NVR, Inc. (AMEX:NVR) posted a decrease in profit as revenue declined. NVR Inc. is engaged in the construction and sale of single-family detached homes, townhomes and condominium buildings.
NVR Earnings Cheat Sheet for the Second Quarter
Results: Net income for the residential construction company fell to $38.4 million ($6.48 per share) vs. $71.3 million ($11.13 per share) a year earlier. This is a decline of 46.1% from the year earlier quarter.
Revenue: Fell 27.9% to $695.9 million from the year earlier quarter.
Actual vs. Wall St. Expectations: NVR beat the mean analyst estimate of $6.20 per share. It beat the average revenue estimate of $679.8 million.
The company has now seen net income fall in each of the last four quarters. In the first quarter, net income fell 52.7% while the figure fell 3.2% in the fourth quarter of the last fiscal year and 39.1% in the third quarter of the last fiscal year.
The company topped expectations last quarter after falling short of forecasts in the first quarter with net income of $2.52 versus a mean estimate of net income of $4.37 per share.
Revenue has fallen in the past two quarters. In the first quarter, revenue declined 12.9% to $516 million from the year earlier quarter.
The company’s cost of sales fell 27.6% from a year earlier to $558.6 million. Last quarter, cost of sales was 80.3% of revenue versus 80% a year earlier.
Competitors to Watch: D.R. Horton, Inc. (NYSE:DHI), M.D.C. Holdings, Inc. (NYSE:MDC), Comstock Homebuilding Companies, Inc. (NASDAQ:CHCI), The Ryland Group, Inc. (NYSE:RYL), Standard Pacific Corp. (NYSE:SPF), M/I Homes, Inc. (NYSE:MHO), PulteGroup, Inc. (NYSE:PHM), Hovnanian Enterprises, Inc. (NYSE:HOV), and KB Home (NYSE:KBH).
(Source: Xignite Financials)