Toll Brothers Earnings Call Insights: Geographies and Total Land Portfolio
Toll Brothers Inc (NYSE:TOL) recently reported its third quarter earnings and discussed the following topics in its earnings conference call.
John Coyle – Barclays Capital: It’s John, actually filling in for Steve. I just wanted to get an idea around geographies. Would you describe the environment that we’re in right now as normalized with regard to the differences across geographies, because the order rate across different regions vary pretty meaningfully. So, I just wanted to get any input you had there.
Douglas C. Yearley, Jr. – CEO: Sure. The differences by region are more due to our inventory, the communities we have opened, and within those communities, how many lots maybe available or how big our backlogs maybe, and therefore how aggressive we’ve been with pricing. Then they are a reflection of the economics of that region, so be careful when you study those stats and dig a little deeper there. In terms of how our various markets are doing, New York City Urban is still on top of the list, both Northern and Southern California are right behind. However, at the moment we’re in between some communities, so there’s one example of where we have less inventory at the moment. Texas still does very well for us. Florida has rebounded nicely even in the summer, and then of course, the Washington to Boston corridor, which is half of our business and which is the corridor that we dominate continues to do very well in almost every market through that area.
John Coyle – Barclays Capital: Then as far as order growth taken a higher level look, can you maybe give us some color on how order trends progressed over the course of the quarter? It seems like, just from your commentary, maybe August had a bit of softness, but just trying to get an idea of how things trended through July?
Douglas C. Yearley, Jr. – CEO: Gregg, can you breakdown?