Dream Finders Homes, Inc. (DFH) has announced its financial results for the fourth quarter and full year ended December 31, 2025. The company reported a record 8,608 home closings for the full year, as well as record net sales of 7,747, marking a 15% increase from the previous year.
In the fourth quarter of 2025, homebuilding revenues were $1.2 billion, a decrease from $1.5 billion in the same period in 2024. Home closings also decreased to 2,536 from 3,008, while net sales saw a 9% increase to 1,756 from 1,611. The homebuilding gross margin percentage was 16.7% compared to 17.7% in the fourth quarter of 2024, and the adjusted homebuilding gross margin (non-GAAP) was 25.7% compared to 26.9%.
For the full year 2025, homebuilding revenues amounted to $4.1 billion compared to $4.4 billion in 2024. Home closings remained relatively stable at 8,608 compared to 8,583, while net sales increased by 15% to 7,747 from 6,727. The homebuilding gross margin percentage was 17.4% compared to 18.3%, and the adjusted homebuilding gross margin (non-GAAP) was 26.5% compared to 27.0%.
The company's pre-tax income decreased to $284 million in 2025 from $438 million in 2024, and net income attributable to DFH was $217 million, or $2.19 per basic share, compared to $335 million, or $3.44 per basic share in 2024. Financial services pre-tax income increased by 12% to $35 million from $31 million.
DFH also reported a controlled lot pipeline of 63,121 as of December 31, 2025, compared to 54,698 as of December 31, 2024. The company initiated its 2026 full-year guidance of approximately 9,250 expected home closings.
The fourth quarter of 2025 saw a 24% decrease in homebuilding revenues compared to the same period in 2024, driven by lower home closings and average selling prices. The homebuilding gross margin percentage decreased to 16.7% from 17.7% due to higher sales incentives and land costs, as well as changes in product mix. Adjusted homebuilding gross margin in the fourth quarter of 2025 was 25.7%, down from 26.9% in the fourth quarter of 2024.
Selling, general and administrative expense (SG&A) in the fourth quarter of 2025 increased to $124 million from $116 million in the fourth quarter of 2024. Consolidated net income attributable to DFH in the fourth quarter of 2025 was $59 million, or $0.60 per basic share, compared to $129 million, or $1.35 per basic share in the fourth quarter of 2024.
The company's backlog as of December 31, 2025, stood at 1,839 homes, valued at $0.8 billion, compared to a backlog of 2,619 homes, valued at $1.2 billion as of September 30, 2025.
Dream Finders Homes expects approximately 9,250 home closings for the full year 2026. As a result of these announcements, the company's shares have moved -3.55% on the market, and are now trading at a price of $19.58. For more information, read the company's full 8-K submission here.
