Lennar Corp reports £650 million of net earnings in the fourth quarter

Lennar Corp (NYSE: LEN) said on Wednesday that its net earnings in the fiscal fourth quarter printed at £650.40 million that translates to £2.08 per share. In the same quarter last year, its net earnings were capped at £496.79 million or £1.57 per share.

Lennar Corp shares (read more: how to buy stocks) were reported about 4% up in after-hours trading on Wednesday. On a year-to-date basis, the stock is now more than 30% up after an over 150% recovery since its low in March.

Lennar Corp’s net margin jumps to 17.4% in Q4

Lennar Corp said that its revenue in the fourth quarter came in at £5.01 billion that represents a 2% annualised growth. At £810 million, homebuilding operating earnings were up from £657.54 million in the same quarter last year.

The home construction company also highlighted that its net margin in Q4 on home sales jumped to 17.4% versus 13.9% last year. It was the highest that Lennar Corp has achieved for net margin in history. Lennar Corp paid £21.37 million for Homestead land parcel to build homes and townhouses in November.

Other prominent figures in the Miami-based company’s financial report on Wednesday include £111.40 million of operating earnings from financial services versus the year-ago figure of £55.11 million. Multifamily operating earnings stood at £19.67 million in the recent quarter as compared to £2.73 million in Q4 of last year.

Lennar also reported £880 million of Other operating loss in the fourth quarter versus £7.88 million of earnings last year. The real estate firm had also topped analysts’ estimates in the fiscal third quarter, as per the report published in September.

Lennar Corp’s financial results for fiscal 2020

For fiscal 2020 as a whole, Lennar Corp noted a 1% year over year increase in revenue, a 3% growth increase in deliveries, and a 9% growth in new orders. The U.S. company earned £1.84 billion in fiscal 2020 or £5.78 per share.

The NYSE listed company revealed to have delivered 16,090 homes in Q4 that represents a 2% year over year decline. New orders, Lennar added, saw a 16% annualised growth in the recent quarter.

Lennar Corp performed largely upbeat in the stock market last year with an annual gain of roughly 40%. At the time of writing, it is valued at £16.71 billion and has a price to earnings ratio of 10.33.