X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MIAMI-Lennar Corp. turns in a record-breaking fourth quarter and full year, and sees more records ahead, despite “signs nationally of a more normalized level of activity with regards to sales pace and price appreciation,” said Stuart Miller, president and CEO, during a conference call. He attributed the optimistic forecast to his company’s “access to home sites in land-constrained markets [which]…affords us a significant competitive advantage.” As evidence, he said Lennar enters fiscal 2006 with a “record-level $6.9-billion backlog.”

Full-year revenues for the locally based national homebuilder rose 32% to reach $13.9 billion. Fiscal fourth-quarter revenues from homes sales were $4.7 billion, up 39% in comparison with the same quarter a year ago.

The increase is attributed primarily to an 18% increase in the number of home deliveries and an 18% increase in the average sales price of homes delivered during the final quarter of the fiscal year. The company delivered 13,851 homes in the quarter, up from 11,716 in the same quarter of 2004. During this year’s fourth quarter, the average sales price of Lennar’s houses was $338,000, up from $287,000 in fourth quarter 2004.

For the full year, deliveries exceeded the company’s target. It delivered 42,359 homes, “despite the 400 to 500 deliveries delayed due to the significant disruption caused by Hurricane Wilma,” Miller said. Gross margins on home sales also moved up. Gross margins on fourth-quarter home sales were $27%, versus 25.6% in the same quarter a year ago.

By midday following Lennar’s conference call, as the NYSE composite was losing points, shares of LEN were trading at $62.35 a share, up nearly 3% since the day’s open. The 52-week high of $68.86 a share was reached on July 28, and the 52-week low of $50.30 a share occurred on May 4.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.