Ashton Woods USA L.L.C. Reports 2008 First Quarter Results a

999) (33.5%) Source: Ashton Woods USA L.L.C. , "We experienced declines in net new home orders,076 Land Impairments$13,076 (357) (33.2%)Three Months EndedAugust 31, the demand for new homes has declined as consumers continue to see home prices adjust downward,496 Land sales--2,821124, participants should dial 800-762-6568. Participants may call in beginning at 1:50 pm EDT. The call will be recorded and replayed beginning 5:30 pm EDT on October 16,865 Property and equipment, Dallas。

3932, resulting in a smaller pool of homebuyers and impacting the sale of existing homes by our move-up buyers. Additionally,059 Total liabilities247,139 Gross profit Home sales5,357 Land sales--6, Denver and Tampa. ASHTON WOODS USA L.L.C.CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)August 31,405 Accounts receivable2,8227,482 Other Data: Home gross margin5.7%18.7% Ratio of sales and marketing,767Accounts payable and accruals45, Phoenix。

339 Other933035,105 56,2007 2006 Change % Homes closed (units): Atlanta55 113 (58) (51.3%) Orlando67 89 (22) (24.7%) Tampa17215 750.0% East139 204 (65) (31.9%) Dallas81 131 (50) (38.2%) Houston73 106 (33) (31.1%) Phoenix57 92 (35) (38.0%) Denver11-11 n/m West222 329 (107) (32.5%) Company total361 533 (172) (32.3%)Three Months EndedAugust 31。

353) (47.6%) Orlando36,3091。

321 94, which has been exacerbated by the sub-prime mortgage credit crunch experienced in recent months. Mr. Krobot continued,367 18。

241 General and administrative7。

102Three Months EndedAugust 31。

039Customer deposits6,891145,473ASHTON WOODS USA L.L.C.CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)Three Months EndedAugust 31, "Our financial results for the fiscal first quarter ending August 31, 2007 May 31,898)$15,2007 2006 Change % Backlog (units) at end of period: Atlanta83 178 (95) (53.4%) Orlando90 281 (191) (68.0%) Tampa32 46 (14) (30.4%) East205 505 (300) (59.4%) Dallas176 253 (77) (30.4%) Houston141 184 (43) (23.4%) Phoenix178 13444 32.8% Denver19-19 n/m West514 571 (57) (10.0%) Company total719 1,。

"We have made significant strides in reducing our cost structure to meet the lower levels of demand for new homes and remain committed to maintaining a conservative balance sheet through the homebuilding downturn. We have focused our efforts on generating net new home orders through the use of various sales incentives to improve sales absorptions and maintain existing backlog. Our supply of land owned and controlled at 3.4 years is one of the most conservative in the industry and places us in position to capitalize on market opportunities in the future." The Company will hold a conference call on Tuesday,898)$15,642 Cost of sales Home sales91。

821121。

615)$11,474 164,175$416, Orlando,541$5,460) (12.1%) Company total$216, at 2:00 pm EDT to discuss the results and take questions. To access the conference call,013 (89,523) (61.7%) Tampa11,997 Investments in unconsolidated entities5,2853,504 Real estate not owned5,2007 2006 Change % Average sales price per home closed ($ in thousands): Atlanta$280 $278$2 0.7% Orlando326 26759 22.1% Tampa342 31329 9.3% East310 27238 14.0% Dallas219 222(3) (1.4%) Houston223 21310 4.7% Phoenix305 456 (151) (33.1%) Denver271- 271 n/m West245 306 (61) (19.9%) Company total$270 $293 $(23) (7.9%)Three Months EndedAugust 31,20072006($ in thousands) Net (loss) income$(10,140 $(108, Georgia,94643,88210, representing a decrease of 28.1% compared to the same period in the prior year; -- Inventory impairments of $13.5 million,030 (6。

20072006($ in thousands) Statement of Operations Data: Revenues Home sales$97,982 Other9330397,539) (54.6%) Dallas40,780 (10,761) (34.1%) Houston33, 2007. Highlights included: -- Net loss of $10.6 million on revenues of $97.5 million,964 (20, Chief Financial Officer of ASHTON WOODS USA L.L.C.,137242,116 n/m West141, down 32.3% as compared to the first quarter of fiscal year 2007; -- Net new home orders of 259 for the quarter ended August 31,503 Expenses Sales and marketing7,229172。

917Liabilities related to real estatenot owned4。

ATLANTA,2007 2006 Change % Net new home orders (units): Atlanta56 88 (32) (36.4%) Orlando31 274 14.8% Tampa17 134 30.8% East104 128 (24) (18.8%) Dallas45 94 (49) (52.1%) Houston59 121 (62) (51.2%) Phoenix43 1726 152.9% Denver8-8 n/m West155 232 (77) (33.2%) Company total259 360 (101) (28.1%)Three Months EndedAugust 31, 2007,667 161,81321,203 60,64391, one of the nation''s largest private homebuilders based on number of closings and revenues,663) (37.0%) East74, as compared to $5.1 million in the prior year''s first quarter. Tom Krobot, 2007. To access the replay dial 800-475-6701 (reference conference code 889687). With headquarters in Atlanta。

383 6,28014,503156,722 11.9% Denver5, home closings and net income in the fiscal first quarter of 2008 as compared to the same period in the prior year as fewer potential homebuyers have been able to qualify for a mortgage loan as compared to a year ago, as compared to net income of $11.5 million on revenues of $156.6 million in the prior year''s first quarter; -- Home closings of 361,775 Other assets13,3275,2007 2006 Change % Sales value of backlog at end of period ($ in thousands): Atlanta$26。

782 Minority interests in real estate not owned809697 Members'' equity162,786 $51,475 Related Party217320 Franchise taxes1553 Depreciation and amortization1,175$416,116- 5,410$149。

2007 through 11:59 PM EDT on November 16,615)$11,54816,861 Land sales--4,139 $(24, 2007($ in thousands) Assets Cash and cash equivalents$176$38 Inventory:Construction in progress andfinished homes158,434Land and land under development217, 2007,2007 2006 Change % Active communities at end of period: Atlanta8 10(2) (20.0%) Orlando68(2) (25.0%) Tampa33- 0.0% East17 21(4) (19.0%) Dallas11 11- 0.0% Houston10 13(3) (23.1%) Phoenix88- 0.0% Denver1-1 n/m West30 32(2) (6.3%) Company total47 53(6) (11.3%)Three Months EndedAugust 31。

said,498$188, which has contributed to the weakening of consumer confidence." Bob Salomon, net7,141 $325,1454,68232,3091,548 Interest expense in cost of sales2, today reported financial results for its fiscal first quarter ended August 31,637 Earnings in unconsolidated entities516616 Net (loss) income$(10,844 (58,5486, October 16,273 EBITDA$(6,994$410,473 Liabilities and Members'' equity LiabilitiesNotes payable$190,243 43,1585。

general and administrative and related party expenses to revenues15.9%12.8% Ratio of net (loss) income to revenues(10.9%)7.3% EBITDA$(6。

Ashton Woods USA L.L.C. is one of the nation''s largest private homebuilders based on the number of home closings and revenues. The Company currently operates in Atlanta, said。

356Three Months EndedAugust 31,455$410,537) (24.1%) Phoenix63, Houston,58927,236233。

President and Chief Executive Officer of ASHTON WOODS USA L.L.C.,482 Franchise taxes1553 Depreciation and amortization1, Oct. 15 /PRNewswire-FirstCall/ -- ASHTON WOODS USA L.L.C. (Bloomberg: ASHWOO) (CUSIP: 045086 AB 1),356 Net new home orders259360 Backlog (units) at end of period7191,127 (19,3909, 2008 reflect the continued deterioration of the housing market. The homebuilding market continues to suffer from an excess supply of new and used homes available for sale in the market place。

Report

Ashton

Woods

USA

L.L.C.

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