Forestar Group said fiscal third-quarter net income attributable to the company rose 9% to $35.9 million, or $0.70 a diluted share, from $32.9 million, or $0.65, a year earlier.
Pre-tax income climbed 12% to $48.7 million from $43.6 million, while revenue increased 4% to $407.0 million from $390.5 million.
Lot deliveries were nearly flat, rising 1% to 3,659 from 3,605 in the prior-year quarter. Of those, 289 lots were sold to customers other than D.R. Horton, down from 530 a year earlier, though the company noted the prior-year figure included 331 lots sold to a lot banker.
For the first nine months of fiscal 2026, net income attributable to Forestar increased 3% to $83.5 million from $81.0 million. Pre-tax income rose 7% to $113.5 million from $106.2 million, and revenue advanced 6% to $1.1 billion from $1.0 billion.
Nine-month lot sales fell 9% to 8,541 from 9,349. Sales to customers other than D.R. Horton dropped to 1,094 from 1,661.
At June 30, Forestar said it owned and controlled 91,700 lots, including 62,200 owned and 29,500 controlled through contracts. Of the owned lots, 23,500 were under contract to be sold, representing about $2.3 billion in future revenue. Another 19,200 owned lots were subject to a right of first offer to D.R. Horton.
The company ended the quarter with $394.9 million in unrestricted cash and $669.9 million of available borrowing capacity, for total liquidity of $1.1 billion. Debt totaled $793.8 million, and net debt to total capital was 17.7%, down to a relatively modest level versus the company’s capital base.
Book value per share increased 10% to $36.40. Return on equity for the trailing 12 months was 9.6%.
Forestar maintained its fiscal 2026 guidance for 14,000 to 14,500 lot deliveries and revenue of $1.6 billion to $1.7 billion. Following these announcements, the company's shares moved -5.18%, and are now trading at a price of $26.74. If you want to know more, read the company's complete 8-K report here.
