TOUSA, Inc. (NYSE:TOA), the Hollywood, Fla. based builder, said today (Oct. 3) that it has withdrawn all earnings and other financial guidance for this year and next "due to worsening market conditions. TOUSA stock traded below $2 per share during most of the day and fell to $1.80 in after-hours trading as of 4:08 p.m. A stock that falls below $1 risks delisting from the New York Stock Exchange.
"Conditions in all of our markets weakened more than we anticipated due to a number of factors including recent severe liquidity challenges in the credit and mortgage markets, diminished consumer confidence, increased home inventories and foreclosures, and downward pressure on home prices," Antonio B. Mon, TOUSA president and CEO, said in a prepared statement. "All of these factors have contributed to lower gross sales and higher cancellation rates. We remain focused on executing our asset management initiatives, generating cash, paying down debt, and evaluating all opportunities to de-lever the balance sheet to correctly position TOUSA for the current challenging housing market."
The statement added, "The Company does not anticipate providing further guidance in the near future."