TOUSA reports third-quarter loss of $619.7 million
Home builder Technical Olympic USA (TOUSA) reported third-quarter net losses of $619.7 million, wider than the $80 million in losses the company reported last year. Revenue fell 15 percent to $492.9 million from $576.8 million in the same period last year.
The company was hit with $530.6 million in one-time, pre-tax charges related to the abandonment of land option contracts and inventory issues.
TOUSA reported consolidated net sales orders of 892, a 33 percent decrease from last year. The company’s cancellation rate increased to 47 percent, compared to 33 percent for the third quarter of 2006 and 33 percent for the second quarter of 2007.
The New York Stock Exchange has halted trading of the company’s stock, following a drop in stock price to below $1.05. If stocks continue to be low, the company is in danger of being delisted by the NYSE.
Hollywood, Fla.-based TOUSA is a national home builder and financial services company with operations in Florida, the Mid-Atlantic, Texas and the West.