Market Overview

Lennar Reports Third Quarter EPS of $2.12

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MIAMI, Sept. 14, 2020 /PRNewswire/ --

  • Net earnings of $666.4 million, or $2.12 per diluted share, compared to net earnings of $513.4 million, or $1.59 per diluted share – up 30% and 33%, respectively
  • Deliveries of 13,842 homes – up 2%
  • New orders of 15,564 homes – up 16%; new orders dollar value of $6.3 billion – up 20%
  • Backlog of 19,697 homes – up 4%; backlog dollar value of $7.9 billion – up 4%
  • Revenues of $5.9 billion – consistent with prior year
  • Homebuilding operating margins of $832.0 million, compared to $657.1 million
    • Gross margin on home sales of 23.1%, compared to 20.4%
    • S,G&A expenses as a % of revenues from home sales of 8.0%, compared to 8.3%
    • Operating margin on home sales of 15.1%, compared to 12.0%
  • Financial Services operating earnings of $135.1 million, compared to $74.7 million
  • Multifamily operating loss of $5.1 million, compared to operating earnings of $10.2 million
  • Lennar Other operating earnings of $8.0 million, compared to $15.8 million
  • Homebuilding cash and cash equivalents of $2.0 billion
  • No borrowings under the Company's $2.4 billion revolving credit facility
  • Paid down approximately $400 million of debt during the quarter
  • Homebuilding debt to total capital of 29.5%, compared to 37.1%

Lennar Corporation (NYSE:LEN), one of the nation's leading homebuilders, today reported results for its third quarter ended August 31, 2020. Third quarter net earnings attributable to Lennar in 2020 were $666.4 million, or $2.12 per diluted share, compared to third quarter net earnings attributable to Lennar in 2019 of $513.4 million, or $1.59 per diluted share.

Stuart Miller, Executive Chairman of Lennar, said, "We are pleased to announce our results for the third quarter where we achieved net earnings of $666.4 million, or $2.12 per diluted share, compared to $513.4 million, or $1.59 per diluted share in the prior year. Our third quarter results benefited from robust market conditions combined with the solid execution of our homebuilding and financial services businesses. Fundamentals in the housing market continued to remain strong supported by record low interest rates and a continued undersupply of new and existing inventory. The housing market continued its strong rebound from the significantly weaker sales environment earlier in the year as a result of COVID-19."

Mr. Miller continued, "During the quarter, we used the strength of the homebuilding market to accelerate starts to catch up on production lost earlier in the year. We carefully matched new orders and starts, with a continued focus on cash management which has led to greater returns. In the third quarter, new orders and starts were up 16% and 17%, respectively, over last year. As expected, our new home deliveries, limited by the production pause in the second quarter, increased only 2% over last year, but our gross margin climbed to 23.1%, a 270 basis point increase over the prior year, and our net margin reached an all-time, third quarter high of 15.1%. Additionally, we paid off approximately $400 million of debt during the quarter, had no borrowings under our $2.4 billion revolving credit facility and ended the quarter with $2.0 billion in cash and homebuilding debt to capital ratio of 29.5%, an all-time low."

"Balancing the early year pause with currently robust market conditions, we expect fourth quarter closings of 15,500 - 16,000 homes with gross margins in the 23.25% - 23.5% range. Given strong demand and limited new and existing home inventory, we expect home sales to remain strong for the foreseeable future. As we maintain a balance between sales and deliveries, we expect fourth quarter sales between 13,800 and 14,300 homes."

Rick Beckwitt, Chief Executive Officer of Lennar, said, "New home sales strengthened across the country in all of our major markets during the third quarter. Our sales pace was 4.2 homes per community in the third quarter, compared to 3.4 in the prior year. Our laser-focus on improving our SG&A leverage combined with the benefits of our technology efforts resulted in an SG&A percentage of 8.0%, an all-time, third quarter low. In addition, our financial services business again performed extremely well with third quarter earnings of $135.1 million, an all-time, third quarter high."

Jon Jaffe, President of Lennar, said, "We continued to make significant progress towards becoming a land lighter company by improving our controlled percentage of total homesites by 500 basis points to 35% at the end of the third quarter from 30% in the third quarter last year, while reducing our years owned supply of homesites to 3.8 years from 4.4 at the end of last year's third quarter. Additionally, our intense focus on construction costs helped drive margin, despite our average sales price on homes delivered remaining flat. We continue to be focused on mitigating the impact of limited availability of labor and materials in certain of our markets."

Mr. Miller concluded, "The housing market has proven to be resilient in the current environment and we expect it to continue to be a significant driver in the recovery of the overall economy. With an excellent balance sheet, strong cash flow generation and continued execution of our core operating strategies, we expect to end 2020 with another very strong quarter and be extremely well positioned for an even stronger 2021."



RESULTS OF OPERATIONS

THREE MONTHS ENDED AUGUST 31, 2020 COMPARED TO
THREE MONTHS ENDED AUGUST 31, 2019

Homebuilding

Revenues from home sales increased 3% in the third quarter of 2020 to $5.5 billion from $5.3 billion in the third quarter of 2019. Revenues were higher primarily due to a 2% increase in the number of home deliveries, excluding unconsolidated entities, and a 1% increase in the average sales price of homes delivered. New home deliveries, excluding unconsolidated entities, increased to 13,809 homes in the third quarter of 2020 from 13,513 homes in the third quarter of 2019. The average sales price of homes delivered was $396,000 in the third quarter of 2020, compared to $394,000 in the third quarter of 2019.

Gross margin on home sales were $1.3 billion, or 23.1%, in the third quarter of 2020, compared to $1.1 billion, or 20.4%, in the third quarter of 2019. The gross margin percentage on home sales increased primarily due to the Company's focus on reducing construction costs.

Selling, general and administrative expenses were $435.9 million in the third quarter of 2020, compared to $444.7 million in the third quarter of 2019. As a percentage of revenues from home sales, selling, general and administrative expenses improved to 8.0% in the third quarter of 2020, from 8.3% in the third quarter of 2019 as the Company focused on improving its leverage combined with the benefits of the Company's technology efforts.

Financial Services

Operating earnings for the Financial Services segment were $135.1 million in the third quarter of 2020, compared to $74.7 million ($78.8 million net of noncontrolling interests) in the third quarter of 2019. Operating earnings increased due to an improvement in the mortgage business as a result of an increase in volume and margin. Additionally, operating earnings of the Company's title business increased primarily due to an increase in volume.

Other Ancillary Businesses

Operating loss for the Multifamily segment was $5.1 million in the third quarter of 2020, compared to operating earnings of $10.2 million ($10.5 million net of noncontrolling interests) in the third quarter of 2019, which included the sale of an operating property. Operating earnings for the Lennar Other segment were $8.0 million in the third quarter of 2020, compared to $15.8 million ($15.9 million net of noncontrolling interests) in the third quarter of 2019.

RESULTS OF OPERATIONS

NINE MONTHS ENDED AUGUST 31, 2020 COMPARED TO
NINE MONTHS ENDED AUGUST 31, 2019

Homebuilding

Revenues from home sales increased 3% in the nine months ended August 31, 2020 to $14.5 billion from $14.1 billion in the nine months ended August 31, 2019. Revenues were higher primarily due to a 5% increase in the number of home deliveries, excluding unconsolidated entities. New home deliveries, excluding unconsolidated entities, increased to 36,775 homes in the nine months ended August 31, 2020 from 35,021 homes in the nine months ended August 31, 2019. The average sales price of homes delivered was $395,000 in the nine months ended August 31, 2020, compared to $403,000 in the nine months ended August 31, 2019. The decrease in average sales price primarily resulted from continuing to shift to lower-priced communities and regional product mix due to COVID-19 stay-at-home orders in certain higher priced markets.

Gross margin on home sales were $3.2 billion, or 21.8%, in the nine months ended August 31, 2020, compared to $2.9 billion or 20.2%, in the nine months ended August 31, 2019. The gross margin percentage on home sales increased primarily due to the Company's continued focus on reducing construction costs. Loss on land sales in the nine months ended August 31, 2020 was $21.9 million, primarily due to a write-off of costs in the second quarter of 2020 as a result of Lennar not moving forward with a naval base development in Concord, California, northeast of San Francisco. Gross margin on land sales were $14.9 million in the nine months ended August 31, 2019.

Selling, general and administrative expenses were $1.2 billion in both the nine months ended August 31, 2020 and 2019. As a percentage of revenues from home sales, selling, general and administrative expenses improved to 8.4% in the nine months ended August 31, 2020, from 8.7% in the nine months ended August 31, 2019.

Financial Services

Operating earnings for the Financial Services segment were $329.7 million ($343.8 million net of noncontrolling interests) in the nine months ended August 31, 2020, compared to $149.9 million ($163.0 million net of noncontrolling interests) in the nine months ended August 31, 2019. Operating earnings increased due to an improvement in the mortgage and title businesses as a result of an increase in volume and margin, as well as reductions in loan origination costs. Additionally, in the second quarter of 2020, the Financial Services segment recorded a $61.4 million gain on the deconsolidation of a previously consolidated entity.

Other Ancillary Businesses

Operating loss for the Multifamily segment was $4.0 million in the nine months ended August 31, 2020, compared to operating earnings of $12.7 million ($13.4 million net of noncontrolling interests) in the nine months ended August 31, 2019. Operating loss for the Lennar Other segment was $9.1 million in the nine months ended August 31, 2020, compared to operating earnings of $20.7 million ($21.2 million net of noncontrolling interests) in the nine months ended August 31, 2019.

Tax Rate

For the nine months ended August 31, 2020 and 2019, the Company had a tax provision of $382.5 million and $374.7 million, respectively, which resulted in an overall effective income tax rate of 19.5% and 24.2%, respectively. The reduction in the overall effective income tax rate is primarily due to the extension of the new energy efficient home tax credit during the first quarter of 2020.

Liquidity

At August 31, 2020, the Company had $2.0 billion of Homebuilding cash and cash equivalents and no outstanding borrowings under its $2.4 billion revolving credit facility, thereby providing $4.4 billion of available capacity.

Fourth Quarter 2020 Guidance

The following are the Company's expected results of its homebuilding and financial services activities during the fourth quarter of fiscal year 2020:

New Orders

13,800 - 14,300

Deliveries

15,500 - 16,000

Average Sales Price

$390,000

Gross Margin % on Home Sales

23.25% - 23.5%

S,G&A as a % of Home Sales

7.7% - 7.8%

Financial Services Operating Earnings

$100 - $105 million

 

About Lennar
Lennar Corporation, founded in 1954, is one of the nation's leading builders of quality homes for all generations. Lennar builds affordable, move-up and active adult homes primarily under the Lennar brand name. Lennar's Financial Services segment provides mortgage financing, title and closing services primarily for buyers of Lennar's homes and, through LMF Commercial, originates mortgage loans secured primarily by commercial real estate properties throughout the United States. Lennar's Multifamily segment is a nationwide developer of high-quality multifamily rental properties. LENX, formerly known as Lennar Ventures, drives the Lennar's technology, innovation and strategic investments. For more information about Lennar, please visit www.lennar.com.

Note Regarding Forward-Looking Statements: Some of the statements in this press release are "forward-looking statements," as that term is defined in the Private Securities Litigation Reform Act of 1995, including statements relating to the homebuilding market and other markets in which we participate. You can identify forward-looking statements by the fact that these statements do not relate strictly to historical or current matters. Rather, forward-looking statements relate to anticipated or expected events, activities, trends or results. Accordingly, these forward-looking statements should be evaluated with consideration given to the many risks and uncertainties inherent in our business that could cause actual results and events to differ materially from those anticipated by the forward-looking statements. Important factors that could cause such differences include the potential negative impact to our business of the ongoing coronavirus (COVID-19) pandemic, the duration, impact and severity of which is highly uncertain; slowdowns in real estate markets in regions where we have significant Homebuilding or Multifamily development activities; increases in operating costs, including costs related to construction materials, labor, real estate taxes and insurance, which exceed our ability to increase prices, both in our Homebuilding and Multifamily businesses; reduced availability of mortgage financing or increased interest rates; decreased demand for our homes or Multifamily rental apartments; natural disasters or catastrophic events for which our insurance may not provide adequate coverage; our inability to successfully execute our strategies, including our land lighter strategy; a decline in the value of the land and home inventories we maintain and resulting possible future writedowns of the carrying value of our real estate assets; unfavorable losses in legal proceedings; conditions in the capital, credit and financial markets; changes in laws, regulations or the regulatory environment affecting our business, and the risks described in our filings with the Securities and Exchange Commission, including our Form 10-K for the fiscal year ended November 30, 2019. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

A conference call to discuss the Company's third quarter earnings will be held at 11:00 a.m. Eastern Time on Tuesday, September 15, 2020. The call will be broadcast live on the Internet and can be accessed through the Company's website at www.lennar.com. If you are unable to participate in the conference call, the call will be archived at www.lennar.com for 90 days. A replay of the conference call will also be available later that day by calling 203-369-3064 and entering 5723593 as the confirmation number.

 

 

LENNAR CORPORATION AND SUBSIDIARIES

Selected Revenues and Operating Information

(In thousands, except per share amounts)

(unaudited)

 






Three Months Ended



Nine Months Ended



August 31,



August 31,



2020



2019



2020



2019


Revenues:












Homebuilding

$

5,505,120



5,438,998



14,626,720



14,258,318


Financial Services

237,068



224,502



631,992



572,029


Multifamily

115,170



183,958



370,904



428,764


Lennar Other

12,896



9,600



33,348



28,919


Total revenues

$

5,870,254



5,857,058



15,662,964



15,288,030














Homebuilding operating earnings

$

813,744



658,982



1,905,503



1,610,366


Financial Services operating earnings

135,079



74,698



329,722



149,887


Multifamily operating earnings (loss)

(5,148)



10,225



(4,001)



12,700

Lennar Other operating earnings (loss)

7,999



15,793



(9,123)



20,724

Corporate general and administrative expenses

(92,661)



(92,615)



(262,959)



(248,071)

Earnings before income taxes

859,013



667,083



1,959,142



1,545,606

Provision for income taxes

(189,690)



(154,440)



(382,498)



(374,670)












Net earnings (including net earnings (loss) attributable to noncontrolling interests)

669,323



512,643



1,576,644



1,170,936












Less: Net earnings (loss) attributable to noncontrolling
interests

2,905



(723)



(5,632)



(3,812)

Net earnings attributable to Lennar

$

666,418



513,366



1,582,276



1,174,748














Average shares outstanding:












Basic

308,889



318,103



309,492



319,924

Diluted

308,890



318,104



309,493



319,927













Earnings per share:












Basic

$

2.13



1.60



5.05



3.64


Diluted

$

2.12



1.59



5.03



3.63














Supplemental information:












Interest incurred (1)

$

88,149



108,401



272,347



320,960














EBIT (2):












Net earnings attributable to Lennar

$

666,418



513,366



1,582,276



1,174,748


Provision for income taxes

189,690



154,440



382,498



374,670

Interest expense included in:












Costs of homes sold

93,124



97,961



247,644



255,434

Costs of land sold

1,035



3,581



1,567



4,531

Homebuilding other expense, net

5,478



5,636



17,155



11,511

Total interest expense

99,637



107,178



266,367



271,476

EBIT

$

955,745



774,984



2,231,141



1,820,894



(1)

Amount represents interest incurred related to homebuilding debt.

(2)

EBIT is a non-GAAP financial measure defined as earnings before interest and taxes. This financial measure has been presented because the Company finds it important and useful in evaluating its performance and believes that it helps readers of the Company's financial statements compare its operations with those of its competitors. Although management finds EBIT to be an important measure in conducting and evaluating the Company's operations, this measure has limitations as an analytical tool as it is not reflective of the actual profitability generated by the Company during the period. Management compensates for the limitations of using EBIT by using this non-GAAP measure only to supplement the Company's GAAP results. Due to the limitations discussed, EBIT should not be viewed in isolation, as it is not a substitute for GAAP measures.

 

 


 

LENNAR CORPORATION AND SUBSIDIARIES

Segment Information

(In thousands)

(unaudited)

 





Three Months Ended

Nine Months Ended


August 31,

August 31,


2020

2019


2020


2019

Homebuilding revenues:







Sales of homes

$

5,467,364



5,330,694


 

14,533,212



14,114,939


Sales of land

34,323


104,338


81,023


134,576

Other homebuilding

3,433


3,966


12,485


8,803

Total homebuilding revenues

5,505,120


5,438,998


14,626,720


14,258,318












Homebuilding costs and expenses:











Costs of homes sold

4,204,814


4,245,061


11,359,364


11,264,640

Costs of land sold

32,395


92,151


102,899


119,685

Selling, general and administrative

435,949


444,720


1,222,032


1,223,701

Total homebuilding costs and expenses

4,673,158


4,781,932


12,684,295


12,608,026

Homebuilding operating margins

831,962


657,066


1,942,425


1,650,292

Homebuilding equity in loss from unconsolidated entities

(6,431)


(10,459)


(20,077)


(4,601)

Homebuilding other income (expense), net

(11,787)


12,375


(16,845)


(35,325)

Homebuilding operating earnings

$

813,744



658,982


 

1,905,503



1,610,366













Financial Services revenues

$

237,068



224,502


 

631,992



572,029


Financial Services costs and expenses

101,989


149,804


363,688


422,142

Financial Services gain on deconsolidation



61,418


Financial Services operating earnings

$

135,079



74,698


 

329,722



149,887













Multifamily revenues

$

115,170



183,958


 

370,904



428,764


Multifamily costs and expenses

118,786


181,616


379,607


431,510

Multifamily equity in earnings (loss) from unconsolidated entities and other gain

(1,532)


7,883


4,702


15,446

Multifamily operating earnings (loss)

$

(5,148)



10,225


 

(4,001)



12,700













Lennar Other revenues

$

12,896



9,600


 

33,348



28,919


Lennar Other costs and expenses

2,062


2,734


3,564


7,550

Lennar Other equity in earnings (loss) from unconsolidated entities

(2,189)


8,903


(28,712)


12,255

Lennar Other income (expense), net

(646)


24


(10,195)


(12,900)

Lennar Other operating earnings (loss)

$

7,999



15,793


 

(9,123)



20,724
















 

 

 

LENNAR CORPORATION AND SUBSIDIARIES

Summary of Deliveries, New Orders and Backlog

(Dollars in thousands, except average sales price)

(unaudited)

 

 

Lennar's reportable homebuilding segments and all other homebuilding operations not required to be reported separately have divisions located in:

East: Florida, New Jersey, Pennsylvania and South Carolina

Central: Georgia, Illinois, Indiana, Maryland, Minnesota, North Carolina, Tennessee and Virginia

Texas: Texas

West: Arizona, California, Colorado, Nevada, Oregon, Utah and Washington

Other: Urban divisions

 



 

 










For the Three Months Ended August 31,








2020


2019


2020


2019


2020


2019

Deliveries:







Homes


Dollar Value


Average Sales Price

East







4,309


4,521


$

1,488,022



1,502,780



$

345,000



332,000


Central







2,767


2,809


1,062,799



1,054,715



384,000



375,000


Texas







2,598


2,260


719,467



696,904



277,000



308,000


West







4,165


3,908


2,205,235



2,060,740



529,000



527,000


Other







3


24


2,590



18,280



863,000



762,000


Total







13,842


13,522


$

5,478,113



5,333,419



$

396,000



394,000


 

Of the total homes delivered listed above, 33 homes with a dollar value of $10.7 million and an average sales price of $326,000 represent home deliveries from unconsolidated entities for the three months ended August 31, 2020, compared to nine home deliveries with a dollar value of $2.7 million and an average sales price of $303,000 for the three months ended August 31, 2019.

 


At August 31,


For the Three Months Ended August 31,


2020


2019


2020


2019


2020


2019


2020


2019

New Orders:

Active Communities


Homes


Dollar Value


Average Sales Price

East

340


361


4,655



4,530



$

1,631,349



1,462,210



$

350,000



323,000


Central

297


338


3,375



2,632



1,298,792



1,003,818



385,000



381,000


Texas

217


235


2,746



2,221



743,553



660,304



271,000



297,000


West

341


362


4,786



3,949



2,580,328



2,049,404



539,000



519,000


Other

3


4


2



37



1,452



33,896



726,000



916,000


Total

1,198


1,300


15,564



13,369



$

6,255,474



5,209,632



$

402,000



390,000



Of the total new orders listed above, 34 homes with a dollar value of $9.7 million and an average sales price of $286,000 represent new orders in four active communities from unconsolidated entities for the three months ended August 31, 2020, compared to 21 new orders with a dollar value of $7.3 million and an average sales price of $349,000 in five active communities for the three months ended August 31, 2019.








For the Nine Months Ended August 31,








2020


2019


2020


2019


2020


2019

Deliveries:







Homes


Dollar Value


Average Sales Price

East







11,511


11,502


$

3,924,289



3,838,124



$

341,000



334,000


Central







7,389


7,193


2,833,745



2,723,291



384,000



379,000


Texas







6,637


5,660


1,877,374



1,796,344



283,000



317,000


West







11,273


10,667


5,894,183



5,738,881



523,000



538,000


Other







25


49


23,642



43,312



946,000



884,000


Total







36,835


35,071


$

14,553,233



14,139,952



$

395,000



403,000



Of the total homes delivered listed above, 60 homes with a dollar value of $20.0 million and an average sales price of $334,000 represent home deliveries from unconsolidated entities for the nine months ended August 31, 2020, compared to 50 home deliveries with a dollar value of $25.0 million and an average sales price of $500,000 for the nine months ended August 31, 2019.

 








For the Nine Months Ended August 31,








2020


2019


2020


2019


2020


2019

New Orders:







Homes


Dollar Value


Average Sales Price

East







12,512


12,756


$

4,266,221



4,242,708



$

341,000



333,000


Central







8,741


7,974


3,341,959



3,020,328



382,000



379,000


Texas







7,327


6,069


1,986,770



1,861,849



271,000



307,000


West







12,359


11,481


6,508,509



5,977,758



527,000



521,000


Other







16


70


15,189



60,447



949,000



864,000


Total







40,955


38,350


$

16,118,648



15,163,090



$

394,000



395,000



Of the total new orders listed above, 85 homes with a dollar value of $26.8 million and an average sales price of $316,000 represent new orders from unconsolidated entities for the nine months ended August 31, 2020, compared to 68 new orders with a dollar value of $32.1 million and an average sales price of $472,000 for the nine months ended August 31, 2019.

 








August 31,








2020


2019


2020


2019


2020


2019

Backlog:







Homes


Dollar Value


Average Sales Price

East (1)







6,691


6,999


$

2,368,300



2,419,795



$

354,000



346,000


Central







4,502


4,110


1,752,180



1,597,944



389,000



389,000


Texas







2,860


2,557


822,734



826,226



288,000



323,000


West







5,644


5,215


2,922,743



2,726,329



518,000



523,000


Other








27




26,123





968,000


Total







19,697


18,908


$

7,865,957



7,596,417



$

399,000



402,000



Of the total homes in backlog listed above, 56 homes with a backlog dollar value of $17.0 million and an average sales price of $303,000 represent the backlog from unconsolidated entities at August 31, 2020, compared to 25 homes with a backlog dollar value of $9.8 million and an average sales price of $391,000 at August 31, 2019.


(1)  During the nine months ended August 31, 2019, the Company acquired 13 homes in backlog.

 

 

 

LENNAR CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(In thousands, except per share amounts)

(unaudited)

 


August 31,


November 30,


2020


2019

ASSETS




Homebuilding:




Cash and cash equivalents

$

1,966,796



1,200,832


Restricted cash

11,959



9,698


Receivables, net

295,958



329,124


Inventories:




Finished homes and construction in progress

9,288,624



9,195,721


Land and land under development

7,987,149



8,267,647


Consolidated inventory not owned

395,489



313,139


Total inventories

17,671,262



17,776,507


Investments in unconsolidated entities

940,695



1,009,035


Goodwill

3,442,359



3,442,359


Other assets

1,137,137



1,021,684



25,466,166



24,789,239


Financial Services

2,209,549



3,006,024


Multifamily

1,184,086



1,068,831


Lennar Other

455,484



495,417


Total assets

$

29,315,285



29,359,511


LIABILITIES AND EQUITY




Homebuilding:




Accounts payable

$

1,140,341



1,069,179


Liabilities related to consolidated inventory not owned

324,544



260,266


Senior notes and other debts payable, net

7,180,274



7,776,638


Other liabilities

1,944,247



1,900,955



10,589,406



11,007,038


Financial Services

1,197,847



2,056,450


Multifamily

236,059



232,155


Lennar Other

11,628



30,038


Total liabilities

12,034,940



13,325,681


Stockholders' equity:




Preferred stock




Class A common stock of $0.10 par value

29,894



29,712


Class B common stock of $0.10 par value

3,944



3,944


Additional paid-in capital

8,654,954



8,578,219


Retained earnings

9,760,165



8,295,001


Treasury stock

(1,276,691)



(957,857)


Accumulated other comprehensive income (loss)

(163)



498


Total stockholders' equity

17,172,103



15,949,517


Noncontrolling interests

108,242



84,313


Total equity

17,280,345



16,033,830


Total liabilities and equity

$

29,315,285



29,359,511


 

 

 

LENNAR CORPORATION AND SUBSIDIARIES

Supplemental Data

(Dollars in thousands)

(unaudited)

 


August 31,


November 30,


August 31,


2020


2019


2019

Homebuilding debt

$

7,180,274


7,776,638


9,075,016

Stockholders' equity

17,172,103


15,949,517


15,371,938

Total capital

$

24,352,377


23,726,155


24,446,954

Homebuilding debt to total capital

29.5%


32.8%


37.1%







Homebuilding debt

$

7,180,274


7,776,638


9,075,016

Less: Homebuilding cash and cash equivalents

1,966,796


1,200,832


795,405

Net homebuilding debt

$

5,213,478


6,575,806


8,279,611

Net homebuilding debt to total capital (1)

23.3%


29.2%


35.0%

(1)

Net homebuilding debt to total capital is a non-GAAP financial measure defined as net homebuilding debt (homebuilding debt less homebuilding cash and cash equivalents) divided by total capital (net homebuilding debt plus stockholders' equity). The Company believes the ratio of net homebuilding debt to total capital is a relevant and a useful financial measure to investors in understanding the leverage employed in homebuilding operations. However, because net homebuilding debt to total capital is not calculated in accordance with GAAP, this financial measure should not be considered in isolation or as an alternative to financial measures prescribed by GAAP. Rather, this non-GAAP financial measure should be used to supplement the Company's GAAP results.

 

Cision View original content:http://www.prnewswire.com/news-releases/lennar-reports-third-quarter-eps-of-2-12--301130450.html

SOURCE Lennar Corporation

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