Toll Brothers (NYSE:TOL) shares rose more than 2% on the back of better-than-expected fiscal first-quarter results. Home sales revenue of $1.75 billion also topped expectations of $1.73 billion.
Net income and earnings per share were $191.5 million and $1.70 per share diluted, compared to net income of $151.9 million and $1.24 per share diluted in FY 2022’s first quarter. Pre-tax income was $253.8 million, compared to $200.8 million in FY 2022’s first quarter.
Net signed contract value was $1.5 billion, down 51% compared to FY 2022’s first quarter; contracted homes were 1,461, down 50%.
Backlog value was $8.6 billion at first quarter end, down 21% compared to FY 2022’s first quarter; homes in backlog were 7,733, down 32%.
Other income, income from unconsolidated entities, and gross margin from land sales and other was $16.8 million. The Company repurchased approximately 187,300 shares at an average price of $49.95 per share for a total purchase price of approximately $9.4 million.
Said CEO Douglas Yearley, “We are very pleased with our strong first quarter results, as we exceeded the midpoint of our guidance on all key metrics. We delivered 1,826 homes and generated $1.75 billion in home building revenue, increased our adjusted gross margin by 190 basis points year-over-year to 27.5%, and decreased our SG&A expense, as a percentage of revenue, by 130 basis points compared to last year’s first quarter.”
TOLL shares increased in price $2.24, or 4%, to $58.01
