| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 273.03 | 32.3% | 21.9% |
| Total Income | 273.03 | 32.3% | 21.9% |
| Expenditure | 272.68 | 32.6% | 23.5% |
| PBT | 1.87 | 56.7% | 89.1% |
| Net Profit | 0.25 | 56.1% | 89.5% |
| OPM | — | ||
| NPM | 0.09% | 0.18pp | 0.97pp |
| EPS | 0.03 | 50.0% | 88.5% |
Smith Douglas Homes Reports Q2 2026 Results
06 Aug 2026 · 6 Aug, 4:42 pm
Summary
Smith Douglas Homes announced its second quarter 2026 results, reporting a 22% year-over-year increase in home closing revenue to $273.0 million, driven by a 25% rise in home closings to 839 units. Net new home orders also saw significant growth, up 32% to 970 units, contributing to a 17% increase in backlog homes. Despite a challenging market with affordability concerns, the company's pretax income was $1.9 million, impacted by $7.6 million in impairment charges, compared to $17.2 million in the prior year, with diluted earnings per share at $0.03. Management expressed confidence in the company's operating model and its ability to navigate market uncertainties while focusing on long-term growth and shareholder value.
Key Highlights
- 1
Smith Douglas Homes reported a 22% increase in home closing revenue to $273.0 million for the second quarter of 2026 compared to the prior year.
- 2
The company saw a 25% increase in home closings, reaching 839 units in Q2 2026.
- 3
Net new home orders grew by 32% to 970 units in the second quarter of 2026.
- 4
Backlog homes increased by 17% to 1,000 units, with a contract value of $322.1 million.
- 5
Pretax income for Q2 2026 was $1.9 million, which included $7.6 million in real estate inventory impairment and lot option contract abandonment charges, compared to $17.2 million in the prior year.
- 6
Earnings per diluted share were $0.03 for Q2 2026, down from $0.26 in Q2 2025.
- 7
The active community count increased by 20% to 110 at the end of the quarter.
Management Comments
Greg Bennett
We delivered another quarter of solid operational execution, generating strong year-over-year growth in both net new home orders and home closings despite a market that remains uncertain and constantly evolving. Our teams continued to help buyers find the right combination of affordability, personalization, and value, while maintaining our disciplined operations and industry-leading build times. We believe this performance reflects the strength of our operating model and positions us well for continued long-term growth. While the housing market continues to face affordability challenges and macroeconomic uncertainty, we remain encouraged by underlying demand and the resilience of today's homebuyer.
Russ Devendorf
Our second quarter results demonstrate that we can continue growing while remaining disciplined in how we operate the business. We expanded our community count, increased sales, and continued to execute our land-light land strategy without compromising our underwriting standards. As we scale across the Southeastern and Southern United States, we remain focused on generating attractive returns, preserving balance sheet flexibility, and creating long-term value for our shareholders.
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