NVR Inc

NVR

Equity

ISIN US62944T1051 / Valor 122070

New York Stock Exchange, Inc (2024-12-26)

USD 8,243.99-0.19%

NVR Inc
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About company

NVR, Inc. is a prominent American company that operates primarily in the homebuilding and mortgage banking sectors. The company constructs and sells homes through its distinct brands: Ryan Homes, NVHomes, and Heartland Homes, catering to a wide range of customer preferences and budgets. NVR, Inc. has established a significant presence in the United States, serving homebuyers across 36 metropolitan areas in 16 states and Washington, D.C. In addition to its homebuilding operations, NVR, Inc. extends its services to mortgage banking through NVR Mortgage, which is dedicated to meeting the financing needs of its homebuyers. Furthermore, NVR Settlement Services provides comprehensive settlement and title services, enhancing the company's integrated approach to homebuying. NVR, Inc. also incorporates a Building Products operation that manufactures structural components for its construction projects, emphasizing efficiency and waste reduction. This multifaceted business model allows NVR, Inc. to maintain control over various aspects of the homebuying process, from construction to financing, thereby streamlining the customer experience.

Summarized from source with an LLMView SourceSector: Industrials

Net Income

NVR Inc. reported a net income of $410.1 million for the fourth quarter of 2023, translating to $121.56 per diluted share. This represents a decrease of 10% in net income and a 9% drop in diluted earnings per share compared to the fourth quarter of 2022, where the net income was $454.8 million, or $133.44 per diluted share.

Revenue

For the fourth quarter of 2023, NVR Inc.'s consolidated revenues totaled $2.43 billion, marking a 10% decrease from the $2.71 billion reported in the same quarter of the previous year. On an annual basis, the company recorded consolidated revenues of $9.52 billion for the year ended December 31, 2023, down 10% from $10.53 billion in 2022.

Homebuilding Segment

In the fourth quarter of 2023, NVR Inc.'s homebuilding revenues were $2.39 billion, an 11% decline from $2.67 billion in the fourth quarter of 2022. The gross profit margin for this segment decreased to 24.1% from 25.3% in the previous year. Income before tax from homebuilding was $454.3 million, a 17% decrease compared to the same period in 2022.

Mortgage Banking Segment

NVR Inc.'s mortgage banking segment saw a 2% decrease in closed loan production, totaling $1.50 billion in the fourth quarter of 2023. However, income before tax from this segment increased by 12% to $29.7 million, compared to $26.4 million in the fourth quarter of 2022. For the full year, income before tax rose 9% to $132.8 million.

Effective Tax Rate

The effective tax rate for NVR Inc. was 15.3% for the fourth quarter and 17.5% for the full year of 2023, down from 20.9% and 23.4% in the respective periods of 2022. This decrease is primarily due to a higher income tax benefit recognized from stock option exercises, totaling $42.5 million for the quarter and $153.6 million for the year.

Summarized from source with an LLMView Source

Key figures

17.6%1Y

42.5%3Y

116%5Y

Performance

23.4%1Y

28.2%3Y

36.7%5Y

Volatility