Pulte reaffirms outlook for fourth quarter
Michigan-based home builder Pulte Homes said this week that in spite of a major downturn in the housing market, it expects fourth-quarter sales and earnings to remain on track for 2007.
"While demand for new housing is weak and supply levels continue to be elevated, we remain committed to our previous guidance for fourth-quarter pre-impairment earnings and cash position, and we continue to improve our already strong balance sheet," said Pulte CEO Richard Dugas Jr.
Recent efforts to sell homes, lower land investment levels and close on standing inventory will give the company “maximum flexibility” in 2008, Dugas said.
Pulte representatives spoke at the JPMorgan Homebuilding and Building Products Conference in Las Vegas on Nov. 26.
In its third quarter, Pulte took charges of more than $1 billion, including $842 million in land-related charges.
Third-quarter losses totaled $787.9 million, swinging from a gain of $191.45 million in last year’s third quarter. Total revenue was $2.44 billion, down 30.3 percent from $3.5 billion in the same period last year.