FORT WASHINGTON, Pa., Dec. 06, 2022 (GLOBE NEWSWIRE) -- Toll Brothers, Inc. (NYSE:TOL) (TollBrothers.com), the nation's leading builder of luxury homes, today announced results for its fourth quarter ended October 31, 2022.
FY 2022's Fourth Quarter Financial Highlights (Compared to FY 2021's Fourth Quarter):
- Net income and earnings per share were $640.5 million and $5.63 per share diluted, compared to net income of $374.3 million and $3.02 per share diluted in FY 2021's fourth quarter. As previously disclosed, net income in the fourth quarter includes a $138.4 million net pre-tax benefit primarily related to the settlement of the Company's claims associated with a natural gas leak that occurred in Southern California in late 2015.
- Pre-tax income was $841.1 million, compared to $499.7 million in FY 2021's fourth quarter.
- Home sales revenues were $3.6 billion, up 21% compared to FY 2021's fourth quarter; delivered homes were 3,765, up 13%.
- Net signed contract value was $1.3 billion, down 56% compared to FY 2021's fourth quarter; contracted homes were 1,186, down 60%.
- Backlog value was $8.9 billion at fourth quarter end, down 7% compared to FY 2021's fourth quarter; homes in backlog were 8,098, down 21%.
- Home sales gross margin was 26.9%, compared to FY 2021's fourth quarter home sales gross margin of 23.5%.
Douglas C. Yearley, Jr., chairman and chief executive officer, stated: "Despite the many challenges facing our industry over the past year, we delivered record results in FY 2022, closing the year with our strongest quarterly earnings ever. In our fourth quarter, we delivered 3,765 homes, generated home sales revenues of $3.6 billion and increased earnings by 86% to $5.63 per share diluted as compared to Q4 2021. Driven by the strong pricing in our backlog, our fourth quarter adjusted gross margin was 29.0%, a 310-basis point increase compared to Q4 2021, and our fourth quarter SG&A expense, as a percentage of home sales revenues, improved by 110 basis points over Q4 2021 to 7.7%. For the year, we delivered over 10,500 homes and grew home sales revenues by 15.2%, posted an adjusted gross margin of 27.5%, decreased SG&A margin by 80 basis points and improved our return on beginning equity by 720 basis points to 24.3%. We earned a record $10.90 per share diluted and increased our book value to $54.79 per share. I am pleased with these results and proud of the extraordinary efforts of the entire Toll Brothers team.