KB Home Q4 Results Miss Street View; Shares Down 4%

(RTTNews) - KB Home (KBH) Wednesday reported results for its fourth quarter with both earnings and revenues missing Street estimates. Shares were down over 4% in extended hours trading, following the news.

Fourth-quarter profit rose to $216.4 million or $2.47 per share from $174.2 million or $1.91 per share last year. Analysts polled by Thomson Reuters expected earnings of $2.87 per share for the quarter. Analysts' estimates typically exclude one-time items.

Revenues grew 16% to $1.94 billion from $1.68 billion last year. Analysts had a consensus revenue estimate of $1.98 billion.

Homes delivered increased 3% to 3,786, while average selling price rose 13% to $510,400.

Looking forward, CEO Jeffrey Mezger said, "We believe we are well positioned to navigate the current environment, with a solid balance sheet and anticipated healthy cash flow for 2023. We are committed to continuing to moderate our land investments until market conditions improve, as well as to maintain a balanced approach to capital allocation, to maximize long-term shareholder value."

Looking forward, the company expects housing revenues in the range of $1.25 billion to $1.40 billion for the first quarter, with average selling price in the range of $490,000 to $500,000.

KBH closed Wednesday's trading at $35.94, up $1.09 or 3.13%, on the NYSE. The stock, however, slipped $1.45 or 4.03% in the after-hours trading.