Toll Brothers received a six percent boost in its share prices after the Horsham luxury homebuilder reported quarterly revenue and earnings that exceeded analysts’ expectations, writes Jeff Bukhari for Fortune.
Following the news, its share price climbed close to $34, the highest level since the end of 2015 and 43 percent higher than it was a little over a year ago.
The developer reported $921 million in revenue for the quarter, as well as $70 million in profit for the same period.
While revenue was down 0.8 percent and profit fell 3.8 percent from last year, the results still beat projections. Toll Brothers also upped its forecast from 6,700 to 7,500 homes to be sold within the next year.
The company now expects its properties to sell this year for between $775,000 and $825,000 on average, and will also start to issue a dividend from April.
Before this week, some analysts had expressed concern that some of the home builder’s high-end markets were weakening.
However, the earnings report indicates that there is enough strength in other aspects of the business to offset this with new contracts rising to $1.24 billion, a 14 percent increase over last year.
Read more about the luxury homebuilder’s quarterly results at Fortune by clicking here.