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Lennar Corporation Class A (LEN+0.34%) has submitted its 10-Q filing for the quarterly period ended February 28, 2025.
The filing includes financial statements for the quarter, showing an increase in revenues from home sales to $7.2 billion from $6.9 billion in the same quarter the previous year. The increase is attributed to a 6% rise in the number of home deliveries, partially offset by a 1% decrease in the average sales price of homes delivered.
Gross margins on home sales decreased to 18.7% from 21.8% in the previous year, primarily due to higher land costs and lower revenue per square foot, partially offset by decreased construction costs.
Selling, general, and administrative expenses increased to $615.7 million from $568.0 million, primarily due to higher marketing and selling expenses.
Net earnings attributable to Lennar were $519.5 million, down from $719.3 million in the previous year. The decrease in net earnings is attributed to lower gross margins and increased expenses.
Cash used in operating activities was $289 million, impacted by strategic land purchases and increased deposits and pre-acquisition costs on real estate.
Cash provided by investing activities was $21 million, primarily due to proceeds from the sale of an investment in a joint venture and sales of investments.
Cash used in financing activities totaled $2.1 billion, primarily due to repurchases of common stock and net repayments under Financial Services' warehouse facilities.
The company completed the spin-off of Millrose Properties, Inc. and acquired Rausch Coleman Homes during the quarter, expanding its footprint into new markets.
Lennar's Financial Services segment reported an increase in operating earnings to $142.9 million from $130.6 million, driven by higher volume from increased home deliveries.
The Multifamily segment reported breakeven results, compared to an operating loss in the previous year, while the Lennar Other segment reported an operating loss due to losses on technology investments.
At the end of the quarter, Lennar had $2.6 billion in cash and cash equivalents, with no outstanding borrowings under its revolving credit facility, providing approximately $5.3 billion of available capacity.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Lennar Corporation Class A quarterly 10-Q report dated April 4, 2025. To report an error, please email earnings@qz.com.