Green Brick Orders Growth Cools After Second-Quarter Surge

The Tip Desk · November 8, 2026 · 2 min read

Net income attributable to Green Brick was $59 million, or $1.35 a share, as homebuilding gross margin compressed to 28.0%.

Green Brick Partners, Inc. (GRBK), the diversified homebuilder in Texas, Georgia and Florida, reported net income attributable to the company of $59 million, or $1.35 a share, for the third quarter ended September 30, 2026, down from $78 million, or $1.77 a share, a year earlier.

The sequential turn was sharper. Net new home orders fell to 926 from 1,079 in the second quarter, reversing a 19% year-over-year increase in that period to a 3% year-over-year increase in the third. Sales pace declined to 2.8 sales per community from 3.3. Incentives on new orders rose to 11% from 9%. The cancellation rate was 8.2%.

Co-CEO and co-founder Jim Brickman said demand across the company’s markets remained resilient as buyers responded to the incentive strategy and product offerings, particularly within Trophy Signature Homes, and that the company continues to respond to deteriorating market conditions to maintain sales pace.

Deliveries were 978, up 3% from a year earlier, generating home closing revenue of $437 million. Average sales price of homes delivered was $446.7 thousand. Homebuilding cost of revenues was $314.5 million. Gross profit was $122.6 million. Homebuilding gross margin was 28.0%, down 410 basis points from 32.1% a year earlier and 180 basis points from 29.8% in the second quarter.

Backlog contracted to 629 homes and $379 million, reversing sequential backlog growth in the second quarter. Backlog units were 675 a year earlier. Homes under construction were 2,181.

Financial services operating income was $5.6 million, up 69% from $3.3 million a year earlier. Total financial services revenues were $11.2 million. Originations were 499 loans totaling $185.0 million. Co-CEO Jed Dolson said Green Brick Mortgage continued to increase capture in core Texas markets.

The company retired $50 million of 4.00% senior notes due August 2026 and repurchased 264,215 shares for approximately $17.9 million. Liquidity was $325 million, including $100 million of cash. Homebuilding debt to total capital was 13.1% and net homebuilding debt to total capital was 9.6%. Owned lots were 40,869, up 11.4% from a year earlier. Book value was $46.10 a share.

Brickman said the company maintained a balance sheet with investment-grade characteristics, supported by low leverage and substantial liquidity, and that the combination of resilient demand, differentiated margins and a well-located land pipeline positions Green Brick to navigate the current environment.