Company: SDHC
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001982518-25-000064
Chunk: 54

Company: Smith Douglas Homes Corp.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 54
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 was $172.0 million, an increase of $10.1 million, or 6%, from $161.9 million for the three months ended June 30, 2024, which was primarily driven by a 2% increase in home closings and a 4% increase in the average cost of home closings. Cost of home closings for the six months ended June 30, 2025, was $343.2 million, an increase of $41.6 million, or 14%, from $301.6 million for the six months ended June 30, 2024, which was primarily driven by a 10% increase in home closings and a 4% increase in the average cost of home closings. 

Home closing gross profit

Home closing gross profit for the three months ended June 30, 2025 was $51.9 million, a decrease of $7.1 million, or 12%, from $59.1 million for the three months ended June 30, 2024. Home closing gross margin, expressed as a percentage and calculated as home closing gross profit divided by home closing revenue, was 23.2% in the three months ended June 30, 2025 compared to 26.7% in the same period in 2024. Home closing gross profit for the six months ended June 30, 2025 was $105.5 million, a decrease of $3.0 million, or 3%, from $108.5 million for the six months ended June 30, 2024. Home closing gross margin, expressed as a percentage and calculated as home closing gross profit divided by home closing revenue, was 23.5% in the six months ended June 30, 2025 compared to 26.5% in the same period in 2024. 

The decrease in home closing gross margin for each of the three and six months ended June 30, 2025 compared to the same periods of the prior year was for each period primarily driven by a 4% increase in the average cost of home closings while the ASP of homes closed remained constant.

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Selling, general, and administrative costs

Selling, general, and administrative costs for the three months ended June 30, 2025 were $34.7 million, an increase of $2.9 million, or 9%, from $31.8 million for the three months ended June 30, 202