DR Horton

DHI Q2 2025 Earnings

Reported Apr 17, 2025 at 11:26 AM ET · SEC Source

Q2 25 EPS

$2.58

MISS 2.48%

Est. $2.65

Q2 25 Revenue

$7.73B

MISS 3.71%

Est. $8.03B

vs S&P Since Q2 25

-11.2%

TRAILING MARKET

DHI +25.7% vs S&P +36.9%

Market Reaction

Did DHI Beat Earnings? Q2 2025 Results

D.R. Horton delivered a disappointing fiscal second quarter, missing Wall Street expectations on both the top and bottom lines as a sluggish spring selling season weighed heavily on results. The nation's largest homebuilder posted diluted EPS of $2.5… Read more D.R. Horton delivered a disappointing fiscal second quarter, missing Wall Street expectations on both the top and bottom lines as a sluggish spring selling season weighed heavily on results. The nation's largest homebuilder posted diluted EPS of $2.58, falling short of the $2.65 consensus estimate by 2.48%, while revenue came in at $7.73 billion, a 3.71% miss against forecasts and a sharp 15.1% decline from the year-ago period. The core culprit was a pronounced slowdown in buyer activity, with Executive Chairman David Auld pointing to continued affordability constraints and declining consumer confidence that kept prospective buyers on the sidelines; net sales orders fell 15% to 22,437 homes, and the cancellation rate edged higher to 16%. Net income dropped 31% to $810.40 million as the company leaned on incentives to move inventory, with over 8,400 completed homes sitting unsold. Looking ahead, management trimmed its full-year outlook, now guiding for consolidated revenues of $33.30 billion to $34.80 billion and home closings of 85,000 to 87,000, while still committing to roughly $4.00 billion in share repurchases.

Key Takeaways

  • Slower-than-expected spring selling season due to continued affordability constraints and declining consumer confidence
  • Net sales orders and homebuilding revenues decreased 15% from prior year
  • Home sales gross margin of 21.8% at midpoint of guidance range
  • Cancellation rate increased to 16% from 15% year-over-year
  • Operators increasing sales incentives to drive traffic and incremental sales
  • 65% of homes closed were on lots developed by Forestar or third parties
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DHI YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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DHI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q2 26
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DHI Revenue by Geography

With YoY comparisons, source: SEC Filings

Q2 25 Q3 25

“For the second fiscal quarter of 2025, the D.R. Horton team delivered solid results, highlighted by earnings per diluted share of $2.58. Consolidated pre-tax income for the quarter was $1.1 billion on revenues of $7.7 billion, with a pre-tax profit margin of 13.8%. We leveraged our operational results and strong balance sheet to return $1.4 billion to shareholders through share repurchases and dividends during the quarter, and we have reduced our outstanding share count by 7% from a year ago.”

— David Auld, Q2 2025 Earnings Press Release