Quarterly ResultJul 29, 2026, 04:32 PM
Meritage Homes Q2 Net Earnings $90.6M (-38%); Diluted EPS $1.37 (-33%)
AI Summary
Meritage Homes Corporation reported a significant decline in its second-quarter 2026 financial results, with net earnings falling 38% to $90.6 million and diluted EPS decreasing 33% to $1.37. Home closing revenue also dropped 14% to $1.4 billion, and home orders were down 9% year-over-year, attributed to macroeconomic uncertainty and volatile interest rates. Despite the challenging market, the company maintained strong liquidity with $807 million in cash and returned $131 million to shareholders through buybacks and dividends. Meritage Homes updated its full-year 2026 guidance, expecting home closing volume and revenue to be approximately 5% below 2025 levels.
Key Highlights
- Q2 Net Earnings were $90.6 million, a 38% decrease from $146.9 million in Q2 2025.
- Q2 Diluted EPS was $1.37, a 33% decrease from $2.04 in Q2 2025.
- Q2 Home Closing Revenue totaled $1.4 billion, down 14% year-over-year.
- Q2 Home Orders were 3,575 units, a 9% decrease year-over-year.
- Q2 Home Closing Gross Margin was 18.3%, down 280 basis points from 21.1% in Q2 2025.
- The company returned $131 million to shareholders in Q2 via share repurchases and dividends.
- Full-year 2026 guidance for home closing volume and revenue is updated to be around 5% below 2025 results.
- Cash and cash equivalents stood at $807 million with a net debt-to-capital ratio of 17.1%.
Price Impact
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