KB Home CEO points to steady progress

KB Home president and CEO Jeffrey Mezger had good things to say about the company's third-quarter earnings report, which demonstrated a 7% uptick in revenues.

“Our business continues to perform well, reflecting the actions we have taken to position our operations for success,” said Mezger. “We are clearly seeing the impact of strategies that we have implemented over the past few years."

KB Home netted total revenues of $589.2 million, compared to $549.0 million in the third quarter of 2013. Much of the growth was attributed to higher average selling prices.

Meanwhile, net income came in at $28.4 million, up from $27.3 million year-over-year. This marks the seventh consecutive quarter of year-over-year improvement in income.

"Of particular importance, an increasing proportion of the new home communities we have opened recently is the product of our targeted investments in attractive, land-constrained submarkets," he continued. "These communities are fueling measurable expansion in our net order value and the potential future housing revenues and profits embedded in our backlog.”

Mezger added that KB Home continues to generate its highest backlog value since 2008, and that the third quarter brought a significant boost in traffic as a result of pent-up demand.

"Our progress through the first three quarters of 2014 underscores the underlying strength of the momentum we have generated in our business to accomplish our financial and operational goals for this year and beyond," he said.