Lennar bounces after beating expectations for revenue, profit

Investing.com -- Lennar Corporation (NYSE:LEN) shares bounced in late trading after beating expectations on the top and bottom lines.

The company posted net earnings of $2.94 a share, excluding mark-to-market gains on technology investments, on revenue of $8 billion. 

Analysts expected home builder Lennar to report revenue of $7.2B and earnings per share of $2.31.

Deliveries totaled 17,074 homes, and new orders reached 17,885 in the second quarter, both above guidance.

Lennar Executive Chairman Stuart Miller said the housing market continued to normalize and recover from last year’s rapid interest rate increases. “As consumers have come to accept a ‘new normal’ range for interest rates, demand has accelerated, leaving the market to reconcile the chronic supply shortage derived from over a decade of production deficits. Simply put, America needs more housing, particularly affordable workforce housing, and demand is strong when price and interest rates are affordable."

Lennar said it expects to deliver between 17,750 to 18,250 homes in the third quarter, and for the full year 2023 it expects to deliver 68,000 to 70,000 homes, up from prior guidance of between 62,000 to 66,000 homes.

Shares hit a 52-week high on Wednesday ahead of its earnings report and are up 27% so far this year.