<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): January 22, 1998
M.D.C. Holdings, Inc.
--------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 1-8951 84-0622967
----------------- ----------------------- -------------------
(State or other (Commission file number) (I.R.S. employer
jurisdiction of identification no.)
incorporation)
3600 South Yosemite Street, Suite 900, Denver, Colorado 80237
-------------------------------------------------- ----------
(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code: (303) 773-1100
-----------------------------------------------------------------
Not Applicable
--------------------------------------------------------
(Former name or former address, if changed since last report.)
<PAGE>
ITEM 5. OTHER EVENTS
On January 22, 1998, the Company published a News Bulletin reporting the
Company's earnings, revenues and profit margins for the fourth quarter and full
year ended December 31, 1997, a copy of which is attached to this Form 8-K as
Exhibit 99.1. In addition, the Company is publishing a table of Selected
Financial and Other Data for the years 1992 through 1997, a copy of which is
attached to this Form 8-K as Exhibit 99.2.
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial statements of business acquired
Not applicable
(b) Pro-forma financial information
Not applicable
(c) Exhibits
99.1 News Bulletin reporting the Company's earnings, revenues and
profit margins for the fourth quarter and year ended
December 31, 1997.
99.2 Selected Financial and Other Data for the years 1992 through
1997.
M.D.C. HOLDINGS, INC.
/s/ Paris G. Reece III
Paris G. Reece III
Senior Vice President and
Chief Financial Officer
Dated: January 22, 1998
<PAGE>
[LETTERHEAD]
NEWS BULLETIN
FOR IMMEDIATE RELEASE
THURSDAY, JANUARY 22, 1998
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
Contacts: Paris G. Reece III Daniel S. Japha
Chief Financial Officer Director, Investor Relations
(303) 804-7706 (303) 804-7730
(Financial Information) (General Information)
M.D.C. HOLDINGS REPORTS HIGHER EARNINGS FOR 1997
- - ANNUAL INCOME BEFORE EXTRAORDINARY ITEM OF $24.2 MILLION, A 16% INCREASE
- - RECORD ANNUAL REVENUES OF $970 MILLION
- - FOURTH QUARTER EPS INCREASED 30% TO $.39 VS. $.30 A YEAR AGO
- - ANNUAL HOMEBUILDING PROFITS OF $41.5 MILLION, UP 49%
- - ANNUAL HOME GROSS MARGINS OF 14.5% VS. 13.7% A YEAR AGO
DENVER, Thursday, January 22, 1998 - M.D.C. Holdings, Inc. (NYSE/PSE: MDC)
today announced income before extraordinary item for the quarter ended December
31, 1997 of $8.2 million, or $.39 per share, compared with $6.3 million, or $.30
per share, for the same period in 1996. Income before extraordinary item for
the year ended December 31, 1997 was $24.2 million, or $1.18 per share, compared
with $20.8 million, or $.98 per share, for 1996. Revenues for the quarter and
year ended December 31, 1997, which reached record levels in both periods,
totalled $271.8 million and $969.6 million, respectively, compared with
$252.3 million and $922.6 million, respectively, for the same periods in 1996.
Operating results for 1997 were impacted adversely by non-cash, pre-tax charges
of $5.9 million for the impairment of certain homebuilding assets, compared with
similar charges of $9.2 million for 1996. No asset impairment charges were
recorded for the fourth quarter of 1997, compared with $2.0 million for the
fourth quarter of 1996.
Larry A. Mizel, MDC's chairman, president and chief executive officer
stated, "We are pleased to report one of the strongest annual operating
performances in our history, highlighted by new records for revenues, home
orders and year-end backlog. The continued improvement in operating results of
our core homebuilding operations enabled us to achieve our 1997 goals of
improved earnings per share, home gross margins and rates of return, reduced
leverage and increased shareowner value."
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<PAGE>
[LETTERHEAD]
Page 2
Net income for the year ended December 31, 1997 was $22.0 million, or $1.08
per share, compared with $20.4 million, or $.97 per share, for 1996. Net income
for 1997 included an extraordinary loss of $2.2 million from the March 1997
repurchase of $38 million of the Company's 11 1/8% Senior Notes. Net income for
1996 is net of an extraordinary loss of $.4 million, resulting from the early
extinguishment of debt.
IMPROVED HOMEBUILDING RESULTS
Operating profits from the Company's homebuilding operations increased to
$14.0 million and $41.5 million, respectively, for the quarter and year ended
December 31, 1997, compared with $10.0 million and $28.0 million, respectively,
for the same periods in 1996. These profit improvements primarily resulted from
higher home closings and increases in home gross margins, which improved to
14.2% and 14.5%, respectively, for the quarter and year ended December 31, 1997,
compared with 14.1% and 13.7%, respectively, for the same periods in 1996. In
addition, the Company's average selling price per home closed for the quarter
and year ended December 31, 1997 increased to $183,300 and $179,800,
respectively, from $179,000 and $177,000, respectively, for the same periods in
1996.
Paris G. Reece III, MDC's senior vice president and chief financial
officer, said, "Each of our homebuilding divisions achieved profitable and
improved operating results in 1997 except Maryland and Northern California.
Increased home closings in Southern California, Arizona and Las Vegas, resulting
from our continued geographic diversification through expansion in these growth
markets, contributed to these profit improvements. In addition, home gross
margins increased by more than 130 basis points in each of these markets,
largely due to our operating efficiency and cost control initiatives. Our
Colorado division realized a 22% increase in operating profit in 1997 despite
fewer home closings than in 1996. The increase in operating profit was
primarily due to a 120 basis points increase in home gross margins and a $14,700
higher average selling price per home closed."
FINANCIAL SERVICES
Operating profits from the financial services segment (consisting of
mortgage lending and asset management operations) were $2.9 million and $9.2
million, respectively, for the fourth quarter and year ended December 31, 1997,
compared with $3.0 million and $18.7 million, respectively, for the same periods
in 1996. Operating profits were lower in 1997 compared with 1996 primarily due
to (i) a $4.0 million pre-tax gain in 1996 from the sale of the Company's asset
management subsidiary, Financial Asset Management LLC; and (ii) $4.5 million in
gains from
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<PAGE>
[LETTERHEAD]
Page 3
sales of mortgage servicing related to mortgage loans originated prior to the
January 1, 1996 required change in the accounting for mortgage loans and
mortgage servicing.
The Company's mortgage lending operations originated and purchased through
correspondents $180 million and $632 million, respectively, in mortgage loans in
the fourth quarter and year ended December 31, 1997, compared with $163 million
and $582 million during the same periods in 1996. Approximately 82% of the
mortgage loans originated and purchased in the fourth quarter and year ended
December 31, 1997 were for MDC home buyers.
STRENGTHENED BALANCE SHEET AND IMPROVED OPERATING EFFICIENCY
During 1997, the Company continued to strengthen its balance sheet and
improve the efficiency of its operations. At December 31, 1997, compared with
December 31, 1996, the Company reduced its investment in unsold homes under
construction by 34% to $53 million, decreased homebuilding and corporate
indebtedness by $22 million to $222 million, and increased its equity by 7% to
$230 million, or $12.91 per outstanding share. These improvements contributed
to a reduction in the Company's ratio of homebuilding and corporate debt to
total capital (excluding mortgage lending debt) to 49% at December 31, 1997.
The Company's lower debt levels in 1997, combined with lower effective
interest rates on the Company's variable-rate debt, contributed to reductions of
16% and 13%, respectively, in the Company's corporate and homebuilding interest
incurred for the quarter and year ended December 31, 1997. These reductions,
combined with a $4.7 million increase in the Company's EBITDA for 1997, resulted
in a ratio of EBITDA to interest incurred of 3.4 for 1997, 21% higher than the
comparable ratio of 2.8 for 1996.
MDC is one of the largest homebuilders in the United States, building homes
under the name "Richmond American Homes" and providing mortgage financing,
primarily for MDC's home buyers, through its wholly owned subsidiary,
HomeAmerican Mortgage Corporation. MDC is a major regional homebuilder with a
significant presence in some of the country's best housing markets. The Company
is the largest homebuilder in metropolitan Denver; among the top five builders
in Riverside County, California, Northern Virginia, suburban Maryland, Tucson
and Colorado Springs; among the top ten homebuilders in Phoenix; and has a
growing presence in Orange, Los Angeles, San Bernardino, Ventura and San Diego
Counties, California and Las Vegas. The Company also builds homes in the San
Francisco Bay area.
All earnings per share amounts discussed above are on a diluted basis
reflecting the adoption of Statement of Financial Accounting Standards No. 128,
"Earnings per Share."
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<PAGE>
M.D.C. HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
DECEMBER 31,
------------------------
1997 1996
---------- ----------
ASSETS
Corporate
Cash and cash equivalents. . . . . . . . . . . . $ 7,110 $ 7,235
Property and equipment, net. . . . . . . . . . . 9,709 9,411
Deferred income taxes. . . . . . . . . . . . . . 12,276 10,804
Deferred debt issue costs, net . . . . . . . . . 6,851 9,155
Other assets, net. . . . . . . . . . . . . . . . 2,944 3,557
---------- ----------
38,890 40,162
---------- ----------
Homebuilding
Cash and cash equivalents. . . . . . . . . . . . 3,867 3,393
Home sales and other accounts receivable . . . . 7,559 10,218
Investments and marketable securities, net . . . 1,392 5,159
Inventories, net
Housing completed or under construction. . . . 249,928 251,885
Land and land under development. . . . . . . . 193,012 182,927
Prepaid expenses and other assets, net . . . . . 55,788 57,722
---------- ----------
511,546 511,304
---------- ----------
Financial Services . . . . . . . . . . . . . . . . 71,334 65,837
---------- ----------
Total Assets . . . . . . . . . . . . . . . . . . . . $ 621,770 $ 617,303
---------- ----------
---------- ----------
LIABILITIES
Corporate
Accounts payable and accrued expenses. . . . . . $ 14,288 $ 13,519
Income taxes payable . . . . . . . . . . . . . . 11,806 11,434
Notes payable. . . . . . . . . . . . . . . . . . 3,432 3,487
Senior Notes, net. . . . . . . . . . . . . . . . 150,354 187,721
Subordinated notes, net. . . . . . . . . . . . . 38,229 38,225
---------- ----------
218,109 254,386
---------- ----------
Homebuilding
Accounts payable and accrued expenses. . . . . . 105,485 114,794
Line of credit . . . . . . . . . . . . . . . . . 20,766 11,832
Note payable . . . . . . . . . . . . . . . . . . 9,676 3,063
---------- ----------
135,927 129,689
---------- ----------
Financial Services . . . . . . . . . . . . . . . . 38,141 19,381
---------- ----------
Total Liabilities. . . . . . . . . . . . . . . 392,177 403,456
---------- ----------
STOCKHOLDERS' EQUITY
Total Stockholders' Equity . . . . . . . . . . 229,593 213,847
---------- ----------
Total Liabilities and Stockholders' Equity . . . . . $ 621,770 $ 617,303
---------- ----------
---------- ----------
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<PAGE>
M.D.C. HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
<TABLE>
<CAPTION>
THREE MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
-------------------------- --------------------------
1997 1996 1997 1996
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
REVENUES
Homebuilding . . . . . . . . . . . . . . . . . . . $ 266,042 $ 246,197 $ 949,790 $ 890,536
Financial Services . . . . . . . . . . . . . . . . 5,540 5,544 18,557 30,578
Corporate. . . . . . . . . . . . . . . . . . . . . 258 525 1,215 1,481
---------- ---------- ---------- ----------
Total Revenues . . . . . . . . . . . . . . . . $ 271,840 $ 252,266 $ 969,562 $ 922,595
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
NET INCOME
Homebuilding . . . . . . . . . . . . . . . . . . . $ 14,019 $ 9,984 $ 41,543 $ 27,967
Financial Services
Mortgage Lending . . . . . . . . . . . . . . . . 1,842 2,438 7,745 12,584
Asset Management . . . . . . . . . . . . . . . . 1,020 520 1,434 6,073
---------- ---------- ---------- ----------
Total Financial Services . . . . . . . . . . . 2,862 2,958 9,179 18,657
---------- ---------- ---------- ----------
Operating Profit . . . . . . . . . . . . . . . 16,881 12,942 50,722 46,624
Corporate general and administrative
expense, net. . . . . . . . . . . . . . . . . . . (3,397) (2,552) (10,634) (10,097)
Corporate and homebuilding interest
expense . . . . . . . . . . . . . . . . . . . . . - - (409) (761) (3,773)
---------- ---------- ---------- ----------
Income before income taxes and
extraordinary item. . . . . . . . . . . . . . . . 13,484 9,981 39,327 32,754
Provision for income taxes . . . . . . . . . . . . (5,301) (3,641) (15,122) (11,955)
---------- ---------- ---------- ----------
Income before extraordinary item . . . . . . . . . 8,183 6,340 24,205 20,799
Extraordinary losses from early
extinguishment of debt, net of income
tax benefit of $1,336 for 1997 and $242
for 1996. . . . . . . . . . . . . . . . . . . . . - - - - (2,179) (421)
---------- ---------- ---------- ----------
Net Income . . . . . . . . . . . . . . . . . . . $ 8,183 $ 6,340 $ 22,026 $ 20,378
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
EARNINGS PER SHARE (1)
Basic
Income before extraordinary item . . . . . . . . $ .46 $ .35 $ 1.37 $ 1.12
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Net Income . . . . . . . . . . . . . . . . . . . $ .46 $ .35 $ 1.25 $ 1.09
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Diluted
Income before extraordinary item . . . . . . . . $ .39 $ .30 $ 1.18 $ .98
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Net Income . . . . . . . . . . . . . . . . . . . $ .39 $ .30 $ 1.08 $ .97
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
WEIGHTED-AVERAGE SHARES
OUTSTANDING (1)
Basic. . . . . . . . . . . . . . . . . . . . . . 17,770 18,034 17,673 18,623
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Diluted. . . . . . . . . . . . . . . . . . . . . 22,041 22,157 21,899 22,763
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
DIVIDENDS DECLARED PER SHARE . . . . . . . . . . . . $ .03 $ .03 $ .12 $ .12
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
</TABLE>
(1) As adjusted for the adoption of Statement of Financial Accounting Standards
No. 128, "Earnings per Share."
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<PAGE>
M.D.C. HOLDINGS, INC.
INFORMATION ON BUSINESS SEGMENTS
(IN THOUSANDS)
<TABLE>
<CAPTION>
THREE MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
-------------------------- --------------------------
1997 1996 1997 1996
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
HOMEBUILDING
Home sales . . . . . . . . . . . . . . . . . . . $ 262,342 $ 244,886 $ 939,016 $ 880,358
Land sales . . . . . . . . . . . . . . . . . . . 3,722 1,126 9,978 9,471
Other revenues . . . . . . . . . . . . . . . . . (22) 185 796 707
---------- ---------- ---------- ----------
TOTAL HOMEBUILDING REVENUES. . . . . . . . . 266,042 246,197 949,790 890,536
---------- ---------- ---------- ----------
Home cost of sales . . . . . . . . . . . . . . . 225,102 210,431 802,961 759,405
Land cost of sales . . . . . . . . . . . . . . . 2,541 988 7,740 8,773
Asset impairment charges . . . . . . . . . . . . - - 1,983 5,850 9,191
Marketing. . . . . . . . . . . . . . . . . . . . 16,672 15,411 61,139 56,078
General and administrative . . . . . . . . . . . 7,708 7,400 30,557 29,122
---------- ---------- ---------- ----------
252,023 236,213 908,247 862,569
---------- ---------- ---------- ----------
HOMEBUILDING OPERATING PROFIT. . . . . . . . 14,019 9,984 41,543 27,967
---------- ---------- ---------- ----------
FINANCIAL SERVICES
Mortgage Lending Revenues
Interest revenues. . . . . . . . . . . . . . . . 507 925 1,918 3,543
Origination fees . . . . . . . . . . . . . . . . 1,940 1,722 6,751 6,209
Gains on sales of mortgage servicing . . . . . . 179 274 1,739 6,020
Gains on sales of mortgage loans, net. . . . . . 1,814 1,667 6,182 4,905
Mortgage servicing and other . . . . . . . . . . 71 349 490 1,545
Asset Management Revenues
Management fees and other. . . . . . . . . . . . 1,029 607 1,477 8,356
---------- ---------- ---------- ----------
TOTAL FINANCIAL SERVICES REVENUES. . . . . . 5,540 5,544 18,557 30,578
---------- ---------- ---------- ----------
General and Administrative Expenses
Mortgage Lending . . . . . . . . . . . . . . . . 2,669 2,499 9,335 9,638
Asset Management . . . . . . . . . . . . . . . . 9 87 43 2,283
---------- ---------- ---------- ----------
2,678 2,586 9,378 11,921
---------- ---------- ---------- ----------
FINANCIAL SERVICES OPERATING PROFIT. . . . . 2,862 2,958 9,179 18,657
---------- ---------- ---------- ----------
TOTAL OPERATING PROFIT . . . . . . . . . . . . . . . 16,881 12,942 50,722 46,624
---------- ---------- ---------- ----------
CORPORATE
Interest and other revenues. . . . . . . . . . . 258 525 1,215 1,481
Interest expense . . . . . . . . . . . . . . . . - - (409) (761) (3,773)
General and administrative . . . . . . . . . . . (3,655) (3,077) (11,849) (11,578)
---------- ---------- ---------- ----------
NET CORPORATE EXPENSES . . . . . . . . . . . (3,397) (2,961) (11,395) (13,870)
---------- ---------- ---------- ----------
INCOME BEFORE INCOME TAXES AND EXTRAORDINARY ITEM. . $ 13,484 $ 9,981 $ 39,327 $ 32,754
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
</TABLE>
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<PAGE>
M.D.C. HOLDINGS, INC.
SELECTED FINANCIAL DATA
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
<TABLE>
<CAPTION>
DECEMBER 31,
----------------------------------------
1997 1996 1995
---------- ---------- ----------
<S> <C> <C> <C>
BALANCE SHEET DATA
Stockholders' Equity . . . . . . . . . . . . . . . . . . . . . . $ 229,593 $ 213,847 $ 205,033
Book Value Per Share Outstanding . . . . . . . . . . . . . . . . $ 12.91 $ 11.83 $ 10.54
Homebuilding and Corporate Debt. . . . . . . . . . . . . . . . . $ 222,457 $ 244,328 $ 283,344
Ratio of Homebuilding and Corporate Debt to Equity . . . . . . .97 1.14 1.38
Total Capital (excluding mortgage lending debt). . . . . . . . . $ 452,050 $ 458,175 $ 488,377
Ratio of Homebuilding and Corporate Debt to Total Capital. . . 0.49 0.53 0.58
Total Liquidity. . . . . . . . . . . . . . . . . . . . . . . . . $ 182,934 $ 187,834 $ 150,068
Total Homebuilding Inventories . . . . . . . . . . . . . . . . . $ 442,940 $ 434,812 $ 442,165
Interest Capitalized in Inventories. . . . . . . . . . . . . . $ 37,991 $ 40,745 $ 40,217
Interest Capitalized as a Percent of Inventories . . . . . . . 8.6% 9.4% 9.1%
Total Lots Owned . . . . . . . . . . . . . . . . . . . . . . . . 9,466 10,523 11,556
Total Lots Under Option. . . . . . . . . . . . . . . . . . . . . 5,730 6,698 8,008
Active Subdivisions. . . . . . . . . . . . . . . . . . . . . . . 137 152 144
</TABLE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
----------------------------------------
1997 1996 1995
---------- ---------- ----------
<S> <C> <C> <C>
OPERATING DATA
EBITDA Computation
Income Before Extraordinary Item . . . . . . . . . . . . . . . $ 24,205 $ 20,799 $ 17,250
Add:
Income taxes . . . . . . . . . . . . . . . . . . . . . . . 15,122 11,955 9,401
Corporate & homebuilding interest expense. . . . . . . . . 761 3,773 7,773
Interest in cost of sales. . . . . . . . . . . . . . . . . 28,361 25,995 28,397
Other fixed charges. . . . . . . . . . . . . . . . . . . . 797 1,165 2,492
Depreciation and amortization. . . . . . . . . . . . . . . 15,050 12,067 10,280
Asset impairment charges . . . . . . . . . . . . . . . . . 5,850 9,724 3,677
--------- --------- ---------
Total EBITDA . . . . . . . . . . . . . . . . . . . . . . . . . . $ 90,146 $ 85,478 $ 79,270
--------- --------- ---------
--------- --------- ---------
Fixed Charges Incurred . . . . . . . . . . . . . . . . . . . . . $ 27,165 $ 31,461 $ 36,401
Ratio of EBITDA to Fixed Charges . . . . . . . . . . . . . . . . 3.3 2.7 2.2
Ratio of EBITDA to Interest Incurred . . . . . . . . . . . . . . 3.4 2.8 2.3
Homebuilding and Corporate SG&A as a Percent of
Home Sales Revenues. . . . . . . . . . . . . . . . . . . . . . 11.0% 11.0% 10.9%
Interest Data
Interest Incurred. . . . . . . . . . . . . . . . . . . . . . . $ 26,368 $ 30,296 $ 33,909
Interest Capitalized . . . . . . . . . . . . . . . . . . . . . $ 25,607 $ 26,523 $ 26,136
Interest in Cost of Sales as a Percent of Home Sales
Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . 3.0% 3.0% 3.4%
</TABLE>
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<PAGE>
M.D.C. HOLDINGS, INC.
HOMEBUILDING OPERATIONAL DATA
<TABLE>
<CAPTION>
THREE MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
-------------------------- --------------------------
1997 1996 1997 1996
---------- ----------- ---------- -----------
<S> <C> <C> <C> <C>
Home Sales Revenues (IN THOUSANDS) . . . . . . . . . . . . . $ 262,342 $ 244,886 $ 939,016 $ 880,358
Average Selling Price Per Home Closed
(IN THOUSANDS). . . . . . . . . . . . . . . . . . . . . . . $ 183.3 $ 179.0 $ 179.8 $ 177.0
Home Gross Margins . . . . . . . . . . . . . . . . . . . . . 14.2% 14.1% 14.5% 13.7%
Orders For Homes, Net (UNITS)
Colorado . . . . . . . . . . . . . . . . . . . . . . . . . 474 328 2,039 1,811
Mid-Atlantic . . . . . . . . . . . . . . . . . . . . . . . 287 217 1,061 1,115
California . . . . . . . . . . . . . . . . . . . . . . . . 188 188 938 822
Arizona. . . . . . . . . . . . . . . . . . . . . . . . . . 333 198 1,297 1,041
Nevada . . . . . . . . . . . . . . . . . . . . . . . . . . 88 78 434 260
---------- ---------- ---------- ----------
Total . . . . . . . . . . . . . . . . . . . . . . . . . 1,370 1,009 5,769 5,049
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
Homes Closed (UNITS)
Colorado . . . . . . . . . . . . . . . . . . . . . . . . . 476 493 1,735 1,893
Mid-Atlantic . . . . . . . . . . . . . . . . . . . . . . . 282 312 1,088 969
California . . . . . . . . . . . . . . . . . . . . . . . . 226 243 828 837
Arizona. . . . . . . . . . . . . . . . . . . . . . . . . . 311 280 1,135 1,044
Nevada . . . . . . . . . . . . . . . . . . . . . . . . . . 136 40 437 231
---------- ---------- ---------- ----------
Total . . . . . . . . . . . . . . . . . . . . . . . . . 1,431 1,368 5,223 4,974
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
</TABLE>
<TABLE>
<CAPTION>
DECEMBER 31, DECEMBER 31,
1997 1996
------------ ------------
<S> <C> <C>
Backlog (UNITS)
Colorado . . . . . . . . . . . . . . . . . . . . . . . . . 880 576
Mid-Atlantic . . . . . . . . . . . . . . . . . . . . . . . 394 421
California . . . . . . . . . . . . . . . . . . . . . . . . 270 160
Arizona. . . . . . . . . . . . . . . . . . . . . . . . . . 393 231
Nevada . . . . . . . . . . . . . . . . . . . . . . . . . . 95 98
---------- ----------
Total. . . . . . . . . . . . . . . . . . . . . . . . . . 2,032 1,486
---------- ----------
---------- ----------
Estimated Sales Value (IN THOUSANDS). . . . . . . . . . $ 380,000 $ 261,000
---------- ----------
---------- ----------
</TABLE>
<PAGE>
M.D.C. HOLDINGS, INC.
SELECTED FINANCIAL AND OTHER DATA
(DOLLAR AMOUNTS IN THOUSANDS)
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
-------------------------------------------------------------------------------------
1992 1993 1994 1995 1996 1997
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Total Revenues . . . . . . . . . . . . $ 480,177 $ 634,323 $ 817,245 $ 865,856 $ 922,595 $ 969,562
Home Sales Revenues. . . . . . . . . . $ 417,190 $ 587,887 $ 784,453 $ 827,448 $ 880,358 $ 939,016
EBITDA . . . . . . . . . . . . . . . . $ 51,111 $ 61,615 $ 84,790 $ 79,270 $ 85,478 $ 90,146
Homebuilding and Corporate Debt. . . . $ 287,401 $ 316,176 $ 325,069 $ 283,344 $ 244,328 $ 222,457
Stockholders' Equity . . . . . . . . . $ 164,182 $ 175,854 $ 192,295 $ 205,033 $ 213,847 $ 229,593
Homebuilding and Corporate Debt /
Total Capital (excluding mortgage
lending debt). . . . . . . . . . . . 0.64 0.64 0.63 0.58 0.53 0.49
Orders for homes, net units. . . . . . 2,703 3,875 4,177 4,536 5,049 5,769
Homes closed, units. . . . . . . . . . 2,414 3,344 4,200 4,570 4,974 5,223
Backlog, units (1) . . . . . . . . . . 826 1,357 1,334 1,355 1,486 2,032
Backlog, estimated sales value (1) . . $ 142,800 $ 250,530 $ 241,900 $ 243,000 $ 261,000 $ 380,000
</TABLE>
(1) At end of period.
