Hovnanian Enterprises Earnings: Here’s Why Shares are Up Now
Hovnanian Enterprises Inc. (NYSE:HOV) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 0.39%.
Hovnanian Enterprises Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 76% to $0.06 in the quarter versus EPS of $0.25 in the year-earlier quarter.
Revenue: Rose 23.61% to $478.4 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Hovnanian Enterprises Inc. reported adjusted EPS income of $0.06 per share. By that measure, the company missed the mean analyst estimate of $0.07. It missed the average revenue estimate of $504.7 million.
Quoting Management: “For the third quarter of 2013, we reported net income of $8 million. This is the second consecutive quarter that we reported net income and just about gets us to breakeven for the first 9 months of 2013. Given both the number of homes in our contract backlog and the gross margins on these homes, we expect to report much stronger results for our fourth quarter, assuming market conditions remain stable, and we are reiterating that our guidance, that we expect to be profitable for all of fiscal ’13.” said Ara Hovnanian, Chairman, President and Chief Executive Officer.
Key Stats (on next page)…