KB Home earnings fall, but orders increase
Los Angeles home builder KB Home posted lower earnings in the fiscal fourth quarter compared with a year earlier as the company sold fewer homes in higher cost areas. But another development signaled some cause for optimism: New orders for homes from the company grew.
The company reported net income of $13.9 million, or 18 cents a share, for the three months ending Nov. 30. That compared with $17.4 million, or 23 cents, during the same period a year earlier.
"We believe these results demonstrate our success in adapting to current market realities and positioning our business for the future,” Chief Executive Jeffrey Mezger said in a statement.
Revenues in the fourth quarter grew 6% over the previous year to $479.9 million, and net orders increased 38% to 1,494. For all of 2011, the company widened its net loss to $178.8 million. That compared with a 2010 loss of $69.4 million.
-- Alejandro Lazo
Photo: Associated Press