M/I Homes (NYSE: MHO) reported Q3 EPS of $2.51, $1.07 better than the analyst estimate of $1.44. Revenue for the quarter came in at $847.82 million versus the consensus estimate of $668.17 million.

2020 Third Quarter Highlights:

• New contracts increased 71% to 2,949 contracts, an all-time quarterly record
• Backlog units increased 54% to 4,503, an all-time quarterly record
• Backlog sales value reached $1.8 billion, an all-time quarterly record
• Homes delivered increased 29% to 2,137, an all-time quarterly record
• Revenue increased 30% to an all-time quarterly record of $847.9 million
• Pre-tax income increased 90% to $95.1 million, an all-time quarterly record
• Third quarter net income of $73.5 million ($2.51 per diluted share), a 94% increase compared to $37.8 million ($1.32 per diluted share) in 2019
• Shareholders' equity reached an all-time record of $1.2 billion, a 23% increase from a year ago, with book value per share of $41
• Homebuilding debt to capital of 36% compared to 44% at September 30, 2019

Robert H. Schottenstein, Chief Executive Officer and President, commented, "We had an outstanding quarter highlighted by a 71% increase in new contracts, a 29% increase in homes delivered and a 94% increase in net income. Our gross margins were very strong, improving 240 basis points over last year, and our overhead expense ratio improved by 60 basis points. As a result, our third quarter pre-tax income percentage improved to 11.2% from 7.7% last year. And, our backlog sales value at September 30, 2020 increased 60% to a record $1.8 billion."

Mr. Schottenstein continued, "We ended the quarter with record-high shareholders' equity of $1.2 billion, an increase of 23% from 2019's third quarter, book value of $41 per share, cash of $203 million, no borrowings on our $500 million credit facility and a homebuilding debt to capital ratio of 36%. Despite the impact of COVID-19, housing fundamentals remain strong. We have significant operating momentum and are poised to continue delivering very strong results in 2020."

For earnings history and earnings-related data on M/I Homes (MHO) click here.