TRI Pointe Homes, Inc. Posted a $4.7 Million Profit in Third Quarter, on revenues of $56.8 million. During the quarter the company said new home orders rose to 135 compared to 74 in the same period a year earlier.
Home sales revenue increased $46.8 million to $56.8 million for the 2013 third quarter, as compared to $10.0 million for the same period in 2012, primarily attributable to a significant increase in new homes delivered to 91 and a growth in the Company's average sales price of homes delivered to $624,000. The increase in the average sales price of homes delivered was reflective of increased pricing power and product mix including deliveries in our Northern California projects which have higher average sales prices. Furthermore, the growth in new home deliveries was due to an increase in the average number of selling communities to 7.6 for the 2013 third quarter as compared to 6.0 for the same period in 2012.
New home orders increased to 135 homes for the 2013 third quarter, the highest amount of quarterly orders since the Company began acquiring land in 2010. The Company's overall absorption rate per average selling community for the three months ended September 30, 2013 increased to 17.8 orders (5.92 monthly), compared to 12.3 orders (4.11 monthly) during the same period in 2012. The improved order trends for the 2013 third quarter resulted in an increase in the number of homes in backlog to 227, representing approximately $162.7 million in home sales revenue. The average sales price of homes in backlog increased $154,000, or 27%, to $717,000 compared to September 30, 2012. The increase in the average sales price of homes in backlog was largely due to the success of three new communities that opened in Southern California during the third quarter of 2013 with average sales prices ranging from $700,000 to $1.2 million. We expect that for the balance of 2013, our average sales price will continue to vary due to the mix of units and the timing of our new communities.
Douglas F. Bauer, Chief Executive Officer stated, "Our team continued to execute on our plan by delivering record home sales revenue, homebuilding gross margins, backlog and average selling price in backlog. As a result of this strong performance, we are excited to announce that we are raising our full year 2013 guidance."
"With our recent announcement of an agreement to acquire Weyerhaeuser Real Estate Company, we have accelerated our long term plan to be a leading regional homebuilder in some of the nation's fastest growing markets," Mr. Bauer continued. The combination of WRECO's' local market knowledge and TRI Pointe's strong and established history of success should result in a powerful and focused homebuilding company. This transformative transaction will enable us to broaden our geographic presence, expand our California land holdings, enhance our operating teams with deep talent at all levels of the organization, providing us with the ability to drive future earnings and growth. Furthermore, our market capitalization should expand in excess of $2.5 billion, providing additional liquidity and financial flexibility for the company and our stockholders."