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Nov 30, 2021

Lennar Q4 2021 Earnings Report

Reported record Q4 2021 earnings driven by strength in the housing market and supply shortage.

Key Takeaways

Lennar reported record fourth-quarter earnings of $1.2 billion, or $3.91 per diluted share, compared to $882.8 million, or $2.82 per diluted share, in the fourth quarter of last year. Excluding mark to market losses, earnings were $1.3 billion, or $4.36 per diluted share. Revenues increased 24% to $8.4 billion, and home deliveries increased 11% to 17,819 homes.

Net earnings per diluted share increased 39% to $3.91 (increased 55% to $4.36, excluding mark to market losses on strategic technology investments).

Revenues increased 24% to $8.4 billion.

Homebuilding gross margin improved 300 bps to 28.0%.

Homebuilding S,G&A expenses as a % of revenues improved 150 bps to 6.0%.

Total Revenue
$8.43B
Previous year: $6.83B
+23.6%
EPS
$4.36
Previous year: $2.82
+54.6%
Home Deliveries
17.82K
New Orders
15.54K
Homebuilding Debt to Capital
18.3%
Previous year: 24.9%
-26.5%
Gross Profit
$2.2B
Previous year: $1.6B
+37.5%
Cash and Equivalents
$2.74B
Previous year: $2.7B
+1.3%
Free Cash Flow
$1.2B
Previous year: $1.26B
-5.4%
Total Assets
$33.2B
Previous year: $29.9B
+10.9%

Lennar

Lennar

Lennar Revenue by Segment

Forward Guidance

The Company's expected results of its homebuilding and financial services activities for the first quarter and fiscal year 2022:

Positive Outlook

  • Deliver approximately 67,000 homes for the year.
  • Gross margin of 27.0% - 27.5% for the year.
  • Deliver approximately 12,500 homes in the first quarter.
  • Gross margin of approximately 26.75% in the first quarter.
  • New orders between 14,800 - 15,100 in Q1 2022

Revenue & Expenses

Visualization of income flow from segment revenue to net income