Exhibit 99.1
CENTEX
www.centex.com
P.O. Box 199000
Dallas, Texas 75219-9000
----------
2728 North Harwood
Dallas, Texas 75201-1516
----------
Phone: (214) 981-5000
NEWS RELEASE
FOR IMMEDIATE RELEASE
FOR ADDITIONAL INFORMATION, CONTACT AT (214) 981-5000:
LAURENCE E. HIRSCH, Chairman and Chief Executive Officer
LELDON E. ECHOLS, Executive Vice President and Chief Financial Officer
MATTHEW G. MOYER, Vice President--Investor Relations
http://www.centex.com
CENTEX REPORTS 67% INCREASE IN 4TH QUARTER NET EARNINGS
AND 45% RISE IN FISCAL YEAR NET EARNINGS
COMPANY ANNOUNCES MANUFACTURED HOUSING SPIN-OFF
(DALLAS, TX April 22, 2003): Centex Corporation (NYSE: CTX) today
announced the highest earnings for any quarter in its history for the quarter
ended March 31, 2003, the fourth quarter of fiscal 2003, as well as record
results for the seventh consecutive fiscal year.
HIGHLIGHTS OF THE QUARTER ENDED MARCH 31, 2003 INCLUDED THESE RECORDS:
o EARNINGS PER DILUTED SHARE OF $3.12, 69% HIGHER THAN A YEAR
AGO.
o OPERATING EARNINGS UP 42%, NET EARNINGS UP 67% AND REVENUES UP
28%.
o HOME CLOSINGS UP 28% AND HOME SALES UP 17%, VERSUS THE SAME
QUARTER LAST YEAR.
o HOME BUILDING OPERATING MARGINS OF 12.7%.
o PER-LOAN PROFIT FOR CONVENTIONAL MORTGAGES TOTALING $1,574.
FISCAL 2003 ACHIEVEMENTS INCLUDED:
o REVENUES EXCEEDING $9 BILLION, 18% HIGHER THAN FISCAL 2002
REVENUES.
o OPERATING EARNINGS EXCEEDING $1 BILLION FOR THE FIRST TIME AND
NET EARNINGS OF MORE THAN $555 MILLION, 45% HIGHER THAN LAST
YEAR.
o RECORD HOME BUILDING RESULTS: OPERATING EARNINGS OF $680.8
MILLION, UP 29%; CLOSINGS TOTALING 26,427 UNITS, UP 15%; NEW
HOME SALES OF 28,668, A 25% INCREASE.
o HOME BUILDING'S RECORD GROSS MARGINS OF 26.2% AND ALL-TIME
HIGH FISCAL YEAR OPERATING MARGINS OF 11.5%.
IN A NEWS RELEASE ISSUED SEPARATELY TODAY, CENTEX ANNOUNCED THAT ITS
BOARD OF DIRECTORS HAS APPROVED THE TAX-FREE SPIN-OFF OF CAVCO INDUSTRIES, INC.,
THE MAJOR COMPONENT OF ITS MANUFACTURED HOUSING OPERATIONS, TO CENTEX
STOCKHOLDERS.
CENTEX CORPORATION, PAGE 2 OF 6
Centex management said the company is raising earnings guidance for
fiscal 2004 to $9.50 to $10.50 per diluted share. These estimates include the
impact of Centex beginning to expense stock options, which is expected to be
$.15 to $.20 per share in fiscal 2004.
CENTEX'S SENIOR MANAGEMENT WILL CONDUCT A CONFERENCE CALL TO DISCUSS
THE FOURTH QUARTER AND FISCAL YEAR 2003 FINANCIAL RESULTS, AS WELL AS ITS
OUTLOOK FOR FISCAL 2004, AT 11:00 A.M. EASTERN TIME (10:00 A.M. CENTRAL TIME) ON
WEDNESDAY, APRIL 23. THE CONFERENCE CALL, ACCOMPANIED BY A SLIDE PRESENTATION,
WILL BE WEBCAST SIMULTANEOUSLY ON THE CENTEX WEB SITE AT http://www.centex.com.
A REPLAY OF THE CALL, AS WELL AS THE PRESENTATION, WILL BE ARCHIVED ON THAT
SITE.
For this year's fourth quarter, Centex reported net earnings of
$196,671,000, 67% higher than $117,476,000 for the same quarter last year.
Earnings per diluted share of $3.12 for the fourth quarter this year were 69%
above $1.85 per diluted share for the fourth quarter a year ago. Fourth quarter
revenues this year rose 28% to $2,884,745,000 from $2,261,168,000 for the same
quarter in fiscal 2002.
For fiscal 2003, Centex's net earnings of $555,919,000 or $8.83 per
diluted share were 45% higher than $382,226,000 or $6.11 per diluted share for
fiscal 2002. Consolidated revenues for fiscal 2003 reached an all-time high
$9,117,241,000, 18% higher than $7,748,430,000 reported for fiscal 2002.
Centex's return on beginning stockholders' equity was 26.3% for fiscal 2003
versus 22.3% for fiscal 2002.
Through its subsidiaries, Centex ranks among the nation's leading home
builders, non-bank-affiliated retail mortgage originators and general
contractors. Centex also has operations in home services and investment real
estate and owns approximately 65.1% of Centex Construction Products, Inc., a
publicly traded company.
HOME BUILDING
Operating earnings from Centex Homes were $263.5 million for the fourth
quarter this year, 53% higher than $171.9 million for the fourth quarter a year
ago, due to a record number of home closings and improved operating margins.
Fiscal 2003's fourth quarter revenues from Centex Homes were $2.08 billion, 33%
higher than $1.56 billion for the same quarter last year.
The 53% increase in operating earnings was achieved on a 28% increase
in closings to 9,135 homes and an improvement in operating margins to 12.7% this
year from 11.0% a year ago. The margin increase was due primarily to ongoing
cost reductions, a higher per-unit average sales price and overhead leverage.
New home orders for this year's fourth quarter were 8,223 homes, 17%
above last year's level. The backlog of homes sold but not delivered at March
31, 2003 was 12,050 units, 29% higher than the backlog at the same time a year
ago.
Fiscal 2003 operating earnings from Centex Homes reached a record
$680.8 million, 29% higher than fiscal 2002 operating earnings of $527.5
million. Centex Homes revenues of $5.93 billion for fiscal 2003 were 19% higher
than last year's revenues.
Fiscal 2003 closings reached an all-time high of 26,427 homes, 15%
above closings last year, and new home orders for fiscal 2003 totaled 28,668
homes, 25% above last year's sales. Average neighborhoods totaled 519 for fiscal
2003, a 10% increase over the average community count of 474 reported for fiscal
2002.
-MORE-
CENTEX CORPORATION, PAGE 3 OF 6
FINANCIAL SERVICES
Operating earnings from Financial Services for the fourth quarter this
year were $50.8 million, 88% higher than $26.9 million for the same quarter last
year. Fiscal 2003's fourth quarter Financial Services revenues of $246.6 million
were 31% above $188.4 million for the same quarter a year ago.
Fiscal 2003 operating earnings from Financial Services were $161.8
million, a 41% improvement over $114.7 million for fiscal 2002. Revenues from
Financial Services were $855.0 million for fiscal 2003, 22% higher than last
year's revenues of $699.8 million.
CTX MORTGAGE COMPANY
Operating earnings from CTX Mortgage Company and related companies,
including Title and Insurance operations, totaled $38.0 million, 126% higher
than $16.8 million for fiscal 2002's fourth quarter.
Aided by lower interest rates and the resulting strong refinancing
environment, fiscal 2003 operating earnings from CTX Mortgage and related
companies were $116.3 million, a 27% increase over $91.4 million in fiscal 2002.
Mortgage originations for fiscal 2003 totaled 84,934, 6% higher than the
previous year, and loan volume of $13.99 billion was up 12% from fiscal 2002.
CTX Mortgage's "capture" rate of Centex Homes' non-cash buyers was 73%
for fiscal 2003 versus 72% for fiscal 2002. Mortgage refinancings accounted for
42% of total originations in fiscal 2003 compared to 34% last year.
CENTEX HOME EQUITY COMPANY
Centex Home Equity Company (CHEC) reported operating earnings of $12.8
million for the fourth quarter of fiscal 2003, a 23% improvement over $10.4
million in last year's fourth quarter.
For fiscal year 2003, CHEC's operating earnings rose 88% to $47.1
million from $25.1 million in fiscal 2002. Originations for fiscal 2003
increased 9% to a record 29,448 loans. CHEC's loan servicing portfolio under the
"Portfolio Accounting Method" has reached $4.64 billion and continues to
increase.
CONSTRUCTION PRODUCTS
For the quarter ended March 31, 2003, Centex Construction Products
(CXP) reported operating earnings of $16.0 million, 16% less than $19.0 million
for the same quarter last year. Minority interest in the earnings was $4.9
million this quarter versus $5.6 million for the same quarter last year. CXP's
revenues for the fourth quarter this year were $117.4 million, 5% higher than
$111.4 million for the fourth quarter in fiscal 2002.
-MORE-
CENTEX CORPORATION, PAGE 4 OF 6
For fiscal 2003, CXP operating earnings were $96.3 million, 27% higher
than operating earnings of $75.9 million in fiscal 2002. The increase resulted
from improved earnings in gypsum wallboard and paperboard. Minority interest in
these earnings was $30.4 million in fiscal 2003 and $20.8 million in fiscal
2002. Fiscal 2003 revenues for CXP were $501.3 million, 6% higher than $471.1
million last year.
CONSTRUCTION SERVICES
Construction Services reported operating earnings of $4.1 million for
the fourth quarter of fiscal 2003, 67% less than operating earnings of $12.3
million for the same quarter last year. This year's fourth quarter results
reflect margin pressure due to the difficult operating environment for
commercial construction services and a provision for a potential loss project.
Revenues from Construction Services were $354.3 million for the quarter
this year, 9% higher than revenues of $324.2 million for the year-ago quarter.
New contracts for the quarter totaled $303 million, 25% higher than $243 million
for the same quarter a year ago.
For fiscal 2003, Construction Services reported operating earnings of
$30.7 million, 15% less than $36.2 million in operating earnings in the prior
year. Construction Services revenues for fiscal 2003 were $1.52 billion, 17%
higher than $1.30 billion in the prior year.
During fiscal 2003, Contracting and Construction Services was awarded
approximately $857 million of new contracts, 41% less than $1.5 billion in
fiscal 2002. The backlog of uncompleted construction contracts at March 31, 2003
was $1.5 billion, 30% less than $2.2 billion at March 31, 2002.
INVESTMENT REAL ESTATE
For the quarter ended March 31, 2003, Centex's Investment Real Estate
operation, through which all investment property transactions are reported, had
operating earnings of $24.9 million, 106% higher than $12.1 million for the same
quarter a year ago. For fiscal 2003, Investment Real Estate had operating
earnings of $54.3 million, 13% higher than $48.1 million last year.
Included in these results are earnings from London, England-based
Fairclough Homes, Centex's U.K-based home building operation that is owned by
Centex Development Company, L.P. Fairclough built and closed 516 homes during
the fourth quarter this year compared to 456 homes during the fourth quarter of
fiscal 2002 and reported operating earnings of $11.0 million this quarter versus
$4.4 million for the same quarter last year. During fiscal 2003, Fairclough
delivered 1,492 homes and had operating earnings of $20.4 million versus 1,387
homes and operating earnings of $12.3 million in fiscal 2002.
OTHER
For the quarter ended March 31, 2003, the Manufactured Housing Group
reported an operating loss of $11.3 million versus an operating loss of $52,000
for the same quarter last year. The loss in the fourth quarter of fiscal 2003
includes approximately $4.5 million of expenses related to the spin-off,
manufactured housing community development and other activities that will not be
part of the new company. It also includes approximately $8.3 million of losses
for operations that will be discontinued after the spin-off.
-MORE-
CENTEX CORPORATION, PAGE 5 OF 6
For fiscal 2003, the Manufactured Housing Group reported a loss of $9.2
million versus a loss of $862,000 for fiscal 2002. The Group losses in 2003 and
2002 include approximately $5.6 million and $1.1 million, respectively, of
expenses related to the spin-off, manufactured housing community development and
other activities that will not be part of the new company. These losses also
include losses of approximately $11.4 million in 2003 and $4.5 million in 2002
for operations that will be discontinued. Revenues from Manufactured Housing
were $141.9 million in fiscal 2003, compared to $122.0 million in fiscal 2002.
Home Services reported an operating loss of $7.1 million for the fourth
quarter in fiscal 2003 compared to an operating loss of $2.2 million for the
fourth quarter last year. Fiscal 2003's fourth quarter included an $8 million
provision to reduce the carrying value of its remaining home security monitoring
contracts. For fiscal 2003, Home Services reported an operating loss of $9.6
million compared to operating earnings of $4.0 million for the previous fiscal
year.
CAVCO SPIN-OFF
In a separate news release issued today, Centex announced its intention
to distribute to its stockholders all of the issued and outstanding stock of
Cavco Industries, Inc., the primary component of its Manufactured Housing Group.
Holders of Centex common stock will receive 0.05 shares of Cavco common stock
for each Centex share held.
Centex said it believes the distribution is in the best interests of
Centex, its stockholders and Cavco. Joseph H. Stegmayer, who has been Chairman
and Chief Executive Officer (CEO) of Centex's Manufactured Housing Group since
2000 and has extensive experience in the manufactured housing industry, will be
Chairman and CEO of the new entity.
For fiscal 2003, the operations to be included in the spin-off had
income from continuing operations of $6.8 million and a loss of $11.4 million
associated with discontinued operations (related to certain retail operations
and idled plants). For fiscal 2002, income from continuing operations was $3.1
million and losses associated with discontinued operations were $4.5 million.
These results are after interest but before income tax expense. Revenues for the
spin-off operation were $137.9 million in fiscal 2003 and $125.3 million in
fiscal 2002.
Centex said the spin-off of Cavco will not have a material impact on
Centex's future earnings or debt coverage ratios. Centex estimates the value of
the tax-free dividend will be $.50 to $.70 per Centex share, although the actual
value will depend on the trading price of Cavco's stock.
OUTLOOK
Centex enters fiscal 2004 with the highest year-end backlog of home
sales in its history and expects to continue to add more neighborhoods,
positioning the company to post another year of record earnings, sales, closings
and backlog. Centex said it expects fiscal 2004 to be the company's eighth
consecutive record year.
# # #
-MORE-
CENTEX CORPORATION, PAGE 6 OF 6
Forward-Looking Statements. This press release contain forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933,
Section 21E of the Securities Exchange Act of 1934 and the Private Securities
Litigation Reform Act of 1995. Forward-looking statements may be identified by
the context of the statement and generally arise when the Company is discussing
its beliefs, estimates or expectations. These statements are not guarantees of
future performance and involve a number of risks and uncertainties. Actual
results and outcomes may differ materially from what is expressed or forecast in
such forward-looking statements. The principal risks and uncertainties that may
affect the Company's actual performance and results of operations include the
following: general economic conditions and interest rates; the cyclical and
seasonal nature of the Company's businesses; adverse weather; changes in
property taxes and energy costs; changes in federal income tax laws and federal
mortgage financing programs; governmental regulations; changes in governmental
and public policy; changes in economic conditions specific to any one or more of
the Company's markets and businesses; competition; availability of raw
materials; and unexpected operations difficulties. These and other factors are
described in the Company's most recent Annual Report on Form 10-K for the fiscal
year ended March 31, 2002 and in its Quarterly Reports on Form 10-Q for the
fiscal quarters ended June 30, 2002 and September 30, 2002, and December 31,
2002, each of which is filed with the Securities and Exchange Commission.
NOTE ATTACHMENTS:
(1) Revenues and Earnings by Lines of Business (Quarter and Year)
(2) Condensed Consolidated Balance Sheets
(3) Condensed Consolidated Cash Flows
(4) Supplemental Home Building Data
(5) Housing Activity by Geographic Area
(6) Housing Activity Dollar Values by Geographic Area
(7) Supplemental Financial Services Data
(8) Supplemental Construction Products Data
Supplemental Construction Services Data
-MORE-
Attachment 1
Centex Corporation and Subsidiaries
Revenues and Earnings by Lines of Business
(dollars in thousands, except per share data)
<Table>
<Caption>
Quarter Ended Twelve Months Ended
March 31, March 31,
(unaudited) (unaudited)
-------------------------------------------- --------------------------------------------
2003 2002 Change 2003 2002 Change
------------ ------------ ------------ ------------ ------------ ------------
REVENUES
Home Building $ 2,078,818 $ 1,564,176 33% $ 5,934,510 $ 4,984,817 19%
Financial Services 246,578 188,394 31% 855,015 699,760 22%
Construction Products 117,400 111,365 5% 501,257 471,083 6%
Construction Services 354,258 324,238 9% 1,517,851 1,296,024 17%
Investment Real Estate 27,776 15,363 81% 66,862 72,416 (8)%
Other (A) 59,915 57,632 4% 241,746 224,330 8%
------------ ------------ ------------ ------------
Total $ 2,884,745 $ 2,261,168 28% $ 9,117,241 $ 7,748,430 18%
============ ============ ============ ============
OPERATING EARNINGS
Home Building $ 263,480 $ 171,853 53% $ 680,777 $ 527,462 29%
Financial Services 50,759 26,948 88% 161,825 114,733 41%
Construction Products 16,020 18,998 (16)% 96,268 75,868 27%
Construction Services 4,087 12,343 (67)% 30,718 36,225 (15)%
Investment Real Estate 24,921 12,086 106% 54,334 48,068 13%
Other (A) (18,410) (2,284) (706)% (18,849) 3,140 (700)%
------------ ------------ ------------ ------------
TOTAL OPERATING EARNINGS 340,857 239,944 42% 1,005,073 805,496 25%
Corporate General Expenses (19,453) (12,637) (60,289) (50,189)
Interest Expense (35,280) (31,136) (119,560) (115,766)
Minority Interest in
Construction Products (4,925) (5,641) (30,373) (20,776)
------------ ------------ ------------ ------------
EARNINGS BEFORE INCOME TAXES 281,199 190,530 48% 794,851 618,765 28%
Income Taxes (84,528) (73,054) (238,932) (236,539)
------------ ------------ ------------ ------------
NET EARNINGS $ 196,671 $ 117,476 67% $ 555,919 $ 382,226 45%
============ ============ ============ ============
Earnings Per Share:
Basic $ 3.24 $ 1.93 68% $ 9.15 $ 6.31 45%
Diluted $ 3.12 $ 1.85 69% $ 8.83 $ 6.11 45%
Average Shares Outstanding:
Basic 60,637,309 60,949,857 (1)% 60,782,042 60,560,788 --%
Diluted 63,024,136 63,486,498 (1)% 63,058,156 62,529,147 1%
</Table>
Attachment 2
CENTEX CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets with Consolidating Details
(Dollars in millions)
<Table>
<Caption>
Centex Corporation
and Subsidiaries Centex Corporation** Financial Services
----------------------- ----------------------- -----------------------
March 31, March 31, March 31, March 31, March 31, March 31,
2003* 2002 2003* 2002 2003* 2002
---------- ---------- ---------- ---------- ---------- ----------
ASSETS
Cash -
Unrestricted $ 472 $ 220 $ 457 $ 193 $ 15 $ 27
Restricted 172 106 8 5 164 101
Receivables -
Residential Mortgage Loans Held for Investment 4,643 3,254 -- -- 4,643 3,254
Residential Mortgage Loans Held for Sale 303 242 -- -- 303 242
Other Receivables 663 567 465 419 198 148
Inventories -
Homebuilding 3,422 2,599 3,422 2,599 -- --
Construction Products and Other 84 105 75 76 9 29
Investments (primarily in CDC) 383 364 788 862 -- --
Property and Equipment, net 696 720 654 672 42 48
Goodwill 372 350 355 333 17 17
Deferred Charges and Other Assets 400 458 121 176 279 282
---------- ---------- ---------- ---------- ---------- ----------
$ 11,610 $ 8,985 $ 6,345 $ 5,335 $ 5,670 $ 4,148
========== ========== ========== ========== ========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts Payable and Accrued Liabilities $ 1,678 $ 1,438 $ 1,414 $ 1,275 $ 290 $ 351
Debt
Non-Financial Services 2,106 1,792 2,106 1,792 -- --
Financial Services 4,999 3,485 -- -- 4,999 3,485
Minority Stockholders' Interest 170 153 168 151 2 2
Stockholders' Equity 2,657 2,117 2,657 2,117 379 310
---------- ---------- ---------- ---------- ---------- ----------
$ 11,610 $ 8,985 $ 6,345 $ 5,335 $ 5,670 $ 4,148
========== ========== ========== ========== ========== ==========
</Table>
* March 31, 2003 balances are unaudited.
** In the supplemental data presented above, "Centex Corporation" represents the
consolidation of all subsidiaries other than those included in Financial
Services. Transactions between Centex Corporation and Financial Services have
been eliminated from the Centex Corporation and Subsidiaries balance sheets.
*** We believe that separate disclosure of the consolidating information is
useful because the Financial Services subsidiaries operate in a distinctly
different financial environment that generally requires significantly less
equity to support their higher debt levels compared to the operations of our
other subsidiaries; the Financial Services subsidiaries have structured their
financing programs substantially on a stand-alone basis; and we have limited
obligations with respect to the indebtedness of our Financial Services
subsidiaries. Management uses this information in its financial and strategic
planning.
Attachment 3
CENTEX CORPORATION AND SUBSIDIARIES
Condensed Consolidated Cash Flows with Consolidating Details
(Dollars in millions)
<Table>
<Caption>
Centex Corporation
and Subsidiaries Centex Corporation** Financial Services
------------------------ ------------------------ ------------------------
For the Twelve Months For the Twelve Months For the Twelve Months
Ended March 31, Ended March 31, Ended March 31,
------------------------ ------------------------ ------------------------
2003* 2002* 2003* 2002* 2003* 2002*
---------- ---------- ---------- ---------- ---------- ----------
CASH FLOWS - OPERATING ACTIVITIES
Net Earnings $ 556 $ 382 $ 556 $ 382 $ 153 $ 81
Adjustments -
Depreciation and Amortization 113 91 96 75 17 16
Other Noncash Adjustments 51 (15) (141) (113) 37 (24)
Decrease (Increase) in Loans Held for Sale (62) 40 -- -- (62) 40
Increase in Inventories (711) (507) (731) (487) 20 (20)
Other Operating Activities 73 90 87 167 (174) 93
---------- ---------- ---------- ---------- ---------- ----------
20 81 (133) 24 (9) 186
---------- ---------- ---------- ---------- ---------- ----------
CASH FLOWS - INVESTING ACTIVITIES
Increase in Loans Held for Investment (1,428) (1,500) -- -- (1,428) (1,500)
Other Investing Activities (145) (137) 106 (232) (15) (7)
---------- ---------- ---------- ---------- ---------- ----------
(1,573) (1,637) 106 (232) (1,443) (1,507)
---------- ---------- ---------- ---------- ---------- ----------
CASH FLOWS - FINANCING ACTIVITIES
Increase in Short-Term Debt, net 534 (213) 6 19 528 (232)
Issuance (Repayment) of Long-Term Debt, net 1,294 1,903 308 308 986 1,594
Other Financing Activities (23) 28 (23) 28 (74) (26)
---------- ---------- ---------- ---------- ---------- ----------
1,805 1,718 291 355 1,440 1,336
---------- ---------- ---------- ---------- ---------- ----------
Net Increase in Cash and Cash Equivalents 252 162 264 147 (12) 15
Cash and Cash Equivalents at Beginning of
Period 220 58 193 46 27 12
---------- ---------- ---------- ---------- ---------- ----------
Cash and Cash Equivalents at End of Period $ 472 $ 220 $ 457 $ 193 $ 15 $ 27
========== ========== ========== ========== ========== ==========
</Table>
* March 31, 2003 balances are unaudited.
** In the supplemental data presented above, "Centex Corporation" represents the
consolidation of all subsidiaries other than those included in Financial
Services. Transactions between Centex Corporation and Financial Services have
been eliminated from the Centex Corporation and Subsidiaries statements of cash
flows.
*** We believe that separate disclosure of the consolidating information is
useful because the Financial Services subsidiaries operate in a distinctly
different financial environment that generally requires significantly less
equity to support their higher debt levels compared to the operations of our
other subsidiaries; the Financial Services subsidiaries have structured their
financing programs substantially on a stand-alone basis; and we have limited
obligations with respect to the indebtedness of our Financial Services
subsidiaries. Management uses this information in its financial and strategic
planning.
Attachment 4
Centex Corporation and Subsidiaries
Supplemental Home Building Data
(unaudited)
(dollars in millions, except per unit data)
<Table>
<Caption>
Quarter Ended March 31,
----------------------------------------------------------------
2003 2002
------------------------------ ------------------------------
HOME BUILDING MARGINS
Revenues - Housing $ 2,056.6 100.0% $ 1,543.4 100.0%
Cost of Sales - Housing (1,522.5) (74.0)% (1,151.1) (74.6)%
------------ ------------ ------------ ------------
Gross Margin - Housing 534.1 26.0% 392.3 25.4%
------------ ------------ ------------ ------------
Revenues - Land Sales & Other 22.2 20.8
Cost of Sales - Land Sales & Other (22.5) (23.1)
------------ ------------
Gross Margin - Land Sales & Other (0.3) (2.3)
------------ ------------
Total Gross Margin 533.8 25.7% 390.0 24.9%
Selling, General & Administrative (270.3) (13.0)% (218.1) (13.9)%
------------ ------------ ------------ ------------
OPERATING EARNINGS $ 263.5 12.7% $ 171.9 11.0%
============ ============
Units Closed 9,135 7,125
Unit Sales Price $ 225,132 $ 216,611
% Change 3.9% 2.1%
Operating Earnings per Unit $ 28,843 $ 24,120
% Change 19.6% (4.3)%
Average Neighborhoods 551 473
% Change 16.5% 3.3%
<Caption>
Twelve Months Ended March 31,
----------------------------------------------------------------
2003 2002
------------------------------ ------------------------------
HOME BUILDING MARGINS
Revenues - Housing $ 5,818.8 100.0% $ 4,907.4 100.0%
Cost of Sales - Housing (4,297.1) (73.8)% (3,648.6) (74.3)%
------------ ------------ ------------ ------------
Gross Margin - Housing 1,521.7 26.2% 1,258.8 25.7%
------------ ------------ ------------ ------------
Revenues - Land Sales & Other 115.7 77.4
Cost of Sales - Land Sales & Other (91.4) (64.9)
------------ ------------
Gross Margin - Land Sales & Other 24.3 12.5
------------ ------------
Total Gross Margin 1,546.0 26.1% 1,271.3 25.5%
Selling, General & Administrative (865.2) (14.6)% (743.8) (14.9)%
------------ ------------ ------------ ------------
OPERATING EARNINGS $ 680.8 11.5% $ 527.5 10.6%
============ ============ ============
Units Closed 26,427 22,960
Unit Sales Price $ 220,183 $ 213,738
% Change 3.0% 3.8%
Operating Earnings per Unit $ 25,761 $ 22,973
% Change 12.1% 11.6%
Average Neighborhoods 519 474
% Change 9.5% 3.7%
</Table>
LOT POSITION AS OF MARCH 31,
<Table>
<Caption>
2003 2002
------------ ------------
Lot Owned and Controlled:
Lots Owned 59,844 43,513 37.5%
Lots Controlled 70,926 50,819 39.6%
------------ ------------
Total 130,770 94,332 38.6%
============ ============
</Table>
Attachment 5
Centex Corporation and Subsidiaries
Housing Activity by Geographic Area
<Table>
<Caption>
Closings
-----------------------------------------------------------------------------------------------
Quarter Ended March 31, Twelve Months Ended March 31,
--------------------------------------------- ---------------------------------------------
2003 2002 Change 2003 2002 Change
------------ ------------ ------------ ------------ ------------ ------------
Mid-Atlantic 1,434 1,155 24% 4,501 3,877 16%
Southeast 1,585 1,389 14% 4,851 4,440 9%
Midwest 1,684 1,089 55% 4,695 3,688 27%
Southwest 2,890 2,242 29% 8,157 6,910 18%
West Coast 1,542 1,250 23% 4,223 4,045 4%
------------ ------------ ------------ ------------
9,135 7,125 28% 26,427 22,960 15%
============ ============ ============ ============
</Table>
<Table>
<Caption>
Sales (Orders) Backlog
---------------------------------------------
3/31/03 3/31/02 Change
------------ ------------ ------------
Mid-Atlantic 2,148 1,503 43%
Southeast 2,713 2,315 17%
Midwest 2,920 2,093 40%
Southwest 2,258 2,361 (4)%
West Coast 2,011 1,099 83%
------------ ------------
12,050 9,371 29%
============ ============
</Table>
<Table>
<Caption>
Sales (Orders)
-----------------------------------------------------------------------------------------------
Quarter Ended March 31, Twelve Months Ended March 31,
--------------------------------------------- ---------------------------------------------
2003 2002 Change 2003 2002 Change
------------ ------------ ------------ ------------ ------------ ------------
Mid-Atlantic 1,586 1,256 26% 5,146 3,936 31%
Southeast 1,441 1,446 --% 5,249 4,819 9%
Midwest 1,559 1,182 32% 5,087 3,744 36%
Southwest 2,280 2,091 9% 8,054 6,725 20%
West Coast 1,357 1,045 30% 5,132 3,763 36%
------------ ------------ ------------ ------------
8,223 7,020 17% 28,668 22,987 25%
============ ============ ============ ============
</Table>
Effective with the June 30, 2002 quarter's release, Centex realigned its
conventional home building operating units into the above newly designated
geographic areas.
Attachment 6
Centex Corporation and Subsidiaries
Housing Activity Values by Geographic Area
<Table>
<Caption>
Housing Revenues - Closings
(dollars in millions)
-----------------------------------------------------------------------------------------------
Quarter Ended March 31, Twelve Months Ended March 31,
--------------------------------------------- ---------------------------------------------
2003 2002 Change 2003 2002 Change
------------ ------------ ------------ ------------ ------------ ------------
Mid-Atlantic $ 367.2 $ 284.4 29% $ 1,160.8 $ 944.8 23%
Southeast 343.6 290.0 18% 1,010.3 907.5 11%
Midwest 324.0 205.6 58% 893.5 700.6 28%
Southwest 431.9 347.0 24% 1,222.0 1,036.5 18%
West Coast 589.9 416.4 42% 1,532.2 1,318.0 16%
------------ ------------ ------------ ------------
$ 2,056.6 $ 1,543.4 33% $ 5,818.8 $ 4,907.4 19%
============ ============ ============ ============
</Table>
<Table>
<Caption>
Sales (Orders) Backlog Value
(dollars in millions)
---------------------------------------------
3/31/03 3/31/02 Change
------------ ------------ ------------
Mid-Atlantic $ 616.7 $ 405.3 52%
Southeast 574.1 468.8 22%
Midwest 553.2 384.2 44%
Southwest 343.2 347.8 (1)%
West Coast 714.8 330.3 116%
------------ ------------
$ 2,802.0 $ 1,936.4 45%
============ ============
</Table>
Attachment 7
Centex Corporation and Subsidiaries
Supplemental Financial Services Data
CTX MORTGAGE COMPANY
<Table>
<Caption>
Quarter Ended March 31, Twelve Months Ended March 31,
---------------------------------- ----------------------------------
2003 2002 Change 2003 2002 Change
-------- -------- -------- -------- -------- --------
Originations
Builder 6,410 4,823 33% 18,127 15,435 17%
Retail 17,718 13,102 35% 66,807 64,949 3%
-------- -------- -------- --------
Total 24,128 17,925 35% 84,934 80,384 6%
======== ======== ======== ========
Applications
Builder 5,904 4,723 25% 20,103 16,344 23%
Retail 20,921 12,043 74% 69,883 60,188 16%
-------- -------- -------- --------
Total 26,825 16,766 60% 89,986 76,532 18%
======== ======== ======== ========
Loan Volume (in billions) $ 4.02 $ 2.86 41% $ 13.99 $ 12.45 12%
======== ======== ======== ========
Average Loan Size $166,600 $159,300 5% $164,700 $154,800 6%
======== ======== ======== ========
Profit per Loan $ 1,574 $ 937 68% $ 1,369 $ 1,137 20%
======== ======== ======== ========
</Table>
CHEC (B & C)
<Table>
<Caption>
Quarter Ended March 31, Twelve Months Ended March 31,
---------------------------------- ----------------------------------
2003 2002 Change 2003 2002 Change
-------- -------- -------- -------- -------- --------
Originations 7,667 5,754 33% 29,448 26,955 9%
======== ======== ======== ======== ======== ========
Applications 74,835 44,739 67% 248,150 172,498 44%
======== ======== ======== ======== ======== ========
Loan Volume (in billions) $ 0.70 $ 0.45 56% $ 2.51 $ 2.09 20%
======== ======== ======== ======== ======== ========
Average Loan Size $ 91,800 $ 78,100 18% $ 85,100 $ 77,600 10%
======== ======== ======== ======== ======== ========
Earnings As a % of Average
"Owned" Portfolio 1.15% 1.33% 1.20% 0.98%
======== ======== ======== ========
</Table>
<Table>
<Caption>
SERVICING PORTFOLIO AS OF MARCH 31: 2003 2002 Change
-------- -------- --------
Number of Loans:
Portfolio Accounting Method 61,073 45,211
Other 13,329 17,622
-------- --------
Total 74,402 62,833 18%
======== ========
Servicing Portfolio ($ in billions):
Portfolio Accounting Method $ 4.64 $ 3.25
Other 0.84 1.12
-------- --------
Total $ 5.48 $ 4.37 26%
======== ========
</Table>
Attachment 8
Centex Corporation and Subsidiaries
SUPPLEMENTAL CONSTRUCTION PRODUCTS DATA
(volumes in thousands, except Gypsum Wallboard)
<Table>
<Caption>
Quarter Ended March 31, Twelve Months Ended March 31,
---------------------------------------- ----------------------------------------
2003 2002 Change 2003 2002 Change
---------- ---------- ---------- ---------- ---------- ----------
Cement
Sales Volumes (Tons) 463 446 4% 2,361 2,441 (3)%
Average Net Sales Price $ 63.64 $ 65.04 (2)% $ 66.84 $ 67.69 (1)%
Gypsum Wallboard
Sales Volumes (MMSF) 548 518 6% 1,933 1,930 -%
Average Net Sales Price $ 79.00 $ 82.27 (4)% $ 87.12 $ 72.97 19%
Paperboard
Sales Volumes (Tons) 60 58 3% 225 210 7%
Average Net Sales Price $ 419.60 $ 398.93 5% $ 408.44 $ 398.13 3%
Concrete
Sales Volumes (Cubic Yards) 159 132 20% 681 673 1%
Average Net Sales Price $ 52.92 $ 56.07 (6)% $ 53.86 $ 55.93 (4)%
Aggregates
Sales Volumes (Tons) 793 909 (13)% 4,159 4,265 (2)%
Average Net Sales Price $ 5.02 $ 4.37 15% $ 4.51 $ 4.33 4%
</Table>
SUPPLEMENTAL CONSTRUCTION SERVICES DATA
(dollars in millions)
<Table>
<Caption>
Quarter Ended March 31, Twelve Months Ended March 31,
---------------------------------------- ----------------------------------------
2003 2002 Change 2003 2002 Change
---------- ---------- ---------- ---------- ---------- ----------
New Contracts $ 303 $ 243 25% $ 857 $ 1,455 (41)%
========== ========== ========== ==========
Backlog at March 31, $ 1,520 $ 2,180 (30)%
========== ==========
</Table>