Meritage Homes Q2 net earnings fall 37% to $147 million as home prices and margins drop
Meritage Homes reported second quarter 2025 results, with home closing revenue down 5% to $1.6 billion and net earnings down 37% to $147 million, or $2.04 per diluted share, from a year earlier. Lower average sales prices from financing incentives and a home closing gross margin of 21.1%, down from 25.9%, drove the decline. The company also cut its full-year land acquisition and development spending target to around $2.0 billion from $2.5 billion.
Key points
- Net earnings were $147 million ($2.04 per diluted share) for Q2 2025, versus $232 million ($3.15) in Q2 2024.
- Home closing revenue was $1.6 billion, down 5%; average sales price on closings fell 6% to $387,000.
- Home closing gross margin was 21.1%, down 480 basis points; excluding terminated land deal charges, it was 21.4%.
- Full-year 2025 land acquisition and development spend target was lowered to around $2.0 billion from $2.5 billion.
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 1:00 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on July 23, 2025.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.