NYSE$TOL

Toll Brothers Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Toll Brothers reported solid results under challenging conditions, with net income of $75.7 million and home sales revenues of $1.52 billion.

Toll Brothers reported a decrease in net income and home sales revenues compared to the same quarter last year, but the company is encouraged by recent deposit activity and web traffic. They ended the quarter with approximately $2.0 billion of liquidity.

  • Net income was $75.7 million, or $0.59 per share diluted, compared to $129.3 million, or $0.87 per share diluted, in the prior year's second quarter.
  • Home sales revenues were $1.52 billion, down 11% from the prior year's second quarter.
  • Net signed contract units were 1,886, down 22% from the prior year's second quarter; contract value was $1.55 billion, down 22%.
  • Backlog in units at second-quarter end was 6,428, down 1%; backlog value was $5.49 billion, down 3%.

Headline financials

Total Revenue

$1.55B

Previous: $1.72B-9.7%
EPS (adj)

$0.59

Previous: $0.87-32.2%
Net signed contracts value

$1.55B

No prior period
Net signed contracts units

1.9K

No prior period
Backlog value

$5.49B

No prior period
Backlog units

6.4K

No prior period
Avg backlog price

$855K

Previous: $876K-2.4%
Deliveries

1.9K

No prior period
Capital Expenditures

-$50.8M

Previous: -$44.9M-12.9%
Free Cash Flow

-$207M

Previous: -$43.5M-375.5%
Net Income

$75.7M

Previous: $129M-41.5%
Operating Income

$92.5M

Previous: $160M-42.3%
Gross Profit

$272M

Previous: $339M-19.7%
Cash & Equivalents

$741M

Previous: $924M-19.8%
Total Assets

$10.8B

Previous: $10.3B+5.2%
Stock-Based Comp

$3.42M

Previous: $5.33M-35.9%

Revenue & EPS history

Toll Brothers · Revenue · Quarterly

$1.55B

Q2 2020-9.7%vs Q2 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Toll Brothers · $1.48B total across 5 segments · Q2 2020

  • Pacific
    $423M
  • Mountain
    $338M
  • North
    $296M
  • South
    $231M
  • Mid-Atlantic
    $193M

Forward guidance

Due to the business disruption and the evolving and uncertain impact of the Covid-19 pandemic on the U.S. economy, the Company has withdrawn its full fiscal year 2020 guidance and will suspend providing such guidance for the foreseeable future.

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 Q2 2020

Historical avgQ2 2020

-0.2%

Avg return

Earnings day

+0.5%

Avg return

5 days after

-0.6%

Avg return

30 days after

51%

35 / 68 earnings

Positive

+10.5%

Q3 2018

Best reaction

-19.5%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+9.9%+8.3%+25.5%
Q1 2026-2.5%-3.3%-19.4%
Q4 2025-2.4%+2.2%-0.5%
Q3 2025-0.7%+4.9%+5.7%
Q2 2025-0.4%-0.2%+3.6%
Q1 2025-5.9%-9.4%-13.0%
Q4 2024-5.5%-13.1%-17.6%
Q3 2024+5.5%+11.3%+14.6%
Q2 2024-9.0%-6.2%-11.7%
Q1 2024+5.3%+8.9%+23.8%
Q4 2023+1.9%+6.5%+13.2%
Q3 2023+5.1%+3.1%-1.9%
Q2 2023+0.6%+5.2%+17.2%
Q1 2023+0.5%+2.0%+1.9%
Q4 2022+5.6%+4.0%+11.3%
Q3 2022+1.5%+1.3%-7.6%
Q2 2022+2.9%+9.4%-4.9%
Q1 2022-9.4%-0.8%-8.4%
Q4 2021+2.3%+5.3%-3.2%
Q3 2021+7.2%+8.5%+0.9%
Q2 2021+6.3%+7.7%-6.1%
Q1 2021+4.3%-0.4%+4.8%
Q4 2020-5.4%-7.3%-11.6%
Q3 2020-1.3%-6.0%+3.9%
Q2 2020+7.0%+6.7%-2.7%
Q1 2020-19.5%-21.2%-52.9%
Q4 2019-3.6%-2.8%+1.1%
Q3 2019-3.2%-4.0%+7.5%
Q2 2019-2.4%-3.2%-0.2%
Q1 2019-2.6%-5.0%-2.4%
Q4 2018-1.0%-1.2%-1.0%
Q3 2018+10.5%+6.6%+3.3%
Q2 2018-8.5%-6.6%-14.3%
Q1 2018-7.8%-7.6%-9.0%
Q4 2017-7.9%-5.5%-1.0%
Q3 2017-2.0%-1.3%+4.1%
Q2 2017-0.2%-1.7%+2.3%
Q1 2017+6.2%+7.5%+12.1%
Q4 2016+7.0%+5.6%+4.6%
Q3 2016+5.8%+4.8%-0.4%
Q2 2016+7.3%+7.6%+1.8%
Q1 2016+3.1%
Q4 2015-9.8%
Q3 2015-5.5%
Q2 2015-1.4%
Q1 2015+3.8%
Q4 2014-7.6%
Q3 2014-5.4%
Q2 2014+2.1%
Q1 2014+1.5%
Q4 2013-2.4%
Q3 2013+2.6%
Q2 2013+4.4%
Q1 2013-6.6%
Q4 2012-5.6%
Q3 2012+2.5%
Q2 2012+2.1%
Q1 2012+1.3%
Q4 2011-2.7%
Q3 2011+0.2%
Q2 2011-2.0%
Q1 2010+2.8%
Q1 2011+1.6%
Q2 2010-0.2%
Q4 2008-0.2%
Q3 2010+1.6%
Q3 2009+1.6%
Q4 2009+1.6%

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