Harbor Custom Development Investor Presentation Deck slide image

Harbor Custom Development Investor Presentation Deck

NASDAQ: HCDI; HCDIP; HCDIW; HCDIZ Forward Looking Statements & Disclosures decline; difficulty in obtaining sufficient capital could result in an inability to acquire land for our developments or increased costs and delays in the completion of development projects; our operations and performance are subject to risks associated within both the construction and real estate industries; failure to manage land acquisitions and development and construction processes could result in significant cost overruns or errors in valuing sites; and the rising cost of materials due to supply chain constraints has increased our costs of construction. The interest rate environment could materially affect our ability to finance our projects, as well as achieve the originally expected sales prices on our properties. Forward Looking Statements: This presentation contains forward- looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including information about management's view of Harbor Custom Development, Inc.'s ("we," "us," "our," or the "Company") future expectations, plans, and prospects. In particular, when used in the following discussion, the words "believes," "expects," "intends," "plans," "anticipates," or "may," and similar conditional expressions are intended to identify forward-looking statements. Any statements made in this presentation other than those of historical fact about an action, event, or development, are forward-looking statements. These statements involve known and unknown risks, uncertainties, and other factors which may cause the results of the Company and its subsidiaries to be materially different than those expressed or implied in such statements. Unknown or unpredictable factors could also have material adverse effects on the Company's future results. The forward-looking statements included in this presentation are made only as of the date hereof. We cannot guarantee future results, levels of activity, performance, or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, we undertake no obligation to update these statements, except as required by law, and also undertake no obligation to update or correct information prepared by third parties that are not paid by us. Summary of Risk Factors: We face risks, which include, but are not limited to the following: adverse changes in general economic conditions could reduce the demand for homes and land and, as a result, could have a material adverse effect on us; our long-term growth depends upon our ability to successfully identify and acquire desirable land parcels for residential build-out; if homebuyers are not able to obtain suitable financing, our results of operations may HARBOR CUSTOM DEVELOPMENT | INVESTOR DECK Intellectual Property Disclosure: This presentation contains references to our Company's trademarks and to trademarks belonging to other entities. Solely for convenience, trademarks and trade names herein, including logos, artwork, and other visual displays, appear without the R or TM symbols, but such references are not intended to indicate, in any way, that we will not assert, to the fullest extent under applicable law, our rights or the rights of the applicable licensor to these trademarks and trade names. We do not intend the use or display of other companies' trade names or trademarks to imply a relationship with or endorsement from us. Non-GAAP Financial Measures: This presentation and the financial information contained herein include EBITDA, Adjusted EBITDA, and Adjusted EBITDA margin, which are financial measures that have not been calculated in accordance with accounting principles generally accepted in the United States, or GAAP, and are therefore referred to as non-GAAP financial measures. We have provided definitions below for these non-GAAP financial measures and have provided tables in the schedules hereto to reconcile these non-GAAP financial measures to comparable GAAP financial measures. We believe that these non-GAAP financial measures provide valuable information regarding our earnings and business trends by excluding specific items that we believe are not indicative of the ongoing operating results of our businesses, providing a useful way for investors to make a comparison of our performance over time and against other companies in our industry. We have provided these non-GAAP financial measures as supplemental information to our GAAP financial measures and believe these non-GAAP measures provide investors with additional meaningful financial information regarding our operating performance and cash flows. Our management and board of directors also use these non-GAAP measures as supplemental measures to evaluate our businesses and the performance of management, including the determination of performance-based compensation, to make operating and strategic decisions, and to allocate financial resources. We believe that these non-GAAP measures also provide meaningful information for investors and securities analysts to evaluate our historical and prospective financial performance. These non-GAAP measures should not be considered a substitute for or superior to GAAP results. Furthermore, the non-GAAP measures presented by us may not be comparable to similarly titled measures of other companies. HARBOR Custom Development, Inc 2
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