Lennar Corporation (NYSE: LEN) Earnings Report Highlights

• Lennar Corporation reported earnings per share (EPS) of $4.06, missing the estimated $4.15 and marking a decline from the previous year's $5.17.
• The company's revenue for the fourth quarter was approximately $9.95 billion, slightly below the estimated $10.06 billion.
• Lennar experienced a 3% decrease in new orders and a 7% decrease in deliveries, yet maintained a gross margin on home sales of 22.1%.

Lennar Corporation (NYSE: LEN) is a leading homebuilder in the United States, known for constructing a wide range of homes for various market segments. The company operates in the homebuilding and financial services sectors, providing mortgage financing, title insurance, and closing services. Lennar competes with other major homebuilders like D.R. Horton and PulteGroup.

On December 18, 2024, Lennar reported earnings per share (EPS) of $4.06, slightly below the estimated $4.15. This performance was also lower than the Zacks Consensus Estimate of $4.16 per share, as highlighted by Zacks. Compared to the previous year's EPS of $5.17, this marks a notable decline, reflecting challenges in the current market environment.

Lennar's revenue for the fourth quarter was approximately $9.95 billion, missing the estimated $10.06 billion. The company achieved net earnings of $1.1 billion, or $4.06 per diluted share, down from $1.4 billion, or $4.82 per diluted share, in the previous year. This decline in earnings and revenue contributed to a decrease in Lennar's stock price following the earnings release.

The company experienced a 3% decrease in new orders, totaling 16,895 homes, with a 1% decrease in the dollar value of these orders to $7.2 billion. Deliveries decreased by 7% to 22,206 homes, impacting total revenues, which stood at $9.9 billion. Despite these challenges, Lennar maintained a gross margin on home sales of 22.1%, indicating efficient cost management.

For the fiscal year, Lennar reported net earnings of $3.9 billion, or $14.31 per diluted share, with new orders increasing by 11% to 76,951 homes. The company repurchased 13.6 million shares for $2.1 billion and redeemed $554 million of senior notes, reflecting a focus on shareholder value. Lennar's acquisition of Rausch Coleman Homes is expected to strengthen its market position in 2025.