Summary
D.R. Horton, Inc. (DHI) reported strong financial results for the fiscal third quarter of 2022, with consolidated revenues increasing by 21% year-over-year to $8.8 billion. This growth was primarily driven by its homebuilding segment, which saw an 18% increase in revenues, supported by a 20% rise in the average closing price of homes sold, reaching $391,200. Despite a slight decrease in homes closed (-1%), the company's ability to increase prices significantly boosted revenue and profitability. The home sales gross margin improved substantially to 30.1% from 25.9% in the prior year quarter. Net income attributable to D.R. Horton surged by 48% to $1.6 billion, translating to a diluted EPS of $4.67, up from $3.06 a year ago. The company maintained a solid balance sheet with total equity at $18.1 billion and a manageable debt-to-capital ratio of 24.9%.
Financial Highlights
38 data points| Revenue | $8.79B |
| Cost of Revenue | $5.88B |
| Gross Profit | $2.91B |
| SG&A Expenses | $740.60M |
| Net Income | $1.66B |
| EPS (Basic) | $4.70 |
| EPS (Diluted) | $4.67 |
| Shares Outstanding (Basic) | 350.80M |
| Shares Outstanding (Diluted) | 353.10M |
Key Highlights
- 1Consolidated revenues increased 21% year-over-year to $8.8 billion.
- 2Homebuilding revenues grew 18% to $8.3 billion, driven by a 20% increase in average home selling price to $391,200, despite a 1% decrease in homes closed.
- 3Home sales gross margin improved significantly to 30.1% from 25.9% in the prior year quarter.
- 4Net income attributable to D.R. Horton increased 48% to $1.6 billion.
- 5Diluted earnings per share (EPS) rose to $4.67 from $3.06 in the prior year quarter.
- 6The company's rental segment experienced substantial growth, with revenues increasing to $109.7 million from $23.1 million.
- 7Despite a recent moderation in demand due to rising interest rates, D.R. Horton maintained a strong lot position, with 78% of lots controlled through purchase contracts.