845,356 2,425,712 
Total Liabilities and Shareholders’ Equity$4,459,857 $4,003,368 
Book value per common share$104.59 $87.10 
Homebuilding debt to capital ratio (2)
20 %22 %
(1)Includes $0.2 million of restricted cash and cash held in escrow for the quarter ended September 30, 2023.
(2)The ratio of homebuilding debt to capital is calculated as the carrying value of our homebuilding debt outstanding divided by the sum of the carrying value of our homebuilding debt outstanding plus shareholders’ equity.


M/I Homes, Inc. and Subsidiaries
Selected Supplemental Financial and Operating Data (unaudited)
(Dollars in thousands)
Three Months EndedNine Months Ended
September 30,September 30,
2024202320242023
Cash (used in) provided by operating activities$(67,942)$79,541 $75,341 $497,230 
Cash used in by investing activities$(17,496)$(11,330)$(45,037)$(14,132)
Cash used in financing activities
$(32,100)$(246)$(43,188)$(58,388)
Land/lot purchases$138,711 $105,860 $365,553 $247,574 
Land development spending$180,753 $151,222 $444,659 $352,555 
Land sale revenue$1,550 $14,424 $11,753 $23,276 
Land sale gross profit
$72 $2,115 $3,318 $3,004 
Financial services pre-tax income$12,936 $9,878 $39,648 $33,678 



M/I Homes, Inc. and Subsidiaries
Non-GAAP Financial Results (1)
(Dollars in thousands)
Three Months EndedNine Months Ended
September 30,September 30,
2024202320242023
Net income$145,449 $139,016 $430,256 $360,083 
Add:
Provision for income taxes43,224 38,948 132,795 109,220 
Interest income - net
(10,089)(8,469)(30,542)(19,122)
Interest amortized to cost of sales7,632 8,778 23,872 25,552 
Depreciation and amortization4,816 4,227 13,890 12,890 
Non-cash charges6,750 2,682 14,099 7,056 
Adjusted EBITDA$197,782 $185,182 $584,370 $495,679 

(1) We believe these non-GAAP financial measures are relevant and useful to investors in understanding our operations and may be helpful in comparing us with other companies in the homebuilding industry to the extent they provide similar information. These non-GAAP financial measures should be used to supplement our GAAP results in order to provide a greater understanding of the factors and trends affecting our operations.


M/I Homes, Inc. and Subsidiaries
Selected Supplemental Financial and Operating Data

NEW CONTRACTS
Three Months EndedNine Months Ended
September 30,September 30,
%%
Region20242023Change20242023Change
Northern890 885 1 %3,054 2,662 15 %
Southern1,133 1,136 — %3,771 3,727 1 %
Total2,023 2,021 — %6,825 6,389 7 %


HOMES DELIVERED
Three Months EndedNine Months Ended
September 30,September 30,
%%
Region20242023Change20242023Change
Northern1,015 741 37 %2,809 2,321 21 %
Southern1,256 1,355 (7)%3,844 3,772 2 %
Total2,271 2,096 8 %6,653 6,093 9 %


BACKLOG
September 30, 2024September 30, 2023
DollarsAverageDollarsAverage
RegionUnits(millions)Sales PriceUnits(millions)Sales Price
Northern1,493 $803 $538,000 1,397 $727 $521,000 
Southern1,681 $923 $549,000 2,036 $1,024 $503,000 
Total3,174 $1,726 $544,000 3,433 $1,751 $510,000 


LAND POSITION SUMMARY
September 30, 2024September 30, 2023
LotsLots UnderLotsLots Under
RegionOwnedContractTotalOwnedContractTotal
Northern6,528 10,885 17,413 7,341 8,385 15,726 
Southern17,114 17,678 34,792 15,835 13,267 29,102 
Total23,642 28,563 52,205 23,176 21,652 44,828 


v3.24.3
Cover Page Cover Page
Oct. 30, 2024
Cover [Abstract]  
Document Type 8-K
Document Period End Date Oct. 30, 2024
Entity Registrant Name M/I HOMES, INC.
Entity Incorporation, State or Country Code OH
Entity File Number 1-12434
Entity Tax Identification Number 31-1210837
Entity Address, Address Line One 4131 Worth Avenue
Entity Address, Address Line Two Suite 500
Entity Address, City or Town Columbus
Entity Address, State or Province OH
Entity Address, Postal Zip Code 43219
City Area Code 614
Local Phone Number 418-8000
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Shares, par value $.01
Trading Symbol MHO
Security Exchange Name NYSE
Entity Emerging Growth Company false
Entity Central Index Key 0000799292
Amendment Flag false
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