Forestar ( (FOR) ) has released its Q4 earnings. Here is a breakdown of the information Forestar presented to its investors.
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Forestar Group Inc., a leading national residential lot developer and a majority-owned subsidiary of D.R. Horton, operates in 64 markets across 23 states, focusing on delivering residential lots to homebuilders.
In its latest earnings report, Forestar announced a strong performance for the fourth quarter of fiscal 2025, with net income increasing by 7% to $87 million and consolidated revenues rising by 22% to $670.5 million. However, for the full fiscal year, net income decreased by 17% to $167.9 million, despite a 10% increase in revenues to $1.7 billion.
Key financial metrics for Forestar include a pre-tax income of $219.3 million for fiscal 2025, with a pre-tax profit margin of 13.2%. The company sold 14,240 lots during the year, a 5% decrease from the previous year, and maintained a strong lot position with 99,800 lots owned and controlled. Forestar’s return on equity stood at 10.1%, and its book value per share increased by 11% to $34.78.
Looking ahead, Forestar’s management remains optimistic, projecting the delivery of 14,000 to 15,000 lots in fiscal 2026, generating revenues between $1.6 billion and $1.7 billion. The company plans to leverage its strong balance sheet and strategic relationship with D.R. Horton to continue expanding its market share and driving long-term shareholder value.