lennar (LEN): Shares fell after the homebuilder reported that its third-quarter results were impacted by higher rates. Revenue was $8.9 billion for the quarter, excluding Wall Street’s estimate of $9.04 billion. Net earnings per diluted share increased 11% to $5.03.
New orders fell by 12% to 14,366 homes, while mortgage rates continued to rise. Despite the delay, Lennar executive chairman Stuart Miller remained optimistic, writing in the release: “Sales have clearly been impacted by rising interest rates, but a significant national housing shortage, particularly housing for the workforce, remains and demand remains. strong while we go through the rebalancing between price and interest.”
KB home page (KBH): Shares fell during prolonged trading after the homebuilder reported third-quarter deliveries that fell short of Wall Street’s estimate. KB Home noted continued supply chain constraints as headwinds during the quarter and warned that these issues could impact fourth-quarter results. Chairman and CEO Jeffrey Mezger noted, “The combination of rising mortgage interest rates, ongoing inflation and other macroeconomic concerns has left many potential buyers on hold in their decision to buy a home.” KB Home reported third-quarter profit of $2.67 on revenue of $1.87 billion.
General engines (GM): GM is closing reservations for its GMC Hummer electric pickup and GMC Hummer SUV after more than 90,000 vehicles were reserved, according to CNBC. Reservations currently run until 2024.
steel case (SCS): The office furniture maker missed sales in the second quarter and gave a weaker-than-expected outlook for the third quarter, pushing shares lower in after-hours trading. Steelcase announced additional cuts in planned spending, including the elimination of up to 180 positions, and cut its quarterly dividend due to the “uncertain demand environment.” Shares are down 21% since the start of the year.