Toll Brothers, Inc. reported strong third-quarter results for FY 2025. Net income was $369.6 million, with earnings per share at $3.73. Pre-tax income was $499.5 million, and home sales revenues were $2.88 billion, up 6% from the previous year. Backlog value was $6.38 billion, with a debt-to-capital ratio of 26.7%.

Douglas C. Yearley, Jr., CEO, highlighted delivering 2,959 homes at an average price of $974,000, resulting in record third-quarter home sales revenues. Net signed contracts were $2.41 billion for 2,388 homes, with an average sales price of $1.0 million. The company remains focused on profitability and strategic growth.

The Company’s financial position remains solid, with $852.3 million in cash and cash equivalents. They control sufficient land for future growth, with a net debt-to-capital ratio of 19.3%. Toll Brothers operates in five geographic segments, with over 60 markets in 24 states. They build luxury homes for various buyer segments.

Toll Brothers uses non-GAAP financial measures such as adjusted home sales gross margin, adjusted net income, and net debt-to-capital ratio. Adjusted home sales gross margin for FY 2025 was 27.5%. Adjusted net income was $899.8 million, or $8.95 per diluted share. The net debt-to-capital ratio was 19.3%, indicating solid leverage management.

Read more at GlobeNewswire: Toll Brothers Reports FY 2025 Third Quarter Results