United Homes Group, Inc

Good morning. My name is Amy and I'll be your conference operator for today. At this time, I would like to welcome everyone to the United Homes Group third quarter 2024 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad. If you would like to withdraw your question, again, press star and the number one. I would like to now turn the call over to Erin Reeves McGinnis. You may begin.

Good morning, and welcome to United Homes Group's third quarter of 2024 earnings call. Before the call begins, I would like to note that this call will include forward-looking statements within the meaning of the federal securities laws. United Homes Group cautions that forward-looking statements are subject to numerous assumptions, risks, and uncertainties, which change over time. These risks and uncertainties include but are not limited to the risk factors described by United Homes Group in filings with the Securities and Exchange Commission. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and you should not place undue reliance on these forward-looking statements. We do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities laws. Additionally, reconciliations of non-GAAP financial measures discussed on this call to the most directly comparable GAAP measures can be accessed through the company's website and in its SEC filings. Hosting the call today are United Homes Group's Chief Executive Officer, Jamie Perrello, President Jack Masenko, and Chief Financial Officer, Keith Feldman. With that, I'd like to turn the call over to Jack.

Thank you, Erin. Good morning, and thank you, everybody, for joining us today as we go over our results for the third quarter of 2024 and provide an update on our operations. The 8 Homes Group delivered strong results in the quarter, highlighted by home sales revenue growth of 35% year-over-year and a 30% increase in new home deliveries. I want to thank all of our team members for their hard work in delivering a strong quarter of sales and deliveries and making improvements to our operations on a number of fronts. We continue to see positive housing fundamentals in our markets, highlighted by strong local economies and in-migration patterns. Traffic in our communities was steady throughout the quarter, though our ability to convert traffic and orders was somewhat dictated by movements in mortgage rates. Through our use of mortgage rate buy-downs and other incentives, we were able to maintain a steady cadence of orders through the quarter, culminating in a total of 341 homes sold, which represented a 25% increase over the prior year period. Given the current mortgage rate environment and seasonal slowdown our industry typically experiences in the fourth quarter, we expect incentives to remain elevated for the remainder of the year. We made solid headway in the quarter aligning our product to address the needs of our buyers and our markets. and make sure we have sufficient inventory of homes to meet our delivery goals for this quarter and beyond. Our acquisitions of Rosewood and Creekside homes have been integrated on our home building platform. We're making progress in establishing a foothold in a relatively new market, Raleigh, North Carolina. We've been hard at work transitioning United Homes from a successful private home builder into a production-focused home builder with a publicly traded company mindset. Helping us execute on this strategy is our new interim CEO, Jamie Perello, who joined our company earlier this year. Jamie comes to us with a wealth of industry knowledge and experience, having most recently served as an consultant to the industry, but before that, as regional president for Centric Communities overseeing the Southeast, Texas, and Florida divisions. Jamie's led a successful career across many facets of the home building industry to understand what it takes to compete effectively in the business. We're excited about adding a seasoned industry veteran like Jamie to our team and believe he has the right background, experience, and leadership abilities to take United Homes Group to the next level. With that, I'd like to turn the call over to Jamie so he can give you more insight into his operational philosophy and his outlook for our company. Jamie?