KB Home presents a softer outlook after mixed results for the third quarter

KB Home presents a softer outlook after mixed results for the third quarter

Written by Yassin Ibrahim

Investing.com – KB Home (NYSE πŸ™‚ provided softer guidance on Wednesday after reporting mixed results for its fiscal third quarter as earnings beat estimates, but revenue was below estimates as the homebuilder flagged a shortfall in deliveries and ongoing restrictions. On the supply chain likely to hurt fourth-quarter results.

KB Home stock was down more than 2% in after-hours trading after ending the day about 2% lower.

For, EPS was $2.86, up from $1.60 a year ago, and above estimates of $2.66. Revenue rose 26% to $1.84 billion, but that was below estimates of $1.88 billion.

Looking at the fourth quarter, housing revenue was directed in the range of $1.95 billion to $2.05 billion with an average selling price of around $503K. Analysts had expected fourth-quarter revenue to come in at $2.36 billion.

β€œAlthough we experienced shorter deliveries compared to our expectations due to extended construction periods and ongoing supply chain constraints, which will also impact the fourth quarter of 2022, our results demonstrate our larger scale, excellent communities portfolio and healthy balance sheet,” the company said.

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