HORSHAM, PA -- Toll Brothers, Inc., the nation's leading builder of luxury homes, announced fourth quarter net income of $94.9 million, compared to $411.4 million in FY 2012's fourth quarter. Included in FY 2013's fourth quarter net income was a deferred tax asset valuation allowance reversal of $4.6 million, compared to a deferred tax asset valuation allowance reversal of $394.7 million in FY 2012's fourth quarter.
Revenues of $1.04 billion and homebuilding deliveries of 1,485 units rose 65% in dollars and 36% in units, compared to FY 2012's fourth quarter.
Net signed contracts of $839.0 million and 1,163 units rose 23% in dollars and 6% in units, compared to FY 2012's fourth quarter. On a per-community basis, FY 2013's fourth-quarter net signed contracts of 5.17 units per community, up 6% versus FY 2012's same period, were the highest for any fourth quarter since FY 2005.
The average price per unit of net contracts signed in FY 2013's fourth quarter was $721,000, compared to $706,000 in FY 2013's third quarter and $623,000 in FY 2012's fourth quarter.
Robert I. Toll, executive chairman, stated: "We believe that Toll Brothers, as well as the other public home building companies, still have significant room for growth. The economy, while still improving slowly, is far from fully recovered. National housing starts, although projected to be up in 2013 compared to 2012, will still be well below the average of the last forty years despite an increased population.
"Due to a shortage of approved home sites, labor constraints in some markets, and a lack of available capital for small and mid-sized privately-owned builders, the supply of luxury homes is still not meeting current demand, let alone the pent-up demand of the last seven years. This supply constraint could lead to a further escalation in luxury home prices above and beyond normal trends until industry production returns to historic equilibrium."
"Supported by our solid land portfolio, community count growth, strong financial position, broad product diversification, industry-leading brand, and dedicated team, we believe that FY 2014 will be another year of growth for Toll Brothers."