LGI Homes Announces Record December, Fourth Quarter, and Year End 2020 Home Closings and Provides 2021 Home Closings and Active Communities Guidance

THE WOODLANDS, Texas, Jan. 06, 2021 (GLOBE NEWSWIRE) -- LGI Homes, Inc. (NASDAQ: LGIH) today announced an all-time record for home closings during a single month with 1,630 homes closed in December 2020, representing year-over-year growth of 54.9%. In addition, the Company announced record-breaking quarterly home closings of 3,408 during the fourth quarter of 2020 compared to 2,515 home closings in the fourth quarter of 2019, a 35.5% increase year-over-year. The Company closed 9,339 homes in 2020 surpassing its previous annual record of 7,690 home closings in 2019 by 21.4%.

“December capped a pivotal year for our Company, and we are extremely pleased with our results,” said Eric Lipar, the Company’s Chief Executive Officer and Chairman of the Board. “Our ability to build and close the homes in our backlog, as well as additional homes sold during the quarter, exceeded our expectations. We delivered a record-breaking 1,630 closings in December. Notably, this is more homes than we closed in all of 2013, the year we went public. Additionally, we closed 3,408 homes in our fourth quarter, which is more than we closed in all of 2015.”

The Company had 116 active selling communities at the end of December 2020.

“As we start 2021, we continue to see strong demand in all of our markets and maintain our positive view on the long-term outlook for homeownership. As a result of our outstanding performance in 2020 and dynamics related to the COVID-19 pandemic, our focus in 2021 will be on maintaining our industry-leading returns and margins while building our land supply with a view to expanding our community count in 2022. We expect to have between 112 and 120 active communities at the end of 2021. Based on this range and our expectation to maintain our industry-leading absorptions, we expect full year 2021 home closings to be between 9,200 and 9,800,” Lipar concluded.

The Company’s 2021 home closings and year-end active selling communities guidance assumes that general economic conditions, including interest rates and mortgage availability, and average home sales price, construction costs, availability of land, land development costs and overall absorption rates in 2021 are similar to those in 2020. In addition, this guidance assumes that governmental regulations relating to land development, home construction and COVID-19 are similar to those currently in place. Any further COVID-19 governmental restrictions on land development, home construction, home sales or home closings could negatively impact the Company’s ability to achieve this guidance.