Beazer Homes Q1 Loss Narrows - Update

(RTTNews) - Beazer Homes USA Inc. (BZH) Thursday reported a loss for the first quarter that narrowed from last year, as homebuilding gross margins improved and average sales prices increased.

CEO Allan Merrill said, "Higher sales per community, average sales prices and gross margins led us to improved adjusted EBITDA and kept us on track to achieve full year profitability for Fiscal 2014."

Atlanta, Georgia-based Beazer Homes' first-quarter loss narrowed to $5.14 million or $0.21 per share from $20.39 million or $0.84 per share in the same quarter last year. On average, eleven analysts polled by Thomson Reuters expected a loss of $0.25 per share for the quarter. Analysts' estimates typically exclude special items.

Total revenues for the first quarter rose to $293.17 million from $246.90 million a year ago. Nine analysts had a consensus revenue estimate of $281.55 million for the quarter.

Total home closings were flat with last year at 1,038 with average sales prices from closing up 18.6 percent. Home building revenue climbed 18.6 percent to $290.0 million. Cancellation rates dropped to 21.8 percent from 26.4 percent last year.

Homebuilding gross margin, excluding impairments and abandonments and interest amortized to cost of sales, rose to 21.2 percent from 18.1 percent last year. Meanwhile, new home orders dropped 4 percent to 895 from 932 last year.

BZH is currently trading at $22.30, down $0.46 or 2.02%, on the New York Stock Exchange.