Home builder upbeat on sales, earnings
Advertiser Staff
Honolulu-based home builder Schuler Homes Inc. said net income for the three months to March 31 rose to $34.5 million, or 81 cents a share diluted, compared with $26.6 million, or 64 cents a share diluted, in the same period a year earlier.
James K. Schuler, president and chief executive, said he expects sales and net income to increase by "approximately 10 percent" in the year to March 31, 2002.
On April 3, a merger between Schuler Homes and California-based Western Pacific Housing was completed, with the combined company retaining the name of Schuler Homes Inc. The earnings reflect the combined earnings of the two companies.
On a combined basis, Schuler Homes recorded revenues of $488.4 million, primarily from the closing of sales of 1,594 new homes during the quarter ended March 31, compared with revenues of $416.7 million a year earlier.
Schuler said that as of March 31, it had 1,725 sales in backlog with an aggregate sales value of $455.7 million, 74 active projects in the sales stage, and control of more than 29,600 lots, approximately 51 percent of which are under option.
Because of the merger, the quarter ended March 31 now represents the end of the company's fiscal year. For the year, combined revenues were $1.34 billion on 4,897 home closings, up 21 percent from $1.11 billion on 4,609 closings during the 12 months ended March 31.
Excluding non-cash charges, Schuler Homes reported combined net income of $80.6 million for the recent fiscal year, an increase of 51.5 percent over $53.2 million for the previous fiscal year. On a per-share basis, net income was $1.93 per share vs. $1.32 per share for the same periods.
The company said its operating plan for the coming year calls for continued expansion in existing markets. In Hawai'i, which represented 6 percent of Schuler Homes revenue this past fiscal year, the company expects business to grow about 10 percent this year.
Schuler Homes builds primarily entry-level homes. Schuler said that with the merger, it is now one of the top 15 home builders in the nation, one of the largest home builders in California, and among the top three home builders in Colorado, Washington, Oregon and Hawai'i, with a growing presence in Arizona.
