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LGI Homes (LGIH) investor relations material
LGI Homes Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 2025 home closings totaled 1,107 units with revenue of $396.6 million and gross margin of 21.5%, meeting guidance despite a 39.2% year-over-year revenue decline.
Net orders increased 8–8.1% year-over-year and 43.9–44% sequentially, with backlog up 19.9–20% year-over-year and 61.5–62% sequentially.
Net income for Q3 was $19.7 million, or $0.85 per share, down 71.7% year-over-year.
The company focused on affordability, disciplined pricing, and selective incentives to support entry-level buyers amid a challenging macroeconomic environment.
Positioned for a strong year-end finish, supported by favorable demographic trends and a persistent shortage of entry-level homes.
Financial highlights
Q3 2025 revenue was $396.6 million, with 1,065–1,107 closings and an average selling price of $372,424.
Gross margin was 21.5% (down from 25.1% prior year); adjusted gross margin was 24.5% (down from 27.2%).
EBITDA margin for Q3 was 9.8% (down from 16.2%); net income was $19.7 million.
SG&A expenses were $63.6 million (16% of revenue), with selling at 9% and G&A at 7.1%.
Book value per share at $90.10; total liquidity at $429.9 million (cash $62 million, revolver $367.9 million).
Outlook and guidance
Q4 2025 closings expected between 1,300–1,500 homes, a 26% increase at midpoint over Q3.
Q4 average sales price expected between $365,000–$375,000; gross margin 21–22%, adjusted gross margin 24–25%.
SG&A expected at 15–16% of revenue; tax rate at 26%.
Year-end 2025 community count expected at 145; 2026 community count to grow 10–15%.
Management believes liquidity and borrowing capacity are sufficient to fund operations and growth for at least the next twelve months.
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