Beazer Homes USA (BZH) Investor presentation summary

Strategic positioning and differentiation

• Focus on energy efficiency leadership, with homes achieving the lowest HERS scores among national builders in 2025, supporting affordability and sustainability goals.

• Differentiated strategy emphasizes advanced home performance, curated choices, and elevated customer experiences to lower total homeownership costs and drive satisfaction.

• All homes are certified Zero Energy Ready, featuring high-performance materials, advanced ventilation, and solar readiness.

• Targeting households with ~$150k income in resilient, high-growth markets, with the largest presence in Texas.

• Customer experience is a key differentiator, with top TrustBuilder ratings and strong homeowner testimonials.

Financial performance and multi-year goals

• Fiscal 2025 revenue reached $2.37B, with 4,427 closings and an average selling price of $520k; homebuilding gross margin was 18.0%.

• Net leverage at year-end was 39.5%, with book value per share at $42.57.

• Three multi-year goals by FY27: grow to over 200 active communities, reduce net debt/net capitalization to low 30% range, and achieve double-digit CAGR in book value per share.

• Progress since FY21 includes 44% community count growth, a 13-point leverage reduction, and nearly doubling book value per share.

• FY26 focus includes margin expansion, direct cost improvements, and aggressive stock buybacks funded by non-strategic land sales.

Operational initiatives and capital allocation

• Advanced building science includes 2x6 framing, energy recovery ventilators, double-filtered ventilation, and LED lighting to maximize efficiency and comfort.

• Mortgage Choice program and new insurance platform drive annual homeowner savings of ~$3,000 versus comparable new homes.

• Capital allocation strategy prioritizes growth, deleveraging, and share repurchases, with $33M repurchased in FY25 and plans for $87M in FY26.

• Land strategy emphasizes resilient markets and increasing the percentage of optioned lots, reaching 62% in FY25.

• Profit growth and capital efficiency are expected to drive higher ROE and potential valuation re-rating.