Taylor Morrison Home — Jul 24, 2024 release

Second quarter 2024 highlights included the following, as compared to the second quarter of 2023:     •   Net sales orders increased 3% to 3,111, driven by a monthly absorption pace of 3.0 per community     •   Home closings revenue of $1.9 billion, driven by 3,200 home closings at an average price of $600,000     •   Home closings gross margin was 23.8%, or 23.9% on an adjusted basis     •   80,677 homebuilding lots owned and controlled, representing 6.7 years of total supply, of which 2.9 years was owned     •   Repurchased 1.7 million common shares for $105 million     •   Homebuilding debt to capitalization of 25.4% on a gross basis and 22.8% net of $247 million of unrestricted cash     •   Total liquidity of $1.3 billion “In the second quarter, our team delivered solid results, highlighted by both our closings volume and home closings gross margin exceeding our expectations. Following this strength, we now expect to deliver between 12,600 to 12,800 homes this year at a home closings gross margin around 24%. Most importantly, our performance and updated outlook once again reflect the overall strength and stability of our diversified consumer and geographic strategy. By meeting the needs of well-qualified homebuyers with appropriate product offerings in prime community locations, we continue to benefit from healthy demand and pricing resiliency across our portfolio,” said Sheryl Palmer, Taylor Morrison Chairman and CEO. Palmer continued, “Our balanced and diversified approach offers improved production efficiency, enhanced gross margin and return potential, which we expect will contribute to strong results that exceed our historic performance. Our confidence in this outlook is reflected in the long-term targets that we introduced last quarter. These include: 10%-plus annual home closings growth, an annualized low-three sales pace, low-to-mid 20% home closings gross margins and mid-to-high teens returns on equity. Supported by our capital-efficient investing model, we also expect to generate sufficient cash to continue to grow our business while maintaining our strong balance sheet position and returning capital to shareholders in the form of share repurchases.”