Smith Douglas Homes Q1 revenue, profit fall as closings drop

Smith Douglas Homes

29/04/2026 12:19

Overview

U.S. homebuilder's Q1 revenue fell 8% as home closings declined 7% yr/yr

Q1 net income dropped sharply from prior year as gross margin narrowed

Company repurchased 449,604 shares for $5.7 mln during the quarter

Outlook

Company did not provide specific financial guidance for the current quarter or full year

Result Drivers

IMPROVED SALES PACE - Co said sales pace improved through the quarter, with net new home orders up 28% yr/yr, reflecting resilient demand for attainable housing

NARROWER GROSS MARGIN - Gross margin on home closings fell to 19.6% from 23.8%, contributing to lower profitability

Company press release: ID:nBw6BZS5Fa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income
$4.06 mln
Q1 Pretax Profit
$4.32 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the homebuilding peer group is "hold"

Wall Street's median 12-month price target for Smith Douglas Homes Corp is $14.00, about 1.7% above its April 28 closing price of $13.76

The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 25 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)