Toll Brothers Quarterly Earnings and Home Backlog Declined

Scott Peters
U.S.A. New York City
Dec 6, 2023

• The luxury home builder estimated weaker average home prices and fewer home sales in its fiscal year 2024 as buyers struggle with affordability and elevated mortgage rates.

Toll Brothers increased 2% to $89.0 after the luxury home builder reported better-than-expected quarterly results.

Revenue in the fiscal fourth quarter ending in October declined to $3.02 billion from $3.7 billion, net income decreased to $445.5 million from $640.5 million, and diluted earnings per share dropped to $4.11 from $5.63 a year ago.

The backlog of homes at the end of October declined 19% to 6,578 and the value of the backlog fell 22% to $6.95 billion.

During the quarter, the company repurchased approximately 4.3 million shares at an average price of $75.70 per share, for a total of $325.5 million.

In the fiscal year, the home builder repurchased approximately 7.9 million shares at an average price of $72 per share, for a total purchase price of $565.9 million.

The home developer estimated home deliveries in the fiscal 2024 first quarter to range between 1,800 and 1,900 units and the average delivery price per unit to range between $985,000 and $1.05 million.