Hovnanian Says Revenue May Top Estimates as Deals Delayed
Hovnanian Enterprises Inc. (HOV), New Jersey’s largest homebuilder, said revenue for the quarter that ended this week should meet or exceed analysts’ estimates even as superstorm Sandy pushed back the completion of some deals.
Revenue for the fiscal fourth quarter may top the First Call estimate of $461.1 million from Thomson Reuters Corp., the Red Bank-based homebuilder said in a statement today. Nine analysts surveyed by Bloomberg have an average estimate for revenue of $462.3 million.
Sandy, which battered New Jersey on Oct. 29 in the biggest storm in Atlantic history, delayed 50 to 75 home deliveries, Hovnanian said. Closings are typically weighted toward the end of the quarter and fiscal year, according to the company.
“Since we expect these 50 to 75 homes to be delivered later in fiscal 2013 and our sales backlog remains very strong, we do not expect any long-term impact as a result of Hurricane Sandy,” Chairman and Chief Executive Officer Ara K. Hovnanian said in the statement.
The majority of damage at the company’s communities should be covered by insurance, Hovnanian said.
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