Earnings call transcript Q1 2023

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, and welcome to M.D.C. Holdings 2023 First Quarter Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions]. After today’s presentation, there will be an opportunity to ask questions. Instructions]. [Operator event this being is note recorded. Please

now Derek Kimmerle, would like go to to over conference the Chief turn ahead. I Accounting Please Officer.

Derek Kimmerle

M.D.C. morning, and earnings Thank and call. Holdings to conference Good quarter XXXX you. first ladies welcome gentlemen,

have all On Executive Mizel, a participants Officer; Bob are Chairman; today, Officer. Financial mode. Executive our Martin, Chief in Larry Chief the Mandarich, At me call and with I David this listen-only time,

participants time limit will we to conduct question-and-answer we remarks, request one prepared which that is being and note our finishing question be recorded After Please and that themselves replay. conference session, one a question. will at follow-up for available this

how website access For replay, please to at information mdcholdings.com. visit our on the

that related may certain XXXX. including statements strategies made conference meaning the call, MDC's cash of responses this of to to statements turning questions contain Reform Litigation over and call David, noted Before during those financial Larry prospects Act and flows, operations, of Securities forward-looking to condition, business, and the results Private the it be within should

These uncertainties factors the performance risks, cause achievements results, may performance from implied and actual or the forward-looking different known by statements expressed results, materially that achievements company's and or or other the statements. to involve be unknown

slides. Regulation that is webcast SEC be requires measures. the with other factors first to use Regulation certain that that website which information non-GAAP the actual These should company's and noted set G our with SEC posted Any G It accompany be could by company's filed in XX-Q, are expected is information financial the impact today. forth also performance of quarter on required our the Form XXXX

opening Mizel the to Mr. remarks. I call will for turn And now, over his

Larry Mizel

$XX joining per share quarter, thoughts of over us as generated Thank in and shares. current first the results our the quarter diluted you net or on market income our $X.XX of million MDC first XXXX go conditions. for we for today,

period months our during delivered stated the guidance. We well three previously of in homes XXXX excess

spec team quick an in closing of delivered buyers. home to excellent backlog and our As move did job buyers and

during the sales towards generating holding focused Our more pricing. quarter skewed versus

to willing As our sacrifice we the homebuilding some momentum in operations. keep were going to margin

We this sensitive buyers to market changes to in own continue to motivated be for strategy home, where right today's a is to believe the remain affordability.

order net of XXXX. the significantly total relative the increase Our fourth in XXXX, of first to quarter quarter

also Thanks we and fourth to the the adapted buyers rate homes. to implemented our we requirements levels adjusted incentive more As Cancellations pricing build higher environment, to deposit declined to the conditions market from quarter. higher spur sales stable order and the dramatically activity.

We generated XXXX net the new per community per quarter pace on absorption homes X.X month. orders for an of

at a total experienced in positive net underscoring the momentum gross and basis we came each increased of orders communities. sequential Our X,XXX. gross the order Both at quarter, on month our

maintain position of feel our We of focus momentum order most segments this market. at activity affordable based we are in communities the on we more on see have the to the we and

perspective, we count to year macro the home to year. Our from believe net the benefit company from higher benefit sales this From of will continues as tailwinds. a my new industry compared last number community a of

place. sale homes Existing at the X.X from REALTORS, were current release of the which home according inventory a Association homes XXX,XXX supply of shows most constrained months remains National to for there This recent the nationally. sales represents

factors the contribute fundamental continues and low have data to encouraging rates Mortgage job All even we see these recent retreated continued interest quarter, during the and growth powering with favorable from highs. be unemployment. Employment backdrop to our stabilized and industry.

and that from strong our level, the job growth in the our patterns we operations markets. homebuilding continue At believe characterize local have migration will

of the country. We some MSAs growth highest have and the an established in presence

will trends from earners attracting these new migration are a pipeline home and demand natural high wage months. the us We in employers locations. coming continue, other give believe of We

size continue should private builders the have we advantages in smaller to our over the and scale benefit from MDC markets.

to Our ability necessary our to success. procure business key for is labor and land, materials our

scale we our this our can in operate, we than most favorable more terms competitors. accomplish typically smaller the Given markets of on

also it to turmoil. capital, that We recent cost to important only a and when access have factor regional an advantage banking has the more become comes in

spending quarter testament of balance We marketable which to with adjust a our our ended securities generate the and when ability appropriate. liquidity we is $X.X feel billion, capital first a plans over and to it's cash

year, the the balance We at to our when withhold like of of take arise. to last and advantage sheet they in end opportunities slowdowns we experienced structured the market,

$X We in basis. reinvest are annualized fund dividend, and currently operations industry in a per which at share stands an to our great on our leading position

Given MDC. of am balance fundamentals strength industry of the our I about our future of and underlying sheet, our the operations health the positive optimistic homebuilding

operations to Now, like in this I'd homebuilding to who turn will over detail the our David, provide quarter. more call

David Mandarich

in saw conditions we first relative to Larry, of fourth the XXXX, market improvement in of significant a the Thanks, XXXX. quarter quarter

fewer levels, rates stabilized mortgage cancellations. better leading improved, confidence As and and to buyer traffic

incentives a particularly of are sales. most proved very successful concerned monthly buy to who be actions offered for the We to downs entice Mortgage getting rates, be more payment. those sidelines. tools buyers about prices the and their at these lowered communities buyers, And and effective other to number base continue off drive incentives financing to

The during order result as down of quarter three incentive activity step well. broad-based took the Profitability base across the performing operations lower fairly segments homebuilding prices higher quarter, rebound a during a all in was and with activity. our

segment gross impacted. level. absolute With been highest have margin Our now and West segments our East most Mountain the having the

the buyers start in as our quarter, of quick key success more the speculative during from close. a pivot first quarter driver inventory sales to generated fourth for was we sales Our a a looking

appeal moving the believe to higher the we speculative is over to homebuilding build prudent buyer. a While a we forward long-term, operating to order to strategy of move-in on the quick continued model maintaining plan level most inventory

offset we the Most the back reason is industry. continue to Another more build that times the our process. homes concentrated are now the plague construction delays are longer starting of end to spec in of

build not improvements improvement an process. time home the in quarter, our in the see do have delivered construction in the we While of front seen end we for

During our month frame quarter, average start a we first time. one the over complete in to of saw cycle and decrease

We the are hopeful that the we begin will see back progress process of we improvements end the to as year. in construction through

the in quickly strategies spec inventory. the effective quarter I'm and pleased We faced with in pricing to XXXX our conditions at of first very all end we with of of performance responded additional light XXXX. market particularly headwinds changing the

a to spec homes closings, operations. into amount to number convert of from start the I'm quick is Thanks homebuilding off we that for our our ability generated a We stabilized move-in our XXXX excited opportunities backlog and and significant reduce the lie cash great to ahead. Overall, cancellations. of

who detail With guidance to give on this results our provide the that, I'd for some more call like financial quarter coming to Bob, will over turn the and quarter.

Bob Martin

Thanks, David, and morning, everyone. good

generated During $XX.X the share, the first diluted decrease net we per or representing XXXX. from XX% income $X.XX of first a million, of quarter, quarter

Pre-tax XXXX. sale a closing first lower to in of decrease the XX% income due XX% operations was revenues were of This volume. home represented million, $XX which quarter decrease an from partly quarter from a the for as our result homebuilding

was and that on higher closed gross period. those caused sales, construction by incentives, decrease The homes pre-tax increased lower home costs the during largely margin to incurred from also due

business quarter lower the homebuilding the increased $XX due revenue to income our compensation was by of from capture costs our incentives. pre-tax services The during to and financial XXXX an increase increase Our financing first allocation associated in of lower million. driven headcount, rate, with

income interest in with Both and quarter. the the from a prior $XXX,XXX the financial $XX.X On our we interest compared quarter homebuilding recognize year income services increased basis, of during income during benefited consolidated million only quarter. pre-tax first

prior expense from Our approximately year a quarter first income the rate of $XX.X tax an in tax effective XX.X% quarter. represented improvement for XX%, slight million of the

tax rate tax year We continue expect be or This XX.X%. discrete rates policies. to any the roughly changes items not potential any our to in estimate full does or include for effective

quarter, delivered decrease a homes the X,XXX represented We year-over-year. during which XX%

XXXX our to previously XXXX we closings. However, the for quarter estimated range of exceeded

concerted made prioritize sales inventory the we our mentioned, quarter during Larry especially pace, effort related As to of a homes. spec as it our to completed

XXX were deliveries. accounted for sell total of over we the result, our during quarter able XX% to which a and close As homes

X% due to guidance price delivered completed selling the homes average was provided during our incentive spec on of This $XXX,XXX. below previously decreased levels to quarter The higher of our midpoint inventory. the

and The activity, the closed from majority and in our personalized original of by spec design by not sold the the teams. originated inventory homebuyer and quarter first was cancellation

our We are some our design as spec upgrades. our thoughtfully with optimistic these on levels inventory most to moving about popular options and homes teams forward, of content incentive lower

average the be second XXXX and home units we currently XXXX quarter selling these expect and of anticipate the approximately XXXX between price We units, to deliveries $XXX,XXX. of for

of industry conditions. the underperformance due decreased be and relative risk to our Gross from year-over-year home points increased to continues sales XXX There basis margin XX.X%. forecast to a economic volatility by heightened of to

gross impairments construction margin higher to sales was well costs XXX basis decreased as This by driven from in an increase home largely XX.X%. inventory points decrease as Excluding incentives, year-over-year.

other of of started when closed and The homes direct the that construction were the spring recent peak. were and lumber the costs their majority XXXX at during summer during quarter first

approximately sales adjustments. second expecting home or are no of assuming currently XXXX We gross impairments XX% the quarter from margin for warranty

away into from possibly our work closing of period the levels. of margin our costs, even more should peak we further improve recent population its and we see As from see inventory move and stabilize intentional gross construction we way spec

first due expense in and to Our decreased the well as from quarter XXXX as administrative by the expenses. a driven total compensation and dollar based SG&A stock general decreased $XX.X decreased XXXX decrease expenses deferred first for headcount, million quarter

for an for from the a and revenues XXXX administrative second resulted our of of currently million. prior point $XX improvement SG&A will year the gross be home quarter. sale as a general percentage expenses representing This We of expense in approximately quarter, estimate XXX basis quarter that the X.X%

unit XX% decrease of of our a a price to net The decreased year-over-year XX% dollar by value net million decrease average in X% orders and orders. $XXX.X selling our in those orders driven

is were quarter first which orders for from of orders our quarter of Gross the X,XXX, during quarter gross Approximately for homes. first decrease XXXX. the the spec of XX% were a two-thirds current XXXX

mortgage to for amid preference show move-in a We the as continue to expect continue trend homebuyers around quick this ongoing uncertainty rates. homes

sales sequential gross to year-over-year XXXX rate in of basis. of the current XX% the our significantly on While increased of in it decreased XX% cancellation quarter gross year, first sales from a

quick activity We during should as are impact, the deposit our well desired to to build continue actions and we fourth inventory, as quarter our cancellation to on homes took normalize. the order see having the believe increase we move-in requirements

in price the most to our previous in base of decreases sales the due average our during incentives. notably net in discussed decrease XXXX, as of during increased pricing December, extent, to half orders and was lesser call, Year-over-year we a new second

As and with the pleased cancellation We saw our to remain absolute growth April, trend we March experienced. lowest year. a with to are over activity our it activity number levels downward continued relates we with net in consistent order orders

XXX, end from Our at active quarter subdivision a was XXX XX% year the ago. count up to

the XXXX. the This active indicates at be of Looking near to communities number continues likely the the creasing soon active is at graph to inactive that right of our be in in count to XX, soon on communities continue subdivision number to the term. exceed March

$XX.X and in XXX spend the million under $X.X with of quarter, the $XX total end million option. $XX at first cash of first $X.X associated the risk During the credit deposits, million lots we costs letters had At development of million land in X,XXX land million in costs. of remaining resulting lots, capitalized quarter, and required in acquisition we incurred

during increase activity flow. approval in remained low acquisition deal land an the have quarter, seen While we

these require the X,XXX It controlled within are end, management X,XXX an noted to lots approval our to our that we count. that be at option various of still quarter addition should due asset by In at lots lot committee had prior stages via reflected controlled additional being diligence. lots

distinct strategy landownership. risks adjusted returns, and excess Our operating focuses of of the leverage risk on while minimizing maximizing

result, position is financial industry. the best a the As among in our

cash of January until of and XXXX. and ended note quarter maturities investments, $X.X total over liquidity no senior with short-term We billion the $X.X billion

homebuilding Our at debt our end of exceeded ratio end. as was and quarter debt to term of and XX.X% our the capital the cash quarter short investments

value stockholders over was our share At March book XX, and $X.X our equity $XX.XX. was billion, per

of strong from generate flow first million XXXX. million XXXX, compared operations inflows quarter $XXX the $XXX the in to in continue of to quarter of first with We cash

Given in XXX% spec recent the solid we X,XXX our during homes quarter strategy, sales during started sequentially the quarter, the fourth on from quarter. up pivot

of the from again sequential second basis expect We XXXX. to increase quarter construction the our on starts first a quarter to

summary, sale first dividends consecutive sold one-third $X This quarter. us deliveries paying were our spec the inventory and closed home volume in the delivery decision allowed for In strategic to quarter revenues build our over during both is more exceed already of billion quarter. to XXth as

that of the XXXX. coupled the cycle momentum the strategy believe us We we end progress construction the will of continued spec time are as inventory provide we front to remainder with see beginning with this improvements through in process

our remarks. prepared That concludes

We for will questions. now open up line the

Operator

you. Thank

will question the answer first [Operator Michael JP now and begin session. Our comes Morgan. Instructions] Please with from ahead. We Rehaut go question

Unidentified Analyst

given of taking Or terms lower thoughts for the year? what Hi. SG&A. be was type aggressive It in wanted strategy. the rate? sustainability Is is that my more behalf Mike, for we we maybe This Maybe throughout can question, kind and on Andrew of of Thank about quarter. your so the any there congrats expecting. anything on this I the to certainly sales to of deleveraging thanks should you. much we're ask on expecting think about have than

Bob Martin

better did And the we you've up picked Certainly, on on top I'm that. sure line.

actual the adjustments actual expected. had We On guided a to was XX. And bonus million some line lower think It there. G&A to accrual. million was was little XX that there I than noise $XX was in our the

guess number our about talked the line best we $XX for for as So, million a QX. G&A

thing I go best that's So think the to with.

Unidentified Analyst

of the zero And wanted are of your Thanks. were or and what then potentially adjusting if widespread kind thinking portfolio? prevalent Okay. base current how about And level how on incentives you're price possible reductions these? maybe I across the to in

Bob Martin

include say the start. average, price decreases half to standpoint we that of It's quarter, was decrease X% the a the put we good just would on impact we And sales had communities about when the From probably decreases, incentives. I we question. at forth base shy did an you of of during X% were about financing the of had on base. then we incentive that once

Unidentified Analyst

much so quarter. me. all you next That's the for from that luck color. Thank on Good

Bob Martin

Thank you.

Operator

with ISI. The Evercore Kim ahead. Please next question comes go Stephen from

Unidentified Analyst

Hey, guys, it's Steve. actually Trey for [ph] on

the somewhere that turnover you've cycle, over last toward at ratio that between builder. and build historically been Looking as XX% predominantly the has been XX% a backlog

With going about in This quarter apply that of this a the in to the in do high was closed backlog talked leveling more turnover out good sold shift quarter. how number the range XX%, envision looking and And specs including something homes to guide and forward over forward XXs. you time? strategy your

Bob Martin

XX% hope I that time. over we'll be closer to that

coming through the bit reasons inventory This think we to the of is I it's close little inventory. sold some lighter. finished a finished quarter or

spec above should of level period high with that, supply current that even normal as the little that or So quarter be low to after being sense depending not that, it inventory. get this the a point, where through we QX. during of But as if bit maybe go and we time in XXs the XXs our available younger. upon somewhat so is spec was makes close during At

Unidentified Analyst

second segue question. to the a That's great

by the And two-thirds you in You the as of in more you the were see incentivize and specs. given by the little out front about of also that this margin bit a yet on on were prior level quarter they talked then you talked customized quarter that not the as related started kind that Do specs, about sustainable? orders all.

widen margin forward. the differential think you your would do you there to So time? there's And widen that how over homes think between Or do think and can order a incentive build really you further? about levels? Do specs the the -- narrowing going

David Mandarich

Yes.

to the getting still all quarter about just uncertain And specs. conditions, the I spring we I incentives market guess out additional think, of selling. somewhat started on regard into with first

certainly on So an keep as incentive was there additional going some specs you incentive, to indicated. the to offer

the Some we perfect of ago, a that otherwise would They those cases. in specs might been more, started envisioned. not some have that year even combination have

bit more to us the a take margin above made beyond sense and quarter. for it little So during volume

that little maybe a narrows bit. I spread think

world Now under uncertain and our already some That times banks in regional of belt. the mentioned a with There's the on things we'll was selling couple see. of lot happening call. that got we've But whatnot. spring a

that'll the respond of to So question, to we into your the And equation. to factor other What have part Trey? market was conditions.

Unidentified Analyst

lower orders bit the a kind bit higher, two-thirds was little about It's you do of talked How were specs. know than You what for? of as how of that guys in quarter shooting your position you're little trying are looking outside? thirds a kind you yourselves? that started Or or to see two

David Mandarich

spec then of have we the a where were market point and but driving specs, program. two-thirds may if and I also then one sense. committed sold purchased, It's dirt again spec, they building And as to Yes. meaning, see that when as makes we're were that they have clarification. we go sold with the canceled dirt

So, right in little see now, shift, one I more it a clearly, preferences go has the us to If or one-third way we what specs bit or that's other. are consumer if that inventory, we've dirt. spec favor. seen and And on two-thirds driven think could lighter we're

Unidentified Analyst

Okay. We Thank you very much. it. appreciate

David Mandarich

Thanks. Sure.

Operator

The Please Patterson next Wolf question go from comes Research. with Truman ahead.

Truman Patterson

questions. guys. taking Hey, Thanks afternoon, my good for

it a through you little reduction year? sequentially nice of quarter, given so kind seen reduction? Just can help variability. that of all kind headcount is And discuss to you we've past headcount. the the some of But the kind of implied the this level all demand touch that understanding us the in last of think chance in rebound comp far bit G&A kind timing further, and on Any line I cost believe

Bob Martin

mindset talking pretty half were market had of we we're making about reductions that I $XX us conditions. were headcount we've given having in yes, in considered to the where respond think QX. the And adjustments I think for spring selling headcount. early we'll But a that one, year the reduction thought season, But reasonable necessary. of last not the it million was gives back we

So are feel time. market again, going, given in we'll headcount I have to conditions quarter, where think the we what's happened happening where better real But what sales see are about first is.

Truman Patterson

And could Got quarter? I your drove little a little into line margin you was a first a all's then discuss to was then on below hoping there that kind I possibly expectations. gross what commentary in you margin just quarter, Okay. elaborate that believe a could that gross And Could bit. opening of stabilize bit came your in you. increase?

David Mandarich

Sure.

in of start, that we first So all early QX a just the mindset pretty and to in pace, especially price. QX QX a to over bit out given came was period favor of and

exceeded greatly the a line. that we what made. expected naturally, top So was that on we was And choice

won't that's As QX more continuing us and those some we've maybe been incentives forward. gives as activity gives April, that more even necessary of seen, it it a really be confidence, positive sense going us into in

So it. back the I a in year little about half about think margins comment that to more be bit factors specific the to

that's low think coming at peak through costs I other in of the is start of back point thing more lumber Whereas half coming going you the seeing we on in closings. QX, The still the through the are year.

Truman Patterson

help jumped implies $XX.X math the then correctly, It at those my it like an interest interest more securities the I you you. just I'm looking just there. million. in. understand are, sustainable us the X% Understood like can I squeeze think and marketable annualized investments income balanced. yield. Got one Could with And how hopefully, jumped quarter-over-quarter if income? But to The

Bob Martin

securities versus up balances. think on about and bank the I rate cash balances talking come and both really the the you're interest treasury marketable have Well,

So it's up. all moved

cash have plus to you to think securities compare interest I that entire number marketable balance. So the

Truman Patterson

you. Got

Okay.

your I right. All for you Understood. Well, time. appreciate Okay. it. thank

David Mandarich

Sure. Thanks.

Operator

Please Ratner from comes with Zelman go ahead. Associates. question next The and Alan

Alan Ratner

Hi, afternoon. the for so far. guys. details Good Thanks all

First question.

the the, book guess, I in On land the general. margin and

implies back pressure projects is pricing in near So, running a maybe incentives you range. gross if in quantification are and for little teens dialing of you it right during probably of around tested terms in had lower And average a of fair term have Can that you're necessary? bit. that like kind the of XX%, the communities maybe of impairment margin cushion below seems amount the of recognizing firming number that now, company-wide that and still or indicators looks the communities us kind just potential what like little be of give before impairments a further impairment price quarter percentage will for you or

Bob Martin

was information, think somewhat quarter. first I but a in fourth fewer that it shared we've naturally, was lot purposely, not this it quarter the than

So away moving we seem further to from possibility. that be

Alan Ratner

Okay. or is margin implying to impairment kind be project negative the of like particular that range that a in clear, a for But probably would if right? be test an trigger XX% would cash on flow gross that stress basis, undiscounted So just something that? so

Bob Martin

it be has looking to below might a actually Trigger certainly, you're at we the test, think on line, impairing it. well XX% I start but gross before Yes.

Alan Ratner

you. Got

that. for Okay. Thanks

Second land on side. the

was sounds you're you you're opportunity quite terms below approving deals to actually count from spend of you're right little you pricing that approving picking What of be It what either land about a in your type now peak. improve the So seeing obviously in might is margins assumptions lot low there. margin on you underwriting are today? return? the so underwriting? or Are Can today? an where of in market talk this you XX% land up Recognizing seeing probably like down quarter, margins or deals bit terms on your are making activities

David Mandarich

morning, speaking. seen land is we've what what up that we've year good David's went is This last substantially. seen maybe -- Clearly values

certainly from competitors As a some deals our options but we than lot today have, XX think more about. they little were Bob are a pretty getting good And pipeline ago. seeing softer. you And values getting sellers land a other we're now like feel our softer. we have of dropped I of said months know, Terms our last earlier, of as we well actually that call, flexible

Alan Ratner

saying in coming what prices to surprised kind But others land down, firm moving of spring, if listening hold are or ago, three activity terms Because of in term? I in prices emboldened like lot pickup the seeing months What to and it seems are the like in just you're would the that near actually here about of sellers a be you're six saying versus the would kind lower on David? price.

David Mandarich

And seen get Yes, equally we've softer. terms I important, down. We've come have. in seen land prices

seen So definite we softness. have

Alan Ratner

Got it.

great. I Thank you. Okay, appreciate that.

Operator

Our ahead. next Horne from & question comes Buck James Please Associates. with go Raymond

Buck Horne

Hey, thanks kind the for pricing time. Yes, there. follow the and the I of on comment to that want about kind market of land last up that you're seeing out

forward In contract Would under of low balance terms more or a land backlog strategy option the of advantage of option waned the seeing? lots your option going kind have to the of willingness to you level sheet now put is as the or are pretty there you Is under structurally to you're time there you've the right kind do take opportunities and finding consider so? -- of softness now, to what's historically.

David Mandarich

sticking But all we're returns. some divisions. on our We're pretty recently. actually flow just to our seeing And of subdivisions, here margins Buck, netting deal we're it's adding David. on and good

we're going and a I dealing little Looks this incentive. plenty So, we're think year time encouraged. and really nervous but retracted challenging got what a us in sales, when more our and it back last looks others have market we with like interest I on quarter after higher fourth quarter probably rate, consumers think to And first less had the stabilized. we think are

we're add deal everywhere. got on actually be to some and flow we've So that we're subdivisions encouraged going

Buck Horne

base stabilized. terms or And right. of to That's market as Okay. in now if than And raising the increasing mainly that here start it so, the rather is pricing? you able has prices Are started helpful. increase base in have communities you like All now communities? and to or saw month-over-month, dial levels, back starting maybe right some just percentage strengthened some incentive of

Bob Martin

have our We towards sort to of more little that was increase base might prices, the have, that back the of nearly X%. But communities, we base a On of maybe some part increase. increase Buck, quarter. price had average, started been bit half

Buck Horne

Thanks, color. Appreciate. Helpful Okay. guys.

Operator

Our Instructions] Research question with Alex ahead. [Operator from Housing go comes Center. next Barron Please

Alex Barron

any Yes, of you just thank authorization lot you. to Because philosophy? I whether And you've a cash. stock obviously you're I about quite generally back a buy And have stock? wanted your ask bought in what's back while. guys holding don't think to

that. about curious just So

Bob Martin

Yes.

I situation think you've the well. summarized

stock bought while. in not have We a

So point. that should be kind of one bullet

I fact, an said, have decades. think it's been In outstanding. That do authorization we

time, at So really. could in theory, we do any that

So, done do we time it it there we again, yet. a moments have it appropriate. out think in haven't where could for We while. haven't done it be in But

Alex Barron

It still your stock would put not place a anyway. may But be seem whether work. to some bad below book to capital trading

explanation. wasn't to, I So I clear wanted the on

the You was million, and million said, and at in difference, it a quarter Bob? accounted ago, the XX G&A guidance on about $XX to What came $XX change. for

Bob Martin

Yes.

of the restricted accrual a bonus was big stock. we to difference. a in So be And bonus certain had paid part cash. instead in part of that was That again, paid

we're of about million G&A. $XX QX talking for So,

that but that it of noise QX there. XX, words there the previously kind to some other we we expect discussed. So that back to going brought In range down it had don't in to stay was

Alex Barron

it. Got

of year. with guys, Okay, this best Thanks. luck

Operator

to the conference turn to question-and-answer over like would Martin Bob remarks. for any This session. concludes closing I back our

Bob Martin

on hosting for you to We upon Thanks, again Great. of everyone, being look today. forward the our the call second conclusion quarter.

Operator

The today's conference now has attending Thank concluded. presentation. for you

You disconnect. may all

M.D.C. (MDC) 2 May 232023 Q1 Earnings call transcript