TOL Q3 2025 Earnings
Reported Aug 19, 2025 at 4:48 PM ET · SEC Source
Q3 25 EPS
$3.73
Q3 25 Revenue
$2.95B
vs S&P Since Q3 25
-5.3%
TRAILING MARKET
TOL +7.7% vs S&P +12.9%
Market Reaction
Did TOL Beat Earnings? Q3 2025 Results
Toll Brothers delivered a solid fiscal third quarter, posting earnings per share of $3.73 on record home sales revenue of $2.88 billion, with total revenue reaching $2.95 billion as the luxury homebuilder benefited from 2,959 deliveries at an average… Read more Toll Brothers delivered a solid fiscal third quarter, posting earnings per share of $3.73 on record home sales revenue of $2.88 billion, with total revenue reaching $2.95 billion as the luxury homebuilder benefited from 2,959 deliveries at an average price of $973,600. While net income edged down slightly to $369.62 million from $374.61 million a year ago, diluted EPS climbed from $3.60 to $3.73 as share repurchases, totaling $201.40 million in the quarter, reduced the outstanding count meaningfully. The headline numbers came in ahead of expectations, though gross margin compression proved the quarter's sharpest blemish, with the adjusted home sales gross margin narrowing to 27.5% from 28.8% a year earlier amid rising inventory impairments of $23.32 million. Backlog contracted 10% in value to $6.38 billion and 19% in units to 5,492 homes, a trend that colored management's Q4 guidance of 3,350 deliveries, a figure that fell short of analyst expectations, even as CEO Douglas Yearley pointed to the resilience of the luxury buyer and maintained a full-year delivery target of 11,200 homes.
Key Takeaways
- • Record third quarter home sales revenues of $2.9 billion, up 6% YoY
- • 5% increase in delivered homes to 2,959 units
- • Average sales price of new contracts up 4.5% YoY to $1.0 million
- • SG&A improved to 8.8% of revenues from 9.0% a year ago
- • Adjusted home sales gross margin of 27.5%, 25 basis points above guidance
- • Community count grew to 420 from 404 a year ago
TOL YoY Financials
Q3 2025 vs Q3 2024, source: SEC Filings
TOL Revenue by Segment
With YoY comparisons, source: SEC Filings
“We are pleased to report another strong quarter. We delivered 2,959 homes at an average price of $974,000, generating record third quarter home sales revenues of $2.9 billion, a 6% increase over last year. We achieved an adjusted gross margin of 27.5%, or 25 basis points above guidance, and our SG&A margin of 8.8% was 40 basis points better than guidance. We earned $370 million after taxes, or $3.73 per diluted share, and returned $226 million to stockholders through share repurchases and dividends, positioning us for another year of healthy profitability and solid returns.”
— Douglas C. Yearley, Jr., Q3 2025 Earnings Press Release
TOL Earnings Trends
TOL vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
TOL EPS Trend
Earnings per share: estimate vs actual
TOL Revenue Trend
Quarterly revenue: estimate vs actual
TOL Quarterly Results
4 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $2.11 | $2.19 | +3.92% | $2.15B | +15.65% |
| Q4 25 MISS FY | $4.89 | $4.58 | -6.34% | $3.42B | +3.17% |
| FY Full Year | $13.82 | $13.49 | -2.36% | $10.97B | +0.97% |
| Q3 25 | — | $3.73 | — | $2.95B | — |
| Q2 25 BEAT | $2.86 | $3.50 | +22.36% | $2.74B | +9.92% |