Lennar reports a strong second quarter as ‘demand has accelerated’

Shares of Lennar Corp (NYSE: LEN) gained 2.0% in extended hours after the homebuilder reported better-than-expected results for its fiscal second quarter.

Lennar stock up on strong guidance

The stock is being rewarded for the raised guidance as well. Lennar now expects to deliver between 68,000 and 70,000 homes this year.

In comparison, analysts were at 63,755. In the earnings press release, Stuart Miller – the Executive Chairman of Lennar Corp said:

Lennar Corp Q2 earnings snapshot

• Earned $871.7 million versus the year-ago $1.32 billion
• Per-share earnings also tanked from $3.01 to $1.32
• Revenue declined 4.0% year-on-year to $8.05 billion
• Consensus was $2.33 a share on $7.22 billion revenue
• Deliveries climbed 3.0% to 17,074 – also ahead of estimates

New orders also surpassed estimates to come in at 17,885. According to Chairman Miller:

What else was noteworthy?

Other prominent figures in the earnings report include gross margin on home sales that improved to 22.5% in the recently concluded quarter. Chairman Miller added:

Wall Street currently has a consensus “overweight” rating on Lennar stock that’s already up more than 20% for the year at writing.