Green Brick Partners, Inc. (GRBK)

[Enterprising Investor]

Green Brick Partners, Inc. Reports Strong First Quarter 2017 Results (5/08/17)

First Quarter Basic EPS of $0.13 and Basic Adjusted EPS of $0.21, up 116.7% and 133.3%; First Quarter Pre-Tax Income of $10.1 million, up 122.5%; First Quarter Revenue of $99.3 million, up 42.0%; Backlog of $145.2 million, up 12.4%

PLANO, TX--(Marketwired - May 08, 2017) - Green Brick Partners, Inc. (NASDAQ: GRBK) ("we," "Green Brick" or the "Company"), today reported results for its first quarter ended March 31, 2017.
Results for the First Quarter Ended March 31, 2017:

Basic net income attributable to Green Brick per common share ("EPS") for the three months ended March 31, 2017 was $0.13, an increase of 116.7%, compared to $0.06 for the three months ended March 31, 2016. Basic adjusted net income attributable to Green Brick per common share ("Adjusted EPS") for the three months ended March 31, 2017 was $0.21, an increase of 133.3%, compared to $0.09 for the three months ended March 31, 2016. See "Reconciliation of Non-GAAP Financial Measures."

For the three months ended March 31, 2017, the Company had: pre-tax income of $10.1 million, an increase of 122.5%, compared to $4.5 million for the three months ended March 31, 2016; gross profit of $21.3 million, an increase of 47.7%, compared to $14.4 million for the three months ended March 31, 2016; and revenue of $99.3 million, an increase of 42.0%, compared to $70.0 million for three months ended March 31, 2016.

Builder operations revenue for the three months ended March 31, 2017 was $93.4 million, an increase of 40.2%, compared to $66.6 million for the three months ended March 31, 2016. Land development revenue for the three months ended March 31, 2017 was $5.9 million, an increase of 78.4%, compared to $3.3 million for the three months ended March 31, 2016.

The dollar value of backlog units as of March 31, 2017 was $145.2 million, an increase of 12.4% compared to March 31, 2016. The average sales price of homes in backlog increased $25,735, or 5.6%, to $487,128 for the three months ended March 31, 2017, compared to $461,393 for the three months ended March 31, 2016.
Homes under construction increased 15.5% to 625 as of March 31, 2017, compared to 541 as of March 31, 2016.

"We had a great first quarter with Q1 pretax income of $10.1 million which was up 123% from 2016," said James R. Brickman, Green Brick's Chief Executive Officer. "I am extremely proud of our team's hard work and operational progress. On March 25th, Green Brick Partners was named Developer of the Year by the Dallas Homebuilders Association and our builders won numerous awards for best single family home and townhome designs. We believe that our superior neighborhoods and home designs will continue to translate into high profit margins and superior results for our investors."

Earnings Conference Call:

We will host our earnings conference call to discuss our first quarter ended March 31, 2017 at 12:00 p.m. Eastern Time on Tuesday, May 9, 2017. The call can be accessed by dialing 800-374-0137 for domestic participants or 904-685-8013 for international participants. Participants should reference conference ID code 11704453. A replay of the call will be available from approximately 3:00 p.m. Eastern Time on May 9, 2017 through 11:59 p.m. Eastern Time on May 16, 2017. To access the replay, the domestic dial-in number is 855-859-2056, the international dial-in number is 404-537-3406 and the conference ID code is 11704453.

Change in Classification:

Certain indirect project costs previously classified as salary expense and selling, general and administrative expense have been classified as cost of residential units for the three months ended March 31, 2016 to properly present cost of residential units, salary expense, and selling, general and administrative expense.

Reconciliation of 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 the Company's 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 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.

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About Green Brick Partners, Inc.:

Green Brick Partners, Inc. (NASDAQ: GRBK) is a uniquely structured company that combines residential land development and homebuilding. The Company acquires and develops land, provides land and construction financing to its controlled builders and participates in the profits of its controlled builders. The Company owns a controlling interest in four homebuilding companies in Dallas, Texas (CB JENI Homes DFW LLC, Normandy Homes (a division of CB JENI), Southgate Homes DFW LLC, and Centre Living Homes, LLC), as well as a leading homebuilder in Atlanta, Georgia (The Providence Group of Georgia, L.L.C.). The Company is engaged in all aspects of the homebuilding process, including land acquisition and the development, entitlements, design, construction, marketing and sales and the creation of brand images at its residential neighborhoods and master planned communities. For more information about Green Brick Partners, Inc.'s homebuilding partners go to www.greenbrickpartners.com/building-partners.html.

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