Company: LEN
Filing Date: 2025-07-01
Form Type: 10-Q
Source: 0001628280-25-033777
Chunk: 141

Company: LENNAR CORP /NEW/
Filing Date: 2025-07-01
Form: 10-Q
Item: Item 8
Chunk 141
---
18.2% (18.4% excluding purchase accounting), in the six months ended May 31, 2025, compared to $3.4 billion, or 22.2%, in the six months ended May 31, 2024. During the six months ended May 31, 2025, gross margins decreased due to an increase in land costs year over year, as well as a decrease in revenue per square foot, which was partially offset by a decrease in construction costs as we continue to focus on construction cost savings.

Selling, general and administrative expenses were $1.3 billion in the six months ended May 31, 2025, compared to $1.2 billion in the six months ended May 31, 2024. As a percentage of revenues from home sales, selling, general and administrative expenses increased to 8.7% in the six months ended May 31, 2025, from 7.8% in the six months ended May 31, 2024, primarily due to less leverage as a result of lower revenues and an increase in marketing and selling expenses. 

During the six months ended May 31, 2025, our homebuilding operating earnings included $37.0 million of interest income, compared to $100.8 million of interest income in the six months ended May 31, 2024. The decrease in interest income was primarily due to lower cash balances year over year.

Operating earnings for the Financial Services segment were $299.5 million in the six months ended May 31, 2025, compared to $276.9 million in the six months ended May 31, 2024. The increase in operating earnings was primarily due to higher profit per locked loan in the mortgage business as a result of higher margins.

Operating loss for the Multifamily segment was $14.5 million in the six months ended May 31, 2025, compared to operating loss of $35.9 million in the six months ended May 31, 2024. Operating loss for the Lennar Other segment was $142.2 million in the six months ended May 31, 2025, compared to operating loss of $67.4 million in the six months ended May 31, 2024. The Lennar Other operating loss for the second quarter of 2025 was primarily due to losses on our technology investments. The Lennar Other operating loss for the six months ended May 31,