Key facts
- D.R. Horton lowered its 2026 revenue forecast to $32.5-$33.0 billion from $33.5-$34.5 billion.
- The company cited affordability constraints and cautious consumer sentiment impacting new home demand.
- Builders are offering incentives such as mortgage rate buydowns to stimulate sales.
- Earnings per diluted share for the quarter ended June 30 were $3.20, down from $3.36 a year ago.
- D.R. Horton expects sales incentives to remain elevated in the fourth quarter.
D.R. Horton has lowered its full-year revenue forecast, attributing the adjustment to persistent affordability challenges and cautious consumer sentiment that are dampening demand for new homes. The company anticipates that sales incentives, such as mortgage rate buydowns, will remain elevated in the fourth quarter as builders strive to stimulate sales.
The homebuilder now projects 2026 consolidated revenue to be in the range of $32.5 billion to $33.0 billion, a reduction from its earlier forecast of $33.5 billion to $34.5 billion. This revised outlook falls short of the $33.67 billion average estimate from analysts. Persistent inflation and tariffs on key construction materials have also contributed to rising costs for U.S. homebuilders.
For the quarter ending June 30, D.R. Horton reported diluted earnings per share of $3.20, a decrease from $3.36 in the same period last year. David Auld, Executive Chairman of D.R. Horton, noted that affordability constraints and consumer sentiment continue to affect new home demand, prompting builders to offer incentives.