PulteGroup tops Q4 earnings estimates despite housing market challenges

Investing.com -- PulteGroup (NYSE: PHM) reported fourth-quarter earnings that exceeded analyst expectations, with shares edging up 0.3% following the announcement on Thursday.

The homebuilder posted adjusted earnings of $2.88 per share, beating the analyst consensus of $2.81. Revenue came in at $4.61 billion, surpassing estimates of $4.33 billion.

However, home sale revenues of $4.5 billion were 5% lower than the comparable prior year period, reflecting a 3% decrease in closings to 7,821 homes and a 1% decrease in average sales price to $573,000.

"PulteGroup’s fourth quarter and full year financial results reflect our balanced and disciplined approach to the business as we continue to successfully navigate today’s continuously shifting market dynamics," said PulteGroup President and CEO, Ryan Marshall. "While lower interest rates and more favorable pricing dynamics have worked to improve the overall affordability of new homes relative to a year ago, lagging consumer confidence continued to weigh on homebuyer demand in the quarter."

Net new orders for the fourth quarter increased 4% to 6,428 homes compared to the fourth quarter of 2024, with the value of net new orders holding steady at $3.5 billion. The company’s reported home sale gross margin was 24.7%, which includes $35 million in land impairment charges.

During the quarter, PulteGroup repurchased 2.4 million common shares for $300 million and ended the period with $2.0 billion in cash and a debt-to-capital ratio of 11.2%.

For the full year 2025, PulteGroup delivered 29,572 homes, generated $16.7 billion in home sale revenues, and reported net income of $2.2 billion.

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