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Dec 31, 2019
PulteGroup Q4 2019 Earnings Report
PulteGroup's Q4 2019 financial results were reported, featuring increased net income and adjusted net income.
Key Takeaways
PulteGroup reported strong Q4 2019 results, with net income at $1.22 per share and adjusted net income at $1.14 per share. Net new orders increased by 33%, and closings increased by 2%. The company's backlog also saw substantial growth, and they acquired Innovative Construction Group to enhance production efficiency.
Net income was reported at $1.22 per share, and adjusted net income was $1.14 per share.
Net new orders increased by 33% to 5,691 homes.
Closings increased by 2% to 6,822 homes.
Unit backlog increased by 20% to 10,507 homes.
PulteGroup
PulteGroup
PulteGroup Revenue by Segment
Revenue by Segment
Financial Services Revenue
CapyFin.com Forward Guidance
PulteGroup is well-positioned to increase delivery volumes, revenues, homebuilding gross margins and earnings in 2020.
Positive Outlook
- The company anticipates increased delivery volumes in 2020.
- Revenue is expected to increase in the coming year.
- Homebuilding gross margins are projected to rise.
- Earnings are expected to grow in 2020.
- Strong demand for new homes is benefitting from favorable market dynamics including improved affordability in part due to low mortgage rates, high employment and consumer confidence, and a generally balanced inventory of new homes.
Challenges Ahead
- Interest rate changes and the availability of mortgage financing.
- The availability and cost of land and other raw materials used by us in our homebuilding operations.
- The availability and cost of insurance covering risks associated with our businesses.
- Shortages and the cost of labor.
- Economic changes nationally or in our local markets, including inflation, deflation, changes in consumer confidence and preferences and the state of the market for homes in general.