Ryland Swings to Loss

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Homebuilder Ryland Group Inc. said late Wednesday that it swung to a loss in the fourth quarter as new orders fell and the company lost a large tax benefit that it enjoyed the previous year.

After the markets closed, the Calabasas company reported a net loss of $19.1 million (-43 cents a share), compared with net income of $39 million (88 cents) a year earlier. Revenue slid 52 percent to $227 million.

Analysts surveyed by Thomson Reuters on averaged expected a per-share loss of 35 cents on revenue of $234 million.

The company took $15.4 million in charges related to inventory and adjusted valuations. The same quarter in 2009 benefited from a $97.6 million tax benefit.

Ryland also was hurt by the April expiration of the federal stimulus home buyers’ tax credit that had boosted home sales across the industry. Ryland saw a 20 percent decline in new orders in the fourth quarter. And the company’s order backlog at the end of the quarter was down 31 percent, while the average closing price was up just 2.5 percent.

Shares earlier closed up 38 cents, or 2 percent, to $18.24 on the New York Stock Exchange. The price was unchanged in after-hours trading.

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