Beazer Homes experienced a challenging third quarter in fiscal 2025, reporting a net loss of $0.3 million, or $0.01 per diluted share, largely impacted by $10.3 million in inventory impairment and abandonment charges. Homebuilding revenue decreased by 9.2% year-over-year to $535.4 million, driven by an 11.3% decrease in home closings, although partially offset by a 2.4% increase in average selling price. Net new orders were down 19.5%, and Adjusted EBITDA fell by 40.0% to $32.1 million. Despite these headwinds, the company increased its active community count by 14.4% and maintained a homebuilding gross margin of 13.5%.
Beazer Homes reported a net loss of $0.3 million, or $0.01 per diluted share, in Q3 2025, primarily due to $10.3 million in inventory impairment and abandonment charges.
Homebuilding revenue decreased by 9.2% to $535.4 million, with home closings down 11.3%, partially offset by a 2.4% increase in average selling price.
Net new orders declined by 19.5% to 861, and the sales pace decreased by 30.0% to 1.7 orders per community per month.
Adjusted EBITDA was $32.1 million, a 40.0% decrease year-over-year, while the active community count at period-end increased by 14.4% to 167.
Beazer Homes is focused on achieving its multi-year goals, including reaching 200 active communities by the end of fiscal 2027, attaining a net debt to net capitalization ratio in the low 30% range, and generating double-digit growth in book value per share. The company plans to direct more discretionary capital towards these financial objectives.
Visualization of income flow from segment revenue to net income
Analyze how earnings announcements historically affect stock price performance