Post by Carenaon Jan 28, 2025 6:30pm
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Post# 36425144
NVR Inc - Earnings Release
NVR Inc - Earnings Release Hi again,
NVR came out with their full year 2024 results today and since like forever, they were stellar.
Income Statement:
(i) Net income of $1.7 billion on $10 billion of revenue which is a 17% fully costed margin (including after taxes of about 20%).
(ii) This translates to $507 of earnings per share for the year 2024. Do recall in my initial post yesterday that this stock traded at $50 per share in the year 2000. That is, it now makes in a year, 10 times what it was valued, in total, back in 2000.
Balance Sheet
(i) NVR has a total market cap of $24 billion and its on balance sheet assets are only $6 billion of which $2 billion is sitting in cash for the next set of repurchases of stock.
(ii) The balance sheet is thus completely meaningless except to note that over the years they have repurchased 17.5 million shares (which is sitting in treasury stock) for a total cost of $13.8 billion or $790 per share. Please note that its stock price is trading at over $8000 per share.
NVR is the definition of American exceptionalism and this is how capitalism was meant to work.
Have a great night,
Carena