Toll Brothers Inc., the largest luxury home developer in the US, posted third-quarter earnings that exceeded expectations.
The net income of the Horsham, Pennsylvania-based company was $61.6 million, or 36 cents per share, compared to $42.1 million or 25 cents per share for the same period last year. A survey of 18 analysts by Bloomberg predicted earnings of 18 cents a share. The third-quarter results for 2011 were also boosted by the inclusion of a $38.2 million tax benefit, Bloomberg reported.
The revenue for Toll Brothers reached $554.3 million in the three months ending in July 31, an increase from $394.3 million the year before. The developer constructed 963 homes in the third quarter, and pretax income surged over ten times to $43 million. The average price of the homes Toll built in the third quarter increased to $576,000 from $557,000 in the second quarter.
“Housing is on the mend,” executive chairman Robert Toll said in a statement. “We do, however, remain cautious in our optimism as we believe consumer confidence remains fragile and subject to the impact of negative economic and political headlines.”
Toll Brothers projects in New York include 303 East 33rd. in Murray Hill, The Touraine in the Upper East Side, 205 Water Street in Dumbo and Northside Piers in Williamsburg. The company is planning a 42-story, 363-unit condominium at 400 Park Avenue South, which will be designed by Christian de Portzamparc.