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Nov 30, 2019

Lennar Q4 2019 Earnings Report

Lennar reported Q4 2019 earnings, with EPS of $2.13 and revenue of $7.0 billion, driven by increased home deliveries and new orders.

Key Takeaways

Lennar's Q4 2019 results showed strong growth in new orders and deliveries, leading to a net earnings of $674.3 million, or $2.13 per diluted share. The company's focus on operational efficiency and land management contributed to improved financial performance. The financial services segment also achieved record earnings.

Net earnings were $674.3 million, or $2.13 per diluted share.

Revenues reached $7.0 billion, up 8% year-over-year.

New orders increased by 23% to 13,089 homes.

Homebuilding gross margin was 21.5%.

Total Revenue
$6.97B
Previous year: $6.46B
+7.9%
EPS
$2.13
Previous year: $1.96
+8.7%
Home Deliveries
16.42K
New Orders
13.09K
Homebuilding Debt to Capital
32.8%
Gross Profit
$1.47B
Previous year: $1.35B
+8.9%
Cash and Equivalents
$1.45B
Previous year: $1.56B
-7.2%
Free Cash Flow
$1.17B
Previous year: $914M
+27.7%
Total Assets
$29.4B
Previous year: $28.6B
+2.8%

Lennar

Lennar

Lennar Revenue by Segment

Forward Guidance

Lennar provided guidance for fiscal year 2020, expecting deliveries to be in the range of 54,000 - 55,000 homes and homebuilding gross margin percentage in the range of 20.5% - 21.0%.

Positive Outlook

  • Deliveries are expected to be in the range of 54,000 - 55,000 homes.
  • Homebuilding gross margin percentage to be in the range of 20.5% - 21.0%.
  • Cash flows are expected to continue to accelerate.
  • Opportunistically deploy excess cash flow to repurchase additional debt.
  • Return capital to shareholders.

Revenue & Expenses

Visualization of income flow from segment revenue to net income