May 2013 Investor Presentation

INVESTOR PRESENTATION MAY 2013

Forward-Looking Statements
This presentation includes “forward-looking statements.” These statements are subject to a number of risks, uncertainties and other factors
that could cause our actual results, performance, prospects or opportunities, as well as those of the markets we serve or intend to serve, to
differ materially from those expressed in, or implied by, these statements. You can identify these statements by the fact that they do not
relate to matters of a strictly factual or historical nature and generally discuss or relate to forecasts, estimates or other expectations
regarding future events. Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “may,” “can,” “could,” “might,”
“will” and similar expressions identify forward-looking statements, including statements related to expected operating and performing
results, planned transactions, planned objectives of management, future developments or conditions in the industries in which we
participate and other trends, developments and uncertainties that may affect our business in the future.
Such risks, uncertainties and other factors include, among other things: interest rate changes and the availability of mortgage financing;
continued volatility in the debt and equity markets; competition within the industries in which PulteGroup operates; the availability and cost
of land and other raw materials used by PulteGroup in its homebuilding operations; the impact of any changes to our strategy in responding
to continuing adverse conditions in the industry, including any changes regarding our land positions; the availability and cost of insurance
covering risks associated with PulteGroup's businesses; shortages and the cost of labor; weather related slowdowns; slow growth
initiatives and/or local building moratoria; governmental regulation directed at or affecting the housing market, the homebuilding industry or
construction activities; uncertainty in the mortgage lending industry, including revisions to underwriting standards and repurchase
requirements associated with the sale of mortgage loans; the interpretation of or changes to tax, labor and environmental laws; economic
changes nationally or in PulteGroup’s local markets, including inflation, deflation, changes in consumer confidence and preferences and the
state of the market for homes in general; legal or regulatory proceedings or claims; required accounting changes; terrorist acts and other
acts of war; and other factors of national, regional and global scale, including those of a political, economic, business and competitive
nature. See PulteGroup’s Annual Report on Form 10-K for the fiscal year ended December 31, 2012, and other public filings with the
Securities and Exchange Commission (the “SEC”) for a further discussion of these and other risks and uncertainties applicable to our
businesses. PulteGroup undertakes no duty to update any forward-looking statement, whether as a result of new information, future events
or changes in PulteGroup’s expectations.
Certain statements in this presentation contain references to non-GAAP financial measures. A reconciliation of the non-GAAP financial
measures to the comparable GAAP numbers is included in this presentation.
PulteGroupInvestorPresentation
2

Presentation Agenda
• Signs of a Sustained Recovery in Housing
• PulteGroup
• Company Profile
• Improving Long-term Returns
• Value Creation and Building a Better Business
• Review of Q1 2013 Financial Results
3

DATA POINT TO A SUSTAINED RECOVERY IN HOUSING
4

Excess Supply Reduced Through
Years of Under Building
Median = 1.5
HOUSING STARTS (000)
CUMULATIVE EXCESS/DEFICIT (000)
5

A Clear Upturn in Housing Demand
• March 2013 SAAR exceeds
400k new home sales
• New homes sales bottomed at
306k in 2011, down 80% from
peak
• Industry experts forecasting
• growth in 2013 and beyond
• Favorable demographics and
• pent-up demand
• Low housing prices
• Low interest rates
• Rising rental rates
0
200
400
600
800
1,000
1,200
1,400
2005
2006
2007
2008
2009
2010
2011
2012
Mar-13
NEW HOME SALES (000)
Source: U.S. Census Bureau; NAHB
6

Pent-up Demand Expected to Return…
NUMBER OF SHARED
HOUSEHOLDS (in thousands)
CHANGE IN NUMBER OF
HOUSEHOLDS (in millions)
7

…While New Home Inventory is Limited
0
100
200
300
400
500
600
2005 2006 2007 2008 2009 2010 2011 2012
For Sale New Home Inventory (000)
8

PulteGroup Overview
• Among the nation’s largest
homebuilders with operations in
55 major metro markets
• Delivered over 600,000 homes
since being founded in Michigan
in 1950
• Unique multi-brand strategy
• to serve all major customer
• groups
• Unmatched presence in
• active adult market through
• Del Webb brand
10

Broad Market Presence in Top Metro Markets
11

31% 43% 26%
2012 CLOSINGS
Exposure Across All Major Customer Segments
INCREASED DEMAND AMONG MOVE-UP BUYERS IS SHIFTING MIX TOWARD PULTE HOMES
12

• Expect ongoing recovery in
demand within buyer group
• Improving ability to sell current
home
• Demographics drive demand
• Buyer group remains one of
• the largest and most affluent
• Almost 40% of Del Webb buyers
pay cash for their homes
Positive Market Opportunity for Active Adult
0
10
20
30
40
50
60
70
80
2010 2015 2020
70-74
65-69
60-64
55-59
U.S. POPULATION OVER
AGE 55
(in millions)
AGE
13

VALUE CREATION INITIATIVES DRIVING IMPROVED BUSINESS PERFORMANCE
14

• Financial goal is to drive improved returns on invested
capital over the housing cycle
• Value Creation initiatives focused on improving
fundamental operations:
• Expand homebuilding gross margin
• Drive greater overhead leverage
• Increase inventory turns
• More effectively allocate capital
• Actions are already having a meaningful impact on
reported operating and financial results
Strategy for Creating Greater Shareholder Value
15

• Reduction of direct house costs
• Manufacturing approach via
Common Plan Management
• New pricing model of base
house with options/upgrades
• Emphasis on presales with
managed spec production
• Gross margins also benefiting
from:
• An improved demand and pricing
environment
• Shift in mix of closings to include
more move-up homes
Actions Driving Improved Gross Margins
18.7%
20.3%
21.6%
21.8%
22.9%
16%
17%
18%
19%
20%
21%
22%
23%
24%
Q1'12 Q2'12 Q3'12 Q4'12 Q1'13
ADJUSTED GROSS MARGINS *
* Home Sale Gross Margin % Before Impairments & Interest
Expense. See Supplemental Non-GAAP data for detail.
16

• 2012 SG&A lowered by
190 bps from prior year to
11.3% of home sale
revenues
• Q1 2013 SG&A of 11.8%
compared with 15.2% in 2011
• Focus on volumes within
existing communities can
support additional upside
leverage
Working to Deliver Greater Overhead Leverage
10.0%
10.5%
11.0%
11.5%
12.0%
12.5%
13.0%
13.5%
2011 2012
SG&A COSTS AS PERCENT
OF HOME SALE REVENUES
17

• $1.4 billion in land spend
authorized for 2013 and 2014
• Disciplined land acquisitions
and divestitures
• Capital allocation and land
investment practices aligned
with ROIC focus
• More formal risk weighting
process in evaluating new
investment
• Greater emphasis on optioning
rather than owning land
positions
• Build local market share
Land Strategy Aligned with ROIC Goals
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
2010 2011 2012 Q1'13
Optioned Owned
LOTS UNDER CONTROL
18

• Q1 2013 cash balance of
$1.7 billion, up $183 million
from year-end
• On track to retire $1.0 billion
of debt since the start of 2012
• Announced early redemption of
2014 maturities
• Using excess cash on hand to
fund redemption
• Upon redemption, debt-to-cap
expected to fall by 400 bps from
52% reported at end of Q1 2013
Building Greater Financial Flexibility
DEBT MATURITY SCHEDULE
($ in millions)
19

IMPACT OF VALUE CREATION INITIATIVES ON REPORTED FINANCIAL RESULTS
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• Q1 earnings of $0.21 per
share up from prior year
loss of ($0.03) per share
• Home sale revenues up
35% to $1.1 billion
• Adjusted gross margin up
420 bps to 22.9%
• SG&A down 340 bps to
11.8% of home sale
revenues
Q1 2013 Financial Highlights
21
18.7%
20.3%
21.6%
21.8%
22.9%
16%
17%
18%
19%
20%
21%
22%
23%
24%
Q1'12 Q2'12 Q3'12 Q4'12 Q1'13
ADJUSTED GROSS MARGINS *
* Home Sale Gross Margin % Before Impairments & Interest
Expense. See Supplemental Non-GAAP data for detail.

Q1 2013 Financial Highlights
$0.0
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
2010 2011 2012 * 2013
Adj
* Adjusted for announced redemption
Senior Notes Outstanding
($ billions)
• Net new orders up 4% to 5,200
homes; order dollars up 18% to
$1.6 billion
• Backlog value up 52% to $2.4
billion
• Quarter-end cash of $1.7 billion,
up $183 million from year-end
• Net debt-to-cap down to 27%
from 32% at year-end
• Announced plans to redeem
$399 million of senior notes in
May 2013
22

Three Months Ended
March 31,
2013 2012
Homebuilding Home Sale Revenues ($ millions) $1,100 $814
Homebuilding Pretax Income (Loss) ($ millions) $68 $(20)
Backlog (Units) 7,825 5,798
Backlog (Dollar Value in millions) $2,414 $1,586
Financial Services Pretax Income ($ millions) $14 $7
Income (Loss) Before Income Taxes ($ millions) $82 $(13)
Net Income (Loss) Per Share $0.21 ($0.03)
Q1 2013 Selected Financial Data
23

Q1 2013 Balance Sheet Analysis
($ millions)
March 31,
2013
December 31,
2012
Cash and Equivalents
(including restricted cash)
$1,660 $1,477
House and Land Inventory $4,113 $4,214
Senior Notes $2,512 $2,510
Shareholders’ Equity $2,276 $2,190
Debt – to – Cap 52% 53%
Net Debt – to – Cap (adjusted for cash) 27% 32%
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PulteGroup: Well Positioned for Today and Tomorrow
• Focus on ROIC – improving fundamental performance in margins,
overhead leverage, inventory turns and capital efficiency to drive
improved returns on invested capital
• Land Strategy – capitalizing on existing land portfolio; increasing
planned investment to support future homebuilding operations
• Unique Market Position – defined multi-brand strategy with leadership
position in serving Baby Boomers
• Balance Sheet – $1.7 billion in cash and flexibility to support current
operations and future growth opportunities
• Leadership – experienced leadership team focused on driving
improvements in core homebuilding operations
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Reconciliation of Non-GAAP Data
This presentation contains information about home sale gross margin reflecting certain adjustments. This measure
is considered a non-GAAP financial measure under the SEC’s rules and should be considered in addition to, rather
than as a substitute for, the comparable GAAP financial measure as a measure of our operating performance.
Management and our local divisions use this measure in evaluating the operating performance of each community
and in making strategic decisions regarding sales pricing, construction and development pace, product mix, and
other daily operating decisions. We believe it is a relevant and useful measure to investors for evaluating our
performance through gross profit generated on homes delivered during a given period and for comparing our
operating performance to other companies in the homebuilding industry. Although other companies in the
homebuilding industry report similar information, the methods used may differ. We urge investors to understand the
methods used by other companies in the homebuilding industry to calculate gross margins and any adjustments
thereto before comparing our measure to that of such other companies.
The following table sets forth a reconciliation of this non-GAAP financial measure to the GAAP financial measure
that management believes to be most directly comparable.
26

Supplemental Non-GAAP Data – Adjusted Margin Analysis
Three Months Ended
March 31,
2013
December 31,
2012
September 30,
2012
June 30,
2012
March 31,
2012
($ thousands)
Home sale revenues $ 1,099,752 $ 1,481,517 $ 1,232,704 $ 1,024,405 $ 813,786
Home sale cost of revenues 901,470 1,228,201 1,023,704 869,379 712,166
Home sale gross margin 198,282 253,316 209,000 155,026 101,620
Add:
Impairments (a) - 2,250 385 633 3,700
Capitalized interest amortization (a) 53,677 67,880 57,155 52,070 47,186
Adjusted home sale gross margin $ 251,959 $ 323,446 $ 266,540 $ 207,729 $ 152,506
Home sale gross margin as a percentage of home sale
revenues 18.0% 17.1% 17.0% 15.1% 12.5%
Adjusted home sale gross margin as a percentage of
home sale revenues 22.9% 21.8% 21.6% 20.3% 18.7%
(a) Write-offs of capitalized interest related to impairments are reflected in capitalized interest amortization.
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May 2013 Investor Presentation

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