United Homes Group, Inc ( (UHG) ) has released its Q1 earnings. Here is a breakdown of the information United Homes Group, Inc presented to its investors.
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United Homes Group, Inc. is a publicly traded residential builder headquartered near Columbia, SC, focusing on the design, construction, and sale of single-family homes in southeastern U.S. markets. The company employs a land-light operating strategy, emphasizing high-growth areas with favorable migration and employment trends.
In its first-quarter 2025 earnings report, United Homes Group, Inc. announced a decrease in home closings and net new orders compared to the previous year, with revenue dropping by 14% to $87 million. Despite these declines, the company saw improvements in gross margins and average sale prices, indicating a strategic shift towards higher-margin home designs.
Key financial metrics for the quarter included a net income of $18.2 million, or $0.31 per diluted share, and an adjusted EBITDA of $2.9 million. The company reported a gross profit percentage of 16.2%, slightly up from the previous year, and highlighted a successful cost reduction initiative expected to yield further savings in the latter half of 2025.
Looking ahead, United Homes Group remains focused on enhancing its gross margins by continuing to offer pre-sales and refreshed home designs. The company anticipates significant cost savings from its direct cost reduction initiative, which is expected to positively impact earnings in the second half of the year.