M/I HOMES, INC. (MHO) Form 10-Q — Oct 23, 2026
M/I Homes' Q3 2026 net income fell 38% year over year to $66.6 million ($2.56 diluted EPS) on revenue of $1.08 billion, down 5%, as mortgage rates exceeding 7% squeezed affordability. Homebuilding gross margin compressed 310 basis points to 18.4%, driven by a $23.2 million increase in mortgage rate buydown incentives and higher lot costs. New contracts slipped 2% and backlog declined to 2,046 homes valued at $1.10 billion. The balance sheet remains a bright spot: record book value of $130 per share, 18% homebuilding debt-to-capital, $808.9 million available under the $900 million credit facility, and $150.2 million of year-to-date buybacks.
Key figures
- Eps
- 2.56
- Revenue
- 1076069000
- Net Income
- 66553000
- Revenue Yoy
- -5%
- Cash Position
- 620595000
- Shares Outstanding
- 25031231
- Capture rate
- 96% vs 93%
- Backlog homes
- 2046
- Backlog value
- 1103044000
- Absorption pace
- 2.6/month vs 2.7 prior year
- New contracts q3
- 1861
- Active communities
- 246
- Homes delivered q3
- 2241
- Lots under control
- 48900
- Nine month revenue
- 3060034000
- Q3 2025 net income
- 106490000
- Gross margin change
- -300 bps to 20.9%
- Q3 2025 diluted eps
- 3.92
- Shareholders equity
- 3252567000
- Book value per share
- 130
- Cancellation rate q3
- 12.3%
- Q3 inventory charges
- 4700000
- Nine month net income
- 213453000
- Nine month diluted eps
- 8.14
- Homebuilding gross margin
- 18.4% (down 310 bps)
- Mortgage rate environment
- exceeded 7% at quarter end
- Homebuilding debt to capital
- 18%
AI analysis
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