Centex
CENTEX - 50 Years of Home Building
Centex Corporation (NYSE: CTX), based in Dallas-based, is one of the nation’s leading home building companies. Centex operates in major U.S. markets in 25 states and delivered more than 35,000 homes in the United States in its most recent fiscal year ended March 31, 2007.
Since the company’s founding in 1950 as a Dallas-based residential construction company, it has evolved into a company whose principal operations are focused on residential and commercial construction and related activities, including mortgage financing.
In addition to its home building operations, Centex’s related business lines include mortgage, title and insurance services and integrated pest defense systems. These businesses provide operational or financial support to the company’s home building operations and are leaders in their respective industries. Centex ranks No. 1 in its industry on FORTUNE magazine’s list of “America’s Most Admired Companies.”
For the second quarter of fiscal year 2008 ended September 30, 2007, the company reported the following results: revenues for the quarter of $2.22 billion and a net loss of nearly $644 million, or $5.26 per diluted share.
For fiscal year 2007, Centex reported revenues of $12 billion, and net earnings of $268 million, or $2.23 per diluted share.
Home Building’s operations currently involve the purchase and development of land or lots and the construction and sale of detached and attached single-family homes (including resort and second home properties and lots) and land or lots. The company has participated in the homebuilding business since 1950 and, in 2005, is the 4th largest homebuilder in the U.S., based on the total number of closings.
Financial Services’ operations consist primarily of mortgage lending, title agency services, and the sale of title insurance and other insurance products. These activities include mortgage origination, servicing, and other related services for homes sold by its subsidiaries and others. The company has been in the mortgage lending business since 1973.
Prior to March 2007, Centex also operated in the commercial construction industry, having purchased a Dallas-based commercial contractor in 1966 (whose business dated back to 1936). Its operations involved the construction of buildings for both private and government interests, including educational institutions, hospitals, multi-unit residential buildings, correctional institutions, airport facilities, office buildings, hotels and resorts, and sports facilities. In March 2007, Centex sold its commercial construction operations to Balfour Beatty, a British-based construction company, in order to focus completely on the residential housing market.
HOME BUILDING
Centex’s Home Building operation consistently ranks among the largest multi-market, single-family home builders in the United States. Centex is the only company to rank among the Top 10 U.S. home builders for more than 40 consecutive years, according to Professional Builder magazine.
MORTGAGE, TITLE AND INSURANCE
CTX Mortgage
CTX Mortgage Company, one of the nation’s largest retail mortgage originators, has more than 200 offices and is licensed to do business in 46 states and the District of Columbia. CTX Mortgage offers FHA/VA, conventional, conforming, jumbo and specialty loans. CTX Mortgage originated almost $14 billion of loans in fiscal 2007.
Centex Title and Insurance
Centex’s Title and Insurance operations provide nationwide residential and commercial title insurance and settlement services, including low-cost property reports and appraisal products. Centex Insurance offers homeowners’ insurance to more than 100,000 customers nationwide and also offers life, auto, boat, commercial, home warranty and umbrella policies.
HOME SERVICES
HomeTeam Pest Defense
HomeTeam Pest Defense is the nation’s largest pest management company serving new home builders. In addition to conventional pest control and termite treatment services, HomeTeam offers the innovative TaexxTM built-in pest control system which is installed during new home construction.