Meritage (MTH)
NYSE:MTH
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Earnings Data
Report Date
Jul 29, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
1.31Last Year’s EPS
2.04Same Quarter Last Year
Moderate Buy
Based on 9 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presents a balanced picture: Meritage reported operational and financial headwinds in Q1 including top-line, margin and EPS declines driven by lower volume, increased incentives and lingering elevated land basis. Offsetting these weaknesses are several strategic and financial strengths — record community count, very strong backlog conversion, meaningful cost savings, substantial liquidity, disciplined land controls and an aggressive capital return program. Management is cautiously optimistic, scaling community expansion while prioritizing balance sheet strength and margin discipline. Near-term performance is pressured, but the company outlined a clear pathway (store count growth, lower finished-spec supply, direct cost improvements and automation) to recover margins and volume over time.Company Guidance
Record Community Count and Expansion
Ended Q1 with 345 active communities, a company record, up 19% year-over-year (from 290) and up 3% sequentially; added 40 new communities in the quarter and reiterated full-year community count growth target of 5%–10%.
Strong Backlog Conversion and Deliveries
Achieved an exceptional backlog conversion rate of 254% with nearly 70% of Q1 closings sold during the quarter; delivered 2,967 homes in Q1.
Healthy Balance Sheet and Liquidity
Cash of $767 million, no draws on credit facility, net debt-to-cap of 17.4% (ceiling in mid-20% range), and land spend disciplined (down 30% YoY to $326 million in Q1).
Aggressive Capital Return to Shareholders
Returned $162 million in Q1 via buybacks and dividends (buybacks $130M repurchasing ~1.8M shares, ~2.7% of outstanding shares, at ~6% discount to book value) and increased quarterly dividend ~12% year-over-year (CFO noted $0.48/share in 2026). $384 million remained available under repurchase program and company plans to deploy ~$100M per remaining quarter.
Inventory and Spec Optimization
Total spec and backlog units at ~6,600 as of March 31, 2026 (down ~25% YoY from ~8,800); completed spec homes ~4,700 (down ~30% YoY) and specs-per-store reduced to 14 (lowest since early 2022), targeting lower finished-spec ratios and fewer carry costs.
Operational Cost Improvements
Realized direct cost savings of nearly 5% per square foot year-over-year through vendor negotiations and improved cycle times; maintained sub-110 calendar day instruction schedule for fourth consecutive quarter enabling faster turns.
Orderly Land / Lot Positioning
Owned or controlled ~75,500 lots (~5.2 years of supply based on last 12 months closings) with ~14,600 lots in diligence; shifting cautiously to off-balance-sheet structures (about 38% of land under control off-book, ~10% with traditional land bankers).
Updated Guidance and Near-Term Outlook
Updated 2026 guidance: full-year closings and revenue expected at or within 5% of 2025; Q2 guidance calls for 3,650–3,900 closings, $1.37B–$1.47B home closing revenue, ~18% closing gross margin, and diluted EPS $1.18–$1.46, reflecting improved expected Q2 volume and margins vs Q1.
MTH Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
MTH Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 22, 2026 | $68.71 | $69.90 | +1.73% |
Jan 28, 2026 | $68.66 | $69.44 | +1.13% |
Oct 28, 2025 | $70.07 | $66.17 | -5.57% |
Jul 23, 2025 | $73.35 | $69.69 | -4.99% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Meritage (MTH) report earnings?
Meritage (MTH) is schdueled to report earning on Jul 29, 2026, After Close (Confirmed).
What is Meritage (MTH) earnings time?
Meritage (MTH) earnings time is at Jul 29, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is MTH EPS forecast?
MTH EPS forecast for the fiscal quarter 2026 (Q2) is 1.31.