Forestar Group Inc. reported robust first-quarter revenue growth of 9% to $273 million, despite a slight decline in net income, showcasing resilience amid challenging market conditions.
- Net income decreased to $15.4 million, or $0.30 per diluted share, while revenues rose 9% year-over-year.
- Strong contracted backlog of $2.2 billion, indicating stable future revenue generation.
- Liquidity remains solid at $820 million, with disciplined investments: 75% in land development and 25% in acquisitions.
- Average sales price of delivered lots impacted by mix; gross profit margin at 20.1%, adjusted gross margin would be 21.5% excluding low-margin track sale.
- Continued strategic partnership growth with D.R. Horton, aiming for one-third of homes sold to be on Forestar-developed lots.
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