Toll Brothers shares dropped 6% due to disappointing earnings and increased pressure from higher interest rates, despite being up from last year. Q1 results missed expectations with a 5% revenue decline, lower gross margins, and an impairment, raising concerns about future performance and guidance credibility. The company's $6.9 billion backlog provides short-term stability, but long-term risks include potential margin erosion and price cuts due to weaker demand and its spec home inventory.
The fact that mortgage rates remain high is certainly taking a toll on signing activity in the housing market.
Toll Brothers, Inc. (NYSE:TOL ) Q1 2025 Earnings Conference Call February 19, 2025 8:30 AM ET Company Participants Douglas Yearley - Chief Executive Officer Marty Connor - Chief Financial Officer Conference Call Participants Stephen Kim - Evercore ISI John Lovallo - UBS Trevor Allinson - Wolfe Research Mike Dahl - RBC Capital Markets Michael Rehaut - JPMorgan Ivy Zelman - Zelman & Associates Rafe Jadrosich - Bank of America Alex Barron - Housing Research Center Operator Good morning, and welcome to the Toll Brothers First Quarter Fiscal Year 2025 Conference Call. All participants will be in listen-only mode.
TOL's fiscal first-quarter results reflect higher deliveries. Yet, margins remain under pressure.
Although the revenue and EPS for Toll Brothers (TOL) give a sense of how its business performed in the quarter ended January 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
February results from the latest Homebuilder Confidence Index were a bit of a disappointment earlier today.
Toll Brothers (TOL) came out with quarterly earnings of $1.75 per share, missing the Zacks Consensus Estimate of $1.99 per share. This compares to earnings of $2.25 per share a year ago.
'Fast Money' traders talk how to play Toll Brothers after stock sinks on earnings miss.
Toll Brothers, Inc. TOL will release its first-quarter financial results after the closing bell on Tuesday, Feb. 18.
TOL's fiscal first-quarter results are likely to reflect affordability issues and margin pressure amid strategic initiatives.
PHOENIXVILLE, PA — A new development has been proposed at the site of the Phoenixville Area School District's former Kindergarten Center, potentially bringing 93 new residential units to the borough, according to the developer and borough documents. The proposal, from Toll Brothers, would develop the school's land at 100 School Lane, as well as the nearby Phoenixville Industrial Complex at 41 S. 2nd Avenue. The 93 residential units will be comprised of various townhomes and twin residential buildings. The plan calls for building new private roads, addressing stormwater management, landscaping, and other related improvements. Two separate parcels, covering about three acres on the connected properties, would be donated to the borough for open space for the general public. The Phoenixville Planning Commission will address the development at their next meeting on Thursday, Feb. 13 at 6 p.m.
Beyond analysts' top -and-bottom-line estimates for Toll Brothers (TOL), evaluate projections for some of its key metrics to gain a better insight into how the business might have performed for the quarter ended January 2025.