Homebuilder Lennar Posts Smaller 1Q Loss

Miami, FL, March 24, 2010--Lennar Corp. said reported a smaller fiscal first-quarter loss.

Lennar said the housing market is stabilizing, and it reported improved traffic, increased backlog and lower cancellation rates during the quarter. The company said it should post a profit for fiscal 2010.

Lennar reported a loss of $6.5 million, or $0.4 per share, for the period ended Feb. 28 compared to a loss of $155.9 million, or $0.98 per share, a year ago.

CEO Stuart Miller said in a press release that Lennar improved its quarterly gross margin by lowering construction costs and trimming sales incentives.

Revenue fell 3% to $574.4 million from $593.1 million.

The average sales price of delivered homes rose 6% to $258,000 from $244,000 mostly on an increase in deliveries in the West, particularly in California.