Revenue: As of FY2026 Q2, the actual value is USD 1.063 B, beating the estimate of USD 1.047 B.

EPS: As of FY2026 Q2, the actual value is USD 3.02, missing the estimate of USD 3.125.

EBIT: As of FY2026 Q2, the actual value is USD 107.85 M.

Financial Performance

Net Income

Net income for the second quarter of 2026 was $79,068 thousand, down from $121,243 thousand in the second quarter of 2025. For the six months ended June 30, 2026, net income was $146,900 thousand, compared to $232,480 thousand for the same period in 2025.

Gross Margin

Gross margin for the second quarter of 2026 was $235,499 thousand, compared to $286,619 thousand in the second quarter of 2025. The gross margin percentage was 22% in the second quarter of 2026. For the six months ended June 30, 2026, gross margin was $438,090 thousand, down from $539,402 thousand in the prior year period.

Operating Profit

Operating income for the second quarter of 2026 was $101,278 thousand, a decrease from $155,717 thousand in the second quarter of 2025. For the first half of 2026, operating income was $187,343 thousand, compared to $296,641 thousand for the first half of 2025.

Operating Margin

The pre-tax margin was 10% for the second quarter of 2026.

Operating Costs

General and administrative expense was $70,198 thousand in the second quarter of 2026, up from $67,247 thousand in the second quarter of 2025. For the six months ended June 30, 2026, general and administrative expense totaled $131,384 thousand, compared to $126,320 thousand in the same period of 2025. Selling expense was $64,023 thousand in the second quarter of 2026, slightly up from $63,655 thousand in the second quarter of 2025. For the first half of 2026, selling expense was $119,363 thousand, compared to $116,441 thousand in the first half of 2025.

Cash Flow

Cash provided by operating activities was $36,806 thousand for the second quarter of 2026, a slight decrease from $37,755 thousand in the second quarter of 2025. For the six months ended June 30, 2026, cash provided by operating activities significantly increased to $172,537 thousand from $102,642 thousand in the prior year period. Cash used in investing activities was - $11,873 thousand for the second quarter of 2026, compared to - $12,318 thousand in the second quarter of 2025. For the six months ended June 30, 2026, cash used in investing activities was - $6,755 thousand, an improvement from - $15,246 thousand in the same period of 2025. Cash used in financing activities was - $56,408 thousand for the second quarter of 2026, a substantial increase from - $1,417 thousand in the second quarter of 2025. For the first half of 2026, cash used in financing activities was - $119,030 thousand, compared to - $108,568 thousand in the first half of 2025.

Segment Revenue

Housing revenue for the second quarter of 2026 was $1,011,974 thousand, down from $1,124,475 thousand in the second quarter of 2025. Land revenue increased to $18,948 thousand in the second quarter of 2026 from $6,667 thousand in the second quarter of 2025. Financial services revenue for the second quarter of 2026 was $32,336 thousand, up from $31,450 thousand in the second quarter of 2025.

Other Key Financial Indicators

Return on equity was 10% for the second quarter of 2026. Financial services pre-tax income was $14,423 thousand in the second quarter of 2026, a slight decrease from $14,476 thousand in the second quarter of 2025. For the six months ended June 30, 2026, this metric was $28,520 thousand, compared to $30,582 thousand in the prior year period. Adjusted EBITDA for the second quarter of 2026 was $120,454 thousand, down from $169,415 thousand in the second quarter of 2025. For the six months ended June 30, 2026, Adjusted EBITDA was $219,917 thousand, compared to $323,373 thousand in the first half of 2025. The company incurred pre-tax inventory charges of $4,200 thousand in the second quarter of 2026, and $4,200 thousand for the six months ended June 30, 2026.

Operational Metrics

New Contracts

New contracts increased by 15% to a record 2,387 in the second quarter of 2026, compared to 2,078 in the second quarter of 2025. For the first half of 2026, new contracts increased by 8% to 4,737 from 4,370 in 2025. The Northern region saw a 16% increase in new contracts to 1,016 units in Q2 2026, while the Southern region increased by 14% to 1,371 units.

Homes Delivered

Homes delivered decreased by 6% to 2,206 in the second quarter of 2026, compared to 2,348 in the second quarter of 2025. For the six months ended June 30, 2026, homes delivered decreased by 5% to 4,120, from 4,324 in the prior year period. The Northern region’s homes delivered decreased by 8% to 892 units in Q2 2026, and the Southern region decreased by 5% to 1,314 units.

Backlog

Homes in backlog at June 30, 2026, had a total sales value of $1.31 billion, an 8% decrease from $1.43 billion a year ago. Backlog units decreased by 6% to 2,426 homes at June 30, 2026, with an average sales price of $538,000, compared to 2,577 homes with an average sales price of $553,000 at June 30, 2025.

Cancellation Rate

The cancellation rate was 8% in the second quarter of 2026, down from 13% in the second quarter of 2025.

Community Count

M/I Homes, Inc. had 234 communities at both June 30, 2026, and June 30, 2025.

Land Position

Total lots owned and under contract were 49,050 at June 30, 2026, compared to 50,464 at June 30, 2025. Specifically, lots owned were 23,382 and lots under contract were 25,668 at June 30, 2026.

Balance Sheet Highlights

Shareholders’ Equity

Shareholders’ equity reached a record $3,227,420 thousand at June 30, 2026, up from $3,082,136 thousand at June 30, 2025.

Book Value Per Share

Book value per share increased to a record $127.88 at June 30, 2026, from $117.01 at June 30, 2025.

Cash and Equivalents

Total cash, cash equivalents, and restricted cash were $735,941 thousand at June 30, 2026, compared to $800,398 thousand at June 30, 2025.

Homebuilding Debt to Capital Ratio

The homebuilding debt to capital ratio remained at 18% at both June 30, 2026, and June 30, 2025.

Net Debt-to-Capital Ratio

The net debt-to-capital ratio was -1% at June 30, 2026.

Total Debt

Total debt was $949,305 thousand at June 30, 2026, down from $971,587 thousand at June 30, 2025.

Total Inventory

Total inventory was $3,505,298 thousand at June 30, 2026, compared to $3,286,606 thousand at June 30, 2025.

Outlook / Guidance

M/I Homes, Inc. expresses confidence in the long-term fundamentals of the housing industry and its ability to navigate an uncertain environment. The company highlights its strong financial condition, evidenced by a recent S&P credit rating upgrade to BB+, record shareholders’ equity, no borrowings under its unsecured credit facility, and substantial cash reserves. M/I Homes, Inc. believes it is well-positioned for a solid 2026 due to its geographic footprint, diverse product offering, and focus on well-located communities.