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Aug 31, 2024

Lennar Q3 2024 Earnings Report

Lennar reported solid third quarter results, driven by a constructive economic environment for homebuilders.

Key Takeaways

Lennar reported a strong third quarter with increased net earnings, new orders, and deliveries. The company's performance was driven by solid demand and effective capital allocation, reinforcing its strong balance sheet and strategic land light focus.

Net earnings per diluted share increased 10% to $4.26.

New orders increased 5% to 20,587 homes, and deliveries increased 16% to 21,516 homes.

Homebuilding operating earnings totaled $1.5 billion with a net margin on home sales of 15.8%.

The company repurchased 3.4 million shares of Lennar common stock for $519 million.

Total Revenue
$9.42B
Previous year: $8.73B
+7.9%
EPS
$3.9
Previous year: $3.91
-0.3%
New Orders
20.59K
Previous year: 19.67K
+4.7%
Homebuilding Debt to Capital
7.6%
Previous year: 11.5%
-33.9%
Gross Profit
$2B
Previous year: $2B
+0.0%
Cash and Equivalents
$4B
Previous year: $3.9B
+2.6%
Free Cash Flow
$976M
Previous year: $930M
+5.0%
Total Assets
$39.7B
Previous year: $37.4B
+6.2%

Lennar

Lennar

Lennar Revenue by Segment

Forward Guidance

For the fourth quarter of 2024, Lennar expects to deliver between 22,500 and 23,000 homes, with a gross margin flat with the third quarter. The company also anticipates financial services operating earnings of $140 million and S,G&A as a % of Home Sales of 6.7% - 6.8%.

Positive Outlook

  • Deliver between 22,500 and 23,000 homes
  • Gross margin % on home sales flat with Q3
  • S,G&A as a % of home sales 6.7% - 6.8%
  • Financial Services operating earnings of $140 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income