Forestar Group Inc.

Good afternoon and welcome to Four Star's third quarter 2024 earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note, this conference is being recorded. I will now turn the call over to Katie Smith, Vice President of Finance and Investor Relations for Four Star.

Thank you, John. Good afternoon and welcome to the call to discuss Four Star's third quarter results. Thank you for joining us. Before we get started, today's call includes forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Although Four Star believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. All forward-looking statements are based upon information available to Four Star on the date of this conference call. and we do not undertake any obligation to update or revise any forward-looking statements publicly. Additional information about factors that could lead to material changes in performance is contained in 4STAR's annual report on Form 10-K and its most recent quarterly report on Form 10-Q, both of which are filed with the Securities and Exchange Commission. Our earnings release is on our website at investor.4star.com, and we plan to file our 10-Q early next week. After this call, we will post an updated investor presentation to our investor relations site under events and presentations for your reference. Now, I will turn the call over to Andy Oxley, our president and CEO.

Thanks, Katie. Good afternoon, everyone. I'm also joined on the call today by Jim Allen, our chief financial officer, and Mark Walker, our chief operating officer. Before I go over our results, I want to acknowledge the passing of Don Horton, and the legacy he leaves behind. Homebuilding and land development are not easy, but Don was tremendously successful because he always put people first. His leadership and commitment to DR Horton and its people was unmatched. Don's vision and support for Four Star gave us aspirational but achievable goals and enabled us to become the country's largest pure play residential lot developer. All of us at Four Star are incredibly proud to be a part of the D.R. Horton family and strive every day to grow and improve, which Don pushed us all to do. Now I will discuss our results. There continues to be solid demand for residential developed lots, and supply is still constrained in most markets. The Four Star team delivered 3,255 lots, generating revenues of $318.4 million during the quarter, which was in line with our expectations. Our profitability remained strong with pre-tax profit margins of 16.2% and earnings per diluted share of 76 cents. The team's performance in the third quarter resulted in book value per share increasing 15% to $29.87, and our return on equity for the trailing 12 months ending June 30, 2024, expanded 190 basis points to 13.8%. Four Star's unique blend of financial strength, operating expertise, and geographic reach is a significant competitive advantage, enabling us to be a leading supplier of finished lots. We remain focused on investing in compelling land parcels, turning our inventory, maximizing returns, and consolidating market share in the highly fragmented lot development industry. Jim will now discuss our third quarter results in more detail.