"When you think about the margins, the pressure really is coming from incentives, which is market-driven, as well as additional land costs coming through on our newer neighborhoods, Zack Sawyer, CFO at Ashton Woods, said during a conference call held on Tuesday."
"We are seeing a nice spring season. Traffic has been up, just choppy. It's been choppy for quite a while, Balogh said. Then you get to March, and we have this environment with rates going up."
"If you have the right incentives in place and the right inventory available to sell, we found that we're still able to sell at a pretty strong pace."
Ashton Woods, a major private homebuilder, opted to maintain a strong sales pace despite declining profit margins and revenues. In Q3 2026, total revenues fell to $79.27 million, a 6% decrease from the previous year, while net income dropped by 30%. The gross profit margin for home sales decreased to 16.6%. The average sales price of homes also declined to $353,000. The company faces pressure from market-driven incentives and rising land costs, yet continues to focus on sales volume, adapting to market conditions with strategic incentives.
Read at www.housingwire.com
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