PulteGroup Inc.Overview

PulteGroup Inc.

Introduction

PulteGroup Inc. is an American residential home construction company based in Atlanta, Georgia, United States. Starting with a humble beginning as a single home built with hands coupled with the daring entrepreneurial spirit of its founder, Bill Pulte, no doubt PulteGroup Inc. has grown exponentially to become America’s third largest homebuilding company. Selling under major and top brands like Centex, PulteGroup Homes, John Wieland Homes and Neighborhood, Del Webb, and Divosta, PluteGroup has become a titan in the home building industry. However, not only has the become relevant through its trading mechanism, but in its entirety, the company’s reputation is also sprouted by its support for social and environmental activities, and staff welfare. In fact, the company was ranked amongst Fortune’s top 100 companies a good place to work. In this piece, however, you would be shown a comprehensive overview of the Fortune 100 company. As such, all relevant information detailing from its historical background its major brands, its teams of management, to its financials, as well as its pros and cons would be concisely covered to enable you to grasp the major key points of the company as quickly as possible.

Historical Snapshot

Founded in 1950 by Bill Plute, the company’s early history began with the quest of an eighteen (18) year old  Bill Plute, a then high school student who was passionate to building homes. With the help of some of his high schoolmates, Bill Plute built a five-bedroom bungalow near Detroit city in the state of Michigan, United States. After the cutting-edge innovation, Bill Plute was determined to make his passion and talent a serious venture, it was then the journey of the company which has now become a behemoth in the home building industry, and by extension one of the largest homebuilding companies in the country’s history started.

Considering the level liquidation of several homebuilding companies which is characterized by several failures encountered while growing, as a matter of fact, research has it that less than one-third of new businesses are opportune to celebrate their 10 of existence, however, the long years of the historical journey of PulteGroup Inc. have proven the company’s alignment to the founder’s (Bill Plute) vision, and with the company’s momentum in place, soon it would become the strongest leader in the home building industry.

Although, over the years, the company has witnessed several changes across all spheres, nonetheless, its dedication, mission, and commitment to continue to give its customer the best and most memorable services has not changed. As this has remains the company’s pride and pursuit since its inception.

Transition and Milestones

1950: Bill Plute built his first home with the help of his high school friends and sold it for a sum of 10,000 USD.

1951 – 1960: Bill Plute built homes in the uptown part of Detroit city (1951). The company was incorporated as William J. Plute Inc. in 1956. In 1959, Bill introduces plans for the company’s first subdivision under the name Concord Green located in the Bloomfield Township area of Michigan, the company sells its home for 29,000 USD. In 1960, the company, William J. Plute Inc. enters the Washington D.C. marketplace

1961 -1970: William J. Plute Inc. enters Chicago market (1961). Enters Atlanta market (1968). William J. Plute Inc. goes public as a Public Corporation company offering its common shares to the public market which amounts to the sum of 200, 000 USD, and bought a Colorado Spring-based home-builder company that sells homes at affordable prices and services, first-time buyers, under the name American Builders Inc. In 1970, William J. Plute Inc. introduces several cost-effective and innovative designs which were vastly welcome by the general market, and as a result, birthed a market boom for the company as it progressed to acquire several top brand companies in the industry and was firmly established in 10 major markets which include Washington D.C., Detroit, Colorado Springs, Atlanta, Baltimore, Harrisburg, Denver, Cleveland, and Puerto Rico.

1980 – 2000: William J. Plute Inc., enters North Carolina’s marketplace (1986). Bought five Texa-based thrift companies which merged and subsequently conjoin to form the First Height savings bank in Houston (1988). Throughout the 1990s, William J. Plute Inc., home prices range from 100,000 USD to more than 1 million USD. In 1992, PHM Corporation’s name was changed to Plute Corporation and in the same year, the corporation entered the Las Vegas market. In the year 1994 Plute enters into a market niche known as the “active adult” market targeted to buyers from age 55 and above within communities like Arizona, New Jersey, Michigan, Virginia, and Florida, and with joint ventures taking place in Mexico. In 1995, Plute Corporation emerges as one of the largest builders in the entire United States. In 1996, the company celebrates the 40th year of its incorporation and enters into an agreement with General Motors to build homes in Mexico. In 1999, Plute Corporation emerges as a Fortune 500 company selling over 26, 000 homes across the United States. And in the year 2000, Plute marks its 50th birthday as a company, and by then, the company recorded over 27,000 homes in its archives, and revenue amounting to the sum of 4.2 Billion USD. Additionally, the established its market tentacles across 41 major markets places in 25 states.

2001 -2021: Plute Corporation changed its name to Plute Homes in 2001 and was ranked by Business Week Magazine as the Best Performing Company in Housing and Real Estate, and in the same year, the company merges with Del Webb making it become the largest home-builder in the nation’s history. In 2004, Plute Homes received J.D. Power and Associate’s Platinum Award for customers satisfaction among the largest home-building companies in the United States. In 2006, Plute Homes was ranked #147 on the Fortune 500 list of companies. In 2010, the name, Plute Homes, Inc. was changed and rebranded to PluteGroup, Inc., and the same year witnessed the company’s 60th Anniversary. And in the same year, Bill Plute announces his retirement from both the company and its board of directors.  In 2017, the company’s home sale revenue increased by 12% against the previous year and amounts to the tune of 8.4 Billion USD. In 2019, PluteGroup, Inc., generates accumulated revenue of 10.2 Billion USD. In 2020, the company celebrate its 70th year of existence and bought the Innovative Construction Group (ICG). And finally, in 2021, the company ranks among the 100 Best Companies to Work by Fortune Great Place to Work. And in the same year, the company’s program, PluteGroup’s Built Home to Honor donates its 64th  home mortgage-free to wounded veterans. 

Major Brands

PLUTEGROUP HOMES: Tailored to target customers who want to level up and are in need of luxurious homes.

CENTEX: Targeted to first-time home buyers and entry-level customers

JOHN WIELAND HOMES AND NEIGHBORHOOD: Tailored to deliver top-notch luxurious homes.

DIVOSTA: Targeted to provide and sell homes to certain ages brackets

DEL WEBB: Tailored primarily to deliver and sell homes to active-adult aged 55, and above

Management

Ryan R. Marshall

President and Chief Executive Officer

John Chadwick

Executive Vice President and Chief Operating Officer

Robert T. O’Shaughnessy

Executive Vice President and Chief Financial Controller

Todd Sheldon

Executive Vice President, General Counsel, and Corporate Secretary

David Bezos

Senior Vice President, Growth and Strategic Partnership

Michelle Hairston

 Senior Vice President, Human Resources

Brandon Jones

Senior Vice President, Field Operations

James L. Ossowski

Senior Vice President, Finance

Joseph L. Drouin

Vice President, and Chief Information Officer

Kimberly M. Hill

Vice President, and Tax and Assistant Secretary

D.Bryce Langen

Vice President, and Treasurer

Brien P. O’Meara

Vice President, and Controller

Manish M. Shrivastava

Vice President, and Chief Marketing Officer

James P. Zeumer

Vice President, Investor Relations, and Communications.

Financial Overview

Revenue: 13.927 Billion USD

Net Income: 1.93 Billion USD

Total Asset: 13.93 Billion USD

Total Equity: 7.49 Billion USD

Pros

Quality, Innovative and Long-lasting homes

Team of Experience Individuals

Customer Satisfaction Oriented Company

Active CSR

Teamwork

Cons

Poor Management

No Work-Life Balance

Conclusion

The now Fortune 100 company, PulteGroup Inc., as seen from the above-detailed history has no doubt gone through several transitional stages, with a kick start from something as a dream and passion of an eighteen high school to becoming a magnate and force to reckon with in the home building industry, PluteGroup Inc.,  is practically an example to all aspiring home building companies across the world. The company’s astounding success cuts across all major aspects of business endeavors: from its pursuit to give its customers the best service, to help its employees grow while availing them with competitive perks, to supporting social and environmental courses, to have an in-depth knowledge of merger and acquisition, and to have the best strategy to navigate through the market while considering its competitors’ tactics. All of these are the basic ingredients in what builds up a company to become a reckoning force. Thus, if PulteGroup Inc. keeps its momentum, the company keep holding the mantel of leadership in the home building industry for years to come.

Ultimately, I hope you are able to grasp all there is to know about this Fortune 100 company, PluteGroup Inc., and that everything detailed here will help you make rational decisions when the need arises.