KB Home
Q1 Earnings: KB Home reported first-quarter revenue of $1.39 billion, missing analyst estimates of $1.50 billion. The U.S. homebuilder reported first-quarter earnings of $1.49 per share, missing analyst estimates of $1.59 per share, according to Benzinga Pro.
Total revenue was down 5% year-over-year. KB Home delivered 2,770 homes in the quarter, down 9% year-over-year. The average selling price was $500,700, up 4% year-over-year, but net orders declined 17% year-over-year to 2,772.
KB Home said it repurchased $50 million worth of its common stock during the quarter. The company had $650 million remaining under its buyback program as of Feb. 28. KB Home ended the period with $267.8 million in cash and cash equivalents.
"Consumers are working through affordability concerns and uncertainties related to macroeconomic and geopolitical issues, which are causing them to move slowly in their homebuying decisions," said Jeffrey Mezger, chairman and CEO of KB Home.
"Demand at the start of this Spring's selling season was more muted than what we have seen historically, despite a healthy level of traffic in our communities."
KB Home announced that it appointed Robert Dillard as the company's executive vice president and CFO, effective March 31.
Outlook: KB Home expects full-year 2025 housing revenue to be in the range of $6.6 billion to $7 billion. The company anticipates 2025 average selling prices of $480,000 to $495,000.
"In mid-February, we took steps to reposition our communities to offer the most compelling value, and buyers responded favorably to these adjustments. Although we missed our sales goals for the first quarter, we are encouraged by the significant improvement in weekly sales and normalizing absorption pace over the last five weeks," Mezger said.
KBH Price Action: KB Home shares were down 9.05% after hours, trading at $56.20 at the time of publication Monday, according to Benzinga Pro.
