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Lennar Q3 Revenue Falls 8.7% to $8.05 Billion, Missing Estimates
Lennar missed Wall Street's revenue expectations in its third quarter, with sales falling 8.7% year on year to $8.05 billion against analyst estimates of $8.31 billion, a 3.2% miss. Adjusted earnings per share came in at $1.23, 4.5% below the consensus estimate of $1.29, while operating margin dropped to 5.7% from 7.9% a year earlier and backlog declined 4.5% year on year to $6.3 billion. Chief Executive Officer Stuart Miller said interest rates and consumer confidence constrained the improvement the company had anticipated going into the quarter, and Lennar responded by increasing sales incentives and adjusting prices, particularly in its largest markets of Texas and Florida, where resale listings have grown and intensified price competition. Chief Financial Officer Diane Bessette said the company's metrics remain dependent on market conditions, and management expects margins to stay under pressure as it works through higher-cost land acquired in a more favorable market, calling land the one input it cannot reengineer. Lennar offset some of the pressure with record-low construction cycle times of 116 days, unsold inventory reduced to 1.8 homes per community, and a 12% year-over-year cut in divisional headcount, while its asset-light model leaves 98% of land controlled and 2% owned. The stock traded at $79.54, up from $78.12 just before the earnings.
KB Home Set to Report Q3 Fiscal 2026 Results on Sept. 22
KB Home is scheduled to report its third-quarter fiscal 2026 results, for the period ended Aug. 31, on Sept. 22 after market close. The Zacks Consensus Estimate for adjusted earnings per share has remained unchanged at 88 cents over the past 30 days, a 45.3% decline from the year-ago quarter's $1.61 per share, while the consensus revenue estimate stands at $1.29 billion, down 20.2% year over year. KB Home expects housing revenues of $1.2-$1.35 billion, down from $1.61 billion a year ago, home deliveries of 2,600 to 2,800 units versus 3,393 units a year earlier, and adjusted housing gross margin of 16-16.6% versus 18.9%. The company guides selling, general and administrative expenses to 11.3-11.9% of housing revenues, compared with 10.7% a year ago. KB Home carries an Earnings ESP of -5.32% and a Zacks Rank #5 (Strong Sell), and the model does not predict an earnings beat this time around.
Barratt Redrow reported fiscal 2026 revenue of more than GBP6 billion, driven by higher home completions and a higher average selling price, with adjusted operating profit of GBP598.1 million slightly ahead of last year. Home completions rose 5% to 17,667, while adjusted profit before tax fell to GBP572.8 million on higher net interest costs and lower joint venture profits, and adjusted gross margin slipped to 15.3% with adjusted gross profit of GBP926.6 million. The company confirmed all GBP100 million of Redrow cost synergies in the second half, delivering a GBP73 million profit and loss benefit in FY26 and an expected annual contribution of approximately GBP95 million in FY27. Barratt Redrow ended the year with a net surplus position of GBP61.4 million, versus net indebtedness of GBP37 million a year earlier, and guided to FY27 completions of between 17,500 and 17,900, a year-end cash position of GBP400 million to GBP500 million, and a total capital return of GBP400 million including a GBP386 million share buyback plus an additional buyback of at least GBP100 million. Build cost inflation was 2% underlying for the year and is guided at 3% to 4% for the year ahead, while the land bank stands at 5.2 years of supply and the embedded gross margin fell 160 basis points to 17.3% from 18.9% at the end of December.
China Railway Assembly Under CSRC Investigation for Suspected Information Disclosure Violations
China Railway Assembly announced on September 18 that it had received a case filing notice from the China Securities Regulatory Commission that day. Because the company is suspected of violating laws and regulations on information disclosure, the CSRC has decided to open an investigation. After conducting an internal review, the company said the case may involve related business carried out before a change in its actual controller. After the change, the company stopped carrying out such business in accordance with relevant regulations, and it has not yet received the CSRC's final investigation conclusion. The company said all production and operating activities are proceeding normally, the above matter will not have a material impact on normal production and operations, and it will actively cooperate with the CSRC in all work during the investigation. China Railway Assembly is the only high-tech innovative prefabricated construction business platform under China Railway Group, with its actual controller being the State-owned Assets Supervision and Administration Commission of the State Council. In the first half of 2026, it achieved operating revenue of 882 million yuan, up 1.28 percent year on year, while net profit attributable to shareholders of the listed company was negative 49 million yuan, down 31.64 percent year on year. As of the close on September 18, the company's share price had fallen 31.72 percent cumulatively since the start of the year.
Lennar Q3 Earnings Miss Estimates as Housing Demand Softens
Lennar Corporation reported weaker-than-expected third-quarter fiscal 2026 results, with adjusted earnings of $1.23 per share missing the Zacks Consensus Estimate of $1.29 by 4.7% and falling 38.5% from $2.00 a year ago. Total revenues of $8.05 billion missed the consensus estimate of $8.33 billion by 3.4% and declined 8.6% year over year, as lower deliveries and weaker pricing weighed amid affordability pressure. Within the homebuilding segment, revenues decreased 6% year over year to $7.76 billion, home deliveries declined 3.4% to 20,840 homes, and the average sales price of homes delivered fell 2.9% to $372,000, reflecting about 12% in incentives. New orders dropped 9.2% to 20,879 homes and gross margin on home sales contracted to 15.8% from 17.5%. For the fourth quarter of fiscal 2026, Lennar expects new orders of 19,500-20,500 homes and deliveries of 22,000-23,000 homes, and management reduced its full-year fiscal 2026 delivery target to about 80,000-81,000 homes from 82,000-83,000, citing continued interest-rate pressure and weaker market conditions.
Lennar Cuts Full-Year 2026 Delivery Target Again as Q3 Earnings Fall
Lennar cut its full-year 2026 home delivery target for the second time, blaming rising mortgage rates and deteriorating market conditions, as third-quarter profit and revenue fell from a year earlier. The Miami-based homebuilder now expects to deliver between 80,000 and 81,000 homes for the full year, down from its previous guidance of 82,000 to 83,000, and below the 82,300 deliveries analysts polled by FactSet had expected. Third-quarter net earnings attributable to Lennar fell to $284 million, or $1.19 per diluted share, from $591 million, or $2.29 per diluted share, a year earlier, while adjusted earnings of $1.23 per diluted share missed the $1.28 analysts expected. Total revenue for the quarter ended Aug. 31 fell to $8.05 billion from $8.81 billion a year prior, short of the $8.32 billion analysts had expected, as deliveries slipped 3% year over year to 20,840 homes and new orders fell 9% to 20,879 homes. Executive chairman, chief executive officer and president Stuart Miller said the 30-year mortgage rate stood at approximately 6.8% at quarter end and has risen since, adding that consumer confidence has declined as rates and affordability drive more consumers to slow their purchase decisions. For the fourth quarter, Lennar guided for between 22,000 and 23,000 deliveries at an average price of $370,000 to $380,000, with gross margin on home sales of 15.5% to 16%.
Generac Soars 33% on Amazon Data Center Generator Deal
Generac struck a deal with Amazon to supply backup power generators for its data centers, sending the generator maker's shares up 33% in premarket trading. Initial deliveries are expected to total $2.4 billion between 2027 and 2028, and Generac also granted Amazon the right to buy up to $340 million worth of its stock; Amazon shares rose 1.3%. Lennar fell 1.2% after reporting third-quarter earnings of $1.19 per share, short of the $1.28 expected by analysts polled by FactSet and nearly half of what it saw this time last year, with revenue of $8.05 billion versus the $8.23 billion consensus estimate. Fluence Energy tumbled 22% after cutting its full-year guidance to $2.4 billion in revenue for 2026 from a prior range of $2.9 billion to $3.1 billion, and now anticipates a $200 million loss before interest, taxes, depreciation and amortization versus its previous guidance range of a $30 million loss to $10 million EBITDA. Nike rose 1.5% after announcing the appointment of Alexandre Arnault, Deputy CEO of LVMH's Moët Hennessy, to its board, and Arm Holdings gained roughly 4% after CEO Rene Haas told CNBC's Jim Cramer he is increasingly confident the company can meet demand for its new data center chip.
Apollo to Sell 30% Miller Homes Stake to Daiwa House
Apollo-managed funds have agreed to sell an approximately 30% minority stake in UK housebuilder Miller Homes to Daiwa House, with Apollo Funds remaining the controlling shareholder. Miller Homes, founded in 1934, is the UK's largest private housebuilder, completing approximately 5,000 homes a year across England, Scotland and Wales, and targets delivering 7,000 new homes per year. Daiwa House, a Japanese construction and real estate group operating in 28 countries with roughly 55,000 employees, said the investment will support Miller Homes' continued profitable growth and its multi-tenure model. The transaction is subject to closing conditions including regulatory approvals and is expected to close later this year. Rothschild & Co advised Apollo Funds and Miller Homes, while A&O Shearman and Paul, Weiss, Rifkind, Wharton & Garrison LLP provided legal counsel to Apollo Funds.
Lennar Misses Q3 CY2026 Revenue Estimates as Sales Fall 8.7%
Lennar missed Wall Street's revenue expectations in Q3 CY2026, with sales falling 8.7% year on year to $8.05 billion against analyst estimates of $8.31 billion, a 3.2% miss. GAAP profit came in at $1.19 per share, 7.6% below the consensus estimate of $1.29 and down from $2.31 in the same quarter last year. Operating margin narrowed to 5.5% from 7.9% a year earlier, while backlog stood at $6.3 billion at quarter end, down 4.5% year on year. Executive Chairman, Chief Executive Officer and President Stuart Miller said the results reflect a challenging economic environment that has deteriorated since the last earnings call. The stock traded down 2.5% to $76.28 immediately following the results.
Lennar Corporation reported third quarter 2026 net earnings attributable to Lennar of $284 million, or $1.19 per diluted share, down from $591 million, or $2.29 per diluted share, a year earlier. Excluding mark-to-market losses of $53 million on technology investments and one-time items of $39 million, net, in the Financial Services segment, earnings were $294 million, or $1.23 per diluted share. New orders fell 9% to 20,879 homes and deliveries slipped 3% to 20,840 homes, while total revenues came in at $8.0 billion and homebuilding operating earnings were $502 million. Gross margin on home sales was 15.8%, with S,G&A at 9.2% of home sales revenue and a net margin of 6.6%, and the company repurchased 3 million shares for $256 million while redeeming $400 million of 5.25% senior notes due June 2026. For the fourth quarter, Lennar guided to new orders of approximately 19,500 to 20,500 homes, deliveries of approximately 22,000 to 23,000 homes, an average sales price of $370,000 to $380,000, gross margin of 15.5% to 16.0% and SG&A of 8.7% to 9.0%, and it moderated its target full-year 2026 deliveries to approximately 80,000 to 81,000 homes from the 82,000 to 83,000 homes discussed last quarter.
Barratt Redrow FY 2026 Completions Rise 5% as Redrow Synergies Deliver £73 Million
Barratt Redrow reported a solid FY 2026 performance, completing 17,667 homes, up 5% year over year and toward the upper end of its prior guidance range, with revenue exceeding £6 billion. Adjusted profit before tax before purchase-price-accounting impacts fell to £572.8 million, as underlying selling-price deflation of just under 1%, targeted sales incentives and 2% build-cost inflation net of procurement synergies pushed adjusted gross margin down to 15.3% and operating margin down to 9.9% from 10.5% on an aggregated comparable basis. The company confirmed its Redrow integration is complete and its £100 million cost-synergy target validated, generating a £73 million profit-and-loss benefit in FY 2026, including £53 million of administrative expense savings, with most of the remaining synergies expected in FY 2027 to take the annual contribution to about £95 million. For FY 2027, Barratt Redrow maintained completion guidance of 17,500 to 17,900 homes and plans £400 million in total capital returns, including £386 million of share repurchases, while expecting £400 million to £500 million of net cash at year-end and forecasting approximately £300 million of building-safety spending. The company also said incoming Chief Executive Dean Banks and Chief Financial Officer Rebecca Napier had joined the business, while its outgoing chief executive will retire the following week.
M/I Homes Slips 7% in a Month Ahead of October 21 Earnings
M/I Homes ended its latest session at $142.33, up 1.22% while the S&P 500 fell 0.45%, but the homebuilder's stock is down 7% over the past month, a steeper drop than the Construction sector's 10.71% decline and worse than the S&P 500's 1.99% loss. The company is slated to report earnings on October 21, 2026, with analysts anticipating EPS of $3.05, a 26.33% fall from the same quarter a year earlier, and revenue of $1.09 billion, down 3.31%. For the full year, the Zacks Consensus Estimates project earnings of $12 per share and revenue of $4.18 billion, representing declines of 18.59% and 5.37% respectively from the prior year. Over the past month the Zacks Consensus EPS estimate has fallen 3.96%, and M/I Homes currently carries a Zacks Rank of #4 (Sell). The stock trades at a Forward P/E of 11.72 versus an industry average of 13.14, and the Building Products - Home Builders industry holds a Zacks Industry Rank of 181, placing it in the bottom 27% of more than 250 industries.
Lennar Set to Report Q3 Fiscal 2026 Results on Sept. 16
Lennar Corporation is set to report its third-quarter fiscal 2026 results on Sept. 16, after the closing bell, with the Zacks Consensus Estimate for earnings per share having moved down to $1.29 from $1.31 over the past seven days, a decline of 35.5% from the $2.00 per share reported a year earlier. The consensus mark for total revenues stands at $8.33 billion, down 5.4% from the year-ago figure of $8.81 billion. For the quarter, Lennar expects home deliveries between 20,500 and 21,500 units at an average selling price of $375,000 to $380,000, compared with 21,584 homes sold a year ago at an ASP of $383,000, and it expects home sales gross margin of approximately 16%, down from 17.5%, with EPS in the range of $1.20 to $1.40. New home orders are expected between 21,000 and 22,000 units, down from 23,004 units a year ago, while SG&A expenses as a percentage of home sales are projected at 8.8% to 9%, up from 8.2%. The company carries a Zacks Rank #4 (Sell) and an Earnings ESP of -0.78%, so the model does not conclusively predict an earnings beat.
MJ Gleeson Revenue Rises 12.1% to £410 Million as Profit Falls
MJ Gleeson reported a 12.1% rise in revenue to £410 million for the year ended June 2026, but adjusted profit before tax fell to £10.8 million as margin pressure in housebuilding and delayed land transactions weighed on earnings. Home completions rose nearly 10% to 1,968, including 320 homes delivered to partnership buyers, about 16% of total volume, and 301 homes sold to multi-unit buyers, roughly 15% of annual volume. Gleeson Homes' operating margin narrowed to 5.0% from 6.4%, with build-cost inflation of about 4.5% outpacing reservation selling-price growth of 2.2%, while the group booked £13.6 million in exceptional charges covering restructuring, site impairments and legacy adoption provisions. Gleeson Land completed five site sales but reported a £700,000 loss after three expected sales were delayed into the current year, including one particularly large transaction. The board proposed a final dividend of 1 pence per share, taking the full-year dividend to 5 pence, and said it expects fiscal 2027 results in line with market expectations, though land-sale timing remains uncertain.
BOXABL Appoints Larry King as CFO and Heather Clayton as CAO
BOXABL said on Tuesday it appointed Larry King as Chief Financial Officer and Heather Clayton as Chief Accounting Officer. King brings more than 35 years of finance, accounting, and operations experience, including SEC reporting, M&A, and operational turnarounds, and previously served as CFO of Chukchansi Gold Resort & Casino and Riviera Holdings. Clayton brings nearly 10 years of finance and accounting experience, including senior roles as CFO of ASTOUND Group and the Vegas Golden Knights. Shares of BOXABL rose 1.02 percent following the announcement.
Lennar Expected to Post 5.7% Revenue Decline in Q3 Earnings
Lennar is set to report third-quarter results on Wednesday after market hours, with the market expecting revenue to decline 5.7% year on year. The homebuilder missed analysts' revenue expectations last quarter, posting revenues of $7.94 billion, down 5.2% year on year, though it beat analysts' EPS estimates. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings, and Lennar has missed Wall Street's revenue estimates multiple times over the last two years. As the first among its peers to report this season, Lennar offers no read-across from rivals, but the whole sector has been hit hard over the last month, with stocks in Lennar's peer group down 9.2% on average while Lennar is down 7.6% over the same period.
Lennar Q3 Earnings Preview: EPS Seen at $1.29, Revenue at $8.37B
Lennar is scheduled to announce its Q3 earnings results on Tuesday, September 15th, after market close. The consensus EPS estimate is $1.29, down 35.5% year over year, and the consensus revenue estimate is $8.37B, down 5.0% year over year. Over the last two years, Lennar has beaten EPS estimates 63% of the time and revenue estimates 63% of the time. Over the last three months, EPS estimates have seen 0 upward revisions and 10 downward, while revenue estimates have seen 0 upward revisions and 6 downward.
Berkshire Hathaway CEO Greg Abel Buys Taylor Morrison, Repurchases Shares
Greg Abel, who succeeded Warren Buffett as Berkshire Hathaway's CEO at the beginning of 2026, has made a major acquisition by buying homebuilder Taylor Morrison and has been buying back many Berkshire Hathaway shares, boosting the value of the remaining shares. Abel has much of the Berkshire Hathaway stock portfolio invested in top holdings Apple, American Express, Coca-Cola, Alphabet, and Bank of America. Buffett, who built Berkshire Hathaway into a company now worth more than $1 trillion and increased its share price by more than 6,000,000% over 60 years, stepped down from the CEO post at the beginning of 2026 and just turned 96. The company operates as a true conglomerate, owning multiple insurance and energy operations along with GEICO, Benjamin Moore, McLane, NetJets, Dairy Queen International, See's Candies, Fruit of the Loom, Pilot Travel Centers, Berkshire Hathaway Home Services, and the entire BNSF railroad.
LGI Homes raised its full-year guidance for the second straight quarter after reporting second-quarter 2026 results on August 4. The homebuilder delivered 1,440 homes in the quarter, up 8.8% from a year earlier, on total revenue of $516 million, with homebuilding gross margin of 19.8% and adjusted gross margin of 23.2%, both ahead of the midpoint of its prior guidance range. Management now expects full-year homebuilding gross margin of 19.0% to 21.0%, adjusted gross margin of 22.5% to 24.5%, and an average sales price per home closed of $360,000 to $370,000, while keeping its full-year closings guidance at 4,600 to 5,400 homes. The company cut debt by $128.6 million in the quarter, ending June with a debt-to-capital ratio of 42.6%, a 220 basis point improvement from a year earlier, and liquidity of $468 million, and posted second-quarter net income of $27 million, or $1.16 per diluted share. Still, first-half homebuilding revenue fell 1.6% year over year to $821.2 million and standard home closings dropped 3.1% to 2,246, with total closings for the half up 1.6% to 2,356 only because that figure includes 110 currently and previously leased homes, while short interest sits at 21.29% of float.
Lennar Set to Report Q3 Earnings With $1.30 Per Share Expected
Lennar Corporation will release its third-quarter earnings report after the closing bell on Wednesday, Sept. 16. Analysts expect the company to report quarterly earnings of $1.30 per share, down from $2.00 per share in the year-ago period, on consensus revenue of $8.37 billion, compared with $8.81 billion last year. Ahead of the report, StoneX analyst Michael Rindos initiated coverage of Lennar on Sept. 4 with a Hold rating. Lennar currently carries an annual dividend yield of 2.57%, equal to a quarterly dividend of 50 cents per share, or $2.00 a year.
Real Estate Giants Ramp Up Data Center Development as AI Demand Pushes Market Past 5 Trillion Yen by 2028
Major real estate developers, including diversified developers, are stepping up data center development. According to the Ministry of Internal Affairs and Communications, the domestic market for related services is expected to exceed 5 trillion yen by 2028, and further growth is anticipated on the back of the artificial intelligence boom. Daiwa House Industry plans to build a total of 14 data centers in Inzai, Chiba Prefecture, breaking ground on the fifth in late September. In Okuma, Fukushima Prefecture, the first modular small-scale data center was completed in April, and the company has also decided to acquire Sumitomo Densetsu, which specializes in equipment installation. Mitsui Fudosan plans cumulative investment of more than 600 billion yen in data center-related projects through fiscal 2035, with development underway in four areas: Sagamihara, Hino in Tokyo, the Hokusetsu region of Osaka Prefecture, and the Tama area of Tokyo. In the Hino project, which uses the former site of a Hino Motors factory, the building height has been reduced in stages from an initial 80 meters to 63.5 meters in light of consultations with the local municipality, and site preparation work will begin in October. New entrants are also appearing one after another. Mitsubishi Estate set up a data center business office in April and has invested in multiple projects. A data center in Ishikari, Hokkaido, in which Tokyu Land Corporation took part as its first foray into development, began operating in August using 100 percent renewable energy, and the company is also advancing a new plan in Osaka.
Lennar Cut to Strong Sell as Q2 Revenue Misses and Guidance Falls
Lennar Corporation has been rated a Zacks Rank #5 (Strong Sell) as the homebuilder confronts the worst housing affordability environment in a generation. In its second quarter, Lennar delivered 20,519 homes and generated revenue of $7.9 billion, short of the roughly $8 billion consensus and down 5.2% year over year, with net margin at just 4.93% and shares falling about 5% on the news. Management cut full-year delivery guidance to 82,000 to 83,000 homes, citing what CFO Diane Bessette described as current pressures on interest rates and continued macro uncertainty, and guided fiscal third-quarter earnings to $1.20 to $1.40 per share on 20,500 to 21,500 deliveries with an average sales price of $375,000 to $380,000 and gross margin near 16%. The Zacks Consensus Estimate sits at $1.30 per share, a 35% plunge versus the year-ago period, while management flagged expected losses of roughly $15 million in Multifamily, $20 million in Lennar Other, and $15 million across homebuilding joint ventures and land sales. Shares recently traded near $78, roughly 44% below their 52-week high, with JPMorgan lowering its objective to $77 with an Underweight rating and Keefe Bruyette maintaining an Underperform rating, and the stock sits in the Zacks Building Products – Home Builders industry group, which ranks in the bottom 21% out of approximately 250 Zacks Ranked Industries.
Toll Brothers Reports Lower Profit but Stronger Contract Signings
Toll Brothers posted fiscal third-quarter earnings that showed a split housing market: net income fell to $280.1 million, or $2.97 per diluted share, from $369.6 million and $3.73 a year earlier, while net signed contracts rose to $2.52 billion from $2.41 billion. The company signed contracts for 2,508 homes, up from 2,388, and grew its community count to 471 from 420, with management expecting an 8% to 10% rise for the full fiscal year and similar growth in fiscal 2027. Deliveries shrank to 2,662 homes worth $2.65 billion from 2,959 homes and $2.88 billion, and backlog fell to $6.24 billion and 5,312 homes from $6.38 billion and 5,492 homes. Home sales gross margin compressed to 23.9% from 25.6%, and adjusted gross margin slipped to 25.6% from 27.5%, while SG&A costs rose to 10.0% of home sales revenue from 8.8%. The company repurchased 1.4 million shares at an average price of $148.63, spending $206.8 million, and raised its planned fiscal 2026 buyback to $700 million from $650 million. Full-year guidance held at roughly $10.5 billion in home sales revenue and a 26.1% adjusted gross margin.
Installed Building Products Reports Record Revenue but Margins Slip
Installed Building Products reported second-quarter net revenue of $777.8 million, a record for the period and up 2.3% from $760.3 million a year earlier, but profit and margins declined as residential weakness offset growth in other areas. Net income fell to $64.9 million, or $2.43 per diluted share, from $69.0 million and $2.52 a year ago, while adjusted EBITDA slid 2.3% to $130.9 million, with margin compressing to 16.9% from 17.6%. The company's other revenue, covering manufacturing and distribution, jumped 50.4% to $67.1 million, and commercial same-branch sales grew 10.4%, but residential same-branch installation sales fell 6.1%. Acquisitions, including Diamond Energy Systems, Harkraft, and Builders Hardware of South Carolina, added about $30 million in annual revenue, and the company expects to acquire at least $100 million in revenue for 2026. The board raised the quarterly dividend to $0.39 per share, a more than 5% increase, and the company repurchased about 365,000 shares for $76.2 million, with $398 million remaining under its buyback authorization.
First Jutaku Posts 12% Rise in Ordinary Profit for Nov-Jul Period
First Jutaku announced after the close on September 4 that its consolidated ordinary profit for the third quarter cumulative period (November 2025-July 2026) of the fiscal year ending October 2026 increased by 12.2% year on year to 1.86 billion yen, reaching a progress rate of 74.7% against the full-year plan of 2.5 billion yen, exceeding the five-year average of 70.8%. For the most recent three months, May-July, ordinary profit rose 9.2% year on year to 640 million yen, with the operating margin on sales improving from 6.3% to 7.1%. Meanwhile, based on the company's unchanged full-year plan, the estimated ordinary profit for August-October is expected to decline by 8.0% year on year to 630 million yen.
Daiwa House to Withdraw from New Detached Home Sales in 23 Prefectures
Daiwa House Industry announced on the 4th that it will withdraw from the new detached home business in 23 prefectures, including Hokkaido and Kagoshima Prefecture. This is due to the long-term decline in the number of new detached home starts, caused by rising material and construction costs and population decline. From April 2027, the company will focus its operations on urban areas such as Tokyo and Osaka. Meanwhile, it will strengthen its stock business, which includes remodeling and rental management of existing homes, an area expected to grow. The detached home business currently has bases in 45 prefectures, excluding Yamagata and Okinawa, but the withdrawal will eliminate new construction operations in Hokkaido and the Tohoku region. Accordingly, the company plans to reassign approximately 200 employees. Sales of custom-built homes in the withdrawal areas will end by the end of this month, while sales of built-for-sale homes will continue until the end of March next year.
Daiwa House to Withdraw from New Detached Home Sales in 23 Prefectures
Daiwa House Industry announced on the 4th that it will withdraw from the new detached housing business in 23 prefectures, including Hokkaido and Kagoshima Prefecture. This is due to the long-term decline in the number of new detached house starts, caused by rising material and construction costs and population decline. From April 2027, the company will focus its operations on urban areas such as Tokyo and Osaka. Meanwhile, it will strengthen its stock business, which involves renovation of existing homes and rental management, where growth is expected. The detached housing business currently has bases in 45 prefectures, excluding Yamagata and Okinawa, but the withdrawal will eliminate new construction operations in Hokkaido and the Tohoku region. Accordingly, the company plans to reassign about 200 employees, with sales of custom-built homes in the withdrawal areas ending by the end of this month and sales of built-for-sale homes ending by the end of March next year.
LGI Homes Reports 9.9% Rise in August Home Closings
LGI Homes, Inc. announced it closed 409 homes in August 2026, a 9.9% increase from 372 homes closed in the same month last year. The total includes 9 currently or previously leased single-family rental homes. As of August 31, 2026, the company had 153 active selling communities. LGI Homes, headquartered in The Woodlands, Texas, operates across 36 markets in 21 states and has closed over 80,000 homes since its founding in 2003.
Cairn Homes H1 Revenue Surges 60%, Guidance Upgraded
Cairn Homes PLC reported a record first half with revenue up 60% year-on-year to EUR455 million and operating profit up 75% to EUR74.8 million, prompting an upgrade to full-year 2026 guidance. The company now expects revenue of circa EUR1.08 billion, operating profit of circa EUR185 million, and an improved return on equity of 17%. Homes sold rose approximately 60% to 1,139, with the average selling price up 1.6% to EUR393,000. Profit after tax increased 84% to EUR58.4 million, and earnings per share rose 82% to EUR0.093. The interim dividend was increased by 10% to EUR0.045 per share, and a new EUR50 million share buyback program was announced. Net debt fell to EUR194.5 million from EUR307 million, and the forward order book stands at over 5,000 homes valued at nearly EUR1.9 billion, providing visibility into 2028.
Berkshire and JPMorgan Bet Big on Housing Market Rebound
Berkshire Hathaway and JPMorgan Chase have made significant investments in the housing industry, signaling a potential rebound. Berkshire completed its $6.8 billion acquisition of homebuilder Taylor Morrison on July 24, adding to its Clayton Properties Group, which together delivered 23,000 closings in 2025 across 21 states. This purchase, part of a broader strategy to streamline operations and improve margins, reduced Berkshire's cash pile from nearly $400 billion to $365 billion. Meanwhile, JPMorgan Chase committed $750 billion through 2035 to help build or preserve 1 million affordable housing units and assist 500,000 customers in purchasing homes, a 40% increase from its previous commitment. The bank's home loan revenue rose 3% year over year in the second quarter, and the investment aims to boost originations and lower default rates despite high mortgage rates.
Toll Brothers reported fiscal third-quarter 2026 results that beat Wall Street expectations, with earnings per diluted share of $2.97 versus the consensus estimate of $2.93. Home sales revenues reached $2.65 billion from 2,662 deliveries, and net income totaled $280.1 million, while adjusted home sales gross margin hit 25.6%, exceeding guidance by 35 basis points. Net signed contracts rose 5% year-over-year to 2,508 homes valued at $2.52 billion, and the company raised its full-year share repurchase target to $700 million. Analysts responded positively, with UBS raising its price target to $195 and Citi to $179, both maintaining Buy ratings. The company faces a debate on whether its affluent, cash-heavy customer base can withstand high mortgage rates, with about 25% of buyers paying cash, but also faces risks from margin compression and rising land write-offs. Investors should watch community expansion targets of 480–490 by year-end and Q4 delivery guidance of 3,450–3,550 units.
Nanshan Holdings posts 639 million yuan loss in first half of 2026
Nanshan Holdings disclosed its 2026 semi-annual report on August 29. In the first half, it achieved total operating revenue of 3.058 billion yuan, down 47.11 percent year on year. Net profit attributable to the parent company was a loss of 639 million yuan, compared with a profit of 91.5298 million yuan in the same period last year. Net profit after deducting non-recurring items was a loss of 640 million yuan, compared with a profit of 90.9456 million yuan a year earlier. Net cash flow from operating activities was 1.897 billion yuan, up 63.35 percent year on year. Basic earnings per share were negative 0.24 yuan, and the weighted average return on net assets was negative 9.74 percent. The company's main businesses include warehousing and logistics, real estate development, manufacturing, industrial parks, new energy, and petroleum logistics services. As of the end of the first half, the book value of the company's inventory was 10.862 billion yuan, accounting for 174.01 percent of net assets. Inventory write-down provisions amounted to 2.211 billion yuan, with a provision ratio of 16.91 percent.
Nanshan Holdings posts net loss of 639 million yuan in 2026 interim report
Nanshan Holdings released its 2026 interim report, showing total operating revenue of 3.058 billion yuan, down 47.11 percent year on year. Net profit attributable to the parent swung to a loss of 639 million yuan, a decline of 797.89 percent. Net cash inflow from operating activities was 1.897 billion yuan, up 63.35 percent year on year, rising for a second consecutive year. The asset-liability ratio climbed to 77.32 percent, gross margin fell to 19.30 percent, and return on equity was negative 10.23 percent. Diluted earnings per share were negative 0.24 yuan, down 900 percent year on year.
Hovnanian's Turnaround Bet Meets Choppier Housing Market
Hovnanian Enterprises reported third-quarter results that showed a revenue decline to $705.7 million from $800.6 million a year earlier, along with a net loss of $0.70 per diluted share, but the company highlighted a 5.1% rise in backlog value to $881.9 million and record land efficiency as signs of a longer-term turnaround. Adjusted homebuilding gross margin improved to 14.6%, with guidance for 15% to 16.5% in the fourth quarter, supported by newer communities priced with today's higher incentives. The company's land strategy now has 87% of controlled lots optioned rather than owned, the highest share in its history, and total liquidity stands at $379.8 million, well above its target range. However, adjusted pretax income fell to a loss of $2.3 million, marking the first miss of guidance in 23 quarters, due to delayed deliveries at joint ventures, and consolidated domestic contracts slipped 4.6% to 1,155 homes. Hedge fund ownership increased from 18 to 25 funds, while short interest is at 7.99% of float, and the stock trades at a forward P/E of 13.50 as of August 28.
Berkshire Hathaway Completes $6.8 Billion Taylor Morrison Acquisition
Berkshire Hathaway, a US$1.1b diversified financial group, has completed a US$6.8b acquisition of Taylor Morrison, signaling a housing-focused move under new CEO Greg Abel. The company has also expanded positions in several large US homebuilders alongside the Taylor Morrison deal, pointing to a long-term commitment to the US housing market and domestic economic fundamentals. This renewed focus on housing and construction feeds into a broader set of opportunities in real assets and cyclical sectors. For investors, the acquisition reinforces Berkshire's leaning into real assets tied to long-term US economic activity, supporting its view as a diversified operator. However, it also adds pressure on concerns that earnings may decline by an average of 7.2% a year, making execution on housing investments more critical. The next annual shareholder letter and 10-K will provide clarity on how these housing-related results compare with group earnings trends.
Nanshan Holdings posts first-half loss of 639 million yuan, revenue down 47.1% year on year
Nanshan Holdings released its 2026 interim report, showing first-half operating revenue of 3.06 billion yuan, down 47.1% year on year, and a net loss attributable to the parent of 639 million yuan, down 797.9% year on year. In the second quarter, the company's operating revenue was 1.69 billion yuan, down 1.7% year on year, while the net loss attributable to the parent was 496 million yuan, widening from 153 million yuan in the same period last year. As of the end of the second quarter, the company's total assets stood at 58.028 billion yuan, down 3.1% from the end of the previous year, and net assets attributable to the parent were 6.242 billion yuan, down 9.2% from the end of the previous year. In the interim report, the company noted that in warehousing and logistics, Baowan Logistics maintained its leading position and expanded its asset-light business; in real estate development, it adhered to a stability-first approach and focused on unlocking value from existing projects; and in manufacturing, it focused on shipbuilding and marine engineering, new energy infrastructure and other areas while advancing its international expansion.
Toll Brothers Boosts EPS via Buybacks as Profits Decline
Toll Brothers has increased its earnings per share over the past three years despite falling net income, driven by aggressive share buybacks. The luxury homebuilder has retired about 5.1% of its shares annually on average, while net income fell 2.8% per year, resulting in EPS growth of 2.3% annually. The company's average home sells for about $1.35 million, and upgrades and options averaged $207,000 per home in fiscal Q3 2026. Management prioritizes growth, spending roughly $452 million on land acquisition in that quarter, while raising its fiscal 2026 repurchase plan to $700 million from $650 million. With net debt at about 1.1 times EBITDA and a shareholder yield of 5.3%, the stock trades at 10.9 times trailing earnings, but management has not yet called a bottom in the housing market.
China Railway Prefabricated Construction reports first-half 2026 net loss of 48.67 million yuan
China Railway Prefabricated Construction released its 2026 interim report. Total operating revenue was 882 million yuan, up 1.28 percent year on year, marking a fourth consecutive year of growth. Net profit attributable to the parent company was a loss of 48.67 million yuan, with the loss widening from a year earlier and decreasing by 11.70 million yuan compared with the same period last year. Net cash flow from operating activities was negative 66.46 million yuan, down 277.30 percent year on year. The company's asset-liability ratio was 83.76 percent, gross margin was 4.83 percent, return on equity was negative 7.00 percent, and diluted earnings per share was negative 0.20 yuan. The number of shareholders was 18,500, and the top ten shareholders held 52.97 percent of total share capital.
FTSE closes up 0.3% on government plan to invest 10 billion pounds in affordable housing
British stocks closed higher on Tuesday, with the FTSE 100 index ending at 10,886.16 points, up 31.84 points or 0.29%, supported by the UK government's announcement of a 10 billion pound ($13.6 billion) plan to build affordable housing for renters, particularly in London. About 60% of the homes built with government funds will be social housing, which lifted homebuilder stocks by 2.5%. Vistry shares surged 16.3% after receiving an initial 350 million pounds ($477.19 million) to build more than 3,000 affordable homes. Meanwhile, mining stocks such as Glencore and Anglo American rose about 2% on higher copper prices, and Melrose Industries jumped 10.4% after setting a target to resume full production at its Garden Grove plant on September 28. Next shares gained 2.4% after Citigroup upgraded its recommendation to "buy." However, BP and Shell shares slipped slightly as oil prices fell more than 3%. Investors are watching Nvidia's earnings on Wednesday and comments from Federal Reserve Chair Kevin Warsh at the Jackson Hole meeting on Friday.
Tama Home's housing business falls into operating loss for fiscal year ending May 2026
In Tama Home's consolidated results for the fiscal year ending May 2026, its core housing business fell into the red with a segment loss of 1 billion yen. Company-wide operating profit was 3.8 billion yen, down 6.6% from the previous year, supported by a segment profit of 3.5 billion yen from the real estate business. The number of custom-built homes delivered fell 7.5% to 5,176 units, and orders also fell below the previous year in both units and value. The company plans operating profit of 7.5 billion yen for the fiscal year ending May 2027, an increase of 95.2%, but this assumes the housing business returns to profitability. The share price recently stood at 3,095 yen, up 3.2% from the previous day, recovering close to its one-month ceiling.