KB Home (NYSE:KBH) reported Q2 EPS of $2.32, $0.32 better than the analyst estimate of $2.00. Revenue for the quarter came in at $1.72 billion versus the consensus estimate of $1.61 billion.
Backlog and Net Orders (comparisons on a year-over-year basis)
- Ending backlog value grew 43% to $6.12 billion, the highest second-quarter level in the Company’s history, with each of the Company’s four regions generating increases ranging from 18% in the West Coast to 98% in the Southeast. Ending backlog grew 23% to 12,331 homes.
- Net order value expanded by $87.9 million, or 4%, to $2.12 billion. Net orders of 3,914 decreased 9%, reflecting a moderation in monthly net orders per community to 6.2, compared to 7.0, partly offset by an increase in average community count.
- The Company’s average community count increased 3% to 211, and ending community count increased 7% to 214.
- The cancellation rate as a percentage of gross orders was 17%, compared to 9%.