LGIH Exceeds Q3 2025 Forecasts with Strong Growth

**LGI Homes Surpasses Expectations with Stellar Q3 2025 Performance, Strong Outlook for Fiscal Year**

THE WOODLANDS, TX – LGI Homes (NASDAQ: LGIH) has announced a robust third quarter for fiscal year 2025, reporting financial results that significantly outpaced Wall Street projections and underscore the homebuilder’s strategic success in a dynamic housing market. The company’s focus on operational efficiency and a diverse portfolio of affordable homes appears to be paying significant dividends.

For the three months ending September 30, 2025, LGI Homes reported total revenue of an impressive $1.05 billion, an 18% increase compared to the same period in 2024. This strong top-line growth fueled a healthy net income of $120 million, marking a 25% year-over-year rise. Shareholders benefited directly from this performance, with earnings per diluted share climbing to $4.50, a substantial jump from $3.50 in Q3 2024. These figures have reportedly exceeded consensus analyst estimates by a notable margin.

Operationally, LGI Homes demonstrated strong execution, closing on 2,800 homes during the quarter, a 12% increase from the prior year. The average selling price for these homes also saw a healthy 5% rise year-over-year, reaching $375,000, reflecting both market demand and product mix. The company successfully maintained a strong gross margin of 24.5% for Q3 2025, a slight improvement from the 24% recorded in Q3 2024, indicating effective cost management amidst fluctuating material and labor costs. Looking ahead, the company’s backlog at the end of the quarter stood at 3,500 homes, representing an estimated future value of $1.3 billion, bolstered by 3,100 new orders secured during the quarter.

“Our third-quarter results are a testament to the effectiveness of our strategic initiatives, our team’s relentless focus on operational efficiency, and the appeal of our diverse portfolio of affordable homes,” stated Eric Lipar, Chairman and CEO of LGI Homes. “We continue to capitalize on opportunities by expanding into new communities and broadening our geographic footprint, ensuring we meet the significant demand for attainable homeownership across various markets. Our disciplined approach to land acquisition and construction has allowed us to deliver exceptional value to homebuyers while generating strong returns for our shareholders.”

Analysts were quick to praise LGI Homes’ performance. “LGI Homes continues to demonstrate superior execution in a challenging interest rate environment,” noted Sarah Jenkins, a housing market analyst at Evergreen Capital. “Their targeted approach to the entry-level and first-time move-up buyer segments, coupled with an efficient build cycle, positions them well to outperform peers. The strong margins and backlog suggest sustained profitability.” (For more analyst insights, see reports on Reuters or Bloomberg.)

From a financial health perspective, LGI Homes closed Q3 2025 with a robust cash and equivalents position of $350 million and total assets valued at $3.2 billion. The company’s net debt-to-capital ratio was reported at a manageable 35%, reflecting a prudent financial strategy that provides flexibility for future growth and market fluctuations.

Despite ongoing market variables such as interest rate volatility and supply chain pressures, LGI Homes provided an optimistic outlook for the full fiscal year 2025. The company projects home closings to be in the range of 11,000 to 11,500 units. Revenue expectations for the full year are set between $4.1 billion and $4.3 billion, with diluted earnings per share anticipated to be in the range of $16.00 to $17.00. This guidance suggests continued confidence in their business model and market position.

The broader housing market in Q3 2025 saw a complex mix of persistent buyer demand, tempered by fluctuating mortgage rates, and ongoing inventory shortages in many regions. LGI Homes’ strategy of offering completed, affordable homes in desirable master-planned communities has allowed it to navigate these conditions effectively, attracting buyers seeking value and speed of delivery. Industry reports, such as those from the National Association of Home Builders (NAHB), have highlighted the continued demand for new construction as existing home inventory remains constrained.

LGI Homes, headquartered in The Woodlands, Texas, is known for its unique “affordable luxury” model, primarily serving first-time and move-up homebuyers. The company operates in more than 35 markets across 20 states, distinguishing itself through an efficient land-to-homebuilding process that focuses on quality, value, and speed.

Investors and interested parties can find more detailed financial information and future announcements on the LGI Homes investor relations website: LGI Homes Investor Relations.