Beazer Homes Takes Another Big Loss

Atlanta, GA, Aug. 8, 2008--Beazer Homes reported a net loss of $109.8 million for its fiscal third quarter, or $2.85 per share.

The loss included pre-tax impairment charges of $118 million.

In last year's third quarter, net loss from continuing operations totaled $118.9 million, or $3.09 per share.

Total revenues were $455.6 million, compared to $753.5 a year ago.

Home closings totaled 1,677 homes, compared to 2,659 in the third quarter last year.

Average sales price fell to $257,400 from $282,100 a year ago.

New orders totaled 1,774 homes, down from 3,048 in the third quarter last year.

"As our third quarter results illustrate, difficult operating conditions in the homebuilding industry persist," said CEO Ian J. McCarthy in a press release.

"Despite lower home prices, relatively low interest rates and a large choice of available homes, potential homebuyers remain reluctant due to eroding consumer confidence amid concerns about employment growth, higher energy costs and the overall economy. Based on these demand dynamics, coupled with high supply levels of new and existing home inventory, we believe industry conditions will remain challenging for the remainder of this fiscal year and as we enter fiscal 2009."

Home closings declined in all regions, with the most significant declines in the Southeast, the West and Florida.