Quarterly ResultJul 29, 2026, 04:37 PM
Meritage Homes Q2 EPS $1.37; Revenue $1.4B
AI Summary
Meritage Homes reported a decline in its second-quarter 2026 results, with diluted EPS falling 33% to $1.37 and home closing revenue decreasing 14% to $1.4 billion. The company attributed the softer performance to macroeconomic uncertainty and volatile interest rates. Despite the downturn, Meritage Homes returned $131 million to shareholders through share repurchases and dividends and maintained a strong balance sheet with $807 million in cash and a net debt-to-capital ratio of 17.1%. The company also updated its full-year 2026 guidance, expecting home closing volume and revenue to be around 5% below 2025 results.
Key Highlights
- Diluted EPS decreased 33% to $1.37 in Q2 2026.
- Home closing revenue fell 14% to $1.4 billion in Q2 2026.
- Net earnings declined 38% to $90.6 million for the quarter.
- Home orders decreased 9% to 3,575 units, with average sales price down 3%.
- Home closing gross margin was 18.3%, a 280 bps decrease year-over-year.
- Repurchased $100 million in shares and paid $31 million in dividends in Q2.
- Ended Q2 2026 with $807 million in cash and a net debt-to-capital ratio of 17.1%.
- Updated full-year 2026 guidance for home closing volume and revenue to be around 5% below 2025.
Price Impact
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