ATLANTA - Beazer Homes USA, Inc. (NYSE:BZH) shares gained 3.6% aftermarket Wednesday after the homebuilder reported better-than-expected fourth quarter results and provided an optimistic outlook despite higher mortgage rates.
The company posted earnings per share of $1.69, surpassing analyst estimates of $1.35. Revenue came in at $783.8 million, also topping the consensus forecast of $775.42 million.
Beazer delivered 1,496 homes in Q4, up 21.3% YoY, while the average selling price increased 0.7% to $523,900. However, gross margin declined to 17.2% from 21.2% a year ago due to higher costs and incentives.
"We generated strong fourth quarter and full year results, despite a challenging operating environment for much of the period," said CEO Allan P. Merrill. He noted that October sales grew over 30% YoY, benefiting from higher community count and improved sales pace.
For fiscal 2025, Beazer expects further community count expansion to drive revenue growth and double-digit return on capital employed. The company ended Q4 with 162 active communities, up 20.9% YoY.
Net new orders rose 2.6% to 1,029 homes in Q4, though the cancellation rate increased to 21.9% from 16.5% last year. Beazer's backlog stood at 1,482 homes valued at $797.2 million as of September 30.
The company maintained a strong liquidity position with $503.9 million available at quarter-end, including $203.9 million in cash.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.