Strong Q3 for Lennar
Lennar, one of the nation’s largest home builders, reported third quarter 2019 revenues increased 3.5% to $5.9 billion from revenues of $5.7 billion for the third quarter 2018.
Revenues from home sales increased 2% in the third quarter $5.3 billion from $5.2 billion for the same period a year ago. The Miami, Fla.-based company said revenues were higher primarily due to a 7% increase in the number of home deliveries, which were partially offset by a 5% decrease in the average sales price of homes delivered.
During the period, Lennar delivered 13,513 homes in the third quarter of 2019 from 12,600 homes in the third quarter of 2018, as a result of an increase in home deliveries in all homebuilding segments. The average sales price of homes delivered was $394,000 in the third quarter of 2019, compared to $415,000.
The builder also reported third quarter net earnings of $513.4 million, up 13% from net earnings of $453.2 million for the third quarter last year.
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The bottom line: Lennar sales are up 3.5% and earnings rise 13% driven by strong growth in home deliveries.
What the Chairman said: “Our intense operational focus on our homebuilding machine, together with our strategic land program, drove solid homebuilding cash flow, which is trending towards $1.5 billion for fiscal 2019. We have paid off $1.6 billion of senior notes since the acquisition of CalAtlantic and will pay off another $600 million of senior notes in November 2019. In addition, we repurchased 6.1 million of the Company's shares in the third quarter for $296 million and 14.1 million shares for $645 million over the last twelve months. Strong cash flows, debt paydowns and stock buybacks will continue to drive greater returns on equity and capital,” said Stuart Miller, executive chairman of Lennar.
More company info: The full third quarter 2019 from Lennar can be read here.
Revenues from home sales increased 2% in the third quarter $5.3 billion from $5.2 billion for the same period a year ago. The Miami, Fla.-based company said revenues were higher primarily due to a 7% increase in the number of home deliveries, which were partially offset by a 5% decrease in the average sales price of homes delivered.
During the period, Lennar delivered 13,513 homes in the third quarter of 2019 from 12,600 homes in the third quarter of 2018, as a result of an increase in home deliveries in all homebuilding segments. The average sales price of homes delivered was $394,000 in the third quarter of 2019, compared to $415,000.
The builder also reported third quarter net earnings of $513.4 million, up 13% from net earnings of $453.2 million for the third quarter last year.
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The bottom line: Lennar sales are up 3.5% and earnings rise 13% driven by strong growth in home deliveries.
What the Chairman said: “Our intense operational focus on our homebuilding machine, together with our strategic land program, drove solid homebuilding cash flow, which is trending towards $1.5 billion for fiscal 2019. We have paid off $1.6 billion of senior notes since the acquisition of CalAtlantic and will pay off another $600 million of senior notes in November 2019. In addition, we repurchased 6.1 million of the Company's shares in the third quarter for $296 million and 14.1 million shares for $645 million over the last twelve months. Strong cash flows, debt paydowns and stock buybacks will continue to drive greater returns on equity and capital,” said Stuart Miller, executive chairman of Lennar.
More company info: The full third quarter 2019 from Lennar can be read here.