D.R. Horton reports Q2 EPS $2.24, consensus $2.12

Reports Q2 revenue $7.6B, consensus $7.6B. David Auld, Executive Chairman, said: “The D.R. Horton (DHI) team delivered a solid second quarter, highlighted by a pre-tax profit margin of 11.5%, above the high end of our guidance range. Consistent with our balanced approach to capital allocation and strong cash flow generation, we returned $1.0 billion to shareholders through share repurchases and dividends during the quarter. Affordability constraints and cautious consumer sentiment continue to impact new home demand; however, our tenured operators executed with discipline, driving an 11% year-over-year increase in net sales orders, while reducing unsold completed homes by 35% from a year ago. We expect our sales incentives to remain elevated in fiscal 2026, with incentive levels dependent on demand, mortgage interest rates and other market conditions. Based on our performance year to date, we remain on track to deliver results within our original fiscal 2026 guidance. Our strong liquidity, low leverage, national scale, affordable product offerings and controlled lot supply provide significant financial and operational flexibility. We remain focused on disciplined capital allocation and are well-positioned to deliver value to our homebuyers while enhancing long-term value for our shareholders.”