MIAMI — Lennar's fiscal third-quarter results beat analysts' estimates as it delivered more homes and saw a rise in new orders thanks to an improving housing market. Its shares rose more than 2 percent in morning trading Monday.
Steady job growth coupled with low mortgage rates has improved home sales this year. As the recovery from the Great Recession enters its seventh year, more Americans have rebuilt their savings, increased their home equity and returned to the real estate market.
Lennar earned $223.3 million, or 96 cents per share, for the period ended Aug. 31. That compares with $177.8 million, or 78 cents per share, a year earlier.
The results topped Wall Street expectations. The average estimate of nine analysts surveyed by Zacks Investment Research was for earnings of 79 cents per share.
Revenue for the Miami company totaled $2.49 billion, also beating Street forecasts. Three analysts surveyed by Zacks expected $2.42 billion.
Lennar Corp. said that deliveries climbed 16 percent in the quarter, and new orders increased 10 percent to 6,495 homes.
"The new home and rental markets continued to have significant pent-up demand, which positions us well for years to come," CEO Stuart Miller said in a written statement on Monday.
Its shares rose $1.37, or 2.6 percent, to $53.12 in morning trading Monday. Its shares have risen almost 29 percent over the past year.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on LEN at http://www.zacks.com/ap/LEN
Keywords: Lennar, Earnings Report