Companies /Consumer Cyclical

PulteGroup Inc

NYSE: PHM Residential Construction
$124.47
▲ $0.16 (+0.13%) today
Markets closed · 6:14pm ET

Q1 2025 Earnings

Reported Apr 22, 2025, 7:38am ET · SEC source
$2.57
Beat +6.00%
EPS · est. $2.42
$3.9B
Beat +1.81%
Revenue · est. $3.8B
−12.9%
Trailing market
PHM vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
0+4%+8%+12%Apr 22Apr 23report 7:38am ETearnings+3.7%+7.9%
0+4%+8%+12%Apr 22Apr 23earnings+3.7%+7.9%
PHM +7.9%S&P 500 +3.7%
0+4%+8%+12%Apr 22Apr 23report 7:38am ETearnings+4.6%+7.9%
0+4%+8%+12%Apr 22Apr 23earnings+4.6%+7.9%
PHM +7.9%NASDAQ +4.6%
0+4%+8%Apr 21Apr 30report 7:38am ETearnings+5.7%+6.4%
0+4%+8%Apr 21Apr 30earnings+5.7%+6.4%
PHM +6.4%S&P 500 +5.7%
0+4%+8%Apr 21Apr 30report 7:38am ETearnings+6.9%+6.4%
0+4%+8%Apr 21Apr 30earnings+6.9%+6.4%
PHM +6.4%NASDAQ +6.9%
+8.36%
Day of report
+0.17%
Next session
+0.84%
One week
−2.29%
30 days

S&P 500 over the same 30 days: +10.59%.

Did PHM Beat Earnings? Q1 2025 Results

PulteGroup delivered a solid first-quarter beat to kick off 2025, posting diluted EPS of $2.57 against a consensus estimate of $2.43, a 6.00% beat, while revenue of $3.89 billion edged past the $3.82 billion estimate by 1.81%, even as total sales slipped 1.4% year-over-year. The results came despite a challenging demand backdrop, with net new orders falling to 7,765 homes as affordability pressures and broader macroeconomic uncertainty weighed on buyer activity, a theme echoed across the homebuilding sector. The key driver of the earnings beat was margin resilience: home sale gross margin held at 27.5%, flat sequentially from Q4 2024, supported by disciplined project underwriting and a favorable mix of geographies and customer segments. Average selling prices rose 6% to $570,000, partially cushioning a 7% decline in closing volumes to 6,583 homes. Looking ahead, CEO Ryan Marshall struck a cautiously constructive tone, acknowledging that buyers respond to rate relief but remain stretched on affordability, while pointing to structural housing supply shortages as the foundation for long-term demand confidence.

Key Takeaways
  • 6% increase in average selling price to $570,000 per home
  • Favorable geographic and customer mix of homes delivered
  • Disciplined project underwriting supporting gross margins
  • Mortgage capture rate improved to 86.4% from 84.2%
  • 3% increase in average community count to 961

“PulteGroup's financial results continue to benefit from our broadly diversified operating platform and strategic approach to running our business as we balance sales price and pace in support of delivering high returns. In the first quarter, this disciplined approach allowed us to again realize strong revenues, margins, earnings and returns, while we used the resulting cash flow to invest in our business and continue returning capital to shareholders.”

PulteGroup CEO, on the earnings call

Forward Guidance & Outlook

CEO Ryan Marshall acknowledged that buyers responded favorably to interest rate declines during the quarter, but noted consumers remain caught between a desire for homeownership and affordability challenges from high selling prices and stretched monthly payments. The company remains constructive on long-term housing demand given the structural shortage of housing, while adapting to short-term impacts on consumer demand from greater economic and financial uncertainty. PulteGroup expressed confidence that its balanced operating model, disciplined underwriting, and financial strength position it to navigate the increasingly dynamic environment.

PHM YoY Financials

Q1 2025 vs Q1 2024 · SEC filings Q1 2024 Q1 2025
$0$2.0B$4.0B$3.9B$3.9BRevenue$1.2B$1.0BGross Profit$662.9M$522.8MNet Income
$0$2.0B$4.0BRevenueGross ProfitNet Income

PHM Revenue by Segment

Homebuilding$3.8B
Financial Services$90.8M

Figures from SEC filings and company reports. Not investment advice.