KB Homes reported better than expected Q3 earnings after the market Tuesday with soaring revenue from its core line despite the U.S. housing recovery stalling. $KBH is benefitting from higher selling prices and increased consumer confidence. The stock rose 5% after the release.
KB Homes reported better than expected Q3 earnings after the market Tuesday with soaring revenue from its core line despite the U.S. housing recovery stalling. $KBH is benefitting from higher selling prices and increased consumer confidence. The stock rose 5% after the release.
KB Home NYSE: KBH Beat Earnings After Close Tuesday
$0.87 Beat $0.78 EPS AND $1.23 billion Missed $1.27 billion forecast in revenue.
Earnings
KB Homes earned net income for the quarter of $87.5 million, with earnings jumping 71% to $0.87 per share. Revenue rose 7% to $1.23 billion buoyed by healthy demand in its served markets and effective execution on its distinctive customer-centric operating model.
KB Home NYSE: KBH
Market Reaction After hours 26.82 +1.53 (6.05%)
Highlights and Outlook
- KBH delivered a total of 2,988 homes during the quarter, up 8% compared to last year.
- The average selling price of a single residential unit declined slightly to $408,200.
- Net orders for the third quarter increased 3% to 2,685
- Net order value fell 5% to $1.02 billion.
- The number of homes in ending backlog increased slightly to 5,484 while ending backlog value decreased 4% to $2.04 billion.
- The decrease in backlog value was mainly due to a shift in geographic mix from its West Coast region.
Source: KB Homes, Alpha Street
Live From The Pit