Meritage Homes CORP (MTH) Form 10-Q — Oct 30, 2026
Meritage Homes reported a sharp deterioration in Q3 2026 results, with home closing revenue down 16.9% year over year to $1.16 billion and net earnings down about 32% to $67.8 million ($1.04 diluted EPS vs $1.39 a year ago). The decline reflects a tougher housing market: closing volume fell 13.5%, average sales price dropped 4.0% on higher financing incentives, gross margin compressed 170 bps to 17.4%, and home orders fell 15.2% with cancellations rising to 13% from 11%. Management said demand remains challenged by rising rates and weak consumer confidence, and the company is prioritizing margin preservation and liquidity over order pace.
Key figures
- Eps
- 1.04
- Revenue
- 1168433000
- Net Income
- 67784000
- Revenue Yoy
- -16.9% (home closing revenue, Q3 2026 vs Q3 2025)
- Total Assets
- 7589644000
- Cash Position
- 677498000
- Shares Outstanding
- 64423225
- Backlog homes
- 1611
- Backlog value
- 637167000
- Q3 orders yoy
- -15.2%
- Q3 home orders
- 3083
- Q3 orders pace
- 3.0 net homes per month (down 21.1%)
- Asp closings q3
- $364.7K (down 4.0%)
- Debt to capital
- 26.9%
- Q3 homes closed
- 3187
- Ytd diluted eps
- 3.22
- Ytd net earnings
- 213723000
- Active communities
- 348
- Dividends paid ytd
- 94224000
- Net debt to capital
- 18.9%
- Q3 cancellation rate
- 13% (vs 11%)
- Effective tax rate q3
- 20.1%
- Share repurchases ytd
- 285000000
- Q3 home closing revenue
- 1162352000
- Real estate impairments ytd
- 12648000
- Q3 home closing gross margin
- 17.4% (down 170 bps from 19.1%)
AI analysis
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