Key TakeawaysKB Home shares dropped 6% in extended trading on Tuesday after the homebuilder missed Wall Street’s third-quarter profit expectations.The stock sits poised to fall below the lower trendline of an ascending triangle on Wednesday, opening the door for further price fluctuations.Investors should monitor key post-earnings price levels on KB Home's chart at $79, $72, and $64.A measured move, which calculates the distance of the ascending triangle near its widest point and adds that amount to the pat ...

Financial Data and Key Metrics Changes - The company achieved double-digit year-over-year growth in revenues and diluted earnings per share in Q3 2024, generating total revenues of over $1.75 billion and diluted earnings per share of $2.04 [6][24] - Gross margin was slightly lower at 20.6%, down from 21.5% in the prior year, while operating income margin was 10.8% [7][27] - Book value per share increased by 13% year-over-year, with net income for the quarter reported at $157.3 million [7][29] Business Line Data and Key Metrics Changes - The company generated 3,085 net orders in Q3 2024, flat compared to the previous year, with a monthly absorption pace of 4.1 homes per community [8][10] - The average selling price of homes delivered was approximately $481,000, up from $466,000 in the prior year [26] - The company started nearly 3,000 homes in the quarter, ending with over 7,700 homes in production [13] Market Data and Key Metrics Changes - Long-term housing market conditions remain positive, supported by an under supply of homes, solid employment, and favorable demographics [7] - Resale inventory is rising in certain markets but remains below historically normalized levels, particularly at the company's price points [7][8] - The company noted an increase in traffic and leads from digital marketing efforts, indicating strong demand for homeownership [8] Company Strategy and Development Direction - The company is focused on growing community count, maintaining customer satisfaction, and executing a personalized Build-to-Order model [6][22] - A significant increase in land acquisition and development investment was noted, with $845 million invested in Q3 2024, up over 50% year-over-year [18][20] - The company aims to enhance stockholder value through profitable growth, share repurchases, and dividends [20][22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the housing market, citing improved consumer confidence due to recent interest rate cuts [9][22] - The company anticipates a strong year-over-year comparison in Q4 2024 net orders, driven by favorable market conditions [9][22] - Initial guidance for 2025 revenue is projected at approximately $7.5 billion, reflecting confidence in community count and backlog [23][24] Other Important Information - The company repurchased $150 million in shares during Q3 2024, marking the highest quarterly amount for the year [20][32] - The average cash down payment from customers remained stable at 16%, with an average household income of nearly $133,000 [16] - The company maintains a balanced approach to capital allocation, focusing on reinvestment in growth while returning capital to stockholders [20][32] Q&A Session Summary Question: Clarification on $7.5 billion revenue outlook for 2025 - Management indicated that the $7.5 billion estimate is supported by community count, backlog, and absorption assumptions, but detailed metrics will be provided in January [36][38] Question: Strategy regarding home prices in a lower rate environment - Management emphasized a focus on home value rather than incentives, with expectations to lower mortgage concessions as rates decrease [39][41] Question: Absorption and community count dynamics - Management acknowledged potential for improved absorption rates and indicated that community count growth may occur by the end of next year [43][44] Question: Long-term operating margin potential - Management suggested that with increased scale and reduced incentives, there is potential for operating margin improvement beyond the current levels [46][48] Question: Gross margin drivers and outlook - Management attributed the current gross margin to a mix shift towards lower-margin West Coast revenues and expects sequential improvement in Q4 [50][52] Question: Impact of existing home inventory on the market - Management noted that while resale inventory is increasing, it remains limited at affordable price points, positioning the company favorably [56] Question: Changes in broker relationships post-NAR settlement - Management is adapting to new broker compensation agreements and is focused on direct outreach to buyers [59][62] Question: Outlook on direct costs and land inflation - Management indicated ongoing efforts to reduce direct costs while acknowledging stabilized land and development costs at higher levels [74][78]

KB Home (KBH) reported $1.75 billion in revenue for the quarter ended August 2024, representing a year-over-year increase of 10.4%. EPS of $2.04 for the same period compares to $1.80 a year ago.The reported revenue represents a surprise of +1.50% over the Zacks Consensus Estimate of $1.73 billion. With the consensus EPS estimate being $2.04, the company has not delivered EPS surprise.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to W ...

KB Home (KBH) came out with quarterly earnings of $2.04 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $1.80 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this homebuilder would post earnings of $1.78 per share when it actually produced earnings of $2.15, delivering a surprise of 20.79%.Over the last four quarters, the company has surpassed consensus EPS estimates three times.KB Home, which belongs to the Zack ...

Exhibit 99.1 FOR RELEASE, Tuesday, September 24, 2024 For Further Information: 1:10 p.m. Pacific Time Jill Peters, Investor Relations Contact (310) 893-7456 or jpeters@kbhome.com Cara Kane, Media Contact (321) 299-6844 or ckane@kbhome.com KB HOME REPORTS 2024 THIRD QUARTER RESULTS Revenues Increased 10% to $1.75 Billion; Diluted Earnings Per Share Up 13% to $2.04 Repurchased $150.0 Million of Common Stock LOS ANGELES (September 24, 2024) — KB Home (NYSE: KBH) today reported results for its third quarter end ...

KB Home (KBH) is slated to report third-quarter fiscal 2024 results (ended Aug. 31) on Sept. 24, after the closing bell.In the last reported quarter, KB Home's earnings and revenues beat the Zacks Consensus Estimate by 20.8% and 4.3%, respectively. On a year-over-year basis, earnings increased 11% on 3.4% lower revenues.The company’s earnings topped analysts’ expectations in 31 of the trailing 34 quarters.How Are Estimates Placed for KBH?For the quarter to be reported, the Zacks Consensus Estimate for earni ...

KB Home KBH will release earnings results for its third quarter, after the closing bell on Tuesday.Analysts expect the Los Angeles-based company to report quarterly earnings at $2.06 per share. That’s up from $1.80 per share in the year-ago period. KB Home projects quarterly revenue of $1.73 billion, according to data from Benzinga Pro.On Sept. 19, Bank of America Securities analyst Rafe Jadrosich maintained KB Home with a Neutral rating and raised the price target from $75 to $90.With the recent buzz aroun ...

KB Home KBH will release earnings results for its third quarter, after the closing bell on Tuesday, Sept. 24.Analysts expect the Los Angeles, California-based company to report quarterly earnings at $2.06 per share, up from $1.80 per share in the year-ago period. KB Home is projected to post quarterly revenue of $1.73 billion, according to data from Benzinga Pro.On July 18, the company's board of directors declared a quarterly cash dividend of 25 cents per share on the company’s common stock.KB Home shares ...

Wall Street analysts forecast that KB Home (KBH) will report quarterly earnings of $2.04 per share in its upcoming release, pointing to a year-over-year increase of 13.3%. It is anticipated that revenues will amount to $1.73 billion, exhibiting an increase of 8.8% compared to the year-ago quarter.The consensus EPS estimate for the quarter has been revised 0.2% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial esti ...

Investors are always looking for stocks that are poised to beat at earnings season and KB Home (KBH) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because KB Home is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good indicator of s ...