KB Home 2nd-quarter loss narrows, but misses estimates; new home orders spike from 1st quarter

KB Home 2Q loss narrows, new orders up from 1Q

NEW YORK — KB Home is reporting a smaller loss for its second quarter than a year ago but the earnings results still missed Wall Street’s estimates.

But the homebuilder says its new home orders and cancellation rate improved compared with the first three months of the year.

The Los Angeles-based company said Friday it lost $78.4 million, or $1.03 per share, for the three months ended May 31. It lost $255.9 million, or $3.30 cents per share, a year earlier.

It says quarterly revenue tumbled 40 percent to $384.5 million.

Analysts expected a smaller loss of 64 cents per share. Their estimates typically exclude one-time items.

But KB Home says its new home orders climbed 59 percent from the first quarter and the number of buyers backing out of contracts dropped.