D.R. Horton reported Q1 consolidated pre-tax income of $798 million on $6.9 billion of revenue, reiterating fiscal‑2026 targets of roughly $33.5–$35.0 billion revenue. Affordability remains a headwind, resulting in increased buyer incentives and pressures on margins. The company emphasized capital efficiency and returned significant capital to shareholders.

Home sales revenue in the quarter was $6.5 billion on 17,818 homes closed, with an average closing price of $365,500. Net sales orders increased 3% year over year to 18,300 homes, with a cancellation rate of 18%. Home sales gross margin was 20.4%, up 40 basis points sequentially.

Management expects second-quarter starts to be higher than the first quarter, with 30,400 homes in inventory and a focus on capital efficiency and flexibility in land strategy. The company generated $110 million of revenue from rental operations, emphasizing improving capital efficiency.

Financial services delivered pre-tax income of $58 million. Forestar reported revenue of $273 million on 1,944 lots sold. Guidance for the second quarter includes consolidated revenue of $7.3 billion to $7.8 billion and homebuilding closings of 19,700 to 20,200 homes, with expectations for fiscal 2026 reiterated.

D.R. Horton is a national homebuilding company that designs, constructs, and sells new residential properties across the United States. Core operations focus on building single-family detached homes, townhomes, and condominiums, with complementary services supporting the mortgage, title, and closing processes for customers. Founded in 1978 by Donald R. Horton.

Read more at Yahoo Finance: D.R. Horton Q1 Earnings Call Highlights