KB Home reports Q1 net loss

KB Home reported a net loss of $58.1 million in the first quarter ended Feb. 28, 2009, compared with a net loss of $268.2 million in the year-ago period. Included in the net loss were pretax, noncash charges for inventory and joint venture impairments and land option contract abandonments of $32.3 million.

Revenues for the quarter were $307.4 million, down 61% from $794.2 million in the same period a year ago, mostly due to lower housing revenues.

First-quarter housing revenues were $304.5 million, down 58% from $726.7 million in the first quarter of 2008 -- this is a 51% decrease in homes delivered and a 15% decrease in the average selling price.

The home builder delivered 1,445 homes at an average selling price of $210,700 in the first quarter, compared with 2,928 homes at an average selling price of $248,200 in the year-ago period.

Net orders for new homes increased 26% to 1,827 from 1,449 net orders in the same quarter last year.

"KB Home continues to operate in a national housing market that is severely challenged by inventory oversupply, declining home prices, tightening lending standards, rising unemployment and weakening consumer confidence," said Jeffrey Mezger, president and CEO. "In response, we continue adjusting our business to these market conditions to position the company for a return to profitability. Central to our strategy has been the nationwide rollout of our new series of innovative home designs -- The Open Series -- that we believe offer home buyers greater energy efficiency, design flexibility and overall value than competing resale or new homes."

The company was named a 2009 Excellence in Energy Star Promotion Award winner by the U.S. Environmental Protection Agency. The award was given for KB Home’s contributions to reducing greenhouse gas emissions by building Energy Star-qualified homes.