Co-Founder, Chief Executive Officer & Director, Green Brick Partners
Search every verified James Brickman interview, podcast appearance, and on-the-record quote — each transcript cross-checked by AI and human review to confirm speaker identity. At Green Brick Partners' 2021 Investor Day, CEO and co-founder Jim Brickman discussed the company's financial performance and strategy. He stated that revenue had more than tripled and pre-tax earnings increased about six times over the prior five years, with compounded annual growth rates of 28 percent for revenue and 44 percent for pre-tax income since 2015. Brickman said the company expects to continue growing and leveraging SG&A so that earnings grow faster than revenues, and that its growth rate is accelerating. He noted that the company has been planning for succession and building bench strength to maintain a strong growth rate over the next five to ten years. Brickman described his personal experience with excessive debt during a prior downturn, saying he "avoided going broke or putting a single property or entity into bankruptcy" but lost much of his net worth, which he said explains why Green Brick Partners is one of the lower leveraged public builders. He stated the company expects to operate with no more than 35 percent debt to total capital. Brickman also mentioned that the company admires D.R. Horton as a competitor but now competes directly with them through its Trophy Signature Homes brand, and that Green Brick has a collaborative relationship with Meritage Homes on large transactions. He said the company has been selective in land acquisitions, saying "we've said no to a lot of deals this year" and will continue to do so until further through its lot supply.
“Unlike nearly every other Texas developer, I avoided going broke or putting a single property or entity into bankruptcy. I lost a lot of my net worth and learned the hard way the dangers of leverage. This experience with excessive debt explains why 30 years later Green Brick Partners is one of the lower leveraged publi...”
“Going forward we expect to continue to operate the business with no more than 35 percent debt to total capital and probably less.”
“Our revenue has more than tripled and pre-tax earnings are up about six times in just over five years. This growth translates into a 28 percent compounded growth in revenue and a 44 percent compounded growth in pre-tax earnings since 2015.”
“We expect to continue to grow and leverage SG&A so that earnings grow faster than revenues. Our growth rate is actually accelerating.”
“We have been planning about succession and building our bench strength. We still plan on our very strong growth rate over the next five to ten years and have made great strides in attracting key people to Green Brick.”
“The company that we really admire and recognize as the gorilla in the room is D.R. Horton. We knew we couldn't compete against them initially, but now with Trophy Signature Homes, we open neighborhoods right down the street from Horton and do a great job.”
“The unlevered returns on capital that the business is able to achieve are so attractive that we have to compare it to a stock buyback. The goal really here is to grow the company, and the company has demonstrated that it is a good user of capital.”
“We have a great relationship with Meritage Homes. This was a large transaction that we wouldn't have taken on by ourselves, so we split the opportunity with a good partner we can collaborate with.”
“Our compounded annual growth rates in total revenues and pre-tax income sit at 28 percent and 44 percent respectively, which is truly remarkable. Our outsized growth in pre-tax earnings was made possible through our efforts to scale our business efficiently.”
“We have some of the best lending names in the nation as our capital providers. Our relationships with these providers coupled with our low risk profile and propensity to keep our debt to capital at or below 35 percent enable us to maintain both short-term facilities and long-term debt at low rates compared to those of...”
... Greenlight Capital and Chairman of the Board of Green Brick Partners Jim Brickman – CEO and Co-Founder Jim Brickman Jed ...
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