NYSE$DFH

Dream Finders Homes Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Dream Finders Homes reported strong Q1 2022 results with significant revenue growth and margin improvement.

Dream Finders Homes announced record first quarter net earnings of $43.7 million, or $0.42 per diluted share, representing a 133% increase compared to the year-ago quarter. Homebuilding revenues increased by 93.6% to $662.5 million, and gross margins improved by 380 basis points to 18.7%. The company's backlog of sold homes reached a record 7,413 homes, valued at $3.4 billion.

  • Homebuilding revenues increased by 93.6% to $662.5 million.
  • Gross margin improved by 380 basis points to 18.7%.
  • Net income was $43.7 million, or $0.42 per diluted share.
  • Backlog of sold homes increased to 7,413 homes, valued at $3.4 billion.

Headline financials

Total Revenue

$664M

Previous: $344M+93.3%
EPS (adj)

$0.42

Previous: $0.20+110.0%
Net New Orders

2.4K

Previous: 2.0K+19.5%
Average Sales Price

$470K

Previous: $336K+40.0%
Cancellation Rate

13.4%

Previous: 8.1%+65.4%
Ending Backlog Homes

7.4K

Previous: 3.6K+105.2%
Ending Backlog Value

$3.4B

Previous: $1.36B+150.7%
Active Communities

206

Previous: 120+71.7%
Capital Expenditures

-$950K

Previous: -$710K-33.8%
Free Cash Flow

$42.8M

Previous: $15.4M+177.5%
Net Income

$43.7M

Previous: $16.1M+171.2%
Operating Income

$61.6M

Previous: $20.6M+199.1%
Gross Profit

$125M

Previous: $52.5M+138.4%
Cash & Equivalents

$100M

Previous: $42.3M+136.7%
Total Assets

$1.99B

Previous: $867M+129.9%
Stock-Based Comp

$1.36M

Previous: $1.11M+23.1%

Revenue & EPS history

Dream Finders Homes · Revenue · Quarterly

$664M

Q1 2022+93.3%vs Q1 2021
Beat estimate in 6 of 12 quarters(50%)
ActualEstimate

Revenue by segment

Dream Finders Homes · $662M total across 1 segment · Q1 2022

  • Homebuilding
    $662M+572.5%

Forward guidance

Dream Finders Homes maintains its guidance of a minimum of 7,000 home closings for the full year 2022.

Tailwinds

  • Company maintains guidance of a minimum of 7,000 home closings for the full year 2022.
  • Backlog of homes sold is the best indicator for future growth.
  • Company is well-positioned for another strong year of growth.
  • Company has a strategy that allows it to be nimble.
  • Company continues to experience strong demand for its product.

Headwinds

  • COVID-19 governmental restrictions on land development could negatively impact the Company’s ability to achieve home closings.
  • COVID-19 governmental restrictions on home construction could negatively impact the Company’s ability to achieve home closings.
  • COVID-19 governmental restrictions on home sales could negatively impact the Company’s ability to achieve home closings.
  • Additional supply chain challenges could negatively impact the Company’s ability to achieve home closings.
  • Approximately 20.0% of the homes in backlog expected to be delivered in 2023 and beyond.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.5%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+0.2%

Avg return

30 days after

43%

9 / 21 earnings

Positive

+25.2%

Q2 2023

Best reaction

-12.4%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.2%+0.4%+9.2%
Q4 2025-2.0%-11.8%-29.7%
Q3 2025-8.5%-11.8%-8.5%
Q1 2025-3.6%+0.6%-1.1%
Q4 2024+17.9%+13.9%+12.7%
Q3 2024-1.3%+4.0%+6.8%
Q2 2024-10.5%-13.2%+6.0%
Q1 2024-12.4%-13.7%-20.3%
Q4 2023+11.6%+9.3%+26.6%
Q3 2023+11.7%+13.3%+26.1%
Q2 2023+25.2%+25.6%+23.2%
Q1 2023+2.3%+5.6%+21.4%
Q4 2022-0.3%-0.8%+6.1%
Q3 2022+3.5%-0.6%-7.4%
Q2 2022-2.5%-3.5%-5.4%
Q1 2022-6.4%+1.6%-10.1%
Q4 2021+5.1%-6.3%-21.3%
Q3 2021+2.5%+9.7%+16.2%
Q2 2021-8.7%-13.8%-16.6%
Q1 2021-8.8%-7.7%-15.7%
Q4 2020-7.2%-17.7%-14.1%
Q3 2020
Q2 2020
Q1 2020
Q4 2019

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