Filing Flows › Hovnanian Enterprises (HOV) › Q2 FY25
Hovnanian Enterprises (HOV) Q2 FY25 earnings results (second quarter fiscal 2025)
10-Q filed May 30, 2025
Hovnanian Enterprises (HOV) reported revenue of $686M for the second quarter fiscal 2025 (Q2 FY25), -3% from a year earlier and +2% from the quarter before. Operating margin was 2.5%, net earnings $19.7M (2.9% of revenue).
Hovnanian Enterprises, Q2 FY25: revenue $686M (-3% year over year), operating margin 2.5%, net earnings $19.7M, operating cash flow $22.3M. The chart follows the revenue to costs, profit and cash.
| Q2 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $686M | +2% | -3% |
| Operating profit | $17.1M | -44% | -71% |
| Net earnings | $19.7M | -30% | -61% |
| Operating cash flow | $22.3M | — | -75% |
| Free cash flow | $16.0M | — | -81% |
What changed
Revenue was $686.5M in Q2 FY25, down 3% year over year and up 2% from the previous quarter. Home Building was the largest line at 97% of revenue. Home Building lost $26.1M year over year (down 4%), 119% of the total change.
Operating profit was $17.1M, a 2.5% margin (down 5.7 points year over year). Total costs grew 3% against a revenue fall of 3%. Net earnings were $19.7M, down 57% year over year. The effective tax rate was 25.6%. Non-operating items added $9.4M, 36% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $22.3M (down 75% year over year), 113% of net earnings. Non-cash charges added back $3.0M of depreciation and amortization and $4.2M of share-based compensation. Working capital and other items used $4.7M. Capital expenditures of $6.3M left free cash flow of $16.0M.
Questions
What was Hovnanian Enterprises' revenue in the second quarter fiscal 2025?
Hovnanian Enterprises (HOV) reported revenue of $686M for the second quarter fiscal 2025 (Q2 FY25), -3% from a year earlier and +2% from the quarter before.
Was Hovnanian Enterprises profitable in the second quarter fiscal 2025?
Operating profit was $17.1M (2.5% of revenue) and net earnings $19.7M.