Homex Rises as Trading Resumes After Reporting Narrower Loss
Desarrolladora Homex (HOMEX*) SAB, Mexico’s biggest homebuilder by 2012 revenue, advanced as it resumed trading following a two-week suspension after the company said its loss narrowed in the third quarter.
The shares gained 2.7 percent to 3.02 pesos at 3 p.m. in Mexico City after surging as much as 15 percent in the steepest intraday gain since Oct. 17. Homex tumbled by that amount Oct. 28, just before the exchange halted trading because the homebuilder didn’t comply with rules requiring companies to publish timely financial reports.
Homex said in a Nov. 8 regulatory filing that it lost 3.52 billion pesos ($266 million) during the third quarter, compared with a 10.2 billion peso shortfall during the three months ended in June. The homebuilder reported profit of 436 million pesos during the third quarter last year. Revenue tumbled by 99 percent from a year earlier to 103 million pesos as the Culiacan-based company closed sales offices and cut staff.
Homex had said Oct. 25 that it would miss the exchange’s deadline for reporting third-quarter results as executives focused on financial restructuring. Trading in the company’s biggest competitors, Corp. Geo SAB and Urbi Desarrollos Urbanos SAB, has been halted since they missed second-quarter reporting deadlines in July.
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