8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) October 27, 2003

DOMINION HOMES, INC.

(Exact name of registrant as specified in its charter)

Ohio	0-23270	31-1393233
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

5000 Tuttle Crossing Boulevard, P.O. Box 5000, Dublin, Ohio	43016-5555
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code (614) 356-5000

Item 7. Financial Statements and Exhibits.

(c) Exhibits.

Exhibit Number	Description
99.1	Press Release dated October 27, 2003.

Item 9. Regulation FD Disclosure.

On October 27, 2003, Dominion Homes, Inc., an Ohio corporation (the “Company”), issued a press release announcing its financial results for the third quarter ended September 30, 2003. A copy of the Company’s press release (the “Press Release”) announcing these results is attached as Exhibit 99.1 hereto and is incorporated by reference herein. The information in this report is being furnished under this Item 9 of Form 8-K in accordance with the provisions of Regulation FD (17 CFR §§ 243.100 et seq.)

Item 12. Results of Operations and Financial Condition.

The Company is also furnishing the information in the Press Release in accordance with Item 12 of Form 8-K.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

DOMINION HOMES, INC.
By:	/s/    Jon M. Donnell
	Jon M. Donnell President and Chief Operating Officer

Date: October 27, 2003

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EX-99.1

Exhibit 99.1

For Immediate Release For additional information contact: Peter J. O’Hanlon or Jon M. Donnell (614) 356-5000

Dominion Homes Reports Record

Net Income for the Third Quarter

And First Nine Months of 2003

DUBLIN, Ohio – October 27, 2003 – Dominion Homes (NASDAQ:DHOM) reported net income for the three months ended September 30, 2003 increased 26% to a record $9.1 million from $7.2 million for the three months ended September 30, 2002. Diluted earnings per share increased 27% to $1.13 for third quarter 2003 compared to $0.89 for third quarter 2002. The weighted average number of diluted shares outstanding during the three months ended September 30, 2003 decreased to 8,083,986 shares, compared to 8,142,590 shares during the three months ended September 30, 2002.

The increase in net income for the third quarter of 2003 is principally due to a 17% increase in the number of homes the Company delivered. Revenues for the third quarter of 2003 increased 10% to $153.2 million, from the delivery of 844 homes, compared to revenues for the third quarter of 2002 of $139.4 million, from the delivery of 724 homes. The Company’s gross profit for third quarter 2003 increased 12% to $36.7 million from $32.7 million for the third quarter of 2002. Selling, general and administrative expenses and interest expense both declined slightly as a percent of revenues.

Net income for the first nine months of 2003 increased 26% to a record $22.2 million from $17.6 million for the same period last year. Diluted earnings per share increased to $2.74 per share for the first nine months of 2003, compared to $2.46 per share for the same period the previous year. The weighted average number of diluted shares outstanding during the nine months ended September 30, 2003 increased to 8,095,492 shares, compared to 7,143,744 shares during the nine months ended September 30, 2002 due to the Company’s sale of common shares in June and July of 2002.

Revenues for the first nine months of 2003 increased 7% to $397.1 million, from the delivery of 2,177 homes, compared to revenues for the first nine months of 2002 of $370.9 million, from the delivery of 1,944 homes. Gross profit for the first nine months of 2003 increased 12% to $95.1 million from $84.9 million for the same period the previous year.

As reported on October 8, 2003, the Company sold a third quarter record 718 homes during the three months ended September 30, 2003, representing a sales value of $131.5 million, compared to 605 homes, representing a sales value of $109.6 million, sold during the third quarter of 2002. The Company sold 2,485 homes during the first nine months of 2003, representing a sales value of $444.6 million, compared to 1,947 homes, representing a sales value of $355.3 million during the first nine months of 2002.

The Company had a backlog of 1,326 contracts with a sales value of $251.2 million on September 30, 2003, compared to a backlog of 1,035 contracts with a sales value of $198.3 million on September 30, 2002.

The Company’s third quarter 2003 conference call to discuss earnings will take place at 2:00 p.m. Eastern Time on Monday October 27, 2003. Interested parties may listen in by accessing the Company’s website at www.dominionhomes.com, selecting either the Central Ohio or Louisville, Kentucky location and then selecting “Third Quarter Analyst’s Webcast Conference Call.”

Dominion Homes offers a variety of homes, which are differentiated by size, price, standard features and available options. The Company’s “The Best of Everything” philosophy focuses on providing its customers with unsurpassed products, quality, and customer service. There are currently over 50 Dominion Homes locations in Central Ohio and Louisville, Kentucky. Additional information about the Company and its homes is located on its website.

Certain statements in this news release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially. Such risks, uncertainties and other factors include, but are not limited to, weather conditions, changes in general economic conditions, fluctuations in interest rates, increases in raw materials and labor costs, levels of competition and other factors described in the Company’s Annual Report and Form 10-K for the year ended December 31, 2002. There can be no assurance that the forward-looking statements made in this document will prove to be accurate, and issuance of such forward-looking statements should not be regarded as a representation by the Company, or any other person, that the objectives and plans of the Company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.

FINANCIAL HIGHLIGHTS

(Unaudited)

(In thousands, except share and per share amounts)

Consolidated Statements of Operations

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2003		2002		2003		2002
Revenues	$	153,188	$	139,360	$	397,147	$	370,900
Cost of real estate sold		116,491		106,654		302,055		285,961
Gross profit		36,697		32,706		95,092		84,939
Selling, general and administrative		19,434		18,491		52,414		48,123
Income from operations		17,263		14,215		42,678		36,816
Interest expense		1,984		1,912		5,730		6,777
Income before income taxes		15,279		12,303		36,948		30,039
Provision for income taxes		6,142		5,076		14,758		12,446
Net income	$	9,137	$	7,227	$	22,190	$	17,593
Earnings per share
Basic	$	1.16	$	.90	$	2.80	$	2.50
Diluted	$	1.13	$	.89	$	2.74	$	2.46
Weighted average shares outstanding
Basic		7,905,076		8,025,071		7,927,934		7,026,853
Diluted		8,083,986		8,142,590		8,095,492		7,143,744

Consolidated Balance Sheets

	September 30,		December 31,
	2003		2002
ASSETS
Cash and cash equivalents	$	4,270	$	4,121
Accounts receivable		4,149		2,997
Real estate inventories		303,118		262,855
Prepaid expenses and other		4,555		3,404
Deferred income taxes		6,377		6,901
Net property and equipment		11,692		7,459
Total assets	$	334,161	$	287,737
LIABILITIES AND SHAREHOLDERS’ EQUITY
Note payable, banks	$	125,020	$	111,070
Term debt		4,379		4,415
Other liabilities		49,729		39,271
Total liabilities		179,128		154,756
Total shareholders’ equity		155,033		132,981
Total liabilities and shareholders’ equity	$	334,161	$	287,737

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Land Inventory as of September 30, 2003

Land Inventory	Finished Lots	Lots Under Development	Unimproved Land Estimated Lots	Total Estimated Lots
Owned by the Company:
Central Ohio	1,034	1,781	4,760	7,575
Kentucky	128	286	574	988
Controlled by the Company:
Central Ohio	—	—	5,193	5,193
Kentucky	—	—	2,039	2,039
	1,162	2,067	12,566	15,795

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