Earnings call transcript: LGI Homes Q4 2025 earnings miss expectations

LGI Homes reported weaker-than-expected fourth-quarter 2025 financial results during their earnings call held at The Woodlands, Texas headquarters on February 18, 2026, citing increased construction costs and slowing demand in key markets as the primary reasons for the underperformance. The homebuilder's earnings per share came in at $3.25, significantly below the consensus estimate of $3.78, while revenue reached $1.2 billion, falling short of the projected $1.35 billion. The company's stock price declined by approximately 8% in after-hours trading following the announcement as investors reacted to the disappointing results. LGI Homes, a leading U.S. home construction company known for affordable housing, has been facing mounting challenges from rising material costs and increasingly restrictive mortgage rates that have dampened buyer demand across their primary markets. Management addressed these headwinds during the call, outlining both immediate challenges and strategic adjustments to navigate the current economic climate.