07/26/2022 | Press release | Distributed by Public on 07/26/2022 07:40
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2022 | 2021 | 2022 | 2021 | |||||
Homebuilding: | ||||||||
Revenues | $ | 2,610,062 | $ | 2,224,560 | $ | 4,919,289 | $ | 4,188,271 |
Other income | 3,896 | 1,632 | 5,235 | 3,218 | ||||
Cost of sales | (1,924,727) | (1,721,673) | (3,576,092) | (3,299,126) | ||||
Selling, general and administrative | (132,432) | (113,406) | (261,942) | (234,825) | ||||
Operating income | 556,799 | 391,113 | 1,086,490 | 657,538 | ||||
Interest expense | (11,852) | (12,850) | (24,656) | (25,856) | ||||
Homebuilding income | 544,947 | 378,263 | 1,061,834 | 631,682 | ||||
Mortgage Banking: | ||||||||
Mortgage banking fees | 48,881 | 59,038 | 118,063 | 136,773 | ||||
Interest income | 2,772 | 2,209 | 4,846 | 4,241 | ||||
Other income | 1,303 | 988 | 2,375 | 1,855 | ||||
General and administrative | (23,486) | (22,613) | (46,394) | (44,269) | ||||
Interest expense | (405) | (420) | (767) | (811) | ||||
Mortgage banking income | 29,065 | 39,202 | 78,123 | 97,789 | ||||
Income before taxes | 574,012 | 417,465 | 1,139,957 | 729,471 | ||||
Income tax expense | (140,698) | (96,170) | (280,543) | (159,414) | ||||
Net income | $ | 433,314 | $ | 321,295 | $ | 859,414 | $ | 570,057 |
Basic earnings per share | $ | 131.84 | $ | 88.69 | $ | 257.65 | $ | 156.27 |
Diluted earnings per share | $ | 123.65 | $ | 82.45 | $ | 240.05 | $ | 145.53 |
Basic weighted average shares outstanding | 3,287 | 3,623 | 3,336 | 3,648 | ||||
Diluted weighted average shares outstanding | 3,504 | 3,897 | 3,580 | 3,917 |
NVR, Inc. | ||||
Consolidated Balance Sheets | ||||
(in thousands, except share and per share data) | ||||
(unaudited) | ||||
June 30, 2022 | December 31, 2021 | |||
ASSETS | ||||
Homebuilding: | ||||
Cash and cash equivalents | $ | 1,483,445 | $ | 2,545,069 |
Restricted cash | 60,695 | 60,730 | ||
Receivables | 29,007 | 18,552 | ||
Inventory: | ||||
Lots and housing units, covered under sales agreements with customers | 2,138,456 | 1,777,862 | ||
Unsold lots and housing units | 177,372 | 127,434 | ||
Land under development | 16,274 | 12,147 | ||
Building materials and other | 46,643 | 29,923 | ||
2,378,745 | 1,947,366 | |||
Contract land deposits, net | 524,398 | 497,139 | ||
Property, plant and equipment, net | 57,397 | 56,979 | ||
Operating lease right-of-use assets | 68,323 | 59,010 | ||
Reorganization value in excess of amounts allocable to identifiable assets, net | 41,580 | 41,580 | ||
Other assets | 233,987 | 229,018 | ||
4,877,577 | 5,455,443 | |||
Mortgage Banking: | ||||
Cash and cash equivalents | 16,158 | 28,398 | ||
Restricted cash | 3,403 | 2,519 | ||
Mortgage loans held for sale, net | 335,624 | 302,192 | ||
Property and equipment, net | 3,296 | 3,658 | ||
Operating lease right-of-use assets | 13,405 | 9,758 | ||
Reorganization value in excess of amounts allocable to identifiable assets, net | 7,347 | 7,347 | ||
Other assets | 30,889 | 25,160 | ||
410,122 | 379,032 | |||
Total assets | $ | 5,287,699 | $ | 5,834,475 |
NVR, Inc. | ||||
Consolidated Balance Sheets (Continued) | ||||
(in thousands, except share and per share data) | ||||
(unaudited) | ||||
June 30, 2022 | December 31, 2021 | |||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Homebuilding: | ||||
Accounts payable | $ | 417,771 | $ | 336,560 |
Accrued expenses and other liabilities | 388,179 | 435,860 | ||
Customer deposits | 439,119 | 417,463 | ||
Operating lease liabilities | 73,075 | 64,128 | ||
Senior notes | 915,801 | 1,516,255 | ||
2,233,945 | 2,770,266 | |||
Mortgage Banking: | ||||
Accounts payable and other liabilities | 47,868 | 51,394 | ||
Operating lease liabilities | 14,220 | 10,437 | ||
62,088 | 61,831 | |||
Total liabilities | 2,296,033 | 2,832,097 | ||
Commitments and contingencies | ||||
Shareholders' equity: | ||||
Common stock, $0.01 par value; 60,000,000 shares authorized; 20,555,330 shares issued as of both June 30, 2022 and December 31, 2021 | 206 | 206 | ||
Additional paid-in capital | 2,498,123 | 2,378,191 | ||
Deferred compensation trust - 106,697 shares of NVR, Inc. common stock as of both June 30, 2022 and December 31, 2021 | (16,710) | (16,710) | ||
Deferred compensation liability | 16,710 | 16,710 | ||
Retained earnings | 10,907,253 | 10,047,839 | ||
Less treasury stock at cost - 17,271,177 and 17,107,889 shares as of June 30, 2022 and December 31, 2021, respectively | (10,413,916) | (9,423,858) | ||
Total shareholders' equity | 2,991,666 | 3,002,378 | ||
Total liabilities and shareholders' equity | $ | 5,287,699 | $ | 5,834,475 |
NVR, Inc. | ||||||||||||
Operating Activity | ||||||||||||
(dollars in thousands) | ||||||||||||
(unaudited) | ||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
|
2022 | 2021 | 2022 | 2021 | ||||||||
Units | Average Price | Units | Average Price | Units | Average Price | Units | Average Price | |||||
New orders, net of cancellations:
|
||||||||||||
Mid Atlantic (1)
|
1,860 | $ | 535.1 | 2,090 | $ | 535.4 | 4,167 | $ | 531.8 | 4,381 | $ | 518.1 |
North East (2)
|
441 | $ | 503.7 | 394 | $ | 499.3 | 901 | $ | 513.5 | 834 | $ | 486.3 |
Mid East (3)
|
1,114 | $ | 410.5 | 1,320 | $ | 375.7 | 2,648 | $ | 403.6 | 3,115 | $ | 361.1 |
South East (4)
|
1,248 | $ | 420.0 | 1,717 | $ | 360.3 | 2,874 | $ | 421.6 | 3,505 | $ | 348.7 |
Total
|
4,663 | $ | 471.6 | 5,521 | $ | 440.2 | 10,590 | $ | 468.3 | 11,835 | $ | 424.4 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||
Units | Average Price | Units | Average Price | Units | Average Price | Units | Average Price | |||||
Settlements:
|
||||||||||||
Mid Atlantic (1)
|
2,292 | $ | 527.1 | 2,224 | $ | 471.4 | 4,472 | $ | 525.5 | 4,234 | $ | 468.7 |
North East (2)
|
472 | $ | 503.0 | 433 | $ | 446.3 | 820 | $ | 503.6 | 805 | $ | 441.5 |
Mid East (3)
|
1,356 | $ | 384.2 | 1,404 | $ | 340.6 | 2,566 | $ | 382.8 | 2,667 | $ | 338.6 |
South East (4)
|
1,700 | $ | 378.4 | 1,624 | $ | 310.7 | 3,176 | $ | 369.6 | 3,051 | $ | 309.8 |
Total
|
5,820 | $ | 448.4 | 5,685 | $ | 391.3 | 11,034 | $ | 445.8 | 10,757 | $ | 389.3 |
As of June 30, | ||||||
2022 | 2021 | |||||
Units | Average Price | Units | Average Price | |||
Backlog:
|
||||||
Mid Atlantic (1)
|
4,613 | $ | 541.1 | 4,626 | $ | 517.7 |
North East (2)
|
1,050 | $ | 519.3 | 979 | $ | 485.7 |
Mid East (3)
|
3,109 | $ | 399.0 | 3,322 | $ | 364.8 |
South East (4)
|
3,514 | $ | 438.2 | 3,700 | $ | 359.0 |
Total
|
12,286 | $ | 473.9 | 12,627 | $ | 428.5 |
NVR, Inc. | ||||||||
Operating Activity (Continued) | ||||||||
(dollars in thousands) | ||||||||
(unaudited) | ||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2022 | 2021 | 2022 | 2021 | |||||
Average active communities: | ||||||||
Mid Atlantic (1)
|
155 | 153 | 153 | 156 | ||||
North East (2)
|
38 | 32 | 36 | 33 | ||||
Mid East (3)
|
121 | 126 | 125 | 133 | ||||
South East (4)
|
92 | 109 | 91 | 110 | ||||
Total
|
406 | 420 | 405 | 432 | ||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2022 | 2021 | 2022 | 2021 | |||||
Homebuilding data: | ||||||||
New order cancellation rate
|
14.3 | % | 8.3 | % | 12.1 | % | 9.0 | % |
Lots controlled at end of period
|
133,200 | 114,100 | ||||||
Mortgage banking data:
|
||||||||
Loan closings
|
$ | 1,647,972 | $ | 1,565,095 | $ | 3,132,565 | $ | 2,977,974 |
Capture rate
|
84 | % | 89 | % | 85 | % | 89 | % |
Common stock information:
|
||||||||
Shares outstanding at end of period
|
3,284,153 | 3,579,190 | ||||||
Number of shares repurchased
|
61,078 | 78,452 | 207,132 | 164,975 | ||||
Aggregate cost of shares repurchased
|
$ | 266,915 | $ | 376,941 | $ | 1,015,703 | $ | 754,366 |
(1) | Maryland, Virginia, West Virginia, Delaware and Washington, D.C. |
(2) | New Jersey and Eastern Pennsylvania |
(3) | New York, Ohio, Western Pennsylvania, Indiana and Illinois |
(4) | North Carolina, South Carolina, Tennessee and Florida |
Investor Relations Contact: | |
Curt McKay | |
(703) 956-4058 | |
[email protected] |