NYSE$LEN

Lennar Corp · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Lennar reported Q4 2020 earnings with EPS of $2.82.

Lennar's Q4 2020 net earnings were $882.8 million, or $2.82 per diluted share, compared to $674.3 million, or $2.13 per diluted share in Q4 2019. Revenues were $6.8 billion, down 2% year-over-year. The company's homebuilding operations saw a gross margin on home sales of 25.0%, compared to 21.5% in the prior year.

  • Net earnings were $882.8 million, or $2.82 per diluted share, compared to $674.3 million, or $2.13 per diluted share.
  • Deliveries of 16,090 homes, down 2%.
  • New orders of 15,214 homes, up 16%; new orders dollar value of $6.3 billion, up 22%.
  • Revenues of $6.8 billion, down 2%.

Headline financials

Total Revenue

$6.83B

Previous: $6.97B-2.1%
EPS (adj)

$2.82

Previous: $2.13+32.4%
Debt to Total Capital

24.9%

No prior period
Gross Margin

25.0%

No prior period
Capital Expenditures

$29.9M

Previous: $16.9M+76.5%
Free Cash Flow

$1.26B

Previous: $1.17B+8.3%
Net Income

$883M

Previous: $674M+30.9%
Operating Income

$1.16B

Previous: $889M+31.1%
Gross Profit

$1.6B

Previous: $1.47B+8.5%
Cash & Equivalents

$2.7B

No prior period
Total Assets

$29.9B

No prior period
Stock-Based Comp

$23.3M

Previous: $21.5M+8.5%

Revenue & EPS history

Lennar · Revenue · Quarterly

$6.83B

Q4 2020-2.1%vs Q4 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Lennar · $6.83B total across 4 segments · Q4 2020

  • Homebuilding
    $6.35B
  • Financial Services
    $258M
  • Multifamily
    $205M
  • Lennar Other
    $7.73M

Forward guidance

The Company's expected results of its homebuilding and financial services activities for the first quarter of 2021 include new orders between 14,500 and 14,800 and deliveries between 12,200 and 12,500. The average sales price is expected to be $390,000 and the gross margin % on home sales is expected to be between 23.5% and 23.75%.

Tailwinds

  • New Orders: 14,500 - 14,800
  • Deliveries: 12,200 - 12,500
  • Average Sales Price: $390,000
  • Gross Margin % on Home Sales: 23.5% - 23.75%
  • Financial Services Operating Earnings: $110 million - $115 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+1.0%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+3.3%

Avg return

30 days after

57%

39 / 69 earnings

Positive

+12.1%

Q1 2021

Best reaction

-8.6%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-3.4%
Q4 2025-1.1%-9.0%+0.9%
Q3 2025-4.3%-5.4%-5.3%
Q2 2025+1.6%+1.6%+22.5%
Q1 2025-4.0%-1.8%-12.8%
Q1 2026-2.2%-0.4%-11.5%
Q4 2024-8.6%-8.9%-6.6%
Q3 2024-3.3%-2.2%+0.3%
Q2 2024-4.1%-2.3%+7.3%
Q1 2024-7.9%-5.6%-3.7%
Q4 2023+2.8%+2.4%+4.5%
Q3 2023-1.0%+1.1%-5.8%
Q2 2023+3.3%+3.5%+14.9%
Q1 2023+1.2%+4.6%+4.9%
Q4 2022+4.1%-0.5%+9.1%
Q3 2022+0.7%-4.1%-4.5%
Q2 2022+4.7%+11.3%+27.0%
Q1 2022+3.5%+2.3%-11.0%
Q4 2021-2.4%-4.8%-2.7%
Q3 2021-3.5%-1.3%+0.9%
Q2 2021+2.3%+5.5%+3.7%
Q1 2021+12.1%+5.6%+14.3%
Q4 2020+8.2%+7.6%+3.7%
Q3 2020-2.0%+2.2%+7.5%
Q2 2020+7.9%+1.6%+15.3%
Q1 2020+10.2%+15.1%+38.8%
Q4 2019+1.0%+6.0%+20.7%
Q3 2019+5.0%+6.5%+9.3%
Q2 2019-7.5%-5.7%-7.1%
Q1 2019+0.1%-1.6%+4.7%
Q4 2018+5.3%+5.4%+7.3%
Q3 2018-4.4%-2.8%-7.5%
Q2 2018+4.1%+6.7%+6.7%
Q1 2018+12.1%+6.5%-4.6%
Q4 2017+4.3%+3.9%-12.0%
Q3 2017+6.8%+5.8%+4.3%
Q2 2017+1.0%-1.2%+1.0%
Q1 2017-3.7%-3.1%-1.5%
Q4 2016-1.0%-2.0%+2.0%
Q3 2016-3.6%-4.4%-8.2%
Q2 2016-1.5%-4.1%+4.7%
Q1 2016+2.4%
Q4 2015-1.3%
Q3 2015-4.4%
Q2 2015+5.0%
Q1 2015+1.1%
Q4 2014-5.6%
Q3 2014+5.8%
Q2 2014+0.2%
Q1 2014-4.3%
Q4 2013+5.2%
Q3 2013+5.4%
Q2 2013+2.9%
Q1 2013+2.3%
Q4 2012-1.2%
Q3 2012-3.3%
Q2 2012+7.2%
Q1 2012+4.8%
Q2 2011-3.5%
Q4 2010-3.5%
Q4 2011-3.5%
Q3 2011+2.0%
Q1 2010-0.3%
Q1 2011-0.3%
Q4 2008+1.4%
Q2 2010+1.4%
Q4 2009+6.0%
Q3 2009+6.0%
Q3 2010+6.0%

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