Lennar Corporation (NYSE: LEN) on Wednesday reported better-than-expected profit for its fiscal first quarter. Shares were trading up after-hours.
Important points in Lennar Q1 earnings report
Earnings printed at $503.6 million that translates to $1.69 a share.In the same quarter last year, it had earned $1.0 billion or $3.20 per share.Adjusted EPS came in at $2.70, as per the earnings press release.Revenue jumped 16% in fiscal first quarter to $6.20 billion.FactSet consensus was for $2.60 of adjusted EPS on $6.2 billion in revenue.Deliveries, new orders, and backlog were up 2%, 1%, and 24%, respectively.
Deliveries matched guidance despite supply chain challenges and margins remained strong despite wage pressures and higher materials costs. The stock is still down just under 20% for the year.
Future guidance and stock repurchase
For the full year, the home construction and real estate company raised its outlook for deliveries and gross margins. It now forecasts 68,000 deliveries this year, up 1,000 from its previous guidance. Executive chairman Stuart Miller said:
Our core operating performance in the first quarter reflects the continued strength in the housing market across the country. Our sales pace remained strong and consistent throughout the quarter, while strong traffic to our welcome home centres and website suggests that demand remains strong for the foreseeable future.
Lennar also announced a new $2.0 billion share buyback programme.
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