PulteGroup Q3 2025 – Net Income Drops to $586M

By Philip Seaworth • Tuesday, October 21 10:29 • Permanent Link

PulteGroup, Inc. has released its financial results for the third quarter of 2025, reporting a net income of $586 million, or $2.96 per share. This is a decrease from the prior year period when the company reported a net income of $698 million, or $3.35 per share.

The company's home sale revenues for the quarter were $4.2 billion, a 2% decrease from the $4.3 billion realized in the prior year. This decrease is attributed to a 5% decrease in closings to 7,529 homes, partially offset by a 3% increase in the average sales price of homes closed to $564,000.

PulteGroup's home sale gross margin in the third quarter was 26.2%, down from 28.8% in the third quarter of 2024. Additionally, the selling, general, and administrative (SG&A) expense for the third quarter was $401 million, or 9.4% of home sale revenues, compared with $407 million, or 9.4% in the prior year period.

The company reported net new orders totaling 6,638 homes, a decrease of 6% from the prior year net new orders of 7,031 homes. The value of net new orders in the quarter was $3.6 billion, compared with $3.9 billion in the third quarter of the previous year.

PulteGroup's average community count totaled 1,002 in the third quarter, which is a 5% increase from the prior year. At the end of the quarter, the company’s backlog was 9,888 homes with a value of $6.2 billion.

In terms of financial services operations, PulteGroup generated pre-tax income of $44 million, compared with prior year pre-tax income of $55 million. This decline was primarily driven by lower closing volumes in the company’s homebuilding operations, along with a decrease in the mortgage capture rate to 84% compared with 87% the previous year.

During the third quarter, PulteGroup repurchased 2.4 million of its common shares for $300 million. Through the first nine months of 2025, the company repurchased 8.2 million common shares, or 4.0% of shares outstanding, for $900 million, or $109.81 per share. The company ended the quarter with $1.5 billion of cash and a debt-to-capital ratio of 11.2%.

As a result of these announcements, the company's shares have moved -0.95% on the market, and are now trading at a price of $123.27. For more information, read the company's full 8-K submission here.

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