From Yahoo Finance: 2025-04-17 09:50:00

D.R. Horton, Inc. (NYSE: DHI) reported second-quarter FY25 results, with sales falling 15% year-over-year to $7.73 billion, missing the consensus of $8.03 billion. EPS was $2.58, missing the consensus of $2.67. Net sales orders fell 15% Y/Y to 22,437 homes and decreased 17% Y/Y in value to $8.4 billion. Homebuilding revenue declined 15% Y/Y to $7.2 billion, with 19,276 homes closed in the quarter.

The sales order backlog of homes under contract as of March 31, 2025, decreased 21% year over year to 14,164 homes and 22% year over year in value to $5.5 billion. D.R. Horton had 36,900 homes in inventory, with 23,500 unsold as of March 31, 2025. Return on equity was 17.4%, and return on assets stood at 12.2% for the trailing twelve months ended March 31, 2025.

Operating cash flow stood at $210.5 million in the six months ended March 31, 2025. As of March 31, 2025, the cash balance was $2.5 billion, with available capacity on credit facilities at $3.3 billion, totaling $5.8 billion in liquidity. D.R. Horton repurchased 9.7 million shares for $1.3 billion during the quarter, with a remaining stock repurchase authorization of $1.2 billion as of March-end.

In April 2025, the Board of Directors approved a new $5.0 billion share repurchase authorization, replacing the prior program, which had $1.1 billion remaining following post-quarter-end buybacks. The company declared a quarterly dividend of $0.40 per share, payable on May 9, to shareholders of record as of May 2, 2025. FY25 Outlook: D.R. Horton revised its revenue guidance to $33.3 billion-$34.8 billion (from $36.0 billion – $37.5 billion) versus the consensus of $36.4 billion. It now expects homes closed to be 85,000-87,000 homes (vs. 90,000-92,000 homes prior) for the year. DHI projects FY25 operating cash flow to be greater than $3.0 billion.

The company revised its share repurchase outlook for FY25 to approximately $4.0 billion (from $2.6 billion—$2.8 billion earlier) and continues to expect dividend payments of around $500 million. David Auld, Executive Chairman, noted that the 2025 spring selling season started slower than expected due to affordability constraints and declining consumer confidence.

Investors can gain exposure to the stock via IShares U.S. Home Construction ETF (BATS: ITB) and Exchange Listed Funds Trust Long Pond Real Estate Select ETF (NYSE: LPRE). DHI shares are down 3.86% at $113.00 premarket as of the last check Thursday.



Read more at Yahoo Finance: Homebuyers Cautious Due To ‘Continued Affordability Constraints And Declining Consumer Confidence:’ D.R. Horton Cuts Annual Outlook