KB Home KBH surpassed the Zacks Consensus Estimate in first-quarter fiscal 2018 on the top line but failed to meet the same on the bottom line. Following the release, shares of the company have gained 0.5% in the after-hours trading session on Mar 22.
Quarterly adjusted earnings of 40 cents per share outpaced the Zacks Consensus Estimate of 30 cents by 33.3% and increased a significant 116.7% from 15 cents in the year-ago period.
Total revenues of $871.6 million missed the consensus mark of $887 million. The top line, however, improved 6% year over year, driven by higher housing revenues.
Homebuilding Revenues: In the reported quarter, homebuilding revenues increased 6.5% from the prior-year quarter to $869.2 million, driven by an increase in the number of homes delivered and average selling price or ASP. While land generated $2.7 million in revenues (down 49.7% from the year-ago quarter), housing revenues came in at $866.5 million (up 6.9%).
Net orders increased 8% to 2,784 homes, increasing across the board. Value of net orders increased 8% to $1.17 billion.
Number of homes delivered remained unchanged from the year-ago level at 2,223 units. Deliveries increased in the Southwest, while it decreased in the other three regions. Average selling price went up 7% to $389,800.
At the end of the reported quarter, average community count was 222, down 7% year over year.
The company’s backlog totaled 4,972 homes (as of Feb 28, 2018), up 4% from a year ago. Potential housing revenues from backlog increased 10% to $1.97 billion. Although the Southwest and Southeast regions registered gains, backlog decreased in West Coast and Central.
KB Home Price, Consensus and EPS Surprise
KB Home Price, Consensus and EPS Surprise | KB Home Quote