Lennar Corporation (LEN) stock fell by 7.31% after hours, following the announcement of Q4 earnings on Wednesday. The company missed both its ESP and revenue consensus estimates while showing YOY growth.
During regular trading, the stock was up by a slight 1.75% at the closing price of $113.09. Following the news, LEN plunged down to $104.82 at an after-hours’ volume of 518.91K shares.
The homebuilder Lennar Corporation (LEN) was founded in 1954. Currently, its market capitalization is $33.62B with 271.85 million outstanding shares.
LEN’s Q4 and Fiscal 2021 Earnings
On December 15, the company announced its fourth quarter and full fiscal year 2021, financial results. According to the results, the net earnings in the quarter were $1.2 billion, with a 35% year-over-year increase. Subsequently, the net earnings per diluted shares were $3.91, showing an increase of 39%. But the EPS missed the estimate of $4.15 per share due to losses on technology investments.
Moreover, the revenue was $8.4 billion in the fourth quarter of 2021, showing an increase of 24% year-over-year. While it did improve YOY, the revenue still missed the forecast of $8.506 billion.
Furthermore, in Q4, deliveries increased 11%, new orders 2% and back log 26% to 17,819 homes, 15,539 and 23,771 homes, respectively.
Future Guidance
In addition to the Q4 financial results, the company also provided guidance for its first quarter and full fiscal year 2022. LEN expects new orders between 14,800 and 15,100 in the Q1 FY2022.
Further, the company also expects around 12,500 delivers in Q1 and 67,000 in the full fiscal 2022.
Moreover, the expected average sale price is $460,000 approx. for the Q1 and full fiscal year 2022.
New Community Commitment
On November 18, the company announced its commitment to a new community built with Veev’s construction technology. Further, the commitment was done as a follow-on to the company’s investment in Veev’s $200-million financing rounds.
Veev is a building technology company that manufactures truly digital homes from the start. It does so by integrating technology throughout the home during the build, along with complete wall systems. LEN is working together with Veev for integrating technology solutions across the home building industry.
Further, the expected groundbreaking of the new Northern California community is expected in the coming months. The community comprises 102 attached homes built on Veev’s technology. In addition, this will be the largest community until now, to have been built and based on Veev’s proprietary design.
