Tri Pointe Homes, Inc. Reports 2025 Fourth Quarter and Full Year Results

INCLINE VILLAGE, Nev., Feb. 25, 2026 (GLOBE NEWSWIRE) -- Tri Pointe Homes, Inc. (the “Company”) (NYSE: TPH) today announced results for the fourth quarter ended December 31, 2025 and full year 2025. As previously announced on February 13, 2026, Tri Pointe has entered into a definitive agreement to be acquired by Sumitomo Forestry Co., Ltd., a Japanese corporation (kabushiki kaisha) (“Parent”), and Teton NewCo, Inc., a Delaware corporation and an indirect wholly owned Subsidiary of Parent (“Merger Sub”), providing for the merger of Merger Sub with and into the Company, with the Company continuing as the surviving corporation (the “Merger”). Consummation of the Merger is subject to stockholder approval, regulatory approval and completion of other customary closing conditions.

Results and Operational Data for Fourth Quarter 2025 and Comparisons to Fourth Quarter 2024

• Net income available to common stockholders was $60.2 million, or $0.70 per diluted share, compared to $129.2 million, or $1.37 per diluted share. Excluding inventory-related charges of $11.8 million, our net income available to common stockholders was $68.4 million*, or $0.80* per diluted share.
• Home sales revenue for the quarter was $945.9 million compared to $1.2 billion
  • New home deliveries of 1,364 homes compared to 1,748 homes
  • Average sales price of homes delivered of $693,000 compared to $699,000
• Homebuilding gross margin percentage of 19.3% compared to 23.3%. Excluding inventory-related charges of $11.8 million, our homebuilding gross margin percentage was 20.6%*.
  • Excluding interest, impairments and lot option abandonments, adjusted homebuilding gross margin percentage was 24.1%*
• Selling, general and administrative (“SG&A”) expense as a percentage of home sales revenue of 11.3% compared to 10.3%
• Net new home orders of 928 compared to 940
• Active selling communities averaged 155.3 compared to 146.8
  • Net new home orders per average selling community decreased by 5% to 6.0 orders (2.0 monthly) compared to 6.4 orders (2.1 monthly)
  • Cancellation rate of 11% compared to 14%
• Backlog units at quarter end of 862 homes compared to 1,517
  • Dollar value of backlog at quarter end of $670.1 million compared to $1.2 billion
  • Average sales price in backlog at quarter end of $777,000 compared to $768,000
• Ratios of homebuilding debt-to-capital and net homebuilding debt-to-net capital of 25.0% and 3.5%*, respectively, as of December 31, 2025
• Ended fourth quarter of 2025 with total liquidity of $1.8 billion, including cash of $982.8 million and $798.1 million of availability under the Company’s unsecured revolving credit facility
  

     *  See “Reconciliation of Non-GAAP Financial Measures”

Results and Operational Data for Full Year 2025 and Comparisons to Full Year 2024

• Net income available to common stockholders was $241.1 million, or $2.72 per diluted share, compared to $458.0 million, or $4.83 per diluted share. Excluding inventory-related charges of $31.1 million, our net income available to common stockholders was $263.5 million*, or $2.97* per diluted share.
• Home sales revenue of $3.4 billion compared to $4.4 billion
  • New home deliveries of 4,947 homes compared to 6,460 homes
  • Average sales price of homes delivered of $680,000 compared to $679,000
• Homebuilding gross margin percentage of 21.0% compared to 23.3%. Excluding inventory-related charges of $31.1 million, our homebuilding gross margin percentage was 21.9%*.
  • Excluding interest, impairments and lot option abandonments, adjusted homebuilding gross margin percentage was 25.2%*
• SG&A expense as a percentage of home sales revenue of 12.6% compared to 10.8%
• Net new home orders of 4,292 compared to 5,657
• Active selling communities averaged 150.5 compared to 150.4
  • Net new home orders per average selling community decreased by 23% to 28.5 orders (2.4 monthly) compared to 37.6 orders (3.1 monthly)
  • Cancellation rate of 12% compared to 10%
    

     *   See “Reconciliation of Non-GAAP Financial Measures”

About Tri Pointe Homes®

One of the largest homebuilders in the U.S., Tri Pointe Homes, Inc. (NYSE: TPH) is a publicly traded company operating in 12 states and the District of Columbia, and is a recognized leader in customer experience, innovative design, and environmentally responsible business practices. The company builds premium homes and communities with deep ties to the communities it serves—some for as long as a century. Tri Pointe Homes combines the financial resources, technology platforms and proven leadership of a national organization with the regional insights, longstanding community connections and agility of empowered local teams. Tri Pointe has won multiple Builder of the Year awards and was named 2024 Developer of the Year. The company is one of the 2026 Fortune World’s Most Admired Companies, 2023 and 2025 Fortune 100 Best Companies to Work For® and was designated as one of the PEOPLE Companies That Care® for three consecutive years (2023 through 2025). The company was also named as a Great Place To Work-Certified™ company for five years in a row (2021 through 2025) and was named on several Great Place To Work® Best Workplaces list (2022 through 2025). For more information, please visit TriPointeHomes.com.

Forward-Looking Statements

Various statements contained in this press release, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward-looking statements. These forward-looking statements may include, but are not limited to, statements regarding our strategy, projections and estimates concerning the timing and success of specific projects and our future production, land and lot sales, operational and financial results, including our estimates for growth, financial condition, sales prices, prospects, and capital spending. Forward-looking statements that are included in this press release are generally accompanied by words such as “anticipate,” “assuming,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “forecast,” “future,” “goal,” “guidance,” “intend,” “likely,” “may,” “might,” “outlook,” “plan,” “potential,” “predict,” “project,” “projection,” “should,” “strategy,” “target,” “will,” “would,” or other words that convey future events or outcomes. The forward-looking statements in this press release speak only as of the date of this press release, and we disclaim any obligation to update these statements unless required by law, and we caution you not to rely on them unduly. These forward-looking statements are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. The following factors, among others, may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements: the effects of general economic conditions, including employment rates, housing starts, interest rate levels, availability of financing for home mortgages and strength of the U.S. dollar; market demand for our products, which is related to the strength of the various U.S. business segments and U.S. and international economic conditions; the availability of desirable and reasonably priced land and our ability to control, purchase, hold and develop such parcels; access to adequate capital on acceptable terms; geographic concentration of our operations, particularly within California; levels of competition; the successful execution of our internal performance plans, including restructuring and cost reduction initiatives; the prices and availability of supply chain inputs, including raw materials and labor; oil and other energy prices; the effects of U.S. trade policies, including the imposition of tariffs and duties on homebuilding products and retaliatory measures taken by other countries; the effects of weather, including the occurrence of drought conditions in California; the risk of loss from earthquakes, volcanoes, fires, floods, droughts, windstorms, hurricanes, pest infestations and other natural disasters, and the risk of delays, reduced consumer demand, and shortages and price increases in labor or materials associated with such natural disasters; the risk of loss from acts of war, terrorism, civil unrest or public health emergencies, including outbreaks of contagious diseases, such as COVID-19; transportation costs; federal and state tax policies; the effects of land use, environment and other governmental laws and regulations; legal proceedings or disputes and the adequacy of reserves; risks relating to any unforeseen changes to or effects on liabilities, future capital expenditures, revenues, expenses, earnings, synergies, indebtedness, financial condition, losses and future prospects; changes in accounting principles; risks related to unauthorized access to our computer systems, theft of our homebuyers’ confidential information or other forms of cyber-attack; risks related to the failure to consummate the Merger and the transactions contemplated thereby; risks related to any litigation arising out of or as a result of the Merger and the transactions contemplated thereby; and additional factors discussed under the sections captioned “Risk Factors” included in our annual and quarterly reports filed with the Securities and Exchange Commission. The foregoing list is not exhaustive. New risk factors may emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risk factors on our business.

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RECONCILIATION OF NON-GAAP FINANCIAL MEASURES 
(unaudited)

In this press release, we utilize certain financial measures that are non-GAAP financial measures as defined by the Securities and Exchange Commission. We present these measures because we believe they and similar measures are useful to management and investors in evaluating the Company’s operating performance and financing structure. We also believe these measures facilitate the comparison of our operating performance and financing structure with other companies in our industry. Because these measures are not calculated in accordance with Generally Accepted Accounting Principles (“GAAP”), they may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP.

The following tables reconcile homebuilding gross margin percentage, as reported and prepared in accordance with GAAP, to the non-GAAP financial measure adjusted homebuilding gross margin percentage. We believe this information is meaningful as it isolates the impact that leverage and non-cash impairments and lot option abandonments, as applicable, have on homebuilding gross margin and permits investors to make better comparisons with our competitors, who may adjust gross margins in a similar fashion.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued)
(unaudited)

The following table reconciles the Company’s ratio of homebuilding debt-to-capital to the non-GAAP ratio of net homebuilding debt-to-net capital. We believe that the ratio of net homebuilding debt-to-net capital is a relevant financial measure for management and investors to understand the leverage employed in our operations and as an indicator of the Company’s ability to obtain financing.

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RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued)
(unaudited)

The following table calculates the non-GAAP financial measures of EBITDA and Adjusted EBITDA and reconciles those amounts to net income available to common stockholders, as reported and prepared in accordance with GAAP. EBITDA means net income available to common stockholders before (a) interest expense, (b) expensing of previously capitalized interest included in costs of home sales, (c) income taxes and (d) depreciation and amortization. Adjusted EBITDA means EBITDA before (e) amortization of stock-based compensation and (f) real estate inventory impairments and lot option abandonments. Other companies may calculate EBITDA and Adjusted EBITDA (or similarly titled measures) differently. We believe EBITDA and Adjusted EBITDA are useful measures of the Company’s ability to service debt and obtain financing.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued)
(unaudited)

The following table contains information about our operating results reflecting certain adjustments to homebuilding gross margin, income before income taxes, provision for income taxes, net income, net income available to common stockholders and earnings per share (diluted). We believe reflecting these adjustments is useful to investors in understanding our recurring operations by eliminating the effects of certain non-routine events, and may be helpful in comparing the Company to other homebuilders to the extent they provide similar information.

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