FORT WORTH, TX -- D.R. Horton, Inc. reported that net income for its second fiscal quarter ended March 31, 2014 increased 18% to $131.0 million, from $111.0 million in the same quarter of fiscal 2013. Homebuilding revenue for the second quarter of fiscal 2014 increased 22% to $1.7 billion from $1.4 billion in the same quarter of 2013. Homes closed in the quarter increased 10% to 6,194, compared to 5,643 homes in the year ago quarter.
Net sales orders for the second quarter ended March 31, 2014 increased 9% to 8,569 homes from 7,879 homes in the year-ago quarter and the value of net sales orders increased 20% to $2.4 billion from $2.0 billion. The Company's cancellation rate (cancelled sales orders divided by gross sales orders) for the second quarter of fiscal 2014 was 19%. Net sales orders for the first six months of fiscal 2014 increased 7% to 14,023 homes from 13,138 homes in the first six months of fiscal 2013 and the value of net sales orders increased 18% to $3.9 billion from $3.3 billion.
Donald R. Horton, Chairman of the Board, said, "Our homebuilding and financial services operations delivered a great quarter, highlighted by pre-tax income of $201.9 million and a pre-tax income margin of 11.6%. The dollar value of our homes sold, closed and in backlog all increased by double-digit percentages. Our net sales orders in the March quarter were up 57% sequentially from the December quarter and up 9% from the March quarter last year. Our average sales price increased 10% to $278,900, reflecting continued pricing power in many of our markets.
"Housing market conditions remain favorable, and as expected, the pace and strength of the improvement varies significantly across our local operating markets. Our broad geographic footprint, diversified product offerings, solid balance sheet and robust finished lot supply put us in a strong position to capture demand and increase revenues and profitability in the second half of our fiscal year."