Toll Brothers swings to profit in Q4
Horsham, Pa.-based luxury homebuilder Toll Brothers reported net income of $50.5 million for the fourth-quarter ended Oct. 31, compared with a net loss of $111.4 million for the same period last year.
Revenues for the quarter declined 17% to $402.6 million from $486.5 last year. For the quarter, the company delivered 700 units, a 19% decline from 860 units reported last year.
For the full year, the company reported a net loss of $3.4 million compared to a loss of $755.8 million for 2009.
"Fiscal year 2010 was another challenging year for our company and our industry as the persistent drag of high unemployment, reduced home equity, weak consumer confidence and frustration with the nation's economic and political climate outweighed the appeal of historic low interest rates and tremendous home affordability," said Douglas Yearley Jr., CEO. "Even though the unemployment rate among our buyers is about half that of the national average, many of our clients remain on the sidelines waiting for clearer signs that the economy is on the road to recovery.”
Revenues for 2010 were $1.49 billion a decline of 15% from $1.75 billion reported last year. The company delivered 2,642 units in 2010, down 11% from last year.
For the year, the company reported net signed contracts of $1.47 billion, an increase of 13% and 2,605 units, up 6% compared with 2009.
For the quarter, the company signed net contracts of $315.3 million and 558 units, a decline of 27% in both dollars and units, compared with 2009's fourth quarter net signed contracts.