Green Brick Partners, Inc. (NASDAQ:GRBK) Q3 2019 Earnings Conference Call - Final Transcript
Nov 08, 2019 • 12:00 pm ET
James R. Brickman
generate the best quarter in our history for net income, total revenues, residential unit revenue and homes under construction. We are also very proud that during the third quarter of 2019, Fortune Magazine named Green Brick one of the fastest growing companies in the world.
Unlike most peers, our neighborhood count is accelerating. We will grow from 76 communities on January 1st, 2019 to 92 communities by either the end of the year or the first quarter of 2020, subject to weather. And this 21% community growth is being accomplished while maintaining a very conservative balance sheet, where our net debt-to-capital is only 28.5%.
As we discussed, our superior credit metrics allowed us to fund our growth with a new 4%, $75 million senior term loan. This low cost of capital is a huge advantage over our peers. Operationally, we are seeing house margins stabilize and the benefits of our standardized operating systems that are utilized by all of our builders. Our business is now scaled to where our title, and mortgage business are rapidly expanding and doing this profitably with very little risk.
Our entry-level first-time move up/value builder, Trophy Signature Homes, is off to a great start and should be a significant part of our earnings growth story that we expect to replicate in other markets.
I want to thank everybody on the Green Brick team for their really hard work, dedication and great results. I'll now turn the call back to our operator for questions.