CALATLANTIC GROUP INC IRVINE, Calif., April 30, 2015 /PRNewswire/ -- Standard Pacific Corp. (NYSE: SPF) today announced results for the first quarter ended March 31, 2015.
2015 First Quarter Highlights and Comparisons to 2014 First Quarter
-- Net new orders of 1,571, up 20%; Dollar value of net new orders up 31%
-- Backlog of 2,310 homes, up 15%; Dollar value of backlog up 29%
-- 198 average active selling communities, up 14%
-- 972 new home deliveries, down 2%
-- Average selling price of $482 thousand, up 7%
-- Home sale revenues of $468.4 million, up 5%
-- Gross margin from home sales of 24.2%, compared to 26.6%
-- Operating margin from home sales of $47.5 million, or 10.1%, compared to
$60.1 million, or 13.4%
-- Net income of $31.6 million, or $0.08 per diluted share, vs. net income
of $38.2 million, or $0.09 per diluted share
-- $160.1 million of land purchases and development costs, compared to
$224.1 million
Scott Stowell, the Company's President and Chief Executive Officer commented, "I'm pleased with our first quarter results and the start to the spring selling season. With our orders up 20%, backlog value up 29% and the solid improvement we are seeing in our backlog gross margin, 2015 is setting up to be another year of solid growth and performance for the Company."
Orders. Net new orders for the 2015 first quarter were up 20% from the 2014 first quarter, to 1,571 homes, with the dollar value of these orders up 31%. The Company's monthly sales absorption rate was 2.6 per community for the 2015 first quarter, up 5% from the 2014 first quarter and up 49% compared to the 2014 fourth quarter. The increase in sales absorption rate from the 2014 fourth quarter to the 2015 first quarter was above the seasonality we typically experience in our business. The Company's cancellation rate for the 2015 first quarter was 11% compared to 14% for the 2014 first quarter and 21% for the 2014 fourth quarter.
Backlog. The dollar value of homes in backlog increased 29% to $1.3 billion, or 2,310 homes, compared to $1.0 billion, or 2,016 homes, for the 2014 first quarter, and increased 41% compared to $916.4 million, or 1,711 homes, for the 2014 fourth quarter. The increase in year-over-year backlog value was driven primarily by a 13% increase in the average selling price of the homes in backlog, reflecting the continued execution of our move-up homebuyer focused strategy and a favorable pricing environment in select markets.
Revenue. Revenues from home sales for the 2015 first quarter increased 5%, to $468.4 million, as compared to the prior year period, resulting primarily from a 7% increase in the Company's average home price to $482 thousand, partially offset by a 2% decrease in new home deliveries. The increase in average home price was primarily attributable to a shift to more move-up product and general price increases within a majority of the Company's markets. The decrease in new home deliveries compared to the prior year period was driven primarily by a 14% decrease in deliveries from the Company's California region, partially offset by an 11% increase from the Company's Southwest region.
Gross Margin. Gross margin percentage from home sales for the 2015 first quarter was 24.2%, down 100 basis points from last quarter, consistent with the Company's expectations. As previously disclosed, we anticipate our full year gross margin will be in the 24-25% range.
Land. During the 2015 first quarter, the Company spent $160.1 million on land purchases and development costs, compared to $224.1 million for the 2014 first quarter. The Company purchased $78.5 million of land, consisting of 971 homesites, of which 31% (based on homesites) is located in California, 28% in Texas, 21% in the Carolinas, 19% in Florida, and 1% in Colorado. As of March 31, 2015, the Company owned or controlled 35,183 homesites, of which 24,771 were owned and actively selling or under development, 5,999 were controlled or under option, and the remaining 4,413 homesites were held for future development or for sale. The homesites owned that are actively selling or under development represent a 5.0 year supply based on the Company's deliveries for the trailing twelve months ended March 31, 2015.
Liquidity. The Company ended the quarter with $516 million of available liquidity, including $81 million of unrestricted homebuilding cash and $435 million available to borrow under the revolving credit facility. The revolving credit facility has an accordion feature under which the aggregate commitment may be increased from $450 million to a maximum amount of $750 million, subject to the Company's future needs and the availability of additional bank capacity. The Company's homebuilding debt to book capitalization as of March 31, 2015 and 2014 was 56.0% and 54.9%, respectively, and adjusted net homebuilding debt to adjusted book capitalization was 54.6%* and 51.7%*, respectively. In addition, the Company's homebuilding debt to adjusted homebuilding EBITDA for the LTM period ending March 31, 2015 and 2014 was 4.6x* and 4.5x*, respectively.
Earnings Conference Call
A conference call to discuss the Company's 2015 first quarter results will be held at 12:00 p.m. Eastern time May 1, 2015. The call will be broadcast live over the Internet and can be accessed through the Company's website at http://ir.standardpacifichomes.com. The call will also be accessible via telephone by dialing (888) 299-7230 (domestic) or (719) 325-2359 (international); Passcode: 7558033. The audio transmission with the slide presentation will be available on our website for replay within 2 to 3 hours following the live broadcast, and can be accessed by dialing (888) 203-1112 (domestic) or (719) 457-0820 (international); Passcode: 7558033.
About Standard Pacific
Standard Pacific Homes (NYSE: SPF) has been building beautiful, high-quality homes and neighborhoods since its founding in Southern California in 1965. With a trusted reputation for quality craftsmanship, an outstanding customer experience and exceptional architectural design, the Company utilizes its decades of land acquisition, development and homebuilding expertise to successfully navigate today's complex landscape to acquire and build desirable communities in locations that meet the high expectations of the Company's targeted move-up homebuyers. Currently offering new homes in major metropolitan areas in Arizona, California, Colorado, Florida, North Carolina, South Carolina, and Texas, we invite you to learn more about us by visiting standardpacifichomes.com.
This news release contains forward-looking statements. These statements include but are not limited to statements regarding new home orders; deliveries; backlog; absorption rates; cancellation rates; average home price; revenue; profitability; cash flow; liquidity; gross margin; operating margin; product mix; land supply; the benefit of, and execution on, our strategy; our future cash needs and the availability of additional bank commitments; the spring selling season; and our future growth and performance. Forward-looking statements are based on our current expectations or beliefs regarding future events or circumstances, and you should not place undue reliance on these statements. Such statements involve known and unknown risks, uncertainties, assumptions and other factors many of which are out of the Company's control and difficult to forecast that may cause actual results to differ materially from those that may be described or implied. Such factors include but are not limited to: local and general economic and market conditions, including consumer confidence, employment rates, interest rates, the cost and availability of mortgage financing, and stock market, home and land valuations; the impact on economic conditions, terrorist attacks or the outbreak or escalation of armed conflict involving the United States; the cost and availability of suitable undeveloped land, building materials and labor; the cost and availability of construction financing and corporate debt and equity capital; our significant amount of debt and the impact of restrictive covenants in our debt agreements; our ability to repay our debt as it comes due; changes in our credit rating or outlook; the demand for and affordability of single-family homes; the supply of housing for sale; cancellations of purchase contracts by homebuyers; the cyclical and competitive nature of the Company's business; governmental regulation, including the impact of "slow growth" or similar initiatives; delays in the land entitlement process, development, construction, or the opening of new home communities; adverse weather conditions and natural disasters; environmental matters; risks relating to the Company's mortgage banking operations; future business decisions and the Company's ability to successfully implement the Company's operational and other strategies; litigation and warranty claims; and other risks discussed in the Company's filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2014 and subsequent Quarterly Reports on Form 10-Q. The Company assumes no, and hereby disclaims any, obligation to update any of the foregoing or any other forward-looking statements. The Company nonetheless reserves the right to make such updates from time to time by press release, periodic report or other method of public disclosure without the need for specific reference to this press release. No such update shall be deemed to indicate that other statements not addressed by such update remain correct or create an obligation to provide any other updates.
Contact:
Jeff McCall, EVP & CFO (949) 789-1655, jmccall@stanpac.com
*Please see "Reconciliation of Non-GAAP Financial Measures" at the end of this release.
(Note: Tables Follow)
KEY STATISTICS AND FINANCIAL DATA(1)
As of or For the Three Months Ended
-----------------------------------
March 31, March 31, Percentage December 31, Percentage
2015 2014 or % Change 2014 or % Change
---- ---- ----------- ---- -----------
Operating Data (Dollars in thousands)
--------------
Deliveries 972 995 (2%) 1,475 (34%)
Average selling price $482 $449 7% $491 (2%)
Home sale revenues $468,379 $446,918 5% $724,342 (35%)
Gross margin % (including
land sales) 24.3% 25.8% (1.5%) 24.2% 0.1%
Gross margin % from home
sales 24.2% 26.6% (2.4%) 25.2% (1.0%)
Adjusted gross margin %
from home sales (excluding
interest amortized to cost
of home sales)*
29.0% 32.0% (3.0%) 30.2% (1.2%)
Incentive and stock-based
compensation expense $4,422 $5,028 (12%) $7,364 (40%)
Selling expenses $26,123 $22,699 15% $35,746 (27%)
G&A expenses (excluding
incentive and stock-based
compensation expenses)
$35,525 $30,863 15% $36,162 (2%)
SG&A expenses $66,070 $58,590 13% $79,272 (17%)
SG&A % from home sales 14.1% 13.1% 1.0% 10.9% 3.2%
Operating margin from home
sales $47,492 $60,083 (21%) $103,455 (54%)
Operating margin % from
home sales 10.1% 13.4% (3.3%) 14.3% (4.2%)
Net new orders (homes) 1,571 1,311 20% 978 61%
Net new orders (dollar
value) $829,930 $633,818 31% $494,064 68%
Average active selling
communities 198 174 14% 184 8%
Monthly sales absorption
rate per community 2.6 2.5 5% 1.8 49%
Cancellation rate 11% 14% (3%) 21% (10%)
Gross cancellations 200 221 (10%) 258 (22%)
Cancellations from current
quarter sales 84 90 (7%) 70 20%
Backlog (homes) 2,310 2,016 15% 1,711 35%
Backlog (dollar value) $1,293,272 $1,001,385 29% $916,376 41%
Cash flows (uses) from
operating activities $(94,071) $(117,563) 20% $(103,851) 9%
Cash flows (uses) from
investing activities $(7,884) $10,286 $(5,690) (39%)
Cash flows (uses) from
financing activities $(6,840) $(50,902) 87% $296,266
Land purchases (incl.
seller financing) $78,494 $144,744 (46%) $172,320 (54%)
Adjusted Homebuilding
EBITDA* $74,457 $89,008 (16%) $143,529 (48%)
Adjusted Homebuilding
EBITDA Margin %* 15.8% 19.3% (3.5%) 19.0% (3.2%)
Homebuilding interest
incurred $41,803 $38,786 8% $39,960 5%
Homebuilding interest
capitalized to inventories
owned $41,401 $38,213 8% $39,594 5%
Homebuilding interest
capitalized to investments
in JVs $402 $573 (30%) $366 10%
Interest amortized to cost
of sales (incl. cost of
land sales) $22,638 $24,983 (9%) $39,354 (42%)
( )
As of
-----
March 31, December 31, Percentage
2015 2014 or % Change
---- ---- -----------
Balance Sheet Data (Dollars in thousands, except per share amounts)
------------------
Homebuilding cash
(including
restricted cash) $120,167 $218,650 (45%)
Inventories owned $3,480,777 $3,255,204 7%
Homesites owned and
controlled 35,183 35,430 (1%)
Homes under
construction 2,317 2,032 14%
Completed specs 424 515 (18%)
Deferred tax asset
valuation
allowance $1,375 $2,561 (46%)
Homebuilding debt $2,151,607 $2,136,082 1%
Stockholders'
equity $1,688,355 $1,676,688 1%
$4.66 $4.62 1%
Adjusted
stockholders'
equity per share
(including if-
converted
preferred stock)*
Total consolidated
debt to book
capitalization 57.1% 57.0% 0.1%
54.6% 53.3% 1.3%
Adjusted net
homebuilding debt
to total adjusted
book
capitalization*
( )
(1)All statistical numbers exclude
unconsolidated joint ventures unless
noted otherwise.
*Please see "Reconciliation of Non-
GAAP Financial Measures" at the end
of this release.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended March 31,
----------------------------
2015 2014
---- ----
(Dollars in thousands, except per share
amounts)
(Unaudited)
Homebuilding:
Home sale revenues $468,379 $446,918
Land sale revenues 1,899 13,281
Total revenues 470,278 460,199
------- -------
Cost of home sales (354,817) (328,245)
Cost of land sales (1,356) (13,004)
Total cost of
sales (356,173) (341,249)
-------- --------
Gross margin 114,105 118,950
------- -------
Gross margin % 24.3% 25.8%
Selling, general and
administrative
expenses (66,070) (58,590)
Income (loss) from
unconsolidated joint
ventures (451) (437)
Other income (expense) (296) (13)
Homebuilding pretax income 47,288 59,910
------ ------
Financial Services:
Revenues 4,919 4,984
Expenses (4,101) (3,440)
Other income 390 161
Financial services pretax income 1,208 1,705
----- -----
Income before taxes 48,496 61,615
Provision for income taxes (16,891) (23,456)
------- -------
Net income 31,605 38,159
Less: Net income allocated to preferred shareholder (7,662) (9,147)
Less: Net income allocated to unvested restricted
stock (67) (59)
--- ---
Net income available to common stockholders $23,876 $28,953
======= =======
Income Per Common Share:
Basic $0.09 $0.10
Diluted $0.08 $0.09
Weighted Average Common Shares Outstanding:
Basic 273,635,605 277,948,342
Diluted 310,391,822 315,894,969
Weighted average additional common shares
outstanding
if preferred shares
converted to common
shares 87,812,786 87,812,786
Total weighted average diluted common shares
outstanding
if preferred shares
converted to common
shares 398,204,608 403,707,755
CONDENSED CONSOLIDATED BALANCE SHEETS
March 31, December 31,
2015 2014
---- ----
(Dollars in thousands)
ASSETS (Unaudited)
Homebuilding:
Cash and equivalents $80,926 $180,428
Restricted cash 39,241 38,222
Trade and other
receivables 25,970 19,005
Inventories:
Owned 3,480,777 3,255,204
Not owned 50,856 85,153
Investments in
unconsolidated joint
ventures 51,362 50,111
Deferred income taxes,
net 273,678 276,402
Other assets 39,872 42,592
Total
Homebuilding
Assets 4,042,682 3,947,117
--------- ---------
Financial Services:
Cash and equivalents 22,672 31,965
Restricted cash 1,295 1,295
Mortgage loans held
for sale, net 98,692 174,420
Mortgage loans held
for investment, net 18,518 14,380
Other assets 8,290 5,243
Total
Financial
Services
Assets 149,467 227,303
------- -------
Total Assets $4,192,149 $4,174,420
========== ==========
LIABILITIES AND EQUITY
Homebuilding:
Accounts payable $58,564 $45,085
Accrued liabilities 199,846 223,783
Revolving credit
facility 15,000 ?
Secured project debt
and other notes
payable 4,378 4,689
Senior notes payable 2,132,229 2,131,393
Total
Homebuilding
Liabilities 2,410,017 2,404,950
--------- ---------
Financial Services:
Accounts payable and
other liabilities 2,240 3,369
Mortgage credit
facilities 91,537 89,413
Total
Financial
Services
Liabilities 93,777 92,782
------ ------
Total Liabilities 2,503,794 2,497,732
--------- ---------
Equity:
Stockholders' Equity:
Preferred stock,
$0.01 par value;
10,000,000 shares
authorized;
267,829 shares
issued and
outstanding
at March 31, 2015
and December 31,
2014 3 3
Common stock,
$0.01 par value;
600,000,000
shares
authorized;
274,390,765 and
275,141,189
shares
issued and
outstanding at
March 31, 2015
and
December 31, 2014,
respectively 2,744 2,751
Additional paid-
in capital 1,326,771 1,346,702
Accumulated
earnings 358,837 327,232
Total Equity 1,688,355 1,676,688
--------- ---------
Total Liabilities and
Equity $4,192,149 $4,174,420
========== ==========
INVENTORIES
March 31, December 31,
2015 2014
---- ----
(Dollars in thousands)
Inventories
Owned: (Unaudited)
Land and land
under
development $2,287,004 $2,248,289
Homes
completed
and under
construction 1,007,853 827,612
Model homes 185,920 179,303
-------
Total
inventories
owned $3,480,777 $3,255,204
========== ==========
Inventories
Owned by
Segment:
California $1,520,677 $1,422,330
Southwest 852,540 799,473
Southeast 1,107,560 1,033,401
Total
inventories
owned $3,480,777 $3,255,204
========== ==========
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Three Months Ended March 31,
----------------------------
2015 2014
---- ----
(Dollars in thousands)
(Unaudited)
Cash Flows From Operating Activities:
Net income $31,605 $38,159
Adjustments to
reconcile net income
to net cash
provided by (used
in) operating
activities:
Amortization of
stock-based
compensation 2,695 2,372
Excess tax
benefits from
share-based
payment
arrangements (3,369) ?
Deferred income
tax provision 16,874 23,622
Other operating
activities 1,892 1,616
Changes in cash
and
equivalents
due to:
Trade and other receivables (7,008) (17,549)
Mortgage loans held for sale 75,724 51,938
Inventories - owned (199,972) (188,759)
Inventories - not owned (5,878) (8,165)
Other assets 76 (833)
Accounts payable 13,479 1,376
Accrued liabilities (20,189) (21,340)
Net cash provided
by (used in)
operating
activities (94,071) (117,563)
------- --------
Cash Flows From Investing Activities:
Investments in
unconsolidated
homebuilding joint
ventures (7,639) (2,787)
Distributions of
capital from
unconsolidated joint
ventures 5,732 14,808
Other investing
activities (5,977) (1,735)
Net cash provided
by (used in)
investing
activities (7,884) 10,286
------ ------
Cash Flows From Financing Activities:
Change in restricted
cash (1,019) (5,238)
Net proceeds from
(payments on)
revolving credit
facility 15,000 ?
Principal payments on
secured project debt
and other notes
payable (311) (890)
Net proceeds from
(payments on) mortgage
credit facilities 2,124 (48,370)
Repurchases of common
stock (22,073) ?
Issuance of common
stock under employee
stock plans (3,930) 3,596
Excess tax benefits
from share-based
payment arrangements 3,369 ?
Net cash provided
by (used in)
financing
activities (6,840) (50,902)
------ -------
Net increase (decrease) in cash and equivalents (108,795) (158,179)
Cash and equivalents at beginning of period 212,393 363,291
Cash and equivalents at end of period $103,598 $205,112
======== ========
Cash and equivalents at end of period $103,598 $205,112
Homebuilding restricted cash at end of period 39,241 26,698
Financial services restricted cash at end of period 1,295 1,295
Cash and equivalents and restricted cash at end of
period $144,134 $233,105
======== ========
REGIONAL OPERATING DATA
Three Months Ended March 31,
----------------------------
2015 2014 % Change
---- ---- --------
Homes ASP Homes ASP Homes ASP
----- --- ----- --- ----- ---
(Dollars in thousands)
New homes delivered:
California 292 $634 339 $624 (14%) 2%
Arizona 57 322 63 305 (10%) 6%
Texas 198 494 149 415 33% 19%
Colorado 40 552 53 484 (25%) 14%
Southwest 295 469 265 403 11% 16%
Florida 201 414 235 350 (14%) 18%
Carolinas 184 337 156 298 18% 13%
Southeast 385 377 391 329 (2%) 15%
Consolidated total 972 $482 995 $449 (2%) 7%
=== ==== === ==== === ===
Three Months Ended March 31,
----------------------------
2015 2014 % Change
---- ---- --------
Homes ASP Homes ASP Homes ASP
----- --- ----- --- ----- ---
(Dollars in thousands)
Net new orders:
California 526 $688 473 $646 11% 7%
Arizona 95 346 67 305 42% 13%
Texas 309 503 235 464 31% 8%
Colorado 83 527 53 480 57% 10%
Southwest 487 477 355 436 37% 9%
Florida 313 469 283 395 11% 19%
Carolinas 245 363 200 307 23% 18%
---
Southeast 558 423 483 359 16% 18%
Consolidated total 1,571 $528 1,311 $483 20% 9%
===== ==== ===== ==== === ===
Three Months Ended March 31,
----------------------------
2015 2014 % Change
---- ---- --------
Average number of selling communities
during the period:
California 48 46 4%
Arizona 13 11 18%
Texas 47 35 34%
Colorado 9 10 (10%)
Southwest 69 56 23%
Florida 53 41 29%
Carolinas 28 31 (10%)
Southeast 81 72 13%
Consolidated total 198 174 14%
=== === ===
At March 31,
------------
2015 2014 % Change
---- ---- --------
Homes Dollar Value Homes Dollar Value Homes Dollar
Value
----- ------------ ----- ------------ ----- ------
(Dollars in thousands)
Backlog:
California 532 $408,967 530 $360,371 0% 13%
Arizona 134 48,814 109 38,032 23% 28%
Texas 582 306,326 376 184,452 55% 66%
Colorado 118 67,576 108 55,930 9% 21%
Southwest 834 422,716 593 278,414 41% 52%
Florida 563 320,119 552 248,543 2% 29%
Carolinas 381 141,470 341 114,057 12% 24%
Southeast 944 461,589 893 362,600 6% 27%
Consolidated total 2,310 $1,293,272 2,016 $1,001,385 15% 29%
===== ========== ===== ========== === ===
At March 31,
------------
2015 2014 % Change
---- ---- --------
Homesites owned and
controlled:
California 9,880 9,545 4%
Arizona 2,041 2,302 (11%)
Texas 4,640 4,555 2%
Colorado 1,047 1,254 (17%)
Nevada 1,124 1,124 ?
Southwest 8,852 9,235 (4%)
Florida 12,372 12,257 1%
Carolinas 4,079 4,678 (13%)
----- ----- ----
Southeast 16,451 16,935 (3%)
Total
(including
joint
ventures) 35,183 35,715 (1%)
====== ====== ===
Homesites
owned 29,184 28,743 2%
Homesites
optioned or
subject to
contract 5,801 6,707 (14%)
Joint venture
homesites 198 265 (25%)
Total
(including
joint
ventures) 35,183 35,715 (1%)
====== ====== ===
Homesites owned:
Raw lots 8,221 6,892 19%
Homesites
under
development 7,659 9,811 (22%)
Finished
homesites 7,654 6,341 21%
Under
construction
or completed
homes 3,428 3,198 7%
Held for sale 2,222 2,501 (11%)
Total 29,184 28,743 2%
====== ====== ===
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
Each of the below measures are non-GAAP financial measures and other companies may calculate such non-GAAP measures differently. Due to the significance of the GAAP components excluded, such measures should not be considered in isolation or as an alternative to operating performance measures prescribed by GAAP.
The table set forth below reconciles the Company's gross margin percentage from home sales to adjusted gross margin percentage from home sales, excluding interest amortized to cost of home sales. We believe these measures are useful to management and investors as they provide perspective on the underlying operating performance of the business excluding these charges and provide comparability with the Company's peer group.
Three Months Ended
------------------
March 31, Gross March 31, Gross December 31, Gross
2015 Margin % 2014 Margin % 2014 Margin %
---- ------- ---- ------- ---- -------
(Dollars in thousands)
Home sale
revenues $468,379 $446,918 $724,342
Less: Cost of
home sales (354,817) (328,245) (541,615)
-------- -------- --------
Gross margin
from home
sales 113,562 24.2% 118,673 26.6% 182,727 25.2%
Add:
Capitalized
interest
included in
cost
of home sales 22,395 4.8% 24,368 5.4% 36,370 5.0%
------ ------ ------
Adjusted
gross margin
from home
sales,
excluding
interest
amortized to
cost of home
sales
$135,957 29.0% $143,041 32.0% $219,097 30.2%
=== ======== ======== ========
The table set forth below reconciles the Company's total consolidated debt to adjusted net homebuilding debt and provides the Company's total consolidated debt to book capitalization and adjusted net homebuilding debt to total adjusted book capitalization ratios. In addition, the table set forth below calculates homebuilding debt to adjusted homebuilding EBITDA. We believe these ratios are useful to management and investors as a measure of the Company's ability to obtain financing. For purposes of the ratio of adjusted net homebuilding debt to total adjusted book capitalization, total adjusted book capitalization is adjusted net homebuilding debt plus stockholders' equity. Adjusted net homebuilding debt excludes indebtedness of the Company's financial services subsidiary and additionally reflects the offset of cash and equivalents.
March 31, December 31, March 31,
2015 2014 2014
---- ---- ----
(Dollars in thousands)
Total consolidated debt $2,243,144 $2,225,495 $1,892,491
Less:
Financial
services
indebtedness (91,537) (89,413) (52,497)
Homebuilding
cash (120,167) (218,650) (221,400)
Adjusted net homebuilding
debt 2,031,440 1,917,432 1,618,594
Stockholders' equity 1,688,355 1,676,688 1,513,087
--------- --------- ---------
Total adjusted book
capitalization $3,719,795 $3,594,120 $3,131,681
========== ========== ==========
Total consolidated debt to
book capitalization 57.1% 57.0% 55.6%
==== ==== ====
Adjusted net homebuilding
debt to total adjusted book
capitalization 54.6% 53.3% 51.7%
==== ==== ====
Homebuilding debt $2,151,607 $2,136,082 $1,839,994
LTM adjusted homebuilding
EBITDA $465,453 $480,004 $408,806
-------- -------- --------
Homebuilding debt to adjusted
homebuilding EBITDA 4.6x 4.5x 4.5x
==== ==== ====
The table set forth below calculates adjusted stockholders' equity per common share. The Company believes that the adjusted stockholders' equity per common share information is useful to management and investors as a measure to determine the book value per common share after giving the pro forma effect to the conversion of our outstanding preferred shares assuming full conversion to common stock.
March 31, December 31,
2015 2014
---- ----
Actual common
shares outstanding 274,390,765 275,141,189
Add: Conversion of
preferred shares
to common shares 87,812,786 87,812,786
Pro forma common
shares outstanding 362,203,551 362,953,975
=========== ===========
Stockholders'
equity (Dollars in
thousands) $1,688,355 $1,676,688
Divided by pro
forma common
shares outstanding ÷ 362,203,551 ÷ 362,953,975
Adjusted
stockholders'
equity per common
share $4.66 $4.62
===== =====
The table set forth below calculates EBITDA and Adjusted Homebuilding EBITDA. Adjusted Homebuilding EBITDA means net income (plus cash distributions of income from unconsolidated joint ventures) before (a) income taxes, (b) homebuilding interest expense (c) expensing of previously capitalized interest included in cost of sales, (d) impairment charges and deposit write-offs, (e) (gain) loss on early extinguishment of debt (f) homebuilding depreciation and amortization, (g) amortization of stock-based compensation, (h) income (loss) from unconsolidated joint ventures and (i) income (loss) from financial services subsidiaries. Other companies may calculate Adjusted Homebuilding EBITDA (or similarly titled measures) differently. We believe Adjusted Homebuilding EBITDA information is useful to management and investors as one measure of the Company's ability to service debt and obtain financing. Adjusted Homebuilding EBITDA is a non-GAAP financial measure and due to the significance of the GAAP components excluded, should not be considered in isolation or as an alternative to net income, cash flow from operations or any other operating or liquidity performance measure prescribed by GAAP.
Three Months Ended LTM Ended March 31,
------------------ -------------------
March 31, March 31, December 31, 2015 2014
2015 2014 2014
---- ---- ----
(Dollars in thousands)
Net income $31,605 $38,159 $64,644 $209,311 $205,050
Provision for
income taxes 16,891 23,456 39,738 127,534 78,870
Homebuilding
interest
amortized to
cost of sales
and interest
expense 22,638 24,983 39,354 120,767 118,876
Homebuilding
depreciation
and
amortization 1,385 1,145 1,206 5,030 3,972
Amortization of
stock-based
compensation 2,695 2,372 733 8,792 9,856
EBITDA 75,214 90,115 145,675 471,434 416,624
Add:
Cash
distributions
of income from
unconsolidated
joint ventures ? ? ? 1,875 1,500
Less:
Income (loss)
from
unconsolidated
joint ventures (451) (437) (326) (682) (622)
Income from
financial
services
subsidiaries 1,208 1,544 2,472 8,538 9,940
Adjusted Homebuilding EBITDA $74,457 $89,008 $143,529 $465,453 $408,806
======= ======= ======== ======== ========
Homebuilding revenues $470,278 $460,199 $753,644 $2,421,257 $2,017,087
======== ======== ======== ========== ==========
Adjusted Homebuilding EBITDA
Margin % 15.8% 19.3% 19.0% 19.2% 20.3%
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The table set forth below reconciles net cash provided by (used in) operating activities, calculated and presented in accordance with GAAP, to Adjusted Homebuilding EBITDA:
Three Months Ended LTM Ended March 31,
------------------ -------------------
March 31, March 31, December 31, 2015 2014
2015 2014 2014
---- ---- ----
(Dollars in thousands)
Net cash provided by (used in)
operating activities $(94,071) $(117,563) $(103,851) $(338,905) $(213,318)
Add:
Provision for
income taxes 16,891 23,456 39,738 127,534 78,870
Deferred income
tax provision (16,874) (23,622) (4,524) (92,250) (94,462)
Homebuilding
interest
amortized to
cost of sales
and interest
expense 22,638 24,983 39,354 120,767 118,876
Excess tax
benefits from
share-based
payment
arrangements 3,369 ? 12,444 16,773 ?
Less:
Income from
financial
services
subsidiaries 1,208 1,544 2,472 8,538 9,940
Depreciation and
amortization
from financial
services
subsidiaries 37 33 36 142 126
Loss on disposal
of property and
equipment 19 1 5 29 3
Net changes in operating assets
and liabilities:
Trade and other receivables 7,008 17,549 (11,820) (5,764) 11,877
Mortgage loans held for sale (75,724) (51,938) 105,946 29,052 (49,255)
Inventories-owned 199,972 188,759 94,418 653,221 531,041
Inventories-not owned 5,878 8,165 13,143 30,740 46,544
Other assets (76) 833 (7,354) (10,215) 1,697
Accounts payable (13,479) (1,376) 5,439 (21,417) (16,279)
Accrued liabilities 20,189 21,340 (36,891) (35,374) 3,284
Adjusted Homebuilding EBITDA $74,457 $89,008 $143,529 $465,453 $408,806
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To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/standard-pacific-corp-reports-2015-first-quarter-results-300075393.html
SOURCE Standard Pacific Corp.
