Strong Spring Start Boosts D.R. Horton Orders
D.R. Horton Inc, the largest U.S. homebuilder, reported a 30 percent jump in orders as the spring selling season got off to a strong start.
The company's shares rose 2.2 percent to $29.20 in premarket trading on Wednesday.
The spring selling season, which typically runs April through June, is to homebuilders what holiday season sales are to retailers.
Net sales orders, an indicator of future revenue, rose to 11,135 homes in the second quarter from 8,569 in the same period a year earlier, the company said.
"The spring selling season at D.R. Horton is off to a strong start... Our sales increased by double-digit percentages in all three of our brands ...," Chairman Donald Horton said.
Homebuilding revenue rose to $2.32 billion in the quarter from $1.68 billion. Homes sold rose 33 percent to 8,243.
The company's net income rose to $147.9 million, or 40 cents per share, in the quarter ended March 31, from $131 million, or 38 cents per share, a year earlier.
Analysts on average had expected earnings of 38 cents on revenue of $2.21 billion, according to Thomson Reuters I/B/E/S.
D.R. Horton's shares closed at $28.56 on the New York Stock Exchange on Tuesday.
Up to Tuesday's close, the stock had risen about 13 percent this year, compared with a 10 percent increase in the Dow Jones U.S. Home Construction index. (Reporting by Ankit Ajmera in Bengaluru; Editing by Sriraj Kalluvila)