Loading...
•
Feb 28, 2022
KB Home Q1 2022 Earnings Report
KB Home reported a solid year-over-year growth in Q1 2022, with diluted earnings per share increasing 44%.
Key Takeaways
KB Home's Q1 2022 results showed a 23% increase in total revenues to $1.40 billion and a 44% growth in diluted earnings per share to $1.47. The company's ending backlog value rose by 55% to $5.71 billion. They are reaffirming their revenue guidance for the year, with 30% growth.
Total revenues increased 23% to $1.40 billion.
Diluted earnings per share grew 44% to $1.47.
Ending backlog value was up 55% to $5.71 billion.
Gross margin increased to 22.4%.
KB Home
KB Home
KB Home Revenue by Segment
KB Home Revenue by Geographic Location
Revenue by Segment
Housing Revenue
CapyFin.comRevenue by Geographic Location
West Coast Revenue
CapyFin.comSouthwest Revenue
CapyFin.comCentral Revenue
CapyFin.comSoutheast Revenue
CapyFin.com Forward Guidance
The Company is providing the following current guidance for its 2022 fiscal year: Housing revenues in the range of $7.20 billion to $7.60 billion.
Positive Outlook
- Housing revenues in the range of $7.20 billion to $7.60 billion.
- Average selling price in the range of $490,000 to $500,000.
- Homebuilding operating income as a percentage of revenues in the range of 16.0% to 16.6%, assuming no inventory-related charges.
- Housing gross profit margin in the range of 25.5% to 26.3%, assuming no inventory-related charges.
- Ending community count of approximately 255.
Challenges Ahead
- Selling, general and administrative expenses as a percentage of housing revenues in the range of 9.2% to 9.8%.
- Effective tax rate of approximately 25%, assuming no federal energy tax credit extension is enacted.
- Supply chain issues intensified and an already-constrained construction labor force was further stressed, which extended our build times and delayed completions and planned deliveries.
- Higher construction costs, particularly elevated lumber prices, and increased expenses to support current operations and expected growth.
- The higher effective tax rate mainly reflected the expiration of federal tax credits for building energy-efficient homes delivered after December 31, 2021.