Forestar Group reported October 29 that fourth-quarter net income fell 32% to $59.2 million, or $1.15 per diluted share, as revenue declined despite an increase in residential lots sold.
Revenue for the quarter ended September 30 decreased 13% to $580.8 million from $670.5 million. Lot deliveries rose 2% to 5,004 from 4,891, according to the company’s results release.
The quarterly comparison included a $10 million pretax asset-sale gain and $7.6 million in real-estate impairment charges. A year earlier, Forestar recorded a $4.5 million asset-sale gain and no such impairment charges.
For fiscal 2026, net income declined 15% to $142.6 million, or $2.78 per diluted share. Annual revenue fell 2% to approximately $1.6 billion on 13,545 lots sold.
Forestar ended the year owning or controlling 84,400 lots, including 21,500 contracted for sale. It reported $1.3 billion in total liquidity and a 6.7% net-debt-to-total-capital ratio.
The company sold 822 quarterly lots to customers other than D.R. Horton, compared with 828 a year earlier. These are Forestar’s reported operating results, rather than a measure of nationwide housing sales.
Sources: Forestar — October 29 Results: https://www.businesswire.com/news/home/20261029409518/en/Forestar-Reports-Fourth-Quarter-and-Fiscal-2026-Results