KB Home, a leading U.S. homebuilder, recently reported its fourth-quarter financial results, exceeding analyst estimates. The company reported revenue of $1.69 billion, higher than the expected $1.66 billion. Additionally, KB Home’s adjusted earnings per share were $1.92, surpassing the estimated $1.80.
Despite these positive financial results, KB Home faced challenges in the housing market. The company delivered 3,619 homes in the quarter, a 9% decrease compared to the previous year. The average selling price also declined by 7% to $465,600. Net orders fell by 10% to 2,414, and the ending backlog value was $1.40 billion. Inventories increased by 3% to $5.67 billion.
During the quarter, KB Home repurchased approximately $100 million of its common stock and ended with $228.6 million in total cash and cash equivalents. Jeffrey Mezger, the chairman and CEO of KB Home, acknowledged the challenging housing market conditions but expressed satisfaction in helping nearly 13,000 individuals and families achieve homeownership while maintaining high customer satisfaction ratings.
Looking ahead, KB Home expects housing revenue of $1.05 billion to $1.15 billion in the first quarter and forecasts full-year 2026 housing revenue between $5.1 billion and $6.1 billion. The company will provide further insights on the quarter during an earnings call scheduled for 5 p.m. ET.
For more details on KB Home’s fourth-quarter earnings and the challenges in the housing market, you can read the original article here. Stay updated on the latest news and developments in the real estate market by visiting Benzinga.com.
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