Beazer Homes Q4 Loss Widens On Falling Revenue

December 2, 2008 5:56 p.m. EST

Atlanta, GA (AHN) - Beazer Homes announced its fiscal fourth quarter loss more than tripled as revenue slid 35 percent due to plummeting home sales.

The homebuilder reported a fourth quarter loss of $473.9 million or $12.29 a share, much larger than the $155.2 million or $4.03 a share the company lost in the same period last year.

Revenue fell 35 percent to $712.6 million from $1.09 billion as home sales dropped 38.2 percent to 2,441 units. The average selling price of a home fell 9.9 percent in the quarter.

"Conditions in both the overall economy and housing market came under greater pressure during our fourth quarter and have continued to deteriorate since that time," said Ian J. McCarthy, President and CEO in a company statement.

Beazer did report a 10 percent increase in new orders to 1,083 units, up from 982 in the fourth quarter last year.

For the year ended Sept. 30, Beazer incurred a net loss of $951.2 million or $24.68 a share on revenue of $2.07 billion.

The company ended the fiscal year with a backlog of 1,358 units valued at $326.6 million, compared with 2,985 units last year with a value of$838.8 million.

Beazer ended the year with a cash position of $584.3 million, better than the $454.3 million on hand last year.

"As evidenced by our strengthened cash balance over the fiscal year, our efforts are helping us weather this unprecedented housing environment while positioning Beazer Homes for a return to profitability upon the market's eventual recovery," McCarthy said.

Shares of Beazer fell 8 percent on the news to $1.38 on Tuesday.