Toll Brothers Swings to Small Profit in Q1

Horsham, PA, Feb. 23, 2011 -- Luxury homebuilder Toll Brothers reported fiscal year 2011 first quarter net income of $3.4 million, or $0.02 per share, compared to a net loss of $40.8 million, or $0.25 per share diluted the previous year.

On a pre-tax basis, Toll reported a first quarter loss of $17.0 million, down from $56.8 million a year ago. 

First quarter revenues and home deliveries of $334.1 million and 570 units rose 2% in dollars and declined 4% in units compared to the previous year's first quarter.

Toll signed net contracts of $307.2 million and 548 units, an increase of 5% in dollars and 4% in units, compared to 2010's first quarter. 

"The market is still tough; the home buyer is still wary," said Douglas C. Yearley, Jr., Toll Brothers' chief executive officer.

"Although our customers recognize that this is perhaps the best time to buy in many years, so far the market is not generating the positive momentum that creates urgency among buyers."

However, he said "In many places the market appears to be improving."