Horsham, PA, February 23—-Luxury homebuilder Toll Brothers reported quarterly earnings that were up 120 percent, boosted by continued demand for high-end homes.
In the company’s fiscal first-quarter ended Jan. 31, it earned $110.2 million, or $1.33 per share, compared with $50.1 million, or 62 cents per share, in the year-ago quarter.
Analysts were expected the company to earn $1.15 per share.
Toll reported quarterly revenue that rose to $999.1 million from $597.9 million.
"We are enjoying strong pricing power and increasing profit margins as demand for luxury homes continues to outpace supply," Robert Toll, chairman and chief executive officer, said in a statement.
Earlier this month, the company said it was on track for its forecast of net earnings growth of more than 40 percent for fiscal 2005. On Wednesday, it raised that outlook, saying it now expects fiscal 2005 net income to grow approximately 60 percent over 2004.
Toll also raised its outlook for 2005 deliveries to a range of between 8,050 and 8,400 homes.
The company is able to gauge its fiscal year results with a large measure of assurance because homes that are contracted for usually take up to 12 months to build and close. After that, the company can book the home price as revenue.
Analysts expect the company to earn $7.68 per share for the year.
