Exhibit 12.1
HOVNANIAN ENTERPRISES, INC.
Statement setting forth computation showing the ratio of earnings
to fixed charges, including wholly owned
mortgage banking and finance subsidiaries
(Dollars in Thousands)
Year Year Year Year
Year Ended Ended Ended Ended
Nine Months Ended October October October October
Ended October 31, 31, 31, 31, 31,
July 31, 2000 1999 1998 1997 1996
2001 Actual Actual Actual Actual Actual Actual
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Net Income (Loss)....................... $41,995 $33,163 $30,075 $25,403 $(6,970) $17,287
Add:
Federal and State Income Taxes........ 27,417 18,655 19,674 15,141 (5,154) 7,719
Extraordinary Loss.................... 868 748
Interest Expensed Res & Comm.......... 36,939 34,956 31,570 39,352 37,704 32,157
Interest Expensed Mortgage & Finance
Subsidiaries........................ 2,295 2,491 3,240 3,099 1,778 2,354
Amortization of Bond Prepaid Expenses. 730 670 549 625 636 671
Minority Interest..................... (28) 910
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Total Earnings...................... $109,348 $90,845 $85,976 $84,368 $27,994 $60,188
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Fixed Charges:
Interest Incurred Res & Comm.......... $35,808 $38,878 $24,594 $28,947 $34,777 $35,551
Interest Incurred Mortgage & Finance
Subsidiaries........................ 2,295 2,491 3,240 3,099 1,778 2,354
Amortization of Bond Prepaid Expenses. 730 670 1,033 1,043 636 671
Amortization of Bond Discount......... 272 30
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Total Fixed Charges................. $39,105 $42,069 $28,867 $33,089 $37,191 $38,576
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Ratio 2.8 2.2 3.0 2.5 (a) 1.6
(a) Earnings for the year ended October 31, 1997 were insufficient to cover
fixed charges for such period by $9,197,000.