Construction and Maintenance Services Stocks Q1 In Review: APi (NYSE:APG) Vs Peers
Construction and maintenance services companies not only boast technical know-how in specialized areas but also may hold special licenses and permits. Those who work in more regulated areas can enjoy more predictable revenue streams - for example, fire escapes need to be inspected every five years. More recently, services to address energy efficiency and labor availability are also creating incremental demand. But like the broader industrials sector, construction and maintenance services companies are at the whim of economic cycles as external factors like interest rates can greatly impact the new construction that drives incremental demand for these companies' offerings.
The 12 construction and maintenance services stocks we track reported a very strong Q1. As a group, revenues beat analysts' consensus estimates by 5.9%.
Luckily, construction and maintenance services stocks have performed well with share prices up 21.3% on average since the latest earnings results.
Started in 1926 as an insulation contractor, APi (NYSE:APG) provides life safety solutions and specialty services for buildings and infrastructure.
APi reported revenues of $1.72 billion, up 7.4% year on year. This print exceeded analysts' expectations by 4.7%. Overall, it was a very strong quarter for the company with an impressive beat of analysts' organic revenue estimates and full-year EBITDA guidance exceeding analysts' expectations.
Russ Becker, APi's President and Chief Executive Officer stated: 'We are off to a strong start in 2025, with a return to traditional levels of organic growth after our thoughtful and selective pruning of certain customer accounts in 2024. We've also continued to expand margins and deploy capital on M&A and share repurchases to drive shareholder value. Our robust backlog, variable cost structure, the statutorily-driven demand for our services, and the diversity of the global end markets we serve combine to provide a protective moat around the business. We believe this positions us well to navigate the dynamic tariff variables in the marketplace.
The stock is up 24.5% since reporting and currently trades at $47.04.
Is now the time to buy APi? Access our full analysis of the earnings results here, it's free.
Founded as Lydon & Drews dredging company, Great Lakes Dredge & Dock (NASDAQ:GLDD) provides dredging services, land reclamation, and coastal protection projects in the United States and internationally.
Great Lakes Dredge & Dock reported revenues of $242.9 million, up 22.3% year on year, outperforming analysts' expectations by 17.5%. The business had an incredible quarter with an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates.
Great Lakes Dredge & Dock scored the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 19.4% since reporting. It currently trades at $11.40.
Is now the time to buy Great Lakes Dredge & Dock? Access our full analysis of the earnings results here, it's free.
Founded in Oklahoma, Matrix Service (NASDAQ:MTRX) provides engineering, fabrication, construction, and maintenance services primarily to the energy and industrial markets.
Matrix Service reported revenues of $200.2 million, up 20.6% year on year, falling short of analysts' expectations by 6.9%. It was a disappointing quarter as it posted full-year revenue guidance missing analysts' expectations and a significant miss of analysts' EBITDA estimates.
Matrix Service delivered the weakest performance against analyst estimates and weakest full-year guidance update in the group. The stock is flat since the results and currently trades at $12.19.
Read our full analysis of Matrix Service's results here.
Established in 1994, Orion (NYSE:ORN) provides construction services for marine infrastructure and industrial projects.
Orion reported revenues of $188.7 million, up 17.4% year on year. This number topped analysts' expectations by 8.8%. It was an exceptional quarter as it also put up a solid beat of analysts' EPS estimates and an impressive beat of analysts' EBITDA estimates.
The stock is up 30% since reporting and currently trades at $8.23.
Read our full, actionable report on Orion here, it's free.
Established in 1901, Limbach (NASDAQ: LMB) provides integrated building systems solutions, including mechanical, electrical, and plumbing services.
Limbach reported revenues of $133.1 million, up 11.9% year on year. This result surpassed analysts' expectations by 10%. Overall, it was an exceptional quarter as it also recorded an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates.
The stock is up 28.5% since reporting and currently trades at $132.51.
Read our full, actionable report on Limbach here, it's free.
In response to the Fed's rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed's 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump's presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025.
Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
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Hovnanian Enterprises Reports Fiscal 2025 Third Quarter Results
Total Revenues Increased 11% Year-Over-YearMet or Exceeded All Guidance Metrics Provided86% of Total Lots Are Optioned, Highest Percentage EverSecond Highest TTM ROE Amongst Midsized Homebuilders MATAWAN, N.J., Aug. 21, 2025 (GLOBE NEWSWIRE) -- Hovnanian Enterprises, Inc. (NYSE: HOV), a leading national homebuilder, reported results for its fiscal third quarter and nine months ended July 31, 2025. RESULTS FOR THE THREE-MONTH AND NINE-MONTH PERIODS ENDED JULY 31, 2025: Total revenues increased 10.8% to $800.6 million in the third quarter of fiscal 2025, compared with $722.7 million in the same quarter of the prior year. For the nine months ended July 31, 2025, total revenues increased 6.7% to $2.16 billion compared with $2.03 billion in the first nine months of fiscal 2024. Domestic unconsolidated joint ventures(1) sale of homes revenues for the third quarter of fiscal 2025 increased 9.3% to $165.0 million (245 homes) compared with $151.0 million (224 homes) for the three months ended July 31, 2024. For the first nine months of fiscal 2025, domestic unconsolidated joint ventures sale of homes revenues increased 14.0% to $441.2 million (649 homes) compared with $386.9 million (568 homes) in the nine months ended July 31, 2024. Homebuilding gross margin percentage, after cost of sales interest expense and land charges, was 11.7% (with 2.1% attributable to land charges) for the three months ended July 31, 2025, compared with 19.1% during the third quarter a year ago (with only 0.1% attributable to land charges). In the first nine months of fiscal 2025, homebuilding gross margin percentage, after cost of sales interest expense and land charges, was 13.5% compared with 18.9% in the same period of the prior fiscal year. Homebuilding gross margin percentage, before cost of sales interest expense and land charges, was 17.3% during the fiscal 2025 third quarter, which was within the guidance range we provided, compared with 22.1% in last year's third quarter. For the nine months ended July 31, 2025, homebuilding gross margin percentage, before cost of sales interest expense and land charges, was 17.6% compared with 22.2% in the first nine months of the previous fiscal year. Total SG&A was $90.8 million, or 11.3% of total revenues, in the third quarter of fiscal 2025 compared with $89.5 million, or 12.4% of total revenues, in the third quarter of fiscal 2024. Total SG&A was $258.3 million, or 12.0% of total revenues, in the first nine months of fiscal 2025 compared with $254.5 million, or 12.6% of total revenues, in the first nine months of the previous fiscal year. Total interest expense as a percent of total revenues increased to 4.2% for the third quarter of fiscal 2025, compared with 4.0% for the third quarter of fiscal 2024. For the nine months ended July 31, 2025, total interest expense as a percent of total revenues was 4.3% compared with 4.4% in the first nine months of the previous fiscal year. Income before income taxes for the third quarter of fiscal 2025 was $23.8 million compared with $97.3 million in the third quarter of the prior fiscal year. For the first nine months of fiscal 2025, income before income taxes was $90.2 million compared with $199.2 million during the first nine months of the prior fiscal year. Income before income taxes excluding land-related charges and gain on extinguishment of debt, net was $39.8 million in the third quarter of fiscal 2025, which was at the high end of the guidance range we provided, compared with income before these items of $100.4 million in the third quarter of fiscal 2024. For the nine months ended July 31, 2025, income before income taxes excluding land-related charges and gain on extinguishment of debt, net was $109.9 million compared with income before these items of $201.5 million in the same period of fiscal 2024. Net income was $16.6 million, or $1.99 per diluted common share, for the three months ended July 31, 2025, compared with net income of $72.9 million, or $9.75 per diluted common share, in the same period of the previous fiscal year. For the first nine months of fiscal 2025, net income was $64.5 million, or $7.94 per diluted common share, compared with net income of $147.7 million, or $19.15 per diluted common share, during the first nine months of fiscal 2024. EBITDA was $61.0 million for the third quarter of fiscal 2025 compared with $127.9 million for the third quarter of the prior year. For the first nine months of fiscal 2025, EBITDA was $190.7 million compared with $294.3 million in the same period of the prior year. Adjusted EBITDA was $77.1 million for the quarter ended July 31, 2025, which was above the guidance range we provided, compared with $131.0 million in the third quarter of the prior fiscal year. For the nine months ended July 31, 2025, adjusted EBITDA was $210.4 million compared with $296.6 million in the same period of the previous fiscal year. Consolidated contracts in the third quarter of fiscal 2025 increased 1.6% to 1,211 homes ($619.6 million) compared with 1,192 homes ($645.8 million) in the same quarter last year. Contracts, including domestic unconsolidated joint ventures, for the three months ended July 31, 2025, increased 1.4% to 1,416 homes ($749.0 million) compared with 1,396 homes ($791.3 million) in the third quarter of fiscal 2024. As of July 31, 2025, consolidated community count decreased 1.6% to 124 communities compared with 126 communities as of July 31, 2024. Community count, including domestic unconsolidated joint ventures, was unchanged at 146 as of both July 31, 2025 and July 31, 2024. Consolidated contracts per community increased 3.2% year-over-year to 9.8 in the third quarter of fiscal 2025 compared with 9.5 contracts per community for the third quarter of fiscal 2024. Contracts per community, including domestic unconsolidated joint ventures, increased 1.0% to 9.7 in the three months ended July 31, 2025 compared with 9.6 contracts per community in the same quarter one year ago. The dollar value of consolidated contract backlog, as of July 31, 2025, decreased 27.6% to $838.8 million compared with $1.16 billion as of July 31, 2024. The dollar value of contract backlog, including domestic unconsolidated joint ventures, as of July 31, 2025, decreased 24.4% to $1.10 billion compared with $1.46 billion as of July 31, 2024. The year-over-year decrease in backlog dollars is partly due to increased sales of quick move in homes (QMIs), which are typically in backlog for a very short period of time. The gross contract cancellation rate for consolidated contracts was 19% for the third quarter ended July 31, 2025, compared with 17% in the 2024 third quarter. The gross contract cancellation rate for contracts, including domestic unconsolidated joint ventures, was 19% for the third quarter of fiscal 2025 compared with 17% in the third quarter of the prior year. For the trailing twelve-month period our return on equity (ROE) was 18.7%. For the trailing twelve-month period our net income return on inventory was 9.5% and our adjusted earnings before interest and income taxes return on investment (Adjusted EBIT ROI) was 22.1%. For the most recently reported trailing twelve-month periods, we had the second highest ROE, and we believe the highest Adjusted EBIT ROI compared to nine of our publicly traded midsized homebuilder peers. (1)When we refer to 'Domestic Unconsolidated Joint Ventures', we are excluding results from our multi-community unconsolidated joint venture in the Kingdom of Saudi Arabia (KSA). LIQUIDITY AND INVENTORY AS OF JULY 31, 2025: During the third quarter of fiscal 2025, land and land development spending was $192.6 million compared with $216.1 million in the same quarter one year ago. For the first nine months of fiscal 2025, land and land development spending was $660.0 million compared with $677.0 million in the same period one year ago. Total liquidity as of July 31, 2025, was $277.9 million, which was above our target liquidity range of $170 million to $245 million. In the third quarter of fiscal 2025, approximately 3,500 lots were put under option or acquired in 30 consolidated communities. As of July 31, 2025, our total controlled consolidated lots were 40,246, an increase of 1.8% compared with 39,516 lots at the end of the previous fiscal year's third quarter. Continuing our land-light strategic focus, 86% of our lots were optioned at the end of the third quarter of fiscal 2025, which is our highest percentage of option lots ever. Based on trailing twelve-month deliveries, the current position equaled 7.0 years' supply. Total QMIs as of July 31, 2025, were 1,016, a decline of 5.3% compared with 1,073 as of April 30, 2025, illustrating our efforts to match our starts with our sales pace. This equates to 8.2 QMIs per community as of July 31 2025, approaching our goal of 8 QMIs per community. FINANCIAL GUIDANCE(2): The Company is providing guidance for total revenues, adjusted homebuilding gross margin, adjusted income before income taxes and adjusted EBITDA for the fourth quarter of fiscal 2025. Financial guidance below assumes no adverse changes in current market conditions, including deterioration in our supply chain or material increases in mortgage rates, inflation or cancellation rates, and excludes further impact to SG&A expenses from phantom stock expense related solely to stock price movements from the closing price of $119.47 on July 31, 2025. For the fourth quarter of fiscal 2025, total revenues are expected to be between $750 million and $850 million, adjusted homebuilding gross margin is expected to be between 15.0% and 16.5%, adjusted income before income taxes is expected to be between $45 million and $55 million and adjusted EBITDA is expected to be between $77 million and $87 million. (2)The Company cannot provide a reconciliation between its non-GAAP projections and the most directly comparable GAAP measures without unreasonable efforts because it is unable to predict with reasonable certainty the ultimate outcome of certain significant items required for the reconciliation. These items include, but are not limited to, land-related charges, inventory impairments and land option write-offs and loss (gain) on extinguishment of debt, net. These items are uncertain, depend on various factors and could have a material impact on GAAP reported results. COMMENTS FROM MANAGEMENT: 'While the market environment remains challenging, we're encouraged by our performance this quarter. We met or exceeded the guidance range for all the metrics provided for the third quarter,' stated Ara K. Hovnanian, Chairman of the Board, President and Chief Executive Officer. 'Uncertainty across global, political and economic fronts continued to weigh on homebuyer sentiment resulting in a slower sales pace than we had expected at the beginning of the fiscal year. Additionally, affordability challenges are weighing on buyer activity as home prices remain high, and mortgage rates have only seen modest declines from recent highs. We addressed these affordability headwinds with increased incentives that led to the first year-over-year increase in quarterly contracts per community this fiscal year. While our contracts for the quarter increased, QMIs decreased 5% sequentially, consistent with our goal of aligning our starts with our sales. Furthermore, consistent with our short-term strategy, we are selling through some of the lower margin homes and land to make room for newer land purchases with better margins.' 'Our primary focus remains on pursuing growth opportunities, while improving our capital structure. Given the current market conditions, our approach to new land acquisitions relies on strict adherence to underwriting discipline. We believe we are in a period where consumers are adjusting to current home prices and mortgage rates and remain confident that the combination of pent-up housing demand and the positive long-term demographic trends for housing will drive increased demand for new homes going forward. We are seeing current land opportunities on slightly better terms than last year. Our second highest ROE and what we believe to be the highest adjusted EBIT ROI among midsized homebuilder peers for the trailing twelve-month period, demonstrate the effectiveness of our strategy, and we remain focused on sustaining returns that outpace industry benchmarks,' concluded Mr. Hovnanian. WEBCAST INFORMATION: Hovnanian Enterprises will webcast its fiscal 2025 third quarter financial results conference call at 11:00 a.m. E.T. on Thursday, August 21, 2025. The webcast can be accessed live through the 'Investor Relations' section of Hovnanian Enterprises' website at For those who are not available to listen to the live webcast, an archive of the broadcast will be available under the 'Past Events' section of the Investor Relations page on the Hovnanian website at The archive will be available for 12 months. ABOUT HOVNANIAN ENTERPRISES, INC.: Hovnanian Enterprises, Inc., founded in 1959 by Kevork S. Hovnanian, is headquartered in Matawan, New Jersey and, through its subsidiaries, is one of the nation's largest homebuilders with operations in Arizona, California, Delaware, Florida, Georgia, Maryland, New Jersey, Ohio, Pennsylvania, South Carolina, Texas, Virginia and West Virginia. The Company's homes are marketed and sold under the trade name K. Hovnanian® Homes. Additionally, the Company's subsidiaries, as developers of K. Hovnanian's® Four Seasons communities, make the Company one of the nation's largest builders of active lifestyle communities. Additional information on Hovnanian Enterprises, Inc. can be accessed through the 'Investor Relations' section of the Hovnanian Enterprises' website at To be added to Hovnanian's investor e-mail list, please send an e-mail to IR@ or sign up at NON-GAAP FINANCIAL MEASURES: Consolidated earnings before interest expense and income taxes ('EBIT') and before depreciation and amortization ('EBITDA') and before inventory impairments and land option write-offs and loss (gain) on extinguishment of debt, net ('Adjusted EBITDA'), the ratio of Adjusted EBITDA to interest incurred and EBIT before inventory impairments and land option write-offs and loss (gain) on extinguishment of debt, net ('Adjusted EBIT') are not U.S. generally accepted accounting principles ('GAAP') financial measures. The most directly comparable GAAP financial measure is net income. The reconciliation for historical periods of EBIT, EBITDA, Adjusted EBIT and Adjusted EBITDA to net income are presented in tables attached to this earnings release. Homebuilding gross margin, before cost of sales interest expense and land charges, and homebuilding gross margin percentage, before cost of sales interest expense and land charges, are non-GAAP financial measures. The most directly comparable GAAP financial measures are homebuilding gross margin and homebuilding gross margin percentage, respectively. The reconciliation for historical periods of homebuilding gross margin, before cost of sales interest expense and land charges, and homebuilding gross margin percentage, before cost of sales interest expense and land charges, to homebuilding gross margin and homebuilding gross margin percentage, respectively, is presented in a table attached to this earnings release. Adjusted income before income taxes, which is defined as income before income taxes excluding land-related charges and loss (gain) on extinguishment of debt, net is a non-GAAP financial measure. The most directly comparable GAAP financial measure is income before income taxes. The reconciliation for historical periods of adjusted income before income taxes to income before income taxes is presented in a table attached to this earnings release. Adjusted investment, which is defined as total inventories excluding liabilities from inventory not owned, net of debt issuance costs and interest capitalized and including investments in and advances to unconsolidated joint ventures ('Adjusted Investment'), is a non-GAAP financial measure. The most directly comparable GAAP financial measure is total inventories. The reconciliation for historical periods of Adjusted Investment to total inventories is presented in a table attached to this earnings release. The ratio of Adjusted EBIT return on adjusted investment ('Adjusted EBIT ROI'), which is the ratio of Adjusted EBIT for the trailing twelve-months, to the average Adjusted Investment for the prior five fiscal quarters, is a non-GAAP financial measure. The most directly comparable GAAP financial measure is the ratio of net income return to total inventories. The presentation of the ratios of Adjusted EBIT ROI and net income return on inventory are presented in a table attached to this earnings release. Total liquidity is comprised of $146.6 million of cash and cash equivalents, $6.3 million of restricted cash required to collateralize letters of credit and $125.0 million available under a senior secured revolving credit facility as of July 31, 2025. FORWARD-LOOKING STATEMENTS All statements in this press release that are not historical facts should be considered as 'Forward-Looking Statements' within the meaning of the 'Safe Harbor' provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such forward-looking statements include but are not limited to statements related to the Company's goals and expectations with respect to its financial results for future financial periods and statements regarding demand for homes, mortgage rates, inflation, supply chain issues, customer incentives and underlying factors. Although we believe that our plans, intentions and expectations reflected in, or suggested by, such forward-looking statements are reasonable, we can give no assurance that such plans, intentions or expectations will be achieved. By their nature, forward-looking statements: (i) speak only as of the date they are made, (ii) are not guarantees of future performance or results and (iii) are subject to risks, uncertainties and assumptions that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from those forward-looking statements as a result of a variety of factors. Such risks, uncertainties and other factors include, but are not limited to, (1) changes in general and local economic, industry and business conditions and impacts of a significant homebuilding downturn; (2) shortages in, and price fluctuations of, raw materials and labor, including due to geopolitical events, changes in trade policies, including the imposition of tariffs and duties on homebuilding materials and products and related trade disputes with and retaliatory measures taken by other countries; (3) fluctuations in interest rates and the availability of mortgage financing, including as a result of instability in the banking sector; (4) increases in inflation; (5) adverse weather and other environmental conditions and natural disasters; (6) the seasonality of the Company's business; (7) the availability and cost of suitable land and improved lots and sufficient liquidity to invest in such land and lots; (8) reliance on, and the performance of, subcontractors; (9) regional and local economic factors, including dependency on certain sectors of the economy, and employment levels affecting home prices and sales activity in the markets where the Company builds homes; (10) increases in cancellations of agreements of sale; (11) changes in tax laws affecting the after-tax costs of owning a home; (12) legal claims brought against us and not resolved in our favor, such as product liability litigation, warranty claims and claims made by mortgage investors; (13) levels of competition; (14) utility shortages and outages or rate fluctuations; (15) information technology failures and data security breaches; (16) negative publicity; (17) global economic and political instability (18) high leverage and restrictions on the Company's operations and activities imposed by the agreements governing the Company's outstanding indebtedness; (19) availability and terms of financing to the Company; (20) the Company's sources of liquidity; (21) changes in credit ratings; (22) government regulation, including regulations concerning development of land, the home building, sales and customer financing processes, tax laws and the environment; (23) potential liability as a result of the past or present use of hazardous materials; (24) operations through unconsolidated joint ventures with third parties; (25) significant influence of the Company's controlling stockholders; (26) availability of net operating loss carryforwards; (27) loss of key management personnel or failure to attract qualified personnel; and (28) certain risks, uncertainties and other factors described in detail in the Company's Annual Report on Form 10-K for the fiscal year ended October 31, 2024 and the Company's Quarterly Reports on Form 10-Q for the quarterly periods during fiscal 2025 and subsequent filings with the Securities and Exchange Commission. Except as otherwise required by applicable securities laws, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changed circumstances or any other reason. Hovnanian Enterprises, Inc. July 31, 2025 Statements of consolidated operations (In thousands, except per share data) Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Total revenues $ 800,583 $ 722,704 $ 2,160,677 $ 2,025,280 Costs and expenses (1) 792,292 636,133 2,104,640 1,864,241 Gain on extinguishment of debt, net - - 399 1,371 Income from unconsolidated joint ventures 15,511 10,698 33,759 36,814 Income before income taxes 23,802 97,269 90,195 199,224 Income tax provision 7,187 24,350 25,663 51,565 Net income 16,615 72,919 64,532 147,659 Less: preferred stock dividends 2,669 2,669 8,007 8,007 Net income available to common stockholders $ 13,946 $ 70,250 $ 56,525 $ 139,652 Per share data: Basic: Net income per common share $ 2.14 $ 10.61 $ 8.55 $ 20.85 Weighted average number of common shares outstanding 6,399 6,474 6,442 6,476 Assuming dilution: Net income per common share $ 1.99 $ 9.75 $ 7.94 $ 19.15 Weighted average number of common shares outstanding 6,887 7,048 6,936 7,048 (1) Includes inventory impairments and land option write-offs. Hovnanian Enterprises, Inc. July 31, 2025 Reconciliation of income before income taxes excluding land-related charges and gain on extinguishment of debt, net to income before income taxes (In thousands) Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Income before income taxes $ 23,802 $ 97,269 $ 90,195 $ 199,224 Inventory impairments and land option write-offs 16,045 3,099 20,141 3,638 Gain on extinguishment of debt, net - - (399 ) (1,371 ) Income before income taxes excluding land-related charges and gain on extinguishment of debt, net (1) $ 39,847 $ 100,368 $ 109,937 $ 201,491 (1) Income before income taxes excluding land-related charges and gain on extinguishment of debt, net is a non-GAAP financial measure. The most directly comparable GAAP financial measure is income before income Enterprises, Inc. July 31, 2025 Gross margin (In thousands) Homebuilding Gross Margin Homebuilding Gross Margin Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Sale of homes $ 769,050 $ 687,424 $ 2,066,278 $ 1,947,989 Cost of sales, excluding interest expense and land charges (1) 636,015 535,425 1,702,360 1,515,258 Homebuilding gross margin, before cost of sales interest expense and land charges (2) 133,035 151,999 363,918 432,731 Cost of sales interest expense, excluding land sales interest expense 26,868 20,351 65,544 61,792 Homebuilding gross margin, after cost of sales interest expense, before land charges (2) 106,167 131,648 298,374 370,939 Land charges 16,045 446 20,141 985 Homebuilding gross margin $ 90,122 $ 131,202 $ 278,233 $ 369,954 Homebuilding gross margin percentage 11.7% 19.1% 13.5% 18.9% Homebuilding gross margin percentage, before cost of sales interest expense and land charges (2) 17.3% 22.1% 17.6% 22.2% Homebuilding gross margin percentage, after cost of sales interest expense, before land charges (2) 13.8% 19.2% 14.4% 19.0% Land Sales Gross Margin Land Sales Gross Margin Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Land and lot sales $ 1,193 $ 14,230 $ 20,623 $ 15,783 Cost of sales, excluding interest (1) 241 11,907 10,475 12,789 Land and lot sales gross margin, excluding interest and land charges 952 2,323 10,148 2,994 Land and lot sales interest expense - 1,965 618 1,965 Land and lot sales gross margin, including interest $ 952 $ 358 $ 9,530 $ 1,029 (1) Does not include cost associated with walking away from land options or inventory impairment losses which are recorded as Inventory impairment loss and land option write-offs in the Condensed Consolidated Statements of Operations. (2) Homebuilding gross margin, before cost of sales interest expense and land charges, and homebuilding gross margin percentage, before cost of sales interest expense and land charges, are non-GAAP financial measures. The most directly comparable GAAP financial measures are homebuilding gross margin and homebuilding gross margin percentage, respectively. Hovnanian Enterprises, Inc. July 31, 2025 Reconciliation of adjusted EBITDA to net income (In thousands) Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Net income $ 16,615 $ 72,919 $ 64,532 $ 147,659 Income tax provision 7,187 24,350 25,663 51,565 Interest expense 34,017 28,578 91,973 89,439 EBIT (1) 57,819 125,847 182,168 288,663 Depreciation and amortization 3,192 2,067 8,513 5,679 EBITDA (2) 61,011 127,914 190,681 294,342 Inventory impairments and land option write-offs 16,045 3,099 20,141 3,638 Gain on extinguishment of debt, net - - (399 ) (1,371 ) Adjusted EBITDA (3) $ 77,056 $ 131,013 $ 210,423 $ 296,609 Interest incurred $ 28,523 $ 28,087 $ 88,210 $ 94,578 Adjusted EBITDA to interest incurred 2.70 4.66 2.39 3.14 (1) EBIT is a non-GAAP financial measure. The most directly comparable GAAP financial measure is net income. EBIT represents earnings before interest expense and income taxes. (2) EBITDA is a non-GAAP financial measure. The most directly comparable GAAP financial measure is net income. EBITDA represents earnings before interest expense, income taxes, depreciation and amortization. (3) Adjusted EBITDA is a non-GAAP financial measure. The most directly comparable GAAP financial measure is net income. Adjusted EBITDA represents earnings before interest expense, income taxes, depreciation, amortization, inventory impairments and land option write-offs and gain on extinguishment of debt, net. Hovnanian Enterprises, Inc. July 31, 2025 Interest incurred, expensed and capitalized (In thousands) Three Months Ended Nine Months Ended July 31, July 31, 2025 2024 2025 2024 (Unaudited) (Unaudited) Interest capitalized at beginning of period $ 53,633 $ 52,222 $ 57,671 $ 52,060 Plus: interest incurred 28,523 28,087 88,210 94,578 Less: interest expensed (34,017 ) (28,578 ) (91,973 ) (89,439 ) Less: interest contributed to unconsolidated joint ventures (1) - - (5,769 ) (5,468 ) Plus: interest acquired from unconsolidated joint ventures (2) - 2,861 - 2,861 Interest capitalized at end of period (3) $ 48,139 $ 54,592 $ 48,139 $ 54,592 (1) Represents capitalized interest which was included as part of the assets contributed to joint ventures the company entered into during the nine months ended July 31, 2025 and 2024, respectively. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions. (2) Represents capitalized interest which was included as part of the assets purchased from joint ventures the company closed out during the three and nine months ended July 31, 2024, respectively. There was no impact to the Condensed Consolidated Statement of Operations as a result of these transactions. (3) Capitalized interest amounts are shown gross before allocating any portion of impairments to capitalized interest. Hovnanian Enterprises, Inc. July 31, 2025 Reconciliation of Adjusted EBIT Return on Adjusted Investment (in thousands) TTM For the quarter ended ended 10/31/2024 1/31/2025 4/30/2025 7/31/2025 7/31/2025 Net income $ 94,349 $ 28,191 $ 19,726 $ 16,615 $ 158,881 Five As of Quarter 7/31/2024 10/31/2024 1/31/2025 4/30/2025 7/31/2025 Average Total inventories $ 1,650,470 $ 1,644,804 $ 1,666,490 $ 1,743,965 $ 1,692,932 $ 1,679,732 Return on Inventory 9.5% TTM For the quarter ended ended 10/31/2024 1/31/2025 4/30/2025 7/31/2025 7/31/2025 Net income $ 94,349 $ 28,191 $ 19,726 $ 16,615 $ 158,881 Income tax provision 23,516 11,672 6,804 7,187 49,179 Interest expense 31,120 28,873 29,083 34,017 123,093 EBIT (1) 148,985 68,736 55,613 57,819 331,153 Inventory impairments and land option write-offs 7,918 1,040 3,056 16,045 28,059 Gain on extinguishment of debt, net - - (399 ) - (399 ) Adjusted EBIT (2) $ 156,903 $ 69,776 $ 58,270 $ 73,864 $ 358,813 As of 7/31/2024 10/31/2024 1/31/2025 4/30/2025 7/31/2025 Total inventories $ 1,650,470 $ 1,644,804 $ 1,666,490 $ 1,743,965 $ 1,692,932 Less Liabilities from inventory not owned, net of debt issuance costs (135,559 ) (140,298 ) (156,274 ) (173,098 ) (236,644 ) Less Interest capitalized at end of period (54,592 ) (57,671 ) (52,884 ) (53,633 ) (48,139 ) FiveQuarterAverage Plus Investments in and advances to unconsolidated joint ventures 126,318 142,910 172,679 183,461 218,356 Adjusted Investment (3) $ 1,586,637 $ 1,589,745 $ 1,630,011 $ 1,700,695 $ 1,626,505 $ 1,626,719 Adjusted EBIT Return on Adjusted Investment (4) 22.1% (1) EBIT is a non-GAAP financial measure. The most directly comparable GAAP financial measure is net income. EBIT represents earnings before interest expense and income taxes. (2) Adjusted EBIT is a non-GAAP financial measure. The most directly comparable GAAP financial measure is net income. Adjusted EBIT represents earnings before interest expense, income taxes, inventory impairments and land option write-offs and loss (gain) on extinguishment of debt, net. (3) Adjusted Investment is a non-GAAP financial measure. The most directly comparable GAAP financial measure is total inventories. Adjusted Investment represents total inventories excluding liabilities from inventory not owned, net of debt issuance costs and interest capitalized and including investments in and advances to unconsolidated joint ventures. (4) The ratio of Adjusted EBIT Return on Adjusted Investment is a non-GAAP financial measure. The most directly comparable GAAP financial measure is the ratio of net income to total inventories. HOVNANIAN ENTERPRISES, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(In thousands, except per share data)(Unaudited) July 31, October 31, 2025 2024 (Unaudited) (1) ASSETS Homebuilding: Cash and cash equivalents $ 146,592 $ 209,976 Restricted cash and cash equivalents 12,155 7,875 Inventories: Sold and unsold homes and lots under development 1,192,251 1,195,318 Land and land options held for future development or sale 171,030 238,499 Consolidated inventory not owned 329,651 210,987 Total inventories 1,692,932 1,644,804 Investments in and advances to unconsolidated joint ventures 218,356 142,910 Receivables, deposits and notes, net 29,233 29,400 Property and equipment, net 51,573 43,431 Prepaid expenses and other assets 83,916 82,525 Total homebuilding 2,234,757 2,160,921 Financial services 173,775 203,589 Deferred tax assets, net 220,820 241,064 Total assets $ 2,629,352 $ 2,605,574 LIABILITIES AND EQUITY Homebuilding: Nonrecourse mortgages secured by inventory, net of debt issuance costs $ 53,524 $ 90,675 Accounts payable and other liabilities 425,683 433,273 Customers' deposits 35,480 41,639 Liabilities from inventory not owned, net of debt issuance costs 236,644 140,298 Senior notes and credit facilities (net of discounts, premiums and debt issuance costs) 861,922 896,218 Accrued interest 28,361 14,508 Total homebuilding 1,641,614 1,616,611 Financial services 152,375 183,135 Income taxes payable - 5,479 Total liabilities 1,793,989 1,805,225 Stockholders' equity: Preferred stock, $0.01 par value - authorized 100,000 shares; issued and outstanding 5,600 shares with a liquidation preference of $140,000 at July 31, 2025 and October 31, 2024 135,299 135,299 Common stock, Class A, $0.01 par value - authorized 16,000,000 shares; issued 6,479,719 shares at July 31, 2025 and 6,415,794 shares at October 31, 2024 65 64 Common stock, Class B, $0.01 par value (convertible to Class A at time of sale) - authorized 2,400,000 shares; issued 788,056 shares at July 31, 2025 and 757,023 shares at October 31, 2024 8 8 Paid in capital - common stock 758,542 749,752 Retained earnings 130,661 74,136 Treasury stock - at cost – 1,348,087 shares of Class A common stock at July 31, 2025 and 1,090,179 shares at October 31, 2024; 27,669 shares of Class B common stock at July 31, 2025 and October 31, 2024 (189,212 ) (158,910 ) Total stockholders' equity 835,363 800,349 Total liabilities and equity $ 2,629,352 $ 2,605,574 (1) Derived from the audited balance sheet as of October 31, 2024 HOVNANIAN ENTERPRISES, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(In thousands, except per share data)(Unaudited) Three Months Ended July 31, Nine Months Ended July 31, 2025 2024 2025 2024 Revenues: Homebuilding: Sale of homes $ 769,050 $ 687,424 $ 2,066,278 $ 1,947,989 Land sales and other revenues 2,967 16,392 27,573 25,968 Total homebuilding 772,017 703,816 2,093,851 1,973,957 Financial services 28,566 18,888 66,826 51,323 Total revenues 800,583 722,704 2,160,677 2,025,280 Expenses: Homebuilding: Cost of sales, excluding interest 636,256 547,332 1,712,835 1,528,047 Cost of sales interest 26,868 22,316 66,162 63,757 Inventory impairments and land option write-offs 16,045 3,099 20,141 3,638 Total cost of sales 679,169 572,747 1,799,138 1,595,442 Selling, general and administrative 55,770 50,989 161,087 146,415 Total homebuilding expenses 734,939 623,736 1,960,225 1,741,857 Financial services 14,715 12,362 41,043 35,856 Corporate general and administrative 35,029 38,480 97,221 108,130 Other interest 7,149 6,262 25,811 25,682 Other expense (income), net (1) 460 (44,707 ) (19,660 ) (47,284 ) Total expenses 792,292 636,133 2,104,640 1,864,241 Gain on extinguishment of debt, net - - 399 1,371 Income from unconsolidated joint ventures 15,511 10,698 33,759 36,814 Income before income taxes 23,802 97,269 90,195 199,224 State and federal income tax provision: State 3,310 5,896 7,170 13,333 Federal 3,877 18,454 18,493 38,232 Total income taxes 7,187 24,350 25,663 51,565 Net income 16,615 72,919 64,532 147,659 Less: preferred stock dividends 2,669 2,669 8,007 8,007 Net income available to common stockholders $ 13,946 $ 70,250 $ 56,525 $ 139,652 Per share data: Basic: Net income per common share $ 2.14 $ 10.61 $ 8.55 $ 20.85 Weighted-average number of common shares outstanding 6,399 6,474 6,442 6,476 Assuming dilution: Net income per common share $ 1.99 $ 9.75 $ 7.94 $ 19.15 Weighted-average number of common shares outstanding 6,887 7,048 6,936 7,048 (1) Includes gain on contribution of assets to a joint venture of $22.7 million for the nine months ended July 31, 2025, and includes gain on consolidation of a joint venture of $45.7 million for the three and nine months ended July 31, 2024. HOVNANIAN ENTERPRISES, INC. (DOLLARS IN THOUSANDS EXCEPT AVG. PRICE) (SEGMENT DATA EXCLUDES UNCONSOLIDATED JOINT VENTURES) Contracts (1) Deliveries Contract Three Months Ended Three Months Ended Backlog July 31, July 31, July 31, 2025 2024 % Change 2025 2024 % Change 2025 2024 % Change Northeast (2) (DE, MD, NJ, OH, PA, VA, WV) Home 416 414 0.5% 479 404 18.6% 761 898 (15.3)% Dollars $ 226,020 $ 260,081 (13.1)% $ 288,008 $ 254,784 13.0% $ 444,862 $ 617,520 (28.0)% Avg. Price $ 543,317 $ 628,215 (13.5)% $ 601,269 $ 630,653 (4.7)% $ 584,576 $ 687,661 (15.0)% Southeast (FL, GA, SC) Home 157 114 37.7% 195 231 (15.6)% 228 316 (27.8)% Dollars $ 79,267 $ 63,990 23.9% $ 104,493 $ 115,804 (9.8)% $ 130,678 $ 147,268 (11.3)% Avg. Price $ 504,885 $ 561,316 (10.1)% $ 535,862 $ 501,316 6.9% $ 573,149 $ 466,038 23.0% West (AZ, CA, TX) Home 638 664 (3.9)% 757 620 22.1% 502 827 (39.3)% Dollars $ 314,349 $ 321,722 (2.3)% $ 376,549 $ 316,836 18.8% $ 263,272 $ 393,980 (33.2)% Avg. Price $ 492,710 $ 484,521 1.7% $ 497,423 $ 511,026 (2.7)% $ 524,446 $ 476,397 10.1% Consolidated Total Home 1,211 1,192 1.6% 1,431 1,255 14.0% 1,491 2,041 (26.9)% Dollars $ 619,636 $ 645,793 (4.1)% $ 769,050 $ 687,424 11.9% $ 838,812 $ 1,158,768 (27.6)% Avg. Price $ 511,673 $ 541,773 (5.6)% $ 537,421 $ 547,748 (1.9)% $ 562,584 $ 567,745 (0.9)% Unconsolidated Joint Ventures (2) (3) (excluding KSA JV) Home 205 204 0.5% 245 224 9.4% 387 422 (8.3)% Dollars $ 129,354 $ 145,480 (11.1)% $ 164,971 $ 150,968 9.3% $ 264,240 $ 299,510 (11.8)% Avg. Price $ 630,995 $ 713,137 (11.5)% $ 673,351 $ 673,964 (0.1)% $ 682,791 $ 709,739 (3.8)% Grand Total Home 1,416 1,396 1.4% 1,676 1,479 13.3% 1,878 2,463 (23.8)% Dollars $ 748,990 $ 791,273 (5.3)% $ 934,021 $ 838,392 11.4% $ 1,103,052 $ 1,458,278 (24.4)% Avg. Price $ 528,948 $ 566,814 (6.7)% $ 557,292 $ 566,864 (1.7)% $ 587,355 $ 592,074 (0.8)% KSA JV Only Home 39 109 (64.2)% 1 3 (66.7)% 607 211 187.7% Dollars $ 9,193 $ 28,069 (67.2)% $ 177 $ 475 (62.7)% $ 148,308 $ 47,447 212.6% Avg. Price $ 235,718 $ 257,514 (8.5)% $ 177,000 $ 158,333 11.8% $ 244,329 $ 224,867 8.7% DELIVERIES INCLUDE EXTRAS Notes: (1) Contracts are defined as new contracts signed during the period for the purchase of homes, less cancellations of prior contracts.(2) Reflects the reclassification of 88 homes and $74.2 million of contract backlog as of July 31, 2024 from the unconsolidated joint ventures to the consolidated Northeast segment. This is related to the assets and liabilities acquired from a joint venture the company closed out during the three months ended July 31, 2024. (3) Represents home deliveries, home revenues and average prices for our unconsolidated homebuilding joint ventures for the period. We provide this data as a supplement to our consolidated results as an indicator of the volume managed in our unconsolidated homebuilding joint ventures. Our proportionate share of the income or loss of unconsolidated homebuilding and land development joint ventures is reflected as a separate line item in our consolidated financial statements under 'Income from unconsolidated joint ventures'. HOVNANIAN ENTERPRISES, INC. (DOLLARS IN THOUSANDS EXCEPT AVG. PRICE) (SEGMENT DATA EXCLUDES UNCONSOLIDATED JOINT VENTURES) Contracts (1) Deliveries Contract Nine Months Ended Nine Months Ended Backlog July 31, July 31, July 31, 2025 2024 % Change 2025 2024 % Change 2025 2024 % Change Northeast (2) (3) (DE, MD, NJ, OH, PA, VA, WV) Home 1,353 1,346 0.5% 1,374 1,067 28.8% 761 898 (15.3)% Dollars $ 739,452 $ 835,809 (11.5)% $ 826,071 $ 642,481 28.6% $ 444,862 $ 617,520 (28.0)% Avg. Price $ 546,528 $ 620,958 (12.0)% $ 601,216 $ 602,138 (0.2)% $ 584,576 $ 687,661 (15.0)% Southeast (2) (FL, GA, SC) Home 461 388 18.8% 472 672 (29.8)% 228 316 (27.8)% Dollars $ 239,237 $ 206,722 15.7% $ 230,533 $ 349,801 (34.1)% $ 130,678 $ 147,268 (11.3)% Avg. Price $ 518,952 $ 532,789 (2.6)% $ 488,417 $ 520,537 (6.2)% $ 573,149 $ 466,038 23.0% West (4) (AZ, CA, TX) Home 2,000 2,097 (4.6)% 2,124 1,862 14.1% 502 827 (39.3)% Dollars $ 990,833 $ 1,013,424 (2.2)% $ 1,009,674 $ 955,707 5.6% $ 263,272 $ 393,980 (33.2)% Avg. Price $ 495,417 $ 483,273 2.5% $ 475,364 $ 513,269 (7.4)% $ 524,446 $ 476,397 10.1% Consolidated Total Home 3,814 3,831 (0.4)% 3,970 3,601 10.2% 1,491 2,041 (26.9)% Dollars $ 1,969,522 $ 2,055,955 (4.2)% $ 2,066,278 $ 1,947,989 6.1% $ 838,812 $ 1,158,768 (27.6)% Avg. Price $ 516,393 $ 536,663 (3.8)% $ 520,473 $ 540,958 (3.8)% $ 562,584 $ 567,745 (0.9)% Unconsolidated Joint Ventures (excluding KSA JV) Home 631 605 4.3% 649 568 14.3% 387 422 (8.3)% (2) (3) (4) (5) Dollars $ 406,316 $ 420,973 (3.5)% $ 441,242 $ 386,914 14.0% $ 264,240 $ 299,510 (11.8)% Avg. Price $ 643,924 $ 695,823 (7.5)% $ 679,880 $ 681,187 (0.2)% $ 682,791 $ 709,739 (3.8)% Grand Total Home 4,445 4,436 0.2% 4,619 4,169 10.8% 1,878 2,463 (23.8)% Dollars $ 2,375,838 $ 2,476,928 (4.1)% $ 2,507,520 $ 2,334,903 7.4% $ 1,103,052 $ 1,458,278 (24.4)% Avg. Price $ 534,497 $ 558,370 (4.3)% $ 542,871 $ 560,063 (3.1)% $ 587,355 $ 592,074 (0.8)% KSA JV Only Home 332 208 59.6% 1 47 (97.9)% 607 211 187.7% Dollars $ 84,125 $ 49,310 70.6% $ 177 $ 9,987 (98.2)% $ 148,308 $ 47,447 212.6% Avg. Price $ 253,389 $ 237,067 6.9% $ 177,000 $ 212,489 (16.7)% $ 244,329 $ 224,867 8.7% DELIVERIES INCLUDE EXTRAS Notes: (1) Contracts are defined as new contracts signed during the period for the purchase of homes, less cancellations of prior contracts.(2) Reflects the reclassification of 86 homes and $70.1 million and 13 homes and $10.6 million of contract backlog as of April 30, 2024 from the consolidated Northeast and Southeast segments, respectively, to unconsolidated joint ventures. This is related to the assets and liabilities contributed to a joint venture the company entered into during the three months ended April 30, 2024.(3) Reflects the reclassification of 88 homes and $74.2 million of contract backlog as of July 31, 2024 from the unconsolidated joint ventures to the consolidated Northeast segment. This is related to the assets and liabilities acquired from a joint venture the company closed out during the three months ended July 31, 2024.(4) Reflects the reclassification of 8 homes and $5.0 million of contract backlog as of January 31, 2025, from the consolidated West segment to unconsolidated joint ventures. This is related to the assets and liabilities contributed to the joint venture the company entered into during the three months ended January 31, 2025. (5) Represents home deliveries, home revenues and average prices for our unconsolidated homebuilding joint ventures for the period. We provide this data as a supplement to our consolidated results as an indicator of the volume managed in our unconsolidated homebuilding joint ventures. Our proportionate share of the income or loss of unconsolidated homebuilding and land development joint ventures is reflected as a separate line item in our consolidated financial statements under 'Income from unconsolidated joint ventures'. HOVNANIAN ENTERPRISES, INC. (DOLLARS IN THOUSANDS EXCEPT AVG. PRICE) (SEGMENT DATA UNCONSOLIDATED JOINT VENTURES ONLY) Contracts (1) Deliveries Contract Three Months Ended Three Months Ended Backlog July 31, July 31, July 31, 2025 2024 % Change 2025 2024 % Change 2025 2024 % Change Northeast (2) (Unconsolidated Joint Ventures) Home 131 126 4.0% 144 100 44.0% 290 230 26.1% (Excluding KSA JV) Dollars $ 84,837 $ 96,909 (12.5)% $ 99,899 $ 75,432 32.4% $ 192,171 $ 185,942 3.3% (DE, MD, NJ, OH, PA, VA, WV) Avg. Price $ 647,611 $ 769,119 (15.8)% $ 693,743 $ 754,320 (8.0)% $ 662,659 $ 808,443 (18.0)% Southeast (Unconsolidated Joint Ventures) Home 58 65 (10.8)% 77 96 (19.8)% 82 166 (50.6)% (FL, GA, SC) Dollars $ 35,362 $ 41,734 (15.3)% $ 51,806 $ 61,333 (15.5)% $ 63,462 $ 101,312 (37.4)% Avg. Price $ 609,690 $ 642,062 (5.0)% $ 672,805 $ 638,885 5.3% $ 773,927 $ 610,313 26.8% West (Unconsolidated Joint Ventures) Home 16 13 23.1% 24 28 (14.3)% 15 26 (42.3)% (AZ, CA, TX) Dollars $ 9,155 $ 6,837 33.9% $ 13,266 $ 14,203 (6.6)% $ 8,607 $ 12,256 (29.8)% Avg. Price $ 572,188 $ 525,923 8.8% $ 552,750 $ 507,250 9.0% $ 573,800 $ 471,385 21.7% Unconsolidated Joint Ventures (2) (3) (Excluding KSA JV) Home 205 204 0.5% 245 224 9.4% 387 422 (8.3)% Dollars $ 129,354 $ 145,480 (11.1)% $ 164,971 $ 150,968 9.3% $ 264,240 $ 299,510 (11.8)% Avg. Price $ 630,995 $ 713,137 (11.5)% $ 673,351 $ 673,964 (0.1)% $ 682,791 $ 709,739 (3.8)% KSA JV Only Home 39 109 (64.2)% 1 3 (66.7)% 607 211 187.7% Dollars $ 9,193 $ 28,069 (67.2)% $ 177 $ 475 (62.7)% $ 148,308 $ 47,447 212.6% Avg. Price $ 235,718 $ 257,514 (8.5)% $ 177,000 $ 158,333 11.8% $ 244,329 $ 224,867 8.7% DELIVERIES INCLUDE EXTRAS Notes: (1) Contracts are defined as new contracts signed during the period for the purchase of homes, less cancellations of prior contracts.(2) Reflects the reclassification of 88 homes and $74.2 million of contract backlog as of July 31, 2024 from the unconsolidated joint ventures to the consolidated Northeast segment. This is related to the assets and liabilities acquired from a joint venture the company closed out during the three months ended July 31, 2024. (3) Represents home deliveries, home revenues and average prices for our unconsolidated homebuilding joint ventures for the period. We provide this data as a supplement to our consolidated results as an indicator of the volume managed in our unconsolidated homebuilding joint ventures. Our proportionate share of the income or loss of unconsolidated homebuilding and land development joint ventures is reflected as a separate line item in our consolidated financial statements under 'Income from unconsolidated joint ventures'. HOVNANIAN ENTERPRISES, INC. (DOLLARS IN THOUSANDS EXCEPT AVG. PRICE) (SEGMENT DATA UNCONSOLIDATED JOINT VENTURES ONLY) Contracts (1) Deliveries Contract Nine Months Ended Nine Months Ended Backlog July 31, July 31, July 31, 2025 2024 % Change 2025 2024 % Change 2025 2024 % Change Northeast (2) (3) (Unconsolidated Joint Ventures) Home 386 353 9.3% 370 281 31.7% 290 230 26.1% (Excluding KSA JV) Dollars $ 250,414 $ 277,612 (9.8)% $ 270,613 $ 209,139 29.4% $ 192,171 $ 185,942 3.3% (DE, MD, NJ, OH, PA, VA, WV) Avg. Price $ 648,741 $ 786,436 (17.5)% $ 731,386 $ 744,267 (1.7)% $ 662,659 $ 808,443 (18.0)% Southeast (2) (Unconsolidated Joint Ventures) Home 194 180 7.8% 230 215 7.0% 82 166 (50.6)% (FL, GA, SC) Dollars $ 127,762 $ 108,405 17.9% $ 144,792 $ 140,854 2.8% $ 63,462 $ 101,312 (37.4)% Avg. Price $ 658,567 $ 602,250 9.4% $ 629,530 $ 655,135 (3.9)% $ 773,927 $ 610,313 26.8% West (4) (Unconsolidated Joint Ventures) Home 51 72 (29.2)% 49 72 (31.9)% 15 26 (42.3)% (AZ, CA, TX) Dollars $ 28,140 $ 34,956 (19.5)% $ 25,837 $ 36,921 (30.0)% $ 8,607 $ 12,256 (29.8)% Avg. Price $ 551,765 $ 485,500 13.6% $ 527,286 $ 512,792 2.8% $ 573,800 $ 471,385 21.7% Unconsolidated Joint Ventures (Excluding KSA JV) Home 631 605 4.3% 649 568 14.3% 387 422 (8.3)% (2) (3) (4) (5) Dollars $ 406,316 $ 420,973 (3.5)% $ 441,242 $ 386,914 14.0% $ 264,240 $ 299,510 (11.8)% Avg. Price $ 643,924 $ 695,823 (7.5)% $ 679,880 $ 681,187 (0.2)% $ 682,791 $ 709,739 (3.8)% KSA JV Only Home 332 208 59.6% 1 47 (97.9)% 607 211 187.7% Dollars $ 84,125 $ 49,310 70.6% $ 177 $ 9,987 (98.2)% $ 148,308 $ 47,447 212.6% Avg. Price $ 253,389 $ 237,067 6.9% $ 177,000 $ 212,489 (16.7)% $ 244,329 $ 224,867 8.7% DELIVERIES INCLUDE EXTRAS Notes: (1) Contracts are defined as new contracts signed during the period for the purchase of homes, less cancellations of prior contracts.(2) Reflects the reclassification of 86 homes and $70.1 million and 13 homes and $10.6 million of contract backlog as of April 30, 2024 from the consolidated Northeast and Southeast segments, respectively, to unconsolidated joint ventures. This is related to the assets and liabilities contributed to a joint venture the company entered into during the three months ended April 30, 2024.(3) Reflects the reclassification of 88 homes and $74.2 million of contract backlog as of July 31, 2024 from the unconsolidated joint ventures to the consolidated Northeast segment. This is related to the assets and liabilities acquired from a joint venture the company closed out during the three months ended July 31, 2024.(4) Reflects the reclassification of 8 homes and $5.0 million of contract backlog as of January 31, 2025, from the consolidated West segment to unconsolidated joint ventures. This is related to the assets and liabilities contributed to the joint venture the company entered into during the three months ended January 31, 2025. (5) Represents home deliveries, home revenues and average prices for our unconsolidated homebuilding joint ventures for the period. We provide this data as a supplement to our consolidated results as an indicator of the volume managed in our unconsolidated homebuilding joint ventures. Our proportionate share of the income or loss of unconsolidated homebuilding and land development joint ventures is reflected as a separate line item in our consolidated financial statements under 'Income from unconsolidated joint ventures'. Contact: Brad G. O'Connor Jeffrey T. O'Keefe Chief Financial Officer Vice President, Investor Relations 732-747-7800 732-747-7800 Sign in to access your portfolio
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The FDA Just Approved a New Use for Wegovy, and Novo Nordisk Stock is Climbing. Here's What Investors Need to Know
Key Points Wegovy is now the second medicine approved in the U.S. for a disease that affects millions. Novo Nordisk has several other factors working in its favor, including strong results and a solid pipeline. The company looks attractively valued following its underperformance over the past 12 months. 10 stocks we like better than Novo Nordisk › The past 12 months haven't been great for Novo Nordisk (NYSE: NVO). Its shares peaked last year and have been in a downward spiral due to unimpressive financial results, clinical setbacks, and mounting competition in its core areas of expertise. However, Novo Nordisk is looking to bounce back. Recent regulatory progress could be a positive step in that direction. Here's what investors need to know. Another important approval On Friday, Novo Nordisk announced that the U.S. Food and Drug Administration (FDA) had approved Wegovy for the treatment of metabolic dysfunction-associated steatohepatitis (MASH). Wegovy has become a household name, famous for helping people manage their weight, but this new indication could be a significant development. Here's why. MASH is a disease characterized by the accumulation of fat in the liver, leading to inflammation. According to some estimates, 22 million adults in the U.S. have MASH, although fewer, about 9 million, have clinically meaningful liver disease. That's not an insignificant number, and one might think that, given this large addressable market, there are many approved therapies for MASH. But that's not the case. Developing effective treatments has proven to be surprisingly challenging. Last year, the FDA approved the first therapy specifically for MASH. Now, Wegovy has become the first GLP-1 medicine to earn that indication. Although there are other treatments in development, Wegovy could carve out a decent market for itself in MASH, especially since it posted phase 3 results comparable to those of its only competitor on the market (for now): Rezdiffra, marketed by Madrigal Pharmaceuticals. Novo Nordisk is a significantly larger company with more funds, a larger marketing budget, and a larger sales team than its smaller peer. What will be the demand for Wegovy in MASH be? We can gather some clues from Rezdiffra's launch, which is going extremely well. About a year after it hit the market, Rezdiffra generated $212.8 million in revenue in the second quarter -- that's impressive and points to a massive demand for the medicine. Yet, Madrigal has barely scratched the surface of the addressable market. As of June 30, it had treated just over 23,000 patients. Wegovy's launch in MASH should be even smoother since it isn't starting from scratch -- it's already been on the market for several years. In my view, this new indication could add over $1 billion in sales to Wegovy's total within the next few years, especially because it's also being considered for approval for MASH in Japan and the European Union. It's also worth pointing out another development that helped jolt Novo Nordisk's stock price. The company is partnering with GoodRx to offer Ozempic at a reduced cost for patients who pay out of pocket. This move should help it deal with some companies that sell compounded versions of Ozempic for less. Is Novo Nordisk's stock a buy? Wegovy could earn yet another important label expansion by next year, although in a different version. Earlier this year, Novo Nordisk requested approval for an oral formulation of the medicine for weight loss. That could also move the needle for the pharmaceutical giant. An oral version would be faster and cheaper to produce, easier to transport, and thus more cost-effective to manufacture at scale. The previous shortages Wegovy dealt with would be far less likely to occur with an oral formulation. Notably, it would mark yet another breakthrough for Novo Nordisk. There is currently no oral GLP-1 medication approved for weight loss -- the drugmaker's own Rybelsus, an oral GLP-1 product, is indicated only for diabetes. Meanwhile, Novo Nordisk's financial results remain strong. In the first half of the year, net sales grew by 16% year over year to 154.9 billion Danish kroner ($24.2 billion), while net profit of 55.5 billion DKK ($8.7 billion) rose 22% compared to the year-ago period. Furthermore, Novo Nordisk has an attractive pipeline. CagriSema, a next-generation GLP-1 therapy whose phase 3 results were strong (if not as strong as the market had hoped), appears poised to become a blockbuster. Some analysts predict that it will generate $15.2 billion in revenue by 2030. Elsewhere, Novo Nordisk's amycretin, another investigational weight loss therapy, recently started phase 3 studies in both oral and subcutaneous formulations. Despite recent clinical setbacks, Novo Nordisk's pipeline should earn some significant wins in the next few years, particularly since the company has been strengthening it through licensing deals. Lastly, Novo Nordisk stock looks reasonably valued. The company is trading at 13.5 times forward earnings, compared to an average price-to-earnings ratio of 16.5 for the healthcare industry. At current levels, the stock could deliver superior returns to investors who initiate positions today. Should you invest $1,000 in Novo Nordisk right now? Before you buy stock in Novo Nordisk, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Novo Nordisk wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $654,624!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,075,117!* Now, it's worth noting Stock Advisor's total average return is 1,052% — a market-crushing outperformance compared to 183% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 18, 2025 Prosper Junior Bakiny has positions in Novo Nordisk. The Motley Fool recommends Novo Nordisk. The Motley Fool has a disclosure policy. The FDA Just Approved a New Use for Wegovy, and Novo Nordisk Stock is Climbing. Here's What Investors Need to Know was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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Electra Launches Debt-to-Equity Conversion and US$30 Million Financing with Lender Support to Advance North America's First Battery Grade Cobalt Refinery
TORONTO, Aug. 21, 2025 (GLOBE NEWSWIRE) -- Electra Battery Materials Corporation (NASDAQ: ELBM; TSX-V: ELBM) ('Electra' or the 'Company') has entered into a term sheet and transaction support agreement with its Lenders pursuant to which it will launch a debt-to-equity conversion that will reduce its convertible debt outstanding by 60% as part of a comprehensive financial restructuring (the 'Transaction'). In addition, the Company intends to launch a US$30 million financing (the 'Equity Financing'), which will include a US$10 million conditional commitment from the Lenders. Together, the Transaction and Equity Financing are designed to strengthen Electra's capital structure and provide the funding required to advance the commissioning of North America's first cobalt sulfate refinery. Key Terms Electra will convert approximately US$40 million of its outstanding Notes, plus accrued and unpaid interest, into equity at a price of US$0.60 per Common Share. This exchange will reduce total debt under the Notes to approximately US$27 million. The concurrent Equity Financing will consist of US$30 million of Units at a price of US$0.75 per Unit. Each Unit will consist of one Common Share and one Common Share purchase Warrant, with each Warrant exercisable for one Common Share for US$1.25 for a period of three (3) years from the date of issuance. The Equity Financing is expected to close in tandem with the Transaction. Current shareholders will have the right to purchase Units on the same terms as new investors, in proportion to their existing Common Share ownership. The remaining 40% of the Notes, plus accrued and unpaid interest, will be exchanged for a new term loan, maturing three years after completion of the Transaction. To support operations during the restructuring process, the Lenders are providing US$2 million in short-term bridge debt in the form of 90-day Bridge Notes. In return, the Lenders will gain the right to appoint one director to Electra's board of directors. The Bridge Notes will fund working capital needs leading up to a meeting of shareholders of the Company, regulatory approvals, and the closing of the Equity Financing, mitigating near-term default risk. Following completion of the Equity Financing and the Transaction, the Company intends to increase its Board size from five to seven members, with the Lenders having the right to appoint up to three Board members, relative to their ownership stake in the Company. 'Today marks a turning point for Electra,' said Trent Mell, CEO of Electra. 'By equitizing a majority of our debt and securing bridge financing, we are taking decisive action to create a sustainable capital structure and advance the steps required to complete the cobalt refinery, including arranging approximately US$30 million in additional capital. 'This restructuring is undeniably dilutive and difficult for existing shareholders, but it is both timely and necessary. We have rigorously explored the alternatives, including asset sales, mergers, and alternative financing structures, and none offered a preferable outcome. The Lenders have provided continued support since construction of Electra's refinery was paused due to post-COVID inflation and supply chain disruption, including through new debt funding, equity commitments, and multiple waivers or amendments to loan conditions. This transaction preserves the value of our core asset and provides the foundation for future growth. 'With shareholder approval, lender participation, and government support, we will soon be in a position to complete construction of North America's first cobalt sulfate refinery. This step, though challenging, is essential to strengthening the region's battery materials supply chain and enabling Electra to become a reliable partner for governments, OEMs, and commercial stakeholders.' 'By significantly reducing our debt and securing new capital, we are strengthening our financial foundation and aligning our funding with a clear, executable path to production,' commented Electra CFO, Marty Rendall. 'Together, this restructuring and financing, alongside other well-advanced financing initiatives, are expected to provide the capital needed to complete the refinery and create long-term value across our stakeholder base.' Electra's battery materials refinery is central to North America's efforts to onshore critical mineral supply chains, reduce reliance on China, and strengthen national and economic security. By advancing the continent's first cobalt sulfate refinery, Electra will provide a low-carbon, domestic source of a material essential for both electric vehicles and defense applications. The Company has already attracted support from multiple levels of government and from its Lender group, reinforcing broad-based confidence in the strategic importance of its project. Details of the Transaction Pursuant to the Transaction, holders of the Notes (the 'Lenders') will exchange 60% of the aggregate principal amount and the aggregate amount of all accrued and unpaid interest of the 8.99% senior secured convertible notes due February 13, 2028 and 12.0% senior secured convertible notes due November 12, 2027 (collectively, the 'Notes') for Common Shares at an exchange price of US$0.60 per Electra common share ('Common Share'), representing 60% of the aggregate value of the Notes, inclusive of principal and accrued and unpaid interest, reducing total debt under the Notes to approximately US$27 million. The Lenders will exchange the remaining 40% of the aggregate principal amount and the aggregate amount of all accrued and unpaid interest of the Notes for an equal aggregate principal amount of a new term loan. Interest on the new term loan will be payable in cash or in kind at the Company's election at a rate per annum of 8.99% if paid in cash or 11.125% if paid in kind. The new term loan will mature three (3) years from the date of the closing of the Transaction. To support operations during the Transaction process, the Lenders have agreed to purchase US$2 million aggregate principal amount of unsecured 90-day promissory notes ('Bridge Notes') to fund working capital (the 'Bridge Financing'). Interest on the Bridge Notes will be payable in cash at maturity at a rate of 12.00% per annum. Upon purchase of the Bridge Notes, the Lenders shall have the right to appoint a director to the board of directors of the Company (the 'Board'). The Company must redeem the Bridge Notes at a redemption price equal to 100% of the aggregate principal amount of the Bridge Notes, plus all accrued and unpaid interest thereon, in connection with the completion of the Transaction. The Transaction remains subject to the satisfaction of a number of conditions precedent, including receipt of regulatory approvals (including the TSX Venture Exchange (the 'TSXV')) and shareholder approval, as it is expected that the Transaction will result in the creation of one or more 'control persons,' as defined under applicable securities law, and the negotiation and execution of definitive documentation for the Transaction on terms acceptable to the Company and the Lenders. In connection with the Transaction, the Company will hold a special meeting of shareholders, expected to be held in October 2025, where shareholders will, among other things, be asked to approve a consolidation of the Company's shares at a ratio to be determined by the Board. The Transaction is expected to close shortly thereafter. All components of the Transaction are expected to occur concurrently, other than the funding of the Bridge Notes which is expected to occur in the coming days. Details of the Equity Financing The Equity Financing will consist of units ("Units') raising US$30 million at a price of US$0.75 per Unit. Each Unit will consist of one Common Share and one Warrant, with each Warrant exercisable for one Common Share for US$1.25 for a period of three (3) years from the date of issuance. The Equity Financing will include a US$10 million commitment from the Lenders, subject to the satisfaction of certain conditions. It is anticipated that the net proceeds from the Equity Financing will be used to fund the completion and ramp-up of the Company's cobalt refinery in Temiskaming Shores, Ontario, to repay the Bridge Notes to be issued to the Lenders, and for general corporate and working capital purposes. The Equity Financing will close in tandem with the Transaction. In the event the gross proceeds from the Equity Financing are greater than US$34.5 million the Company will allocate the excess to repayment of the Notes at a purchase price of par plus accrued and unpaid interest. The Company will issue a further news release once the structure for the Equity Financing has been finalized. TSXV Waiver Neither the equitization price of the Notes, nor the offering price of the Units comply with the TSXV minimum pricing requirements under TSXV Policy 4.1 – Private Placements which mandate that the offering price of securities issued under an equity offering must not be less than the Discounted Market Price (as defined in the policies of the TSXV) for the Common Shares. The Company has therefore applied for a waiver in respect of the pricing requirements, however, there is no assurance that such a waiver will be granted. This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the 'United States' or to 'U.S. Persons' (as such terms are defined in Regulation S under the United States Securities Act of 1933, as amended (the 'U.S. Securities Act')). The securities have not been and will not be registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. All securities offered and sold pursuant to the Equity Financing in the United States or to U.S. Persons will be offered and sold in reliance on the exemption from the registration requirements of the U.S. Securities Act provided by Rule 506(c) of Regulation D under the U.S. Securities Act, or another available exemption, and similar exemptions under applicable U.S. state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. About Electra Battery Materials Electra is a leader in advancing North America's critical minerals supply chain for lithium-ion batteries. Currently focused on developing North America's only cobalt sulfate refinery, Electra is executing a phased strategy to onshore critical minerals refining and reduce reliance on foreign supply chains. In addition to establishing the cobalt sulfate refinery, Electra's strategy includes nickel refining and battery recycling. Growth projects include integrating black mass recycling at its existing refining complex, evaluating opportunities for cobalt production in Bécancour, Quebec, and exploring nickel sulfate production potential in North America. For more information, please visit ContactHeather SmilesVice President, Investor Relations & Corporate Development Electra Battery Materialsinfo@ Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements and forward-looking information (together, 'forward-looking statements') within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are forward-looking statements and include, but are not limited to, statements regarding the closing of the Transaction and anticipated timing thereof, the expected reduction in the Company's outstanding debt and the impact on its capital structure, the expected appointment of directors to the Board by the Lenders, the granting of a waiver from the TSXV pricing requirements, and receipt of required regulator and shareholder approvals, the creation of one or more control persons under applicable securities laws, the anticipated government funding, the Company's continued eligibility for U.S. Department of Defense grants, the expected ramp-up and commissioning of the cobalt sulfate refinery, Electra's strategic role in reshoring North America's battery materials supply chain, and the Company's future growth plans, including nickel refining and battery recycling. Generally, forward-looking statements can be identified by the use of terminology such as 'plans', 'expects', 'will,' 'estimates', 'intends', 'anticipates', 'believes' or variations of such words, or statements that certain actions, events or results 'may', 'could', 'would', 'will,' 'might', 'occur' or 'be achieved'. Forward-looking statements are based on certain assumptions, and involve risks, uncertainties and other factors that could cause actual results, performance, and opportunities to differ materially from those implied by such forward-looking statements. Among the bases for assumptions with respect to the potential for additional government funding are discussions and indications of support from government actors based on certain milestones being achieved. Factors that could cause actual results to differ materially from these forward-looking statements are set forth in the management discussion and analysis and other disclosures of risk factors for Electra Battery Materials Corporation, filed on SEDAR+ at and on EDGAR at Other factors that could lead actual results to differ materially include failure to obtain required approvals or satisfy closing conditions, changes in government policy or funding commitments, delays in construction or commissioning of the refinery, inability to complete the Transaction or Equity Financing on the proposed terms and general economic, market, and geopolitical conditions. Although the Company believes that the information and assumptions used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
