Financial Performance - Net earnings for Q2 2025 were $477 million, or $1.81 per diluted share, down from $954 million, or $3.45 per diluted share in Q2 2024[3]. - Total revenues for Q2 2025 were $8.4 billion, with homebuilding operating earnings of $728 million and a gross margin on home sales of 17.8%[2]. - Total revenues for the three months ended May 31, 2025, were $8,377,502, a decrease of 4.4% from $8,765,592 in the same period of 2024[21]. - Homebuilding revenues decreased to $7,843,862 for the three months ended May 31, 2025, down from $8,381,059 in 2024, reflecting a decline of 6.4%[24]. - Net earnings attributable to Lennar for the three months ended May 31, 2025, were $477,449, a decrease of 50.0% compared to $954,311 in the same period of 2024[21]. - Homebuilding operating earnings for the three months ended May 31, 2025, were $728,234, down 45.6% from $1,340,155 in 2024[24]. - Total interest expense for the three months ended May 31, 2025, was $37,180, down from $48,065 in 2024, a decrease of 22.7%[24]. Sales and Orders - New orders increased by 6% to 22,601 homes, while backlog stood at 15,538 homes valued at $6.5 billion[2]. - New orders for homes increased to 22,601 for the three months ended May 31, 2025, compared to 21,293 in 2024, representing a growth of 6.1%[26]. - For the six months ended May 31, 2025, total new orders for homes increased to 40,956 from 39,469 in the same period of 2024, with a dollar value of $16,005,995 million compared to $16,937,258 million, reflecting a decrease in average sales price from $429,000 to $391,000[32]. Average Sales Price - Average sales price of homes delivered decreased to $389,000, a 9% decline from $426,000 in Q2 2024[8]. - Average sales price for homes delivered decreased to $389,000 in the three months ended May 31, 2025, down from $426,000 in 2024, a decline of 8.7%[25]. - The average sales price for homes in the East region decreased from $417,000 in 2024 to $366,000 in 2025, despite an increase in new orders from 9,141 to 9,476 homes[29]. - The average sales price for homes in the West region decreased from $626,000 in 2024 to $594,000 in 2025, despite a dollar value of new orders remaining high at $5,886,178 million[29]. Expenses and Costs - Selling, general and administrative expenses rose to $689 million, representing 8.8% of revenues from home sales, up from 7.5% in the prior year[10]. - Homebuilding costs and expenses for the three months ended May 31, 2025, were $7,147,552, slightly up from $7,106,455 in 2024, an increase of 0.6%[24]. Liquidity and Debt - The company ended the quarter with total liquidity of $5.4 billion and a homebuilding debt to total capital ratio of 11.0%[2]. - Homebuilding debt increased to $2,791,987 million as of May 31, 2025, compared to $2,258,283 million in November 2024, resulting in a homebuilding debt to total capital ratio of 11.0%[36]. - As of May 31, 2025, the company’s total assets decreased to $34,374,546 million from $41,312,781 million in November 2024, primarily due to a reduction in cash and cash equivalents from $4,662,643 million to $1,168,143 million[34]. Shareholder Actions - The company repurchased 4.7 million shares of common stock for $517 million at an average price of $109.79 per share[16]. - The company’s stockholders' equity decreased to $22,579,080 million as of May 31, 2025, down from $27,870,135 million in November 2024, indicating a decline in retained earnings from $25,753,078 million to $21,645,991 million[34]. Acquisitions and Market Position - The company completed the acquisition of Rausch Coleman Homes, enhancing its market position[7]. - The company reported a multifamily operating loss of $14,754 for the three months ended May 31, 2025, an improvement from a loss of $20,474 in 2024[24]. - The backlog of homes as of May 31, 2025, totaled 15,538 homes with a dollar value of $6,484,490 million, down from 17,873 homes valued at $8,233,335 million in 2024, with the average sales price decreasing from $461,000 to $417,000[30].
Lennar(LEN_B) - 2025 Q2 - Quarterly Results