Taylor Morrison Home beats top-line and bottom-line estimates; initiates Q4 and updates FY outlook

* Taylor Morrison Home Corporation press release [https://seekingalpha.com/pr/20274834-taylor-morrison-reports-third-quarter-2025-results] (NYSE:TMHC [https://seekingalpha.com/symbol/TMHC]): Q3 Non-GAAP EPS of $2.11 beats by $0.19.
* Revenue of $2.10B (-0.9% Y/Y) beats by $70M.
* Home closings revenue of $2.0 billion.
* 3,324 closings at an average sales price of $602,000.
* Home closings gross margin of 22.1% and adjusted home closings gross margin of 22.4%.
* Net sales orders declined 13% to 2,468.
* Backlog at quarter end was 3,605 homes with a sales value of $2.3 billion. Backlog customer deposits averaged approximately $45,000 per home.

*
BUSINESS OUTLOOK

FOURTH QUARTER 2025

* Ending active community count is expected to be approximately 345
* Home closings are expected to be between 3,100 to 3,300
* Average closing price is expected to be approximately $590,000
* GAAP home closings gross margin is expected to be approximately 21.5%
* Effective tax rate is expected to be approximately 25%
* Diluted share count is expected to be approximately 99 million

FULL YEAR 2025

* Home closings are now expected to be between 12,800 to 13,000
* Average closing price is now expected to be approximately $595,000
* GAAP home closings gross margin including impairment and certain warranty charges is expected to be approximately 22.5%
* Adjusted home closings gross margin excluding impairment and certain warranty charges is expected to be approximately 23%*
* Ending active community count is now expected to be approximately 345
* SG&A as a percentage of home closings revenue is expected to be in the mid-9% range
* Effective tax rate is expected to be between 24.5% to 25%
* Diluted share count is expected to be approximately 101 million
* Homebuilding land acquisition and development investment is now expected to be approximately $2.3 billion
* Share repurchases are expected to be at least $350 million

MORE ON TAYLOR MORRISON HOME CORPORATION

* The Case For Taylor Morrison In The Builder Bearish To Bullish Reversal [https://seekingalpha.com/article/4814043-the-case-for-taylor-morrison-in-the-builder-bearish-to-bullish-reversal]
* Taylor Morrison Home Corporation Q3 2025 Earnings Preview [https://seekingalpha.com/news/4506259-taylor-morrison-home-corporation-q3-2025-earnings-preview]
* UBS: U.S. lumber tariffs could add $8,900 to cost of building a home [https://seekingalpha.com/news/4500367-ubs-u-s-lumber-tariffs-could-add-8900-to-cost-of-building-a-home]
* Seeking Alpha’s Quant Rating on Taylor Morrison Home Corporation [https://seekingalpha.com/symbol/TMHC/ratings/quant-ratings]
* Historical earnings data for Taylor Morrison Home Corporation [https://seekingalpha.com/symbol/TMHC/earnings]