Luxury Builder Toll Brothers Returns to Profit

Horsham, PA, May 23, 2012 -- Luxury homebuilder Toll Brothers reported second quarter net income was $16.9 million, or $0.10 a share, for the three months through April, compared with a loss of $20.8 million, or $0.12, a year earlier.

Company revenue for the quarter rose 17% from a year earlier to $374 million. Closings climbed 47% to 1,290 homes. The company’s backlog, an indication of future sales, increased 37% to 2,403 homes. By value, the backlog climbed, 49% to $1.5 billion.

“It appears that the housing market has moved into a new and stronger phase of recovery,” said CEO Douglas Yearley said in the press release.

“The spring selling season has been the most robust and sustained since the downturn began.”

Yearly said he believes Toll is benefiting from the release of five years of pent-up demand and reduced competition in its luxury niche.