KB Home (NYSE: KBH) shares were trading around 4% lower after-hours following disappointing Q1 results, with EPS of $1.47 coming in worse than the consensus estimate of $1.56. Revenue grew 23% year-over-year to $1.4 billion, missing the consensus estimate of $1.5 billion.

Ending backlog grew 29% to 11,886 homes, with an ending backlog value of $5.71 billion (up 55%), representing the company’s highest first-quarter level since 2007.

According to Jeffrey Mezger, President, Chairman and CEO of the company, supply chain issues worsened and an already-constrained construction labor force was stressed to a greater extent, resulting in the prolonging of the build times and delayed completions and planned deliveries.

The company provided its full 2022-year outlook, expecting housing revenues to range from $7.20 billion to $7.60 billion, with an average selling price of $490,000-$500,000.

Davit Kirakosyan