Centex posts $908 million loss for fourth quarter
Centex Homes reported a loss from continuing operations for the fourth quarter, which ended on March 31, of $908 million, compared to a loss of $23 million in the previous year's fiscal fourth quarter. Total revenues for the quarter were $2.31 billion, a 36 percent drop from the previous year.
For the full fiscal year of 2008, the loss from continuing operations was $2.66 billion. This compares to a loss of $9 million in fiscal 2007. Revenues were $8.28 billion, 30 percent lower than the $11.89 billion recorded in fiscal year 2007.
Calling the current home-building climate "the most difficult housing market in decades,” Tim Eller, chairman and CEO of Centex, pointed out that the company has been able to lower its debt, reduce its land position and generate strong operating cash flow. Home sales have been accelerated, and the company has significantly reduced its unsold inventory, he added.
During the last quarter, Centex reduced its inventory of unsold homes by 64 percent to 1,754 units. The company also completed a previously announced 8,545 lot land sale for $161 million in proceeds.