As earnings season winds down, William Lyon reported strong fourth quarter results with gains across the board.

"Our 2015 fourth quarter results continued to demonstrate consistent year-over-year improvement in key operating metrics, including deliveries, net new home orders, the dollar value of orders, community count, and both units and dollar value of backlog,” said William H. Lyon, Co-CEO in the earnings release. Mr. Lyon added, “Home sales revenue and deliveries each increased by 13% to $397.2 million and 809 units, respectively, both the highest since 2006, and we generated $26.3 million of net income, or $0.68 per diluted share, a 46% increase.”

Here are some of the 4Q highlights:

  • Net income available to common stockholders of $26.3 million, or $0.68 per diluted share, up 46%
  • Home sales revenue of $397.2 million, up 13%
  • Consolidated revenue of $403.0 million, up 12%
  • New home deliveries of 809 homes, up 13%
  • Average sales locations of 74, up 35%
  • Units in backlog of 739, up 55%
  • Dollar value of homes in backlog of $391.8 million, up 51%
  • Net new home orders of 516, up 10%
  • Dollar value of orders of $243.8 million, up 12
  • Home building gross margin of $72.8 million, up 9%
  • Average sales price (ASP) of new homes delivered of $490,900
  • Home building gross margin percentage of 18.3%
  • Adjusted home building gross margin percentage of 24.2%
  • SG&A percentage of 9.3%, compared to 10.4%
  • Operating Income of $36.0 million, up 18%
  • Adjusted EBITDA of $61.9 million, up 27%

Though he expects positive reaction to the stock today, J.P. Morgan's Michael Rehaut did write that Lyons' order growth came in below expectations:

"Orders rise 10%, modestly below our 15%E. The 10% rise in 4Q orders was driven by a 35% increase in average community count, below our 38% estimate, while absorption (sales pace) was down 18% year over year, in-line with our estimate. By region, Arizona, Nevada and Oregon rose 122%, 114% and 11%, respectively, while Colorado, California and Washington fell 40%, 21% and 5%."

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