Industry Financial Analysis

For over 20 years, Shinn Consulting has conducted a comprehensive financial study to benchmark financial and operational performance for companies in the home building industry. It includes a thorough analysis of the results, and a comprehensive narrative explaining concepts and trends found during the analysis. It also provides information on compensation packages for 35 different positions.

The annual survey, directed by Emma Shinn, includes three primary sections: Financial, Operations, and Compensation and Benefits.

  • The Financial section includes ratio analysis of the information presented in the income statement and balance sheet with a focus on measuring profitability as well as cost and expense elements that affect profits. It addresses ratios measuring liquidity, efficiencies, and return on assets and owners’ investment. We show trends, accumulate results in four quartiles representing sizes, and accumulate results by geographic regions.
  • The Operations section tracks a number of measurements related to the systems and processes of the operations of the company. Included are general operations, construction, warranty, sales, financing, customer satisfaction, technology and insurance. Again, annual results and trends are shown.
  • The Compensation and Benefits section includes compensation and benefits information for 35 different positions in a homebuilding company. We present average and median compensation for each position, and break down compensation into the salary component and the bonus component. We graphically show what each company reported for each position, broken down between salary and bonus.

This information is held in the strictest confidence! All information presented is in ratio format, and each participating company is identified solely by a control number.

For more information, or if you would like to take part, please contact Emma Shinn at: eshinn@builderpartnerships.com