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M.D.C. Holdings Q4 Net Income Declines; Home Sale Revenues Up 4%

M.D.C. Holdings, Inc. (MDC) reported that its fourth quarter net income declined to $79.8 million, or $1.08 per share, from $162.7 million or $2.21 per share, prior year. On average, six analysts polled by Thomson Reuters expected the company to report profit per share of $1.52, for the quarter. Analysts' estimates typically exclude special items. Gross margin from home sales decreased 850 basis points to 15.0% from 23.5%.

Home sale revenues increased 4% to $1.49 billion from $1.44 billion, previous year. Unit deliveries were down 4% to 2,554. Analysts on average had estimated $1.33 billion in revenue.

For the first quarter, projected home deliveries are between 1,500 and 1,600. Projected gross margin from home sales are approximately 18% to 19%.

The company ended the year with a debt to capital ratio of 32.6% and total cash and cash equivalents and marketable securities of $1.28 billion.

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