- PulteGroup (PHM, Financial) reported Q1 2025 earnings of $2.57 per share, down from $3.10 per share in the previous year.
- The company closed 6,583 homes with a gross margin of 27.5%.
- PulteGroup repurchased $300 million worth of common shares during the quarter.
PulteGroup, Inc. (PHM) has released its financial results for the first quarter ending March 31, 2025. The company reported a net income of $523 million, translating to earnings of $2.57 per share. This marks a decrease from the prior year's earnings of $3.10 per share, which included a $38 million pre-tax gain from a joint venture sale and a $27 million pre-tax insurance benefit.
The home sale revenues for the quarter totaled $3.7 billion, experiencing a slight decline of 2% from the previous year. This was attributed to a 7% decrease in closing volume to 6,583 homes, even though the average sales price rose by 6% to $570,000. The home sale gross margin stood at 27.5%, down 210 basis points year-over-year, yet stable compared to the fourth quarter of 2024.
The company's net new orders reached 7,765 homes, valued at $4.5 billion, down from 8,379 homes valued at $4.7 billion in the previous year. This decrease was primarily due to affordability challenges and increased macroeconomic uncertainty.
During the first quarter, PulteGroup repurchased 2.8 million of its common shares for $300 million, averaging a repurchase price of $108.03 per share. The company concluded the quarter with a cash position of $1.3 billion and a debt-to-capital ratio of 11.7%.
PulteGroup continues to focus on its strategic operating model and disciplined underwriting processes to navigate the dynamic environment, according to CEO Ryan Marshall. The company remains optimistic about long-term housing demand despite short-term economic uncertainties impacting consumer demand.
