- Net orders for 977 homes vs. 959 in Q2 2008 - Cancellation rate
of 20% vs. 43% in Q2 2008 - Closed 665 homes at an average selling
price of $279,000 - 941 units in backlog with an estimated sales
value of $295.0 million - Total revenue of $195.3 million vs.
$403.4 million in 2008 - Net loss narrowed to $29.6 million;
includes $17.6 million increase in deferred tax valuation allowance
- Diluted loss per share of $0.64 vs. $2.18 in 2008 - Asset
impairments of $1.2 million vs. $88.3 million in 2008 - Quarter-end
cash and investments of $1.63 billion DENVER, July 31
/PRNewswire-FirstCall/ -- M.D.C. Holdings, Inc. (NYSE: MDC) today
reported results for its second quarter ended June 30, 2009. The
Company announced a net loss for the quarter of $29.6 million, or
$0.64 per diluted share, which included a pre-tax charge of $1.2
million for asset impairments. The 2009 second quarter net loss
also included a $17.6 million increase in our deferred tax
valuation allowance, of which $9.7 million related to a 2006
alternative minimum tax liability associated with our 2008 net
operating loss carry back. The net loss for the 2008 second quarter
was $100.7 million, or $2.18 per diluted share, which included a
pre-tax charge of $88.3 million for asset impairments and an
increase in our deferred tax valuation allowance of $43.4 million.
Total revenue for the second quarter of 2009 was $195.3 million,
compared with revenue of $403.4 million for the same period in
2008. Larry A. Mizel, MDC's chairman and chief executive officer,
stated, "Overall economic conditions in the second quarter remained
extremely difficult, as evidenced by a national unemployment rate
that now stands at its highest level in more than 25 years.
However, we did experience a year-over-year increase in quarterly
net home orders for the first time since 2005, and our impairments
dropped to a nominal level. In addition, building and sales
activity for the industry overall improved from historic lows
recorded earlier this year." Mizel continued, "We are pleased to
report that we made significant progress during the second quarter
on strategic initiatives designed to strengthen our operating
platform. The smaller, more affordable homes that we introduced
earlier this year in many of our markets have been well-received by
our buyers, with a sales absorption pace exceeding the Company's
average. These homes are designed both to meet the current needs of
our customers and to allow for a more efficient construction
process, and we intend to expand their availability to a larger
percentage of our active communities in the future." "We believe
that the strategic production of unsold homes can be very effective
if managed properly, and therefore we have built a limited supply
of unsold inventory. We generally require construction on the
unsold homes to stop at the drywall stage so that the buyers have
the opportunity to personalize the homes with upgrades from one of
our Home Galleries or design centers. We believe that this strategy
will help us to turn our inventories more quickly while we maintain
margins similar to those received for a build-to-order home.
Because of this strategy, the number of unsold homes available for
personalization increased slightly during the quarter. During the
same period, we reduced our inventory of finished, unsold homes by
more than 70%." Mizel concluded, "With our cash and investments
balance of more than $1.6 billion at the end of the quarter, no
borrowings outstanding on our homebuilding line of credit and no
senior debt maturities until 2012, we are well positioned with the
option to take advantage of market opportunities that may arise. We
continue to actively pursue and evaluate potential investments,
subjecting each to our rigorous and disciplined investment process
and approving only those that we believe will maximize long-term
value for our shareholders." Operational Highlights Net orders for
the second quarter ended June 30, 2009 totaled 977 homes with an
estimated sales value of $289.0 million, compared with net orders
for 959 homes with an estimated sales value of $279.0 million
during the same period in 2008. The slight net order improvement
was driven by significant increases in our Mountain and East
segments, offset by a substantial decline in our West segment.
During the second quarter of 2009, the Company's cancellation rate
dropped to 20% compared with 43% during the same period in 2008,
primarily due to a significantly lower beginning backlog in the
second quarter of 2009 as compared with the second quarter of 2008.
In addition, cancellation rates were lower due to a decrease in
mortgage-related issues and a decline in the number of prospective
home buyers with a contingency to sell an existing home.
Homebuilding revenue for the 2009 second quarter fell to $192.0
million, compared with $400.9 million in the second quarter of
2008. The decline in revenue was primarily the result of a
year-over-year decline in home closings and average selling price
of 49% and 6%, respectively. All of our markets experienced
year-over-year decreases in home closings and all but California
experienced year-over-year declines in average selling price. Home
gross margins during the second quarter of 2009 increased to 18.0%
from 11.7% in the second quarter of 2008, primarily due to
significant prior period impairments, which lowered the lot cost
basis on homes that closed during the quarter. In addition, second
quarter home gross margins were positively impacted by a reduction
in the warranty reserve, due to a decrease in warranty payments
actually incurred. These positive results were partially offset by
the decline in the average selling prices of homes closed and by a
shift in mix to a higher percentage of low-margin model and
finished spec home closings during the second quarter of 2009.
Homebuilding SG&A decreased to $30.8 million for the quarter
ended June 30, 2009, compared with $56.7 million for the same
period in the prior year. The decrease in SG&A resulted from
various cost saving initiatives associated with right-sizing our
operations in response to the reduced level of home closings,
including a 44% reduction in homebuilding headcount over the past
year. Also contributing to this decrease was a reduction in
marketing expenses, primarily due to a significant reduction in
both the amortization of deferred marketing costs and sales office
and model home expenses, as well as a decline in commission
expenses resulting from fewer home closings and lower average
selling prices. During the second quarter of 2009, we recognized
$1.2 million of asset impairments, a decrease of 99% from the $88.3
million recognized in the 2008 second quarter. Overall, the
year-over-year decrease in asset impairments can be attributed to
the reduction in the total number of lots owned and the impact of
recording significant impairments over the last eleven quarters,
thereby reducing our exposure to further impairments. Six Month
Results Net loss for the six months ended June 30, 2009 was $70.4
million, or $1.52 per diluted share, which included a pre-tax
charge of $15.8 million for asset impairments. The net loss for the
six months ended June 30, 2009 also included a $33.0 million
increase in our deferred tax valuation allowance, of which $9.7
million related to a 2006 alternative minimum tax liability
associated with our 2008 net operating loss carry back. The net
loss for the first six months of 2008 was $173.5 million, or $3.77
per diluted share, which included a pre-tax charge of $143.1
million for asset impairments and an increase of $54.0 million to
our deferred tax asset valuation allowance. About MDC Since 1972,
MDC has built and financed the American dream for over 160,000
families. MDC's commitment to customer satisfaction, quality and
value is reflected in each home its subsidiaries build. As one of
the largest homebuilders in the United States, the Company has
homebuilding divisions across the country, including Denver,
Colorado Springs, Salt Lake City, Las Vegas, Phoenix, Tucson,
California, Northern Virginia, Maryland, Philadelphia/Delaware
Valley and Jacksonville. The Company also provides mortgage
financing, insurance and title services, primarily for MDC
homebuyers, through its wholly owned subsidiaries, HomeAmerican
Mortgage Corporation, American Home Insurance Agency, Inc. and
American Home Title and Escrow Company, respectively. M.D.C.
Holdings, Inc. is traded on the New York Stock Exchange under the
symbol "MDC." For more information, visit
http://www.mdcholdings.com/. Forward-Looking Statements Certain
statements in this release, including statements regarding our
business, financial condition, results of operation, cash flows,
strategies and prospects, constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Such forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause the actual
results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. Such factors include, among other things, (1) general
economic conditions, including changes in consumer confidence,
inflation or deflation and employment levels; (2) changes in
business conditions experienced by the Company, including
cancellation rates, net home orders, home gross margins, and land
and home values; (3) changes in interest rates, mortgage lending
programs and the availability of credit; (4) the relative stability
of debt and equity markets; (5) competition; (6) the availability
and cost of land and other raw materials used by the Company in its
homebuilding operations; (7) the availability and cost of
performance bonds and insurance covering risks associated with our
business; (8) shortages and the cost of labor; (9) weather related
slowdowns; (10) slow growth initiatives; (11) building moratoria;
(12) governmental regulation, including the interpretation of tax,
labor and environmental laws; (13) changes in consumer confidence
and preferences; (14) terrorist acts and other acts of war; and
(15) other factors over which the Company has little or no control.
Additional information about the risks and uncertainties applicable
to the Company's business is contained in the Company's Form 10-Q
for the quarter June 30, 2009, which is scheduled to be filed with
the Securities and Exchange Commission today. All forward-looking
statements made in this press release are made as of the date
hereof, and the risk that actual results will differ materially
from expectations expressed in this press release will increase
with the passage of time. The Company undertakes no duty to update
publicly any forward-looking statements, whether as a result of new
information, future events or otherwise. However, any further
disclosures made on related subjects in our subsequent filings,
releases or presentations should be consulted. M.D.C. HOLDINGS,
INC. Consolidated Statements of Operations (In thousands, except
per share amounts) (Unaudited) Three Months Six Months Ended June
30, Ended June 30, --------------- --------------- 2009 2008 2009
2008 ---- ---- ---- ---- Revenue Home sales revenue $185,554
$382,093 $352,536 $737,885 Land sales revenue 1,954 12,281 4,572
40,849 Other revenue 7,758 9,048 14,090 20,466 ----- ----- ------
------ Total Revenue 195,266 403,422 371,198 799,200 -------
------- ------- ------- Costs and Expenses Home cost of sales
152,118 337,543 293,443 652,580 Land cost of sales 1,500 6,835
2,841 34,784 Asset impairments, net 1,243 88,278 15,812 143,110
Marketing expenses 7,930 20,350 16,762 39,553 Commission expenses
6,953 14,659 13,311 28,092 General and administrative expenses
37,800 43,922 76,181 95,110 Other operating expenses 292 1,846 557
3,570 Related party expenses 4 5 9 10 --- --- --- --- Total
Operating Costs and Expenses 207,840 513,438 418,916 996,809
------- ------- ------- ------- Loss from Operations (12,574)
(110,016) (47,718) (197,609) ------- -------- ------- --------
Other income (expense) Interest income 2,968 8,547 7,039 19,023
Interest expense (9,838) (80) (19,578) (210) Other income 381 9 121
30 --- --- --- --- Loss Before Taxes (19,063) (101,540) (60,136)
(178,766) ------- -------- ------- -------- Provision for benefit
from income taxes, net (10,519) 814 (10,299) 5,220 ------- ---
------- ----- NET LOSS $(29,582) $(100,726) $(70,435) $(173,546)
======== ========= ======== ========= LOSS PER SHARE Basic $(0.64)
$(2.18) $(1.52) $(3.77) ====== ====== ====== ====== Diluted $(0.64)
$(2.18) $(1.52) $(3.77) ====== ====== ====== ======
WEIGHTED-AVERAGE SHARES OUTSTANDING Basic 46,548 46,110 46,474
46,033 ====== ====== ====== ====== Diluted 46,548 46,110 46,474
46,033 ====== ====== ====== ====== DIVIDENDS DECLARED PER SHARE
$0.25 $0.25 $0.50 $0.50 ===== ===== ===== ===== M.D.C. HOLDINGS,
INC. Consolidated Balance Sheets (Dollars in thousands, except per
share amounts) (Unaudited) June 30, December 31, 2009 2008 ----
---- Assets Cash and cash equivalents $1,559,825 $1,304,728
Marketable securities 71,926 54,864 Unsettled trades, net 2,133
57,687 Restricted cash 619 670 Receivables Home sales receivables
13,073 17,104 Income taxes receivable - 170,753 Other receivables
13,108 16,697 Mortgage loans held-for-sale, net 51,029 68,604
Inventories, net Housing completed or under construction 297,092
415,500 Land and land under development 195,778 221,822 Property
and equipment, net 37,146 38,343 Deferred tax asset, net of
valuation allowance - - Related party assets 28,627 28,627 Prepaid
expenses and other assets, net 78,338 79,539 ------ ------ Total
Assets $2,348,694 $2,474,938 ========== ========== Liabilities
Accounts payable $28,582 $28,793 Accrued liabilities 301,228
332,825 Income taxes payable, net 2,764 - Mortgage repurchase
facility 24,175 34,873 Senior notes, net 997,756 997,527 -------
------- Total Liabilities 1,354,505 1,394,018 --------- ---------
Commitments and Contingencies - - Stockholders' Equity Preferred
stock, $0.01 par value; 25,000,000 shares authorized; none issued
or outstanding - - Common stock, $0.01 par value; 250,000,000
shares authorized; 47,017,000 and 46,964,000 issued and
outstanding, respectively, at June 30, 2009 and 46,715,000 and
46,666,000 issued and outstanding, respectively, at December 31,
2008 470 467 Additional paid-in-capital 795,345 788,207 Retained
earnings 199,033 292,905 Treasury stock, at cost; 53,000 and 49,000
shares at June 30, 2009 and December 31, 2008, respectively (659)
(659) ---- ---- Total Stockholders' Equity 994,189 1,080,920
------- --------- Total Liabilities and Stockholders' Equity
$2,348,694 $2,474,938 ========== ========== M.D.C. HOLDINGS, INC.
Information on Segments (Dollars in thousands) (Unaudited) Three
Months Six Months Ended June 30, Ended June 30, ----------------
--------------- 2009 2008 2009 2008 ---- ---- ---- ---- REVENUE
Homebuilding West $81,758 $220,937 $156,440 $444,316 Mountain
57,658 87,405 101,775 157,887 East 39,479 63,501 79,971 130,846
Other Homebuilding 13,117 29,040 26,800 56,089 ------ ------ ------
------ Total Homebuilding 192,012 400,883 364,986 789,138 Financial
Services and Other 7,006 6,664 12,569 16,844 Corporate - 193 50 377
Inter-company adjustments (3,752) (4,318) (6,407) (7,159) ------
------ ------ ------ Consolidated $195,266 $403,422 $371,198
$799,200 ======== ======== ======== ======== (LOSS) INCOME BEFORE
INCOME TAXES Homebuilding West $10,075 $(33,591) $(228) $(94,982)
Mountain (2,308) (39,027) (7,119) (50,635) East (4,626) (12,700)
(6,997) (15,079) Other Homebuilding (677) (9,156) (1,508) (11,052)
---- ------ ------ ------- Total Homebuilding 2,464 (94,474)
(15,852) (171,748) Financial Services and Other 2,615 557 4,236
4,705 Corporate (24,142) (7,623) (48,520) (11,723) ------- ------
------- ------- Consolidated $(19,063) $(101,540) $(60,136)
$(178,766) ======== ========= ======== ========= INVENTORY
IMPAIRMENTS West $(557) $39,519 $12,510 $86,663 Mountain - 30,100
254 34,054 East 1,725 9,008 2,475 10,541 Other Homebuilding - 6,595
284 7,630 --- ----- --- ----- Consolidated $1,168 $85,222 $15,523
$138,888 ====== ======= ======= ======== June 30, December 31, 2009
2008 ---- ---- TOTAL ASSETS Homebuilding West $189,672 $255,652
Mountain 253,566 288,221 East 114,105 151,367 Other Homebuilding
24,393 38,179 ------ ------ Total Homebuilding 581,736 733,419
Financial Services and Other 123,142 139,569 Corporate 1,689,773
1,647,907 --------- --------- Inter-company adjustments (45,957)
(45,957) ------- ------- Consolidated $2,348,694 $2,474,938
========== ========== M.D.C. HOLDINGS, INC. Selected Financial Data
(Dollars in thousands) (Unaudited) Three Months Ended June 30,
Change -------------- ---------- 2009 2008 Amount % ---- ----
------ --- SELECTED FINANCIAL DATA General and Administrative
Expenses Homebuilding $15,906 $21,703 $(5,797) -27% Financial
Services and Other 4,845 7,045 $(2,200) -31% Corporate (1) 17,053
15,179 $1,874 12% ------ ------ ------ Total $37,804 $43,927
$(6,123) -14% ======= ======= ======= SG&A as a % of Home Sales
Revenue Homebuilding Segments 16.6% 14.8% 1.8% Corporate Segment
(1) 9.2% 4.0% 5.2% Depreciation and Amortization (2) $2,831 $9,346
$(6,515) -70% Home Gross Margins (3) 18.0% 11.7% 6.3% Interest in
Home Cost of Sales as a % of Home Sales Revenue -4.7% -4.4% -0.3%
Cash Provided by (Used in) Operating Activities $12,325 $91,570
$(79,245) -87% Investing Activities $(48,747) $(73) $(48,674) N/A
Financing Activities $11,616 $11,471 $145 1% Corporate and
Homebuilding Interest Interest capitalized, beginning of period
$36,050 $52,167 $(16,117) -31% Interest capitalized, net of
interest expense $4,700 $14,464 $(9,764) -68% Previously
capitalized interest included in home cost of sales $(8,661)
$(16,957) $8,296 -49% Interest capitalized, end of period $32,089
$49,674 $(17,585) -35% Six Months Ended June 30, Change
-------------- ---------- 2009 2008 Amount % ---- ---- ------ ---
SELECTED FINANCIAL DATA General and Administrative Expenses
Homebuilding $31,685 $52,405 $(20,720) -40% Financial Services and
Other 9,343 14,068 $(4,725) -34% Corporate (1) 35,162 28,647 $6,515
23% ------ ------ ------ Total $76,190 $95,120 $(18,930) -20%
======= ======= ======== SG&A as a % of Home Sales Revenue
Homebuilding Segments 17.5% 16.3% 1.2% Corporate Segment (1) 10.0%
3.9% 6.1% Depreciation and Amortization (2) $6,724 $17,958
$(11,234) -63% Home Gross Margins (3) 16.8% 11.6% 5.2% Interest in
Home Cost of Sales as a % of Home Sales Revenue -4.7% -4.4% -0.3%
Cash Provided by (Used in) Operating Activities $251,818 $322,303
$(70,485) -22% Investing Activities $33,943 $(116) $34,059 N/A
Financing Activities $(30,664) $(30,133) $(531) 2% Corporate and
Homebuilding Interest Interest capitalized, beginning of period
$39,239 $53,487 $(14,248) -27% Interest capitalized, net of
interest expense $9,544 $28,917 $(19,373) -67% Previously
capitalized interest included in home cost of sales $(16,694)
$(32,730) $16,036 -49% Interest capitalized, end of period $32,089
$49,674 $(17,585) -35% (1) Includes related party expenses. (2)
Includes depreciation and amortization of long-lived assets and
amortization of deferred marketing costs. (3) Home sales revenue
less home cost of sales (excluding commissions, amortization of
deferred marketing, project cost write offs and asset impairments)
as a percent of home sales revenue. During the three months ended
June 30, 2009 and June 30, 2008, we closed homes on lots for which
we had previously recorded $47.4 million and $63.6 million,
respectively, of asset impairments. During the six months ended
June 30, 2009 and June 30, 2008, we closed homes on lots for which
we had previously recorded $90.6 million and $113.6 million,
respectively, of asset impairments. M.D.C. HOLDINGS, INC. Selected
Financial Data (Dollars in thousands) (Unaudited) Three Months
Ended June 30, Change -------------- ---------- 2009 2008 Amount %
---- ---- ------ --- HOMEAMERICAN OPERATING ACTIVITIES Principal
amount of mortgage loans originated $142,191 $213,042 $(70,851)
-33% Principal amount of mortgage loans brokered $6,030 $46,599
$(40,569) -87% Capture Rate 82% 66% 16% Including brokered loans
85% 79% 6% Mortgage products (% of mortgage loans originated) Fixed
rate 100% 98% 2% Adjustable rate - interest only 0% 1% -1%
Adjustable rate - other 0% 1% -1% Prime loans (4) 27% 45% -18%
Government loans (5) 73% 55% 18% Six Months Ended June 30, Change
-------------- ---------- 2009 2008 Amount % ---- ---- ------ ---
HOMEAMERICAN OPERATING ACTIVITIES Principal amount of mortgage
loans originated $268,698 $377,785 $(109,087) -29% Principal amount
of mortgage loans brokered $18,995 $106,170 $(87,175) -82% Capture
Rate 80% 62% 18% Including brokered loans 85% 77% 8% Mortgage
products (% of mortgage loans originated) Fixed rate 100% 97% 3%
Adjustable rate - interest only 0% 1% -1% Adjustable rate - other
0% 2% -2% Prime loans (4) 34% 53% -19% Government loans (5) 66% 47%
19% (4) Prime loans generally are defined as loans with Fair, Isaac
and Company ("FICO") scores greater than 620 and that comply with
the documentation standards of the government sponsored enterprise
guidelines. (5) Government loans are loans either insured by the
Federal Housing Administration or guaranteed by the Department of
Veteran Affairs. M.D.C. HOLDINGS, INC. Homebuilding Operational
Data (Dollars in thousands) (unaudited) June 30, December 31, June
30, 2009 2008 2008 ---- ---- ---- HOMES COMPLETED OR UNDER
CONSTRUCTION Unsold Home Under Construction - Final 82 451 298
Unsold Home Under Construction - Frame 248 329 490 Unsold Home
Under Construction - Foundation 122 41 167 --- -- --- Total Unsold
Homes Under Construction 452 821 955 Sold Homes Under Construction
664 409 1,230 Model Homes 246 387 533 --- --- --- Homes Completed
or Under Construction 1,362 1,617 2,718 ===== ===== ===== LOTS
OWNED (excluding homes completed or under construction) Arizona
1,247 1,458 2,089 California 618 839 911 Nevada 936 1,111 1,045 ---
----- ----- West 2,801 3,408 4,045 ----- ----- ----- Colorado 2,541
2,597 2,749 Utah 568 642 771 --- --- --- Mountain 3,109 3,239 3,520
----- ----- ----- Delaware Valley 101 115 133 Maryland 169 176 236
Virginia 210 241 297 --- --- --- East 480 532 666 --- --- ---
Florida 213 257 507 Illinois 141 141 156 --- --- --- Other
Homebuilding 354 398 663 --- --- --- Total 6,744 7,577 8,894 =====
===== ===== M.D.C. HOLDINGS, INC. Homebuilding Operational Data
(Dollars in thousands) (unaudited) June 30, December 31, June 30,
2009 2008 2008 ---- ---- ---- LOTS CONTROLLED UNDER OPTION Arizona
416 472 417 California 145 149 153 Nevada 95 95 - --- --- --- West
656 716 570 --- --- --- Colorado 157 184 241 Utah 12 - - --- ---
--- Mountain 169 184 241 --- --- --- Delaware Valley - 40 135
Maryland 409 355 321 Virginia 251 592 1,054 --- --- ----- East 660
987 1,510 --- --- ----- Florida 486 471 461 Illinois - - - --- ---
- Other Homebuilding 486 471 461 --- --- --- Total 1,971 2,358
2,782 ===== ===== ===== NON-REFUNDABLE OPTION DEPOSITS Cash $5,295
$5,145 $5,429 Letters of Credit 3,383 4,358 4,459 ----- ----- -----
Total Non-Refundable Option Deposits $8,678 $9,503 $9,888 ======
====== ======= M.D.C. HOLDINGS, INC. Homebuilding Operational Data
(Dollars in thousands) (unaudited) Three Months Ended June 30,
Change ----------- ---------- 2009 2008 Amount % ---- ---- ------
--- HOMES CLOSED (UNITS) Arizona 181 380 (199) -52% California 52
163 (111) -68% Nevada 114 249 (135) -54% --- --- ---- West 347 792
(445) -56% --- --- ---- Colorado 113 171 (58) -34% Utah 56 78 (22)
-28% --- --- --- Mountain 169 249 (80) -32% --- --- --- Delaware
Valley 11 20 (9) -45% Maryland 39 46 (7) -15% Virginia 45 74 (29)
-39% --- --- --- East 95 140 (45) -32% --- --- --- Florida 44 89
(45) -51% Illinois 10 22 (12) -55% --- --- --- Other Homebuilding
54 111 (57) -51% --- --- --- Total 665 1,292 (627) -49% === =====
==== AVERAGE SELLING PRICES PER HOME CLOSED Arizona $197.9 $220.5
$(22.6) -10% California 414.0 389.1 24.9 6% Colorado 341.7 346.5
(4.8) -1% Delaware Valley 393.6 400.3 (6.7) -2% Florida 227.1 248.1
(21.0) -8% Illinois 312.1 314.5 (2.4) -1% Maryland 381.7 439.8
(58.1) -13% Nevada 210.3 248.0 (37.7) -15% Utah 301.5 336.1 (34.6)
-10% Virginia 451.3 465.6 (14.3) -3% Company Average $279.0 $295.7
$(16.7) -6% Six Months Ended June 30, Change ----------- ----------
2009 2008 Amount % ---- ---- ------ --- HOMES CLOSED (UNITS)
Arizona 353 731 (378) -52% California 111 317 (206) -65% Nevada 188
429 (241) -56% --- --- ---- West 652 1,477 (825) -56% --- -----
---- Colorado 204 288 (84) -29% Utah 96 160 (64) -40% --- --- ---
Mountain 300 448 (148) -33% --- --- ---- Delaware Valley 30 51 (21)
-41% Maryland 65 95 (30) -32% Virginia 86 139 (53) -38% --- --- ---
East 181 285 (104) -36% --- --- ---- Florida 93 184 (91) -49%
Illinois 19 34 (15) -44% --- --- --- Other Homebuilding 112 218
(106) -49% --- --- ---- Total 1,245 2,428 (1,183) -49% ===== =====
====== AVERAGE SELLING PRICES PER HOME CLOSED Arizona $195.3 $226.1
$(30.8) -14% California 405.6 416.1 (10.5) -3% Colorado 346.4 349.7
(3.3) -1% Delaware Valley 413.4 415.8 (2.4) -1% Florida 223.0 240.5
(17.5) -7% Illinois 316.0 344.9 (28.9) -8% Maryland 405.2 469.3
(64.1) -14% Nevada 207.4 247.7 (40.3) -16% Utah 300.3 338.1 (37.8)
-11% Virginia 478.5 459.9 18.6 4% Company Average $283.2 $303.9
$(20.7) -7% M.D.C. HOLDINGS, INC. Homebuilding Operational Data
(Dollars in thousands) (unaudited) Three Months Ended June 30,
Change -------------- ---------- 2009 2008 Amount % ---- ----
------ --- ORDERS FOR HOMES, NET (UNITS) Arizona 214 294 (80) -27%
California 112 148 (36) -24% Nevada 153 195 (42) -22% --- --- ---
West 479 637 (158) -25% --- --- ---- Colorado 206 117 89 76% Utah
86 44 42 95% --- --- --- Mountain 292 161 131 81% --- --- ---
Delaware Valley 19 14 5 36% Maryland 54 40 14 35% Virginia 61 42 19
45% --- --- --- East 134 96 38 40% --- --- --- Florida 64 67 (3)
-4% Illinois 8 (2) 10 -500% --- --- --- Other Homebuilding 72 65 7
11% --- --- --- Total 977 959 18 2% === === === Estimated Value of
Orders for Homes, net $289,000 $279,000 $10,000 4% Estimated
Average Selling Price of Orders for Homes, net $295.8 $290.9 $4.9
2% Cancellation Rate (6) 20% 43% -23% Six Months Ended June 30,
Change -------------- ---------- 2009 2008 Amount % ---- ----
------ --- ORDERS FOR HOMES, NET (UNITS) Arizona 372 576 (204) -35%
California 187 307 (120) -39% Nevada 248 376 (128) -34% --- ---
---- West 807 1,259 (452) -36% --- ----- ---- Colorado 340 280 60
21% Utah 127 88 39 44% --- --- --- Mountain 467 368 99 27% --- ---
--- Delaware Valley 33 36 (3) -8% Maryland 91 87 4 5% Virginia 117
112 5 4% --- --- --- East 241 235 6 3% --- --- --- Florida 122 182
(60) -33% Illinois 16 13 3 23% --- --- --- Other Homebuilding 138
195 (57) -29% --- --- --- Total 1,653 2,057 (404) -20% ===== =====
==== Estimated Value of Orders for Homes, net $480,000 $603,000
$(123,000) -20% Estimated Average Selling Price of Orders for
Homes, net $290.4 $293.1 $(2.8) -1% Cancellation Rate (6) 22% 43%
-21% (6) We define "Cancellation Rate" as the approximate number of
cancelled home order contracts during a reporting period as a
percent of total home orders received during such reporting period.
M.D.C. HOLDINGS, INC. Homebuilding Operational Data (Dollars in
thousands) (unaudited) June 30, December 31, June 30, 2009 2008
2008 ---- ---- ---- BACKLOG (UNITS) Arizona 177 158 437 California
125 49 193 Nevada 113 53 254 --- -- --- West 415 260 884 --- ---
--- Colorado 208 72 205 Utah 73 42 106 -- -- --- Mountain 281 114
311 --- --- --- Delaware Valley 30 27 42 Maryland 84 58 118
Virginia 67 36 73 -- -- -- East 181 121 233 --- --- --- Florida 64
35 123 Illinois - 3 25 -- -- --- Other Homebuilding 64 38 148 -- --
--- Total 941 533 1,576 === === ===== Backlog Estimated Sales Value
$295,000 $173,000 $522,000 ======== ======== ======== Estimated
Average Selling Price of Homes in Backlog $313.5 $324.6 $331.2
====== ====== ====== ACTIVE SUBDIVISIONS Arizona 27 44 57
California 10 18 21 Nevada 19 24 29 --- --- --- West 56 86 107 ---
--- --- Colorado 43 49 48 Utah 18 22 23 --- --- --- Mountain 61 71
71 --- --- --- Delaware Valley 1 3 2 Maryland 9 11 14 Virginia 7 12
17 --- --- --- East 17 26 33 --- --- --- Florida 8 7 12 Illinois -
1 4 --- --- --- Other Homebuilding 8 8 16 --- --- --- Total 142 191
227 === === === Average for quarter ended 160 202 244 === === ===
DATASOURCE: M.D.C. Holdings, Inc. CONTACT: Robert N. Martin,
Investor Relations of M.D.C. Holdings, Inc., +1-720-977-3431, Web
Site: http://www.mdcholdings.com/
Copyright
