DOW JONES NEWSWIRES
Beazer Homes USA Inc. (BZH) said it might miss order
expectations for its about-to-end fiscal fourth quarter as it cut
estimates for the year on land and development spending as the
expiration of a federal home-buyer tax credit continues to weigh on
builders.
The company on Wednesday noted "a slower-than-anticipated
improvement in new home orders after the expiration" of the
government's $8,000 first-time home-buyer tax credit, which had
boosted builders' results significantly. Since the credit expired
in April, though, new-home orders have been on the skids.
Beazer originally expected orders for the year ending Sept. 30
to top year-earlier levels, which meant fourth-quarter orders of at
least 767 homes. The company on Wednesday said it expects the
figure to range from 700 to 800.
It also expects the year's spending on land and development to
fall short of its prior estimate of $200 million to $220
million.
Meanwhile, closing from continuing operations would total about
4,600 homes for the year, up from 4,330 a year earlier.
Last month, Beazer reported that its fiscal third-quarter loss
was little changed because of a prior-year gain, while it reported
a 73% surge in closings as buyers raced to qualify for the tax
credit. Orders fell 33%.
Shares closed at $4.54 on Tuesday and were inactive
premarket.
-By Nathan Becker, Dow Jones Newswires; 212-416-2855;
nathan.becker@dowjones.com