KB Home (NYSE: KBH) reported third-quarter results on Wednesday that topped Wall Street’s profit expectations, though the homebuilder continued to face lower deliveries and narrowing margins.
The company posted earnings of $1.61 per share, exceeding analyst estimates of $1.50. Net income fell to $109.8 million, or $1.61 per share, compared with $157.3 million, or $2.04 per share, in the same period last year.
Revenue came in at $1.62 billion, ahead of expectations of $1.59 billion but below the $1.75 billion recorded a year earlier. Home deliveries declined 7% to 3,393, while the average selling price edged down to $475,700.
Housing gross profit margin slipped to 18.2% from 20.6% a year ago, pressured by price reductions and higher land costs.
For full-year 2025, KB Home forecast revenue between $6.1 billion and $6.2 billion, slightly below analysts’ estimate of $6.26 billion.
