Exhibit 12.1
Meritage Homes Corporation
Calculation of Ratio of Earnings to Total Fixed Charges
(Dollars in thousands)
| Year Ended December 31, | ||||||||||||||||||||
| 2017 | 2016 | 2015 | 2014 | 2013 | ||||||||||||||||
Income from continuing operations before income taxes and minority interest | 247,519 | 218,060 | 189,464 | 208,417 | 177,672 | |||||||||||||||
Income from equity method investees | (15,959 | ) | (19,042 | ) | (12,759 | ) | (10,422 | ) | (12,805 | ) | ||||||||||
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| 231,560 | 199,018 | 176,705 | 197,995 | 164,867 | ||||||||||||||||
Add/(deduct): | ||||||||||||||||||||
+ Fixed Charges | 82,278 | 72,952 | 69,753 | 60,541 | 53,285 | |||||||||||||||
+ Amortization of Capitalized Interest | 64,824 | 58,182 | 44,435 | 32,143 | 24,668 | |||||||||||||||
+ Distributed income of equity method investees | 15,337 | 16,959 | 12,650 | 11,613 | 13,013 | |||||||||||||||
- Interest capitalized | (75,192 | ) | (65,176 | ) | (51,577 | ) | (53,211 | ) | (36,060 | ) | ||||||||||
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Earnings available for fixed charges | 318,807 | 281,935 | 251,966 | 249,081 | 219,773 | |||||||||||||||
Fixed Charges: | ||||||||||||||||||||
Interest and other financial charges expensed and capitalized | 79,045 | 70,348 | 67,542 | 58,374 | 51,152 | |||||||||||||||
Interest factor attributed to rentals (a) | 3,233 | 2,604 | 2,211 | 2,167 | 2,133 | |||||||||||||||
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Fixed Charges | 82,278 | 72,952 | 69,753 | 60,541 | 53,285 | |||||||||||||||
Ratio of earnings to fixed charges (b) | 3.9x | 3.9x | 3.6x | 4.1x | 4.1x | |||||||||||||||
| (a) | The interest factor attributable to rentals consists ofone-third of rental charges, which is deemed by the Company to be representative of the interest factor inherent in rent. |
| (b) | There was no outstanding preferred stock during the periods presented; therefore, the ratio of earnings to fixed charges and earnings to combined fixed charges and preferred stock dividends were the same. |