Lennar Posts Fiscal Second Quarter Net Loss
- Jun 26, 2008
Miami–Lennar Corp.–the second-largest U.S. homebuilder–announced its fifth consecutive quarterly loss Thursday, Bloomberg said.The Miami-based company was forced to reduce prices to attract buyers. Its fiscal second quarter net loss was $121 million, compared to $244 million a year earlier. Revenue declined 61 percent to $1.1 billion. Deliveries fell 60 percent to 3,830 homes; new orders dropped 45 percent to 4,396. In the quarter ended May 31, the company’s cancellation rate was 22 percent; a year earlier, the cancellation rate was 29 percent. Lennar’s supply of under-contract homes still for sale declined 56 percent to $1.25 billion.In a statement, the company said it did not expect much improvement this year. “The remainder of 2008 will likely see further deterioration in overall market conditions,” Chief Executive Officer Stuart Miller said.