Categories AlphaGraphs, Consumer, Earnings

Lennar’s stock gains as Q2 results beat expectations

Lennar Corporation (NYSE: LEN) topped market estimates on revenue and earnings for the second quarter of 2019, sending shares climbing 4% in premarket hours on Tuesday. The consensus estimate was for earnings of $1.13 per share on revenue of $5.1 billion.

Total revenues rose 2% year-over-year to $5.6 billion. Net earnings improved to $421.5 million, or $1.30 per share, from $310.3 million, or $0.94 per share, in the prior-year period. The quarterly results benefited from first-quarter deliveries postponed by weather as well as a recovery in the housing market.  

Lennar reports second quarter 2019 earnings results

During the quarter, total deliveries increased 5% to 12,729 homes. New orders increased 1% to 14,518 homes while the dollar value of new orders was down 4% to $5.8 billion. Backlog decreased 3% to 19,061 homes while the backlog dollar value was down 10% to $7.7 billion.

Jon Jaffe, President of Lennar, said, “During the second quarter, we continued to experience cost pressures due to land and labor shortages. These cost pressures were somewhat offset by a decrease in lumber prices and the benefit of synergies from our CalAtlantic acquisition. In the next two quarters, we expect to see margin improvement driven by a combination of additional lumber savings and direct cost synergies.”    

In the Homebuilding segment, revenues from home sales grew 4% year-over-year to $5.2 billion, helped by an increase in the number of home deliveries. New deliveries increased to 12,706 homes from 12,078 homes last year, mainly due to higher home deliveries in the East and Texas segments. The average sales price of homes decreased to $407,000 from $413,000 last year mainly due to product mix.

Get access to timely and accurate verbatim transcripts that are published within hours of the event.

Most Popular

Key highlights from Autodesk (ADSK) Q4 2021 earnings results

Autodesk, Inc. (NASDAQ: ADSK) today reported its fourth quarter financial results for the period ended January 31, 2021. Net income for the fourth quarter was $911.3 million, or $4.10 per

Infographic: Beyond Meat (BYND) reports wider Q4 loss; Revenue up 4%

Beyond Meat (NASDAQ: BYND), a specialist in plant-based meat substitutes, Thursday reported a wider loss for the fourth quarter, despite an increase in revenues. The numbers also missed the consensus

Virgin Galactic stock tanks on delayed test flight

Virgin Galactic (NYSE: SPCE) reported fourth-quarter 2020 financial results after the regular market hours on Thursday. The space tourism company reported zero revenue in the fourth quarter, compared to $529,000

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top