United Homes Group, Inc. (NASDAQ:UHG) Q2 2024 Earnings Conference Call August 8, 2024 8:30 AM ET
Company Participants
Erin McGinnis - General Counsel
Jack Micenko - President
Shelton Twine - COO
Keith Feldman - CFO
Conference Call Participants
Carl Reichardt - BTIG
Chris Plahm - Tall Pines Capital
Erin McGinnis
Good morning, and welcome to United Homes Group's Second Quarter 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 its 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 President, Jack Micenko, Chief Operating Officer, Shelton Twine; and Chief Financial Officer, Keith Feldman.
With that, I'd like to turn the call over to Jack.
Jack Micenko
Thank you, Erin. Good morning, and thank you, everyone, for joining us for a review of our second quarter results and an update on our operations.
United Homes Group continues to pursue a strategy of acquiring lots in a capital-efficient manner in building out its homebuilding platform in high-growth Southeastern markets while selling and delivering homes that cater to the more affordable segments of the market.
Lots owned and controlled at the end of the second quarter totaled roughly 9,300, giving us a nice pipeline of lots to pursue a growth strategy and scale our operations. Over 95% of these lots are controlled via option agreement or land banking arrangement, which allows us to reduce a large part of the risk and upfront costs associated with land acquisition and development.
We've been working diligently over the last several quarters to cultivate a network of counterparties that will help facilitate our land bank strategy, and we believe that network is now in place. We feel that focusing on the business of building and selling homes rather than development of land is a more effective and sustainable path to enhanced returns for us and our industry.