Beazer Homes USA Inc. said Friday it posted a narrower loss in its fiscal third quarter despite lower revenue to the degree that the homebuilder’s expenses declined. The quarterly results fell concise of Wall Street’s expectations.
Chief Executive Ian McCarthy said he expects continued tough industry conditions due to eroding consumer confidence and high inventories of unsold homes to offer into next year.
The Atlanta-based company posted a loss of $109.8 the multitude, or $2.85 a share, in the quarter that ended June 30. That compares with a loss of $118.7 million, or $3.09 a share, in the similar era last year.
The latest quarter included a $95.5 the multitude charge as the builder walked off from land preference contracts and the value of its unsold homes declined.
Revenue slid 40 percent to $455.6 million, as home closings fell to 37 percent.
Average sales prices, new orders and backlog also declined year over year.
Analysts surveyed by Thomson Financial expected the builder to report a loss of $2.34 cents by share on revenue of $430.1 the public. Wall Street estimates typically exclude one-time charges or gains.
“As our third part quarter results illustrate, difficult operating conditions in the homebuilding industry persevere,” McCarthy before-mentioned in a description. “Based on these exact dynamics, coupled with elevated supply levels of new and existing home inventory, we believe industry conditions will remain challenging for the remainder of this fiscal year and as we be initiated fiscal 2009.”
McCarthy related the assembly is focusing on reducing costs, improving its cash position, limiting investment in land and homes and trimming its stock of unsold homes to position itself for when the market improves.
Beazer said net new domestic orders fell almost 42 percent to 1,774.
The rate at which buyers canceled orders during the divide in four equal parts was 36.8 percent, up from 33.7 percent from the second quarter and essentially insipid versus the same period hold out year.
The builder saw home closings declension thwart all of its regions during the quarter, with the steepest declines in the Southeast, the West and Florida.
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