Lennar sales down 35% in third quarter
Miami-based home builder Lennar posted a third-quarter loss of $171.6 million, compared with a third quarter loss of $89 million last year. Sales for the three months ended Aug. 31 were $721 million, down 35% from $1.1 billion in the same quarter last year.
For the nine months ended Aug. 31, the company posted a net loss of $453 million, compared with a $298 million loss in the same nine-month period last year. But while the numbers may seem down, Stuart Miller, president and CEO of Lennox, indicated signs of improvement.
"During the third quarter, the overall housing market continued its road back to recovery as more confident home buyers took advantage of increased affordability," he said. "While high unemployment and foreclosures will continue to present challenges, consumer sentiment has significantly improved as home buyers have recognized that the residential housing market is stabilizing."
Miller said that while the company’s new home orders were down 8% from the previous year, that is a smallest percentage year-over-year decline since November 2006. He said that the company is focusing on reducing the number of completed, unsold homes by targeting first-time home buyers.