KB Home Q1 revenues rise
KB Home reported its first-quarter net loss narrowed by $33.3 million, or 73%, to $12.5 million, compared with a net loss of $45.8 million in the first quarter of 2012.
Revenues for its first quarter ended Feb. 28 increased 59% to $405.2 million from $254.6 million for the first quarter of 2012 as a result of an increase in the number of homes delivered and a higher average selling price. Compared with the year-earlier quarter, revenues were up across all of the company’s home-building regions.
KB Home delivered 1,485 homes, up 29% from the first quarter of 2012.
This is the third consecutive quarter that the company generated home-building operating income, and the first time it has posted first-quarter operating income since 2007. It reported an operating income of $.5 million, a $31.6 million improvement from an operating loss of $31.1 million for the year-earlier quarter.
Each of the company’s four home-building regions generated a year-over-year increase in net order value, ranging from 41% in the Central region to 133% in the West Coast region.
Net orders rose 40% to 1,671 in the first quarter of 2013, up from 1,197 in the year-earlier quarter.
"Our strategies targeting growth and profitability are working as evidenced by our significantly improved financial and operational results in the first quarter," said Jeffrey Mezger, president and CEO. "Our revenues grew by 59% from a year ago, driven by both higher deliveries and increased pricing power in our served markets, reflecting the success of our land repositioning initiatives and a shift in consumer demand to larger homes."
Kuiken Brothers plans consolidation
Fair Lawn, N.J.-based pro dealer Kuiken Brothers plans to move its Ogdensburg, N.J., operations to Wantage, N.J., and Sucasunna, N.J.
The move will be effective May 1, the company said, in its Contractor Connection newsletter.
"Our sales team, operations staff, inventory and fleet of vehicles will be transitioned to our existing yards in the coming weeks," the company said. "Our goal, as always is to provide you with the top quality building materials when and where you need them. We will not have any service disruptions.
The pro dealer said: "The operations at Kuiken Brothers Ogdensburg, N.J., location will be transitioned to our highly efficient Wantage, N.J., yard and our brand new, state-of-the-art drive-through yard in Succasunna, N.J. Both locations are ideally suited to maintain and continue to grow our business in Sussex County."
Kuiken Brothers currently operates yards in eight New Jersey locations — Fair Lawn, Emerson, Midland Park, Ogdensburg, Wantage, Garfield, Succasunna and Roseland. It also has a yard in Warwick, N.Y.
ABC Supply acquires Lee Wholesale Supply
ABC Supply has acquired substantially all of the assets of Lee Wholesale Supply, a distributor specializing in steep-slope roofing, siding and windows with four locations in the Michigan communities of Livonia, Macomb, New Hudson and Port Huron.
“We are actively looking for acquisitions that will allow us to continue growing and make us an even stronger partner for our customers, and Lee Wholesale certainly fits that profile,” said David Luck, president and CEO of ABC Supply.
Lee Wholesale complements ABC Supply’s existing locations in Southfield, Taylor and Warren, bringing the total number of locations that serve contractors in the Detroit market area to seven.
Customers of Lee Wholesale will continue to find familiar faces behind the counter, with the Lee Wholesale team — including former owner John Wrobleski and other members of the Wrobleski family — joining ABC Supply.
“Contractors will continue to work with the people they’ve come to know, trust and rely on, and the branches will continue to offer the products, brands and services that customers have come to expect at all former Lee Wholesale locations,” Luck said. “The only visible difference will be the name on the door. We are excited to have John and his team join the ABC Supply family and look forward to serving our new customers in the Detroit metropolitan area.”
ABC Supply has more than 450 branches in 45 states.