Q1 25 EPS
$94.83
MISS 10.60%
Est. $106.07
Q1 25 Revenue
$2.40B
BEAT +2.47%
Est. $2.35B
vs S&P Since Q1 25
-48.8%
TRAILING MARKET
NVR -14.2% vs S&P +34.6%
Market Reaction
Did NVR Beat Earnings? Q1 2025 Results
NVR posted a mixed first quarter for 2025, with a sharp earnings miss overshadowing a modest revenue beat as margin pressure and a punishing tax headwind weighed heavily on the bottom line. Diluted EPS came in at $94.83, falling 10.60% short of the $… Read more NVR posted a mixed first quarter for 2025, with a sharp earnings miss overshadowing a modest revenue beat as margin pressure and a punishing tax headwind weighed heavily on the bottom line. Diluted EPS came in at $94.83, falling 10.60% short of the $106.07 consensus estimate, while revenue of $2.40 billion edged 2.47% above expectations and grew 2.8% year over year. The single most consequential driver of the earnings shortfall was a dramatic swing in tax benefits from stock option exercises, which collapsed to just $2.70 million from $43.80 million a year ago, pushing the effective tax rate to 25.5% from 16.2% and erasing a tailwind that had meaningfully supported prior-year profits. Compounding the pressure, homebuilding gross margin contracted to 21.9% from 24.5%, as higher lot costs and affordability-driven pricing constraints bit into profitability. New orders dropped 12% to 5,345 units and the cancellation rate climbed to 16%, reflecting the broader industry headwinds that analysts expect to persist well into the second half of 2025.
Key Takeaways
- • Settlement volume increased 1% to 5,133 units with average settlement price up 2% to $457,900
- • Homebuilding gross profit margin compressed to 21.9% from 24.5% due to higher lot costs and pricing pressure from affordability challenges
- • Effective tax rate increased to 25.5% from 16.2% driven by significantly lower excess tax benefits from stock option exercises ($2.7M vs $43.8M)
- • Mortgage banking income before tax increased 12% to $32.5 million
- • Mortgage closed loan production increased 4% to $1.43 billion
NVR YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
NVR Revenue by Segment
With YoY comparisons, source: SEC Filings
NVR Earnings Trends
NVR vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
NVR EPS Trend
Earnings per share: estimate vs actual
NVR Revenue Trend
Quarterly revenue: estimate vs actual
NVR Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | $67.76 | — | $1.88B | -6.94% |
| Q4 25 BEAT FY | $105.90 | $121.54 | +14.77% | $2.71B | +12.39% |
| FY Full Year | $421.88 | $436.55 | +3.48% | $10.32B | +4.56% |
| Q3 25 BEAT | $109.36 | $112.33 | +2.72% | $2.61B | +7.36% |
| Q2 25 BEAT | $107.52 | $108.54 | +0.95% | $2.60B | +4.81% |
| Q1 25 MISS | $106.07 | $94.83 | -10.60% | $2.40B | +2.47% |