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Green Brick Partners, Inc. Reports Second Quarter 2026 Results

businesswire.com

Green Brick Partners, Inc. Reports Second Quarter 2026 Results PLANO, Texas--( BUSINESS WIRE)--Green Brick Partners, Inc. (NYSE: GRBK) (“Green Brick,” “we,” or the “Company”), today announced results for its second quarter ended June 30, 2026. Net income attributable to Green Brick in the second quarter was $74 million or $1.70 per diluted share.

2026 SECOND QUARTER HIGHLIGHTS

Net new home orders increased 19% year over year to 1,079 units. Monthly sales pace for the second quarter was 3.3 sales per community, compared to 3.0 in the same period of the prior year. Incentives on new orders remain elevated at 9% as we continue to respond to market conditions to maintain sales pace. Our sales cancellation rate of 7.8% for the quarter remained among the lowest of our public company peers.

The Company delivered 1,047 new homes in the second quarter, which was relatively unchanged year over year, generating home closings revenue of $471 million. Homebuilding gross margin for the quarter was 29.8%, up 90 bps sequentially and down 150 bps year over year.

Jim Brickman, CEO and co-founder said, "Our second quarter results demonstrate the strength of Green Brick's differentiated operating model where our growth is focused on building in our large, self developed master planned neighborhoods where we believe we provide both affordability and upgraded amenities to our buyers."

"While affordability challenges and economic uncertainty continue to impact buyers, demand in our Texas markets remained strong. Our disciplined operators delivered a 19% year-over-year increase in net new home orders as buyers responded to our targeted incentive strategy and attractive product offerings, especially with our Trophy Signature Homes brand. We were particularly encouraged by the improvement in sales pace during the quarter. Orders exceeded deliveries, resulting in sequential backlog growth and positioning the company well for the second half of 2026."

"Our gross margins continue to be industry-leading and are a direct result of our disciplined land acquisition and development strategy. By concentrating on infill and infill-adjacent communities in high-demand submarkets, we continue to benefit from attractive locations, efficient development economics, and a competitive positioning that is difficult to replicate."

"We are also pleased with the progress of our financial services offerings, especially the growth of our wholly-owned mortgage company, Green Brick Mortgage" added Mr. Brickman. "Financial services operating income for the quarter increased 91% year over year to $5.7 million and exceeded $10 million year to date as Green Brick Mortgage continued to expand, reflecting increased scale and higher customer adoption across our platform. We believe our integrated financial services offering enhances the customer experience while creating an additional source of earnings growth."

"Total liquidity at quarter end was $462 million. The company's homebuilding debt-to-total capital ratio at quarter end was 11.2% and our net homebuilding debt-to-total capital ratio was 6.1%, compared to 14.4% and 9.4%, respectively, over the prior year. Despite having only 6% net homebuilding debt to total capital, our owned lot position grew from 37,023 lots at year-end to 39,588 lots as of June 30, 2026, an increase of 7% sequentially and a 11.6% increase year over year."

Mr. Brickman concluded, “We have worked hard to build an investment grade balance sheet that gives us flexibility. We believe our strong liquidity and disciplined capital strategy enable us to invest with confidence, remain selective in the opportunities we pursue, and position the Company to capitalize on future growth while continuing to generate attractive returns for shareholders.”

Results for the Quarter Ended June 30, 2026

(Dollars in thousands, except per share data)

Three Months Ended

June 30,

2026

2025

Change

New homes delivered

1,047

1,042

0.5

%

Total homebuilding revenues

$

481,596

$

534,563

(9.9

)%

Homebuilding cost of revenues

336,320

367,049

(8.4

)%

Total gross profit

$

145,276

$

167,514

(13.3

)%

Income before income taxes

$

99,477

$

112,288

(11.4

)%

Net income attributable to Green Brick Partners, Inc.

$

74,170

$

81,948

(9.5

)%

Diluted net income attributable to Green Brick Partners, Inc. per common share

$

1.70

$

1.85

(8.1

)%

Residential units revenue

$

471,996

$

532,525

(11.4

)%

Average sales price of homes delivered

$

450.3

$

511.1

(11.9

)%

Homebuilding gross margin percentage

29.8

%

31.3

%

-150 bps

Backlog revenue

$

387,376

$

507,137

(23.6

)%

Backlog units

681

730

(6.7

)%

Homes under construction

2,205

2,204

%

Three Months Ended

June 30,

2026

2025

%

Total financial services revenues

$

12,243

$

6,315

93.9

%

Financial services expenses

(6,604

)

(3,351

)

97.1

%

Financial services operating income

$

5,639

$

2,964

90.2

%

Total originations:

Loans

521

146

256.8

%

Principal

$

196,531

$

31,374

526.4

%

Average FICO score

736

745

Results for the Six Months Ended June 30, 2026:

(Dollars in thousands, except per share data)

Six Months Ended

June 30,

2026

2025

Change

New homes delivered

1,955

1,952

0.2

%

Total homebuilding revenues

$

937,583

$

1,019,016

(8.0

)%

Homebuilding cost of revenues

660,592

695,717

(5.0

)%

Total gross profit

$

276,991

$

323,299

(14.3

)%

Income before income taxes

$

183,740

$

218,436

(15.9

)%

Net income attributable to Green Brick Partners, Inc.

$

135,115

$

157,007

(13.9

)%

Diluted net income attributable to Green Brick Partners, Inc. per common share

$

3.09

$

3.52

(12.2

)%

Residential units revenue

$

920,483

$

1,014,674

(9.3

)%

Average sales price of homes delivered

$

470.3

$

519.8

(9.5

)%

Homebuilding gross margin percentage

29.4

%

31.7

%

-230 bps

Six Months Ended

June 30,

2026

2025

%

Total financial services revenues

$

21,915

$

11,182

96.0

%

Financial services expenses

(11,955

)

(6,409

)

86.5

%

Financial services operating income

$

9,960

$

4,773

108.7

%

Total originations:

Loans

886

251

253.0

%

Principal

$

346,886

$

108,901

218.5

%

Average FICO score

739

743

Earnings Conference Call:

We will host our earnings conference call to discuss our second quarter ended June 30, 2026 at 12:00 p.m. Eastern Time on Thursday, July 30, 2026. The call can be accessed by dialing 1-800-715-9871 for domestic participants or 1-646-307-1973 for international participants and should reference meeting number 3162560. Participants may also join the call via webcast at: https://events.q4inc.com/attendee/561994773.

A telephone replay of the call will be available through August 30, 2026. To access the telephone replay, the domestic dial-in number is 1-800-770-2030, the international dial-in number is 1-800-770-2030 and the access code is 3162560, or by using the link at investors.greenbrickpartners.com.

GREEN BRICK PARTNERS, INC.

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share data)

(Unaudited)

Three Months Ended

June 30,

Six Months Ended

June 30,

2026

2025

2026

2025

Revenues

Residential units revenue

$

471,996

$

532,525

$

920,483

$

1,014,674

Land and lots revenue

9,600

2,038

17,100

4,342

481,596

534,563

937,583

1,019,016

Financial services revenue

$

12,243

$

6,315

$

21,915

$

11,182

Total revenues

493,839

540,878

959,498

1,030,198

Homebuilding cost of revenues

Cost of residential units

331,418

366,072

650,034

693,525

Cost of land and lots

4,902

977

10,558

2,192

336,320

367,049

660,592

695,717

Financial services expenses

(6,604

)

(3,420

)

(11,955

)

(6,478

)

Selling, general and administrative expenses

(54,396

)

(57,437

)

(106,989

)

(110,004

)

Equity in income of unconsolidated entities

611

511

1,731

984

Other income (loss), net

2,347

(1,195

)

2,047

(547

)

Income before income taxes

99,477

112,288

183,740

218,436

Income tax expense

20,699

22,957

39,124

45,180

Net income

78,778

89,331

144,616

173,256

Less: Net income attributable to noncontrolling interests

4,608

7,383

9,501

16,249

Net income attributable to Green Brick Partners, Inc.

$

74,170

$

81,948

$

135,115

$

157,007

Net income attributable to Green Brick Partners, Inc. per common share:

Basic

$

1.71

$

1.86

$

3.10

$

3.53

Diluted

$

1.70

$

1.85

$

3.09

$

3.52

Weighted average common shares used in the calculation of net income attributable to Green Brick Partners, Inc. per common share:

Basic

43,070

43,770

43,110

44,103

Diluted

43,279

43,824

43,304

44,188

GREEN BRICK PARTNERS, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, except share data) (Unaudited)

June 30,

2026

December 31,

2025

ASSETS

Cash and cash equivalents

$

131,642

$

154,590

Restricted cash

22,766

36,395

Receivables

28,337

39,982

Real estate inventory:

Inventory owned

2,091,391

1,941,524

Consolidated inventory related to VIE

162,498

157,687

Total inventory

2,253,889

2,099,211

Mortgage loans held for sale

34,765

49,099

Investments in unconsolidated entities

77,708

93,050

Right-of-use assets - operating leases

6,740

7,475

Property and equipment, net

6,390

6,316

Earnest money deposits

10,683

13,151

Deferred income tax assets, net

11,243

11,243

Intangible assets, net

154

197

Goodwill

680

680

Other assets

25,754

23,378

Total assets

$

2,610,751

$

2,534,767

LIABILITIES AND EQUITY

Liabilities:

Accounts payable

$

110,927

$

94,516

Accrued expenses

132,602

152,637

Customer and builder deposits

26,422

25,716

Lease liabilities - operating leases

7,844

8,637

Borrowings on lines of credit, net

(2,152

)

(2,465

)

Warehouse lines of credit

34,632

46,398

Senior unsecured notes, net

237,164

261,972

Notes payable

14,371

14,371

Total liabilities

561,810

601,782

Commitments and contingencies

Redeemable noncontrolling interest in equity of consolidated subsidiary

55,035

52,271

Equity:

Green Brick Partners, Inc. stockholders’ equity

Preferred stock, $0.01 par value: 5,000,000 shares authorized; 2,000 issued and outstanding as of June 30, 2026 and December 31, 2025, respectively

47,603

47,603

Common stock, $0.01 par value: 100,000,000 shares authorized; 43,010,895 issued and outstanding as of June 30, 2026 and 43,205,947 issued and outstanding as of December 31, 2025, respectively

430

432

Additional paid-in capital

241,886

243,816

Retained earnings

1,685,577

1,567,111

Total Green Brick Partners, Inc. stockholders’ equity

1,975,496

1,858,962

Noncontrolling interests

18,410

21,752

Total equity

1,993,906

1,880,714

Total liabilities and equity

$

2,610,751

$

2,534,767

GREEN BRICK PARTNERS, INC.

SUPPLEMENTAL INFORMATION

(Unaudited)

Residential Units Revenue and New Homes Delivered (dollars in thousands)

Three Months Ended June 30,

Six Months Ended June 30,

2026

2025

Change

%

2026

2025

Change

%

Home closings revenue

$

471,455

$

532,525

$

(61,070

)

(11.5

)%

$

919,461

$

1,014,674

$

(95,213

)

(9.4

)%

Mechanic’s lien contracts revenue

541

541

100

%

1,022

1,022

100.0

%

Residential units revenue

$

471,996

$

532,525

$

(60,529

)

(11.4

)%

$

920,483

$

1,014,674

$

(94,191

)

(9.3

)%

New homes delivered

1,047

1,042

5

0.5

%

1,955

1,952

3

0.2

%

Average sales price of homes delivered

$

450.3

$

511.1

$

(60.8

)

(11.9

)%

$

470.3

$

519.8

$

(49.5

)

(9.5

)%

Land and Lots Revenue

(dollars in thousands)

Three Months Ended June 30,

Six Months Ended June 30,

2026

2025

Change

%

2026

2025

Change

%

Lots revenue

$

$

2,038

$

(2,038

)

(100

)%

$

7,500

$

4,342

$

3,158

72.7

%

Land revenue

9,600

9,600

100.0

%

9,600

9,600

100.0

%

Land and lots revenue

$

9,600

$

2,038

$

7,562

371

%

$

17,100

$

4,342

$

12,758

293.8

%

Lots closed

18

(18

)

(100

)%

75

42

33

78.6

%

Average sales price of lots closed

$

$

113.2

$

(113.2

)

(100

)%

$

100.0

$

103.4

$

(3.4

)

(3.3

)%

New Home Orders and Backlog

(dollars in thousands)

Three Months Ended June 30,

Six Months Ended June 30,

2026

2025

Change

%

2026

2025

Change

%

Net new home orders

1079

908

171

18.8

%

2,116

2,014

102

5.1

%

Revenue from net new home orders

$

488,627

$

454,900

$

33,727

7.4

%

$

970,168

$

1,032,529

$

(62,361

)

(6.0

)%

Average selling price of net new home orders

$

452.9

$

501.0

$

(48.1

)

(9.6

)%

$

458.5

$

512.7

$

(54.2

)

(10.6

)%

Cancellation rate

7.8

%

9.9

%

(2.1

)%

(21.2

)%

7.8

%

7.9

%

(0.1

)%

(1.3

)%

Absorption rate per average active selling community per quarter

10.0

8.9

1.1

12.4

%

10.0

9.7

0.3

3.1

%

Average active selling communities

108

102

6

5.9

%

106

104

2

1.9

%

Active selling communities at end of period

106

102

4

3.9

%

Backlog revenue

$

387,376

$

507,137

$

(119,761

)

(23.6

)%

Backlog units

681

730

(49

)

(6.7

)%

Average sales price of backlog

$

568.8

$

694.7

$

(125.9

)

(18.1

)%

GREEN BRICK PARTNERS, INC.

SUPPLEMENTAL INFORMATION

(Unaudited)

June 30, 2026

December 31, 2025

Central (1)

Southeast (2)

Total

Central (1)

Southeast (2)

Total

Lots owned

Finished lots

4,212

1,220

5,432

4,518

663

5,181

Lots in communities under development

29,277

1,079

30,356

26,339

1,703

28,042

Land held for future development (3)

3,800

3,800

3,800

3,800

Total lots owned

37,289

2,299

39,588

34,657

2,366

37,023

Lots under contract

Lots and land under option contracts

8,143

1,438

9,581

8,297

955

9,252

Lots under option through unconsolidated development joint ventures

3,009

44

3,053

2,488

65

2,553

Total lots under contract (4)

11,152

1,482

12,634

10,785

1,020

11,805

Total lots owned and under contract (5)

48,441

3,781

52,222

45,442

3,386

48,828

Percentage of lots owned

77.0

%

60.8

%

75.8

%

76.3

%

69.9

%

75.8

%

___________

(1) The Texas market.

(2) The Atlanta and Florida markets.

(3) Land held for future development consists of raw land parcels where development activities have been postponed due to market conditions or other factors.

(4) As of June 30, 2026 and December 31, 2025, 53.3% and 16.6% of the total lots under contract had refundable deposits.

(5) Total lots excludes lots with homes under construction.

Non-GAAP Financial Measures

In this press release, we utilize certain financial measures that are non-GAAP financial measures as defined by the Securities and Exchange Commission. We present these measures because we believe they and similar measures are useful to management and investors in evaluating our operating performance and financing structure. We also believe these measures facilitate the comparison of our operating performance and financing structure with other companies in our industry. Because these measures are not calculated in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), they may not be comparable to other similarly titled measures of other companies and should not be considered in isolation or as a substitute for, or superior to, financial measures prepared in accordance with GAAP.

The following table represents the non-GAAP measure of net homebuilding debt to total capitalization. Net homebuilding debt to total capitalization is calculated as the total debt less cash and cash equivalents, divided by the sum of total Green Brick Partners, Inc. stockholders’ equity and total debt less homebuilding cash and cash equivalents. The closest GAAP financial measure to the net debt to total capitalization ratio is the debt to total capitalization ratio. The following table represents a reconciliation of the net homebuilding debt to total capitalization ratio as of June 30, 2026:

Total capitalization

Homebuilding capitalization (1)

Gross

Cash and cash equivalents

Net

Gross

Cash and cash equivalents

Net

Total debt, net of debt issuance costs

$

284,015

$

(131,642

)

$

152,373

$

249,383

$

(121,583

)

$

127,800

Total Green Brick Partners, Inc. stockholders’ equity

1,975,496

1,975,496

1,975,496

1,975,496

Total capitalization

$

2,259,511

$

(131,642

)

$

2,127,869

$

2,224,879

$

(121,583

)

$

2,103,296

Debt to total capitalization ratio

12.6

%

11.2

%

Net debt to total capitalization ratio

7.2

%

6.1

%

___________

(1) Homebuilding capitalization ratio excludes cash and debt related to our wholly owned mortgage company.

About Green Brick Partners, Inc.

Green Brick Partners, Inc (NYSE: GRBK), the third largest homebuilder in Dallas-Fort Worth, is a diversified homebuilding and land development company that operates in Texas, Georgia, and Florida. Green Brick owns five subsidiary homebuilders in Texas (CB JENI Homes, Normandy Homes, Southgate Homes, Trophy Signature Homes, and a 90% interest in Centre Living Homes), as well as a 50% interest in a homebuilder in Atlanta, Georgia (The Providence Group) and an 80% interest in a homebuilder in Port St. Lucie, Florida (GHO Homes). Green Brick also retains interests in related financial services platforms, including Green Brick Title, GRBK Mortgage, and Green Brick Insurance. Green Brick is engaged in all aspects of the homebuilding process, including land acquisition and development, entitlements, design, construction, marketing, and sales for its residential neighborhoods and master-planned communities. For more information about Green Brick Partners Inc.’s subsidiary homebuilders, please visit https://greenbrickpartners.com/brands-services/.

Forward-Looking and Cautionary Statements:

This press release and our earnings call contain “forward-looking statements” within the meaning of the Private Securities Litigation Act of 1995. These statements concern expectations, beliefs, projections, plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts and typically include the words “anticipate,” “believe,” “consider,” “estimate,” “expect,” “feel,”, “poised,” “intend,” “plan,” “predict,” “seek,” “strategy,” “target,” “will” or other words of similar meaning. Specifically, these statements reflect our beliefs and expectations regarding (i) our strategic advantages, including our unique business model and focus on infill and infill-adjacent locations, and the impact on our future results;(ii) our ability to adapt to evolving market conditions; (iii) our ability to continue to deliver peer-leading gross margins; (iv) our integrated financial services offerings and its impact on our results ; (v) our ability to adjust pricing in order to meet market demand; (vi) our investments in land, lots and development in 2026; (vii) our projections for land development in 2026; (viii) our competitive advantages; (ix) our land pipeline and the impact it will have on our future success; (x) our expectations for Green Brick Mortgage’s capture rate in 2026; (xi) our land position(xii) our lot and land strategy and its impact on our future financial position; (xiii) our ability to successfully implement our growth strategy, including our expectations for expansion and growth of our Trophy brand and the impact that expansion will have on our future results; (xiv) our ability to opportunistically deploy capital to maximize shareholder returns, and to accelerate growth as the housing market improves; (xv) the credit worthiness of our buyers, quality of our product; (xvi) the desirability of our communities; (xvii) our future financial and operational performance; (xviii) the timing of our expansion of Green Brick Mortgage into Atlanta; and (xix) expansion of our financial services through Green Brick Mortgage and Green Brick Insurance. These forward-looking statements reflect our current views about future events and involve estimates and assumptions which may be affected by risks and uncertainties in our business, as well as other external factors, which could cause future results to materially differ from those expressed or implied in any forward-looking statement. These risks include, but are not limited to: (1) general economic conditions, seasonality, cyclicality and competition in the homebuilding industry; (2) changes in macroeconomic conditions, including increasing interest rates and inflation that could adversely impact demand for new homes or the ability of potential buyers to qualify; (3) shortages, delays or increased costs of raw materials and increased demand for materials, or increases in other operating costs, including costs related to labor, real estate taxes and insurance, which in each case exceed our ability to increase prices; (4) significant periods of inflation or deflation; (5) a shortage of labor; (6) an inability to acquire land in our markets at anticipated prices or difficulty in obtaining land-use entitlements; (7) our inability to successfully execute our strategies, including the successful development of our communities within expected time frames and the growth and expansion of our Trophy brand; (8) a failure to recruit, retain or develop highly skilled and competent employees; (9) the geographic concentration of our operations; (10) government regulation risks; (11) adverse changes in the availability or volatility of mortgage financing; (12) severe weather events or natural disasters; (13) difficulty in obtaining sufficient capital to fund our growth; (14) our ability to meet our debt service obligations; (15) a decline in the value of our inventories and resulting write-downs of the carrying value of our real estate assets; (16) our ability to adequately self-insure; and (17) changes in accounting standards that adversely affect our reported earnings or financial condition. Green Brick assumes no obligation to update any forward-looking statements, which speak only as of the date they are made. For a more detailed discussion of these and other risks and uncertainties applicable to Green Brick please see our most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission.