Beazer Homes’ Homebuilding $BZH reported better than expected fourth-quarter fiscal 2017 earnings Wednesday. Revenue was substantially higher over last year, with sales in the East up 21% with several markets impacted by Hurricane Harvey and Irma.
Beazer Homes’ Homebuilding $BZH reported better than expected fourth-quarter fiscal 2017 earnings Wednesday. Revenue was substantially higher over last year, with sales in the East up 21% with several markets impacted by Hurricane Harvey and Irma.
Earnings: Fourth-quarter fiscal 2017 (ending Sep 30, 2017) earnings of 99 cents per share, beating consensus estimate of 53 cents by 86.8%, up from year-ago EPS of 33 cents. Total revenues $673 millionbeating consensus $648 million by 3.9% and up 6.5% on a year-over-year basis.
Reaction: Beazer Homes USA Inc NYSE: BZH · Premarket 21.56 ▲ 0.70 (3.36%)
Beazer Homes’ Homebuilding gross profit was $113 million, up from $100.7 million a year ago. Homebuilding gross margin (excluding I&A and interest amortized to cost of sales) was 22%, up 120 basis points (bps) year over year. Selling, general and administrative expenses, as a percentage of total revenues, were 10.5% in the quarter, down 10 bps year over year.
Earnings Highlights
The fiscal fourth quarter saw numerous natural disasters, including hurricanes, Harvey and Irma. There were also wildfires in the West.
Total homebuilding revenues were $665.5 million, up 7.3% year over year.
- West region up 1.6%,
- East region up 21.1%
- Southeast region up 2.7% increase
Land sales and other contributed $7.5 million to total revenues, down 38.2% year over year.
- Total closings during the quarter were 1,904 units, up 2.6% year over year.
- Average selling price (ASP) from closings $349.5 in the quarter, up 4.6% year over year.
- New home deliveries were 1,904, up 2.6% year over year.
New orders, net of cancellations:
Total new orders were 1,315 units in the fourth quarter, down from 1,346 units in the year-ago quarter, as several markets were impacted by hurricanes Harvey and Irma. The West and Southeast regions registered higher net orders, while East continued to lag.
Total backlog:
Total backlog as of Sep 30, 2017, came in at 1,855 units, down 3.2% year over year. Backlog was $665.8 million in value, up 2% from $652.7 million in fiscal 2016.
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