Toll Brothers Inc. ( (TOL) ) has released its Q3 earnings. Here is a breakdown of the information Toll Brothers Inc. presented to its investors.
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Toll Brothers, Inc., a leading builder of luxury homes in the United States, operates in the homebuilding sector, offering a range of services including architectural, engineering, and mortgage solutions. The company is known for its focus on luxury and high-end residential properties across various states.
In its third-quarter earnings report for fiscal year 2025, Toll Brothers reported a slight decrease in net income to $369.6 million, or $3.73 per diluted share, compared to the previous year’s third quarter. Despite this, the company achieved record home sales revenues of $2.88 billion, marking a 6% increase from the prior year, driven by the delivery of 2,959 homes at an average price of $974,000.
Key financial highlights include a stable net signed contract value of $2.41 billion and a backlog value of $6.38 billion, although the number of homes in backlog decreased by 19%. The company’s home sales gross margin stood at 25.6%, with an adjusted gross margin of 27.5%. Toll Brothers also repurchased 1.8 million shares, returning $226 million to stockholders through share repurchases and dividends.
Looking forward, Toll Brothers remains focused on strategic pricing and community management to navigate economic uncertainties and affordability pressures. The company is poised for continued growth with a strong financial position, significant cash flows, and a robust land portfolio, aiming to deliver value to stockholders and sustain profitability into fiscal 2026 and beyond.