FORT WORTH, Texas--(BUSINESS WIRE)--Oct. 16, 2007--D.R. Horton,
Inc. (NYSE:DHI), America's Builder, the largest homebuilder in the
United States, Tuesday (October 16, 2007), reported net sales orders
for the fourth quarter ended September 30, 2007 of 6,374 homes ($1.3
billion), compared to 10,430 homes ($2.5 billion) for the same quarter
of fiscal year 2006. Net sales orders for fiscal year 2007 totaled
33,687 homes ($8.2 billion), compared to 51,980 homes ($13.9 billion)
for fiscal year 2006. The Company's cancellation rate (sales orders
cancelled divided by gross sales orders) for the fourth quarter of
fiscal 2007 was 48%.
Donald R. Horton, Chairman of the Board, said, "Market conditions
for new home sales declined in our September quarter as inventory
levels of both new and existing homes remained high while pricing
remained very competitive. We also experienced reduced mortgage
availability due to tighter lending standards, and buyers continued to
approach the home buying decision cautiously. We expect the housing
environment to remain challenging.
"We continue to focus on reducing inventory, generating cash flow
and reducing outstanding debt. We significantly reduced our homes
under construction during the fourth quarter, which contributed to
achieving our cash flow from operations goal of $1 billion for the
fiscal year."
The Company will release its fourth quarter results on November
20, 2007 before the market opens. The conference call will be held
Tuesday, November 20, 2007 at 10:00 a.m. Eastern Standard Time (EST).
The dial-in number is 800-374-9096. Participants are encouraged to
call in five minutes before the call begins (9:55 a.m. EST). Please
reference the call host, Donald J. Tomnitz, CEO of D.R. Horton, Inc.
The call will also be webcast from the Company's website at
www.drhorton.com on the "Investor Relations" page.
During the fourth quarter, the Company aligned its external
reporting regions with changes in its internal reporting regions. The
new Midwest region includes the following markets: Denver, Chicago and
Minneapolis. Denver was previously reported in our Southwest region
and Chicago and Minneapolis were previously reported in our Northeast
region. The changes in reporting regions have no effect on the
Company's consolidated financial position, results of operations or
cash flows for the periods presented.
D.R. Horton, Inc., America's Builder, is the largest homebuilder
in the United States. Founded in 1978 in Fort Worth, Texas, D.R.
Horton has expanded its presence to include 83 markets in 27 states in
the Northeast, Midwest, Southeast, South Central, Southwest,
California and West regions of the United States. The Company is
engaged in the construction and sale of high quality homes with sales
prices ranging from $90,000 to over $900,000. D.R. Horton also
provides mortgage financing and title services for homebuyers through
its mortgage and title subsidiaries.
Portions of this document may constitute "forward-looking
statements" as defined by the Private Securities Litigation Reform Act
of 1995. Although D.R. Horton believes any such statements are based
on reasonable assumptions, there is no assurance that actual outcomes
will not be materially different. All forward-looking statements are
based upon information available to D.R. Horton on the date this
release was issued. D.R. Horton does not undertake any obligation to
publicly update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. Forward-looking
statements in this release include our expectation for the housing
market to remain challenging and our continued focus on reducing
inventory, generating cash flow and reducing outstanding debt. Factors
that may cause the actual results to be materially different from the
future results expressed by the forward-looking statements include,
but are not limited to: changes in general economic, real estate,
construction and other business conditions; changes in interest rates,
the availability of mortgage financing or increases in the costs of
owning a home; governmental regulations and environmental matters; the
Company's substantial debt; competitive conditions within the
industry; the availability of capital to the Company on favorable
terms; the Company's ability to successfully effect its growth
strategies; and warranty and product liability claims. Additional
information about issues that could lead to material changes in
performance is contained in D.R. Horton's annual report on Form 10-K
and most recent quarterly report on Form 10-Q, which are filed with
the Securities and Exchange Commission.
WEBSITE ADDRESS: www.drhorton.com
D.R. HORTON, INC.
($s in millions)
NET SALES ORDERS
Three Months Ended September 30,
------------------------------------------
2006 2007
--------------------- --------------------
Homes Value Homes Value
---------- ---------- ---------- ---------
Northeast 1,072 $ 251.9 558 $ 123.2
Midwest 994 286.4 481 141.1
Southeast 1,237 264.7 905 169.4
South Central 3,504 615.6 2,542 441.4
Southwest 1,865 364.1 1,124 199.6
California 1,013 484.5 423 126.3
West 745 265.0 341 108.5
---------- --------- ---------- --------
10,430 $ 2,532.2 6,374 $ 1,309.5
========== ========= ========== ========
Year Ended September 30,
------------------------------------------
2006 2007
--------------------- --------------------
Homes Value Homes Value
---------- ---------- ---------- ---------
Northeast 4,999 $ 1,233.5 3,085 $ 792.3
Midwest 5,007 1,471.3 3,065 887.0
Southeast 7,082 1,753.8 5,206 1,130.4
South Central 14,682 2,536.4 9,740 1,723.5
Southwest 9,065 2,210.8 6,244 1,210.4
California 7,050 3,238.6 3,670 1,539.6
West 4,095 1,450.8 2,677 947.4
---------- --------- ---------- --------
51,980 $ 13,895.2 33,687 $ 8,230.6
========== ========= ========== ========
CONTACT:
D.R. Horton, Inc., Fort Worth
Stacey Dwyer, EVP, 817-390-8200
SOURCE:
D.R. Horton, Inc.
