KB Home

KB Home (KBH) Q3 2025 Earnings

Reported Sep 24, 2025 at 4:24 PM ET · SEC Source

Q3 25 EPS

$1.61

BEAT +6.91%

Est. $1.51

Q3 25 Revenue

$1.62B

BEAT +2.19%

Est. $1.59B

vs S&P Since Q3 25

-15.2%

TRAILING MARKET

KBH -1.8% vs S&P +13.3%

Market Reaction

Did KBH Beat Earnings? Q3 2025 Results

KB Home delivered a beat on both the top and bottom lines in fiscal Q3 2025, even as the homebuilder navigated a year-over-year revenue decline that underscored broader affordability pressures in the housing market. The company posted earnings of $1.… Read more KB Home delivered a beat on both the top and bottom lines in fiscal Q3 2025, even as the homebuilder navigated a year-over-year revenue decline that underscored broader affordability pressures in the housing market. The company posted earnings of $1.61 per diluted share, exceeding the $1.51 consensus estimate by 6.91%, while revenue of $1.62 billion came in 2.19% above expectations, though that figure still represented a 7.5% drop from the year-ago period. The decline was driven primarily by a 7% decrease in homes delivered to 3,393 units and a contraction in housing gross profit margin to 18.2% from 20.6%, as price reductions and higher relative land costs weighed on profitability. CEO Jeffrey Mezger pointed to meaningful reductions in build times and construction costs as operational bright spots, while noting that easing mortgage rates during the quarter supported improving affordability. Looking ahead, KB Home guided full-year 2025 housing revenues of $6.10 billion to $6.20 billion, with a housing gross profit margin of 19.2% to 19.3%, signaling measured optimism despite a challenging demand environment.

Key Takeaways

  • Lower construction costs partially offsetting margin pressures
  • Reduced build times improving operational efficiency
  • Price reductions and higher relative land costs compressing margins
  • 7% decline in homes delivered year-over-year
  • Improving mortgage interest rates during the quarter supporting affordability
  • 3% increase in average community count to 259
24/7 Wall St

KBH YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

KBH Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q2 26

“We achieved solid financial results in our third quarter, meeting or exceeding our guidance ranges across the key metrics for our business. Operationally, our execution was outstanding, as we continued to make meaningful progress in reducing both our build times and costs to build.”

— Jeffrey Mezger, Q3 2025 Earnings Press Release