KB Home Fourth Quarter 2012 Numbers
$7.7 M -44.5%
($59 M) +67%
Behind the Numbers:It was a profitable quarter, but a year of losses for KB Home, though the company’s losses narrowed from 2011. Profits took a hit from a $2.3 million charge related to repairs of condominiums in Florida that had water intrusion damage. But there were some high notes in the builder’s numbers, including increases in the company’s average selling price, which was up by $232,300 to $270,700. KB Home is selling at a quicker pace per community, but its community count has dropped, constraining revenue. That’s a situation it is working to remedy. CEO Jeffrey Mezger said KB plans to significantly increase its communities next year.