News
M.D.C. Holdings, Inc.
Both fourth quarter and full year 2009 net income reflected the impact of a $142.6 million benefit from income taxes that was recognized due to recently enacted tax legislation that allowed the Company to extend the carryback period of its 2009 net operating losses from two to five years.
Larry A. Mizel, MDC's chairman and chief executive officer, stated, "Although the homebuilding industry continued to face significant obstacles to recovery in the fourth quarter of 2009, we increased our home orders year-over-year for the third consecutive quarter. As a result, we ended 2009 with 826 homes in backlog, a 55% increase from a year ago."
Mizel continued, "Throughout 2009, we put considerable effort into activities designed to help us achieve profitability in the future. In the fourth quarter, our offering of more affordable homes that we introduced earlier in the year accounted for more than 30% of our new home orders. Furthermore, we enhanced the mix of the product we have available for sale by decreasing our exposure to finished speculative homes by more than 90% in 2009 and by strategically increasing our supply of homes available for personalization by 35% during the same period."
"Generally, we now stop construction on unsold units at the drywall stage. Once construction is restarted, these homes typically can close within 45 days, in direct competition with finished homes on the market. By holding the units at drywall, we offer our buyers the opportunity to personalize their homes at one of our Home Galleries. We believe that this policy will continue to benefit us going forward as we attempt to increase our market share in a highly competitive homebuilding environment in 2010."
Mizel concluded, "During the fourth quarter, we increased our lot supply for the first time in 17 quarters as we secured control of more than 2,700 lots in 52 new communities. After investing a total of $100 million in land acquisitions across our markets during the quarter, we ended the year with $1.56 billion in cash and investments, up 10% from the end of 2008. Shortly after the end of the year, we issued $250 million of 10-year senior notes at a low interest rate, and we expect to receive a $143 million tax refund before the end of the 2010 first quarter. Given these enhancements to our liquidity, we are well-positioned to continue making investments in 2010 as we build our land pipeline to support future home closings."
Net income for the 2009 fourth quarter included a pre-tax charge of $14.0 million for asset impairments, while the net loss for the 2008 fourth quarter included a pre-tax charge of $59.7 million for asset impairments and an increase in our deferred tax valuation allowance of $19.2 million. For the year ended December 31, 2009, net income included a pre-tax charge of $31.0 million for asset impairments, while net income for the year ended December 31, 2008 included a pre-tax charge of $298.2 million for asset impairments and an increase in our deferred tax valuation allowance of $134.3 million.
Total revenue for the fourth quarter of 2009 was $323.9 million, compared with revenue of $296.2 million for the same period in 2008. For 2009, total revenue was $898.3 million, compared with revenue of $1.46 billion in 2008.
Homebuilding Highlights
Net orders for the fourth quarter ended December 31, 2009 totaled 637 homes with an estimated sales value of $183.0 million, compared with net orders for 350 homes with an estimated sales value of $100.0 million during the same period in 2008. The improvement was driven by significant increases across all of our homebuilding segments. During the fourth quarter of 2009, the Company's cancellation rate dropped to 30% compared with 52% during the same period in 2008, primarily due to a decrease in homebuyer mortgage-related issues and a decline in the number of prospective homebuyers with a contingency to sell an existing home. Net orders for the year ended December 31, 2009 totaled 3,306 homes with an estimated sales value of $935.0 million, compared with net orders for 3,074 homes with an estimated sales value of $885.0 million during 2008. We ended 2009 with 826 homes under contract with an estimated sales value of $265.0 million, compared with a backlog of 533 homes with an estimated sales value of $173.0 million at December 31, 2008.
Homebuilding revenue for the 2009 fourth quarter increased to $320.0 million, compared with $291.3 million in the fourth quarter of 2008. The increase in revenue was partly the result of a $14.2 million year-over-year increase in home sales revenue, driven by a 17% increase in home closings and partially offset by an 11% year-over-year decrease in average selling price. In addition, land sales revenue for the 2009 fourth quarter increased by $13.4 million year-over-year due to a significant increase in the number of lots sold as well as an increase in the average price of the lots sold. Homebuilding revenue for the year ended December 31, 2009 was $885.0 million, compared with $1.44 billion for the same period in 2008.
Home gross margin during the fourth quarter of 2009 increased to 18.8% from 12.9% in the fourth quarter of 2008, despite the reduction in average selling price, primarily due to a reduction in construction costs and interest in cost of sales, relative to the average selling price of homes closed. For the full year, home gross margin rose from 12.8% in 2008 to 17.9% in 2009.
Homebuilding SG&A decreased to $40.9 million for the quarter ended December 31, 2009, compared with $43.3 million for the same period in the prior year. The decrease in SG&A resulted from various cost saving initiatives associated with right-sizing our operations, including a 23% reduction in homebuilding headcount over the past year. Also contributing to this decrease was a reduction in marketing expenses, primarily due to a significant reduction in sales office and model home expenses. For the full year, homebuilding SG&A declined to $133.7 million in 2009, compared with $221.1 million in 2008.
Financial Services and Other Highlights
Income before taxes from the Company's Financial Services and Other segment for the quarter ended December 31, 2009 was $6.1 million compared with income of $3.6 million for the same period in 2008. The increase was largely the result of a decrease in general and administrative expense for the segment, primarily due to a $3.3 million decrease in the amount booked for insurance reserves. For the full year, income before taxes for the Financial Services and Other segment fell to $6.0 million in 2009 from $11.7 million in 2008.
Corporate Highlights
Loss before taxes from the Company's corporate segment for the quarter ended December 31, 2009 was $26.3 million, compared with a loss of $22.1 million for the same period in 2008. The higher loss primarily resulted from a $4.8 million decrease in interest income, as lower interest rates offset a higher average cash and investments balance for the quarter. Additionally, corporate interest expense increased by $1.8 million. The changes in interest income and interest expense were partially offset by a $1.7 million decrease in finance costs associated with the reduction of the commitment amount under our homebuilding line of credit. The Corporate segment loss before taxes for the year ended December 31, 2009 was $102.3 million, compared with a loss of $55.1 million for the year ended December 31, 2008.
About MDC
Since 1972, MDC's subsidiary companies have built and financed the American dream for more than 160,000 families. MDC's commitment to customer satisfaction, quality and value is reflected in each home its subsidiaries build. MDC is one of the largest homebuilders in the United States. Its subsidiaries have homebuilding divisions across the country, including Denver, Colorado Springs, Salt Lake City, Las Vegas, Phoenix, Tucson, California, Northern Virginia, Maryland, Philadelphia/Delaware Valley and Jacksonville. The Company's subsidiaries also provide mortgage financing, insurance and title services, primarily for Richmond American homebuyers, through HomeAmerican Mortgage Corporation, American Home Insurance Agency, Inc. and American Home Title and Escrow Company, respectively. M.D.C. Holdings, Inc. is traded on the New York Stock Exchange under the symbol "MDC." For more information, visit www.mdcholdings.com.
Forward-Looking Statements
Certain statements in this release, including statements regarding our business, financial condition, results of operation, cash flows, strategies and prospects, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among other things, (1) general economic conditions, including changes in consumer confidence, inflation or deflation and employment levels; (2) changes in business conditions experienced by the Company, including cancellation rates, net home orders, home gross margins, and land and home values; (3) changes in interest rates, mortgage lending programs and the availability of credit; (4) the relative stability of debt and equity markets; (5) competition; (6) the availability and cost of land and other raw materials used by the Company in its homebuilding operations; (7) the availability and cost of performance bonds and insurance covering risks associated with our business; (8) shortages and the cost of labor; (9) weather related slowdowns; (10) slow growth initiatives; (11) building moratoria; (12) governmental regulation, including the interpretation of tax, labor and environmental laws; (13) changes in consumer confidence and preferences; (14) terrorist acts and other acts of war; and (15) other factors over which the Company has little or no control. Additional information about the risks and uncertainties applicable to the Company's business is contained in the Company's Form 10-K for the fiscal year ending December 31, 2009, which is scheduled to be filed with the Securities and Exchange Commission today. 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 in this press release will increase with the passage of time. The Company undertakes no duty to update publicly 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.
M.D.C. HOLDINGS, INC.
Consolidated Statements of Operations
(In thousands, except per share amounts)
(Unaudited)
Three Months Year Ended
December 31, December 31,
-------------- ---------------
2009 2008 2009 2008
---- ---- ---- ----
REVENUE
Home sales revenue $297,702 $283,519 $837,054 $1,358,148
Land sales revenue 16,744 3,351 30,730 60,050
Other revenue 9,433 9,338 30,519 39,910
----- ----- ------ ------
Total Revenue 323,879 296,208 898,303 1,458,108
------- ------- ------- ---------
COSTS AND EXPENSES
Home cost of sales 241,815 246,918 686,854 1,184,865
Land cost of sales 12,764 4,288 25,038 53,847
Asset impairments 13,977 59,657 30,986 298,155
Marketing expenses 9,978 13,532 36,371 71,882
Commission expenses 10,883 9,906 31,002 50,295
General and administrative
expenses 40,504 46,454 162,485 191,574
Other operating expenses 1,492 1,960 5,643 7,115
Related party expenses 1,004 5 1,018 18
----- -- ----- --
Total Operating Costs
and Expenses 332,417 382,720 979,397 1,857,751
------- ------- ------- ---------
LOSS FROM OPERATIONS (8,538) (86,512) (81,094) (399,643)
------ ------- ------- --------
Other income (expense)
Interest income 2,394 7,450 12,157 35,788
Interest expense (9,244) (7,333) (38,582) (18,318)
Gain on sale of other assets 7 - 184 38
-- -- --- --
LOSS BEFORE TAXES (15,381) (86,395) (107,335) (382,135)
Benefit from (provision for)
Income taxes, net 142,543 (2,633) 132,014 1,590
------- ------ ------- -----
NET INCOME (LOSS) $127,162 $(89,028) $24,679 $(380,545)
======== ======== ======= =========
EARNINGS (LOSS) PER SHARE
Basic $2.71 $(1.92) $0.52 $(8.25)
===== ====== ===== ======
Diluted $2.68 $(1.92) $0.52 $(8.25)
===== ====== ===== ======
DIVIDENDS DECLARED PER SHARE $0.25 $0.25 $1.00 $1.00
===== ===== ===== =====
M.D.C. HOLDINGS, INC.
Consolidated Balance Sheets
(Dollars in thousands, except per share amounts)
(Unaudited)
December 31,
----------------
2009 2008
---- ----
ASSETS
Cash and cash equivalents $1,234,252 $1,304,728
Marketable Securities 327,944 54,864
Unsettled trades 1,645 57,687
Restricted cash 476 670
Receivables
Home sales receivables 10,056 17,104
Income taxes receivable 145,144 170,753
Other receivables 5,844 16,697
Mortgage loans held-for-sale, net 62,315 68,604
Inventories, net
Housing completed or under construction 260,324 415,500
Land and land under development 262,860 241,571
Property and equipment, net 38,421 38,343
Deferred tax asset, net of valuation allowance - -
Related party assets 7,856 8,878
Prepaid expenses and other assets, net 72,171 79,539
------ ------
Total Assets $2,429,308 $2,474,938
========== ==========
LIABILITIES
Accounts payable $36,087 $28,793
Accrued liabilities 291,969 332,825
Related party liabilities 1,000 -
Mortgage repurchase facility 29,115 34,873
Senior notes, net 997,991 997,527
------- -------
Total Liabilities $1,356,162 $1,394,018
---------- ----------
COMMITMENTS AND CONTINGENCIES - -
--- ---
STOCKHOLDERS' EQUITY
Preferred stock, $0.01 par value; 25,000,000
shares authorized; none issued or outstanding - -
Common stock, $0.01 par value; 250,000,000
shares authorized; 47,070,000 and 47,017,000
issued and outstanding, respectively, at
December 31, 2009 and 46,715,000 and
46,666,000 issued and outstanding,
respectively, at December 31, 2008 471 467
Additional paid-in-capital 802,675 788,207
Retained earnings 270,659 292,905
Accumulated other comprehensive loss - -
Treasury stock, at cost; 53,000 and 49,000
shares at December 31, 2009 and December
31, 2008, respectively (659) (659)
---- ----
Total Stockholders' Equity 1,073,146 1,080,920
--------- ---------
Total Liabilities and Stockholders'
Equity $2,429,308 $2,474,938
========== ==========
M.D.C. HOLDINGS, INC.
Information on Segments
(Dollars in thousands)
(Unaudited)
Three Months Ended Year Ended
December 31, December 31,
---------------- -----------------
2009 2008 2009 2008
---- ---- ---- ----
REVENUE
Homebuilding
West $156,638 $146,385 $407,157 $785,451
Mountain 83,617 67,989 247,337 298,441
East 63,382 52,449 176,386 245,245
Other Homebuilding 16,377 24,513 54,086 109,431
------ ------ ------ -------
Total Homebuilding 320,014 291,336 884,966 1,438,568
Financial Services and
Other 9,171 8,340 28,318 33,681
Corporate (40) 93 10 643
Inter-company adjustments (5,266) (3,562) (14,991) (14,784)
------ ------ ------- -------
Consolidated $323,879 $296,207 $898,303 $1,458,108
======== ======== ======== ==========
(LOSS) INCOME BEFORE
INCOME TAXES
Homebuilding
West $13,335 $(14,380) $19,144 $(157,103)
Mountain (6,886) (31,531) (15,686) (112,251)
East (1,085) (18,073) (9,789) (50,596)
Other Homebuilding (459) (3,875) (4,691) (18,725)
---- ------ ------ -------
Total Homebuilding 4,905 (67,859) (11,022) (338,675)
Financial Services and
Other 6,061 3,559 5,953 11,678
Corporate (26,347) (22,095) (102,266) (55,138)
------- ------- -------- -------
Consolidated $(15,381) $(86,395) $(107,335) $(382,135)
======== ======== ========= =========
INVENTORY IMPAIRMENTS
West $2,162 $16,048 $14,955 $151,969
Mountain 10,114 24,021 10,559 83,270
East - 13,176 2,475 36,843
Other Homebuilding 234 3,783 1,147 14,654
--- ----- ----- ------
Consolidated $12,510 $57,028 $29,136 $286,736
======= ======= ======= ========
December 31,
----------------
2009 2008
---- ----
TOTAL ASSETS
Homebuilding
West $190,204 $255,652
Mountain 237,702 279,343
East 112,964 151,367
Other Homebuilding 26,778 38,179
------ ------
Total Homebuilding 567,648 724,541
Financial Services and
Other 133,957 139,569
Corporate 1,773,660 1,656,785
Inter-company
adjustments (45,957) (45,957)
------- -------
Consolidated $2,429,308 $2,474,938
========== ==========
M.D.C. HOLDINGS, INC.
Selected Financial Data
(Dollars in thousands)
(Unaudited)
Three Months
Ended
December 31, Change
--------------- --------------
2009 2008 Amount %
---- ---- ------ ---
SELECTED FINANCIAL DATA
General and Administrative
Expenses
Homebuilding $20,020 $19,852 $168 1%
Financial Services and Other 3,561 5,591 (2,030) -36%
Corporate (1) 17,927 21,016 (3,089) -15%
------ ------ ------
Total $41,508 $46,459 $(4,951) -11%
======= ======= =======
SG&A as a % of Home Sales
Revenue
Homebuilding Segments 13.7% 15.3% -1.6%
Corporate Segment (1) 6.0% 7.4% -1.4%
Depreciation and
Amortization (2) $4,329 $5,850 $(1,521) -26%
Home Gross Margins (3) 18.8% 12.9% 5.9%
Interest in Home Cost of
Sales as a % of Home Sales
Revenue 2.3% 4.1% -1.8%
Cash Provided by (Used in)
Operating Activities $(42,052) $51,162 $(93,214) -182%
Investing Activities $(178,054) $96,876 $(274,930) -284%
Financing Activities $5,483 $(4,178) $9,661 231%
Corporate and Homebuilding
Interest
Interest capitalized, net
of interest expense $5,456 $7,186 $(1,730) -24%
Previously capitalized
interest included
in home cost of sales $(6,874) $(11,681) $4,807 -41%
Interest capitalized in
homebuilding inventory,
end of year $28,339 $39,239 $(10,900) -28%
Year Ended
December 31, Change
--------------- -------------
2009 2008 Amount %
---- ---- ------ ---
SELECTED FINANCIAL DATA
General and Administrative
Expenses
Homebuilding $66,284 $98,911 $(32,627) -33%
Financial Services and Other 24,207 25,790 (1,583) -6%
Corporate (1) 73,012 66,891 6,121 9%
------ ------ -----
Total $163,503 $191,592 $(28,089) -15%
======== ======== ========
SG&A as a % of Home Sales
Revenue
Homebuilding Segments 16.0% 16.3% -0.3%
Corporate Segment (1) 8.7% 4.9% 3.8%
Depreciation and
Amortization (2) $14,457 $32,710 $(18,253) -56%
Home Gross Margins (3) 17.9% 12.8% 5.1%
Interest in Home Cost of
Sales as a % of Home Sales
Revenue 3.7% 4.0% -0.3%
Cash Provided by (Used in)
Operating Activities $202,454 $479,511 $(277,057) -58%
Investing Activities $(224,992) $(113,439) $(111,553) -98%
Financing Activities $(47,938) $(66,107) $18,169 27%
Corporate and Homebuilding
Interest
Interest capitalized, net
of interest expense $19,810 $39,852 $(20,042) -50%
Previously capitalized
interest included
in home cost of sales $(30,710) $(54,100) $23,390 -43%
Interest capitalized in
homebuilding inventory, end
of year $28,339 $39,239 $(10,900) -28%
(1) Includes related party expenses.
(2) Includes depreciation and amortization of long-lived assets and
amortization of deferred marketing costs.
(3) Home sales revenue less home cost of sales (excluding commissions,
amortization of deferred marketing, project cost write offs and asset
impairments) as a percent of home sales revenue. During the three
months ended December 31, 2009 and December 31, 2008, we closed homes
on lots for which we had previously recorded $74.9 million and $67.4
million, respectively, of asset impairments. During the twelve months
ended December 31, 2009 and December 31, 2008, we closed homes on lots
for which we had previously recorded $211.3 million and $249.5
million, respectively, of asset impairments.
M.D.C. HOLDINGS, INC.
Selected Financial Data
(Dollars in thousands)
(Unaudited)
Three Months
Ended
December 31, Change
-------------- --------------
2009 2008 Amount %
---- ---- ------ ---
HOMEAMERICAN OPERATING
ACTIVITIES
Principal amount of
mortgage loans originated $226,483 $172,745 $53,738 31%
Principal amount of
mortgage loans brokered $8,021 $29,751 $(21,730) -73%
Capture Rate 86% 71% 15%
Including brokered loans 88% 81% 7%
Mortgage products (% of mortgage
loans originated)
Fixed rate 99% 100% -1%
Adjustable rate - interest only 0% 0% 0%
Adjustable rate - other 1% 0% 1%
Prime loans (4) 24% 40% -16%
Government loans (5) 76% 60% 16%
Year Ended
December 31, Change
-------------- --------------
2009 2008 Amount %
---- ---- ------ ---
HOMEAMERICAN OPERATING
ACTIVITIES
Principal amount of
mortgage loans originated $633,171 $749,310 $(116,139) -15%
Principal amount of mortgage
loans brokered $33,152 $170,898 $(137,746) -81%
Capture Rate 85% 66% 19%
Including brokered loans 89% 79% 10%
Mortgage products (% of mortgage
loans originated)
Fixed rate 99% 97% 2%
Adjustable rate - interest only 0% 1% -1%
Adjustable rate - other 1% 2% -1%
Prime loans (4) 29% 48% -19%
Government loans (5) 71% 52% 19%
(4) Prime loans generally are defined as loans with Fair, Isaac and
Company ("FICO") scores greater than 620 and that comply with the
documentation standards of the government sponsored enterprise
guidelines.
(5) Government loans are loans either insured by the Federal Housing
Administration or guaranteed by the Department of Veteran Affairs.
M.D.C. HOLDINGS, INC.
Homebuilding Operational Data
(Dollars in thousands)
(Unaudited)
December 31, December 31,
HOMES COMPLETED OR UNDER CONSTRUCTION 2009 2008
---- ----
Unsold Home Under Construction - Final 41 451
Unsold Home Under Construction - Frame 389 329
Unsold Home Under Construction - Foundation 109 41
--- --
Total Unsold Homes Under Construction 539 821
Sold Homes Under Construction 570 409
Model Homes 212 387
--- ---
Homes Completed or Under Construction 1,321 1,617
===== =====
LOTS OWNED (excluding homes completed or under construction)
Arizona 1,075 1,458
California 581 839
Nevada 966 1,111
--- -----
West 2,622 3,408
----- -----
Colorado 2,514 2,597
Utah 545 642
--- ---
Mountain 3,059 3,239
----- -----
Delaware Valley 82 115
Maryland 100 176
Virginia 241 241
--- ---
East 423 532
--- ---
Florida 138 257
Illinois 141 141
--- ---
Other Homebuilding 279 398
--- ---
Total 6,383 7,577
===== =====
M.D.C. HOLDINGS, INC.
Homebuilding Operational Data
(Dollars in thousands)
(Unaudited)
December 31, December 31,
LOTS CONTROLLED UNDER OPTION 2009 2008
---- ----
Arizona 328 472
California 113 149
Nevada 222 95
--- --
West 663 716
--- ---
Colorado 537 184
Utah 117 -
--- ---
Mountain 654 184
--- ---
Delaware Valley - 40
Maryland 575 355
Virginia 192 592
--- ---
East 767 987
--- ---
Florida 500 471
Illinois - -
--- ---
Other Homebuilding 500 471
--- ---
Total 2,584 2,358
===== =====
Total Lots Owned and Controlled 8,967 9,935
===== =====
NON-REFUNDABLE OPTION DEPOSITS
Cash $7,654 $5,145
Letters of Credit 2,134 4,358
----- -----
Total Non-Refundable Option Deposits $9,788 $9,503
====== ======
M.D.C. HOLDINGS, INC.
Homebuilding Operational Data
(Dollars in thousands)
(Unaudited)
Three Months
Ended Year Ended
December 31, Change December 31, Change
----------- ----------- ----------- ----------
2009 2008 Amount % 2009 2008 Amount %
---- ---- ------ --- ---- ---- ------ ---
HOMES CLOSED
(UNITS)
Arizona 273 275 (2) -1% 778 1,313 (535) -41%
California 102 118 (16) -14% 293 590 (297) -50%
Nevada 227 152 75 49% 521 791 (270) -34%
--- --- -- --- --- ----
West 602 545 57 10% 1,592 2,694 (1,102) -41%
--- --- -- ----- ----- ------
Colorado 202 133 69 52% 565 576 (11) -2%
Utah 94 54 40 74% 230 268 (38) -14%
-- -- -- --- --- ---
Mountain 296 187 109 58% 795 844 (49) -6%
--- --- --- --- --- ---
Delaware Valley 18 16 2 13% 60 91 (31) -34%
Maryland 50 42 8 19% 140 192 (52) -27%
Virginia 70 58 12 21% 190 257 (67) -26%
-- -- -- --- --- ---
East 138 116 22 19% 390 540 (150) -28%
--- --- -- --- --- ----
Florida 73 82 (9) -11% 214 336 (122) -36%
Illinois - 14 (14) -100% 22 74 (52) -70%
-- -- --- -- -- ---
Other
Homebuilding 73 96 (23) -24% 236 410 (174) -42%
-- -- --- --- --- ----
Total 1,109 944 165 17% 3,013 4,488 (1,475) -33%
===== === === ===== ===== ======
AVERAGE SELLING
PRICES PER
CLOSED HOME
West
Arizona $193.5 $201.1 $(7.6) -4% $194.3 $216.2 $(21.9) -10%
California 430.9 455.3 (24.4) -5% 417.5 429.0 (11.5) -3%
Nevada 194.5 237.5 (43.0) -18% 201.2 244.6 (43.4) -18%
Mountain
Colorado 285.7 363.7 (78.0) -21% 316.5 352.1 (35.6) -10%
Utah 275.4 319.4 (44.0) -14% 287.1 333.0 (45.9) -14%
East
Delaware
Valley 411.6 392.9 18.7 5% 416.1 406.4 9.7 2%
Maryland 460.5 489.9 (29.4) -6% 425.0 466.0 (41.0) -9%
Virginia 469.3 436.3 33.0 8% 482.8 454.3 28.5 6%
Other
Homebuilding
Florida 207.8 232.7 (24.9) -11% 214.5 238.5 (24.0) -10%
Illinois N/A 348.0 N/A N/A 313.0 347.9 (34.9) -10%
Company
Average $268.4 $300.3 $(32.0) -11% $277.8 $302.6 $(24.8) -8%
M.D.C. HOLDINGS, INC.
Homebuilding Operational Data
(Dollars in thousands)
(Unaudited)
Three Months
Ended Year Ended
December 31, Change December 31, Change
------------- ----------- ------------- -----------
2009 2008 Amount % 2009 2008 Amount %
---- ---- ------ --- ---- ---- ------ ---
ORDERS FOR
HOMES, NET
(UNITS)
Arizona 124 87 37 43% 723 879 (156) -18%
California 58 42 16 38% 320 436 (116) -27%
Nevada 94 50 44 88% 556 537 19 4%
-- -- -- --- --- --
West 276 179 97 54% 1,599 1,852 (253) -14%
--- --- -- ----- ----- ----
Colorado 163 50 113 226% 700 435 265 61%
Utah 53 27 26 96% 282 132 150 114%
-- -- -- --- --- ---
Mountain 216 77 139 181% 982 567 415 73%
--- -- --- --- --- ---
Delaware
Valley 10 5 5 100% 56 61 (5) -8%
Maryland 41 12 29 242% 185 124 61 49%
Virginia 49 41 8 20% 227 193 34 18%
-- -- -- --- --- --
East 100 58 42 72% 468 378 90 24%
--- -- -- --- --- --
Florida 45 31 14 45% 238 246 (8) -3%
Illinois - 5 (5) -100% 19 31 (12) -39%
-- -- -- -- -- ---
Other
Homebuilding 45 36 9 25% 257 277 (20) -7%
-- -- -- --- --- ---
Total 637 350 287 82% 3,306 3,074 232 8%
=== === === ===== ===== ===
Estimated
Value of
Orders for
Homes, net $183,000 $100,000 83,000 83% $935,000 $885,000 50,000 6%
Estimated
Average
Selling
Price of
Orders for
Homes, net $287.3 $285.7 1.6 1% $282.8 $287.9 (5.1) -2%
Cancellation
Rate(6) 30% 52% -22% 24% 45% -21%
(6) We define "Cancellation Rate" as the approximate number of cancelled
home order contracts during a reporting period as a percent of total
home orders received during such reporting period.
M.D.C. HOLDINGS, INC.
Homebuilding Operational Data
(Dollars in thousands)
(Unaudited)
December 31, December 31,
2009 2008
---- ----
BACKLOG (UNITS)
Arizona 103 158
California 76 49
Nevada 88 53
-- --
West 267 260
--- ---
Colorado 207 72
Utah 94 42
-- --
Mountain 301 114
--- ---
Delaware Valley 23 27
Maryland 103 58
Virginia 73 36
-- --
East 199 121
--- ---
Florida 59 35
Illinois - 3
-- --
Other Homebuilding 59 38
-- --
Total 826 533
=== ===
Backlog Estimated Sales Value $265,000 $173,000
======== ========
Estimated Average Selling
Price of Homes in Backlog $320.8 $324.6
====== ======
ACTIVE SUBDIVISIONS
Arizona 28 44
California 3 18
Nevada 18 24
-- --
West 49 86
-- --
Colorado 42 49
Utah 16 22
-- --
Mountain 58 71
-- --
Delaware Valley 1 3
Maryland 8 11
Virginia 7 12
-- --
East 16 26
-- --
Florida 10 7
Illinois - 1
-- --
Other Homebuilding 10 8
-- -
Total 133 191
=== ===
First Call Analyst:
FCMN Contact: bnmartin@mdch.com
SOURCE: M.D.C. Holdings, Inc.
CONTACT: Robert N. Martin, Investor Relations of M.D.C. Holdings, Inc.,
+1-720-977-3431,
Web Site: http://www.mdcholdings.com/
