Hovnanian Enterprises A

Hovnanian reported Q3 revenue of $706 million, slightly above its own forecast mid‑point but below the market expectation of $723.5 million, and recorded an adjusted pre‑tax loss of $2 million — its first earnings miss in 23 quarters. Gross margin improved to 14.6% and the SG&A ratio fell to 12.3%, but weaker earnings from joint ventures and timing effects on projects weighed on profitability. Management guides Q4 revenue of $800–900 million and an adjusted pre‑tax profit of $15–30 million. The shares fell 12.74% in premarket trading to $111.40. » More on de.investing.com

Hovnanian reported Q2 FY2026 EPS of -$0.46 (expectation -$0.29) and revenue of $667.65 million versus projected $763.6 million. Despite the negative earnings and revenue surprise, the stock rose 8.66% to $98.01 after the company highlighted liquidity of $442 million and a strategic shift toward higher‑margin products. Adjusted gross margin improved to 14.3% and management expects an EPS recovery with significant growth by FY2027. » More on de.investing.com

Hovnanian and GTIS Partners are forming a $200 million joint venture to develop and sell about 907 units across seven residential communities in five U.S. states. GTIS is providing $150 million of equity, Hovnanian $50 million; completion costs are estimated at about $545 million, and the property value at $617 million. At signing 125 homes had been sold (backlog ~ $82 million), and Hovnanian reported strong short‑term liquidity (current ratio 4.57) and nearly $3 billion in revenue over the last twelve months. » More on de.investing.com

At the J.P. Morgan conference Hovnanian emphasized the shift from first‑time buyer segment to move‑up buyers and “Active Adults,” disciplined land acquisition and a “land‑light” model with partners. Sales incentives rose to 12.5%, weighing on margin; target gross margin is around 20%; construction costs fell slightly to $95–96/ft². Liquidity stands at $470m; land spend was reduced from $250m to $150m per quarter. The company targets a debt‑to‑capital ratio of 30% in 2–3 years and sees regional momentum especially in the US Northeast. » More on de.investing.com

Hovnanian reported Q1 FY2026 earnings per share of $2.62 and revenue of $632 million, significantly beating expectations. At the same time, adjusted gross margin fell from 18.3% to 13.4%, driven by higher sales incentives (12.6% of revenue) to support demand. The company reduced quick-move-in inventory by 36%, improved balance-sheet metrics and remains committed to an asset-light strategy. For Q2 Hovnanian expects revenue of $625–725 million and an adjusted gross margin of 13.0–14.0%. » More on de.investing.com