Ryland Reports 1Q Loss

Calabasas, CA, April 26, 2007--Ryland Group posted a loss in the first quarter after taking big charges to write down the value of inventory and selling fewer homes.

The company posted a loss of $24.4 million, or $0.58 per share. A year ago, the builder reported a profit of $90 million, or $1.86 per share, in a more robust housing environment.

Three weeks ago, Ryland said it expected a loss between $0.50 cents and $0.60 per share because of the charges. Analysts were looking for a loss of $0.47 per share, according to Thomson Financial.

Homebuilding revenue fell 35 percent to $691.4 million from $1.1 billion last year as the number of closings fell sharply. The average home price actually edged up to $298,000 from $295,000.

The mortgage unit, a minor part of the company's business, was profitable, but earnings fell to $8 million from $11.5 million before taxes, hurt by fewer originations.