Loading...
•
Jun 30
PulteGroup Q2 2025 Earnings Report
PulteGroup reported a decrease in net income and home sale revenues for the second quarter of 2025, while maintaining strong gross and operating margins.
Key Takeaways
PulteGroup delivered solid financial results in the second quarter of 2025, with net income of $608 million and diluted EPS of $3.03. Despite a 4% decrease in home sale revenues to $4.3 billion and a 6% decrease in closings, the company achieved strong gross and operating margins of 27.0% and 17.9% respectively. The company also continued to return capital to shareholders through $300 million in stock repurchases.
Net income for Q2 2025 was $608 million, or $3.03 per diluted share, down from $809 million or $3.83 per diluted share in the prior year.
Home sale revenues decreased by 4% to $4.3 billion, driven by a 6% decrease in closings to 7,639 homes, partially offset by a 2% increase in average sales price to $559,000.
The company maintained strong profitability with a home sale gross margin of 27.0% and an operating margin of 17.9%.
PulteGroup repurchased 3.0 million shares for $300 million during the quarter, demonstrating a continued commitment to shareholder returns.
PulteGroup
PulteGroup
PulteGroup Revenue by Segment
Revenue by Segment
Homebuilding Revenue
CapyFin.comFinancial Services Revenue
CapyFin.com Forward Guidance
PulteGroup is aligning its home production and land investment strategies to current market demand, aiming to maintain and grow market share as demand strengthens.
Positive Outlook
- Positive consumer response observed to pullbacks in interest rates.
- Strategic alignment of home production to current core demand.
- Positioning to retain and grow market share in a strengthening demand environment.
- Continued disciplined business practices to navigate competitive homebuilding environment.
- Commitment to returning funds to shareholders through share repurchases.
Challenges Ahead
- Consumers are dealing with high interest rates.
- Challenged affordability for consumers.
- Macro concerns about the strength of the economy.
- Market dynamics experienced in the first half of the year necessitated adjustments.
- Lower closing volumes impacted financial services pre-tax income.
Revenue & Expenses
Visualization of income flow from segment revenue to net income