Stryker shares tumble despite strong Q2 results and raised guidance
NEW YORK -On Thursday, D.R. Horton Inc. (NYSE:DHI) reported second-quarter earnings that fell short of analyst expectations, despite beating revenue estimates.
The company’s shares dropped -3.11% in premarket trading following the release.
The largest U.S. homebuilder by volume posted earnings per share of $2.58 for the quarter ended March 31, missing the analyst consensus of $2.67. Revenue came in at $7.7 billion, surpassing estimates of $8.15 billion but declining 15% YoY from $9.1 billion.
"The 2025 spring selling season started slower than expected as potential homebuyers have been more cautious due to continued affordability constraints and declining consumer confidence," said David Auld, Executive Chairman.
Net sales orders decreased 15% to 22,437 homes with an order value of $8.4 billion, compared to 26,456 homes valued at $10.1 billion in the same quarter last year. Homes closed in the quarter fell 15% to 19,276 units.
Looking ahead, D.R. Horton lowered its fiscal 2025 revenue guidance to a range of $33.3 billion to $34.8 billion, below the consensus estimate of $36.14 billion.
The company maintained its disciplined approach to capital allocation, repurchasing 9.7 million shares for $1.3 billion during the quarter. It also declared a quarterly dividend of $0.40 per share.
Despite the earnings miss, D.R. Horton emphasized its strong liquidity position and flexible lot supply as it navigates the current housing market conditions.
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