Company: HOVVB
Filing Date: 2025-05-30
Form Type: 10-Q
Source: 0001753926-25-000907
Chunk: 7

Company: HOVNANIAN ENTERPRISES INC
Filing Date: 2025-05-30
Form: 10-Q
Item: Part I, Item 2
Chunk 7
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 for the six months ended April 30, 2024. The decrease in gross margin percentage was primarily due to increased use of incentives and concessions, including additional mortgage interest rate buydowns, to make our homes more affordable. In the current homebuilding environment, we remain focused on driving financial performance by increasing our sales pace versus achieving a higher gross margin. 

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Table of Contents 

● Income before income taxes decreased to $26.5 million for the three months ended April 30, 2025 from $69.4 million for the three months ended April 30, 2024, and decreased to $66.4 million for the six months ended April 30, 2025 from $102.0 million for the six months ended April 30, 2024. Net income decreased to $19.7 million for the three months ended April 30, 2025 from $50.8 million for the three months ended April 30, 2024, and decreased to $47.9 million for the six months ended April 30, 2025 from $74.7 million for the six months ended April 30, 2024. Included in net income for the six months ended April 30, 2025 was a gain of $22.7 million related to the contribution of assets to a new joint venture. Earnings per share, basic and diluted, decreased to $2.64 and $2.43, respectively, for the three months ended April 30, 2025 compared to $7.12 and $6.66, respectively, for the three months ended April 30, 2024. Earnings per share, basic and diluted, decreased to $6.53 and $6.02, respectively, for the six months ended April 30, 2025 compared to $10.22 and $9.57, respectively, for the six months ended April 30, 2024.

● Net contracts decreased 7.5% and 1.4% for the three and six months ended April 30, 2025 compared to the same periods of the prior year. The decrease is primarily driven by