Beazer Homes USA (NYSE:BZH) rises 1.2% in premarket trading after it agrees to buy Venture Homes in Atlanta, releases preliminary Q3 results, and says it sees FY2019 EPS over $2.50.
Beazer to buy Venture Homes for about $65M; over the last 12 months, Venture Homes generated $69.9M of homebuilding revenue from 277 closings with an average selling price of $252,200. The transaction includes 51 homes in backlog, more than 1,000 lots in 9 active communities and 18 future communities.
Transaction was funded from available cash and didn't increase debt.
Preliminary Q3 homebuilding revenue $507M provided by 1,391 home closings and an average selling price of $364,500; Q3 new home orders of 1,450; dollar value of backlog $920.7M, resulting from 2,371 homes in backlog with an average price of $388,300.
Beazer expects to achieve its "2B-10" goals, including both revenue and adjusted EBITDA targets, in FY2018; also sees retiring its 2019 senior notes, which have remaining principal balance of $96.4M.
BZH sees FY2019 EPS over $2.50, double-digit growth in adjusted EBITDA, and further cuts in outstanding debt.
Source: Press Release
Previously: Beazer Homes up 7% on strong Q2 numbers (May 3)
Subscribe for full text news in your inbox