Housing

Homebuilder PulteGroup Beats EPS Estimate, Revenues Light

PulteGroup Inc. (NYSE: PHM) reported second-quarter adjusted earnings per share (EPS) of $0.11 and $1.07 billion in revenue this morning. Adjusted EPS were sharply up from a loss of $0.15 in the same period a year ago, while revenue was up from $927.3 million. The results compare to the Thomson Reuters consensus estimates for EPS of $0.05 and $1.11 billion in revenue.

The homebuilder did not offer any guidance for either the third quarter or the full year. The consensus estimate for third-quarter EPS is $0.13 and the full-year estimated EPS is $0.30.

The company’s president and CEO noted:

With each passing quarter, we grow more confident that new home demand has found its footing and is moving along a path toward a gradual recovery.

Selling prices rose 8% year-over-year in the second quarter to an average of $268,000. The value of the company’s order backlog rose 31% to $2.2 billion. Net new orders in the second quarter were up 32% to 5,578 units, which also represents a 12% sequential gain.

Shares are inactive in premarket trading having closed last night at $10.02 in a 52-week range of $3.29 to $11.48. Thomson Reuters had a consensus analyst price target of $10.99 before today’s results were announced.

Paul Ausick