MIAMI, June 25 /PRNewswire-FirstCall/ --
-- Revenues of $891.9 million - down 21%
-- Loss per share of $0.76 (includes a $0.38 per share charge related to
valuation adjustments and other write-offs; and a $0.27 per share
charge related to a non-cash deferred tax asset valuation allowance)
-- Gross margin on home sales:
-- 14.0% (excluding SFAS 144 valuation adjustments of $34.6 million)
- down 190 basis points
-- 9.6% (including SFAS 144 valuation adjustments) - up 90 basis
points
-- S,G&A expenses as a % of revenues from home sales of 14.3%
-- Improved 110 basis points from Q2 2008
-- Improved 510 basis points from Q1 2009
-- Homebuilding cash of $1.4 billion and no outstanding borrowings under
the Company's credit facility
-- Retired $281 million of 7 5/8% senior notes due in March 2009
-- Issued $400 million of 12.25% senior notes due 2017
-- Issued 12.8 million shares for $126.3 million under an equity
draw-down program
-- Homebuilding debt to total capital, net of homebuilding cash, of 32.9%
-- Maximum recourse indebtedness related to the Company's unconsolidated
entities of $422.4 million - reduced $51.6 million since Q1 2009
-- Deliveries of 3,149 homes - down 18% from Q2 2008; up 47% from Q1 2009
-- New orders of 3,564 homes - down 19% from Q2 2008; up 63% from Q1 2009
-- Backlog of 2,062 homes - down 48% from Q2 2008; up 25% from Q1 2009
-- Cancellation rate of 15% - compared to 22% in Q2 2008 and 21% in Q1
2009
Lennar Corporation (NYSE: LEN and LEN.B), one of the nation's largest
homebuilders, today reported results for its second quarter ended May 31,
2009. Second quarter net loss in 2009 was $125.2 million, or $0.76 per diluted
share, compared to second quarter net loss of $120.9 million, or $0.76 per
diluted share, in 2008.
Stuart Miller, President and Chief Executive Officer of Lennar
Corporation, said, "During the second quarter, the housing market experienced
an uptick in sales of new homes, compared to the first quarter, as more
confident homebuyers took advantage of increased affordability. Declining
home prices, historically low interest rates and government stimulus programs,
such as the $8,000 federal tax credit and the $10,000 California state tax
credit, created unique purchasing opportunities and made it more compelling
for homebuyers to enter the market. While we are sensing pent-up demand in
the market, rising unemployment, increased foreclosures and tighter credit
standards continue to present challenges for the industry to generate sales at
a more robust pace and at stabilized pricing. This combined with a recent
spike in mortgage rates has made it difficult to predict when the market will
ultimately turn the corner."
Mr. Miller continued, "During the second quarter, we strategically focused
on further enhancing our liquidity position as we ended the quarter with $1.4
billion in cash and a responsible homebuilding debt-to-total capital ratio,
net of homebuilding cash, of 32.9%. We generated liquidity by reducing our
completed, unsold inventory by 53% to 626 homes from 1,321 homes at February
28, 2009. We also issued $400 million of senior notes, retired $281 million
of senior notes and generated proceeds of $126 million from the issuance of
common stock under an equity draw-down program."
"We continue to focus on returning to profitability. We have made
significant progress on right-sizing our business and have aggressively
reduced our overhead structure. This was evident by a 510 basis point
improvement in S,G&A expenses as a percentage of home sales, compared to the
first quarter of 2009. In addition, we have made great strides in lowering
our construction costs and repositioning our product offering to target
first-time and value-focused homebuyers. More efficient, smaller plans have
been very well received by our customers and continue to represent an
increased percentage of our deliveries."
Mr. Miller concluded, "As we continue our intense focus on rebuilding
homebuilding profitability and on cash generation, we are well positioned with
a strong balance sheet to navigate the current market and to take advantage of
opportunities as they present themselves."
RESULTS OF OPERATIONS
THREE MONTHS ENDED MAY 31, 2009 COMPARED TO
THREE MONTHS ENDED MAY 31, 2008
Homebuilding
Revenues from home sales decreased 23% in the second quarter of 2009 to
$788.6 million from $1,018.9 million in 2008. Revenues were lower primarily
due to a 16% decrease in the number of home deliveries, excluding
unconsolidated entities, and an 8% decrease in the average sales price of
homes delivered in 2009. New home deliveries, excluding unconsolidated
entities, decreased to 3,138 homes in the second quarter of 2009 from 3,729
homes last year. In the second quarter of 2009, new home deliveries were
lower in each of the Company's homebuilding segments and Homebuilding Other,
compared to 2008. The average sales price of homes delivered decreased to
$251,000 in the second quarter of 2009 from $274,000 in the same period last
year, primarily due to reduced pricing. Sales incentives offered to homebuyers
were $52,600 per home delivered in the second quarter of 2009, compared to
$48,700 per home delivered in the same period last year.
Gross margins on home sales were $76.1 million, or 9.6%, in the second
quarter of 2009, which included $34.6 million of SFAS 144 valuation
adjustments, compared to gross margins on home sales of $88.4 million, or
8.7%, in the second quarter of 2008, which included $73.6 million of SFAS 144
valuation adjustments. Gross margins on home sales excluding SFAS 144
valuation adjustments were $110.7 million, or 14.0%, in the second quarter of
2009, compared to $162.0 million, or 15.9%, in 2008. Gross margin percentage
on home sales, excluding SFAS 144 valuation adjustments, decreased compared to
last year primarily due to higher sales incentives offered to homebuyers as a
percentage of revenues from home sales as the Company focused on reducing its
completed, unsold inventory. Gross margins on home sales excluding SFAS 144
valuation adjustments is a non-GAAP financial measure (please refer to the
Non-GAAP Financial Measure section within this release).
Selling, general and administrative expenses were reduced by $44.4
million, or 28%, in the second quarter of 2009, compared to the same period
last year, primarily due to reductions in associate headcount, variable
selling expenses and fixed costs. As a percentage of revenues from home
sales, selling, general and administrative expenses improved to 14.3% in the
second quarter of 2009, from 15.4% in 2008.
Gross profits on land sales totaled $2.4 million in the second quarter of
2009, net of $5.6 million of SFAS 144 valuation adjustments and $1.8 million
of write-offs of deposits and pre-acquisition costs related to homesites under
option that the Company does not intend to purchase. In the second quarter of
2008, losses on land sales totaled $5.4 million, which included $2.1 million
of SFAS 144 valuation adjustments and $6.6 million of write-offs of deposits
and pre-acquisition costs related to homesites that were under option.
Equity in loss from unconsolidated entities was $59.9 million in the
second quarter of 2009, which included $50.1 million of SFAS 144 valuation
adjustments related to assets of unconsolidated entities in which the Company
has investments, compared to equity in loss from unconsolidated entities of
$18.9 million in the second quarter of 2008, which included $8.0 million of
SFAS 144 valuation adjustments related to assets of unconsolidated entities in
which the Company has investments.
Other income (expense), net, totaled ($22.5) million in the second quarter
of 2009, which included $7.0 million of APB 18 valuation adjustments to the
Company's investments in unconsolidated entities, compared to other income
(expense), net, of ($47.9) million in the second quarter of 2008, which
included $46.9 million of APB 18 valuation adjustments to the Company's
investments in unconsolidated entities.
Minority interest income, net was $6.5 million and $0.2 million,
respectively, in the second quarter of 2009 and 2008.
Sales of land, equity in loss from unconsolidated entities, other income
(expense), net and minority interest income, net may vary significantly from
period to period depending on the timing of land sales and other transactions
entered into by the Company and unconsolidated entities in which it has
investments.
Financial Services
Operating earnings for the Financial Services segment was $16.5 million in
the second quarter of 2009, compared to an operating loss of $3.0 million in
the same period last year. Improved consumer confidence and lower interest
rates resulted in increased volume and a higher profit per transaction in the
segment. The segment was also able to leverage lower fixed costs as a result
of its successful cost reduction initiatives implemented throughout the
downturn.
Corporate General and Administrative Expenses
Corporate general and administrative expenses as a percentage of total
revenues increased to 3.4% in the second quarter of 2009, from 2.6% in 2008,
primarily due to lower revenues.
Deferred Tax Asset Valuation Allowance
SFAS 109 requires a reduction of the carrying amounts of deferred tax
assets by a valuation allowance, if based on available evidence, it is more
likely than not that such assets will not be realized. As a result of its net
loss during the three months ended May 31, 2009, the Company generated
deferred tax assets of $44.4 million and recorded a non-cash valuation
allowance in accordance with SFAS 109 against the entire amount of deferred
tax assets generated.
Debt Repurchase/Debt Issuance
In March 2009, the Company retired its $281 million 7 5/8% senior notes
due March 2009 for 100% of the outstanding principal amount, plus accrued
interest as of the maturity date.
In April 2009, the Company issued $400 million of 12.25% senior notes due
2017 in a private placement under SEC Rule 144A.
Equity Draw-down Program
As of May 31, 2009, the Company issued a total of 12.8 million common
shares of its Class A common stock under an equity offering for gross proceeds
of $126.3 million, or $9.86 per share. The Company is authorized to sell
shares for up to $275 million under the equity offering. The Company will use
the proceeds from the equity offering for general corporate purposes.
SIX MONTHS ENDED MAY 31, 2009 COMPARED TO
SIX MONTHS ENDED MAY 31, 2008
Homebuilding
Revenues from home sales decreased 33% in the six months ended May 31,
2009 to $1.3 billion from $2.0 billion in 2008. Revenues were lower primarily
due to a 26% decrease in the number of home deliveries, excluding
unconsolidated entities, and a 10% decrease in the average sales price of
homes delivered in 2009. New home deliveries, excluding unconsolidated
entities, decreased to 5,274 homes in the six months ended May 31, 2009 from
7,166 homes last year. In the six months ended May 31, 2009, new home
deliveries were lower in each of the Company's homebuilding segments and
Homebuilding Other, compared to 2008. The average sales price of homes
delivered decreased to $248,000 in the six months ended May 31, 2009 from
$276,000 in 2008, primarily due to reduced pricing. Sales incentives offered
to homebuyers were $51,800 per home delivered in 2009, compared to $48,400 per
home delivered in 2008.
Gross margins on home sales were $110.3 million, or 8.4%, in the six
months ended May 31, 2009, which included $75.3 million of SFAS 144 valuation
adjustments, compared to gross margins on home sales of $225.1 million, or
11.4%, in the six months ended May 31, 2008, which included $99.8 million of
SFAS 144 valuation adjustments. Gross margins on home sales excluding SFAS 144
valuation adjustments were $185.6 million, or 14.2%, in the six months ended
May 31, 2009, compared to $324.9 million, or 16.5%, in 2008. Gross margin
percentage on home sales, excluding SFAS 144 valuation adjustments, decreased
compared to last year, primarily due to higher sales incentives offered to
homebuyers as a percentage of revenues from home sales as the Company focused
on reducing its completed, unsold inventory. Gross margins on home sales
excluding SFAS 144 valuation adjustments is a non-GAAP financial measure
(please refer to the Non-GAAP Financial Measure section within this release).
Selling, general and administrative expenses were reduced by $118.3
million, or 36%, in the six months ended May 31, 2009, compared to the same
period last year, primarily due to reductions in associate headcount, variable
selling expenses and fixed costs. As a percentage of revenues from home
sales, selling, general and administrative expenses improved to 16.3% in the
six months ended May 31, 2009, from 16.8% in 2008.
Losses on land sales totaled $8.1 million in the six months ended May 31,
2009, which included $5.8 million of SFAS 144 valuation adjustments and $12.1
million of write-offs of deposits and pre-acquisition costs related to
homesites under option that the Company does not intend to purchase. In the
six months ended May 31, 2008, losses on land sales totaled $31.9 million,
which included $17.6 million of SFAS 144 valuation adjustments and $23.4
million of write-offs of deposits and pre-acquisition costs related to
homesites that were under option.
Equity in loss from unconsolidated entities was $62.8 million in the six
months ended May 31, 2009, which included $50.1 million of SFAS 144 valuation
adjustments related to assets of unconsolidated entities in which the Company
has investments, compared to equity in loss from unconsolidated entities of
$41.9 million in the six months ended May 31, 2008, which included $26.9
million of SFAS 144 valuation adjustments related to assets of unconsolidated
entities in which the Company has investments.
Other income (expense), net, totaled ($70.4) million in the six months
ended May 31, 2009, which included $44.2 million of APB 18 valuation
adjustments to the Company's investments in unconsolidated entities, compared
to other income (expense), net, of ($69.7) million in the six months ended May
31, 2008, which included $76.5 million of APB 18 valuation adjustments to the
Company's investments in unconsolidated entities.
Minority interest income (expense), net totaled $8.3 million and ($16)
thousand, respectively, in the six months ended May 31, 2009 and 2008.
Sales of land, equity in loss from unconsolidated entities, other income
(expense), net and minority interest income (expense), net may vary
significantly from period to period depending on the timing of land sales and
other transactions entered into by the Company and unconsolidated entities in
which it has investments.
Financial Services
Operating earnings for the Financial Services segment were $17.0 million
in the six months ended May 31, 2009, compared to an operating loss of $12.7
million in the same period last year. Improved consumer confidence and lower
interest rates resulted in increased volume and a higher profit per
transaction in the segment. The segment was also able to leverage lower fixed
costs as a result of its successful cost reduction initiatives implemented
throughout the downturn.
Corporate General and Administrative Expenses
Corporate general and administrative expenses were reduced by $6.1
million, or 10%, for the six months ended May 31, 2009, compared to the same
period last year. As a percentage of total revenues, corporate general and
administrative expenses increased to 3.9% in the six months ended May 31,
2009, from 2.9% in the same period last year, due to lower revenues.
Deferred Tax Asset Valuation Allowance
SFAS 109 requires a reduction of the carrying amounts of deferred tax
assets by a valuation allowance, if based on available evidence, it is more
likely than not that such assets will not be realized. As a result of its net
loss during the six months ended May 31, 2009, the Company generated deferred
tax assets of $102.2 million and recorded a non-cash valuation allowance in
accordance with SFAS 109 against the entire amount of deferred tax assets
generated.
Non-GAAP Financial Measure
Gross margins on home sales excluding SFAS 144 valuation adjustments is a
non-GAAP financial measure, and is defined by the Company as sales of homes
revenue less costs of homes sold excluding SFAS 144 valuation adjustments
recorded during the period. Management finds this to be an important and
useful measure in evaluating the Company's performance because it discloses
the profit the Company generates on homes it actually delivered during the
period, as the Company's SFAS 144 valuation adjustments relate to inventory
that it did not deliver during the period. Gross margins on home sales
excluding SFAS 144 valuation adjustments also is important to management,
because it assists management in making strategic decisions regarding the
Company's construction pace, product mix and product pricing based upon the
profitability the Company generated on homes it actually delivered during
previous periods. The Company believes investors also find gross margins on
home sales excluding SFAS 144 valuation adjustments to be important and useful
because it discloses a profitability measure on homes the Company actually
delivered in a period that can be compared to the profitability on homes the
Company delivered in a prior period without regard to the variability of SFAS
144 valuation adjustments recorded from period to period. In addition, to the
extent that the Company's competitors provide similar information, disclosure
of the Company's gross margins on home sales excluding SFAS 144 valuation
adjustments helps readers of the Company's financial statements compare the
Company's ability to generate profits with regard to the homes it delivers in
a period to its competitors' ability to generate profits with regard to the
homes they deliver in the same period.
Although management finds gross margins on home sales excluding SFAS 144
valuation adjustments to be an important measure in conducting and evaluating
the Company's operations, this measure has limitations as an analytical tool
as it is not reflective of the actual profitability generated by the Company
during the period. This is because it excludes charges the Company recorded,
in accordance with SFAS 144, relating to inventory that was impaired during
the period. In addition, because gross margins on home sales excluding SFAS
144 valuation adjustments is a financial measure that is not calculated in
accordance with GAAP, it may not be completely comparable to similarly titled
measures of the Company's competitors due to differences in methods of
calculation and charges being excluded. Management compensates for the
limitations of using gross margins on home sales excluding SFAS 144 valuation
adjustments by using this non-GAAP measure only to supplement the Company's
GAAP results in order to provide a more complete understanding of the factors
and trends affecting the Company's operations. In order to analyze the
Company's overall performance and actual profitability relative to its
homebuilding operations, the Company also compares its gross margins on home
sales during the period, inclusive of SFAS 144 valuation adjustments, with the
same measure during prior comparable periods. Due to the limitations
discussed above, gross margins on home sales excluding SFAS 144 valuation
adjustments should not be viewed in isolation as it is not a substitute for
GAAP measures of gross margins.
Lennar Corporation, founded in 1954, is one of the nation's leading
builders of quality homes for all generations. The Company builds affordable,
move-up and retirement homes primarily under the Lennar brand name. Lennar's
Financial Services segment provides primarily mortgage financing, title
insurance and closing services for both buyers of the Company's homes and
others. Previous press releases and further information about the Company may
be obtained at the "Investor Relations" section of the Company's website,
www.lennar.com.
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Some of the statements in this press release are "forward-looking
statements," as that term is defined in the Private Securities Litigation
Reform Act of 1995. These forward-looking statements include statements
regarding our business, financial condition, results of operations, cash
flows, strategies and prospects. You can identify forward-looking statements
by the fact that these statements do not relate strictly to historical or
current matters. Rather, forward-looking statements relate to anticipated or
expected events, activities, trends or results. Because forward-looking
statements relate to matters that have not yet occurred, these statements are
inherently subject to risks and uncertainties. Many factors could cause our
actual activities or results to differ materially from the activities and
results anticipated in forward-looking statements. These factors include
those described under the caption "Risk Factors" in Item 1A of our Annual
Report on Form 10-K for our fiscal year ended November 30, 2008. We do not
undertake any obligation to update forward-looking statements, except as
required by Federal securities laws.
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A conference call to discuss the Company's second quarter earnings will be
held at 11:00 a.m. Eastern time on Thursday, June 25, 2009. The call will be
broadcast live on the Internet and can be accessed through the Company's
website at www.lennar.com. If you are unable to participate in the conference
call, the call will be archived at www.lennar.com for 90 days. A replay of
the conference call will also be available later that day by calling
402-220-6422 and entering 5932669 as the confirmation number.
LENNAR CORPORATION AND SUBSIDIARIES
Selected Revenues and Operational Information
(In thousands, except per share amounts)
(unaudited)
Three Months Ended Six Months Ended
May 31, May 31,
2009 2008 2009 2008
------------------ ------------------
Revenues:
Homebuilding $ 805,229 1,046,544 1,334,263 2,040,320
Financial services 86,624 81,372 150,653 150,509
------------------- --------------------
Total revenues $ 891,853 1,127,916 1,484,916 2,190,829
------------------- --------------------
Homebuilding operating loss $(109,938) (140,584) (236,480) (250,364)
Financial services
operating earnings (loss) 16,539 (3,014) 17,031 (12,706)
Corporate general and
administrative expenses (30,239) (29,584) (58,270) (64,406)
------------------- -------------------
Loss before (provision) benefit
for income taxes (123,638) (173,182) (277,719) (327,476)
(Provision) benefit for
income taxes (1,547) 52,266 (3,395) 118,344
------------------- -------------------
Net loss $(125,185) (120,916) (281,114) (209,132)
=================== ===================
Basic and diluted average
shares outstanding 164,582 158,347 161,601 158,275
=================== ==================
Basic and diluted
loss per share $ (0.76) (0.76) (1.74) (1.32)
=================== =================
Supplemental information:
Interest incurred (1) $ 39,037 36,573 77,541 74,668
=================== =================
EBIT before valuation
adjustments and write-offs
of option deposits and pre-
acquisition costs (2):
Loss before (provision)
benefit for income taxes $(123,638) (173,182) (277,719) (327,476)
Interest expense 41,855 37,911 58,839 70,354
Valuation adjustments and
write-offs of option
deposits and
pre-acquisition costs 99,068 137,220 187,521 244,331
EBIT before valuation
adjustments and write-
offs of option deposits
and pre-acquisition ------------------- -------------------
costs $ 17,285 1,949 (31,359) (12,791)
=================== ===================
(1) Amount represents interest incurred related to homebuilding debt.
(2) EBIT before valuation adjustments and write-offs of option deposits
and pre-acquisition costs is a non-GAAP financial measure derived by
adding back interest expense, valuation adjustments and write-offs of
option deposits and pre-acquisition costs reflected in loss before
(provision) benefit for income taxes. This financial measure has been
presented because the Company finds it useful and important in
evaluating its performance and believes that it helps readers of the
Company's financial statements compare its operations with those of
its competitors.
LENNAR CORPORATION AND SUBSIDIARIES
Homebuilding Information
(In thousands)
(unaudited)
Three Months Ended Six Months Ended
May 31, May 31,
------------------ ------------------
2009 2008 2009 2008
------------------ ------------------
Revenues:
Sales of homes $ 788,600 1,018,854 1,311,358 1,971,920
Sales of land 16,629 27,690 22,905 68,400
------------------- -------------------
Total revenues 805,229 1,046,544 1,334,263 2,040,320
------------------- -------------------
Costs and expenses:
Cost of homes sold 712,508 930,488 1,201,084 1,746,859
Cost of land sold 14,241 33,093 31,047 100,253
Selling, general and
administrative 112,526 156,972 213,703 331,990
------------------ --------- ---------
Total costs and expenses 839,275 1,120,553 1,445,834 2,179,102
------------------ --------------------
Equity in loss from
unconsolidated entities (59,890) (18,919) (62,807) (41,899)
Other income (expense), net (22,522) (47,874) (70,356) (69,667)
Minority interest income
(expense), net 6,520 218 8,254 (16)
------------------- -------------------
Operating loss $(109,938) (140,584) (236,480) (250,364)
=================== ===================
Reconciliation of gross
margins on home sales
excluding SFAS 144 valuation
adjustments to gross margins
on home sales:
Sales of homes $ 788,600 1,018,854 1,311,358 1,971,920
Cost of homes sold 712,508 930,488 1,201,084 1,746,859
------------------- --------------------
Gross margins on home sales 76,092 88,366 110,274 225,061
SFAS 144 valuation
adjustments to finished
homes, CIP and land on
which the Company intends
to build homes 34,558 73,620 75,338 99,849
Gross margins on home
sales excluding
SFAS 144 valuation ------------------- -------------------
adjustments $ 110,650 161,986 185,612 324,910
=================== ===================
LENNAR CORPORATION AND SUBSIDIARIES
Valuation Adjustments and Write-offs
(In thousands)
(unaudited)
Three Months Six Months
Ended Ended
May 31, May 31,
-------------- --------------
2009 2008 2009 2008
SFAS 144 valuation adjustments to -------------- --------------
finished homes, CIP and land on which
the Company intends to build homes:
East $ 8,793 34,176 22,271 42,282
Central 2,173 17,382 10,254 19,049
West 15,626 20,140 34,024 30,060
Houston 97 - 243 112
Other 7,869 1,922 8,546 8,346
-------------- --------------
Total 34,558 73,620 75,338 99,849
-------------- --------------
SFAS 144 valuation adjustments to land
the Company intends to sell or has sold
to third parties:
East 1,978 1,135 2,117 2,507
Central 1,100 336 1,178 9,569
West 2,528 623 2,528 4,815
Houston - 45 - 109
Other - 7 - 601
-------------- --------------
Total 5,606 2,146 5,823 17,601
-------------- --------------
Write-offs of option deposits and pre-
acquisition costs:
East - 3,124 5,780 10,178
Central - 51 82 4,130
West 1,188 843 1,703 4,207
Houston - 480 721 745
Other 653 2,088 3,786 4,178
------------- --------------
Total 1,841 6,586 12,072 23,438
------------- --------------
Company's share of SFAS 144 valuation
adjustments related to assets of
unconsolidated entities:
East 251 3,084 251 7,241
Central 854 - 854 158
West 48,945 4,926 48,945 18,951
Houston - - - -
Other - - - 597
-------------- --------------
Total 50,050 8,010 50,050 26,947
-------------- --------------
APB 18 valuation adjustments to
investments in unconsolidated entities:
East - 9,158 2,566 10,095
Central 4,537 193 12,155 421
West 2,476 37,507 28,026 65,946
Houston - - - -
Other - - 1,491 34
------------- --------------
Total 7,013 46,858 44,238 76,496
------------- --------------
Total valuation adjustments and
write-offs of option deposits -------------- ---------------
and pre-acquisitions costs $99,068 137,220 187,521 244,331
============== ===============
LENNAR CORPORATION AND SUBSIDIARIES
Summary of Deliveries and New Orders
(Dollars in thousands)
(unaudited)
Three Months Ended Six Months Ended
May 31, May 31,
------------------ ----------------
2009 2008 2009 2008
------------------ ----------------
Deliveries - Homes:
East 975 1,078 1,769 2,243
Central 466 672 781 1,276
West 798 1,065 1,207 1,989
Houston 580 612 985 1,187
Other 330 403 549 731
---------------- ---------------
Total 3,149 3,830 5,291 7,426
================ ===============
Of the total home deliveries listed above, 11 and 17 represent deliveries
from unconsolidated entities for the three and six months ended May 31,
2009, compared with 101 and 260 deliveries from unconsolidated entities in
the same periods last year.
Deliveries - Dollar Value:
East $214,937 275,323 393,309 589,080
Central 91,624 144,916 153,526 277,725
West 284,101 404,530 432,217 771,053
Houston 116,534 124,044 195,154 233,701
Other 89,550 130,424 152,923 238,223
----------------- -------------------
Total $796,746 1,079,237 1,327,129 2,109,782
================= ===================
Of the total dollar value of home deliveries listed above, $8,146 and
$15,771 represent dollar value of deliveries from unconsolidated entities
for the three and six months ended May 31, 2009, compared with $60,383 and
$137,862 dollar value of deliveries from unconsolidated entities in the
same periods last year.
New Orders - Homes:
East 1,107 1,304 1,823 2,246
Central 563 688 929 1,257
West 890 1,145 1,381 1,892
Houston 649 788 1,044 1,280
Other 355 471 577 766
---------------- ----------------
Total 3,564 4,396 5,754 7,441
================ ================
Of the total new orders listed above, 23 and 31 represent new orders from
unconsolidated entities for the three and six months ended May 31, 2009,
compared to 100 and 162 new orders from unconsolidated entities in the
same periods last year.
New Orders - Dollar Value:
East $242,867 315,344 398,148 546,346
Central 113,091 150,031 185,937 272,040
West 314,402 432,707 476,078 725,789
Houston 132,313 165,829 206,382 265,106
Other 89,745 126,922 149,209 210,309
----------------- -------------------
Total $892,418 1,190,833 1,415,754 2,019,590
================= ===================
Of the total dollar value of new orders listed above, $15,266 and $20,164
represent dollar value of new orders from unconsolidated entities for the
three and six months ended May 31, 2009, compared to $50,810 and $90,109
dollar value of new orders from unconsolidated entities in the same
periods last year.
LENNAR CORPORATION AND SUBSIDIARIES
Summary of Backlog
(Dollars in thousands)
(unaudited)
May 31,
-----------------
2009 2008
-----------------
Backlog - Homes:
East 843 1,794
Central 271 266
West 421 785
Houston 328 682
Other 199 431
-----------------
Total 2,062 3,958
=================
Of the total homes in backlog listed above, 21 represents homes in
backlog from unconsolidated entities at May 31, 2009, compared to
197 homes in backlog from unconsolidated entities at May 31, 2008.
Backlog - Dollar Value:
East $208,733 524,533
Central 56,726 58,148
West 152,619 331,428
Houston 68,915 159,745
Other 58,742 180,271
-------------------
Total $545,735 1,254,125
===================
Of the total dollar value of homes in backlog listed above, $16,458
represents the backlog dollar value from unconsolidated entities at
May 31, 2009, compared to $102,465 of backlog dollar value
from unconsolidated entities at May 31, 2008.
Lennar's reportable homebuilding segments and homebuilding other
consist of homebuilding divisions located in:
East: Florida, Maryland, New Jersey and Virginia
Central: Arizona, Colorado and Texas (1)
West: California and Nevada
Houston: Houston, Texas
Other: Illinois, Minnesota, New York, North Carolina and
South Carolina
(1) Texas in the Central reportable segment excludes Houston,
Texas, which is its own reportable segment.
Supplemental Data
(Dollars in thousands)
(unaudited)
May 31, November 30, May 31,
---------- ------------ ----------
2009 2008 2008
---------- ------------ ----------
Homebuilding debt $2,664,853 2,544,935 2,310,494
Stockholders' equity 2,482,006 2,623,007 3,539,590
---------- ---------- ----------
Total capital $5,146,859 5,167,942 5,850,084
---------- ---------- ----------
Homebuilding debt to total
capital 51.8% 49.2% 39.5%
=========== =========== ==========
Homebuilding debt $2,664,853 2,544,935 2,310,494
Less: Homebuilding cash and
cash equivalents 1,447,011 1,091,468 882,433
----------- ---------- ----------
Net homebuilding debt $1,217,842 1,453,467 1,428,061
----------- ---------- ----------
Net homebuilding debt to
total capital (1) 32.9% 35.7% 28.7%
=========== ========== ==========
(1) Net homebuilding debt to total capital consists of net
homebuilding debt (homebuilding debt less homebuilding cash and
cash equivalents) divided by total capital (net homebuilding debt
plus stockholders' equity).
SOURCE Lennar Corporation
CONTACT:
Scott Shipley
Investor Relations
Lennar Corporation
+1-305-485-2054
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