D.R. Horton profit, sales rise as coronavirus pandemic hits housing
Home orders were slowing and cancellations were growing in the latest quarter
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D.R. Horton Inc. said Tuesday that profit and sales rose in the latest quarter, but home orders were slowing and cancellations were growing due to the coronavirus pandemic.
The Arlington, Texas-based home builder reported earnings of $482.7 million or $1.30 a share in the second quarter, compared with $351.3 million, or 93 cents a share, a year earlier.
Analysts polled by FactSet expected earnings of $1.12 a share.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DHI | D.R. HORTON INC. | 167.37 | -1.53 | -0.91% |
Sales were $4.5 billion, up from $4.13 billion a year ago. Analysts had forecasted $4.4 billion.
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D.R. Horton said net sales orders rose 20% during the quarter but were 11% lower April-to-date than the previous year as the coronavirus took a hit.
It cautioned that cancellations typically come later in the month so its reported sales figures aren't fully reflective of the impact of the coronavirus.
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In early April, the company said 14,539 homes closed in the second quarter, up 7.9% from the quarter a year ago. It had 33,400 homes in its inventory as of March 31, an increase of 4% from the comparable quarter.
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The company also withdrew its 2020 guidance earlier this month after the coronavirus began to take a toll on home orders.
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